2a. (5 Points). NewBank started its first day of operations with $141million in capital. A total of $290 million in checkable deposits is received. The bank makes a $25 million commercial loan and another $28 million in mortgage loans. The required reserve ratio (rr) is 7.2 %. NewBank decides to invest in 30-day T-bills for the remaining amount of money. How much T-Bills do they purchase? Note: Round your answer to the nearest whole number.

Amount of T- bills Purchased = ____________________.

2b. (10 Points). Based on the transaction activity provided above, and if the bank wants to keep adding 4% of checkable deposit as excess reserves, complete the balance sheet below to show NewBank's financial position at the end of its first day. Note: To avoid too many zeros, enter your values below in millions of dollars (just as the values are given above), and round your responses to the nearest whole number (millions) for each account entry.

ASSETS LIABILITIES

Required Reserves _______________ Deposits _______________

Excess Reserves _______________ Bank Capital _______________

T-Bills _______________

Loans _______________