40. a) The Bank of Cyprus has the following assets and liabilities (all assets and liabilities) all amounts in millions of dollars): Assets Reserves $5.0 Loans $345.0 Securities $70.0 Liabilities + Capital Trading deposits $75.0 Non-transaction deposits $315.0 Equity $30.0 Calculate the bank's excess reserves. Show your transactions b) Bank A after its attempt to increase its share capital through the issue of new shares, it found that due to the economic crisis the participation of the shareholders was very small. Indicate ways in which bank A could cover the capital requirements. c) "Rising inflation causes nominal interest rates to rise. If a country wishes to reduce inflation then one of the measures that could is to raise interest rates in the market." Do you agree or disagree with the proposal? Explain carefully and thoroughly.