A bank has the following balance sheet for 2020.Also shown are the respective interest rates:

Assetsamount ($MM)rate, %

Business Loans506

Corporate Bonds265

Government Bonds182.5

Cash7

Real assets2

Liabilities

Demand Deposits360

Time Deposits451.1

Inter-Bank Borrowing161.25

Preferred Equity1

Common Equity5

Off-Balance Sheet Item

Of the business loans above, $10MM was drawn from a $35MM Credit Line.That is, assume the average amount of the Line drawn during the year is $10MM.The bank charges 0.25% for unused lines of credit.

IAssume reserve requirement are 3% for demand deposits, 0% for time deposits.How much excess reserves does the bank have?