Assume a desired reserve ratio of 25 percent A cheque for $20000 is drawn on an account in Bank B and deposited in a chequable deposit in Bank A a. By how much have the excess reserves of Bank A increased? $ b. How much in the form of new loans is Bank A now able to extend to borrowers? $ c. By how much have reserves of Bank B decreased? $ d. By how much have excess reserves of Bank B decreased? $ e. By how much has the money supply increased ? $