B. Reserves are: A assets of the central bank and liabilities of the commercial bank. B. assets of the commercial banks and liabilities of the central bank. C. liabilities of the commercial and central banks. D. assets and liabilities for the central bank. 9 Vault cash is: A equal to the total amount of reserves and is an asset of the central bank. B. not reserves but is a liability of the central bank. C. a part of reserves and an asset of commercial banks. D. not reserves but is an asset of central banks. The monetary base is the sum of: A reserves and M2 B. M1 and reserves. C. currency in the hands of the public, reserves and M1. D. currency in the hands of the public and reserves in the banking system. 10