buys a government bond worth $500,000 from Carlos, a client of First Main Street Bank. He deposits the money into his checking account at First Main Street Bank. Complete the following table to reflect any changes in First Main Street Bank's T- account (before the bank makes any new loans) Assets Liabilities Reserves $500,000 Deposits $500,000 V Complete the following table to show the effect of a new deposit on excess and required reserves when the required reserve ratio is 10%. Hint: If the change is negative, be sure to enter the value as negative number. Amount Deposited Change in Excess Reserves Change in Required Reserves (Dollars) (Dollars) (Dollars) 500,000 450,000 50,000 Now, suppose First Main Street Bank loans out all of its new excess reserves to Amy, who immediately uses the funds to write a check to Van. Van deposits the funds immediately into his checking account at Second Republic Bank. Then Second Republic Bank lends out all of its new excess reserves to Felix, who writes a check to Deborah, who deposits the money into her account at Third Fidelity Bank. Third Fidelity lends out all of its new excess reserves to Janet in turn. Increase in Deposits Increase in Required Reserves Increase in Loans "Dollars) 500,000 (Dollars) 50,000 (Dollars) 450,000 First Main Street Bank 450,000 45,000 405,000 Second Republic Bank 405,000 40,500 364,500 Third Fidelity Bank Assume this process continues, with each successive loan deposited into a checking account and no banks keeping any excess reserves. Under these assumptions, the $500,000 injection into the money supply results in an overall increase of$5,000,000 in demand deposits