I got most of the question right, but Im struggling in the required B sections. please show work when solving
MHM Bank currently has $300 million in transaction deposits on its balance sheet. The current reserve requirement is 8 percent, but the Federal Reserve is increasing this requirement to 10 percent. a. Show the balance sheet of the Federal Reserve and MHM Bank if MHM Bank converts all excess reserves to loans, but borrowers return only 70 percent of these funds to MHM Bank as transaction deposits. b. Show the balance sheet of the Federal Reserve and MHM Bank if MHM Bank converts 80 percent of its excess reserves to loans and borrowers return 85 percent of these funds to MHM Bank as transaction deposits. points Check my work mode: This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion Return to q 2 Panel A: Initial Balance Sheets Federal Reserve Bank Assets Liabilities Securities s 24 million Reserve accounts 24 million 10 points ank Liabilities Assets million million 300 Transaction deposits Loans 276 24 million Reserve deposits at Fed Panel B: Balance Sheet after All Changes Federal Reserve Bank Liabilities Assets million 28.500 million Reserve accounts 28.500 Securities MHM Bank Liabilities Assets million 285.000 Transaction deposits million S 256.500 Loans 28.500 million Reserve deposits at Fed 7 2 Return to question Show the balance sheet of the Federal Reserve and MHM Bank if MHM Bank converts 80 percent of its excess reserves to loans and bornrowers return 85 percent of these funds to MHM Bank as transaction deposits. (Enter your answers in millions. Do not round intermediate calculations. ERound your "Panel B" answers to 3 decimal places. (e.g., 32.161)) Panel A: Initial Balance Sheets Federal Reserve Bank Assets Liabilities Securities s 24 million Reserve accounts s 24 million ank Assets Liabilities 276 million Transaction deposits million Loans 300 Reserve deposits at Fed 24 million Panel B: Balance Sheet after All Changes Federal Reserve Bank Liabilities Assets s 27.425 million Reserve accounts million 27.425 Securities ank Liabilities Assets 247.500 million s Transaction deposits S 247.050 million Loans 27 450 million Reserve denosits at Fed