N First Bank of Dawson City Assets: Liabilities: Reserves $20.00 Deposits $100.00 O Loans $80.00 9 Refer to Table 10-1. If $500 is deposited into the First Bank of Dawson City, what will happen? 12 Required reserves initially increase by $10,000. Excess reserves initially increase by $400. 15 O Excess reserves initially increase by $500. The bank will be able to make additional loans totalling $500. 18 Question 9 (1 point) Suppose the banking system has $10 million in reserves and the reserve ratio is 25 percent. Then bankers decide to decrease the reserve ratio to 20 percent. How does