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D Consider the balance sheet of Bank A. Assume the required reserve ratio is 20%. Use the given information to answer questions 25 - 28. Bank of the Economists Balance Sheet Assets Liabilities and net worth Reserves $125,000 Liabilities: Loans $375,000 Checking deposits $500,000 Treasury securities $100,000 Net worth $100,000 D Question 25 1.5 pts Calculate the amount of required reserves. Answer: The amount of required reserves = $ D Question 26 1.5 pts Calculate the amount of excess reserves. Answer: The amount of excess reserves = $_D Question 27 1.5 pts Bank A loans out the entire amount of excess reserve. Assume that all banks do not keep any excess reserves. What is the maximum amount of new money created via the money multiplying effects? (rr =20% for all banks.) Answer: The total amount of new money created for the economy = $ _________ D Question 28 1-5 pts Suppose Bank A spends part of the reserves to buy Treasury securities. Will the amount of money Bank A be able to lend out increase or decrease? [ Select ] v in crea se decree 5e