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Suppose a bank's balance sheet looks as follows: Assets Liabilities Reserves $690 Deposits $6,000 Loans $5,310 Assume banks are required to hold reserves equal to

Suppose a bank's balance sheet looks as follows:

Assets

Liabilities

Reserves

$690

Deposits

$6,000

Loans

$5,310

Assume banks are required to hold reserves equal to 10 percent of deposits.

Instructions:Enter your responses asa whole number.

(a) How much excess reserves does the bank hold?

(b) How much more can this bank lend?

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