1. The table below is the combined balance sheet for all the banks in a banking system. Each bank has a target reserve ratio of 5%.

Assets (1) (2) Liabilities / Equity (1) (2) Reserves $300 $ $ Demand deposits $3, 600 $ $ Loans 1,900 Shareholders' equity 400 Securities 1, 400 Fixed assets 400 Total $4,000 Total $4,000 a. Fill in the blanks in columns (1) reflecting the complete effect of all excess reserves being loaned out. b. The maximum possible increase in the money supply is $ c. Returning to the original balance sheet, if the target reserve ratio changes to 10%, the quantity of loans the system be forced to call in will be $ Write in the figures in columns (2) that show this process completed.The table below is the current balance sheet for the Maple Leafs Bank. Answer the following questions assuming that the bank's target reserve ratio is 10%. Liabilities 1' Equity aaln l_l_ lI W lI MW l_l