Question: Again, please consider the following simplified balance sheet for Big Bank: Assets Liabilities and Equity Reserves $40 Loans $260 Deposits $200 Equity $ You

Again, please consider the following simplified balance sheet for Big Bank:

Assets	Liabilities and Equity
Reserves $40 Loans $260	Deposits $200 Equity $

You can assume that all deposits are checking deposits and that the reserve ratio is 10%. Also, assume there's no other relevant information except what's given here.

2. Calculate the amount this bank is required to hold in reserves, carefully following all numeric instructions.

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