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Assets Liabilities Reserves $ 1 00,000 Checkable $400,000 Deposits Required $30,000 Excess $20,000 Loans $300,000 Total $400,000 Total $400,000 16. The table above shows the current entries in the T-account of XYZ Bank. Kim purchases a bond issued by the Federal Reserve Bank for $50,000 and pays for the bond by drawing on her company's account at XYZ Bank. What is the effect of Kim's purchase of the bond on the required and excess reserves of XYZ Bank and the total money supply? Required Excess Money Supply (A) Increase Decrease Decrease (B) Decrease Decrease Decrease (C) No Change Decrease No Change (D) Increase No change Increase (E) Decrease Increase Increase