The table below is the balance sheet for the Senators Bank. The target reserve ratio is 6%. Assets (1) (2) Reserves $40,000 $ $ Liabilities / Equity Demand deposits (1) $390,000 $ Loans 300,000 Shareholders' equity 80,000 Securities 76,000 Fixed assets 54,000 Total $470,000 Total $470,000 a. The size of the bank's excess reserves is $ b. Change the balance sheet in columns (1) to show the effect of the bank loaning out an amount equal to its excess reserves. c. Now change the balance sheet in columns (2) to show the effect of a cheque for the amount of the loan in part (b) clearing against the bank. d. Suppose instead that the target reserve ratio is 18%. What is the bank's reserve situation, and what action will it take? The Senators Bank is (Click to select) by $ amount of $ and will need to (Click to select) in the is the balance sheet for the Senators Bank. The target reserve ratio is 6%. (1) (2) $40,000 $ $ Liabilities / Equity Demand deposits (1) (2) $390,000 $ $ 300,000 Shareholders' equity 80,000 76,000 54,000 $470,000 e bank's excess reserves is $ Total $470,000 alance sheet in columns (1) to show the effect of the bank loaning out an amount equal to its he balance sheet in columns (2) to show the effect of a cheque for the amount of the loan in part nst the bank. ead that the target reserve ratio is 18%. What is the bank's reserve situation, and what action will it Bank is (Click to select) by $ and will need to (Click to select) in the