A Bank Has an Average Balance of Transactions Accounts, August

Multiple Choice

A bank has an average balance of transactions accounts, August 10 to 23, of $824.46 million.The average balance in the cash account is $42.014 million over this period.The bank is carrying forward a deficit of $1.276 million from the last reserve period.The rules require no reserves to be maintained for the first $8.5 million, 3 percent for amounts between $8.5 million and $45.8 million, and 10 percent thereafter. What is the gross reserve requirement?

A) $74.653 million.
B) $78.985 million.
C) $76.747 million.
D) $72.461 million.
E) $77.866 million.