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The Following Table Lists Some Statistics on Boring Bank

Question 127

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The following table lists some statistics on Boring Bank.
The following table lists some statistics on Boring Bank.    -Refer to the table above.If the required reserve ratio changes to 20 percent,and Boring Bank makes only the necessary changes to comply with regulations,how will the bank's total assets and total liabilities change? A)  Total assets will decrease by $20, and total liabilities will remain the same. B)  Total assets will increase by $20, and total liabilities will decrease by $20. C)  Both total assets and total liabilities will decrease by $20. D)  Both total assets and total liabilities will remain the same.
-Refer to the table above.If the required reserve ratio changes to 20 percent,and Boring Bank makes only the necessary changes to comply with regulations,how will the bank's total assets and total liabilities change?


A) Total assets will decrease by $20, and total liabilities will remain the same.
B) Total assets will increase by $20, and total liabilities will decrease by $20.
C) Both total assets and total liabilities will decrease by $20.
D) Both total assets and total liabilities will remain the same.

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