Suppose the Desired Reserve Ratio Is 20 Percent

Multiple Choice

Suppose the desired reserve ratio is 20 percent.And suppose the Bank of Canada injects $10,000 of new excess reserves.What will this injection create, assuming no bank holds excess reserves and nobody withdraws cash?  

A)  $2,000 in new chequable deposits 
B)  $10,000 in new chequable deposits 
C)  $50,000 in new chequable deposits 
D)  $500,000 in new chequable deposits