A Bank Is Required to Maintain an Average Daily Balance

Multiple Choice

A bank is required to maintain an average daily balance at the Fed of $600 million.In the first 2 days of the maintenance period,it maintains a balance of $450 million,the next three days it maintains a balance of $700 million,the next two days it maintains a balance of $650 million,the next three days it maintains a balance of $450 million,and the next three days it maintains a balance of $650 million.What does its balance at the Fed has to be on the last day of the maintenance period in order to have a zero cumulative reserve deficit?

A) $600 million
B) $400 million
C) $500 million
D) $800 million
E) None of the options is correct