Bank Deposits at the Federal Reserve = $40 Billion,vault Cash

Multiple Choice

Bank deposits at the Federal Reserve = $40 billion,vault cash = $2 billion,the required reserve ratio = 0.10,and total checkable deposits = $400 billion.It follows that required reserves equal __________ billion,(total) reserves equal __________ billion and excess reserves equal __________ billion.

A) $42; $42; $2
B) $42; $40; $2
C) $2; $40; $38
D) $38; $40; $2
E) $40; $42; $2