Exhibit 14-1
Exhibit 14-1 -Refer to Exhibit 14-1

Multiple Choice

Exhibit 14-1
Exhibit 14-1
$\begin{array}{llll}&&\text {EUBANK}\\\text {Assets }&&\text {Liabilities and Net Worth }\\\hline\text { Deposits at the Fed } & \$ 40,000 &\text {Checkable deposits }&\$500,000\\\text { Cash } & \$ 10,000 &\text {Net Worth }&\$20,000\\\text { Loans } & \$ 300,000 \\\text { Securities } & \$ 150,000 \\\text { Fed Stock } & \$ 20,000\end{array}$
-Refer to Exhibit 14-1.If Eubank is holding no excess reserves,what must the required reserve ratio be?

A) 5 percent
B) 4 percent
C) 10 percent
D) 20 percent
E) 2 percent