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Assume that excess reserves = $5,000

Economics

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Assume that excess reserves = $5,000. Loans = $8,000. Treasury bonds = $6,500. Demand deposits = $19,000 and Required reserves = $1,900.

1. Provide a T account
2. Calculate owner's equity 
3. Calculate the reserve requirement ratio (RRR) 

If Sam deposits $2,350 in this bank.

1. Provide a new T account 
2. Calculate the new RRR. How much is the new excess reserve? What does this number represent? 
3. What is the change in total money supply?