-In the Balance Sheet Above,the Entries Are in Millions of \text

$\begin{array}{|l|l|}\hline {\text { Assets }} &{\text { Liabilities }} \\\hline \text { Reserves } & \\\$ 400 & \text { Deposits } \\\text { Loans } & \$ 1,200 \\\$ 800 & \\\text { Total } & \text { Total } \\\$ 1,200 & \$ 1,200\\\hline \end{array}$
-In the balance sheet above,the entries are in millions of dollars for the FBN Bank.If the desired reserve ratio on deposits is 10 percent,FBN Bank has desired reserves of

A) $700 million.
B) $120 million.
C) $100 million.
D) $0.

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