Bank West's Balance Sheet

Bank West's Balance Sheet
Assets Liabilities
Cash $500 Deposits $20 000
Deposits at Bank of Canada $700 Capital $1 000
Loans and Mortgages $19 800 $21 000
$21 000
TABLE 26-3
-Refer to Table 26-3.Assume that Bank West is operating at its target reserve ratio and has no excess reserves.If Bank West receives a new deposit of $1500,it can immediately expand its loans by ________ while maintaining its target reserve ratio.

A) $1387.50
B) $1410
C) $1462.50
D) $1464
E) $1500