If the Required Reserve Ratio Is 20 Percent, and Bill

If the required reserve ratio is 20 percent, and Bill Jones deposits $500 into his checking account, his bank's

A) actual reserves will increase by $500, required reserves will increase by $100, and excess reserves will increase by $400
B) actual reserves will increase by $500, required reserves will increase by $400, and excess reserves will increase by $100
C) actual reserves will increase by $600, required reserves will increase by $400, and excess reserves will increase by $200
D) actual reserves will increase by $600, required reserves will increase by $200, and excess reserves will increase by $400