The Desired Reserve Ratio Is 10

The desired reserve ratio is 10%.The bank of a bond dealer has $100 million in deposits,$8 million in vault cash,and $7 million in deposits at the Bank of Canada.The Bank of Canada sells $1 million in securities to the bond dealer.As a result of the transaction,

A) the money supply falls by $1 million,total reserves fall by $1 million,and excess reserves fall by $900,000.
B) the money supply falls by $1 million,total reserves fall by $1 million and excess reserves fall by $1 million.
C) the money supply falls by $1 million,total reserves fall by $900,000 and excess reserves fall by $900,000.
D) the money supply falls by $1 million,but reserves don't change since the bank had $5 million in excess reserves before the transaction.