Use the information below to answer the following questions.
Fact 24.4.2
The Bank of Hobbiton has chosen the following initial balance sheet: reserves are $100 and deposits are $2,000
Refer to Fact 24.4.2. Based on the Bank of Hobbiton's initial balance sheet, what is its desired reserve ratio?
a. 100 percent
b. 20 percent
c. 10 percent
d. 5 percent
e. not calculable with the available information