If the Fed sells $2 million of bonds to the (answer attached)

1.  If the Fed sells $2 million of bonds to the First National Bank, what happens to reserves and the monetary base?  Use T-accounts to explain your answer.

2.  If the Fed sells $2 million of bonds to Irving the Investor, who pays for the bonds with a briefcase filled with currency, what happens to reserves and the monetary base?  Use T-accounts to explain your answer. 

3.  Suppose that the Fed buys $1 million of bonds from the First National Bank.  If the First National Bank and all other banks use the resulting increase in reserves to purchase securities only and not make loans, what will happen to checkable deposits?

4.  If the Fed buys $1 million in bonds from the First National Bank, but an additional 10% of any deposit is held as excess reserves, what is the total increase in checkable deposits?

5.  If the required reserve ratio on checkable deposits increases to 20%, how much multiple deposit creation will take place when reserves are increased by $100?

6.  If you decide to hold $100 less cash than usual and therefore deposit $100 in cash in the bank, what effect will this have on checkable deposits in the banking system if the rest of the public keeps its holdings of currency constant?