Final answer:
Option b) Deposits of commercial banks would be listed as liabilities on the Bank of Canada's balance sheet, as the bank owes these funds back to depositors.
Step-by-step explanation:
The entry that would appear on the liabilities side of the Bank of Canada's balance sheet is B) Deposits of commercial banks.
When customers, including commercial banks, make deposits such as checking or savings accounts, the bank considers these as liabilities since the bank owes this money back to the depositors upon their request. Government securities would typically be an asset; advances to commercial banks could be an asset depending on the context; savings deposits from individuals are liabilities but are not specific to the Bank of Canada's operations; and shareholders' equity is part of the equity side of the balance sheet, not a liability.