The Fed Buys $100 Million U

The Fed buys $100 million U.S.government securities from Bank of America.Bank of America's balance sheet shows this transaction as ________ in total assets and ________ in reserves.

A) no change;a $100 million decrease
B) no change;a $100 million increase
C) a $100 million increase;no change
D) a $100 million increase;a $100 million increase
E) a $100 million decrease;a $100 million decrease

Correct Answer:

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