Suppose you bank at Bank A and you write a check to your friend,who banks at Bank B.What happens after the check clears?
A) Both Bank A's and Bank B's assets increase.
B) Both Bank A's and Bank B's assets decrease.
C) Bank A's assets increase and Bank B's assets decrease.
D) Bank A's assets decrease and Bank B's assets increase.
E) There is no change in either bank's assets.
Correct Answer:
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