Under the Loanable Funds Theory of Interest Rates If a Central

Under the loanable funds theory of interest rates if a central bank engages in an expansionary open markets operation to expand the money supply, which of the following statements is correct?

A) The supply curve for loanable funds will shift back, intersecting with the demand curve for loanable funds at a higher equilibrium real interest rate.
B) The supply curve for loanable funds will shift out, intersecting with the demand curve for loanable funds at a lower equilibrium real interest rate.
C) The demand curve for loanable funds will shift inward, intersecting with the supply curve for loanable funds at a lower equilibrium interest rate.
D) No change in interest rates will occur.