Which of the following transactions by a bank would increase the money supply?

Question

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When the bank grants a loan to a customer, it creates new money by adding the loan amount to the customer's account. This, in turn, increases the overall money supply. On the other hand, options A, B, and C do not directly impact the money supply. When a bank calls in a loan, it reduces the amount of money in circulation. When a customer deposits cash, it simply transfers money from one account to another, and when a customer withdraws cash, it reduces the amount of money in their account, but not the overall money supply.

Which of the Following Transactions by a Bank Would Increase