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Carter's $150,000 CD Matures and He Deposits the Funds into His

Question 41

Multiple Choice

Carter's $150,000 CD matures and he deposits the funds into his checking account so he can buy a house.The total effect is that M1____ and M2____ .


A) is unchanged; falls by $150,000
B) rises by $150,000; is unchanged
C) rises by $150,000; falls by $150,000
D) rises by $150,000; rises by $150,000

Correct Answer:

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