The Bank of Canada Buys $1 Million in Bonds from a Bond

The Bank of Canada buys $1 million in bonds from a bond dealer.The bond dealer's bank experiences

A) an increase in assets of $1 million as its reserves increase and a decrease in liabilities as its deposits fall.
B) no change in assets or liabilities.Assets both increased and decreased by the amount of the cheque.
C) a decrease in assets of $1 million as the chequing account of the bond dealer increased,and a decrease in liabilities as the bank's deposits with the Bank of Canada increased by $1 million.
D) an increase in assets of $1 million as its reserves increase and an increase in liabilities of $1 million as the deposits in the bond dealer's chequing account increases by $1 million.