If the Fed Sells a T-Bill to an Individual Rather

question 99

Multiple Choice

If the Fed sells a T-bill to an individual rather than to a commercial bank, how will this affect the money supply?

• A)It will increase the money supply.
• B)It will increase the checking account balance of the individual.
• C)It will have no effect on the money supply.
• D)It will decrease the money supply.

---

Definitions:

NAND Function

A logical operation that produces an output that is false only if all its inputs are true, represented as NOT (A AND B).

AND Function

A logical operation that returns true if all of its operands are true, and false otherwise.

Series/Parallel

Series/parallel configurations refer to the way components like resistors or capacitors are connected in a circuit, either end-to-end (series) or side-by-side (parallel), affecting overall circuit properties.

Parallel/Series

Describes two fundamental ways of connecting electrical components in a circuit; parallel connections share two common points and series connections are made end-to-end.