# Cathy Rogers deposits \$200 in currency in her checking account at a bank. This deposit is treated as: 1) A subtraction of \$200 from the money supply because the \$200 in currency is no longer in circulation 2) An addition of \$200 to the money supply because of the creation of a checkable deposit of \$200 3) An addition of \$200 to the money supply because the bank holds \$200 in currency and the checking account has been increased by \$200 4) No change in the money supply because the \$200 in currency has been converted to a \$200 increase in checkable deposits

Cathy Rogers deposits \$200 in currency in her checking account at a bank. This deposit is treated as: 1) A subtraction of \$200 from the money supply because the \$200 in currency is no longer in circulation 2) An addition of \$200 to the money supply because of the creation of a checkable deposit of \$200 3) An addition of \$200 to the money supply because the bank holds \$200 in currency and the checking account has been increased by \$200 4) No change in the money supply because the \$200 in currency has been converted to a \$200 increase in checkable deposits