Two individuals, Alex and Ben, both hold accounts at the same bank. Initially, the bank's records show it has a liability of 100 units to Alex and a liability of 50 units to Ben. Alex then uses a banking app to make a payment of 30 units to Ben. Considering only this transaction, which of the following statements correctly analyzes the new state of the bank's liabilities?
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Economics
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Introduction to Macroeconomics Course
Ch.6 The financial sector: Debt, money, and financial markets - The Economy 2.0 Macroeconomics @ CORE Econ
The Economy 2.0 Macroeconomics @ CORE Econ
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Analysis in Bloom's Taxonomy
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When a customer uses a banking app to pay another customer at the same bank, the transaction is completed by the bank reducing its total assets to reflect the transfer of funds.