In the context of T-Accounts, how does a bank manage its reserves when it processes a large deposit, considering both debits and credits?

When a bank processes a large deposit, it uses T-Accounts to manage its reserves effectively. A T-Account has two sides: debits on the left and credits on the right. When someone deposits money, the bank records this as a credit to the customer's account, increasing their balance, and simultaneously, it debits its reserves, showing that the bank has more money available. For example, if a customer deposits $10,000, the bank will credit the customer's account by $10,000 and debit its reserves by the same amount. This way, the bank keeps track of how much money it has and how much it owes to its customers, ensuring it maintains the right balance for future withdrawals and loans.