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Through the process of commerical banks...

Through the process of _ commerical banks are able to create credit, which is in far excess of the initial deposits.

A

Advancing of loans

B

Mona Creation

C

Accepting Deposits

D

None of the

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The correct Answer is:
b
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SANDEEP GARG-BANKING : COMMERCIAL BANKS AND THE CENTRAL BANK-MULTIPLE CHOICE QUESTIONS(MCQS)
  1. Name the credit control method which refers to difference between t...

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  2. This bank operates in public interest without any profit motive.

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  3. Through the process of commerical banks are able to create credit, ...

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  4. What will be the effect of increase in the 'Repo Rate' on the mone...

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  5. The ratio of total deposits that a commercial bank has to keep wit...

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  6. Banks create credit :

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  7. If the total deposits created by commercial banks is ₹ 1000 crores an...

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  8. Which of the following will increase the money supply ?

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  9. What is the other name for 'Money Multiphlier ?

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  10. In order to reduces credit in the country ,RBI may:

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  11. The one rupee note and coins are issued by :

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  12. Which of these is not a function of central bank ?

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  13. Other name for legal reserve requirement is

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  14. Which of the following is not the function of the Central Bank ? (Ch...

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  15. refer to those deposits in which amount is deposited with bank for...

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  16. Which of the following instrument cannot be used by Central Bank to...

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  17. Which bank controls the banking and monatry structure of India ?

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  18. What is the value of money multiplier when initial deposits ₹500c...

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  19. What happen where there is an increase in the margine reuirements ?

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  20. Which institution (s) perforem the activity of credit creation ?

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