Commercial bank - SS2 Commerce Past Questions and Answers - page 1
Which type of customers do commercial banks primarily serve?
Individuals
Businesses and corporations
Government agencies
What is one of the primary functions of commercial banks?
Providing loans and credit facilities
Offering legal advice
Managing real estate properties
What is the purpose of an overdraft facility provided by commercial banks?
It allows customers to withdraw money without any limits.
It allows customers to earn interest on their deposits.
It allows customers to spend more money than what is currently in their account.
It allows customers to spend more money than what is currently in their account.
Which of the following is not a function of commercial banks?
Accepting deposits
Providing insurance services
Facilitating payments and transfers
Who typically pays interest on a loan from a commercial bank?
The bank
The shareholders of the bank
The borrower
State one function of commercial banks
One function of commercial banks is to provide loans and credit facilities.
What is an overdraft facility provided by commercial banks?
An overdraft facility allows customers to spend more money than what is currently in their account, subject to certain limits and interest charges.