Question

1016
. What is bank rate? What are the effects of changes in bank rate?​

Answer 1

Answer:

Find the value of 'k'. If the co-ordinates of the points A(2, -2), B(-4, 2) and

C(-7, k) are collinear.

Answer 2

Answer:

Bank rate is the rate of interest at which a domestic or commercial bank is charged a loan by the central bank of a country. Whenever there is shortage of funds in a bank, it can borrow funds from the central bank based on the nation's monetary policy. The central bank offers a long - term fund to the bank in need.

A change in bank rate may positively or adversely affect a country's economy. It affects the customers as there will be a change in the interest rates of personal loans.