Question

Credit money depend upon--------
A. Primary deposit
B. Share
C. Capital market
D. all of above​

Answer 1

Answer:

I think,

Primary deposit.

is the answer.

Hope it helps you.

thanks.

Answer 2

Credit money depend upon primary deposit.

• Credit money represents the production of monetary assets by setting up potential claims, commitments or dues.

• To comply with the demands of its depositors, a bank retains a certain portion of its deposits as a minimum reserve and loans out the rest to generate revenue.
• The direct loan is properly transferred to the potential borrower's active account. An equal deposit in the bank is generated for any bank loan.
• Credit formation, therefore, implies the possible extension of bank deposits.