Question

Money is deposited with the bank for a fixed period under the:
(a) Saving bank account
(b) Current account
(c) Recurring deposit account
(d) Fixed Deposit account

Answer 1

Answer:

Fixed Deposit account

Answer 2

Answer:

The correct answer to the given question is option (d) Fixed Deposit Account

Explanation:

Fixed deposit account is that account in which a person or the customer of the bank opens an account with the bank in which that person deposits a fixed amount in the bank for a fixed period of time and after depositing that amount, the person can neither add more amount to the bank nor he can take out the deposited amount before the fixed date.

Taking out the fixed amount will result into breaking the fixed deposit period and will not provide the maximum profit to the customer.