Question

Which type of function of banks is 'Accepting deposit'? (1)
(a) Primary function (b) Secondary function (c) Social function (d) None of the above

Answer 1

Answer:

False.

A commercial bank is a financial institution which performs two primary functions that includes accepting deposits from people by providing them a nominal rate of interest on it and offering secured loan for the purpose of consumption and investment by charging high rate of interest on it.