Explain the role of commercial bank in an economy!!

Q: What is the biggest challenge and/or the biggest opportunity in managing a bank now and into the…

A: Banks had every reason to believe that the decade following the global financial crisis would be…

Q: Which category of the money supply would you be contributing to if you invest in money market funds?…

A: Money supply can be defined as the total amount of money in circulation over a specific period of…

Q: can you find out major differences between large banks and small banks. Which have had higher ROAs?…

A: Following below are the major Differences between large bank and small banks: A. All those banks are…

Q: Which of the following is true about banks? Select one: a. Banks are financial institutions through…

A: Bank: It is an institution that allows people to deposit money into an account

Q: Discuss two (2) effects of co-existing with the conventional banks for the Islamic banks in a dual…

A: When we talk about islamic banks,these have customer support oriented system where profit and loss…

Q: Banks in the United States O are a critical intermediary between the borrower and saver. O allow…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: What is the definition of commercial bank ?

A: Commercial Bank is that institution of finance which are of three types: Public Banks- like State…

Q: What is a bond, James Bond? how is it related to personal checks

A: Bonds are one of the important income yielding financial assets in the economy and not James Bond…

Q: Identify the relationship between money, credit and financial institutions

A: Financial institutions are companies who deal with monetary and financial transactions like…

Q: In which way do commercial bank earn profit? By printing notes By charging more to lend money than…

A: A bank charges more interest on money lent and gives less interest on money borrowed. In this way a…

Q: 3. Please name three commercial banks. Why do banks need to hold sufficient capital and reserves?

A: A commercial bank is a financial institution that handles all deposit and withdrawal transactions…

Q: If in an economy bank rate is increased how will it affect the demand for credit? Explain

A: To prevent volatility, the basic goal of monetary policy is to maintain control over the money…

Q: The overall purpose of responsible' banks is to: O Transform deposits into loans O Make payments on…

A: Answer: The overall purpose of responsible banks is to transform deposits into loans. The main…

Q: 2. What is the significance role of financial institutions, is and how it operates? of understanding…

A: The business entities that tend to provide services as being intermediaries for various monetary…

Q: what it means for banks to engage in maturity transformation and what are the risks associated with…

A: A type of transformation whereby a bank or any similar institutions takes advantage of the upward…

Q: Identify which item is not one of the six parts of the financial system. Answer a. Credit cards b.…

A: A financial system is a group of institutions that authorize the exchanging of money, such as banks,…

Q: Suppose a bank has $15 million in savings deposits, $7 million in checking deposits, $27 million in…

A: The commercial banks accepts the deposits from the public who have more savings. They will be…

Q: What is a key advantage of money over other financial assets such as stocks, bonds, precious metals,…

A: One of the primary advantages of money over other financial assets is its universal acceptability.…

Q: How does the government in our country do the financial supervision Explain the steps of it and take…

A: Government alongwith central bank does financial supervision by conducting survey of financial…

Q: Should determining whether a bank has adequate capital be done internally or externally?

A: Capital adequacy for banks is important because it ensures that banks have enough capital to absorb…

Q: what is a real life example of a commercial bank

A: Commercial banks are the financial institutions which provide people with facility of loans and…

Q: What is the main difference between banks and other financial institution, how is it works?

A: Financial intermediaries helps in channelizing the funds from savers to borrowers. It acts as the…

Q: Suppose consumers lose their faith in the banking system, and decide to start stuffing their money…

A: A industry may be a group or network of institutions that provide financial services. The key styles…

Q: Purpose of Metro bank?

A: The banks are considered to be one of the most important entities in each economy's financial…

Q: Consider a bank that has made a large number of loans at a fixed interest rate of 4% and pays 3%…

A: Interest rate on loans = 5% Interest rate on deposits = 4% Net margin = 1%

Q: What is bank,types of banks ,functions of bank and how banks perform their functions & explain…

A: Banks financial institutions that manage the financial operations in the country through saving,…

Q: IS CRYPTOCURRENCY MONEY, WILL IT BECOME MONEY, & WHAT MAY BE THE EFFECT OF CENTRAL BANK DIGITAL…

A: Answer:-  ▪︎Cryptocurrency is a type of virtual money that consists of a collection of binary data…

Q: In some countries, governments and bank authoritiesadopt policies that impose restrictions on asset…

A: During absence of a safety net of government ,banks still would have the incentive to take upon too…

Q: BANKING IN A GLOBAL WORLD: HOW DO LARGE BANKS MAKE MONEY? Bank of America borrowed $80,000,000 at 5%…

A: Given : Loan 1 : 7% simple interest note for $38,000,000 Loan 2 : 8.2% Ample discount note for…

Q: Would the maximum amount of new bank loans that a commercial bank can make be different when…

A: A commercial bank refers to a financial institution that accepts deposits, offers to check accounts…

Q: discuss three ways in which banks are to make profit

A: ‘Commercial Banks’ are the financial institutes that mainly accepts deposits, gives loan and other…

Q: hold 100% of their deposits

A: 100% reserve system in which banks keep the total amount of each depositor’s funds in cash. This…

Q: 21. Who is the 'lender of the last resort' in the banking structure of India? A. O State bank of…

A: According to the given question the bank which is lender of last resort in the banking structure in…

Q: What are the main services provided by the banks in the Palestinian economy?

A: 17 banks operated in Palestine, ten were foreign bank and seven of them were locally owned.

Q: Please explain how capital protect a bank from failure?

A: A bank failure happens when an insolvent bank is closed by a federal or state regulator.The…

Q: What is the reserved requirement for Philippine Banks?

A: Reserved requirements refers to the proportionate amount of total deposits that a commercial bank is…

Q: What are the effective strategies to make the rural bank capable to pay-off a short and long term…

A: Rural bank: Rural banks are rural-based unit banking organizations that mobilize financial…

Q: Explain the role of capital in protecting a bank from insolvency.

A: Bank capital reduces risk by 1) absorbing losses in an accounting framework so that banks can remain…

Q: Give 3 reasons why Central Bank is the "lender of last resort"?

A: The central bank performs the function of the lender of last resort for commercial banks which…

Q: What are the benefits and costs for a bank when itdecides to increase the amount of its bank…

A: Banks are the financial institutions in the economy that help to channelize the deposits from the…

Q: Discuss the key. Concept of value creation in the context of banking

A: Hey champ,Welcome to this platform. Here you will get the answerok with better quality in…

Q: Should banks that have become “too big to fail” (meaning their collapsewould significantly damage…

A: Disruption of credit and banking relationships being engendered by bank failure might lead to…

Q: If rr = 25% and you withdraw $100, what happens to A the bank has zero excess reserves b. $50 in…

A: Financial institutions must maintain a certain amount of bank reserves to meet central bank…

Q: What is the maximum amount of new loans that this bank can make?

A: A bank can give loans to the public only after keeping some reserves out out total demand deposits.…

Q: Near moneys are  a. Paper money  b. Flat money  c. Highly liquid financial assets  d. Any…

A: Near money: - Near moneys are highly liquid financial assets other than cash, it is also known by…

Q: Would the maximum amount of new bank loans that a commercial bank can make be different when…

A: The discount window can be used to take loans from the federal reserve which can directly be…