Commercial Bank Functions Quiz
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Questions and Answers

What is the primary function of a commercial bank?

  • Buying and selling foreign exchange and offering online banking
  • Accepting deposits and advancing loans (correct)
  • Issuing credit cards and processing tax payments
  • Selling treasury bonds and providing housing loans

    • Which product contributes the largest portion of a commercial bank's deposit bulk?

  • Demand deposit
  • Checking account
  • Savings account (correct)
  • Time deposit

    • What is an example of an agency function of a commercial bank?

  • Issuing credit cards
  • Providing housing loans
  • Offering online banking services
  • Buying and selling foreign exchange (correct)

    • Which service is NOT typically offered by a commercial bank?

    <p>Selling treasury bonds</p> Signup and view all the answers

    What is an example of a remittance service provided by a commercial bank?

    <p>Inward/outward transaction banking</p> Signup and view all the answers

    What is the primary source of interest income for a commercial bank?

    <p>Interest from credit card loans</p> Signup and view all the answers

    Which product contributes the smallest portion of a commercial bank's deposit bulk?

    <p>Demand deposit</p> Signup and view all the answers

    Which service is NOT typically offered by a commercial bank?

    <p>Stock trading</p> Signup and view all the answers

    What is an example of a short-term loan provided by a commercial bank?

    <p>Revolving promissory notes line</p> Signup and view all the answers

    What function allows banks to receive commission fees?

    <p>Buying/selling of FX</p> Signup and view all the answers

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