5 Questions
What is the primary function of a bank?
Accepting deposits and making loans
What is fractional-reserve banking?
A system where banks hold liquid assets equal to only a portion of their liabilities
What are banks generally subject to in order to ensure stability?
Minimum capital requirements based on international standards
Where did banking in its modern sense evolve?
Renaissance Italy
What is the oldest existing retail bank?
Banca Monte dei Paschi di Siena (founded in 1472)
Test your knowledge about the functions and regulations of banks and financial institutions, including lending activities, deposits, and fractional-reserve banking.
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