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Which of the following is not a function of a commercial bank? - Economic Applications

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Question

Which of the following is not a function of a commercial bank? 

Options

  • Accepting deposits from public

  • Note issue

  • Giving loans

  • Credit creation 

MCQ
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Solution

Note issue

Explanation:

The function of note issuance is not performed by commercial banks; it is the responsibility of the central bank. 

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Functions of a Central Bank
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Chapter 9: Central Banks - QUESTIONS [Page 212]

APPEARS IN

Goyal Brothers Prakashan Economic Applications [English] Class 10 ICSE
Chapter 9 Central Banks
QUESTIONS | Q 9. | Page 212
Goyal Brothers Prakashan Economics [English] Class 10 ICSE
Chapter 8 Central Bank
Exercise | Q 9. | Page 157

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