It is a method by which banks borrow from each other to be able to maintain the cash reserve ratio.Answer choicesSelect only one optionREVISITCommercial papersTreasury billDebenturesCall money
Question
It is a method by which banks borrow from each other to be able to maintain the cash reserve ratio.Answer choicesSelect only one optionREVISITCommercial papersTreasury billDebenturesCall money
Solution
The correct answer is Call money. This is the method by which banks borrow from each other to be able to maintain the cash reserve ratio.
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It is used as an alternative to bank borrowing for large and creditworthy companies,Answer choicesSelect only one optionREVISITCommercial papersTreasury billDebenturesCall money
It is an instrument of short-term borrowing by the Government of India maturing in less than one year. (a) l (b) (c) (d) None of the aboveAnswer choicesSelect only one optionREVISITCommercial bilTreasury billCall moneyShares
Reserves of cash kept with itself by a bank to meet its payment requirements is called
The Federal Reserve mandates that banks must keep a certain percentage of money on hand at particular times. What is this referred to as?Multiple Choicereserve requirementmandated moneyM1ratio of reservationM3
Refers to a lump sum of money that a borrower borrows from a bank and agrees to repay over a specific period of time.
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