One profitable form of business undertaken by the commercial banks is
ECONOMICS
WAEC 2011
One profitable form of business undertaken by the commercial banks is
- A. the issuing of cheques
- B. the payment of standing order
- C. lending money to borrowers
- D. accepting cheques from customers
Correct Answer: C. lending money to borrowers
Explanation
Lending money to borrowers is one profitable business undertaken by the commercial banks. These banks lend money to borrowers and charge interest for the amount lend for the duration of the loan. The interest paid by borrowers is the lender's (bank) is the profit.
Post an Explanation Or Report an Error
If you see any wrong question or answer, please leave a comment below and we'll take a look. If you doubt why the selected answer is correct or need additional more details? Please drop a comment or Contact us directly. Your email address will not be published. Required fields are marked *