CH.4 (Banking) with Complete Solutions.

Services correct answers Services are intangible in nature. They are neither manufactured, transported nor stocked. They cannot be stored for a future use hence they are produced and consumed simultaneously. Business Services correct answers Business cannot be operated in an isolated manner. It requires some activities which facilitate business to grow rapidly. _____________ ________________ are those services which help business to grow and help business to function seamlessly. Types: Banking Insurance Communication Transport Warehousing Banco correct answers The term 'bank' comes from the French word ______ which means bench. In earlier days, money- lenders used to display coins of different currencies in big heaps or benches or tables for the purpose of lending or exchanging. Meaning of Bank correct answers A _____ is a financial institution which deals with deposits and advances and other related services. ______ provides various services related to money or financial requirements of consumers. The Indian Banking Regulation Act, 1949 correct answers "any company which transacts the business of banking in India" and the word banking has been defined as "accepting for the purpose of lending or investment of deposits of money from public, repayable on demand or otherwise, and withdrawable by cheque, draft and order or otherwise. " Types of Bank correct answers Central Bank Commercial Bank Co-operative Bank Development Bank Exchange Bank Regional Rural Bank Savings Bank Investment Bank Specialized Bank Central Bank correct answers The _______ bank is the apex financial institution in banking industry in the country. Every country has their own ________ bank. In India, The Reserve Bank of India (RBI) is the central bank. The RBI was established in 1945 under the Reserve Bank of India Act, 1944. Some functions of RBI are as follows