Commercial banks - banking institutions, Finance Basics

Assignment Help:

Commercial Banks - Banking Institutions

These are financial institutions such accept deposits of money from the universal public, safeguard the deposits and create them available to their owners when necessitate arises.

Establishment

Established beneath the Banking Act , 1968.

Functions of Commercial Banks

1. Accepting deposits

2. Gathering money on behalf of customers and credit this money in customers' accounts

3. Transferring of money from individual accounts to the other person's accounts during credit transfer.

4. Supply currency - foreign currency obtainable on commercial bank.

5. Lending money, the banks lend loans to customers from that they earn interest.

6. Facilitate International Trade - issue letters of credit and undertake foreign replace transactions on behalf of their customers.

7. Act like executives and trustees of wills whether one wants to make a will he or she writes single and appoints a commercial bank like the executor and trustee of the bill.

8. Provision of safer maintains of valuables like title deeds, certificates and gold.

9. Creation decision affecting development. Before advancing loan to a prospective customer, commercial banks are extremely careful and strict hence like to provide loans to invest in viable sector of the economy.

10. Provision of saves for maintains money and other valuables over night.


Related Discussions:- Commercial banks - banking institutions

Determinants of working capital needs, Determinants of Working Capital Need...

Determinants of Working Capital Needs There are few factors that determine the firm's working capital needs. These factors are comprehensively enclosed with a Textbook of Busi

The lcm rule, Require  the relevant authoritative literature on the lower- ...

Require  the relevant authoritative literature on the lower- of- cost- or- market rule for valuing inventory using the FASB's Codification Research System. Clarify the circumstance

Describe briefly the term measures of variability, Question: (a) (i)...

Question: (a) (i) Define the term multicollinearity. (ii) Explain why it is important to guard against multicollinearity. (b) (i) Sometimes we encounter missing value

Merchant banks - banking institution, Merchant Banks - Banking Institution ...

Merchant Banks - Banking Institution Merchant Banks begun life as merchants and begun to control in financial firms, during the 19 th Century . The merchant banks act like a

Calculate the average daily stock cost, Question: Unsatisfactory contro...

Question: Unsatisfactory control of spare parts in a particular mechanical workshop is resulting in high carrying costs for some items and high stock-out costs for others. A st

Accounts receviable , sir could you please tel me what is A/R process.

sir could you please tel me what is A/R process.

internal rate of return, Internal Rate of Return, I am looking for assignm...

Internal Rate of Return, I am looking for assignment help on the topic Internal Rate of Return. It would be great if anyone help me.

State the generalised law of one price, Question: a) An oil well now pr...

Question: a) An oil well now produces 75000 barrels per year. The well will produce for 21 years more, but production will decline by 3.7% per year. Oil prices however, will in

Memo 1, Mr. de Ville, the owner of Tasman Ian de Ville Holdings Ltd. (TIDH)...

Mr. de Ville, the owner of Tasman Ian de Ville Holdings Ltd. (TIDH) has asked you to evaluate five investment projects. TIDH has a $10,000,000 investment budget, an investment hurd

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd