Economics · Banking and Finance
What is the meaning of derivative deposits?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Deposits created out of loans extended by a bank to its customers✓
- 2Cash deposited in a bank by another commercial bank
- 3Deposits created out of loans obtained by a commercial bank from the RBI
- 4Cash deposited in a bank by an employee of a business firm
Correct answer
Deposits created out of loans extended by a bank to its customers
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