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UNO [17]
3 years ago
5

17)

History
1 answer:
STALIN [3.7K]3 years ago
7 0

Banks and other financial institutions use savings deposits to help borrowers by  using deposits to make loans.

Answer: Option A

<u>Explanation:</u>

  • The two important functions of a bank are to lend loans and accept deposits. Bank accepts deposits from people for which interest is provided to them.
  • With loans being one the core functions of a bank, these loans are given to borrowers through the deposits made by the people.
  • This is done to ensure that the cycle of cash and money is maintained in the economy. Based on the need and requirements, the cycle is accelerated or slowed down.
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