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Svetradugi [14.3K]
3 years ago
6

What is the difference between a commercial bank and a savings bank

Business
2 answers:
Andreas93 [3]3 years ago
3 0
The primary difference is the way each is regulated, which determines the type of banking products they offer. ... Both commercial banks and S&Ls also make loans to businesses and government agencies.
DerKrebs [107]3 years ago
3 0

Answer:

A commercial bank provides services such as accepting deposits, making business loans, and offering basic investment products that is operated as a business for profit.

A savings bank has a primary purpose which is accepting savings deposits and paying interest on those deposits.

Explanation:

Commercial banks are<u> owned and managed by a board of directors selected by stockholders</u>. Many commercial banks are <u>large, multinational corporations.</u>

S&Ls (Savings and Loan banks- just another name) are <u>owned and chartered differently</u> than commercial banks, and are <u>generally more locally oriented in terms of customers.</u>

By law, S&Ls <u>may lend up to 20% of their assets for commercial loans</u>, and only half of that can be used for small business loans. S&L <u>must be able to show that 65% of its assets are invested in residential mortgages and other consumer-related assets.</u>

Commercial banks do not have these types of limitations that S&L banks do.

Hope this helped :)

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A public good is A. any good provided by government. B. a good that can be most cheaply provided by government, though it may in
aleksklad [387]

Answer:

C. a good whose benefits cannot readily be restricted to a small group of people.

Explanation:

Factors of production can be defined as the fundamental building blocks used by individuals or business firms for the manufacturing of finished goods and services in order to meet the unending needs and requirements of their customers.

The four factors of production are;

I. Land: this refers to the natural resources and raw materials extracted from the ground or grown in the soil e.g oil, gold, rubber, cocoa, etc.

II. Labor (working): this is the human capital or workers who are saddled with the responsibility of overseeing and managing all the aspects of production.

III. Capital resources: it includes the physical assets used for production of goods and services such as equipment, money, plant, etc.

IV. Entrepreneurship: it is intellectual capacity required to drive a business and the skills to develop an idea into a money making venture (business).

These four (4) factors of production when combined effectively and efficiently are used for the manufacturing or production of goods and services that meets the unending requirements or needs of the consumers.

A public good is a good whose benefits cannot readily be restricted to a small group of people.

This ultimately implies that, a public good such as power utility (electricity) or water supply is capable of being provided simultaneously to the general public.

Furthermore, a public good is non-excludable and cannot be exhausted due to its use by the general public i.e it's never depleted.

8 0
3 years ago
After you open your new business is not the best time to
Reptile [31]
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hope this helps
7 0
3 years ago
Read 2 more answers
If an economy has just suffered a serious recession but real gdp is expanding once again, we can conclude the unemployment rate
Mnenie [13.5K]
<span>If an economy has just suffered a serious recession, we can conclude that the unemployment rate is high. After the recession when the real gdp is expanding, we can safely assume that more workers are needed to produce the gdp, which means that the unemployment rate will drop.</span>
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3 years ago
Bullseye, Inc.'s 2008 income statement lists the following income and expenses: EBIT = $707,000, Interest expense = $58,000, and
ololo11 [35]

Answer:

$1.15 per share

Explanation:

The computation of the earning per share is shown below:

Earning per share = Net income ÷ common stock outstanding shares

where,

Net income is

= EBIT - interest expense - taxes

= $707,000 - $58,000 - $224,000

= $425,000

And, the common stock outstanding shares is 370,000

So, the earning per share

= $425,000 ÷ 370,000 shares

= $1.15 per share

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3 years ago
If you were to buy a municipal bond for $100 and it returned 1% per year for four years how much interest would you have after f
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Answer:

$4

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Every year, the bond will make a year of 1% of 100.

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