NCERT Solutions for Class 12 Macro Economics Banking

NCERT Solutions for Class 12 Macro Economics Banking

NCERT Solutions for Class 12 Macro Economics Banking is designed and prepared by the best teachers across India. All the important topics are covered in the exercises and each answer comes with a detailed explanation to help students understand concepts better. These NCERT solutions play a crucial role in your preparation for all exams conducted by the CBSE, including the JEE.

NCERT TEXTBOOK QUESTIONS SOLVED

Ans. Commercial bank is a financial institution which performs the functions of accepting deposits from the public and making loans and investments, with the motive of earning profit

Ans. When the primary cash deposit in the banking system leads to multiple expansion in the total deposits, it is known as money multiplier or credit multiplier.

Ans. The central bank is the apex institution of a country's monetary system. The design and the control of the country's monetary policy is its main responsibility. India's central bank is the Reserve Bank of India.

Ans. It is the rate of interest at which central bank lends to commercial banks without any collateral (security for purpose of loan).

Ans. Money supply will reduce.

Ans. It consists of buying and selling of government securities and bonds in the open market by central bank.

Ans. Cash Reserve Ratio refers to the minimum percentage of a bank's .total deposits, which it is required to keep with the central bank.

Ans. It refers to minimum percentage of net total demand and time liabilities, which commercial banks are required to maintain with themselves.

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