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Question
A bank is an institution which deals in money and _____________
(commodity money/credit/barter/standard money)
Solution
A bank is an institution which deals in money and credit.
Explanation:
A bank is a financial institution which deals in money matters and credit. The banks perform the primary functions of accepting deposits and through these, create credit by advancing loans. Thus, they not only deal in money matters such as depositing money but also create credit in the country.
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