Advertisements
Advertisements
Question
Public deposits are a source of long-term finance.
Options
True
False
Solution
This statement is False.
Explanation:
Public deposits are generally a source of short-term or medium-term finance. Companies use them to raise funds from the public for a fixed period, usually up to 3 years, making them unsuitable for long-term financing.
APPEARS IN
RELATED QUESTIONS
Draft a Letter to the depositor informing him/her about payment of interest.
Select the proper option from the option given below and rewrite the sentences:
Company can accept deposits from public, maximum for _____ months.
Write notes on (Any Three)
Repayment of Deposits.
Explain the features/ Advantages of deposits or Public Deposits.
Multiple Choice Question:
Public deposits are deposits that are raised directly from
State the merits and demerits of public deposits and retained earnings as methods of business finance.
A public deposit is a deposit made by public in the nationalised banks.
What are public deposits?
Discuss the importance of public deposits as sources of medium and short-term finance.
Describe the disadvantages of public deposits.
