A. maintaining a stable price in the economy
B. regulating monetary policies
C. granting loans to customers
D. issuing bank notes and coins
Correct Answer:
Option C – granting loans to customers
Explanation
The primary functions of a commercial bank are accepting deposits and also lending funds. Deposits are savings, current, or time deposits. Also, a commercial bank lends funds to its customers in the form of loans and advances, cash credit, overdraft and discounting of bills, etc.
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