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AssignmentMultiple Select

Banking and Financial Institutions

Question 2 • TX-Personal Financial Literacy and Economics

What are the most basic functions of a bank? Choose two correct answers.to encourage economic growth and low unemploymentto hold deposits in checking and savings accountsto make loans to individuals and businessesto maintain stable prices in the economyto monitor the money supply

Answer
A
to encourage economic growth and low unemployment
B
to hold deposits in checking and savings accounts
C
to make loans to individuals and businesses
D
to maintain stable prices in the economy
E
to monitor the money supply

Explanation

Banks provide basic financial services by holding customers’ money in checking and savings accounts, and by lending money to individuals and businesses. Encouraging economic growth, maintaining stable prices, and monitoring the money supply are broader economic or central-bank responsibilities, not the most basic functions of ordinary banks.

AI-written and checked against the verified answer.

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