golden rules of accounting?
how bank earn profit?
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Answer Posted / vinothkumar s.s.
The main function of banks are accepting deposits from
public and lending the same. The difference in rate of
interest for acquiring deposit and lending loan is called as
"spread" and the same is the main source of income for
banks. Bank also getting income by agency function like
collecting chq, follwing standard instruction and other
utility functions.
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