Question : Which of the following is not a type of credit facility provided by banks?
Option 1: Overdraft facility
Option 2: Term loan facility
Option 3: Lease facility
Option 4: Cash credit facility
Correct Answer: Lease facility
Solution : The correct answer is (c) Lease facility
Lease facility is not typically considered a type of credit facility provided by banks. A lease is a financial arrangement where one party (lessor) allows another party (lessee) to use an asset in exchange for periodic lease payments. It is more commonly associated with leasing companies or specialized leasing institutions rather than traditional banks.
Question : Which of the following is a not part of advancing of loans?
Option 1: Cash credit
Option 2: Demand deposits
Option 3: Short term loans
Option 4: Overdraft facility
Question : Which of the following is a long-term source of finance?
Option 1: Trade credit
Option 2: Bank overdraft
Option 3: Debentures
Option 4: Factoring
Question : Commercial papers are short-term debt instruments issued by:
Option 1: Banks
Option 2: Central banks
Option 3: Corporations
Option 4: Mutual funds
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