Ask Question
BusinessBusiness
19 October, 13:04

Where do banks get money to lend to borrowers?

the bank's management

shareholders

the government

depositors

+5
Answers (1)
  1. 19 October, 13:24
    0
    As mentioned before, banks basically make money by lending money at rates higher than the cost of the money they lend. More specifically, banks collect interest on loans and interest payments from the debt securities they own, and pay interest on deposits, CDs, and short-term borrowings.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Where do banks get money to lend to borrowers? the bank's management shareholders the government depositors ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
El tapitio purchased restaurant furniture on september 1, 2018, for $45,000. residual value at the end of an estimated 10-year service life is expected to be $6,000.
Answers (1)
One disadvantage of a direct democracy might be
Answers (1)
In the United States, where land is cheap, the ratio of land to labor used in cattle raising is higher than that of land used in wheat growing.
Answers (1)
Ethical wrong is done either by intending to deceive consumers in order to manipulate their buying behavior, treating them as a mere means to one's own ends (the Kantian approach) or by the harmful consequences for consumers, competitors and overall
Answers (1)
A university has just hired additional faculty and staff. Who of the following is most likely to earn the highest pay?
Answers (1)
New Questions in Business
Hannah Roberts owns and operates Hannah's Pool Service Company. On January 1, Hannah Roberts, Capital had a balance of $309,170. During the year, Hannah invested an additional $22,040 and withdrew $39,010.
Answers (1)
Q: Lisa sells 10 bottles of homemade ketchup for $10 each. The cost of the ingredients, the bottles, and the labels was $70. In addition, it took her 2 hours to make the ketchup and to do so she took time off from a job that paid her $10 per hour.
Answers (1)
The following information was available to the accountant of Scarlet Co. when preparing the monthly bank reconciliation: Cash balance per bank statement $ 1,115 Cash balance per books (prior to reconciliation) 842 Outstanding check #643 642
Answers (1)
Your business plan is a
Answers (1)
Coupons and sales are frequently used marketing tactics for which form of competition?
Answers (1)
Home » Business » Where do banks get money to lend to borrowers? the bank's management shareholders the government depositors
Sign Up Forgot Password?