needs to pay his debt. Which of the following statement best suites Mr. Ghazanfar?
► Mr. Ghazanfar earns good income
► Mr. Ghazanfar is a wealthy person
► All of the given options
► Mr. Ghazanfar has a lot of money at point in time
The Fed could make the market federal funds rate equal the target rate by which of the following?
► Mandating that all loans be transacted at the target rate
► Entering the federal funds market as a borrower and a lender
► Setting the discount rate below the federal funds rate
► Raising the required reserve rate
Which of the following technique is necessary for making profit in a bank?
► Interest rate on liabilities must be lower
► Interest rate on deposits must be higher
► Interest rate on deposits must be higher than the interest rate on the liabilities
► Interest rate on deposits must be lower than the interest rate on the liabilities
Among the liability side of the balance sheet of a central bank which of the following item represent the function of central bank as Banker's bank?
► Currency
► Reserves
► Deposits of the Government
► Loan to commercial bank
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