Financial Markets - Recap on Commercial Banks

Which bank's logo is this?

• Coutts

• Rothschild

• Lloyds

• Barclays Investment

Which of these is not a function of retail banks?

• Accepting deposits

• Lending to economic agents

• Investing money

• Providing efficient and secure means of payment

How do retail banks make a profit?

• Having a high positive spread

• Having a high negative spread

• Having a small negative spread

• Having a small positive spread

Which is of these is not a way in which retail banks raise finance?

• Customers’ deposits

• Wholesale deposits

• Retail deposits

• New share capital

• Debt via corporate bonds

Which of the following is an asset?

• Share Capital

• Advances

• Long Term Borrowing

• Retained profit

Which of the following is a liability on a retail bank's balance sheet?

• Deposits

• Cash

• Bills

• Investments