BAFM 103 Quiz 3

They accept deposits, allow withdrawals, offer checking account and loan services, and have products like savings accounts and certificates of deposit. Both individuals and organizations are the usual customers of such banks.

• Commercial Banks

• Universal Banks

• Rural Banks

• Cooperative Banks

They have the functions of commercial banks and investment houses.

• Commercial Banks

• Universal Banks

• Rural Banks

• Cooperative Banks

The minimum capitalization of a universal bank's head office is

• P 2.00 billion

• P 3.00 billion

• P 6.00 billion

• P 15.00 billion

These banks are tasked with providing basic financial services to residents especially of agricultural communities. These are meant to help promote and expand the local economy in an orderly and effective manner.

• Thrift Banks

• Rural Banks

• Cooperative Banks

• Universal Banks

These banks function to offer mortgages at lower cost and savings accounts that pay a higher rate of interest in comparison to national and international banking institutions

• Rural Banks

• Cooperative Banks

• Thrift Banks

• Universal Banks

These are banks that are organized or owned by federation or association.

• Commercial Banks

• Cooperative Banks

• Rural Banks

• Thrift Banks

Banks provide all of the following EXCEPT

• Debit cards

• Check writing services

• Loans

• Government subsidies

Following are true about Islamic Bank, EXCEPT

• Islamic Bank does not charge interest to their customer

• Islamic Bank apply the 'aqad' concept'

• Islamic Bank offer different banking business than the conventional one

• Islamic Bank charge fee on their services

Following are true about Al-Mudharabah and Al-Musyarakah EXCEPT

• Al-Mudharabah is not a partnership

• Both share their profit

• In Al-Musyarakah, loss will be borne by both of the parties

• Both principle share their loss between the parties

Commercial banks earn money in all of the following EXCEPT:

• Investing in other companies

• Charging fees for their services

• Taking a percentage off of all deposits

• Collecting interest on loans