Demand deposits in a commercial bank are considered part of the bank's
A) assets.
B) liabilities.
C) net exposure.
D) ordinary ratio.
E) fractional multiplier.

Question

Quizplus · Accepted Answer

Demand deposits are funds held in a bank account that can be withdrawn by the depositor on demand. Since the bank owes these funds to their depositors, they are considered a liability of the bank.

Demand Deposits in a Commercial Bank Are Considered Part of the Bank's