UPSC CSE Prelims
Question 34
Which of the following is not included in the assets of a commercial bank in India?
View correct answer and explanation
Correct answer: B
Correct Option: B
Explanation:
For a commercial bank, deposits owed to customers are liabilities, while loans, investments and interbank call money lent appear on the asset side of its balance sheet.
Option-wise Analysis:
A (Incorrect): Advances are loans to borrowers and therefore bank assets.
B (Correct): Correct choice for “not included”-customer deposits are the bank’s liabilities.
C (Incorrect): Securities and other investments are assets.
D (Incorrect): Money lent at call or short notice is an interbank asset.