Which of the following is an asset of a bank and a liability for its customers?
A)deposits of its customers and loans to its customers
B)deposits of its customers but not loans to its customers
C)loans to its customers but not the deposits of its customers
D)neither the deposits of its customers nor the loans to its customers

Question

Quizplus · Accepted Answer

Loans to its customers are assets for the bank because they are expected to generate future income, while they are liabilities for customers as they have to repay them.

Which of the Following Is an Asset of a Bank