The bank's deposit source of funds that typically represents the deposits of regular bank customers, such as business firms, government units and households, is categorized as:
A) demand deposits
B) core deposits
C) purchased deposits
D) time deposits

Question

Quizplus · Accepted Answer

Core deposits typically represent the stable and less expensive source of funds for banks, which come from the bank's regular customers, including businesses, government entities, and households. These deposits are considered stable because they are less likely to be withdrawn in bulk on short notice, making them a reliable source of funding.

The Bank's Deposit Source of Funds That Typically Represents the Deposits