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Class X Social Sciences

[papers from previous years]

Why do banks keep a small proportion of the deposits as cash
with themselves?

A. To extend loan
to the poor.
B. To extend loan
C. To pay salary to
their staff.
D. To pay the
depositors who might come to withdraw money.


To extend loan facility
0 0 0
(B) is the correct option
0 0 0
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