Question 13 - MCQ Questions (1 Mark) - Chapter 3 Class 10 Economics - Money and Credit - Economics

Find the incorrect option from the following:

(A) Banks accept deposit and also pay an amount as interest.

(B) People's money is safe with banks.

(C) Banks provide loans only to profit-making businesses.

(D) It is easy for individuals to get credit who have savings and current account in the banks.

Answer:

So the correct answer is (C) - Banks provide loans only to profit-making businesses.

Explanation

Let’s check all the options:

• Option (A) - Banks accept deposits and also pay an amount as interest - This is a correct statement
• Option (B) - People’s money is safe with banks - This is a correct statement. 
• Option (C) - Banks provide loans only to profit-making businesses - This is an incorrect statement because banks provide loans to small-scale businesses and farmers too.
• Option (D) - It is easy for individuals to get credit who have savings and current accounts in the banks - This is a correct statement.