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Question
Commercial banks advance loans to business firms in the form of _______________.
A
Discounting of Bills
B
All of the above
C
Cash Credit
D
Overdraft
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Solution
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Correct option is D. All of the above Commercial banks provide short-term and medium-term loans in the form of cash credit, discounting of bills, overdraft facilities, etc. Firms of all sizes can approach commercial banks.
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