What do banks do with the deposits?

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They lend money and earn interest on it.

They keep all deposits with themselves

They use it for their own expenses

They return it to the depositors

answer is A.

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Detailed Solution

The banks lend the deposits and earn interest on them.
Banks run through a mechanism. The most common feature of banks is accepting deposits and lending money. Depositors are the people who deposit their money at the bank, and borrowers are the people who borrow money from the banks to meet their expenses with a certain rate of interest.

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