Explanation

• A walk-in customer uses banking services without holding an account.
• They can deposit or encash cheques, pay bills, or use teller services.
• Not a debtor or creditor, since no account is maintained.
• Common in daily banking for non-account holders.
• Helps banks serve occasional or temporary clients efficiently.

Last verified on 15-02-2026

Explanation

• A sub-branch provides basic banking services to customers.
• Functions include cash deposits and withdrawals, group lending, and handling remittances.
• Issuing a Letter of Credit (LC) is a complex trade finance function, done by main branches only.

Last verified on 15-02-2026

Explanation

• Agents act as intermediaries between banks and customers in branchless banking.
• Their main task is handling deposits (cash-in) and withdrawals (cash-out).
• They do not usually approve loans or make policies.
• Helps provide banking services in areas without physical branches.

Last verified on 15-02-2026

Explanation

• Branchless banking provides banking services without physical branches.
• It targets people in rural or remote areas without access to banks.
• Services are offered via mobile phones, agents, or ATMs.
• Helps increase financial inclusion and accessibility.

Last verified on 15-02-2026

Explanation

• Real interest rate shows the true return after accounting for inflation.
• Important for investors, savers, and lenders to know actual gains.

Additional information:

• Formula: Real Interest Rate ≈ Nominal Rate − Inflation Rate
• Example: If nominal interest is 10% and inflation is 4%, real interest = 6%.

Last verified on 15-02-2026

Explanation

• Real interest rate is the return after adjusting for inflation.
• Shows the true gain for investors or savers.
• Different from nominal interest rate, which ignores inflation.

Last verified on 15-02-2026

Explanation

Crypto trading is an investment activity, not a branchless banking service.

Branchless banking refers to banking without physical branches, using mobile phones, ATMs, agents, or the internet.

Explanation

Only a thumb impression is not accepted as a valid feature of a cheque.

A cheque is a negotiable instrument

That acts as an unconditional order to a bank to pay a specific amount of money.

For it to be legally valid and processed, the following features are mandatory: 

• Signature
• Date
• Amount in figures and words

Explanation

The accounting process of allocating the cost of intangible assets to expense over their useful life is called amortization. 

Purpose: It matches the cost of an intangible asset with the revenue it generates over time.

Explanation

Surplus: Income > Expenditure

• Example: Government collects $1000 in revenue, spends $900 → Surplus $100

Additional information:

• Deficit Budget: Expenditure > Income

Last verified on 18-01-2026