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How are commercial banks are funded? A. customer deposits B. stockholders C. government funding D. local taxes

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How are commercial banks are funded?
A. customer deposits
B. stockholders
C. government funding
D. local taxes

How are commercial banks are funded? A. customer deposits B. stockholders C. government funding D. local taxes

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YosefElite · Tutor for 8 years

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### A. customer deposits

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## Step 1: Understand the sources of funding for commercial banks<br />### Identify that commercial banks primarily get their funds from customer deposits, stockholders, government, and sometimes local taxes.<br />## Step 2: Examine each option in the context of common banking practices<br />### Customer deposits (A) are the primary source of funding. Stockholders (B) contribute through equity. Government funding (C) isn't a general source for commercial banks but rather for certain programs. Local taxes (D) are not used to fund commercial banks.
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