WAEC Economics 2016 Question 38

Question 38

Financial Institutions

Which of the following financial institutions cannot be found on the capital market of a country?

  1. A.Commercial bank
  2. B.Mortgage bank
  3. C.Stock exchange
  4. D.Agricultural bank
Show the answer and explanation

Answer: A (Commercial bank)

Explanation

Commercial banks deal mainly in short-term funds (money market); mortgage and agricultural banks give long-term loans.