ECONOMICS
MONEY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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they are available whenever the depositor demands them by writing a check
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they are not liquid
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they are usually in great demand
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they are held without interest by the bank
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Detailed explanation-1: -The account holder simply walks up to the teller or the ATM-or, increasingly, goes online-and withdraws the sum they need; as long as the account has that amount, the institution has to give it to them. The money is available “on-demand"-hence, the name “demand deposit” for this sort of account.
Detailed explanation-2: -These are the amounts held in checking accounts. They are called demand deposits or checkable deposits because the banking institution must give the deposit holder his money “on demand” when a check is written or a debit card is used.
Detailed explanation-3: -Demand deposit account definition A demand deposit account is another term for a checking, savings or money market account. Money in these accounts is highly liquid, and you’ll be able to withdraw funds at any time without paying the bank a penalty.