Home › Chartered Banker Uganda › Banking › Money and Banking › In a mortgaged house, the home itself is the ass…
In a mortgaged house, the home itself is the asset, while the mortgage is the:
ADividend
BReserve
CInterest
DLiability
Answer & Solution
Correct answer: D. Liability
1. It is what is owed.
2. It sits opposite the asset.
3. It is the liability.
_Source: OpenStax Principles of Economics 3e, Chapter 27, Money and Banking._
Related questions
A bank turns deposits into loans instead of merely storing them. In doing so it acts as anThe central bank of the United States, which regulates banks and runs monetary policy, is Across a whole banking system, the amount of money that can be created is worked out with When banks hold only the minimum reserves required, or barely more, the situation is calleSubtracting what is owed from the value of the assets gives the:On that layout, liabilities are shown on the right and assets on the:Because of its two-column shape, that statement is often nicknamed a:An accounting tool listing what a bank owns against what it owes is a: