Bank does not pay interest on the ___________ account.

recurring deposit

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fixed deposit

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savings

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current

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Solution

The correct option is C current
There are 4 types of bank accounts namely savings, current, fixed deposit and recurring account. Current account is the one which is used by the businessman to transact the day to day receipts and payments. These accounts are also provided overdraft or loan facilities to ensure smooth functioning of business. Since the amount kept in the account is fluctuating the time period for which it is kept is not ascertainable, no interest is given on the amount kept in current account.

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