b)making loans at a lower interest rate than the rate that they offer on their deposits.
c)charging an interest rate on their depositors' accounts.
d)making loans at a higher interest rate than the rates that they offer on their deposits.
e)not paying interest on their reserves.
The answer has traditionally been "d", but today's banks make their money charging their customers fess out the wazoo.
Banks earn profit by taking interest when people borrow money.
It's d) but I would like to suggest another answer.
f) stealing from the people
D.
