Thursday, 14 March 2013

1.  Which of the following statements is true?
(1) Banks cannot accept demand and time deposits from public
(2) Banks can accept only demand deposits from public
(3) Banks can accept both demand and time deposits from public
(4) Banks can accept both demand and time deposits from public
(5) Banks can accept demand and time deposits only from government


2.  Which of the following is the correct statement?
(1) State Bank of India is the sole authority to issue and manage currency in India
(2) A nationalized bank is the sole authority to issue and manage currency in India
(3) A cooperative bank is the sole authority to issue and manage currency in India
(4) RBl is the sole authority to issue and manage currency in India
(5) None of the above                                                       


3. Interest payable on savings bank accounts is
(1) not regulated by RBI
(2) regulated by Sate Governments
(3) regulated by Central Government
(4) regulated by RBI   (5) regulated by Finance Minister


4. The usual deposit accounts of banks are
(1) current accounts, electricity accounts and insurance premium accounts
(2) current accounts post office savings bank accounts and term deposit accounts
(3) loan accounts, savings bank accounts and term deposit accounts
(4) current accounts, savings bank accounts and term deposit accounts
(5) current bill accounts and term deposit accounts


5. Fixed deposits and recurring deposits are
(1) repayable after an agreed period
(2) repayable on demand
(3) not repayable
(4) repayable after death of depositors
(5) repayable on demand or after an agreed period as per bank’s choice


6.  Accounts are allowed to be operated by cheques in respect of
(1) both savings bank accounts and fixed deposit accounts
(2) savings bank accounts and current accounts
(3) both savings bank accounts and loan accounts
(4) both savings bank accounts and cash accounts only
(5) both Current accounts and fixed deposit accounts

7.  Which of the following is correct statement?
(1) Normally no interest is paid on current deposit accounts
(2) Interest is paid on current accounts at the same rate as term deposit accounts
(3) The rate of interest on current account and savings account are the same
(4) No interest is paid on any deposit by the bank
(5) Savings deposits are the same as current deposits


8. Mortgage is a
(1) security on movable property for a loan given by a bank
(2) security on immovable property for a loan given by a bank
(3) concession on immovable property for a loan given by a bank
(4) facility on immovable property for a loan given by a bank
(5) security on immovable property for a deposit received by a bank


9.  Which of the following is known as cross selling by banks?
(A) Sale of a debit card to a credit card holder.
(B) Sale of Insurance policy to a depositor.
(C) Insurance of cash against cheque presented by a third party.
(1) Only (A) (2) Only (B) (3) Only (C)
(4) Both (A) and (C)  (5) All (A), (B) and (C)


10.  Financial inclusion means provision of
(1) financial services namely, payments, remittances,  savings, loans and insurance at affordable
      cost to persons not yet given the same
(2) ration at affordable cost to persons not yet given the same
(3) house at affordable cost to persons not yet given the same
(4) food at affordable cost to persons not yet given the same
(5) education at affordable cost to persons not yet given the same

 11.  When a bank returns a cheque unpaid, it is called
(1) payment of the cheque
(2) drawing of the cheque
(3) canceling of the cheque
(4) dishonour of the cheque
(5) taking of the cheque

12. NEFT means
(1) National Electronic Funds Transfer system
(2) Negotiated Efficient Fund Transfer system
(3) National Efficient Fund Transfer solution
(4) Non Effective Fund Transfer system
(5) Negotiated Electronic Foreign Transfer system


13.  Upper limit prescribed for RTGS transaction is
(1) Rs. 1 lac (2) Rs. 2 lacs
(3) Rs. 5 lacs (4) Rs. 50 lacs
(5) No upper limit is prescribed


14.  Distribution of insurance products and insurance policies by banks as corporate agents is known as
(1) General Insurance  (2) Non-life Insurance
(3) Bancassurance (4) Insurance Banking
(5) Deposit Insurance


15.  In order to attract more foreign exchange the Government of India decided to allow foreign
investment in LLP firms. What is full form of ‘LLP’ as  used in this reference?
(1) Local Labour Promotion
(2) Low Labour Projects
(3) Limited Loan Partnership
(4) Longer Liability Partnership
(5) Limited Liability Partnership
16.  Interest on Saving bank account is now calculated by  banks on
(1) minimum balance during the month
(2) minimum balance from 7th to last day of the month
(3) minimum balance from 10th to last day of the month
(4) maximum balance during the month
(5) daily product basis


17. Largest shareholder (in percentage shareholding) of  a nationalized bank is
(1) RBI  (2) NABARD (3) LICI
(4) Government of India
(5) IBA


18.  When the rate of inflation increases
(1) purchasing power of money increases
(2) purchasing power of money decreases
(3) value of money increases
(4) purchasing power of money remains unaffected
(5) amount of money in circulation decreases


19.  A centralized databases with online connectivity to branches, internet as well as
      ATM-network which   has been adopted by almost all major banks of our country is own as
(1) Investment Banking  (2) core Banking
(3) Mobile Banking (4) National Banking
(5) Specialized Banking


20. The Unit Trust of India came into existence in
(1) 1960      (2) 1962   (3) 1964     (4) 1966   (5) 1968
1.  Which of the following is example of financial assets?
(1) National Saving Certificates
(2) Infrastructure Bonds (3) Indira Vikas Patra
(4) Krishi Vikas Patra (5) All of the above


22.  Capital market is a market which deals in
(1) short-term funds  (2) long-term funds
(3) gilt-edge securities   (4) All of the above
(5) None of the above


23.  Regional Rural Banks fall within supervisory purview of
(1) SBI  (2) RBI (3) SEBI 
(4) IRDA (5) None of these


24.  IRDA with its headquarters at ……… is the regulatory authority for all insurance companies in
India including the Life Insurance Corporation of India.
(1) Hyderabad  (2) Bengaluru (3) Mumbai 
(4) Delhi (5) Chandigarh


25. Mutual Funds fall within 7 supervisory purview of
(1) SBI  (2) RBI (3) SEBI
(4) IRDA (5) None of these


26.  Which of the following does not come under the category of Development Banks?
(1) Industrial Development Bank of India
(2) Small Industries Development Bank of India
(3) Industrial Investment Bank of India
(4) State Finance Corporation
(5) Export-import Bank


27.  Main financial instruments of corporate sector are
(1) Shares (ii) Debentures (iii) Public Deposits
(iv) Loan from Institutions
Select the correct answer by using of the following codes
(1) i and ii  (2) ii and iii (3) iii and iv
(4)1, ii and iv (5) All I, ii, iii and iv


28.  Financial institutions
(1) promote savings (2) mobilise savings (3) allocate savings among different users
(4) All of the above (5) None of the above


29.  Which of the following is not an / example of  primary securities?
(1) Bills  (2) Bonds (3) Shares
(4) Book debts (5) New currency


30. Indian Financial System / comprises of
(1) Scheduled Commercial Banks
(2) Non-banking Financial Institutions
(3) Urban Cooperative Banks
(4) All of the above (5) None of the above


31. The Bombay Stock Exchange was 7 made functional as  early as
(1) 1870  (2) 1901 (3) 1935
(4) 1951 (5) 1949

32.   The Unit Trust of India come into existence in
(1) 1964  (2) 1970 (3) 1975
(4) 1980 (5) 1982


33. 19 July 1969, how commercial Banks were nationalised?
(1) 13  (2) 14        (3) 15    (4) 16    (5) 20


34.  New Private Banks are being given licenses since
(1) 1991  (2) 1992 (3) 1993
 (4) 1995 (5) 2001


35.  The gilt-edged market refers to the market for
(i) Government securities
(ii) Semi-government securities
(iii) Corporate securities
Select the correct answer
(1) only i  (2) i and ii (3) ii and iii
(4) i, ii and iii (5) only iii


36.  First share market in India established in
(1) Delhi  (2) Mumbai (3) Kolkata
(4) Chennai (5) None of these


37.  Consider the following statements:
(i)  Securities that have an original maturity that is greater       than one year are traded in capital markets.
(ii) The best known capital market securities are stocks       and bonds.
Select the correct answer
(1) (i) is true and (ii) is false   (2) (i) is false and (ii) is true
(3) Both are true                   (4) Both are false
(5) None of the above


38.  Consider the following statements:
(i) Securities that have an original maturity that is greater      than one year are traded in money markets.
(ii) The best known money market securities are stocks       and bonds.
(1) (i) is true and (ii) is false  (2) (i) is false and (ii) is true
(3) Both are true                  (4) Both are false
(5) None of the above


39.  The primary issuers of capital market securities  include
(1) the Central Government   (2) the local Government
(3) corporations
(4) the Central and Local Governments and corporations
(5) Local Government and corporations


40.  Which of the following is a / characteristic of a capital market instrument?
(a) Liquidity (b) Marketability
(3) Long maturity (4) Liquidity premium
(5) All of the above


41.  Which one of the following is a capital market instrument?
(1) A Treasury bill
(2) A negotiable certificate of depos
(3) Commercial paper
(4) All of the above (5) None of the above


42.  T-bills are financial instruments initially sold by  ________ to raise funds.
(1) Commercial Banks (2) the government
(3) corporations
(4) agencies of the State Government
(5) None of the above


43.  Commercial paper is a short-term security issued by  ________ to raise funds.
(1) the Reserve Bank of India
(2) Commercial Banks
(3) large and well-known companies
(4) National Stock Exchange
(5) State and Local Governments


44.  Which of the following statements is true regarding  a corporate bond?
(1) A corporate callable bond gives the holder the right to exchange it for a specified number of the company’s common shares
(2) A corporate debenture is a secured /‘ bond
(3) A corporate indenture is a secured bond
(4) A corporate convertible bond gives the holder the right to exchange the bond for a specified number of the  company’s common shares
(5) Holders of corporate bonds have voting rights in the company


45.  Which one of the following is not a money market instrument?
(1) A Treasury bill   (2) A negotiable certificate of deposit
(3) Commercial paper   (4) Treasury bond   (5) Repo

46. Money lend for 15 days or more in Inter-bank market  is called
(1) call money  (2) notice money
(3) term money  (4) All of these
(5) None of these


47. Money lent for one day is called
(1) call money  (2) notice money
(3) term money  (4) All of these
(5) None of these


48. Specified interest rate on a fixed maturity security  fixed at the time of issue is called
(1) market rate of interest (2) call rate
(3) repo rate (4) coupon rate
(5) discount rate


49.  Lending of scheduled Commercial Banks, on a  fortnightly average basis, should not
      exceed   — of their capital fund.
(1) 25 per cent  (2) 35 per cent
(3) 15 per cent  (4) 50 per cent
(5) None of these


50.  A short-term credit investment created by a non- financial firm and guaranteed by a bank to make  payment is called
(1) bankers acceptance market
(2) collateral loan market (3) treasury bill market
(4) call money market (5) repo market
51.  Money market securities are
(1) short-term  (2) low risk
(3) very liquid (4) All of the above
(5) 1 and 2


52. Money market instruments
(1) are usually sold in large denominations
(2) have low default risk
(3) mature in one year or less
(4) are characterized by all of the above
(5) are characterized by 1 and 2


53. Which of the following statements about the money  market are true?
(1) Not all Commercial Banks deal for their customers in the secondary market
(2) Money markets are used extensively by businesses both to warehouse surplus funds and
     to raise short-term funds
(3) The single most influential participant in the US money  market is the US Treasury Department
(4) All of the above are true
(5) 1 and 2 of the above are true


54.  In the term repo, the term of the loan is greater than
(1) 30 days  (2) 20 days (3) 60 days
(4) 90 days (5) None of these


55. The money market in India consists of two sectors
  namely, the organised and the unorganised sector.  Which of the following do not fall under unorganised  sector?
(1) RBI, Commercial Banks and SBI
(2) LIC and GIC (3) Unit Trust of India
(4) Indigenous Banks (5) None of the above


56.  Money lent for one day in the money market is known  as
(1) Notice Money  (2) Call Money
(3) Term Money (4) All of the above
(5) None of the above


57. Money lent for more than one day but less than 15  days in the money market is known as
(1) Notice Money   (2) Call Money
(3) Term Money  (4) All of the above
(5) None of the above


58.  Money lent for 15 days or more in inter-bank market is  called
(1) Notice Money   (2) Call Money
(3) Term Money (4) All of the above
(5) None of the above


59.  Government security that is a claim on the government  and is a secure financial instrument which guarantees  of both capital and interest is called
(1) Coupon security (2) Gilt-edged security
(3) Corporate security  (4) All of the above
(5) None of the above
60.  Which of the following types of institutions are operate  in the call  money market only as lender?
(1) Commercial Banks (2) Primary Dealers
(3) Insurance companies (4) SBI
(5) None of the above


61.  As per prudential norms of RBI, lending of Scheduled  Commercial Banks, on a fortnight average basis,  should not exceed…….. per of their capital fund.
(1) 25       (2) 30        (3) 35   (4) 15    (5) 20


62. The market for bankers acceptance which or out of  trade transactions,  both domestic and foreign, is called
(1) Mohey market (2) Capital market
(3) Bankers acceptance market (4) Repo market
(5) Government security market


63. An unsecured loan extended by one corporate to        another is called
(1) Commercial papers (2) Treasury bill
(3) Inter-corporate deposits (4) Certificates of deposits
(5) All of the above

 64.  Interest is calculated on actual/365 days basis respect  of the following products, except one
(1) Call money (2) Notice money
(3) Term money (4) GOI dated securities
(5) None of the above


65.  An institution which accepts deposits, makes  business loans, and offers related services is called
(1) Saving Bank (2) Commercial Bank
(3) Investment Bank (4) Development Bank
5) Central Bank


66.  A bank which acts as a banker of other banks is called
(1) Saving Bank (2) Commercial Bank
(3) Investment Bank (4) Development Bank
(5) Central Bank


67.  Which of the following is/are the function(s) of  Exchange Banks?
(i) Remitting money from one country to another country.
(ii) Discounting of foreign bills.
(iii) Buying and selling gold and silver
(iv) Helping Import and Export Trade.
Select the correct answer
(1) i and ii  (2) ii and iii (3) iii and iv 
(4) i, ii and iii (5) All i, ii, iii and iv -


68.  Consumer banks are usually found in
(1) India and Pakistan  (2) India and UK
(3) USA and Germany (4) China and Russia 
(5) India and China


69  A bank account in which a depositor can deposit his  funds any number of times he likes and can also  withdraw the same any  number of times he wishes  is called
(1) Fixed Deposit Account (2) Saving Account
(3) Current Account (4) Recurring Account 
(5) Demat Account
 70.  Under which type of account a specified amount is   deposited every month for a specific period, say, 12,   24, 36 or 60 months?
 (1) Fixed Deposit Account (2) Saving Account
 (3) Current Account (4) Recurring Account
 (5) Demat Account


71.  An inter-bank funds transfer system, where funds are   transferred as and when the transactions are    triggered, is called
 (1) Internet Banking (2) Mobile Banking
 (3) Bill Payment Service
 (4) Real time Gross Settlement (5) None of the above


 72.  Which of the following is a primary function of    banks?
 (1) Collection and payment of cheques, rent, interest, etc      on behalf of their customers
 (2) Buying, selling and keeping in safe custody, the          securities on behalf of their customers
 (3) Acting as trustees and executors of the property of        their customers on their advice
 (4) Remitting money from one place to the other through       bank drafts or mail or telegraphic transfers
 (5) Accepting deposits


73.  The operative guidelines for banks on Mobile    Banking Transactions in India were issued in
 (1) 2008  (2) 2009 (3) 2010 
 (4) 2011 (5) 2007 


74.   To use smart cards/debit cards/credit cards for the  purchase of an item or for payment of a service at a    merchant’s store, the card has to be swiped in a terminal known as
 (1) Point of Sale terminal (2) Real time terminal 
 (3) Shopping terminal  (4) All of the above
 (5) None of the above


75.  The Branding Line of Bank of Baroda is
 (1) International Bank of India (2) India’s International bank
 (3) India’s Multinational Bank  (4) World’s Local Bank
 (5) None of the above


76.  The logo of Bank of Baroda is known as
 (1) Sun of Bank of Baroda  (2) Baroda Sun
 (3) Bank of Baroda’s Rays (4) Sunlight of Bank of Baroda
 (5) None of the above


77.  Lot of Banks in India these days are offering M- Banking Facility to their customers. What is the full   form of M’ in ‘M-Banking’?
  (1) Money    (2) Marginal (3) Message 
 (4) Mutual Fund   (5) Mobile


78.   Which of the following is not the part of the Scheduled Banking structure in India?
 (1) Money Lenders (2) Public Sector Banks
 (3) Private Sector Banks (4) Regional Rural Banks
 (5) State Cooperative Banks


79.  Section 14 of Banking Regulation Act, 1949
 (1) prohibits a banking company from creating a charge upon any unpaid capital of the company
 (2) contains a system of licensing of banks by the RBI
 (3) provides that the subscribed capital of a banking company should not be less than one-half of its 
      authorised capital
 (4) All of the above (5) None of the above 


80.      A Bank is under a statutory obligations to honour its customer’s cheques vide
 (1) Section 10 of the Banking Regulation Act, 1949
 (2) Section 3 of the RBI Act, 1934
 (3) Section 31 of the Negotiable  Instruments Act, 1881
 (4) All of the above  (5) None of the above



No comments:

Post a Comment