Top 150+ Solved Banking and Finance 2 MCQ Questions Answer
Q. Which of the following statement is true about Commercial Paper?
a. It is traded in the money market
b. It is a promissory note
c. It was introduced in 1990
d. It is a secure Instrument
Q. Which of the following statement is true about Certificates of Deposits?
a. It is secure instrument in comparison of Commercial Paper
b. It is a promissory note
c. It is traded in Capital Market
d. It was introduced in 1990
Q. Which of the following statement is false about Treasury Bills?
a. It is a secure Instrument
b. It is a promissory note
c. It is issued by government
d. It is issued maximum for maturity of 1 year
Q. Which of the following statement is true about Commercial Bill?
a. It is a promissory note
b. It is a bill of Exchange
c. It is a trade Bill
d. It is issued by RBI
Q. Which of the following statement is related to dated Securities?
a. It is a secure Instrument
b. It is issued by government
c. It acknowledge the debt by the government
d. The date of maturity is mentioned on the certificate
Q. What is the minimum amount at which Commercial Paper can be issued?
a. The minimum amount for Commercial Papers is 5 lakhs.
b. The minimum amount for Commercial Papers is 5 Crores.
c. The minimum amount for Commercial Papers is 1 lakh.
d. The minimum amount for Commercial Papers is 1 Crore.
Q. What is the maximum and minimum maturity of Certificate of Deposit issued by financialInstitutions?
a. Certificate of deposit issued by financial Institutions are for 1 year to 3 years.
b. Certificate of deposit issued by financial Institutions are for 7 days to 364 days.
c. Certificate of deposit issued by financial Institutions are for 15 days to 90 days.
d. None of these.
Q. What is the minimum amount at which Certificate of Deposit can be issued?
a. The minimum amount for Commercial Papers is 5 lakhs.
b. The minimum amount for Commercial Papers is 5 Crores.
c. The minimum amount for Commercial Papers is 1 lakh.
d. The minimum amount for Commercial Papers is 1 Crore.
Q. Which of the following is considered to be more secure instrument?
a. Cheque
b. Draft
c. Commercial Paper
d. Hundi
Q. Which is not a type of cheque?
a. Mutilated Cheque
b. Stale Cheque
c. Crossed Cheque
d. Promissory Cheque
Q. Which is a type of crossing in a cheque?
a. Negotiable Crossing
b. Special Crossing
c. Level Crossing
d. Named Crossing
Q. Which of the following act defines a Cheque?
a. RBI Act 1934
b. Negotiable Instrument Act 1881
c. Banking Regulation Act 1949
d. Companies Act 2013
Q. Which among the following is/are correct regarding Money Market?
a. Money Market is a market for short-term funds.
b. Maturity in this market ranging from overnight to one year.
c. The basic function of money market is to provide efficient liquidity position for commercial banks, financial institution, Mutual funds, insurance companies, corporate et
d. Maturity in this market is above one year.