Top 350+ Solved Banking and Finance MCQ Questions Answer
Q. Which one of the following statements is most appropriate regarding transaction made inmoney?
a. It is the easiest way.
b. It is the safest way.
c. It is the cheapest way.
d. It promotes trade.
Q. Which one of the following is a modem form of currency?
a. Gold
b. Silver
c. Copper
d. Paper notes
Q. Which among the following authorities issues currency notes on behalf of the government?
a. Government of India
b. The State Bank of India
c. National Bank for Agriculture and Rural Development
d. Reserve Bank of India
Q. In which of the following systems exchange of goods is done without use of money?
a. Credit system
b. Barter system
c. Banking system
d. Collateral system
Q. Banks provide a higher rate of interest on which of the following accounts?
a. Saving account
b. Current account
c. Fixed deposits for long period
d. Fixed deposits for very short period
Q. Banks use the major portion of the deposits to:
a. Keep as reserve so that people may withdraw
b. Meet their routine expenses
c. Extend loans
d. Meet renovation of bank
Q. What percentage of their deposits is kept as cash by the banks in India?
a. 25%
b. 20%
c. 15%
d. 10%
Q. The informal source of credit does not include which one of the following?
a. Traders
b. Friends
c. Cooperative Societies
d. Moneylenders
Q. Which one of the following is the new way of providing loans to the mral poor?
a. Co-operative societies
b. Traders
c. Relatives and friends
d. SHGs
Q. Why is currency accepted as a medium of exchange?
a. Because the currency is authorised by the government of the country.
b. Because it is liked by the people who use it.
c. Because the use of currency has its origin in ancient times.
d. Because the currency is authorised by the World Bank.
Q. Who issues the currency notes in India?
a. Currency notes are issued by the Finance Commission.
b. All the nationalized banks can issue the currency notes.
c. Only Reserve Bank of India can issue currency notes.
d. Any individual or organization can issue cur¬rency notes with the permission of the govt.
Q. CRR refer s to …………..
a. Cash Reserve Ratio
b. Credit Reserve Ratio
c. Common Reserve Ratio
d. None of these
Q. SLR refers to …………..
a. Statutory Liquidity Ratio
b. Stability Liquidity Ratio
c. Safety Liquidity Ratio
d. None of these