Top 1000+ Solved Banking Awareness MCQ Questions Answer
Q. Expand FRBM.
a. Financial Responsibility and Budget Management
b. Fiscal Responsibility and Budget Maintenance
c. Fiscal Responsibility and Budget Management
d. Fiscal Risk and Budget Management
e. None of these
Q. The promoters of Local Area Banks may comprise
a. individuals
b. corporate entities
c. trusts and societies
d. accepts deposits from public
e. all of the above
Q. The regional Rural Banks are sponsored by
a. Unit Trust of India
b. Reserve Bank of India
c. Life Insurance Corporation of India
d. NABARD
e. Any Scheduled Commercial bank
Q. Deficit financing can (these are also demerits of it)
a. Cause inflation
b. Bring rise in fiscal deficit
c. Bring rise in credit creation in banks
d. All above
e. None of the above
Q. Central co-operative banks
a. occupy a crucial importance in the co-operative credit structure
b. from an important link between the state co- operative bank at the apex and the primary agricultural credit societies at the base
c. are closer to the primary societies than an apex bank could be
d. all of the above
e. none of the above
Q. If the RBI wants to infuse credit in Banking system in our country, which of the followings can be done?
a. Decreasing CRR
b. Decreasing SLR
c. Both (a) and (b)
d. None of the above
e. Cannot be determined
Q. If the rupees depreciate, what is the effect onthe exporters?
a. They are unaffected
b. They are in loss
c. They are in profit
d. They get credit crunch
e. None of these
Q. Under merchant banking, consultancy services are rendered by banks/merchant bankers for
a. floating of new companies
b. preparation, planning and execution of new projects
c. giving expert guidance and managing the new promotions or new promotions of industries/enterprises
d. all of the above
e. none of the above
Q. When the Government of India cannot raise enough financial resources through taxation, it finances its expenditure through various means like borrowing from market, running down its balances with RBI etc. This can be exactly called as
a. Fiscal Deficit Financing
b. Deficit Financing
c. Capital Infusion
d. Restructuring
e. None of these
Q. Under the Banking Regulation Act, 1949, which of the following is not qualified to be called as banks in the co-operative sector?
a. Urban Co-operative banks
b. State Co-operative banks
c. Primary Agricultural Credit Societies
d. Central Co-operative Banks
e. None of the above
Q. Buying and selling of eligible securities by RBIin the money market can be termed as
a. Open Economy Operations
b. Open Market Operations
c. Credit Control Measures
d. Credit Creation Measures
e. None of these
Q. Which of the following is the private sector Bank in India?
a. IDBI Bank
b. Axis Bank
c. Corporation Bank
d. UCO Bank
e. None of the above
Q. Which of the following terms NOT used in the field of Banking & Finance?
a. Overdraft
b. Base Line
c. RTGS
d. GBC
e. None of the above
Q. Which of the following conditions must be fulfilled before a bank is included in the Second Schedule to the Reserve Bank of India Act?
a. It must be a State co-operative bank or a company as defined in the Companies Act, 1956 or an institution notified by the Central Government in this behalf or a corporation or a company incorporated by or under any law in force in any place outside
b. It must satisfy the Reserve Bank of India that its affairs are not being conducted in a manner detrimental to the interests of the depositors
c. It must have a paid-up capital and reserves of an aggregate value of not less than Rs. 5 lakh
d. Only (a) and (b)
e. All of the above
Q. Which of the following is NOT a type of cheque issued by an individual?
a. Bearer cheque
b. Order cheque
c. Crossed cheque
d. Savings cheque
e. None of the above