This quiz works best with JavaScript enabled. Home > Banking > Banking Affairs > Banking Affairs – Quiz 51 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Banking Affairs Quiz 51 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is meant by development Oriented banking? A) Infrastructure financing. B) Extending loans to States, which are un-development. C) Taking up the task of development of the economy by providing support to under privileged sections of the society. D) None of these. Show Answer Correct Answer: C) Taking up the task of development of the economy by providing support to under privileged sections of the society. 2. Certificate of Deposit (CD) is a.....instrument. A) Short term. B) Long term. C) Negotiable money market. D) Unsecured money market. Show Answer Correct Answer: C) Negotiable money market. 3. How many foreign banks are there in India at present? A) 42. B) 43. C) 44. D) 45. Show Answer Correct Answer: D) 45. 4. In banking business, when the borrowers avail a Term Loan, initially they are given a repayment holiday and this is referred as . A) Subsidy. B) Interest Waiver. C) Re-phasing. D) Moratorium. Show Answer Correct Answer: D) Moratorium. 5. Which one of the following is the correct sequence of contribution to gross domestic product in India by the various sectors of the economy in last 10 years? A) Agriculture-Industry-Service. B) Agriculture-Service-Industry. C) Service-Agriculture-Industry. D) Service-Industry-Agriculture. Show Answer Correct Answer: D) Service-Industry-Agriculture. 6. Which of the following is an innovative mechanism adopted by banks to meet the targets fixed for lending to priority sector by the Banks? A) Buying & Selling of Priority Sector Lending Certification. B) Sale of Kisan Vikas Patra. C) Inter Bank Participation Certificates. D) Adoption of Core Banking Solution. Show Answer Correct Answer: D) Adoption of Core Banking Solution. 7. 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? A) RBI, commercial banks and SBI. B) LIC and GIC. C) Unit Trust of India. D) Indigenous banks. Show Answer Correct Answer: D) Indigenous banks. 8. The term ATM stands for which of the following? A) Automatic teller machine. B) Automated teller mechanism. C) Automated teller machine. D) None of the above. Show Answer Correct Answer: C) Automated teller machine. 9. Who pays for the Credit Ratings in India? A) RBI. B) Government of India. C) Issuer. D) SEBI. Show Answer Correct Answer: C) Issuer. 10. Obligation of a banker to maintain secrecy is applicable to A) Only in case of existing deposit accounts. B) Only in case of existing loan accounts. C) Only in case of closed accounts. D) In all types of deposit/loan accounts (existing/closed). Show Answer Correct Answer: D) In all types of deposit/loan accounts (existing/closed). 11. Which of the following is not a characteristics of Fiat money? A) Fiat money is created and issued by the state. B) Fiat money is inconvertible by law. C) Its value as a commodity is as great as its value as money. D) It is a legal tender. Show Answer Correct Answer: C) Its value as a commodity is as great as its value as money. 12. Which of the following banks were merged into to form Imperial Bank of India? A) Bank of Bengal. B) Bank of Madras. C) Bank of Bombay. D) All the above. Show Answer Correct Answer: D) All the above. 13. In deficit financing, the government borrows money from..... A) RBI. B) Public. C) IMF. D) Capitalists. Show Answer Correct Answer: A) RBI. 14. Who can file a criminal case against the drawer of a dishonoured cheque? A) The payee. B) The holder in due course. C) Both of the above. D) The paying banker. Show Answer Correct Answer: C) Both of the above. 15. Regional Rural Banks have been set up with the basic objectives of A) Providing credit to semi-urban & urban population. B) Providing deposits facilities to farmers. C) Providing credit & deposit facilities to rural areas. D) Providing credit, deposit and other banking facilities to people in rural areas. Show Answer Correct Answer: D) Providing credit, deposit and other banking facilities to people in rural areas. 16. Where is the current account of all other banks are maintained? A) Finance Ministry. B) RBI. C) State Bank of India. D) World Bank. Show Answer Correct Answer: B) RBI. 17. Section 131 of Negotiable Instrument Act, 1881 extends protection to the A) Paying banker. B) Collecting banker. C) Advising banker. D) Issuing banker. Show Answer Correct Answer: B) Collecting banker. 18. The base year for Consumer Index has now been revised from 1982 to A) 1990. B) 1991. C) 1996. D) 2001. Show Answer Correct Answer: D) 2001. 19. What does Deficit financing mean? A) Government of India borrows from World Bank. B) Government of India borrows from IMF. C) Government of India borrows from SBI. D) Government of India borrows from RBI. Show Answer Correct Answer: D) Government of India borrows from RBI. 20. Which of the following methods is being adopted by Banks for calculating and applying interest on Savings Bank accounts? A) On monthly products based on minimum balance between 10th and last working day. B) Daily balance is counted and interest is paid accordingly. C) On average quarterly balance. D) On average half yearly balance. Show Answer Correct Answer: B) Daily balance is counted and interest is paid accordingly. ← PreviousNext →Related QuizzesBanking QuizzesBanking Affairs Quiz 1Banking Affairs Quiz 2Banking Affairs Quiz 3Banking Affairs Quiz 4Banking Affairs Quiz 5Banking Affairs Quiz 6Banking Affairs Quiz 7Banking Affairs Quiz 8Banking Affairs Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books