This quiz works best with JavaScript enabled. Home > Finance > Banking > Banking Affairs > Banking Affairs – Quiz 4 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Banking Affairs Quiz 4 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following functions are not being performed by the Reserve Bank of India? A) Regulation of banks in India. B) Regulation of foreign direct investment in India. C) Foreign currency management in India. D) Control and supervision of money supply. Show Answer Correct Answer: B) Regulation of foreign direct investment in India. 2. India's capital market regulator SEBI cleared final guidelines for creation and listing of business trusts for key sectors of real estate and infrastructure on 10 August 2014. These guidelines have been cleared to help attract greater foreign and domestic investments into these sectors. What are the names of business trusts associated with real estate and infrastructure which would be created and listed with these SEBI guidelines? A) Real Investment Trusts (RITs) and Infrastructure Investment Trusts (InvITs). B) Real Estate Trusts (RETs) and Infrastructure Investment Trusts (InvITs). C) Real Estate Investment (REI) and Infrastructure Trusts (InvTs). D) Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs). Show Answer Correct Answer: D) Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs). 3. Reverse repo means A) Improving the position of availability of the securities in the market. B) Injecting liquidity by the Central Bank of a country through purchase of government securities. C) Balancing liquidity with a view to enhance economic growth rate. D) Absorption of liquidity from the market by sale of government securities. Show Answer Correct Answer: D) Absorption of liquidity from the market by sale of government securities. 4. Which of the following states became the first state in the country to launch RBI's e-payment system for commercial tax payers? A) Andhra Pradesh. B) Karnataka. C) Kerala. D) Maharashtra. Show Answer Correct Answer: B) Karnataka. 5. Which of the following parties are involved in the Promissory notes? A) The Maker. B) The Payee. C) Endorsee. D) Both 1 and 2. Show Answer Correct Answer: D) Both 1 and 2. 6. The need for Venture Capital Financing was highlighted by which of the following committee in India? A) Bhatt Committee. B) Gadgil Committee. C) Urjit Patel Committee. D) None of the Above. Show Answer Correct Answer: A) Bhatt Committee. 7. ATMs cards are issued to a person who maintains which of the following accounts with the bank? A) Either A or B. B) Current accounts. C) Term deposits. D) Saving bank accounts. Show Answer Correct Answer: A) Either A or B. 8. What type of loan is a Housing loan? A) Consumer Loan. B) Corporate Loan. C) Secured Loan. D) Unsecured Loan. Show Answer Correct Answer: C) Secured Loan. 9. One of the Primary functions of IMF is to provide short term capital assistance to member countries through SDR (Special Drawing Rights). What is NOT true about SDR? A) Currency code of SDR is XDR. B) SDR is the Unit of Account of IMF. C) Asian Development Bank (ADB) also uses SDR as its Currency. D) None of the above. Show Answer Correct Answer: D) None of the above. 10. Narsimham Committee recommended to reduce SLR and CLR to A) 25% and 3.5% respectively. B) 24% and 3.5% respectively. C) 25% and 3% respectively. D) 20% and 5% respectively. Show Answer Correct Answer: A) 25% and 3.5% respectively. 11. The names of which of the following rates/ratios cannot be seen in financial newspapers? [Corporation Bank 2011] A) Statutory Liquidity Ratio. B) Bank Rate. C) Pulse Rate. D) Repo Rate. Show Answer Correct Answer: C) Pulse Rate. 12. Treasury bill is..... A) Negotiable security. B) Non negotiable security. C) No security at all. D) Quasi negotiable security. Show Answer Correct Answer: A) Negotiable security. 13. Capital market is a market which deals in A) Short-term funds. B) Long-term funds. C) Gilt-edge securities. D) None of these. Show Answer Correct Answer: B) Long-term funds. 14. For which of the following banks, did RBI introduce the scheme RS.protected disclosure'? A) Private Banks. B) Co-operative Banks. C) Foreign Banks. D) A and C. Show Answer Correct Answer: D) A and C. 15. In capital markets, which of the following are the major suppliers of trading instruments? A) Liquid corporations. B) Instrumental corporations. C) Manufacturing corporations. D) Government and corporations. Show Answer Correct Answer: D) Government and corporations. 16. Which of the following is the biggest borrower in India? A) State Governments. B) Reserve Bank of India. C) Indian Government. D) Indian Railways. Show Answer Correct Answer: C) Indian Government. 17. Which of the following statements is true? [IBPS 2011] A) Banks cannot accept demand and time deposits from public. B) Banks can accept only demand deposits from public. C) Banks can accept only time deposits from public. D) Banks can accept both demand and time deposits from public. Show Answer Correct Answer: D) Banks can accept both demand and time deposits from public. 18. Bad debts recovered is a.....for the organisation. A) Income. B) Asset. C) Expense. D) Debt. Show Answer Correct Answer: A) Income. 19. What is Islamic Banking? A) Banking in which lending is prohibited. B) Banking in Muslim countries. C) Banking consistent with the principles of sharia. D) None of the above. Show Answer Correct Answer: C) Banking consistent with the principles of sharia. 20. Who is a banking ombudsman? A) The chief vigilance officer of a bank. B) An official in the Finance Ministry, Government of India. C) The chairman of a bank. D) An independent authority appointed by RBI to address customer complaints. Show Answer Correct Answer: D) An independent authority appointed by RBI to address customer complaints. 21. The part of a company's earnings or profits which are paid out to shareholders is known as A) Interest on borrowings. B) Dividends. C) Taxes. D) Capital gains. Show Answer Correct Answer: B) Dividends. 22. The Reserve Bank of India is planning to launch a new category of banks called D-SIB. What does D-SIB stands for A) Domestic Systematically Important Banks. B) Domestic Saving & Investment Banks. C) Domestic Synchronised Important Banks. D) Domestic Synchronised Improvised Banks. Show Answer Correct Answer: A) Domestic Systematically Important Banks. 23. The issued/paid-up capital of a Regional Rural Bank (RRB) should be A) Rs. 60 lakh. B) Minimum Rs. 25 lakh and maximum Rs. 100 lakh. C) Rs. 80 lakh. D) Rs. 90 lakh. Show Answer Correct Answer: B) Minimum Rs. 25 lakh and maximum Rs. 100 lakh. 24. What is full form of NBFC as used in financial sector? A) New Banking Finance Corporation. B) New Business Formation Company. C) Non Banking Finance Company. D) Net Banking & Finance Cooperative. Show Answer Correct Answer: C) Non Banking Finance Company. 25. A panel of Reserve Bank of India has suggested to set-up specialized banks to cater to the low income households and small businesses. These banks will ensure that every citizen have a bank account by 201 6. The panel was headed by A) Nachiket Mor. B) Mukul Mudgal. C) Bilal Nazaki. D) Raghuram Rajan. Show Answer Correct Answer: A) Nachiket Mor. 26. Which of the following term is used in banking? A) Listing. B) Open Market Operations. C) Stock. D) Settlement Day. Show Answer Correct Answer: B) Open Market Operations. 27. When the credit committee corporation was created? A) 1974. B) 1971. C) 1972. D) 1973. Show Answer Correct Answer: B) 1971. 28. Regional Rural Banks (RRBs) are empowered to transact the business of banking as defined under A) Banking Regulation Act, 1949. B) Negotiable Instruments Act, 1881. C) Regional Rural Banks Act, 1976. D) The Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970. Show Answer Correct Answer: A) Banking Regulation Act, 1949. 29. Which is the oldest Joint Stock bank of India? A) Allahabad Bank. B) Bank of Baroda. C) Patiala Bank. D) Bank of India. Show Answer Correct Answer: A) Allahabad Bank. 30. The Tier-1 capital of banks does not include..... A) Statutory reserves. B) Revaluation reserves. C) Investment fluctuation reserves. D) Paid-up capital. Show Answer Correct Answer: B) Revaluation reserves. ← PreviousNext →Related QuizzesBanking QuizzesFinance QuizzesBanking Affairs Quiz 1Banking Affairs Quiz 2Banking Affairs Quiz 3Banking Affairs Quiz 5Banking Affairs Quiz 6Banking Affairs Quiz 7Banking Affairs Quiz 8Banking Affairs Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books