This quiz works best with JavaScript enabled. Home > Finance > Banking > Banking Affairs > Banking Affairs – Quiz 81 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Banking Affairs Quiz 81 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. A foreign bank is one A) Whose most of the branches are situated outside India. B) In which atleast 40% equity shares are held by non-resident Indians. C) Which is incorporated outside India. D) All of the above. Show Answer Correct Answer: C) Which is incorporated outside India. 2. The main business of banks is to accept deposits from the public. However, a bank can refuse to permit opening an account on behalf of.....: A) Convicted persons. B) Arrested persons. C) Undesirable persons. D) Artificial persons. Show Answer Correct Answer: C) Undesirable persons. 3. Goods and Services Tax (GST) would replace which of the following taxes levied at present? A) Corporate tax. B) Capital gains tax. C) Value added tax (VAT). D) Income tax. Show Answer Correct Answer: C) Value added tax (VAT). 4. What does the letter V denotes in the term VAT as used in banking world? A) Vendor. B) Value. C) Valuable. D) Various. Show Answer Correct Answer: B) Value. 5. Which was the first Cooperative Bank established in India? A) Abhyudaya Co-operative Bank. B) Kangra Central Co-operative Bank Limited. C) Anyonya Co-operative Bank Limited. D) Bharat Co-operative Bank Limited. Show Answer Correct Answer: C) Anyonya Co-operative Bank Limited. 6. The Banking Ombudsman charge how much fee for filing and resolving customers' complaints? A) Rs. 500. B) No Fee. C) Rs. 100. D) Rs. 200. Show Answer Correct Answer: B) No Fee. 7. .....is India's largest Wide Area Network. A) INET. B) NICNET. C) Bank Net. D) RBINET. Show Answer Correct Answer: B) NICNET. 8. As we all know that Reserve Bank of India manages the circulation of currency. In this context which of the following decides the currency denomination value? A) Finance Commission. B) Reserve Bank of India Itself. C) Planning Commission. D) Government of India. Show Answer Correct Answer: D) Government of India. 9. Insurance service provided by various banks is commonly known as..... A) Merchant Banking. B) Investment Banking. C) Risk Management. D) Bancassurance. Show Answer Correct Answer: D) Bancassurance. 10. Which section of RBI is not correctly matched? A) Section 26-describes the legal tender character of Indian bank notes. B) Section 18-manner in which RBI can conduct business. C) Both A and B. D) None. Show Answer Correct Answer: B) Section 18-manner in which RBI can conduct business. 11. With which bank did Sangli Bank merge in 2006? A) HDFC Bank. B) SBI. C) ICICI Bank. D) Axis Bank. Show Answer Correct Answer: C) ICICI Bank. 12. In pursuance of the recommendations of Narsimhan Committee, the RBI has framed new guidelines A) To govern entry of new private sector banks to make the banking sector more competitive. B) To reduce the freedom given to banks to rationalize their existing branch network. C) To set up more foreign exchange banks. D) To lend more easily for industrial development. Show Answer Correct Answer: A) To govern entry of new private sector banks to make the banking sector more competitive. 13. What is 'Net Interest Margin' of a Bank? A) Margin of Interest earned on Trading in Govt Securities. B) Difference between the Base Interest Rate and the Average Lending Rate. C) Difference between the interest income and the amount of interest paid out. D) Difference between Interest on Term Loans and Interest on Cash Credits. Show Answer Correct Answer: C) Difference between the interest income and the amount of interest paid out. 14. Interest on Savings deposit nowadays is.....[SBI Bank 2013] A) Fixed by RBI. B) Fixed by the respective Banks. C) Fixed by the Depositors. D) Fixed as per the contract between Bank and the Consumer Court. Show Answer Correct Answer: B) Fixed by the respective Banks. 15. Which of the following is an employmentcreating programme of the Govt of India? A) Kalpana-I. B) Bharat Nirman. C) MNREGA. D) ASHA. Show Answer Correct Answer: C) MNREGA. 16. Which one of the following agencies is not included in the operation of the Kisan Credit Cards? A) Co-operative Banks. B) Regional Rural Banks. C) NABARD. D) Scheduled Commercial Banks. Show Answer Correct Answer: C) NABARD. 17. Which of the following is true about Cooperative Banks? A) They are established under the Cooperative Societies Act. B) They have profit as their main motive. C) All are scheduled banks. D) All of the above. Show Answer Correct Answer: A) They are established under the Cooperative Societies Act. 18. Which of the following is NOT a foreign bank working in India? [Vijaya Bank 2008] A) HSBC. B) Barclays. C) Standard Chartered. D) Yes Bank. Show Answer Correct Answer: D) Yes Bank. 19. Which of the following statements is incorrect regarding a minor? A) A minor is a person who has not attained the gas of 18. B) Minor does not have legal capacity to enter into a contract. C) A current account in the name of minor can be opened when guardian of the minor operates this account. D) A minor's account should never be allowed to be overdrawn. Show Answer Correct Answer: C) A current account in the name of minor can be opened when guardian of the minor operates this account. 20. Which of the following is the benefit of credit-rating to investors? A) Safeguard against bankruptcy. B) Saving of resources. C) Credibility of issues. D) All of the above. Show Answer Correct Answer: D) All of the above. 21. What do we call the guarantee given by the bank for a payment when the buyer is not able to pay the required amount of money to the seller? A) Letter of Credit. B) Bank Guarantee. C) Bill of Lading. D) None of the above. Show Answer Correct Answer: B) Bank Guarantee. 22. Which of the following commissions setup by the President of India decides the distribution of tax incomes between the Central and State Governments? A) Central Law Commission. B) Administrative Reforms Commission. C) Pay Commission for Government Employees. D) Finance Commission. Show Answer Correct Answer: D) Finance Commission. 23. Which of the following is defined as a central location for keeping securities on deposit? A) Institutions. B) Depository. C) Instrument. D) None of the above. Show Answer Correct Answer: B) Depository. 24. What does the letter P denote in the term 'PAN', which is issued by the Income Tax Department? A) Private. B) Provisional. C) Permanent. D) Personal. Show Answer Correct Answer: C) Permanent. 25. Which of the following terms is not used in Economics? A) Balance of Payment. B) Call Money. C) National Debt. D) Boyle's Law. Show Answer Correct Answer: D) Boyle's Law. 26. Money Laundering refers to A) Conversion of assets into cash. B) Conversion of money which is illegally obtained. C) Conversion of cash into gold. D) Conversion of gold into cash. Show Answer Correct Answer: B) Conversion of money which is illegally obtained. 27. Which Union Budget had first proposed the setting up of PDMA? A) Budget 2014-15. B) Budget 2012-13. C) Budget 2013-14. D) Budget 2011-12. Show Answer Correct Answer: D) Budget 2011-12. 28. Who was the head of review committee on underwriting rules and regulation? A) Shri Vallabh Bhansali. B) C. Rangarajan. C) Urjit Patel. D) Nandan Nilekani. Show Answer Correct Answer: A) Shri Vallabh Bhansali. 29. On which one of the following issues has IMF supported monetary policy of India? A) Introduction of GST. B) Concessions for foreign investment. C) Tightening of monetary policy. D) Stimulus for agriculture sector. Show Answer Correct Answer: C) Tightening of monetary policy. 30. Which of the following does not have savings account? A) NRE Account. B) NRO Account. C) FCNR(B) Account. D) Both (A) and C. Show Answer Correct Answer: C) FCNR(B) Account. ← PreviousNext →Related QuizzesBanking QuizzesFinance QuizzesBanking Affairs Quiz 1Banking Affairs Quiz 2Banking Affairs Quiz 3Banking Affairs Quiz 4Banking Affairs Quiz 5Banking Affairs Quiz 6Banking Affairs Quiz 7Banking Affairs Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books