This quiz works best with JavaScript enabled. Home > Finance > Banking > Banking And Financial Institutions > Banking And Financial Institutions – Quiz 21 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Banking And Financial Institutions Quiz 21 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. An institution owned by their depositors. A) Mutual Savings Banks. B) Mutual Savings and Loan Banks. C) Credit Unions. D) Community Banks. Show Answer Correct Answer: C) Credit Unions. 2. Which of the following is NOT one of the types of banks? A) Retail banks. B) Central banks. C) Commercial banks. D) Credit unions. Show Answer Correct Answer: D) Credit unions. 3. What is a financial institution owned by shareholders called? A) Credit union. B) Bank. C) Depository. D) Money place. Show Answer Correct Answer: B) Bank. 4. What advantages do financial intermediaries off an investor? A) They offer liquidity, low interst rates and risk-free investmnet. B) They off securities, interest-free loans and diversificiation. C) They share risks, provide information and provide liquidity. D) They share securities, provide liquidity and assume risk. Show Answer Correct Answer: C) They share risks, provide information and provide liquidity. 5. What is it called when another person gives you money that you will need to pay back? A) Borrow. B) Lend. C) Savings Plan. D) Interest. Show Answer Correct Answer: A) Borrow. 6. ..... Insurance protects your bank deposits up to $ 250, 000 A) IRS. B) WWF. C) FDIC. D) SEC. Show Answer Correct Answer: C) FDIC. 7. The amount an original deposit will be worth in the future based on its earning aspecific interest rate over a specific period of time is referred to as: A) Future value. B) Current value. C) Present value. D) Time value. Show Answer Correct Answer: A) Future value. 8. A deposit account is best described as ..... A) A current account, savings account or another type of bank account which allows money to be deposited and withdrawn by the account holder. B) A safe place to store you savings. C) Used by people for everyday transactions. D) An account where customers can go overdrawn on the amount they hold in it. Show Answer Correct Answer: A) A current account, savings account or another type of bank account which allows money to be deposited and withdrawn by the account holder. 9. Who is the regulator of Indian Capital Market? A) NABARD. B) IRDA. C) SEBI. D) RBI. Show Answer Correct Answer: C) SEBI. 10. A check that has been cashed and processed by the bank for payment is considered ..... A) Cleared. B) Outstanding. C) Forged. D) Stale. Show Answer Correct Answer: A) Cleared. 11. "If the bank is unable to collect a bill on due date, immediate steps should be taken to recover the amount from the drawer" , this feature comes under ..... of bank audit A) Internal Control System of Bills. B) Internal Control System of cash. C) Audit report. D) Preparation of financial statements. Show Answer Correct Answer: A) Internal Control System of Bills. 12. Which of the following would be the LEAST secure way to send payment to another person or business through the mail? A) A money order. B) A personal check. C) A cashier's check. D) Cash. Show Answer Correct Answer: D) Cash. 13. Amirah is going to college and will not be able to visit her home bank very often. She needs a way to access her money and track what she spends. A) Personal loan. B) Debit card. C) Online banking. D) None of above. Show Answer Correct Answer: C) Online banking. 14. What is a deposit that does NOT appear on the bank statement called? A) Outstanding deposit. B) Bad deposit. C) Good deposit. D) Cleared deposit. Show Answer Correct Answer: A) Outstanding deposit. 15. Which of the following is NOT a way banks decide on how creditworthy a customer is? A) Good credit rating. B) Sufficient collateral for loans. C) A job. D) Ongoing income source. Show Answer Correct Answer: C) A job. 16. Anything of value A) Equity. B) Asset. C) Spread. D) Profit. Show Answer Correct Answer: B) Asset. 17. Axis Bank is ..... A) Public sector bank. B) Development Bank. C) Cooperative Bank. D) Private Bank. Show Answer Correct Answer: D) Private Bank. 18. A check written for an amount greater than the balance of the account A) Overdraft. B) Overspend. C) Fraud. D) None of above. Show Answer Correct Answer: A) Overdraft. 19. What type of bond would a city issue to repair a bridge? A) Junk. B) Treasury. C) Municipal. D) Corporate. Show Answer Correct Answer: C) Municipal. 20. What is a Check Cashing Fee? A) Money charged for using an ATM. B) An amount charged to individuals in order to cash a check. C) A monthly bill for writing checks. D) Money withdrawn for writing a check. Show Answer Correct Answer: B) An amount charged to individuals in order to cash a check. 21. What fee would you be charged by a bank or credit union if you write a check and do not have enough funds to cover it? A) Point-of-Sales fee. B) Check fee. C) Insufficient funds fee. D) Stop payment fee. Show Answer Correct Answer: C) Insufficient funds fee. 22. A Not for Profit depository institution that is owned by members. Only members can open accounts, you must meet certain membership requirements to join. Generally higher savings rates and lower fees A) Check Cashing Company. B) Payday Lender. C) Bank. D) Credit Union. Show Answer Correct Answer: D) Credit Union. 23. Non profit service cooperative that accepts deposits, makes loans, and provides other financial services A) Credit union. B) Corporation. C) Stock. D) None of above. Show Answer Correct Answer: A) Credit union. 24. State bank of india started merchant banking in ..... followed by icici in ..... A) 1980, 1981. B) 1978, 1980. C) 1973, 1974. D) None of above. Show Answer Correct Answer: C) 1973, 1974. 25. This month, costs for SafeCo Bank were $ 750, 000; the bank collected $ 970, 000 in revenue. Find the bank's profit for the month. A) Not enough information to calculate. B) $ 970, 000. C) $ 1, 720, 000. D) $ 220, 000. Show Answer Correct Answer: D) $ 220, 000. 26. All money in financial institutions insured by FDIC is insured for up to which amount? A) 100, 000. B) 10, 000. C) 250, 000. D) 25, 000. Show Answer Correct Answer: C) 250, 000. 27. Fee for writing a check for "bouncing a check" (writing it for more money than is in your account) A) Service Fee. B) Withdraw Fee. C) Nonsufficient Funds Fee. D) ATM Fee. Show Answer Correct Answer: C) Nonsufficient Funds Fee. 28. Which of the following is NOT true of a cashier's check? A) It is paid for when the recipient cashes it. B) It is often accepted when a personal check would not be. C) It is drawn against the bank, not the individual's account. D) It is written to a specific payee. Show Answer Correct Answer: A) It is paid for when the recipient cashes it. 29. Which is the following NOT the islamic banking products? A) Ar-Rahnu. B) Al murabahah. C) Al ijarah. D) Bai'Bithaman Ajil. Show Answer Correct Answer: A) Ar-Rahnu. 30. OTCEI not Popular with investors because A) Lack of floating stock. B) No arbitrage opportunity. C) No opportunity for jobbing. D) Network issues. E) All the above. Show Answer Correct Answer: E) All the above. ← PreviousNext →Related QuizzesBanking QuizzesFinance QuizzesBanking And Financial Institutions Quiz 1Banking And Financial Institutions Quiz 2Banking And Financial Institutions Quiz 3Banking And Financial Institutions Quiz 4Banking And Financial Institutions Quiz 5Banking And Financial Institutions Quiz 6Banking And Financial Institutions Quiz 7Banking And Financial Institutions Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books