SBI Clerk

Banking Awareness Questions-Quiz for Bank Exams

1. What are the usages of credit cards?
a) For purchase of goods and services at Point of Sale (POS)
b) E-commerce (online purchase)/ through Interactive Voice Response (IVR)
c) Recurring transactions/ Mail Order Telephone Order (MOTO).
d) Can be used domestically and internationally (provided it is enabled for international use) and to withdraw cash from an ATM and for transferring funds to bank accounts, debit cards, credit cards
and prepaid cards
e) All the above

2. Clarify the definition of ‘short term borrowings’?
a) A short term borrowing means borrowing of tenor upto but less than one year
b) Borrowing for 5 years
c) Borrowing for 10 years
d) Borrowing for 15 years
e) None

3. Can an Individual have any number of ‘Basic Savings Bank Deposit Account’ in one bank (BSBDA)?
a) No. An individual is eligible to have only one ‘Basic Savings Bank Deposit Account’ in one bank.
b) Yes. 5 accounts
c) Yes. 3 Accounts
d) Yes. 4 Accounts
e) None of these

4. Whether the normal saving bank account can be converted into BSBDA at the request of customer?
a) Yes. Such customers should give their consent in writing and they should be informed of the features and extent of services available in BSBDAs.
b) No
c) Impossible
d) Don’t know
e) None of these

5. In a fresh push toward a less cash economy, the Reserve Bank of India (RBI) has prohibited non-banking finance companies (NBFCs) of all kinds from lending more than how much in cash against gold?
a) Rs. One Lakh
b) Rs.20,000/-
c) Rs.50,000/-
d) Rs.2 Lakhs
e) None

6. The Central Board of Direct Taxes is con sidering making PAN mandatory as a requirement for allotting TAN to companies that deduct tax at source. In the abbreviation TAN, the letter T stands for what?
a) Time
b) Tax (TAN : Tax Deduction Account Numbers)
c) Travel
d) Token
e) None of these

7. As per World Gold Council (WGC) report in March, 2017, demand for gold is likely to improve and expect consumers to buy how much? (intonnes)
a) 950
b) Between 650 and 750
c) 1,000
d) 500
e) None of these

8. Post-demonetisation, 23.3 million new accounts were opened under the Pradhan Mantri Jan Dhan Yojana (PMJDY), bulk of which (80 percent) were with public sector banks. Of the new Jan Dhan accou nts opened, how many PMJDY accounts are opened in rural areas in %?
a) 30 %
b) 46.4 per cent
c) 53.6%
d) 20%
e) None of these

9. Deposits under PMJDY accounts incre ased significantly post demonetisation. The total balance in PMJDY deposit accounts peaked at Rs. 746 billion as on which date fromRs. 456 billion as on November 9, 2016? (It is an increase of 63.6 percent)
a) December 7, 2016
b) Nov. 15, 2016
c) Nov. 21, 2016
d) Nov. 30, 2016
e) None of these

10. Despite large surplus liquidity, active liquidity management by the Reserve Bank ensured that the WACR – the operating target of monetary policy – traded around the repo rate (during November 8 to November 25), but with a softening bias (23 bps on an average). In the abbreviation WACR, the letter W stands for what?
a) Waste
b) Weighted (WACR : weighted average call money rate)
c) Water
d) Wish
e) None of these

11. Exports data for January 2017 available for some emerging market economies indicate an increase (year on-year, y-o-y, growth in US$ terms). Which of the following is correct ?
a) 7.9 per cent for China
b) 15.8 per cent for Taiwan
c) 11.2 per cent for South Korea
d) 5.7 per cent for Vietnam and 32.7 per cent for Brazil
e) All the above (The above countries are called as Emerging Market Economies)

12. About 36 million micro, small and medium enterprises (MSMEs) contribute around 40 percent of India’s exports and provide employment to over 80 million persons. Within the MSME sector, which industries are highly labor intensive industries and more dependent on cash for their working capital requirements?
a) Gems and jewellerys are highly labour intensive sectors
b) Carpets, textile
c) Leather, handlooms
d) Handicraft
e) All the above

13. The cotton sector – already impacted by low demand from China since 2014-15 – faced some domestic supply constraints after demonetisation. As farmers preferred to postpone their sales due to lack of cash, cotton arrivals dropped by 30 per cent in which month (as per Indian Cotton Federation)?
a) August, 2016
b) November, 2016
c) September, 2016
d) January, 2016
e) None of these

14. There was a strong growth in foreign tourist arrivals of 13.2 percent (yearon-year) during November 2016 to January 2017 in India. Which period is the peak season for Indian tourism industry?
a) October to March
b) May
c) June
d) July
e) August

15. India’s gold imports declined to how many tonnes in the calendar year 2016 (from 1047 tonnes in 2015)?
a) 661
b) 500
c) 400
d) 300
e) None

16. With the introduction of Bharat Interface for Money (BHIM), there is now a front-end app, developed by NPCI, which will serve as a common app for any bank. Linked to a bank account at the back-end, BHIM allows which of the following?
a) Sending and receiving money to/from other UPI accounts or addresses
b) Remittances to users who do not have
a UPI-based bank account
c) Postal Savings Certificates
d) Both (a) and (b)
e) None of these

17. No service tax will be charged on digital transaction charges/MDR for transactions up to how much?
a) Rs. 2000 per transaction.
b) Rs.5,000/-
c) Rs.10,000/-
d) Rs.15,000/-
e) None of these

18. The USSD service brings together dive rse ecosystem partners such as banks & telecom service providers and allows customers to access financial services by dialing which of the following from their mobile registered with the bank? (The service works across all GSM service providers all types of handsets – smart phones and feature phones.)
a) 123
b) *99#
c) 120
d) 121
e) None

19. In the abbreviation WALR, the letter L standings for what?
a) Light
b) Lending (WALR : Weighted Average Lending Rate)
c) Left
d) Lift
e) None of these

20. The Reserve Bank of India will shortly issue Rs.10 denomination banknotes in the Mahatma Gandhi Series-2005 with inset letter ‘L’ in both the number panels, bearing the signature of Dr. Urjit R. Patel, Governor, Reserve Bank of India, and the year of printing ‘2017’ printed on which side of the o bank note?
a) Front
b) Reverse
c) Top
d) Middle
e) None of these

21. What is the manner in which the company can ‘buy back’ its own shares?
a) From the existing shareholders on a proportionate basis through the tender offer; ii.
b) From open market through : Book building process
c) From open market through : Stock exchange
d) From open market : From odd lot holders
e) All the above

22. What is meant by ‘delisting of securities’?
a) The term “delisting” of securities means removal of securities of a listed company from a stock exchange. As a consequence of delisting, the securities of that company would no longer be traded at that stock exchange.
b) Adding in the list
c) Displaying in the list of stock market
d) Demonstration before stock market
e) None of these

23. Normally in share market some companies shares called as Blue Chip. What is Blue Chip?
a) The best rated shares with the highest status as investment based on return, yield, safety, marketability and liquidity.
b) Blue coloured micro chip
c) Blue coloured sign boards
d) Blue category workers are employed
e) None of these

24. How ‘Bonus Shares’ are issued?
a) On payment basis
b) Shares issued by companies to their shareholders free of cost by capitalization of accumulated reserves from the profits earned in the earlier years.
c) On easy instalment payment basis
d) On employment basis
e) None of these

25. ESOPs are given to whom in companies?
a) Employees (ESOPs: Employees Stock Option Plans)
b) Stock Market brokers
d) Bull operators
e) None of these

26. What is ‘Vanilla Issue’?
a) A straight fixed rate issue which has terms and conditions usually accepted as being conventional to a particular securities market.
b) Sold on discount basis
c) Sold on premium
d) Sold on free basis
e) None of these

Banking Awareness Questions-Quiz for Bank Exams

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