1.Which of the following is a correctstatement ?
a) Normally no interest is paid on current deposit accounts,
b) Interest is paid on current accounts at the same rate as term deposit accounts
c) The rate of interest on current account and savings account are the same
d) No interest is paid on any deposit by the bank
e) Savings deposits are the same as current deposits

2. Which of the following is a measuretaken by Reserve Bank of India to control inflation in our country?
a) Increase in CRR
b) Increase in SLR
c) Contraction of supply of currency
d) Raising of Repo/ Reserve Repo Rate
e) Decrease the SLR

3. What type of loan is granted by banks for purchase of white goods ?
a) Consumption loan
b)Mortgage loan
c) Consumer durables loan
d) Home loan
e) None of these

4. What do you understand by the term ‘Mortgage’?
a) Sale of moveable security in the event of default by the borrower
b) Registration of charge with the Registrar of Companies
c) Making the security of immovable property available as a cover for a home loan by the borrower
d) Registration of charge with the Regional Transport Authority
e) Returning of the security to borrower by the bank of receipt of full payment

5.Which of the following is NOT a source of funds of a commercial bank?
a) Capital
b) Borrowings from RBI
c) Call money
d) Deposits
e) Cash reserves with RBI

6. The Banking Ombudsman?
a) is in charge of bank loan for buses
b) fixes the rates of interest for loans
c) resolves complaints of customers
d) issues licences for new bank branches
e) is the head of all nationalized banks

7. Which of the following is not the name of Banking Organisation?
c) YES

8. Which of the following is not a primary function of a Bank?
a) Granting Loans
b) Collecting Cheques/ Drafts customers
c) Facilitating import of goods
d)issuing Bank drafts(e) Selling Gold /Silver Coins

9. Basel–II norms are associated with which of the following aspects of the banking industry ?
a) Risk management
b) Manpower planning
c) Retirement benefits for the employees
d) Corporate Governance
e) none of the above

10. Which of the following is NOT a banking / finance related term?
a) Credit wrap
b) EMI
c) Held to Maturity
d) Exposure limit
e) Diffusion

11. Lending to Micro Finance Institutions by banks is considered as fiancé to?
a) Non priority sector
b) priority sector
c) commercial sector
d) Agriculture sector
e) none of these

12. Which of the following was the reasons owing which base rate was introduced?
a) BPLR, system fell short of RBIs objective bringing transparency in lending rates
b) Under BPLR system it was difficult for RBI to access transmission of policy rates.
c) BPLR system was not beneficial tothe customers
(1) Only (A)
(2) Only (B)
(3) Only (A)& (B)
(4) Only (B)& (C)
(5) All, (A) &(B) & (C)

13. Which of the following is/are various components/ channels of the monetary policy of the RBI?
a) Altering money supply
b) credit availability
c) Influencing exchange rates
(1) only (A) & (B)
(2) Only (B) & (C)
(3) Only (A) & (C)
(4) Only (A)
(5) All(A), (B) & (C)

14. Which of the following depository/depositories in India is/are handling dematerialized shares?
a) National Securities Depository Ltd.(NSDL)
b) Central Depository Services Ltd.(CDSL)
c) Bombay Stock Exchange (BSE)
(1) only (A)
(2) Only (A) &(B)
(3)Only (C)
(4) All , (A), (B) & (C)(e)Only (A) & (C)

15. Which of the following is/are called key Policy rates by the Reserve Bank of India?
A. Bank rate ,
B. Repo Rate, Reverse repo rate,
(1) only A
(2) Only B
(3) only A & B
(4) Only C
(5) Only B & C

16. Headquarters of Reserve Bank of India is situated in?
a) New Delhi
b) Mumbai
c) Kolkata
d) Chennai

17. The Reserve Bank of India has divested its stake in State Bank of India to
a) IDBI Bank
b) LIC
c) ICICI Bank
d) Government of India
e) None of the above

18. Objective of monetary policy of RBI is to?
a) control inflation
b) discourage hoarding of commodities
c) encourage flow of credit into neglected sector
d) All of the above
e)None of the above

19.In which year India adopted partial convertibility of rupee?
a) 1991
b) 1992
c) 1993
e) 1952

20. Which of the following guidelines were issued by Reserve Bank of India in January 1993 for the entry of Private Sector Banks in the wake of Narasimham Committee recommendations?
a) The new bank upon being grantedlicence under the banking RegulationAct by RBI, shall beregistered as a public limited company under the companies Act, 1956
b) Its inclusion in the second Scheduleto the reserve bank of India Act, 1934shall be subject to reserve Bank’s decision,
c) Preference would be given to those banks the headquarters of which are proposed to be located in the center which does not have the headquarters of any other bank,
d) (1) and (3)
e) All of the above

21. The RBI has prescribed that a new Private Sector Bank?
a) Shall be subject to prudential norms in regard to income recognition, asset classification and provisioning, capital adequacy etc,
b) shall have to observe priority sector lending targets as applicable to other domestic banks,
c) will be required to open rural andsemi-urban branches also as may be laid down by RBI,
d) None of the above
e) All of the above

22. Real Time Gross Settlement System means a payment system in which?
a) both processing and final settlementof funds transfer instructions can take place continuously ,
b) final transaction takes place at the end of the day
c) final payment is physically effected within 24 hours
d) final settlement of funds take place at3 PM daily
e) none of the above

23. Effective from 15th April, 1980, how many banks with demand and time liabilities exceeding 200crore were nationalized?
a) five
b) four
c) six
d) ten
e) None of these

24.Who amongst the following was never a Governor of the RBI?
a) Bimal Jalan
b) Y.V. Reddy
c) Arup Roy Choudhury
d) D.DSubbarao
e) None of the above

25.Which of the following is NOT the name of a bank having branches in India?
a) State Bank of India
b) Naively Lignite Corporation
c) Barclays
e) None of the above

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