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1500+ Banking Awareness Solved MCQs

These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Common Topics in Competitive and Entrance exams .

551.

Which of the following is not classified as a commercial Bank ?

A. Regional Rural Bank
B. Private Sector Bank
C. Foreign Bank
D. Co-operative Bank
E. None of these
Answer» D. Co-operative Bank
552.

Which among the following is a qualitative tool of monetary policy?

A. Bank Rate
B. Credit Ceiling
C. Credit rationing
D. Cash Reserve Ratio
E. Repo Rate
Answer» C. Credit rationing
553.

From time – to – time, which among the following body publishes the ―exchange control Manual‖ in context with the foreign exchange in India?

A. foreign trade promotion board
B. department of commerce
C. reserve bank of India
D. SEBI
E. None of the above
Answer» C. reserve bank of India
554.

Which bank has launched the country‘s first contactless debit and credit cards on 7 January 2015?

A. HDFC
B. SBI
C. ICICI
D. Union Bank of India
E. Yes Bank
Answer» C. ICICI
555.

In recent times, the term Gold ETF was making news. Which among the following closest instrument to Gold ETF?

A. Debenture
B. G-Sec security
C. Mutual Fund
D. Commercial Paper
E. IPO
Answer» C. Mutual Fund
556.

Which is the first bank to get ISO certificate?

A. Corporation Bank
B. UBI
C. Canara Bank
D. Syndicate Bank
E. ICICI
Answer» C. Canara Bank
557.

Which of the following is the best option to park money for a long period of time to earn a high rate of interest?

A. Savings account
B. Current account
C. Deposit account
D. Recurring account
E. None of these
Answer» C. Deposit account
558.

Which of the following bank has recently launched a new home loan product ―Women Power‖ with a differential rate of interest exclusively for women customers?

A. ICICI Bank
B. HDFC Bank
C. IDBI Bank
D. SBI
E. None of these
Answer» B. HDFC Bank
559.

What do well can an arrangement whereby an issuing bank at the request of the importer (Buyer) undertakes to make payment to the exporter (Beneficiary) against stipulated documents?

A. bill of exchange
B. letter of exchange
C. letter of credit
D. bill of country
E. None of these
Answer» C. letter of credit
560.

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
Answer» C. Facilitating import of goods
561.

Among the banks in our country, which of the following is not a foreign bank?

A. HSBC
B. Standard Chartered Bank
C. BNP Paribas
D. Citi Bank Na
E. Ing Vysya Bank
Answer» E. Ing Vysya Bank
562.

Which among the following body authorizes the credit limit to the national cooperative marketing federation?

A. reserve bank of India
B. department of agriculture
C. NABARD
D. department of finance
E. None of these
Answer» C. NABARD
563.

The headquarters of local boards of RBI are located at :

A. Mumbai, Kolkata, Chennai and New Delhi
B. Mumbai, Jaipur, Chennai and Mysore
C. Mumbai, Ahmedabad, Chennai and New Delhi
D. Mumbai, Ahmedabad, Jaipur and New Delhi
E. None of these
Answer» A. Mumbai, Kolkata, Chennai and New Delhi
564.

Which among the following is NOT a pillar of Basel III?

A. Minimum capital standards
B. Supervisory review
C. Market discipline
D. Consolidation of assets
E. None of the above
Answer» D. Consolidation of assets
565.

Budget is an instrument of                        

A. Commercial policy of the government
B. Fiscal policy of the Government
C. Monetary policy of the government
D. Money-saving policy of the government
E. None of these
Answer» B. Fiscal policy of the Government
566.

Kisan Credit Card (KCC) scheme introduced in ……………… has emerged as an innovative credit delivery mechanism to meet the credit requirements of the farmers in a timely and hassle – free manner.

A. 1998
B. 2000
C. 2001
D. 1991
E. 2004
Answer» A. 1998
567.

Which of the following is a Private Sector Bank in India?

A. Corporation Bank
B. Kotak Mahindra Bank
C. IDBI Bank
D. Syndicate Bank
E. Oriental Bank of Commerce
Answer» B. Kotak Mahindra Bank
568.

Why reserve bank of India is called custodian of foreign balances of the country?

A. because government delegates RBI to redistribute the foreign currencies in India
B. because RBI maintains both gold and foreign currencies as reserves against note issues
C. because RBI is delegated by the Government to absorb all the foreign currency in India
D. b and c
E. None of the above
Answer» B. because RBI maintains both gold and foreign currencies as reserves against note issues
569.

If the customer can do all transactions only in a branch and the branch has no online access, it is called .

A. Online Banking
B. Internet Banking
C. Virtual Banking
D. Brick and Mortar Banking
E. None of these
Answer» D. Brick and Mortar Banking
570.

Which of the following measures will have positive impact on Inflation? (1). Reduction in unnecessary expenditure of (2). Increase in savings of the people (3). Surplus (4). Halt in repayment of public debt and Select the correct codes

A. 1, 2 and 4
B. 2, 3 and 4
C. 1, 3 and 4
D. All of the above
E. None of the above
Answer» D. All of the above
571.

In respect of partnership business, LLP stands for ?

A. Limited Liability Partnership
B. Limited Loan Partnership
C. Local Labour Promotion
D. Low Labour Projects
E. None of these
Answer» A. Limited Liability Partnership
572.

When did the nationalisation of major banks happen?

A. June, 1951
B. June, 1961
C. June, 1969
D. July, 1969
E. None of these
Answer» D. July, 1969
573.

Interest payable on savings bank accounts is?

A. Regulated by Central Govt
B. Regulated by RBI
C. Regulated by Finance Minister
D. De-regulated by RBI
E. None of these
Answer» D. De-regulated by RBI
574.

Banking services delivered to a customer by means of a computer control system that does not directly involve banks branch is called?

A. Brick & Mortal banking
B. Virtual banking
C. Universal banking
D. All of the above
E. None of these
Answer» B. Virtual banking
575.

account records the change in stock of reserve assets (also known as foreign exchange reserves) at the country‘s monetary authority.

A. Reserve
B. Demat
C. Bank
D. Stock
E. None of these
Answer» A. Reserve
576.

Which of the following is NOT a retail banking product?

A. Fixed deposit account
B. Working capital finance
C. Personal loan
D. Housing loan
E. Educational loan
Answer» B. Working capital finance
577.

is defined as a sustained increase in the general level of prices for goods and services.

A. Deflation
B. WPI
C. Inflation
D. CPI
E. None of these
Answer» C. Inflation
578.

RBI was established on ?

A. April 21st,1940
B. April 20st,1943
C. April 22nd,1947
D. April 1st,1935
E. None of these
Answer» D. April 1st,1935
579.

referring to the purchase of assets in the rest of the world, which allows control over that assets.

A. Commercial Borrowings
B. Foreign Indirect Investment
C. Portfolio Investment
D. Foreign Direct Investment
E. None of these
Answer» D. Foreign Direct Investment
580.

Out of 27 Public Sector Banks (PSBs), Govt of India controls 22 banks through majority holding and which of the following state-run entities holds majority stake in the remaining 5 banks?

A. LIC
B. SIDBI
C. NABARD
D. SBI
E. Other than those given as options
Answer» D. SBI
581.

Which of the following is NOT a KYC requirement while opening a bank account?

A. A proof of identity
B. A proof of address
C. A proof of income
D. A recent photograph
E. None of these
Answer» C. A proof of income
582.

The term SMART MONEY refers to:

A. Traveller's Cheque
B. Internet Banking
C. Credit Cards
D. All of the above
E. None of These
Answer» C. Credit Cards
583.

Commercial banks provide locker facility to their customer for .

A. Satisfying the Bank’s jewellry and gold needs.
B. Filing important documents
C. Safe custody
D. Storing excess gold and valuables of banks
E. None of these
Answer» C. Safe custody
584.

ASBA (Application Supported by Blocked Amounts) used with the help of banks associated with

A. Capital Market
B. Loans
C. World Bank Grants
D. Ponzi Schemes
E. None of these
Answer» A. Capital Market
585.

The excess of total expenditures over total receipts is known as:

A. Fiscal Deficit
B. Revenue Deficit
C. Budget Deficit
D. Both b) and c)
E. None of These
Answer» C. Budget Deficit
586.

Who invented the first operational ATM ?

A. John Conner
B. John Smith Adam
C. Adam Carter
D. John Shepherd Barron
E. John Sayer
Answer» D. John Shepherd Barron
587.

A money deposited in a bank that cannot be withdrawn for a preset fixed period of time is known as:

A. Checking Account
B. Term Deposit
C. No Frills Account
D. All of the above
E. None of These
Answer» B. Term Deposit
588.

FEMA 1999 stands for .

A. Foreign Economy Management Act 1999
B. Foreign External Management Act 1999
C. Foreign Exchange Management Act 1999
D. Financial Exchange Management Act 1999
E. None of these
Answer» C. Foreign Exchange Management Act 1999
589.

Regional Rural Banks were established in the year                    

A. 1985
B. 1948
C. 1975
D. 1995
E. 1994
Answer» C. 1975
590.

‗Trusted Family Bank‘ – is the tagline of –

A. Dena Bank
B. Corporation Bank
C. Central Bank of India
D. Oriental Bank of Commerce
E. None of these
Answer» A. Dena Bank
591.

Foreign Direct Investment limit in private sector banks is?

A. 75 percent
B. 74 percent
C. 77 percent
D. 78 percent
E. None of these
Answer» B. 74 percent
592.

CRISIL has been promoted by and           ?

A. ICICI, UTI
B. IDBI, SBI
C. AXIS, UTI
D. PNB, SBI
E. None of these
Answer» A. ICICI, UTI
593.

Which is the first Committee that gave its recommendations relating to Mechanization of Banking System?

A. Saraf Committee
B. Rangarajan Committee
C. Kishore Committee
D. Narsimhan Committee
E. None of these
Answer» B. Rangarajan Committee
594.

The decimal system of note and coin issue was started in India in _.

A. 1950
B. 1947
C. 1957
D. 1960
E. None of these
Answer» C. 1957
595.

The term is defined as a central location for keeping securities on deposit?

A. Depository
B. Instrument
C. Institutions
D. All of the above
E. None of the above
Answer» A. Depository
596.

The number of lead merchant bankers may not exceed in case any issue of, issue size 200crore to 400crore?

A. 4
B. 3
C. 6
D. 5
E. None of these
Answer» D. 5
597.

Role of merchant bankers——–?

A. Mobilization of funds
B. Promotional function
C. Innovation
D. All of these
E. None of these
Answer» D. All of these
598.

In which circumstance Dear money policy will be adopted by Reserve Bank of India?

A. Inflation
B. inflatable
C. disinflation
D. Ostentation
E. none of these
Answer» A. Inflation
599.

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. None of these
Answer» A. Granting Loans
600.

Reserves which can act as a liquidity buffer for commercial banks during crisis times are

A. CAR
B. SLR
C. CAR and CRR
D. CRR and SLR
E. None of these
Answer» B. SLR

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