McqMate
| 1. |
Indian banks were nationalised in the year |
| A. | 1949 |
| B. | 1969 |
| C. | 1959 |
| D. | 1979 |
| Answer» B. 1969 | |
| 2. |
Bankers are not only purveyors of money but also an important sense they are |
| A. | consumers |
| B. | manufacturers |
| C. | lenders |
| D. | borrowers |
| Answer» B. manufacturers | |
| 3. |
Primary functions of a commercial banks are ........... and lending |
| A. | honouring cheques |
| B. | accepting deposits |
| C. | issuing cheques |
| D. | issuing dd |
| Answer» B. accepting deposits | |
| 4. |
The total number of public sector banks in India is |
| A. | 14 |
| B. | 12 |
| C. | 28 |
| D. | 22 |
| Answer» C. 28 | |
| 5. |
Indian Institute of Bankers is registered as............. |
| A. | trustee |
| B. | association |
| C. | joint stock company |
| D. | co-op society |
| Answer» C. joint stock company | |
| 6. |
The head quarters of National Housing Bank is |
| A. | new delhi |
| B. | mumbai |
| C. | agra |
| D. | hyderabad |
| Answer» B. mumbai | |
| 7. |
The Head quarters of Allahabad Bank is |
| A. | allahabad |
| B. | mumbai |
| C. | calcutta |
| D. | delhi |
| Answer» C. calcutta | |
| 8. |
The ‘Teller System’ has been introduced by banks to......... |
| A. | canvas more customers |
| B. | make quick payment of cheque |
| C. | clarify enquiries |
| D. | advice customers |
| Answer» B. make quick payment of cheque | |
| 9. |
Money at call and short notice of a bank is ............ |
| A. | secured advance |
| B. | bankers second line of advance |
| C. | widely distributed loans |
| D. | all the above |
| Answer» B. bankers second line of advance | |
| 10. |
The terms drawer, drawee and payee are associated with; |
| A. | cheques |
| B. | promissory notes |
| C. | delivery order |
| D. | hundies |
| Answer» A. cheques | |
| 11. |
Where the RBI has no branch the bank which can act as its agent is; |
| A. | any commercial bank |
| B. | any nationalised bank |
| C. | sbi |
| D. | indian bank |
| Answer» C. sbi | |
| 12. |
Unless otherwise specified DD or cheques is valid for a period of; |
| A. | 6 months |
| B. | 1 year |
| C. | 3 months |
| D. | one month |
| Answer» C. 3 months | |
| 13. |
RBI was nationalised in the year |
| A. | 1941 |
| B. | 1949 |
| C. | 1943 |
| D. | 1935 |
| Answer» B. 1949 | |
| 14. |
The drawee of a cheque is always.......... |
| A. | customer |
| B. | minor |
| C. | company |
| D. | bank |
| Answer» D. bank | |
| 15. |
Commercial banks in India was organised as....... |
| A. | sole proprietorship |
| B. | joint stock company |
| C. | partnership |
| D. | joint sector |
| Answer» B. joint stock company | |
| 16. |
In India ............. banks are nationalised in the year 1969 |
| A. | 16 |
| B. | 19 |
| C. | 14 |
| D. | 22 |
| Answer» C. 14 | |
| 17. |
Second nationalisation of commercial banks (6 banks)was in the year |
| A. | 1979 |
| B. | 1980 |
| C. | 1984 |
| D. | 1976 |
| Answer» B. 1980 | |
| 18. |
Cooperative banks are registered under............. |
| A. | rbi act |
| B. | banking regulation act |
| C. | co-operative societies act |
| D. | any of the above |
| Answer» C. co-operative societies act | |
| 19. |
The first Regional Rural Bank came into existence on |
| A. | 1972 |
| B. | 1964 |
| C. | 1975 |
| D. | 1977 |
| Answer» C. 1975 | |
| 20. |
The largest public sector bank in India is |
| A. | rbi |
| B. | sbi |
| C. | canara bank |
| D. | indian overseas bank |
| Answer» B. sbi | |
| 21. |
RRB Act was enacted in the year |
| A. | 1974 |
| B. | 1979 |
| C. | 1975 |
| D. | 1976 |
| Answer» C. 1975 | |
| 22. |
............. is the apex institution for rural development and rural credit |
| A. | rbi |
| B. | idbi |
| C. | nabard |
| D. | irbi |
| Answer» D. irbi | |
| 23. |
RBI was established in the year |
| A. | 1949 |
| B. | 1935 |
| C. | 1964 |
| D. | 1947 |
| Answer» B. 1935 | |
| 24. |
Medium term loans are meant for a period |
| A. | 3-5 years |
| B. | 5-10 years |
| C. | over 10 years |
| D. | 1-3 years |
| Answer» A. 3-5 years | |
| 25. |
Possession of a security practically with the banker is in the case of |
| A. | mortgage |
| B. | pledge |
| C. | hypothecation |
| D. | hire purchase |
| Answer» B. pledge | |
| 26. |
Maximum number of withdrawals permitted per half year weather by cheque or otherwise in saving bank account |
| A. | 100 |
| B. | 200 |
| C. | 50 |
| D. | no limit |
| Answer» C. 50 | |
| 27. |
The banker’s obligation to pay his customers cheque is a duty towards............ |
| A. | the drawee |
| B. | the drawer |
| C. | the holder |
| D. | the payee |
| Answer» B. the drawer | |
| 28. |
Collateral security means |
| A. | advance against supply bills |
| B. | share and debentures |
| C. | goods pledged to the bank |
| D. | additional security |
| Answer» D. additional security | |
| 29. |
RBI issues currency notes on the basis of............ |
| A. | minimum reserve |
| B. | general reserve |
| C. | proportional reserve |
| D. | gold reserve |
| Answer» A. minimum reserve | |
| 30. |
The term “Reserve” in Reserve bank of India indicates |
| A. | reserved for govt. business alone |
| B. | it keeps reserves of all commercial banks |
| C. | no special significance |
| D. | it keeps foreign currency |
| Answer» B. it keeps reserves of all commercial banks | |
| 31. |
SBI was established in the year |
| A. | 1954 |
| B. | 1956 |
| C. | 1955 |
| D. | 1964 |
| Answer» C. 1955 | |
| 32. |
For opening new branch of a bank should obtain the sanction of.......... |
| A. | central government |
| B. | state government |
| C. | rbi |
| D. | all the above |
| Answer» C. rbi | |
| 33. |
Negotiable Instrument Act was passed in the year |
| A. | 1856 |
| B. | 1875 |
| C. | 1881 |
| D. | 1882 |
| Answer» C. 1881 | |
| 34. |
NABARD is administered by |
| A. | rbi |
| B. | sbi |
| C. | board of directors |
| D. | central govt. |
| Answer» C. board of directors | |
| 35. |
A depositor can withdraw money from the bank any number of time in............. |
| A. | fixed deposit |
| B. | savings bank |
| C. | current a/c |
| D. | recurring deposit |
| Answer» C. current a/c | |
| 36. |
A cheque is deemed stale after |
| A. | one month |
| B. | 3 months |
| C. | 6 months |
| D. | one year |
| Answer» B. 3 months | |
| 37. |
Bank rate policy is aimed at |
| A. | development of banks |
| B. | helping loan takers |
| C. | stabilising internal price level |
| D. | none of these. |
| Answer» C. stabilising internal price level | |
| 38. |
Bank of England was established in the year |
| A. | 1586 |
| B. | 1612 |
| C. | 1694 |
| D. | 1656 |
| Answer» C. 1694 | |
| 39. |
Garnishee order is to restrain a banker from |
| A. | receiving deposit |
| B. | making payment |
| C. | accepting bills |
| D. | crossing of cheques |
| Answer» B. making payment | |
| 40. |
A banker need not bother too much to open an account in the name of a person when receiving......... |
| A. | term deposit |
| B. | demand deposit |
| C. | saving deposit |
| D. | call deposit |
| Answer» A. term deposit | |
| 41. |
Primary relationship between banker and customer is that of |
| A. | dealer and customer |
| B. | principal and agent |
| C. | debtor and creditor |
| D. | vender and buyer |
| Answer» C. debtor and creditor | |
| 42. |
Bankers lien is a general lien and is |
| A. | a special type of mortgage |
| B. | an implied pledge |
| C. | a pledged transaction |
| D. | hypothecation transaction |
| Answer» B. an implied pledge | |
| 43. |
Which country is popular for branch banking |
| A. | britain |
| B. | china |
| C. | india |
| D. | japan |
| Answer» A. britain | |
| 44. |
Whose signature is affixed on currency notes |
| A. | president |
| B. | prime minister |
| C. | rbi governor |
| D. | finance minister |
| Answer» C. rbi governor | |
| 45. |
A post dated cheque is one which bears; |
| A. | a date which is not more than 6 months |
| B. | future date |
| C. | an impossible date |
| D. | back date |
| Answer» B. future date | |
| 46. |
A banker has the right to disclose the account position of a customer to........... |
| A. | intimate friend |
| B. | customers wife |
| C. | trade reference |
| D. | customers relatives |
| Answer» C. trade reference | |
| 47. |
An account usually maintained by businessmen in a bank is |
| A. | current account |
| B. | saving bank account |
| C. | recurring deposit account |
| D. | none of these |
| Answer» A. current account | |
| 48. |
The system of banking attracting deposits and lending for short period is called |
| A. | mixed banking |
| B. | deposit banking |
| C. | credit system |
| D. | lending system |
| Answer» B. deposit banking | |
| 49. |
When a loan is advanced on the basis of immovable property, it is called |
| A. | pledge |
| B. | hypothecation |
| C. | mortgage |
| D. | lien |
| Answer» C. mortgage | |
| 50. |
When a loan is advanced on the basis of movable property, it is called |
| A. | pledge |
| B. | hypothecation |
| C. | mortgage |
| D. | lien |
| Answer» B. hypothecation | |
| 51. |
Which of the following are not methods of credit control |
| A. | bank rate |
| B. | rationing credit |
| C. | issue of notes |
| D. | direct action |
| Answer» C. issue of notes | |
| 52. |
The banker will refuse payment against |
| A. | post dated cheque |
| B. | mutilated cheque |
| C. | insufficient fund in a/c |
| D. | all of these |
| Answer» D. all of these | |
| 53. |
The following is not a demand deposit |
| A. | fixed deposit |
| B. | annuity deposit |
| C. | fixed deposit due |
| D. | all of these |
| Answer» A. fixed deposit | |
| 54. |
A cheque bearing a back date from the date of issue is |
| A. | stale cheque |
| B. | post dated cheque |
| C. | marked cheque |
| D. | ante dated cheque |
| Answer» D. ante dated cheque | |
| 55. |
Banker lien shall not exercise upon |
| A. | cheques for collection |
| B. | bills for collection |
| C. | call deposit |
| D. | safe custody deposits |
| Answer» D. safe custody deposits | |
| 56. |
Key loans are usually allowed on |
| A. | buildings |
| B. | goods under safe custody |
| C. | goods in transit |
| D. | goods for sale |
| Answer» D. goods for sale | |
| 57. |
The country popular for unit banking is |
| A. | russia |
| B. | india |
| C. | america |
| D. | britain |
| Answer» C. america | |
| 58. |
Overdraft facility is allowed to reputed customers on |
| A. | sb account |
| B. | current account |
| C. | fixed deposit |
| D. | call deposit |
| Answer» B. current account | |
| 59. |
The authority controlling the clearing house scheme is |
| A. | rbi |
| B. | sbi |
| C. | sebi |
| D. | govt. |
| Answer» A. rbi | |
| 60. |
Crossing of a cheque can be done by |
| A. | drawer only |
| B. | payee only |
| C. | any holder |
| D. | none of these |
| Answer» C. any holder | |
| 61. |
Cash Reserve Ratio of banks is insisted in RBI Act of 1934 under section |
| A. | 15 |
| B. | 42 |
| C. | 32 |
| D. | 18 |
| Answer» B. 42 | |
| 62. |
In order to determine a cheque valid or not one has to examine.......... |
| A. | actual date of issue |
| B. | date of receipt by payee |
| C. | date of endorsement |
| D. | date that cheque bears |
| Answer» D. date that cheque bears | |
| 63. |
RBI is an example of |
| A. | chartered company |
| B. | statutory company |
| C. | registered company |
| D. | unlimited company |
| Answer» B. statutory company | |
| 64. |
A bank draft is drawn by |
| A. | customer |
| B. | bank |
| C. | trader |
| D. | any of the above |
| Answer» B. bank | |
| 65. |
Pledge means........ |
| A. | advance against goods |
| B. | to draw over and above deposit |
| C. | bailment of goods as security |
| D. | mortgage of building |
| Answer» C. bailment of goods as security | |
| 66. |
One Rupee notes is issued by |
| A. | rbi |
| B. | sbi |
| C. | ministry of finance |
| D. | both rbi and govt. |
| Answer» C. ministry of finance | |
| 67. |
A place where representatives of banks meet to settle cheques for collection |
| A. | bankers club |
| B. | acceptance bank |
| C. | clearing house |
| D. | discount house |
| Answer» C. clearing house | |
| 68. |
Which of the following is subsidiary function of a bank |
| A. | accepting deposit |
| B. | granting credit |
| C. | safe custodial service |
| D. | banking services |
| Answer» D. banking services | |
| 69. |
Ownership of IDBI is vested with |
| A. | rbi |
| B. | govt. of india |
| C. | sbi |
| D. | sidbi |
| Answer» B. govt. of india | |
| 70. |
Credit card system was firstly developed in.......... |
| A. | bank of england |
| B. | bank of america |
| C. | rbi |
| D. | bank of tokyo |
| Answer» B. bank of america | |
| 71. |
Call deposit is modified form of................ |
| A. | fixed deposit |
| B. | demand draft |
| C. | term deposit |
| D. | sb deposit |
| Answer» D. sb deposit | |
| 72. |
The EXIM bank established in the year |
| A. | 1982 |
| B. | 1992 |
| C. | 1998 |
| D. | 1975 |
| Answer» A. 1982 | |
| 73. |
NABARD was established in the year |
| A. | 1986 |
| B. | 1982 |
| C. | 1990 |
| D. | 1964 |
| Answer» B. 1982 | |
| 74. |
Lead Bank scheme was introduced by RBI in the year |
| A. | 1986 |
| B. | 1969 |
| C. | 1975 |
| D. | 1980 |
| Answer» B. 1969 | |
| 75. |
Rule of Claytons Case is related with |
| A. | fixed deposit |
| B. | appropriation of debt |
| C. | cash credit |
| D. | term loans |
| Answer» B. appropriation of debt | |
| 76. |
Garnishee order is issued by |
| A. | state govt. |
| B. | central govt. |
| C. | rbi |
| D. | court of law |
| Answer» D. court of law | |
| 77. |
Scheduled bank is one................. |
| A. | which is included in ii schedule of rbi |
| B. | which is included in ii schedule of banking regulation act |
| C. | institution dealing in money |
| D. | which gives loan to sc/st |
| Answer» A. which is included in ii schedule of rbi | |
| 78. |
SBI was set up by nationalising |
| A. | bank of calcutta |
| B. | imperial bank |
| C. | national provincial bank |
| D. | bharath bank |
| Answer» B. imperial bank | |
| 79. |
A bankers lien is |
| A. | general |
| B. | particular |
| C. | proportional |
| D. | specific |
| Answer» A. general | |
| 80. |
Number of subsidiary banks of SBI is |
| A. | 5 |
| B. | 10 |
| C. | 14 |
| D. | 7 |
| Answer» D. 7 | |
| 81. |
Signature of one rupee note is of..... |
| A. | rbi governor |
| B. | finance secretary |
| C. | president of india |
| D. | finance minister |
| Answer» B. finance secretary | |
| 82. |
Origin of banking is said to be closely connected with |
| A. | arabs |
| B. | romans |
| C. | indians |
| D. | jews |
| Answer» D. jews | |
| 83. |
The best example of pure commercial banking is |
| A. | british banking |
| B. | german banking |
| C. | indian banking |
| D. | japanese banking |
| Answer» A. british banking | |
| 84. |
Which country’s banking is regarded as best example of mixed banking |
| A. | germany |
| B. | usa |
| C. | britain |
| D. | india |
| Answer» A. germany | |
| 85. |
Money at call is otherwise known as.......... |
| A. | overdraft |
| B. | overnight money |
| C. | credit card |
| D. | cash credit |
| Answer» B. overnight money | |
| 86. |
............ bank is one which specialise in financing foreign trade of a country |
| A. | unit |
| B. | branch |
| C. | overseas |
| D. | exchange |
| Answer» D. exchange | |
| 87. |
“A central bank is an institution charged with responsibility of regulating supply and cost of money in the interest of general public”. This definition was made by; |
| A. | h l hart |
| B. | keynes |
| C. | john paget |
| D. | dudley johnson |
| Answer» D. dudley johnson | |
| 88. |
Commercial bank can be either unit banking type or ----------- banking type. |
| A. | central |
| B. | branch |
| C. | specialised |
| D. | rural |
| Answer» B. branch | |
| 89. |
Discounting of bills of exchange is.......... function of commercial banks |
| A. | lending |
| B. | borrowing |
| C. | investment |
| D. | agency |
| Answer» A. lending | |
| 90. |
Industrial banks are also called .......... as they subscribing the securities issued by the industrial concerns. |
| A. | share banks |
| B. | loan banks |
| C. | development banks |
| D. | investment bank |
| Answer» D. investment bank | |
| 91. |
IDBI and IFCI are examples of........... |
| A. | commercial bank |
| B. | co-operative bank |
| C. | industrial bank |
| D. | unit bank |
| Answer» C. industrial bank | |
| 92. |
International Bank for Reconstruction and Development is popularly known as |
| A. | international bank |
| B. | overseas bank |
| C. | world bank |
| D. | imf |
| Answer» C. world bank | |
| 93. |
Payment of premium by a commercial bank is a part of their........ System. |
| A. | deposit |
| B. | agency |
| C. | exchange |
| D. | utility |
| Answer» B. agency | |
| 94. |
Unit banks are linked with bigger banks by a system called........ |
| A. | mixed banking |
| B. | group banking |
| C. | correspondent banking |
| D. | network banking |
| Answer» C. correspondent banking | |
| 95. |
Bank is a “factory” of............. |
| A. | cash |
| B. | coins |
| C. | credit |
| D. | deposit |
| Answer» C. credit | |
| 96. |
NPA stands for............. |
| A. | normal profit achievement |
| B. | nonperforming assets |
| C. | non profit advances |
| D. | non performing agents |
| Answer» B. nonperforming assets | |
| 97. |
Commercial banks act as income tax consultant. This is a.............. function. |
| A. | lending |
| B. | utility |
| C. | agency |
| D. | demand. |
| Answer» B. utility | |
| 98. |
.......... Ratio refers to that portion of total deposits of commercial bank which it has to keep with central bank in the form of cash reserve. |
| A. | slr |
| B. | crr |
| C. | plr |
| D. | repo |
| Answer» B. crr | |
| 99. |
Non Banking Financial Corporation’s (NBFCs) are otherwise known as........... |
| A. | narrow banks |
| B. | para banks |
| C. | virtual banks |
| D. | link banks |
| Answer» B. para banks | |
| 100. |
Maximum period for which deposits can be obtained by a NBFC is |
| A. | 5 years |
| B. | 15 years |
| C. | 10 years |
| D. | 2 years |
| Answer» C. 10 years | |
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