In order to aid your exam preparation, we are presenting a ‘Banking Awareness Quiz’ that you can score well in this section.
Q.1) Marginal Standing Facility (MSF) is a new scheme announced by the Reserve Bank of India (RBI) in its Monetary Policy (2011-12). It refers to ____
a) Controlling Inflation
b) Containing instability in the overnight interbank rates
c) Containing instability in long term inter-bank rates
d) All of the above
e) None of the above
Q.2) ______ is the process of reducing debt through regular installment payments of principal and interest that will result in the payoff of a loan at its maturity.
a) Redlining
b) Phishing
c) Fiduciary
d) Amortization
e) Arbitrage
Q.3) Crossing of cheques can be done by whom?
a) Drawer only
b) Drawee only
c) Drawer, drawee and payee also
d) Payee only
e) None of the above
Q.4) The minimum maturity period for fixed deposits under NRE Account is ___.
a) 7 days
b) 6 months
c) 1 year
d) 3 years
e) 5 years
Q.5) Which of the following is the basic objectives of R.B. I’s monetary policy?
a) To control deficit in the balance of payment
b) To control public expenditure
c) To control deficit of the budget
d) To control cost and availability of money
e) None of these
Q.6) Interest on the savings bank accounts is compounded ____.
a) Daily
b) Yearly
c) Quarterly
d) Half-yearly
e) All of the above
Q.7) The Facility of exchanging SBN for NRIs is from Jan 2nd,2017 to _____.
a) July 31st, 2017
b) Dec 31st, 2017
c) March 31st, 2017
d) June 30th, 2017
e) Sep 30th, 2017
Q.8) What does the term SME stand for?
a) State and Medium Economy
b) Small and Medium Economy
c) Small and Micro Enterprises
d) Small and Medium Enterprises
e) Small and Minimum Enterprises
Q.9) _____ is a short-term and unsecured promissory note issued by corporations with very high credit standings.
a) Treasury Bills
b) Bill of exchange
c) Commercial Paper
d) Both a and b
e) None of these
Q.10) FCNR (B) accounts can be maintained in the form of_____
a) Savings account
b) Current account
c) Term deposit account
d) Both a and b
e) Both b and c
| ANSWER |
| 1.b) Containing instability in the overnight interbank rates | 6.a) Daily |
| 2.d) Amortization | 7.d) June 30th, 2017 |
| 3.a) Drawer only | 8.d) Small and Medium Enterprises |
| 4.c) 1 year | 9.c) Commercial Paper |
| 5.d) To control cost and availability of money | 10.c) Term deposit account |
