MCQOPTIONS
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MCQOPTIONS
This section includes 3653 Mcqs, each offering curated multiple-choice questions to sharpen your Banking And Financial Awareness knowledge and support exam preparation. Choose a topic below to get started.
| 3501. |
Expand the term BCBS. [Corporation Bank 2011] |
| A. | Bank's Committee on Banking Supervision |
| B. | Basel Committee on Banking Supervision |
| C. | Bank's Commission on Banking Supervision |
| D. | Basel Commission on Banking Supervision |
| Answer» E. | |
| 3502. |
What is meant by "Underwriting", the term frequently used in financial sector? [Punjab & Sindh 2011] |
| A. | Undervaluation of the assets |
| B. | The act of taking on a risk for a fee |
| C. | Giving a Guarantee that a loan will not become a bad loan |
| D. | The act of permission to float an IPO |
| Answer» C. Giving a Guarantee that a loan will not become a bad loan | |
| 3503. |
Basel-II norms are associated with which of the following aspects of the banking industry? [Punjab & Sindh 2011] |
| A. | Risk management |
| B. | Manpower planning |
| C. | Retirement benefits for the employees |
| D. | Corporate Governance |
| Answer» B. Manpower planning | |
| 3504. |
Which of the following is NOT a Public Sector Unit? [Indian Overseas Bank 2011] |
| A. | HPCL |
| B. | Yes Bank |
| C. | HAL |
| D. | SAIL |
| Answer» C. HAL | |
| 3505. |
Which is a hybrid security, combining features of preferred stock and corporate bonds? [SBI 2016] |
| A. | UPI |
| B. | NPCI |
| C. | NEFT |
| D. | MIPS |
| Answer» E. | |
| 3506. |
According to the Reserve Bank of India which of the following contribute to more than three- fourth of the total Non- Performing Assets (NPAs)? [SBI 2014] |
| A. | Public Sector bank |
| B. | Foreign Bank |
| C. | Private Bank |
| D. | Regional Rural Bank |
| Answer» B. Foreign Bank | |
| 3507. |
What is Forex? [Punjab & Sindh 2011] |
| A. | It is buying of foreign currency. |
| B. | It is selling of foreign currency. |
| C. | It is buying of one currency and selling of another currency. |
| D. | It is simultaneous buying of one currency and selling of another currency. |
| Answer» E. | |
| 3508. |
Which committee framed the RRB Act? [IBPS Main 2015] |
| A. | Narsimham Committee |
| B. | Ashok Mehta Committee |
| C. | Sachar Committee |
| D. | Shah Nawaz Committee |
| Answer» B. Ashok Mehta Committee | |
| 3509. |
Banks in our country normally publicise that additional interest rate is allowed on retail domestic term deposits of [IBPS 2011] |
| A. | Minors |
| B. | Married women |
| C. | Senior citizens |
| D. | Govt employees |
| Answer» D. Govt employees | |
| 3510. |
The most significant feature of ICICI's operations is |
| A. | the foreign currency loans sanctioned by it |
| B. | to channelise World Bank Funds to industry in India and to build capital market in India |
| C. | the refinance facilities extended by it |
| D. | Both [a] and [b] |
| Answer» E. | |
| 3511. |
ICICI provides assistance by way of |
| A. | long and medium-term loans and equity participation |
| B. | guaranteeing rupee and foreign, currency loans raised from other sources |
| C. | underwriting issues of shares and debentures |
| D. | All of the above |
| Answer» E. | |
| 3512. |
Bank's involvement in the Pension Fund Management (PFM) business is allowed under |
| A. | Pension Fund Regulatory and Development Authority (PFRDA) Act, 2013 |
| B. | Section 6 of the Banking Regulation Act, 1949 |
| C. | The Pensions Act, 1871 |
| D. | General Provident Fund (Central Services) Rules/1960 |
| Answer» C. The Pensions Act, 1871 | |
| 3513. |
Which of the following statements is/are correct about bank's insurance business? |
| A. | Banks can set up a subsidiary/joint venture/ as well as undertake insurance broking/ insurance agency. |
| B. | Banks do not need prior approval of RBI for setting up a subsidiary/joint venture. |
| C. | Both [a] and [b] |
| D. | None of these |
| Answer» B. Banks do not need prior approval of RBI for setting up a subsidiary/joint venture. | |
| 3514. |
Money Market Mutual Funds (MMMFs) are regulated by |
| A. | RBI |
| B. | SEBI |
| C. | All India Financial Institutions |
| D. | All of the above |
| Answer» C. All India Financial Institutions | |
| 3515. |
Which of the following public sector banks is regarded as being the first to launch its own Mutual Fund Scheme? |
| A. | SBI |
| B. | PNB |
| C. | Bank of India |
| D. | Canara Bank |
| Answer» B. PNB | |
| 3516. |
The main function(s) of SIDBI is/are |
| A. | to provide refinance for loans and advances extended by the primary lending institutions to SSI units and also to provide resources support to them |
| B. | it discounts and rediscounts bill arising from sale of machinery to or manufactured by industrial units in the SSI sector |
| C. | it extends seed capital/soft loan assistance under National Equity Fund, Manila Udyan Nidhi and Manila Vikas Nidhi and Seed Capital Schemes through specified lending agencies |
| D. | All of the above |
| Answer» E. | |
| 3517. |
Which of the following constitute the code of conduct for merchant bankers as stipulated by SEBI? |
| A. | Maintenance of high degree of standards of integrity and fairness in dealings |
| B. | Providing true and adequate information to investors and abide by the provisions of various acts, rules and regulation etc |
| C. | Ethical conduct of business and provision of information to customers in respect of code |
| D. | All of the above |
| Answer» E. | |
| 3518. |
Which of the following laws governs RBI's approval for making strategic investment in VCFs? |
| A. | Section 19(2) of the Banking Regulation Act, 1949 |
| B. | State Financial Corporations Act, 1951 |
| C. | Reserve Bank of India Act, 1934 |
| D. | Companies Act, 1956 |
| Answer» B. State Financial Corporations Act, 1951 | |
| 3519. |
All merchant banks must be worth atleast |
| A. | Rs. 1 crore |
| B. | Rs. 2 crore |
| C. | Rs. 3 crore |
| D. | Rs. 4 crore |
| Answer» B. Rs. 2 crore | |
| 3520. |
SMERA is an SME Rating Agency in India meant for |
| A. | rating on credit worthiness of MSME |
| B. | rating on quality management |
| C. | rating on training system |
| D. | rating on technology usage in (the organisation) |
| Answer» B. rating on quality management | |
| 3521. |
Which of the following is/are not reflected in Balance Sheet? |
| A. | Liabilities |
| B. | Equity capital |
| C. | Total debt |
| D. | All of the above |
| Answer» E. | |
| 3522. |
Which of the following statements is/are correct? I. Indian scheduled commercial banks are required to maintain a CAR of 9%. II. Indian public sector banks need to maintain a CAR of 12%. |
| A. | I only |
| B. | II only |
| C. | Both [a] and [b] |
| D. | None of these |
| Answer» D. None of these | |
| 3523. |
Subordinated Debt forms the part of |
| A. | tier-II Capital |
| B. | tier-I Capital |
| C. | both [a] and [b] |
| D. | None of these |
| Answer» D. None of these | |
| 3524. |
Which among the following is related to bank risks? |
| A. | Deposits |
| B. | Bank funds |
| C. | NPA |
| D. | All of these |
| Answer» D. All of these | |
| 3525. |
Non-performing assets are cause for serious concerns for banks. Why are these loans known as non-performing? |
| A. | Recovery of bank's funds are difficult |
| B. | Interest on these accounts are not charged |
| C. | Banks have to make provision for these loans in their balance sheet |
| D. | All of the above |
| Answer» E. | |
| 3526. |
Loss on sale of plant and machinery should be written off against |
| A. | share premium |
| B. | depreciation fund account |
| C. | sale account |
| D. | profit and loss account |
| Answer» C. sale account | |
| 3527. |
Restructured loan is also called as |
| A. | strong loan |
| B. | weak plan |
| C. | bad loan |
| D. | None of these |
| Answer» C. bad loan | |
| 3528. |
The convention of conservatism is applicable in |
| A. | providing for discount on creditors |
| B. | making provision for bad doubtful debts |
| C. | providing depreciation |
| D. | All of the above |
| Answer» C. providing depreciation | |
| 3529. |
As per guidelines issued by the Reserve Bank of India, Banks may classify a loan as Non-Performing Asset (NPA), only if the interest due and the principal during any quarter is not serviced fully within |
| A. | 90 days from the end of the quarter |
| B. | 60 days from the end of the quarter |
| C. | 30 days from the end of the quarter |
| D. | None of these |
| Answer» B. 60 days from the end of the quarter | |
| 3530. |
Which of the following is not a category of nonperforming assets? |
| A. | Substandard Assets |
| B. | Doubtful Assets |
| C. | Loss Assets |
| D. | Tangible Assets |
| Answer» E. | |
| 3531. |
What is the percentage of gross non- performing assets (gross NPA) for public- sector banks as of December 2016? |
| A. | 0.03 |
| B. | 0.11 |
| C. | 0.08 |
| D. | 0.093 |
| Answer» C. 0.08 | |
| 3532. |
A current account in a bank means |
| A. | in which balances are kept high |
| B. | interest is not paid on the balance in the account |
| C. | in which transactions should take place daily |
| D. | availing credit facilities |
| Answer» C. in which transactions should take place daily | |
| 3533. |
In respect of "Door Step Banking", RBI has issued directives under the provisions of |
| A. | Reserve Bank of India Act, 1934 |
| B. | Negotiable Instruments Act, 1881 |
| C. | Banking Regulation Act, 1949 |
| D. | Shops and Establishments Act |
| Answer» D. Shops and Establishments Act | |
| 3534. |
Mangalam village became the first village in India where all households were provided banking facilities. Mangalam village is situated in which of the following Union Territories? |
| A. | Delhi |
| B. | Chandigarh |
| C. | Puducherry |
| D. | Daman and Diu |
| Answer» D. Daman and Diu | |
| 3535. |
Which of the following cannot be endorsed? |
| A. | A fixed deposit receipt |
| B. | A bank draft |
| C. | A Promissory note |
| D. | A usance bill of exchange |
| Answer» D. A usance bill of exchange | |
| 3536. |
Which financial entities can issue Certificate of Deposits (CDs)? |
| A. | Scheduled Commercial Banks, excluding RRBs |
| B. | Financial Institutions permitted by RBI |
| C. | Both [a] and [b] |
| D. | None of the above |
| Answer» E. | |
| 3537. |
Voting rights in the IMF are distributed on the basis of |
| A. | one country, one vote |
| B. | proportion to the share of the income of the country in the world income |
| C. | proportion to contributions given by each country |
| D. | proportion to quota allotted to countries from time to time |
| Answer» E. | |
| 3538. |
National Saving Scheme (NSS-922) has been closed by the government since |
| A. | 1st November, 1999 |
| B. | 1st November, 2000 |
| C. | 1st November, 2001 |
| D. | 1st November, 2002 |
| Answer» E. | |
| 3539. |
Maximum amount in Mudra scheme is [SBI Clerk 2016] |
| A. | Rs. 5 lakh |
| B. | Rs. 10 lakh |
| C. | Rs. 15 lakh |
| D. | Rs. 20 lakh |
| Answer» C. Rs. 15 lakh | |
| 3540. |
According to Reserve Bank of India (RBI) guidelines, payment banks are not permitted to [RBI Grade B 2015] |
| A. | setup branches/ATMs |
| B. | undertake utility bill payment services |
| C. | issue debit cards |
| D. | distribute insurance/mutual fund/pension products |
| Answer» D. distribute insurance/mutual fund/pension products | |
| 3541. |
After excluding the internal profit generation, extra capital facilities available under the Indradhanush Mission by the GoI will be upto which financial year? |
| A. | 2017 |
| B. | 2018 |
| C. | 2019 |
| D. | 2020 |
| Answer» D. 2020 | |
| 3542. |
Consider the following features of small banks, I. They can accept any deposit like commercial banks. II. Their off operation will be restricted. III. Small finance banks will be allowed to lend money also. Which of the above statements is/are correct? |
| A. | I and II |
| B. | II and III |
| C. | I, II and III |
| D. | I and III |
| Answer» D. I and III | |
| 3543. |
Elements of core banking include |
| A. | Processing cash deposits and withdrawals |
| B. | Processing Payments and cheques |
| C. | Calculating interest |
| D. | All of these |
| Answer» E. | |
| 3544. |
Mudra Ltd. has been functional since 8th April, 2015. What is MUDRA? |
| A. | Micro Units Development or Refinance Agency |
| B. | Micro Units Development and Refinance Agent |
| C. | Micro Units Developed and Refinance Agency |
| D. | Micro Units Development and Refinance Agency |
| Answer» E. | |
| 3545. |
All those businesses that have been just started and looking for loan will fall in this category. |
| A. | Shishu Category |
| B. | Kishor Category |
| C. | Tarun Category |
| D. | a and b |
| Answer» B. Kishor Category | |
| 3546. |
Capital requirement of minimum paid-up equity is |
| A. | Rs. 25 crore |
| B. | Rs. 50 crore |
| C. | Rs. 100 crore |
| D. | Rs. 200 crore |
| Answer» D. Rs. 200 crore | |
| 3547. |
Major functions of BBB |
| A. | Guide banks on mergers and consolidations |
| B. | Guide banks on investment |
| C. | Guide banks on HR solution |
| D. | Guide banks on Scheme |
| Answer» B. Guide banks on investment | |
| 3548. |
The Govt of India recently provided an amount of Rs. 65,300 cr to about 3.6 cr farmers in India. What was the purpose of the distribution of this much amount to the farmers? [Andhara Bank 2009] |
| A. | To enable them to purchase tractors and other hitech agricultural machines |
| B. | This was given to them as a debt waiver and relief package. |
| C. | To provide them fertilisers and advanced high- yielding seeds for the next harvesting season |
| D. | To help them avail Internet services and update their knowledge about the farming techniques and adopt new methods of the same |
| Answer» C. To provide them fertilisers and advanced high- yielding seeds for the next harvesting season | |
| 3549. |
Which of the following correctly describes what sub-prime lending is? [IOB 2008] (1) Lending to the people who cannot return the loans. (2) Lending to the people who are high- value customers of the banks. (3) Lending to those who are not a regular customer of a bank. |
| A. | Only (1) |
| B. | Only (2) |
| C. | Only (3) |
| D. | All (1), (2) & (3) |
| Answer» D. All (1), (2) & (3) | |
| 3550. |
When more than one bank is allowing credit facilities to one party in coordination with each other under a formal arrangement, the arrangement is generally known as [BOB 2008] |
| A. | Participation |
| B. | Consortium |
| C. | Syndication |
| D. | Multiple banking |
| Answer» C. Syndication | |