MCQOPTIONS
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MCQOPTIONS
This section includes 386 Mcqs, each offering curated multiple-choice questions to sharpen your Structured Query Language (SQL) knowledge and support exam preparation. Choose a topic below to get started.
| 201. |
Indian Banks Association (IBA) has a common net working system for sharing the ATMfacilities in Mumbai, which is known as _________. |
| A. | ATM Network |
| B. | Shared Payment Network System. |
| C. | Cash Network |
| D. | None of these. |
| Answer» E. | |
| 202. |
“D vs. P” system for government securities market means |
| A. | Delivery and payment settlement |
| B. | Dividend and principal settlement |
| C. | Dollar and Pound settlement |
| D. | Delaying and postponement |
| Answer» B. Dividend and principal settlement | |
| 203. |
………… means indemnity or protection against risk of loss by spreading the risk over a number of a person, who are exposed to it and who is agree to insure themselves against risk. |
| A. | Insurance |
| B. | Bank Over Draft |
| C. | Premium |
| D. | none of these |
| Answer» B. Bank Over Draft | |
| 204. |
……………..in this case underwriter agrees to take up a specified number of securities. |
| A. | firm underwriting |
| B. | sub underwriting |
| C. | syndicate underwriting |
| D. | joint underwriting |
| Answer» B. sub underwriting | |
| 205. |
In foreign financial markets , the growth is represented by the factors suchas -- |
| A. | saving in foreign countries |
| B. | investment opportunity |
| C. | a & b |
| D. | none of these |
| Answer» D. none of these | |
| 206. |
The first rating AGENCY is …………was started in….. |
| A. | CRISIL, 1988 |
| B. | ICRA , 1993 |
| C. | DCR, 1996 |
| D. | ONICRA, 1995 |
| Answer» B. ICRA , 1993 | |
| 207. |
The example of derivative securities include. |
| A. | swap contract |
| B. | option contract |
| C. | future contract |
| D. | all of these |
| Answer» E. | |
| 208. |
When banks accept a fixed sum of money from an individual for a definiteterm and pay on maturity with interest, the deposit is known as : |
| A. | Term Deposit |
| B. | Demand Deposit |
| C. | Bond |
| D. | Mortgage |
| Answer» B. Demand Deposit | |
| 209. |
In the case of securitisation, the trade debts and receivables are mostly in the nature of _____. |
| A. | Short-term. |
| B. | Medium – term |
| C. | Long-term |
| D. | Both medium term and long term |
| Answer» E. | |
| 210. |
………………banks are registered as companies with limited liability. |
| A. | Private Sector Banks |
| B. | Public sector Banks |
| C. | Scheduled Banks |
| D. | commercial banks |
| Answer» B. Public sector Banks | |
| 211. |
Under “securitisation process”, organisation which gives insurance and guarantee isknown as; |
| A. | SPV |
| B. | Obligor |
| C. | Originator |
| D. | Credit enhancer |
| Answer» E. | |
| 212. |
A Non Banking Financial Institution |
| A. | Can accept demand deposit |
| B. | Can issue cheques to customers |
| C. | Cannot accept fixed deposit |
| D. | Cannot accept demand deposit and cannot issue cheques |
| Answer» E. | |
| 213. |
Loans for pensioners are given up to ------- months of pension amount. |
| A. | 12 |
| B. | 36 |
| C. | 24 |
| D. | 6 |
| Answer» E. | |
| 214. |
…………..is empowered to carry out the inspection of the bankers to the issue with a view to protecting the investors’ interest. |
| A. | RBI |
| B. | SBI |
| C. | SEBI |
| D. | Capital Market |
| Answer» B. SBI | |
| 215. |
The predetermined price at which an underlying asset has to be bought or sold in anoption contract is called ________. |
| A. | Option price. |
| B. | Exercise price |
| C. | Spot price |
| D. | Future price |
| Answer» C. Spot price | |
| 216. |
Dunham Greenberg Formula is used for................ |
| A. | Individual credit rating |
| B. | Institutional credit rating |
| C. | Both of these |
| D. | None of these |
| Answer» B. Institutional credit rating | |
| 217. |
……………..are encouraged, both in public and private sectors and they havebeen permitted to invest overseas. |
| A. | Mutual Funds |
| B. | Shares |
| C. | Capital |
| D. | Investments |
| Answer» B. Shares | |
| 218. |
The first bank to set up a separate merchant banking division in India. |
| A. | Punjab national bank |
| B. | Standard charted bank |
| C. | National & Grin days bank |
| D. | National city bank. |
| Answer» B. Standard charted bank | |
| 219. |
The services provided by financial institutions as providing financing to any specific sector of economy such as real estate business are classified as---- |
| A. | business allocation |
| B. | sector allocation |
| C. | credit allocation |
| D. | factor allocation |
| Answer» E. | |
| 220. |
............ fund are used to purchase units of other Mutual funds. |
| A. | Theme fund |
| B. | Contra fund |
| C. | Fund of fund |
| D. | Bond fund |
| Answer» D. Bond fund | |
| 221. |
All type of activities which are of a financial nature are called‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐. |
| A. | Financial market |
| B. | Primary market |
| C. | Capital market |
| D. | financial services. |
| Answer» E. | |
| 222. |
Managing the capital issue is............. financial services. |
| A. | fund based |
| B. | fee based |
| C. | non-fund based |
| D. | both b and c above |
| Answer» E. | |
| 223. |
When one investment company manages a group of mutual funds, it is called a(n):. |
| A. | Family funds |
| B. | Exchange fund |
| C. | Diversification fund |
| D. | Versatility fund |
| Answer» B. Exchange fund | |
| 224. |
-------- certificate under securitisation have multiple maturity structure. |
| A. | Pass through certificate |
| B. | Pay through certificate |
| C. | Preferred stock certificate |
| D. | Interest only certificate |
| Answer» C. Preferred stock certificate | |
| 225. |
Commercial banks differ from other businesses in that both their assets and theirliabilities are mostly ________. |
| A. | Illiquid |
| B. | Financial. |
| C. | Real. |
| D. | Owned by the government |
| Answer» C. Real. | |
| 226. |
Which are not included in entry load, Exit load, deferred load is known as…… |
| A. | open end fund |
| B. | Surplus |
| C. | Closed end fund |
| D. | No load fund |
| Answer» B. Surplus | |
| 227. |
The maximum Statutory Liquidity Ratio to be maintained by banks is_____: |
| A. | 25% |
| B. | 30% |
| C. | 35% |
| D. | 40% |
| Answer» E. | |
| 228. |
‐‐‐‐‐‐‐‐‐‐‐‐‐ capital is provided for early manufacturing and marketingexpense. |
| A. | Startup capital |
| B. | seed capital |
| C. | first round financing |
| D. | Second round financing |
| Answer» D. Second round financing | |
| 229. |
NBFCs are partly ………… and partly…………….. |
| A. | fees based and fund based |
| B. | free and periodic |
| C. | full fees and periodic |
| D. | fund based and systematic |
| Answer» B. free and periodic | |
| 230. |
Indian Financial System consists of financial market,…………….. and Financial intimidation. |
| A. | financial instrument |
| B. | services |
| C. | underwriters |
| D. | derivatives. |
| Answer» B. services | |
| 231. |
Secondary market represented an institutional mechanism was ……………… |
| A. | inadequate |
| B. | incorrect |
| C. | aggregate |
| D. | exact |
| Answer» B. incorrect | |
| 232. |
UTI established in the year |
| A. | 1968 |
| B. | 1964 |
| C. | 1988 |
| D. | 1969 |
| Answer» C. 1988 | |
| 233. |
Investment Information and Credit Rating Agency of India (IICRA) is a |
| A. | Private company |
| B. | Public company |
| C. | Govt. Company |
| D. | Statutory company |
| Answer» C. Govt. Company | |
| 234. |
The word forfeit is derived from ….. |
| A. | French word |
| B. | Latin word |
| C. | Greek word |
| D. | None of these |
| Answer» B. Latin word | |
| 235. |
Inflation accounting as already stated is also called as the ………….. accounting. |
| A. | Price Level Accounting |
| B. | Inflationary Accounting |
| C. | corporate accounting |
| D. | Management Accounting |
| Answer» B. Inflationary Accounting | |
| 236. |
Which of the following is a V C F promoted by specialized financialinstitution. |
| A. | Indus venture capital fund |
| B. | I L & FS Venture corporation ltd. |
| C. | I D B I venture capital fund |
| D. | None of these. |
| Answer» D. None of these. | |
| 237. |
The process of managing the sales ledger of a client by a financial service company iscalled factoring |
| A. | Factoring |
| B. | Forfaiting |
| C. | Bill discounting |
| D. | None of these |
| Answer» B. Forfaiting | |
| 238. |
Combination of forwards by two counterparties with opposite but matching need iscalled |
| A. | Swap |
| B. | Option |
| C. | Forwa |
| Answer» B. Option | |
| 239. |
The ability of an asset to be converted into cash very quickly is classifiedas – |
| A. | derivative security markets |
| B. | convertible securities |
| C. | liquidity |
| D. | fixed |
| Answer» D. fixed | |
| 240. |
In hire purchase, who can be enjoying salvage value of asset? |
| A. | Hirer |
| B. | Vendor |
| C. | Financiers |
| D. | All of these |
| Answer» B. Vendor | |
| 241. |
The impact of inflation comes in the form of rising prices of…………….. andAssets. |
| A. | Output |
| B. | Surplus |
| C. | Liabilities |
| D. | Deficit |
| Answer» B. Surplus | |
| 242. |
Zero-based budgeting is an approach to budgeting that begins from the principle that………………. or activities Should be factored into the plans for the coming budget period. |
| A. | no cost |
| B. | no Value |
| C. | zero budget |
| D. | none of these |
| Answer» B. no Value | |
| 243. |
In an option contract, if the option can be exercised only at the time of maturity, it. is called_____ |
| A. | Double option |
| B. | American option |
| C. | Put option. |
| D. | European option |
| Answer» E. | |
| 244. |
Trade debts have to be assigned in favour of the financing company under |
| A. | discounting, |
| B. | forfaiting, |
| C. | factoring, |
| D. | All of these. |
| Answer» D. All of these. | |
| 245. |
Forfeiting transaction is covered with ……….. |
| A. | Promissory Notes |
| B. | Certificate |
| C. | Dishonor bill |
| D. | None of these |
| Answer» B. Certificate | |
| 246. |
Institution which gives thrust to urban infrastructure development is |
| A. | HDFC |
| B. | NHB |
| C. | HUDCO |
| D. | DHFL |
| Answer» D. DHFL | |
| 247. |
I D B I , I F C I , I C I C I etc. are promoted by ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐. |
| A. | V C F s of specialized financial institution |
| B. | V C F s of commercial bank |
| C. | Private V C Fs |
| D. | None of these. |
| Answer» B. V C F s of commercial bank | |
| 248. |
Although derivatives can be used as speculative instruments, businesses most often usethem to _________. |
| A. | Attract customers |
| B. | Appease stockholders. |
| C. | Offset debt. |
| D. | Hedge. |
| Answer» E. | |
| 249. |
A decision package includes…………..justification for budget estimates of anactivity. |
| A. | Comprehensive |
| B. | Comparative |
| C. | Duplicated |
| D. | none of these |
| Answer» B. Comparative | |
| 250. |
The basic process of zero-based budgeting is to justify budget requests for every , regardless of prior period budgets. |
| A. | Budgeting cycle |
| B. | Reuse cycle |
| C. | recession cycle |
| D. | none of these |
| Answer» B. Reuse cycle | |