MCQOPTIONS
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MCQOPTIONS
This section includes 657 Mcqs, each offering curated multiple-choice questions to sharpen your Testing Subject knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
Dear Money means |
| A. | low rate of interest |
| B. | high rate of interest |
| C. | depression |
| D. | inflation |
| Answer» C. depression | |
| 2. |
Which among the following is not the outcome of decrease in prime lending rate ? |
| A. | to raise the bank loan |
| B. | decline in saving rate |
| C. | decline in productivity |
| D. | increased demand of consumer products |
| Answer» D. increased demand of consumer products | |
| 3. |
A commercial bank law creates credit only if it has |
| A. | Cash in the vault |
| B. | Excess reserves |
| C. | Permission of Reserve Bank of India |
| D. | Cooperation of other banks |
| Answer» B. Excess reserves | |
| 4. |
Gresham s Law means |
| A. | Good money replaces bad money in circulation |
| B. | Bad money replaces good money in circulation |
| C. | Good money promotes bad money in the system |
| D. | Bad money promotes good money in the system |
| Answer» C. Good money promotes bad money in the system | |
| 5. |
Bull and bear are related to which commercial activity ? |
| A. | Banking |
| B. | E-commerce |
| C. | International trade |
| D. | Stock market |
| Answer» E. | |
| 6. |
Legal Tender Money refers to : |
| A. | Cheques |
| B. | Drafts |
| C. | Bill of exchange |
| D. | Currency notes |
| Answer» E. | |
| 7. |
Which of the following can be used for checking inflation temporarily ? |
| A. | Increase in wages |
| B. | Decrease in money supply |
| C. | Decrease in taxes |
| D. | None of these |
| Answer» C. Decrease in taxes | |
| 8. |
Bank rate is the rate of interest: |
| A. | At which public borrows money from Commercial Banks |
| B. | At which public borrows money from R.B.I. |
| C. | At which Commercial Banks borrow money from R.B.I. |
| D. | At which Commercial Banks borrow money from the public |
| Answer» D. At which Commercial Banks borrow money from the public | |
| 9. |
The ratio of a bank s cash holdings to its total deposit liabilities is called the |
| A. | Variable Reserve Ratio |
| B. | Cash Reserve Ratio |
| C. | Statutory Liquidity Ratio |
| D. | Minimum Reserve Ratio |
| Answer» C. Statutory Liquidity Ratio | |