Banking and Financial Institutions MCQs

Question 1

Which of the following is not true about Unified Payments Interface (UPI)?

Accepted Answer

Through UPI, all payments are instant and takes place in banking hours

Answer

UPI is an instant payment system developed by the National Payments Corporation of India (NPCI)

Answer

Under UPI person will have a single identity and password for using multiple bank accounts

Answer

UPI is based on the Immediate Payment Services (IMPS) infrastructure

Question 2

The risk manager maybe able to identify the new ventures involved in:

Accepted Answer

pure risk

Answer

group risk

Answer

speculative risk

Answer

particular risk

Question 3

A person or company that underwrites an insurance risk or the party in an insurance contract undertaking to pay compensation is known as

Accepted Answer

insurer

Answer

insured

Answer

assured

Answer

insurant

Question 4

The installation of heat or smoke activated sprinkler systems that are designed to minimize fire damage in the outbreak of a fire is an example of:

Accepted Answer

Loss reduction

Answer

Loss prevention

Answer

Hedging

Answer

Insurance

Question 5

For the discharge of its functions efficiently, SEBI has been vested with which of the following powers?

Accepted Answer

All of the above

Answer

Inspect the books of accounts and call for periodical returns from recognized stock exchanges

Answer

Inspect the book of accounts of financial intermediaries

Answer

Compel certain companies to list their shares in one or more stock exchanges

Question 6

Match the following. List-I List-II a. Urjit Patel Committee 1. Restructuring of IDBI b. Athreya Committee 2. To Examine the Current Monetary Framework c. Amitabh Chaudhry Committee 3. Committee on Comprehensive Financial Services for Small Businesses and Low-Income Households d. Nachiket Mor Committee 4. To analyze the existing framework of IRDA-Linked and Non-Linked Insurance Product Regulations

Accepted Answer

a-2, b-1, c-4, d-3

Answer

a-1, b-3, c-2, d-4

Answer

a-2, b-3, c-4, d-1

Answer

a-1, b-2, c-3, d-4

Question 7

Net National Product is equivalent to:

Accepted Answer

Gross National Product minus Depreciation

Answer

Gross Domestic Product minus Depreciation

Answer

Gross National Product minus Indirect Taxes

Answer

Net National Income minus Depreciation

Question 8

To determine the premiums required; actuaries apply the principle derived from:

Accepted Answer

the law of averages and the theory of probability

Answer

underwriting

Answer

rating

Answer

the size of the sample

Question 9

Which of the following is not correctly matched?

Accepted Answer

Gold Bullion Standard ⇔ Circulation of Gold Coin

Answer

Gold Currency Standard ⇔ Free coinage

Answer

Gold Reserve ⇔ Restriction on Standard Import-Export of Gold

Answer

Gold Parity Standard ⇔ Flexibility in Exchange Rate