Banking and Financial Institutions MCQs

Question 1

If bank rate is reduced by RBI, credit creation will be:

Accepted Answer

increased

Answer

reduced

Answer

constant

Answer

None of the above

Question 2

Which international organization helped in setting up of ICICI in 1955?

Accepted Answer

World Bank

Answer

ADB

Answer

IMF

Answer

None of the above

Question 3

Renewal charges for all advance accounts to be recovered on

Accepted Answer

the date of sanction for renewal

Answer

31st March of every Financial Year

Answer

1st April of every Financial Year

Answer

the date of application for renewal

Question 4

Match the following. List-I (Institutions) List-II (Head Offices) a. RBI 1. New Delhi b. PNB 2. Mumbai c. Vijaya Bank 3. Vadodara d. ICICI 4. Bengaluru

Accepted Answer

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

Answer

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

Answer

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

Answer

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

Question 5

What do we mean by regulatory environment?

Accepted Answer

All of the above

Answer

Complying with regulations generally creates a drag on businesses though they are meant for welfare all or certain sections of society

Answer

Regulatory compliance can add costs, slow down processes and restrict expansion

Answer

The individuals can take well informed conscious decisions

Question 6

Match the items of List-I with the items of List-II and select a correct option: List-I List-II a. SEBI 1. Exchange for small companies b. RBI 2. Secondary market in treasury bills c. STCI 3. Regulation of secondary market d. OTCEI 4. Ad-hoc treasury bills

Accepted Answer

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

Answer

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

Answer

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

Answer

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

Question 7

EXIM Bank is a

Accepted Answer

Non-banking financial company

Answer

Commercial bank

Answer

Non-banking /on-financial company

Answer

Scheduled bank

Question 8

The term "Holder" under an Option Contract refers to:

Accepted Answer

Buyer of the Option

Answer

Seller of the Option

Answer

Middleman/broker

Answer

Dealer

Question 9

RBI was established with a share capital of Rs. . . . . . . . .

Accepted Answer

5 crore

Answer

10 crore

Answer

50 crore

Answer

100 crore