Banking and Financial Institutions MCQs

Question 1

The Narasimham Committee made separate recommendations for the reforms of . . . . . . . .

Accepted Answer

Banking sector

Answer

Manufacturing sector

Answer

Agriculture sector

Answer

Insurance Sector

Question 2

Find incorrect statements about Small Savings instruments in India. 1. Their interest rates are administered by the Bench Prime Lending rate (BPLR) of RBI. 2. Money collected from SSI, is transferred to National Investment Fund (NIF). 3. Money collected from SSI, forms a part of the Consolidated Fund of India.

Accepted Answer

All of them

Answer

1 and 2

Answer

2 and 3

Answer

1 and 3

Question 3

Which of the following statement/s is/are correct about Unit Trust of India (UTI)?

Accepted Answer

All of the above

Answer

UTI was established in 1963 by an Act of Parliament. It was set up by the RBI and functioned under its Regulatory and Administrative control unit

Answer

The first scheme launched by UTI was Unit Scheme 1964

Answer

In 1978, UTI was de-linked from the RBI and IDBI took over the regulatory and administrative control in place of RBI

Question 4

An alternative approach to the check list is:

Accepted Answer

Threat Analysis

Answer

Event Analysis

Answer

Operability Study

Answer

Minimum Level Analysis

Question 5

Which of the following differences between a share and a debenture? 1. While share capital is the credit into the company, debenture is an ownership capital 2. While dividend is paid on shares, interest is paid on debentures

Accepted Answer

2 only

Answer

1 only

Answer

Both 1 and 2

Answer

Neither 1 nor 2

Question 6

As per the news published in various newspapers, life insurance policies may become paperless in the near future. This means

Accepted Answer

all policy related documents and policy certificates will henceforth be available in electronic form and not in their present physical form

Answer

LIC will not insure any person hereafter as it has already reached its peak

Answer

LIC henceforth will not entertain any claim or complaint in written form or on paper. Things should be in electronic condition

Answer

None of the above

Question 7

Match the items of List-I with List-II List-I List-II a. RBI Nationalization 1. 1964 b. Imperial Bank Nationalization 2. 1949 c. Nationalization of 14 Commercial Banks 3. 1955 d. Establishment of IDBI 4. 1969

Accepted Answer

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

Answer

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

Answer

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

Answer

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

Question 8

Generally, the lead bank in a district is the bank which is:

Accepted Answer

identified to coordinate implementation of the District Credit Plan

Answer

having government business

Answer

having the largest deposits in the district

Answer

None of the above

Question 9

Mutual funds need to calculate NAV for each calendar . . . . . . . . for their liquid fund schemes and plans.

Accepted Answer

day

Answer

week

Answer

month

Answer

year