Banking and Financial Institutions MCQs

Question 1

The Person whose risk is insured is called:

Accepted Answer

insured

Answer

merchandiser

Answer

marketer

Answer

agents

Question 2

The operations of banks and financial institutions are regulated by

Accepted Answer

The RBI Act, 1934

Answer

The Banking Regulation Act, 1949

Answer

Information Technology Act, 2000

Answer

All of the above

Question 3

The main function/s of the Securities and Exchange Board of India is/are:

Accepted Answer

All of the above

Answer

To protect the interest of investors in securities

Answer

To promote the development of securities market

Answer

To Regulate the securities market and all matters connected therewith or incidental thereto

Question 4

In which policy, if the policyholder survives till the end of this period, the risk cover lapses, and no insurance benefit payment is made to him/her?

Accepted Answer

Endowment Plans

Answer

Money Back Plan

Answer

Term Insurance Plans

Answer

Unit-linked insurance plan

Question 5

Which of the following is not a Finance Company?

Accepted Answer

IRDA

Answer

Hire-Purchase Finance Company

Answer

Mutual Benefit Finance Companies

Answer

Loan Companies

Question 6

Banking Ombudsman Scheme was introduced by RBI with effect from

Accepted Answer

1995

Answer

1998

Answer

2001

Answer

2005

Question 7

At what stage of opening of bank account is the checking of Politically Exposed Persons (PEP) carried out:

Accepted Answer

at the first point of customer interaction

Answer

at the Account Services Level

Answer

at the Central Account Services Level

Answer

one month after the account is opened

Question 8

Match the items of List-I with List-II in terms of functions of a bank. List-I List-II a. Underwriting 1. Primary Functions b. Transfer of funds 2. Granting Advances c. Overdraft 3. Utility Functions d. Recurring Deposits 4. Agency Functions

Accepted Answer

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

Answer

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

Answer

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

Answer

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

Question 9

Risk pooling is an example of

Accepted Answer

diversifying risk

Answer

a catastrophic loss event

Answer

a speculate risk

Answer

applying the risk return trade-of