Financial Institutions and Banking

Financial Institutions & Banking
1. Banks earns non-operating income by way of: commission on bills/ guarantees/

letters of credit; loan processing fees, loan syndication fees etc
2. Investment institutions are: UTI, LIC
3. During the first fifteen years, the IFCI has lent predominantly to: sugar co-operatives,
textile industry
4. In chit fund schemes, members make regular periodical subscriptions and: the
periodic collection is given to some member selected in a previously agreed
manner
5. Short-term debenture issuance attracts stamp duty but a letter of allotment of shortterm debentures does not attract stamp duty. True
6. Zero coupon bonds are issued at a discount to face value with the: discount
providing the implicit interest payment
7. NHB supervises the housing finance sector through a system of on- site and off- side
surveillance.
8. NHB offers financial assistance under its project lending scheme for various projects
such as: township development and slum redevelopment projects
9. Land Development Banks give loans to their members for productive developments.
True
10. Nidhis make advances to its members against security such as: house property,
gold, jewellery and shares / bank fixed deposits
11. Many federations formed by SHGs perform non-financial functions such as: social
and capacity building activities, internal audit and training of SHGs
12. There is no tax deducted at source from the interest component of money market
instruments. False
13. Primary weavers cooperative societies are financed by scheduled commercial banks
through: state cooperative banks
14. There are 27 state or central land development banks in the country.
15. Non- bank financial institutions such as LIC, GIC and UTI operate in the money market
through banks/RBI.
16. The cash flows arising out of home loan payments are passed by investors to the SPV.
False
17. Unit Trust of India (UTI) was set up by: an act of parliament
18. As per NHBs pool selection criteria, the pool of home loans must comprise of only
fixed interest bearing home loans. True
19. The unorganized money market is now shrinking because of: the fast expansion of
the organized money market
Match the following:

A slack season monetary policy
A busy season monetary policy
=
=
October-March
April-September

Public debt
Fiscal policy
=
=
borrowings of central and state

govt. of India budget exercise
20. RBI usually carries out OMOs out of the surplus funds of: Exim bank, NABARD
21. Export credit guarantee corporation of India limited is a company: wholly-owned by
the government of India; functioning under the administrative control of the
Ministry of Commerce
22. The investment companies are pure financial intermediaries that: specialise in
mobilization of public savings for investment in corporate securities
23. Securitization has become a new source of fee-based income. True
24. Some investment companies are called open-ended investment companies because:
it always stands ready to sell and redeem its share at prices based on the
current value of their assets which means their capital end is always kept
open
25. Wholesale banking typically involves: a large number of very small customers
26. Securitization improves capital adequacy ratio through transfer of risk weighted
assets. True
27. DICGC insures all deposits such as savings, fixed, current, recurring etc, deposit
except: deposits of state/ central/ foreign governments; inter-bank deposits
28. ICICI was promoted by: the world bank, the government, a steering committee
of businessman
29. Under securitization process, the pool receivables are assigned, transferred and
conveyed: to NHB by the housing finance company
30. The general insurance companies are also known as property and casualty or liability
insurance companies.
31. DFHI was set up under the companies act, 1956 with share capital subscribed by:
RBI, Public sector banks and, All-india financial institutions
32. NHB decides the rate of interest for financial assistance/ loan based on the: internal
credit rating assigned to the borrower
33. Remittance of funds from one place to another through banks takes place by various
modes such as: mail transfers, telegraphic transfers and demand drafts;
electronic funds transfer
34. The balances held under CRR and SLR are together known as statutory reserve of a
bank.
35. SCICI limited is not authorised to underwrite equity or debt issues and other
securities. False
36. NCDCs financial assistance is individual beneficiary oriented and is not meant for the
institutional development of the co-operatives. False
37. The minimum size of the bonds/ debenture issued by housing finance company
should be Rs. 10 crores if the issue is to be guaranteed by NHB.

38. The servicing and paying agent appointed by the NHB will: collect the monthly
installments from borrowers of the transferred pool of mortgages; enforce
the rights and powers in respect of these housing loans; pay the amount
collect to the originators
39. SCICI limited provides financial assistance to enterprises in various forms such as:
domestic and foreign currency loans; deferred payment credit
40. National housing bank guarantees repayment of bonds issued by the housing finance
companies to the extent of: repayment of principal and interest thereon
41. The Net saving to the originator as result of the NHBs guarantee shall be equally
shared between: the NHB and the holders of subordinate RBMS/ originator
42. There were as many as 245 insurance companies of different sizes, ages and patterns
of organisation on the eve of nationalization. True
43. A special scheme developed exclusively for women entrepreneurs at liberal terms and
conditions is known as: women enterprise development scheme
Public debt act, 1994
=
Negotiable instruments act, 1881
Banking regulation act, 1949
=
Securities contract (regulation) act, 1956
governs government debt market

=
governs the financial sector
governs banking operations
=
governs government securities
44. In the event of securitization of mortgage debts by the NHB, the NHB may decide to
appoint various agencies such as: issues arrangers, in originator and registrar
and transfer agent
45. Economic reforms forced the financial institutions to raise resources at: market rates
of interest
46. Irrespective of whether a bank finds its name in the schedule to the RBI Act its
scheduled status can be found out from: its banking licence
47. The Board for financial supervision (BFS) is a committee of the central board of
director of the reserve bank of India. True
48. IFCI extends loans only in Indian rupees. False
49. Majority of NGOs have undertaken the task of financial intermediation and are
registered as a trust or society.
50. Corporate banking group of Exim bank handles financing of: export oriented units
(EOUs) and importers
51. The national housing banks main functions are: to act as a principal agency to
promote housing finance institutions; to provide financial and other
supports to housing finance institutions
52. NABARD provides refinance to commercial banks and state co-operative banks for
financing to: the state handloom development corporations
53. Loan syndication and handling of GDR/ADR issues for customers are called fund based
activities of the bank. False

54. DFHI was set up with the main objective of: promoting secondary market in short
term money market instruments and; to even out the liquidity imbalances in
the banking system
55. Primarily banking functions revolved around acceptance of deposits and granting of
loans. True
56. The capital of the IRBI has been subscribed by the Govt. of India. False
Agricultural engineering
Horticulture
=
Forestry
=
Fisheries
=
=
soil and water conservation
fruit crops
wasteland development
aquaculture
57. The role of IMF was: collection and allocation of reserves, supervising the
adjustable peg system and; advise number countries on their international
monetary affairs
58. The main trade instruments in the money market are discounted instruments which
means: they are issued at a discount to their maturity value; the difference
between the issuing price and maturity/ face value is the implicit interest
59. National housing bank is a financial institution.
60. Regional development agencies concentrate on the development of a region e.g.:
Asian development bank; African development bank
61. The per the preamble of the NABARD act 1981, national bank of agriculture and rural
development (NABARD) was established for: integrated rural development;
securing prosperity of rural areas
62. The settlements of securities became electronic in: the late 1990s
63. Shri MAHILA Sewa Sahakari Bank was the first bank providing: banking services to
the poor self-employed women working as hawkers, vendors, domestic
servant etc.
64. The funds mobilised by a mutual fund are managed by the asset management
company.
65. Pre-shipment credit facility means providing finance: at the manufacturing stage
66. The primary mortgage market activity in the housing finance sector mainly comprise
of the creation of: mortgages as a result of transactions between the borrower
and the primary lender
67. Overdraft facility in India is called cash credit facility in the case of business
enterprises.
68. Finance Institution and Banking-II
69. The savings habit among the public will: boost the economic growth of the
country

70. HDFC discontinued the home saving plan scheme from March 1993 because: it had
become unviable
71. Multilateral investment guarantee scheme of the world bank offers various forms of
political insurance.
72. The financial assistance provided by the IMF enables member countries to: rebuilt
their international reserves, stabilise the currencies and; continue paying
for imports without having to impose trade restrictions or capital controls
73. In respect of life insurance policy, it is possible to withdraw from the obligation to
contribute further premiums by: surrendering or assigning the policy; raising a
long on it or converting it into a free or paid-up policy
74. A general review of quotas allows for adjustment of members quotas to reflect
changes in their relative positions in the world economy. True
75. Industrial finance corporation of India was established in 1948.
76. SIDBI was established by charter as per the small industrial development bank of
India act, 1989. True
77. IFCI, though empowered to undertake assistance in all forms, is essentially is lending
agency. True
78. In order to initiate large involvement of rural population, NEDFi provides credit and
other facilities for promotion of: agri-horticulture plantation, medicinal
plantation; dairy, poultry, sericulture and aquaculture
79. The financial system is divided into users of financial services and providers.
80. RBI performs the function of financial supervision under the guidance of: the board
of financial supervision
81. The term financial contagion means: a country implementing sound economics
policies finds itself threatened by a crisis elsewhere in the world economy
82. As a part of reforms process, the exchange controls on current account transactions
were progressively relaxed. True
83. The Exim bank was established on 1-Jan-82.
NGO
=
Non-governmental organisation
RDFI
=
regional development financial
NEEF
=
north east equity fund
TEDF
=
Techno-Economic Development
84. National co-operative development corporation (NCDC) raises its resources through:
market borrowings; allocations from govt. of India and international
assistance
85. Some of the important purposes in the formation of IMF relating to exchange
arrangements were to: promote exchange stability and to maintain orderly
exchange arrangements among members; avoid competitive exchange
depreciation
86. Through open market sale and purchase of government securities (OMO), the RBI can
affect: the reserve position of bank; the cost of bank credit and yields on
government securities
87. In the case of scheduled bank, it is allowed by RBI to carry on extensive banking
operations including: foreign exchange operations

88. Post independence, the main hurdle for countrys growth was: lack of sources of
finance for industries
89. Post reforms, for trading in government securities: a system of primary dealers
and satellite dealers was set up
90. Put options on the corporate bonds make the bonds more difficult to sell. False
91. NCDC sanctions proposals of individual society / projects only on the
recommendations of: the concerned state government
92. Agricultural Finance Consultancy Ltd(AFC) activities cover :- Pre-feasibility studies ,
Regional /Sectoral planning , Benchmark Surveys
93. Duties of an International Banking unit cover :- Handling foreign currency , Handling
Doc. credits , Granting lines of Credit
94. One of the objectives of NHB is to augment the ________ resources for the housing
sector. Financial
95. The unorganised financial system comprises of :- Money lenders , Indigenous
bankers , Lending pawn brokers
96. The lender of the last resort to the market is the :- RBI
97. Credit Information report is also known as :- Credit report , Banker's report ,
Confidential report
98. Cetificate of deposit are issued by: Banks
99. A record of the holdings of GOI dated securities of each holder is contained in :- SGL
pass book
100.
The organised financial system includes :- Commercial banks
101.
Development financial institutions have been established to cater to ________ of
the industrial sector. Long term financial needs
102.
DFHI was incorporated under the :- Companies Act, 1956
103.
The ________ meet the long and medium term credit needs of agriculture. Land
Development Banks
104.
Certificate of deposit is a :- Usance promissory note
105.
Amongst others, ICICI also provided long and medium term loans or equity
finance. TRUE
106.
EXIM Bank provides financial assistance to:- Indian Companies , Commercial
Banks , Foreign Governments
107.
RBI sells securities through :- Auction program , Open market operations , Private
placements
108.
The ultimate source of money in India is:- RBI
109.
Long term debt instruments have a maturity of :- Over one year
110.
R B I conducts monetary control by way of O M O in :- Treasury bills , State
/central Government Securities
111.
Under open market operation RBI conducts buying /selling shares/debentures of
blue chip companies. FALSE
112.
The Shipping Credit and Investment Company of India Ltd. has changed its name
to ________ effective from October 1992. SCICI Ltd

113.
A member's IMF Quota determines its :- commitment , Voting power , Drawing
power
114.
Development Financial institutions include :- State financial institutions
115.
The unorganised financial system includes: - Indigenous bankers
Match The Following
Fruit Crops, Floriculture, Vegetables
Horticulture
Institutional studies, Dwell Time Studies
Surveys & Studies
Agronomy, Crop Planning, Plant Protection, Farm Inputs Crop Production
Canals & Rivers, Drip Irrigation
Irrigation & Drainage
116.
The HDFC was set up in 1977 by the ________.
ICICI
117.
Instruments issued by DFIs and Banks carry :-
Highest credit ratings
118.
LIC of India was set up in :-
119.
Secured Premium Notes are ________.
120.
PFC is committed to the integrated development of :-
121.
Banks issue Guarantees on behalf of their clients.
1956
Debentures
Power
TRUE
122.
Banks authorised to deal in foreign exchange are known as Authorised Dealers.
FALSE
123.
DFHI was set up with the following objective :provide liquidity , To promote secondary market
124.
To even out imbalances , To
NABARD has taken over the entire functions of :- ARDC , ACD of RBI , RPCD of RBI
125.
R B I issues currency notes against the security of:- Gold bullion , Foreign
securities , GOI securities
126.
The ________ has been accredited by RBI as a Primary Dealer in Governemt
Securities. STCI
127.
The SFCs also borrow from SIDBI & IDBI. FALSE
128.
Legally speaking Pass Through Certificates are ________ and are tradeable freely.
Promissory notes
129.
DFIs are the second largest issuer of ________ after the Govt and Sovereign
bodies. Debt instruments
130.
From time to time RBI has issued :- Straight coupon bonds , Inflation linked bonds
, Zero coupon bonds
131.
The currency notes issued by RBI are legal tender everywhere in India without
any limit. TRUE
132.
HDFC was set up by NHB. FALSE
133.
PFC also provides reform & restructuring related studies. TRUE
134.
The ________ was set up to help corrections in BOP maladjustments. IMF
135.
The CRAFICARD recommended the establishment of ________. NABARD
136.
NIDHIS are Trading Organisations.
137.
Gramin banks are State Owned Banks. True
138.
CRR and SLR are ________ reserves.
FALSE
Statutory

139.
Banks do not invest in the GOI securities . False
140.
SIDBI provides :-
141.
Mutual Funds provide the benefits of ________.
142.
Syndication involves ________ sanction. In principle
Refinance , Rediscounting of Bills , Financial support to SSIDC

Portfolio management
143.
The ________ regulation makes the banks the largest investor in the GOI
securities. SLR
144.
In addition to IFCI and ________ the Soft Loan Scheme for modernisation is also
undertaken by IDBI. ICICI
145.
NABARD has taken over the entire functions of :RBI
ARDC , ACD of RBI , RPCD of
146.
147.
Other than Tourism, International funds remittances comprise of :Donations/Charity , Payments of Salaries , Payments of Royalty
148.
Money Markets Satisfy the needs of :- Short term nature
149.
Development Financial Institutions provide finance to the needy Corporates &
govt. institutions
150.
NABARD does not provide Refinance for stocking & distribution of Chemical
Fertilisers. False
151.
The SFCs also borrow from SIDBI & IDBI.
True
152.
A major part of the credit of SFCs went to :-
SSI units
153.
Mortgage Loans are loans against property.
True
154.
The unorganised financial system includes :- Indigenous bankers
155.
HDFCs loans were linked up with________.
156.
Initial Quantum of resources of IMF were contributed by members according to :Quotas fixed for members
157.
CPs are issued by corporate entities.
Planned Savings
True
158.
EXIM Bank provides financial assistance to:- Indian Companies , Commercial
Banks , Foreign Governments
159.
Functions of R.O. do not cover :- SLR/CRR maintenance , Liaison with RBI/IBA ,
Issuing Lending Policy
Match The Following
Inter Bank Call Money Markets BRs, Call Money Receipts
Money Market Instuments
CP, CD ,T- Bills
Capital Market Instruments
Shares
Debt Market Instruments
GOI Securities ,Bonds
160.
Which of the following statements are not prepared on a daily basis in branch?
Cash Book , Trial Balance , P/L statement
161.
Interest on advances is generally calculated on ________ products.
162.
IDBI has helped in the establishment of :-
Daily
EXIM Bank
163.
Under Project Finance Scheme IDBI provides assistance for :- New Projects ,
Renovation , Modernisation

164.
Deposits per depositor per bank are secured by DICGC up to a sum of :one lac.
Rs.
165.
SCICI provides domestic & foreign loans for capital equipment and________
services. Technical
166.
The main objective of ICICI was :To augment export finance in India , To
channelise World Bank's funds to industries in India , To help in building up a Capital
Market in India
167.
Functions of NIDHIs include :thrift
Accepting Deposits , Granting loans , Encourage
168.
Subsidy of RBI
IDBI was initially set up as :-
169.
For its long term operations NABARD raises funds by :Floating Bonds in open
market , Drawing from the Central Govt. , Drawing from National Rural credit Funds
170.
Financial markets are the centres that provide facilities for buying and selling of
________. Financial claims and services
171.
IDA does not lend to countries that are not in a position to borrow from IBRD.
False
172.
General insurance policies are genarally issued for ________ year. One
173.
SCICI is a member of the OTCEI. True
174.
The deposit account offering cheque withdrawal facility is known as :- Current
account
Match The Following
CRR
Primary reserve requirement
Bankers Bank
Controlling the reserves of commercial banks
Exchange control
FEMA
OMO
Government securities
175.
The loans of finance companies are generally :Based on borrowers worth
176.
At high interest , Unsecured ,
The apex institution in the field of Industrial Development is :-
177.
A member's IMF Quota determines its :power , Drawing power
IDBI
Financial commitment , Voting
178.
CP is a usance promissory note hence it can be negotiated by endorsement &
delivery.
True
179.
The objective of ICICI was to assist the :-
Private sector
180.
NABARD provides short term refinance for procurement activities also. True
181.
Soft Loan Scheme for modernisation is provided by :Match The Following
Charitable Trusts Rajiv Gandhi Foundation
PSU
MTNL ,SAIL, KRC
Mutual Funds
UTI ,ICICI Prudential
Statutory Trusts Port Trust
IFCI , ICICI , SIDBI
182.
Under MIGA the World bank offers various forms of Political Insurance. True
183.
Commercial Papers are issued by :-
184.
Investment on a monthly basis and repayment on due date is made in :Recurring deposit
Corporates

185.
Issuance of CD attracts reserve requirements.
False
186.
State loans are much less liquid than GOI Securities.
187.
IDBI was delinked from RBI and it became autonomous in the year :-
188.
One of the leading All India FI is :-
189.
The largest member of the IMF is the :- U.S.A.
True
1976
SIDBI
190.
The foreign currency account maintained by an authorised dealer with its
correspondent abroad is :- Nostro Account
191.
As a banker to the Government, RBI accepts Government deposits at ________%
interest.
0
192.
The word ' Tranche ' is a French word which means :-
193.
Size of the Quota depended upon :Match The Following
Small Savings
Chit Funds
Gen.Insurance
NICo of India Ltd.
Life Insurance
LIC of India Ltd
Mutual fund
UTI
GNP
194.
True
CPs have to be compulsorily rated.
A Slice
195.
If the Bank allows a finance of Rs 95 against a Bill of Rs 100 the difference of Rs.
5 is known as the :- Discount
196.
IIBI (formerly known as IRBI )undertakes :Merchant Banking activities , Lease
or hire purchase finance , Consultancy & managerial services
197.
The loans under________ are based on Poverty Reduction Strategy Paper.

PRGF
198.
Functions of a Bank's H.O. include:Vigilance & Control
Liaison with RBI , Evolve Policies ,
199.
DICGC also provides :Security to deposits
Match The Following
Insurance of all employees of a Firm Group Insurance
Premium Throughout Life
Whole Life
Fixed Period Insurance
Endowment
Insurance of ocean Cargo
Marine Insurance
200.
A Cheque is a Negotiable Instrument. True
201.
Which one of the following is not a deposit account?Cash Credit account
202.
The ________ does not collect Savings from the Public.
203.
IMF articles were amended in 1978 to legalise the :- Floating exchange rates
204.
________ is merely an asset created out of book entries.

Regional Rural Bank Thane Gramin Bank
Public Sector Bank
Indian Bank
Private Sector Bank
Bank of Rajasthan Ltd
Foreign Bank
CITI BANK
NIICO Ltd.
SDR

205.
Syndication of Loans Globally does not involve any funds as it is ________ activity.
Non-fund based
206.
207.
The repayment holiday period is also known as ________ period.
208.
Zero Coupon Bonds are issued at a :-
False
Moratorium
Discount to face value
209.
DICGC does not insure the deposits :- Of foreign Governments , Of State
Cooperative Banks , Of the Central Government
210.
Match The Following
Small Savings
Chit Funds
Gen.Insurance
NICo of India Ltd.
Life Insurance
LIC of India Ltd
Mutual fund
UTI
211.
Which one of the following is a Cooperative Bank?
212.
Liabilities of Insurance Cos are mostly :-
213.
GIC raises funds to meet claims from ________.
Premium collected
214.
False
215.
Investment on a monthly basis and repayment on due date is made in :Recurring deposit
216.
A current account where the customer can withdraw more than the balance is :Overdraft
217.
SIDBI commenced its operations from :Match The Following
NABARD Rural Development
AFC Ltd
Consultancy
HUDCO
Housing
NCDC
Development of Cooperatives
COSMOS BANK
Long term
April 2,1990
218.
The first long term industrial financing corporation set up in the country was :IFCI
219.
The Capital of NABARD is subscribed by World Bank.
220.
Financial institutions deal in :-
221.
In addition to sugar Industry IFCI has predominantly lent to :-
222.
Other than Tourism, International funds remittances comprise of :Donations/Charity , Payments of Salaries , Payments of Royalty
223.
NABARD provides Refinance for Marketing of Crops. True
False
Financial assets
Textile sector
224.
R B I conducts monetary control by way of O M O in :- Treasury bills , State
/central Government Securities
225.
Development Financial institutions include :- State financial institutions
226.
NABARDs Criteria for Refinance covers Technical ________ of the project.
Feasibility
227.
Banks do not invest in the GOI securities .
False

228.
The unorganised financial system comprises of :- Money lenders , Indigenous
bankers , Lending pawn brokers
229.
NHB at present has a ________ Capital of Rs. 350 crores.
Paid-up
230.
One of the objectives of NHB is to augment the ________ resources for the
housing sector. Financial
Match The Following
CRR
Bankers Bank
Exchange control FEMA
OMO
231.
NABARD was established on the recommendations of :-
232.
A member's IMF Quota determines its :power , Drawing power
CRAFICARD
Financial commitment , Voting
233.
Credit Information report is also known as :- Credit report , Banker's report ,
Confidential report
234.
the industrial sector. Long term financial needs
235.
Tourism promotes :Travellers' Cheques
236.
Credit Card Business , International remittances ,
Development financial institutions primarily lend to Agriculture sector. False
237.
The ________ is the apex institution in the field of foreign trade in India. EXIM
bank
238.
________. Financial claims and services
239.
Non bank financial institutions undertake fund and non fund based activities.
True
240.
The CRAFICARD recommended the establishment of ________.
241.
The price in financial markets is known as ________. Rate of interest
242.
Gramin banks are State Owned Banks. True
NABARD
243.
A credit facility under which a borrower can withdraw up a certain limit subject to
availability of adequate security is :- Cash Credit account
Select The Blank
Question The term ________ refers to the act of a bank extending finance to the seller against
a letter of credit.
Correct Answer Negotiation
Your Answer Negotiation
Multiple Choice Multiple Answer
Question Soft Loan Scheme for modernisation is provided by :Correct Answer IFCI , ICICI , SIDBI
Match The Following
Question Correct Answer Your Answer
Charitable Trusts Rajiv Gandhi Foundation Rajiv Gandhi Foundation
PSU MTNL ,SAIL, KRC MTNL ,SAIL, KRC
Mutual Funds UTI ,ICICI Prudential UTI ,ICICI Prudential

Statutory Trusts Port Trust Port Trust
True/False
Question Under MIGA the World bank offers various forms of Political Insurance.
Correct Answer True
Multiple Choice Single Answer
Question Commercial Papers are issued by :Correct Answer Corporates
Question Investment on a monthly basis and repayment on due date is made in :Correct Answer Recurring deposit
True/False
Question Issuance of CD attracts reserve requirements.
Correct Answer False
True/False
Question
Correct Answer True
Question IDBI was delinked from RBI and it became autonomous in the year :Correct Answer 1976
Question One of the leading All India FI is :Correct Answer SIDBI
Question The largest member of the IMF is the :Correct Answer U.S.A.
Question The foreign currency account maintained by an authorised dealer with its
correspondent abroad is :Correct Answer Nostro Account
Select The Blank
Question As a banker to the Government, RBI accepts Government deposits at ________%
interest.
Correct Answer 0
Question The word ' Tranche ' is a French word which means :Correct Answer A Slice
Question Size of the Quota depended upon :Correct Answer GNP
Match The Following
Question
Correct Answer
Small Savings
Chit Funds
Gen.Insurance
NICo of India Ltd.
Life Insurance
LIC of India Ltd
Mutual fund
UTI

True/False
Question CPs have to be compulsorily rated.
Correct Answer True
Question If the Bank allows a finance of Rs 95 against a Bill of Rs 100 the difference of Rs. 5 is
known as the :Correct Answer Discount
Question IIBI (formerly known as IRBI )undertakes :Correct Answer Merchant Banking activities , Lease or hire purchase finance , Consultancy &
managerial services
Select The Blank
Question The loans under________ are based on Poverty Reduction Strategy Paper.
Correct Answer PRGF
Question Functions of a Bank's H.O. include:Correct Answer Liaison with RBI , Evolve Policies , Vigilance & Control
Question DICGC also provides :Correct Answer Security to deposits
Match The Following
Question
Correct Answer
Insurance of all employees of a Firm
Group Insurance
Whole Life
Endowment
Marine Insurance
True/False
Question A Cheque is a Negotiable Instrument.
Correct Answer True
Question Which one of the following is not a deposit account?
Correct Answer Cash Credit account
Select The Blank
Question The ________ does not collect Savings from the Public.
Correct Answer NIICO Ltd.
Question IMF articles were amended in 1978 to legalise the :Correct Answer Floating exchange rates
Select The Blank
Question ________ is merely an asset created out of book entries.
Correct Answer SDR
Question
Correct Answer
Regional Rural Bank
Public Sector Bank
Private Sector Bank
Your Answer
Thane Gramin Bank
Indian Bank

Foreign Bank
CITI BANK
Select The Blank

Question Syndication of Loans Globally does not involve any funds as it is ________ activity.
Correct Answer Non-fund based
True/False
Select The Blank
Question The repayment holiday period is also known as ________ period.
Correct Answer Moratorium
Question Zero Coupon Bonds are issued at a :Correct Answer Discount to face value
Question DICGC does not insure the deposits :Correct Answer Of foreign Governments , Of State Cooperative Banks , Of the Central
Government
Question DICGC does not insure the deposits :Correct Answer Of foreign Governments , Of State Cooperative Banks , Of the Central
Government
Question Which one of the following is a Cooperative Bank?
Correct Answer COSMOS BANK
Question Liabilities of Insurance Cos are mostly :Correct Answer Long term
Select The Blank
Question GIC raises funds to meet claims from ________.
Correct Answer Premium collected
True/False
Question A current account where the customer can withdraw more than the balance is :Correct Answer Overdraft
Question SIDBI commenced its operations from :Correct Answer April 2,1990
Match The Following
Question
Correct Answer
NABARD
Rural Development
AFC Ltd
Consultancy

HUDCO
NCDC
Housing
Development of Cooperatives

Question
The first long term industrial financing corporation set up in the country was :Correct Answer
IFCI
Your Answer
IFCI
True/False
Question
Correct Answer
False
Your Answer
False
Question
Financial institutions deal in :Correct Answer
Financial assets
Your Answer
Real assets
Question
In addition to sugar Industry IFCI has predominantly lent to :Correct Answer
Textile sector
Your Answer
Textile sector
Question
Other than Tourism, International funds remittances comprise of :Correct Answer
Donations/Charity , Payments of Salaries , Payments of Royalty
Your Answer
True/False
Question
NABARD provides Refinance for Marketing of Crops.
Correct Answer
True
Your Answer
True
Question
R B I conducts monetary control by way of O M O in :Correct Answer
Treasury bills , State /central Government Securities
Your Answer

Question
Development Financial institutions include :Correct Answer
State financial institutions
Your Answer
Select The Blank
Question
Correct Answer
Feasibility
Your Answer
Feasibility
True/False
Question
Correct Answer
False
Your Answer
False
Question
The unorganised financial system comprises of :Correct Answer
Money lenders , Indigenous bankers , Lending pawn brokers
Your Answer
Select The Blank
Question
Correct Answer
Paid-up
Your Answer
Paid-up
Select The Blank
Question
One of the objectives of NHB is to augment the ________ resources for the housing sector.
Correct Answer
Financial
Your Answer
Financial
Match The Following
Question
Correct Answer
Your Answer
CRR
Bankers Bank
Exchange control

FEMA
FEMA
OMO
Question
NABARD was established on the recommendations of :Correct Answer
CRAFICARD
Your Answer
CRAFICARD
Question
A member's IMF Quota determines its :Correct Answer
Financial commitment , Voting power , Drawing power
Your Answer
Question
Credit Information report is also known as :Correct Answer
Credit report , Banker's report , Confidential report
Your Answer
Select The Blank
Question
Development financial institutions have been established to cater to ________ of the industrial
sector.
Correct Answer
Long term financial needs
Your Answer
Question
Tourism promotes :Correct Answer
Credit Card Business , International remittances , Travellers' Cheques
Your Answer
Credit Card Business , International remittances , Travellers' Cheques
True/False
Question
Development financial institutions primarily lend to Agriculture sector.
Correct Answer
False
Your Answer
True
Select The Blank
Question
The ________ is the apex institution in the field of foreign trade in India.
Correct Answer

EXIM bank
Your Answer
EXIM bank
Select The Blank
Question
Financial markets are the centres that provide facilities for buying and selling of ________.
Correct Answer
Financial claims and services
Your Answer
True/False
Question
Correct Answer
True
Your Answer
True
Select The Blank
Question
Correct Answer
NABARD
Your Answer
NABARD
Select The Blank
Question
The price in financial markets is known as ________.
Correct Answer
Rate of interest
Your Answer
Coupen
True/False
Question
Gramin banks are State Owned Banks.
Correct Answer
True
Your Answer
True
Question
A credit facility under which a borrower can withdraw up a certain limit subject to availability
of adequate security is :Correct Answer
Cash Credit account
Your Answer
Cash Credit account
Select The Blank
Question
Syndication involves ________ sanction.
Correct Answer
In principle
Your Answer

In principle
Question
Treasuries could be either those of the :Correct Answer
Private Sector Cos. , Govt.bodies , PSUs
Your Answer
PSUs , Govt.bodies , FIIs
Question
Treasury Bills are actually a class of :Correct Answer
Govt.Securities
Your Answer
Govt.Securities
Select The Blank
Question
The ________ regulation makes the banks the largest investor in the GOI securities.
Correct Answer
SLR
Your Answer
SLR
True/False
Question
HDFC was set up by NHB.
Correct Answer
False
Your Answer
False
Question
Initial Quantum of resources of IMF were contributed by members according to :Correct Answer
Quotas fixed for members
Your Answer
True/False
Question
Most of the Indian PS Banks practice retail banking.
Correct Answer
True
Your Answer
True
True/False
Question
The overdraft facility is also known as Cash credit facility.
Correct Answer
True
Your Answer
False
True/False

Question
Correct Answer
True
Your Answer
True
True/False
Question
PFC has been persuading State Governments restructuring of their power sector to make
them viable.
Correct Answer
True
Your Answer
True
Question
The organised financial system includes :Correct Answer
Commercial banks
Your Answer
Commercial banks
Question
EXIM Bank provides financial assistance to:Correct Answer
Indian Companies , Commercial Banks , Foreign Governments
Your Answer
Select The Blank
Question
55% of HUDCO loans are earmarked for________& low income groups.
Correct Answer
Weaker sections
Your Answer
Weaker sections
Question
Financial Services offered by PFC include :Correct Answer
Term loans , lease finance , Loan Syndication
Your Answer
True/False
Question
The currency notes issued by RBI are legal tender everywhere in India without any limit.
Correct Answer
True
Your Answer
True
Question
The unorganised financial system includes :-

Correct Answer
Indigenous bankers
Your Answer
Indigenous bankers
Question
Money Markets Satisfy the needs of :Correct Answer
Short term nature
Your Answer
Short term nature
Question
The financial Assistance provided by the IMF enables member countries to :Correct Answer
Rebuild resources , Stabilise currencies , Pay for imports
Your Answer
Rebuild resources , Stabilise currencies , Pay for imports
Match The Following
Question
Correct Answer
Your Answer
NGOs
CASP, CRY, PLAN
CASP, CRY, PLAN
DFI
IDBI, IFCI, ICICI
IDBI, IFCI, ICICI
PSUs
NTPC, NHPC, Coal India
NTPC, NHPC, Coal India
Corporates
RIL, HPCL
RIL, HPCL
True/False
Question
Correct Answer
True
Your Answer
True
Select The Blank
Question
Correct Answer
Statutory
Your Answer
Statutory
True/False
Question
Correct Answer
False

Your Answer
False
Question
SIDBI provides :Correct Answer
Refinance , Rediscounting of Bills , Financial support to SSIDC
Your Answer
Rediscounting of Bills , Financial support to SSIDC , Cash Credit facilities
Select The Blank
Question
Correct Answer
Your Answer
Select The Blank
Question
Syndication involves ________ sanction.
Correct Answer
In principle
Your Answer
Final
Select The Blank
Question
The ________ regulation makes the banks the largest investor in the GOI securities.
Correct Answer
SLR
Your Answer
SLR
Select The Blank
Question
In addition to IFCI and ________ the Soft Loan Scheme for modernisation is also undertaken by
IDBI.
Correct Answer
ICICI
Your Answer
ICICI
Question
NABARD has taken over the entire functions of :Correct Answer
ARDC , ACD of RBI , RPCD of RBI
Your Answer
Question
Instruments issued by DFIs and Banks carry :Correct Answer
Your Answer

Question
Your Answer
Donations/Charity , Payments of Salaries , Travel related payments
Question
Money Markets Satisfy the needs of :Correct Answer
Short term nature
Your Answer
Short term nature
Question
Development Financial Institutions provide finance to the needy
Correct Answer
Corporates & govt. institutions
Your Answer
True/False
Question
NABARD does not provide Refinance for stocking & distribution of Chemical Fertilisers.
Correct Answer
False
Your Answer
False
True/False
Question
Correct Answer
True
Your Answer
True
Question
A major part of the credit of SFCs went to :Correct Answer
SSI units
Your Answer
Exporters
True/False
Question
Correct Answer
True
Your Answer
True
Question

The unorganised financial system includes :Correct Answer
Indigenous bankers
Your Answer
Indigenous bankers
Select The Blank
Question
Correct Answer
Planned Savings
Your Answer
Recovery record
Question
Initial Quantum of resources of IMF were contributed by members according to :Correct Answer
Your Answer
True/False
Question
Correct Answer
True
Your Answer
True
Question
Your Answer
Question
Functions of R.O. do not cover :Correct Answer
SLR/CRR maintenance , Liaison with RBI/IBA , Issuing Lending Policy
Your Answer
SLR/CRR maintenance , Issuing Lending Policy , Sanctioning advances
Match The Following
Question
Correct Answer
Your Answer
Inter Bank Call Money Markets
BRs, Call Money Receipts
CP, CD ,T- Bills
CP, CD ,T- Bills
Shares
Shares

Question
Which of the following statements are not prepared on a daily basis in branch?
Correct Answer
Your Answer
Select The Blank
Question
Correct Answer
Daily
Your Answer
Fortnightly
Question
IDBI has helped in the establishment of :Correct Answer
EXIM Bank
Your Answer
EXIM Bank
Question
Under Project Finance Scheme IDBI provides assistance for :Correct Answer
New Projects , Renovation , Modernisation
Your Answer
New Projects , Renovation , Working capital
Question
Deposits per depositor per bank are secured by DICGC up to a sum of :Correct Answer
Rs. one lac.
Your Answer
Rs. one lac.
Select The Blank
Question
SCICI provides domestic & foreign loans for capital equipment and________ services.
Correct Answer
Technical
Your Answer
Technical
Question
The main objective of ICICI was :Correct Answer
To augment export finance in India , To channelise World Bank's funds to industries in India ,
To help in building up a Capital Market in India
Your Answer

To augment export finance in India , To channelise World Bank's funds to industries in India ,
To help in building up a Capital Market in India
Question
Functions of NIDHIs include :Correct Answer
Accepting Deposits , Granting loans , Encourage thrift
Your Answer
Question
IDBI was initially set up as :Correct Answer
Subsidy of RBI
Your Answer
Public sector Bank
Question
For its long term operations NABARD raises funds by :Correct Answer
Floating Bonds in open market , Drawing from the Central Govt. , Drawing from National Rural
credit Funds
Your Answer
Floating Bonds in open market , Drawing from the Central Govt. , Drawing from National Rural
credit Funds
Select The Blank
Question
Correct Answer
Your Answer
Goods and services
True/False
Question
Correct Answer
False
Your Answer
True
Select The Blank
Question
General insurance policies are genarally issued for ________ year.
Correct Answer
One
Your Answer
Three
True/False
Question
SCICI is a member of the OTCEI.
Correct Answer
True
Your Answer

False
Question
The deposit account offering cheque withdrawal facility is known as :Correct Answer
Current account
Your Answer
Current account
Match The Following
Question
Correct Answer
Your Answer
CRR
Bankers Bank
FEMA
Exchange control
FEMA
OMO
Question
The loans of finance companies are generally :Correct Answer
At high interest , Unsecured , Based on borrowers worth
Your Answer
Unsecured , Based on borrowers worth , At low interest
Question
The apex institution in the field of Industrial Development is :Correct Answer
IDBI
Your Answer
IDBI
Question
Your Answer
Voting power , Drawing power , GNP
True/False
Question
CP is a usance promissory note hence it can be negotiated by endorsement & delivery.
Correct Answer
True
Your Answer
False

Question
The objective of ICICI was to assist the :Correct Answer
Private sector
Your Answer
Private sector
True/False
Question
NABARD provides short term refinance for procurement activities also.
Correct Answer
True
Your Answer
True
Select The Blank
Question
Period of Holiday Insurance is ________.
Correct Answer
Six months or less
Your Answer
One year or more
Bitmap Multiple Choice Multiple Answer
Question
Agricultural Finance Consultancy Ltd(AFC) activities cover :Correct Answer
Pre-feasibility studies , Regional /Sectoral planning , Benchmark Surveys
Your Answer
Bitmap
Question
Duties of an International Banking unit cover :Correct Answer
Handling foreign currency , Handling Doc. credits , Granting lines of Credit
Your Answer
Maintaining SLR/CRR , Handling foreign currency , Handling Doc. credits
Bitmap
Select The Blank
Question
Correct Answer
Financial
Your Answer
Financial
Bitmap
Question
Your Answer
Bitmap
Question
The lender of the last resort to the market is the :-

Correct Answer
RBI
Your Answer
RBI
Bitmap
Question
Your Answer
Bitmap
Question
Cetificate of deposit are issued by
Correct Answer
Banks
Your Answer
Banks
Bitmap
Question
A record of the holdings of GOI dated securities of each holder is contained in :Correct Answer
SGL pass book
Your Answer
SGL pass book
Bitmap
Question
The organised financial system includes :Correct Answer
Commercial banks
Your Answer
Commercial banks
Bitmap
Select The Blank
Question
sector.
Correct Answer
Your Answer
Working capital needs
Bitmap
Question
DFHI was incorporated under the :Correct Answer
Companies Act, 1956
Your Answer
Companies Act, 1956
Bitmap
Select The Blank
Question
The ________ meet the long and medium term credit needs of agriculture.
Correct Answer
Land Development Banks

Your Answer
Regional Rural Banks
Bitmap
Question
Certificate of deposit is a :Correct Answer
Usance promissory note
Your Answer
Term Deposit Receipt
Bitmap
True/False
Question
Amongst others, ICICI also provided long and medium term loans or equity finance.
Correct Answer
TRUE
Your Answer
TRUE
Bitmap
Question
Your Answer
Investment trusts , Indian Companies , Commercial Banks
Bitmap
Question
RBI sells securities through :Correct Answer
Auction program , Open market operations , Private placements
Your Answer
Open market operations
Bitmap
Question
The ultimate source of money in India is:Correct Answer
RBI
Your Answer
RBI
Bitmap
Question
Long term debt instruments have a maturity of :Correct Answer
Over one year
Your Answer
Over one year
Bitmap
Question
Your Answer
Bitmap

True/False
Question
Under open market operation RBI conducts buying /selling shares/debentures of blue chip
companies.
Correct Answer
FALSE
Your Answer
FALSE
Bitmap
Match The Following
Question
Correct Answer
Your Answer
Development financial institutions
IFCI
IFCI
Organised sector
Banking System
Banking System
Unorganised sector
Indigenous banks
Indigenous banks
Mutual funds
UTI
UTI
Bitmap
Select The Blank
Question
The Shipping Credit and Investment Company of India Ltd. has changed its name to ________
effective from October 1992.
Correct Answer
SCICI Ltd
Your Answer
SCICI Ltd
Bitmap
Question
Your Answer
Financial commitment , Voting power
Bitmap
Question
Your Answer
Bitmap
Question
The unorganised financial system includes :Correct Answer
Indigenous bankers
Your Answer
Indigenous bankers
Bitmap

Match The Following
Question
Correct Answer
Your Answer
Fruit Crops, Floriculture, Vegetables
Horticulture
Horticulture
Institutional studies, Dwell Time Studies
Surveys & Studies
Surveys & Studies
Agronomy, Crop Planning, Plant Protection, Farm Inputs
Crop Production
Crop Production
Canals & Rivers, Drip Irrigation
Bitmap
Select The Blank
Question
Correct Answer
ICICI
Your Answer
ICICI
Bitmap
Question
Instruments issued by DFIs and Banks carry :Correct Answer
Your Answer
Bitmap
Question
LIC of India was set up in :Correct Answer
1956
Your Answer
1818
Bitmap
Select The Blank
Question
Correct Answer
Debentures
Your Answer
Debentures
Bitmap
Question
PFC is committed to the integrated development of :Correct Answer
Power
Your Answer
Power
Bitmap
True/False
Question

Correct Answer
TRUE
Your Answer
TRUE
Bitmap
True/False
Question
Banks authorised to deal in foreign exchange are known as Authorised Dealers.
Correct Answer
FALSE
Your Answer
TRUE
Bitmap
Question
DFHI was set up with the following objective :Correct Answer
To even out imbalances , To provide liquidity , To promote secondary market
Your Answer
Bitmap
Question
NABARD has taken over the entire functions of :Correct Answer
Your Answer
Bitmap
Question
R B I issues currency notes against the security of:Correct Answer
Gold bullion , Foreign securities , GOI securities
Your Answer
Bitmap
Select The Blank
Question
The ________ has been accredited by RBI as a Primary Dealer in Governemt Securities.
Correct Answer
STCI
Your Answer
LIC of India
Bitmap
True/False
Question
Correct Answer
FALSE
Your Answer
TRUE
Bitmap
Select The Blank
Question
Correct Answer
Promissory notes

Your Answer
Promissory notes
Bitmap
Select The Blank
Question
DFIs are the second largest issuer of ________ after the Govt and Sovereign bodies.
Correct Answer
Debt instruments
Your Answer
Debt instruments
Bitmap
Question
From time to time RBI has issued :Correct Answer
Straight coupon bonds , Inflation linked bonds , Zero coupon bonds
Your Answer
Inflation linked bonds , Zero coupon bonds
Bitmap
True/False
Question
The currency notes issued by RBI are legal tender everywhere in India without any limit.
Correct Answer
TRUE
Your Answer
FALSE
Bitmap
True/False
Question
Correct Answer
FALSE
Your Answer
FALSE
Bitmap
True/False
Question
PFC also provides reform & restructuring related studies.
Correct Answer
TRUE
Your Answer
FALSE
Bitmap
Select The Blank
Question
The ________ was set up to help corrections in BOP maladjustments.
Correct Answer
IMF
Your Answer
IMF
Bitmap
Select The Blank
Question
Correct Answer
NABARD
Your Answer
NABARD
Bitmap

True/False
Question
NIDHIS are Trading Organisations.
Correct Answer
FALSE
Your Answer
FALSE
Select The Blank
Question
Correct Answer
Planned Savings
Your Answer
Planned Savings
Bitmap
True/False
Question
Correct Answer
TRUE
Your Answer
FALSE
Bitmap
Select The Blank
Question
AFC's membership consists of commercial, cooperative banks and DFIs including ________.
Correct Answer
EXIM bank
Your Answer
EXIM bank
Bitmap
Question
Money Markets Instruments have a maturity of less than :Correct Answer
One year
Your Answer
One year
Bitmap
Select The Blank
Question
Kisan Vikas Patra are issued through ________.
Correct Answer
Post Offices
Your Answer
Post Offices
Bitmap
Question
Liquid assets to be maintained to a stipulated ratio under Section 24 of BR Act is called :Correct Answer
Statutory Liquidity Ratio
Your Answer
Bitmap
True/False
Question

Correct Answer
TRUE
Your Answer
TRUE
Bitmap
Question
DFHI was set up jointly by :Correct Answer
RBI , Banks , All India Fis
Your Answer
Banks , All India Fis
Bitmap
True/False
Question
Small Savings are source of Capital Receipts for the Government.
Correct Answer
TRUE
Your Answer
TRUE
Bitmap
Question
Bonds issued by institutions through SPVs to execute infrastructure projects are :Correct Answer
MSR Dev.Corporation , MKV Dev. Corporation. , SSN Nigam Ltd
Your Answer
MSR Dev.Corporation , MKV Dev. Corporation. , SSN Nigam Ltd
Bitmap
True/False
Question
Correct Answer
TRUE
Your Answer
TRUE
Bitmap
Select The Blank
Question
The extent of powers enjoyed by a branch depends on the size of its ________.
Correct Answer
Business
Your Answer
Business
Bitmap
Question
Prominent Institutional Investors are :Correct Answer
Corporate Treasuries , Mutual Funds , Foreign Investors(FIIs)
Your Answer
Foreign Investors(FIIs) , Corporate Treasuries , Mutual Funds
Bitmap
True/False
Question
PFC has been persuading State Governments restructuring of their power sector to make
them viable.
Correct Answer
TRUE

Your Answer
TRUE
Bitmap
Select The Blank
Question
Bills of Exchange and ________ are Money Market Instruments.
Correct Answer
Promissory Notes
Your Answer
Promissory Notes
Bitmap
True/False
Question
Bank Guarantee can be Performance of financial Guarantee.
Correct Answer
FALSE
Your Answer
FALSE
Bitmap
Match The Following
Question
Correct Answer
Your Answer
Inter Bank Call Money Markets
Loans and advances
CP, CD ,T- Bills
CP, CD ,T- Bills
Shares
Shares
Bitmap
Question
Account where lump sum investment is made for specific period is :Correct Answer
Term Deposit account
Your Answer
Term Deposit account
Bitmap
True/False
Question
CP is a usance promissory note hence it can be negotiated by endorsement & delivery.
Correct Answer
TRUE
Your Answer
FALSE
Bitmap
Question
Money Markets Instruments have a maturity of less than :Correct Answer
One year
Your Answer
One year

Bitmap
Question
The prominent Bond issuing PSU are :Correct Answer
MTNL , NTPC , SAIL
Your Answer
NTPC
Bitmap
True/False
Question
Correct Answer
FALSE
Your Answer
FALSE
Bitmap
Question
Post Offices are popular for mobilizing small savings of the public due to :Correct Answer
Wide network , Tax concessions , Saftey of funds
Your Answer
Wide network , Tax concessions , Saftey of funds
Bitmap
Question
For a focus on the SSI Sector in 1986 IDBI created :Correct Answer
SIDF
Your Answer
SIDF
Bitmap
Select The Blank
Question
SCICI provides domestic & foreign loans for capital equipment and________ services.
Correct Answer
Technical
Your Answer
Technical
Bitmap
True/False
Question
Correct Answer
TRUE
Your Answer
TRUE
Bitmap
Select The Blank
Question
Correct Answer
Your Answer
Long term returns
Bitmap
Select The Blank
Question

Correct Answer
Statutory
Your Answer
Statutory
Bitmap
Select The Blank
Question
An ________ letter of credit cannot be canceled by the buyer without the seller's consent.
Correct Answer
Irrevocable
Your Answer
Irrevocable
Bitmap
Question
A Transaction on "payment later" basis is a :Correct Answer
Credit transaction
Your Answer
Credit transaction
Bitmap
Question
A Bill in banking parlance means a :Correct Answer
Bill of Exchange
Your Answer
Bill of Exchange
Bitmap
Question
A company issues CP to save on :Correct Answer
Interest cost
Your Answer
Interest cost
Bitmap
Question
IDA lends to poor countries :Correct Answer
By borrowing from IBRD , By lending at 0% interest. , For periods up to ten years
Your Answer
By lending at 0% interest. , For periods up to ten years
Bitmap
Select The Blank
Question
The Premium of ________ is obtained through obligatory reinsurance premium.
Correct Answer
GIC
Your Answer
GIC
Bitmap
Question
FIs can be classified into two categories depending on the basis of incorporation and :Correct Answer
Operation

Your Answer
Operation
Bitmap
Question
Basic Life insurance policies include :Correct Answer
Term insurance , Annuity contracts , Pension plans
Your Answer
Term insurance , Annuity contracts , Pension plans
Bitmap
Question
Long term debt instruments have a maturity of :Correct Answer
Over one year
Your Answer
Over one year
Bitmap
True/False
Question
Cancellation of a Guarantee is known as "revocation".
Correct Answer
TRUE
Your Answer
TRUE
Bitmap
Question
The unorganised market is made of :Correct Answer
Moneylenders
Your Answer
Moneylenders
Bitmap
Select The Blank
Question
Correct Answer
Your Answer
Bitmap
Question
Functions of R.O. of a bank include :Correct Answer
Inspection/audit , Control on branches , Grant loans/advances
Your Answer
Control on branches , Grant loans/advances
Bitmap
Question
Financial Services offered by PFC include :Correct Answer
Your Answer
Bitmap

Question
Functions of NIDHIs include :Correct Answer
Your Answer
Accepting Deposits , Granting loans
Bitmap
Question
In case of a Life policy it is possible to withdraw from the obligation to contribute further
premium by :Correct Answer
Surrendering the policy , Converting it into paid up policy , Assigning it in the open market
Your Answer
Surrendering the policy , Converting it into paid up policy , Assigning it in the open market
Bitmap
Match The Following
Question
Correct Answer
Your Answer
Aquaculture ,Brackish Water
Fisheries
Fisheries
Ploughing, weeding, transplantation
Seasonal Agricultural Operations
Seasonal Agricultural Operations
Market Yards, Storage & Warehousing
Agricultural Marketing
Hill ,Tribal Area development
Area Development
Area Development
Bitmap
Question
Mutual fund has main entities like :Correct Answer
Sponsor , Trust , Asset Management company
Your Answer
Bitmap
Question
Financial assets
Your Answer
Financial assets
FI & B Binu -LIST OF ATTEMPTED QUESTIONS AND ANSWERS

Question The type of banking involving a small number of Large Customers viz.Corporates
& multinationals is :-

Correct Answer
Wholesale Banking
Your Answer
Wholesale Banking

Question
Correct Answer
Power
Your Answer
Power

Question
Correct Answer
EXIM Bank
Your Answer
EXIM Bank
Select The Blank

Question
NABARD took over the functions of ACD, RPCC of RBI & ________.
Correct Answer
ARDC
Your Answer
ARDC

Question
The major area of AFC's specialisation included Crop Production as well as:-
Correct Answer
Crop Planning , Plant Protection , Farm Management
Your Answer
True/False
Question
Correct Answer
True
Your Answer
False
Select The Blank

Question
Correct Answer
ICICI

Your Answer
ICICI

Question
The main objective of ICICI was :-
Correct Answer
To augment export finance in India , To channelise World Bank's funds to
industries in India , To help in building up a Capital Market in India
Your Answer

Question
ECGC Board comprises of Directors representing :-
Correct Answer
Government , Banking/Insurance , Trade/Industry
Your Answer
True/False
Question
Correct Answer
False
Your Answer
False

Question
Which of the following institution was set up as a subsidy of RBI in 1964?
Correct Answer
IDBI
Your Answer
IDBI
Match The Following

Question
Correct Answer
Advances
Loans/cash credits Loans/cash credits
Cash withdrawal facility
ATM
Remittances MT/DD/TT/EFT
Your Answer
ATM
MT/DD/TT/EFT

Government business
Collection of taxes Collection of taxes

Question
The objective NEF Scheme of SIDBI is to provide equity support to :-
Correct Answer
New Units in tiny Sector , New Units in Small Sector , Existing units in tiny
& small scale sector
Your Answer
Select The Blank

Question
Correct Answer
Weaker sections
Your Answer
Agriculturists
Select The Blank

Question The ________ of NABARD covers release of refinance without prior sanction for
refinance limit.
Correct Answer
ARS
Your Answer
CFSF

Question
Mutual fund has main entities like :-
Correct Answer
Your Answer
True/False
Question
EXIM Bank provides Lines of Credit to other nations for Indian exports.
Correct Answer
True
Your Answer
True

Select The Blank
Question
Correct Answer
Promissory notes
Your Answer
Promissory notes

Question
A record of the holdings of GOI dated securities of each holder is contained in :-
Correct Answer
SGL pass book
Your Answer
SGL pass book

Question
The underdeveloped markets are characterised by :-
Correct Answer
Government regulation and control
Your Answer

Question
Functions of R.O. of a bank include :-
Correct Answer
Your Answer

Question
called :-
Liquid assets to be maintained to a stipulated ratio under Section 24 of BR Act is
Correct Answer
Your Answer
Cash Reserves Ratio
Select The Blank

Question
In a Bank, the investment decisions are taken at ________ level.
Correct Answer
Head Office
Your Answer
Head Office

Question
RBI sells securities through :-
Correct Answer
Your Answer

Question
R B I conducts monetary control by way of O M O in :-
Correct Answer
Your Answer
True/False
Question
Correct Answer
False
Your Answer
False
True/False
Question
No TDS is deducted on Interest paid on CDs.
Correct Answer
True
Your Answer
True

Question
Corporate Debentures are :-
Correct Answer
Long term debt instruments
Your Answer
Short term deposit receipts
True/False
Question
finance.
Correct Answer
True
Your Answer
True

Question
RBI is also referred to as :-
Correct Answer
Apex Bank
Your Answer
Apex Bank
True/False
Question
Correct Answer
False
Your Answer
False
True/False
Question
Correct Answer
False
Your Answer
False

Question
SFCs provide finance to :-
Correct Answer
Corporates , Partnerships , Proprietary firms
Your Answer
Select The Blank

Question
________.
AFC's membership consists of commercial, cooperative banks and DFIs including
Correct Answer
EXIM bank
Your Answer
EXIM bank

Question
Treasuries could be either those of the :-
Correct Answer
PSUs , Private Sector Cos. , Govt.bodies
Your Answer

Select The Blank
Question The ________ are buy and hold investors and almost never trade on their
investments.
Correct Answer
Provident Funds
Your Answer
Foreign Investors(FIIs)
True/False
Question
The bids for T-Bills are on price/interest basis.
Correct Answer
True
Your Answer
True

Question
IFC provides financial assistance :-
Correct Answer
Through loans , Through purchase of shares , For economic development
Your Answer

Question
Money Markets Instruments have a maturity of less than :-
Correct Answer
One year
Your Answer
One year

Question
Treasury Bills are actually a class of :-
Correct Answer
Govt.Securities
Your Answer
Govt.Securities
True/False
Question
Correct Answer
True
Your Answer
False

Match The Following
Question
Correct Answer
GOI securities
Your Answer
ZCB, ILBonds
ZCB, ILBonds
Long Term Debt instruments
PSU Bonds
PSU Bonds
Money Market Instruments
CP, T- Bills
CP, T- Bills
Negotaible Instruments
Bills of exchange ,Cheques

Question
IRBI was set up with a focus on :-
Correct Answer
Sick Units
Your Answer
Public sector
Select The Blank

Question
Correct Answer
IMF
Your Answer
IBRD
Select The Blank

Question
Correct Answer
Your Answer
High returns

Question
Correct Answer
Financial assets
Your Answer
Financial assets

Question
Duties of an International Banking unit cover :-
Correct Answer
Your Answer

& multinationals is :Correct Answer
Wholesale Banking
Your Answer
Wholesale Banking

Question
Correct Answer
Power
Your Answer
Power

Question
Correct Answer
EXIM Bank
Your Answer
EXIM Bank
Select The Blank

Question
Correct Answer
ARDC
Your Answer
ARDC

Question
Correct Answer

Your Answer
True/False
Question
Correct Answer
True
Your Answer
False
Select The Blank

Question
Correct Answer
ICICI
Your Answer
ICICI

Question
Correct Answer
Your Answer

Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
False
Your Answer
False

Question
Correct Answer
IDBI

Your Answer
IDBI
Match The Following

Question
Correct Answer
Advances
ATM
Government business
Your Answer
ATM
MT/DD/TT/EFT

Question
Correct Answer
Your Answer
Select The Blank

Question
Correct Answer
Weaker sections
Your Answer
Agriculturists
Select The Blank

refinance limit.
Correct Answer
ARS
Your Answer
CFSF

Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
True
Your Answer
True
Select The Blank

Question
Correct Answer
Promissory notes
Your Answer
Promissory notes

Question
Correct Answer
SGL pass book
Your Answer
SGL pass book

Question
Correct Answer
Your Answer

Question
Correct Answer
Your Answer

Question
called :-
Correct Answer
Your Answer
Cash Reserves Ratio
Select The Blank

Question
Correct Answer
Head Office
Your Answer
Head Office

Question
Correct Answer
Your Answer

Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
False
Your Answer
False
True/False
Question
Correct Answer
True
Your Answer
True

Question
Correct Answer
Your Answer
True/False
Question
finance.
Correct Answer
True
Your Answer
True

Question
Correct Answer
Apex Bank
Your Answer
Apex Bank
True/False
Question
Correct Answer
False
Your Answer
False
True/False
Question
Correct Answer
False
Your Answer
False

Question
Correct Answer
Your Answer
Select The Blank

Question
________.
Correct Answer
EXIM bank
Your Answer
EXIM bank

Question
Correct Answer
Your Answer
Select The Blank

investments.
Correct Answer
Provident Funds
Your Answer
True/False
Question
Correct Answer
True
Your Answer
True

Question
Correct Answer
Your Answer

Question
Correct Answer
One year
Your Answer
One year

Question
Correct Answer
Govt.Securities
Your Answer
Govt.Securities
True/False
Question
Correct Answer
True
Your Answer
False
Match The Following

Question
Correct Answer
GOI securities
Your Answer
ZCB, ILBonds
ZCB, ILBonds
PSU Bonds
PSU Bonds
CP, T- Bills
CP, T- Bills

Question
Correct Answer
Sick Units
Your Answer
Public sector
Select The Blank

Question
Correct Answer
IMF
Your Answer
IBRD

Select The Blank
Question
Correct Answer
Your Answer
High returns

Question
Correct Answer
Financial assets
Your Answer
Financial assets

Question
Correct Answer
Your Answer

Question
Commercial Papers are issued by :-
Correct
Answer
Corporates
Your
Answer
RBI
Select The Blank

Question
Correct
Answer
PRGF
Your
Answer
PRGF

Question
Correct
Answer
Treasury Bills are issued by the :RBI

Your
Answer
RBI

Question
IFCI raises its funds by way of :-
Correct
Answer
Issuing bonds , Borrowing from RBI , Borrowing from IDBI
Your
Answer
Issuing bonds , Borrowing from RBI , Issuing shares
True/False
Question
NABARD does not provide Refinance for stocking & distribution of Chemical
Fertilisers.
Correct
Answer
False
Your
Answer
True
True/False
Question
Correct
Answer
True
Your
Answer
False

Question
DICGC does not insure the deposits :-
Correct
Answer
Of foreign Governments , Of State Cooperative Banks , Of the Central

Government
Your
Answer
Of foreign Governments , Of State Cooperative Banks , Of the Central

Government
Select The Blank

Question
Correct
Answer

the industrial sector.

Your
Answer

Question
The unorganised financial system comprises of :-
Correct
Answer
Your
Answer

Question
Correct
Answer
IDBI
Your
Answer
IDBI

Question
Under Project Finance Scheme IDBI provides assistance for :-
Correct
Answer
Modernisation , New Projects , Renovation
Your
Answer
New Projects , Renovation , Modernisation
Select The Blank

Question
One of the objectives of NHB is to augment the ________ resources for the
housing sector.
Correct
Answer
Financial
Your
Answer
Financial
Match The Following

Question
Correct Answer
Your Answer
Small Savings
Chit Funds
Chit Funds
Gen.Insurance
NICo of India Ltd.
NICo of India Ltd.

Life Insurance
LIC of India Ltd
LIC of India Ltd
Mutual fund
UTI
UTI

Question
Correct
Answer
COSMOS BANK
Your
Answer
COSMOS BANK
True/False
Question
Correct
Answer
False
Your
Answer
True

Question
Credit Information report is also known as :-
Correct
Answer
Your
Answer
True/False
Question
Most of the Indian PS Banks practice retail banking.
Correct
Answer
True
Your
Answer
False

Question
Correct
Answer
Prominent Institutional Investors are :Foreign Investors(FIIs) , Corporate Treasuries , Mutual Funds

Your
Answer
Foreign Investors(FIIs) , Corporate Treasuries , Mutual Funds
Select The Blank

Question
Correct
Answer
Rate of interest
Your
Answer
Rate of interest
Select The Blank

Question
________.
Correct
Answer
Your
Answer

Question
Correct
Answer
Govt.Securities
Your
Answer
Govt.Securities
True/False
Question
IMF discourages excessive use of its resources by imposing a surcharge on large

loans.
Correct
Answer
True
Your
Answer
True

Question
Initial Quantum of resources of IMF were contributed by members according

to :-

Correct
Answer
Your
Answer
Select The Blank

Question
The extent of powers enjoyed by a branch depends on the size of its ________.
Correct
Answer
Business
Your
Answer
Deposits

Question
The unorganised financial system includes :-
Correct
Answer
Indigenous bankers
Your
Answer
Indigenous bankers

Question
Development Financial institutions include :-
Correct
Answer
Your
Answer

Question
Deposits per depositor per bank are secured by DICGC up to a sum of :-
Correct
Answer
Rs. one lac.
Your
Answer
Rs. one lac.

Question
Correct
Answer
The general insurance business can be :Marine insurance , Fire insurance , Miscellaneous

Your
Answer
Marine insurance , Fire insurance , Miscellaneous

Question
Correct
Answer
New Units in tiny Sector , New Units in Small Sector , Existing units in tiny &
small scale sector
Your
Answer
New Units in tiny Sector , New Units in Small Sector , Existing units in tiny &
small scale sector
Match The Following

Question
Correct Answer
Your Answer
CRR
Bankers Bank
Controlling the reserves of

commercial banks
Controlling the reserves of

commercial banks
Exchange control
FEMA
FEMA
OMO

Question
Correct
Answer
Financial assets
Your
Answer
Financial assets

Question
Correct
Answer
Your
Answer

Question
Correct
Answer
Long term debt instruments have a maturity of :Over one year

Your
Answer
Over one year
Select The Blank

Question
The Shipping Credit and Investment Company of India Ltd. has changed its
name to ________ effective from October 1992.
Correct
Answer
SCICI Ltd
Your
Answer
SCICI Ltd
True/False
Question
A Bill of Exchange is negotiable.
Correct
Answer
True
Your
Answer
True

Question
IDA lends to poor countries :-
Correct
Answer
By borrowing from IBRD , By lending at 0% interest. , For periods up to ten

years
Your
Answer
By lending at 0% interest. , For periods up to ten years

Question
The organised financial system includes :-
Correct
Answer
Commercial banks
Your
Answer
Commercial banks

Question
Correct
Answer
Your
Liabilities of Insurance Cos are mostly :Long term

Long term

Answer
Select The Blank

Question
services.
Correct
Answer
Technical
Your
Answer
Technical

Question
Development Financial Institutions provide finance to the needy
Correct
Answer
Your
Answer
Select The Blank

Question
Correct
Answer
Premium collected
Your
Answer
Premium collected
True/False
Question
any limit.
Correct
Answer
True
Your
Answer
True
True/False
Question
Correct
Answer
Your

False
True

Answer
True/False
Question
Correct
Answer
False
Your
Answer
False

Question
Correct
Answer
Your
Answer
Sponsor , Trust , Investment bank

Question
R B I issues currency notes against the security of:-
Correct
Answer
Your
Answer
True/False
Question
Correct
Answer
False
Your
Answer
True

& multinationals is :Correct Answer
Wholesale Banking

Your Answer
Wholesale Banking

Question
Correct Answer
Power
Your Answer
Power

Question
Correct Answer
EXIM Bank
Your Answer
EXIM Bank
Select The Blank

Question
Correct Answer
ARDC
Your Answer
ARDC

Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
True
Your Answer
False
Select The Blank

Question
Correct Answer
ICICI
Your Answer
ICICI

Question
Correct Answer
Your Answer

Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
False
Your Answer
False

Question
Correct Answer
IDBI
Your Answer
IDBI
Match The Following

Question
Correct Answer
Advances
ATM
Your Answer
ATM
MT/DD/TT/EFT

Government business

Question
Correct Answer
Your Answer
Select The Blank

Question
Correct Answer
Weaker sections
Your Answer
Agriculturists
Select The Blank

refinance limit.
Correct Answer
ARS
Your Answer
CFSF

Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
True
Your Answer
True
Select The Blank

Question
Correct Answer
Promissory notes
Your Answer
Promissory notes

Question
Correct Answer
SGL pass book
Your Answer
SGL pass book

Question
Correct Answer
Your Answer

Question
Correct Answer
Your Answer

Question
called :-
Correct Answer
Your Answer
Cash Reserves Ratio
Select The Blank

Question
Correct Answer
Head Office
Your Answer
Head Office

Question
Correct Answer
Your Answer

Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
False
Your Answer
False
True/False
Question
Correct Answer
True
Your Answer
True

Question
Correct Answer
Your Answer
True/False
Question
finance.
Correct Answer
True
Your Answer
True

Question
Correct Answer
Apex Bank
Your Answer
Apex Bank
True/False
Question
Correct Answer
False
Your Answer
False
True/False
Question
Correct Answer
False
Your Answer
False

Question
Correct Answer
Your Answer
Select The Blank

Question
________.
Correct Answer
EXIM bank
Your Answer
EXIM bank

Question
Correct Answer
Your Answer
Select The Blank

investments.
Correct Answer
Provident Funds
Your Answer
True/False
Question
Correct Answer
True
Your Answer
True

Question
Correct Answer
Your Answer

Question
Correct Answer
One year
Your Answer
One year

Question
Correct Answer
Govt.Securities
Your Answer
Govt.Securities
True/False
Question
Correct Answer
True
Your Answer
False
Match The Following

Question
Correct Answer
GOI securities
Your Answer
ZCB, ILBonds
ZCB, ILBonds
PSU Bonds
PSU Bonds
CP, T- Bills
CP, T- Bills

Question
Correct Answer
Sick Units
Your Answer
Public sector
Select The Blank

Question
Correct Answer
IMF
Your Answer
IBRD
Select The Blank

Question
Correct Answer
Your Answer
High returns

Question
Correct Answer
Financial assets
Your Answer
Financial assets

Question
Correct Answer
Your Answer
LIST OF ATTEMPTED QUESTIONS AND ANSWERS
Select The Blank

Question The Shipping Credit and Investment Company of India Ltd. has changed its name
to ________ effective from October 1992.
Correct Answer SCICI Ltd

Your Answer SCICI Ltd
Select The Blank

Question AFC's membership consists of commercial, cooperative banks and DFIs including
________.
Correct Answer EXIM bank

Your Answer EXIM bank

Question Financial institutions deal in :-
Correct Answer Financial assets

Your Answer Financial assets

Question The lender of the last resort to the market! is the :-
Correct Answer RBI

Your Answer RBI

Select The Blank
Question One of the objectives of NHB is to augment the ________ resources for the housing
sector.
Correct Answer Financial

Your Answer Financial

Question IDA lends to poor countries :-
Correct Answer By borrowing from IBRD , By lending at 0% interest. , For periods up to ten
years
Your Answer By borrowing from IBRD , By lending at 0% interest. , For periods up to ten
years

Question A company issues CP to save on :Correct Answer Interest cost
Your Answer Interest cost
True/False
Question PFC has been persuading State Governments restructuring of their power sector
to make them viable.
Correct Answer True
Your Answer True

Question The ultimate source of money in India is:-
Correct Answer RBI

Your Answer RBI
True/False

Question The SFCs also borrow from SIDBI & IDBI.

Your Answer True

Question RBI was established under the:-
Correct Answer RBI Act

Your Answer RBI Act

Question The major area of AFC's specialisation included Crop Production as well as:-
Correct Answer Crop Planning , Plant Protection , Farm Management

Your Answer Crop Planning , Plant Protection , Farm Management

Question A member's IMF Quota determines its :-
Correct Answer Financial commitment , Voting power , Drawing power

Your Answer Financial commitment , Voting power , Drawing power
Select The Blank

Question Period of Holiday Insurance is ________.
Correct Answer Six months or less

Your Answer Three years

Question The underdeveloped markets are characterised by :-

Correct Answer Government regulation and control
Your Answer Government reg! ulation and control

Question Cetificate of deposit are issued by :-
Correct Answer Banks

Your Answer Banks
True/False
Question The bids for T-Bills are on price/interest basis.
Correct Answer True

Your Answer True

Question The unorganised financial system includes :-
Correct Answer Indigenous bankers

Your Answer Indigenous bankers

Question Long term debt instruments have a maturity of :-
Correct Answer Over one year

Your Answer Over one year

Question The general insurance business can be :-

Correct Answer Marine insurance , Fire insurance , Miscellaneous
Your Answer Fire insurance , Miscellaneous , Marine insurance
True/False
Question NABARD does not provide Refinance for stocking & distribution of Chemical
Fertilisers.

Your Answer False

Question The unorganised financial system comprises of :-
Correct Answer Money lenders , Indigenous bankers , Lending pawn brokers

Your Answer Money lenders , Indigenous bankers , Lending pawn brokers
True/False
Question NABARD is an apex institution in the field of Integrated Rural Development.
&nbs! p;
Correct Answer True

Your Answer True
Select The Blank

Question 55% of HUDCO loans are earmarked for________& low income groups.
Correct Answer Weaker sections

Your Answer Weaker sections

Question Development Financial institutions include :-

Correct Answer State financial institutions
Your Answer State financial institutions

Question Money Markets Instruments have a maturity of less than :-
Correct Answer One year

Your Answer One year
Select The Blank

Question The price in financial markets is known as ________.
Correct Answer &n! bsp; Rate of interest

Your Answer Rate of interest
Match The Following

Question
Correct Answer
Organised sector
Unorganised sector
Mutual funds
IFCI
Banking System
Indigenous banks
UTI
Select The Blank

Question The HDFC was set up in 1977 by the ________.
Your Answer
IFCI
Banking System
Indigenous banks
UTI

Correct Answer ICICI
Your Answer ICICI

Question Certificate of deposit is a :-
Correct Answer Usance promissory note

Your Answer Term Deposit Receipt
True/False
Question A Bill of Exchange is negotiable.
Correct Answer True

Your Answer True

Question Commercial Papers are issued by :-
Correct Answer Corporates

Your Answer Corporates

Question A current account where the customer can withdraw more than the balance is :-
Correct Answer Overdraft

Your Answer Overdraft

Question The loans of finance companies are generally :-
Correct Answer At high interest , Unsecured , Based on borrowers worth

Your Answer At high interest , Unsecured , Based on borrowers worth

Question For a focus on the SSI Sector in 1986 IDBI created :-
Correct Answer SIDF

Your Answer SIDF
True/False

Your Answer False
True/False
Question Banks issue Guarantees on behalf of their clients.
Correct Answer True

Your Answer True
Match The Following

Question
Correct Answer
Your Answer
NABARD
Rural Development
Rural Development
AFC Ltd
Consultancy
HUDCO
Housing
NCDC
Consultancy
Housing
Development of Cooperatives Development of Cooperatives

True/False
Correct Answer True

Your Answer True

Question In case of a Life policy it is possible to withdraw from the obligation to contribute
further premium by :-
Correct Answer Surrendering the policy , Converting it into paid up policy , Assigning it in
the open market
Your Answer Surrendering the policy , Converting it into paid up policy , Assigning it in the
open market

Question The organised financial system includes :-
Correct Answer Commercial banks

Your Answer Commercial banks
Select The Blank

Question The term ________ refers to the act of a bank extending finance to the seller
against a letter of credit.


Question Functions of a Bank's H.O. include:-
Correct Answer Liaison with RBI , Evolve Policies , Vigilance & Control

Your Answer Liaison with RBI , Evolve Policies , Vigilance & Control

Question Bonds issued by institutions through SPVs to execute infrastructure projects are :-
Correct Answer MSR Dev.Corporation , MKV Dev. Corporation. , SSN Nigam Ltd
Your Answer MSR Dev.Corporation , MKV Dev. Corporation. , SSN Nigam Ltd
Select The Blank


Your Answer Premium collected
!
Question Treasuries could be either those of the :-
Correct Answer PSUs , Private Sector Cos. , Govt.bodies

Your Answer PSUs , Private Sector Cos. , Govt.bodies

Question Under Project Finance Scheme IDBI provides assistance for :-
Correct Answer New Projects , Renovation , Modernisation

Your Answer New Projects , Renovation , Modernisation
Select The Blank

Question The Shipping Credit and Investment Company of India Ltd. has changed its name
to ________ effective from October 1992.
Correct Answer SCICI Ltd

Your Answer SCICI Ltd
Select The Blank

Question AFC's membership consists of commercial, cooperative banks and DFIs including
________.


Question Financial institutions deal in :-
Correct Answer Financial assets

Your Answer Financial assets

Question The lender of the last resort to the market is the :-
Correct Answer RBI

Your Answer RBI
Select The Blank

Question One of the objectives of NHB is to augment the ________ resources for the housing
sector.
Correct Answer Financial

Your Answer Financial


Correct Answer By borrowing from IBRD , By lending at 0% interest. , For periods up to ten
years
Your Answer By borrowing from IBRD , By lending at 0% interest. , For periods up to ten
years

Question A company issues CP to save on :-
Correct Answer Interest cost

Your Answer Interest cost
True/False
Correct Answer True

Your Answer True

Correct Answer RBI

Your Answer RBI
True/False

Your Answer True

Question RBI was established under the:-
Correct Answer RBI Act

Your Answer RBI Act

Question The major area of AFC's specialisation included Crop Production as well as:-
Correct Answer Crop Planning , Plant Protection , Farm Management

Your Answer Crop Planning , Plant Protection , Farm Management

Question A member's IMF Quota determines its :-
Correct Answer Financial commitment , Voting power , Drawing power

Your Answer Financial commitment , Voting power , Drawing power
Select The Blank

Question Period of Holiday Insurance is ________.
Correct Answer Six months or less

Your Answer Three years

Question The underdeveloped markets are characterised by :-
Correct Answer Government regulation and control

Your Answer Government regulation and control


Your Answer Banks
True/False
Question The bids for T-Bills are on price/interest basis.
Correct Answer True

Your Answer True



Question Long term debt instruments have a maturity of :-
Correct Answer Over one year

Your Answer Over one year

Question The general insurance business can be :-
Correct Answer Marine insurance , Fire insurance , Miscellaneous

Your Answer Fire insurance , Miscellaneous , Marine insurance
True/False

Question NABARD does not provide Refinance for stocking & distribution of Chemical
Fertilisers.

Your Answer False

Question The unorganised financial system comprises of :-
Correct Answer Money lenders , Indigenous bankers , Lending pawn brokers

Your Answer Money lenders , Indigenous bankers , Lending pawn brokers
True/False
Question NABARD is an apex institution in the field of Integrated Rural Development.
Correct Answer True

Your Answer True
Select The Blank

Question 55% of HUDCO loans are earmarked for________& low income groups.
Correct Answer Weaker sections
Your Answer Weaker sections

Question Development Financial institutions include :-
Correct Answer State financial institutions

Your Answer State financial institutions

Question Money Markets Instruments have a maturity of less than :-

Correct Answer One year
Your Answer One year
Select The Blank

Question The price in financial markets is known as ________.
Correct Answer Rate of interest

Your Answer Rate of interest
Match The Following

Question
Correct Answer
Organised sector
IFCI
Banking System
Unorganised sector
Mutual funds

Question Certificate of deposit is a :-
Banking System
Indigenous banks
UTI
UTI
Question The HDFC was set up in 1977 by the ________.
Your Answer ICICI
IFCI
Indigenous banks
Select The Blank
Your Answer

Correct Answer Usance promissory note
Your Answer Term Deposit Receipt
True/False
Correct Answer True

Your Answer True

Question Commercial Papers are issued by :-
Correct Answer Corporates




Question The loans of finance companies are generally :-
Correct Answer At high interest , Unsecured , Based on borrowers worth

Your Answer At high interest , Unsecured , Based on borrowers worth

Correct Answer SIDF

Your Answer SIDF
True/False

Your Answer False
True/False
Question Banks issue Guarantees on behalf of their clients.
Correct Answer True

Your Answer True
True/False
Correct Answer True

Your Answer True

Question In case of a Life policy it is possible to withdraw from the obligation to contribute
further premium by :-
Correct Answer Surrendering the policy , Converting it into paid up policy , Assigning it in
the open market
Your Answer Surrendering the policy , Converting it into paid up policy , Assigning it in the
open market


Your Answer Commercial banks
Select The Blank

Question The term ________ refers to the act of a bank extending finance to the seller
against a letter of credit.


Question Functions of a Bank's H.O. include:-
Correct Answer Liaison with RBI , Evolve Policies , Vigilance & Control
Your Answer Liaison with RBI , Evolve Policies , Vigilance & Control

Question Bonds issued by institutions through SPVs to execute infrastructure projects are :-
Correct Answer MSR Dev.Corporation , MKV Dev. Corporation. , SSN Nigam Ltd
Your Answer MSR Dev.Corporation , MKV Dev. Corporation. , SSN Nigam Ltd
Select The Blank


Your Answer Premium collected

Question Treasuries could be either those of the :-
Correct Answer PSUs , Private Sector Cos. , Govt.bodies

Your Answer PSUs , Private Sector Cos. , Govt.bodies

Question Under Project Finance Scheme IDBI provides assistance for :-
Correct Answer New Projects , Renovation , Modernisation

Your Answer New Projects , Renovation , Modernisation
Select The Blank

Question Kisan Vikas Patra are issued through ________.
Correct Answer Post Offices
Your Answer Post Offices

Correct Answer SIDF

Your Answer SIDF
Match The Following

Question
Corporates
Correct Answer
RIL, HPCL
Your Answer
RIL, HPCL
NGOs
CSP, CRY, PLAN
CSP, CRY, PLAN
DFI
IDBI, IFCI, ICICI
PSUs
NTPC, NHPC, Coal India NTPC, NHPC, Coal India
IDBI, IFCI, ICICI

Question DFHI was set up jointly by :-
Correct Answer RBI , Banks , All India Fis

Your Answer RBI , Banks , All India Fis , SEBI
Select The Blank

Question In addition to IFCI and ________ the Soft Loan Scheme for modernisation is also
undertaken by IDBI.

Your Answer ICICI



Question Investment on a monthly basis and repayment on due date
is made in :-
Correct Answer Recurring deposit

Your Answer Term deposit account

Question Tourism promotes :-
Correct Answer Credit Card Business , International remittances ,

Travellers' Cheques
Your Answer Credit Card Business , International remittances ,
Travellers' Cheques

Question A company issues CP to save on :-
Correct Answer Interest cost

Your Answer Taxes


Select The Blank

Question AFC's membership consists of commercial, cooperative
banks and DFIs including ________.


Question Functions of R.O. do not cover :-
Correct Answer SLR/CRR maintenance , Liaison with RBI/IBA ,

Your Answer Liaison with RBI/IBA , Issuing Lending Policy
Select The Blank

Question The ________ of NABARD covers release of refinance
without prior sanction for refinance limit.
Correct Answer ARS

Your Answer CFSF
Select The Blank

Question The ________ regulation makes the banks the largest
investor in the GOI securities.
Correct Answer SLR

Your Answer SLR

Question Post Offices are popular for mobilizing small savings of
the public due to :-
Correct Answer Wide network , Tax concessions , Saftey of funds

Your Answer Wide network , Tax concessions , Saftey of funds
True/False
Your Answer True

Question SIDBI commenced its operations from :-
Correct Answer April 2,1990

Your Answer April 2,1990

Correct Answer RBI

Your Answer RBI


Your Answer Financial companies

Correct Answer By borrowing from IBRD , By lending at 0%

interest. , For periods up to ten years
Your Answer By borrowing from IBRD , By lending at 0% interest. ,
For periods up to ten years

Question The prominent Bond issuing PSU are :-
Correct Answer MTNL , NTPC , SAIL

Your Answer MTNL , NTPC , SAIL
Match The Following

Question
Correct Answer
Your Answer
Hill ,Tribal Area development
Area Development
Area Development

Aquaculture ,
Brackish Water
Fisheries Fisheries
Ploughing, weeding, transplantation

Seasonal
Agricultural Operations
Market Yards, Storage &

Warehousing
True/False
Question Small Savings are source of Capital Receipts for the Government.
Correct Answer True
Your Answer False

Question The financial Assistance provided by the IMF enables member countries to :-
Correct Answer Rebuild resources , Stabilise currencies , Pay for imports

Your Answer Rebuild resources , Stabilise currencies , Undertake specific projects


Your Answer Banks

Question IDBI has helped in the establishment of :-
Correct Answer EXIM Bank

Your Answer ICICI

Select The Blank
Question NHB at present has a ________ Capital of Rs. 350 crores.
Correct Answer Paid-up

Your Answer Paid-up
True/False
Question The Capital of NABARD is subscribed by World Bank.

Your Answer False
Select The Blank

Question In a Bank, the investment decisions are taken at ________ level.
Correct Answer Head Office

Your Answer Head Office

Question RBI is also referred to as :-
Correct Answer Apex Bank

Your Answer Apex Bank

Question EXIM Bank can raise resources by:-
Correct Answer Issuing bonds , Borrowing from RBI , Borrowing from International Financial
Institutions
Your Answer Borrowing from RBI , Borrowing from International Financial Institutions

Question PFC is committed to the integrated development of :-
Correct Answer Power

Your Answer Power
True/False
Correct Answer True

Your Answer True

Question SIDBI provides :-
Correct Answer Refinance , Rediscounting of Bills , Financial support to SSIDC

Your Answer Refinance , Financial support to SSIDC , Cash Credit facilities
True/False
Correct Answer True

Your Answer True

Question Other than Tourism, International funds remittances comprise of :-
Correct Answer Donations/Charity , Payments of Salaries , Payments of Royalty

Your Answer Payments of Royalty , Travel related payments

True/False
Question SCICI is a member of the OTCEI.
Correct Answer True

Your Answer False
Select The Blank

Question HDFCs loans were linked up with________.
Correct Answer Planned Savings

Your Answer Planned Savings
True/False
Correct Answer True

Your Answer True
True/False
Question HDFC was set up by NHB.

Your Answer False
Select The Blank

Question Mutual Funds provide the benefits of ________.
Correct Answer Portfolio management

Your Answer Portfolio management

True/False
Question In case of T-Bills potential investors have to put in
competitive bids.
Correct Answer True

Your Answer True
True/False
Question Non bank financial institutions undertake fund and non fund based activities.
Correct Answer True

Your Answer True

Question Functions of R.O. of a bank include :-
Correct Answer Inspection/audit , Control on branches , Grant loans/advances

Your Answer Inspection/audit , Control on branches , Grant loans/advances

Question Duties of an International Banking unit cover :-
Correct Answer Handling foreign currency , Handling Doc. credits , Granting lines of Credit
Your Answer Maintaining SLR/CRR , Handling foreign currency , Handling Doc. credits ,
Granting lines of Credit
Select The Blank

Question Secured Premium Notes are ________.
Correct Answer Debentures

Your Answer Debentures

Select The Blank
Question Syndication involves ________ sanction.
Correct Answer In principle

Your Answer Funded
Select The Blank
Question Kisan Vikas Patra are issued through ________.
Correct Answer Post Offices
Your Answer Post Offices
Question For a focus on the SSI Sector in 1986 IDBI created :Correct Answer SIDF
Your Answer SIDF
Match The Following
Corporates RIL, HPCL RIL, HPCL
NGOs CASP, CRY, PLAN CASP, CRY, PLAN
DFI IDBI, IFCI, ICICI IDBI, IFCI, ICICI
PSUs NTPC, NHPC, Coal India NTPC, NHPC, Coal India
Question DFHI was set up jointly by :Correct Answer RBI , Banks , All India Fis
Your Answer RBI , Banks , All India Fis , SEBI
Select The Blank
Question In addition to IFCI and ________ the Soft Loan Scheme
for modernisation is also undertaken by IDBI.
Your Answer ICICI
Question The unorganised financial system includes :Correct Answer Indigenous bankers
is made in :Correct Answer Recurring deposit
Question Tourism promotes :Correct Answer Credit Card Business , International remittances ,
Travellers' Cheques

Your Answer Credit Card Business , International remittances ,
Travellers' Cheques
Question A company issues CP to save on :Correct Answer Interest cost
Your Answer Taxes
Question A current account where the customer can withdraw more
than the balance is :Correct Answer Overdraft
Select The Blank
Question AFC's membership consists of commercial, cooperative
banks and DFIs including ________.
Question Functions of R.O. do not cover :Correct Answer SLR/CRR maintenance , Liaison with RBI/IBA ,
Your Answer Liaison with RBI/IBA , Issuing Lending Policy
Select The Blank
Question The ________ of NABARD covers release of refinance
without prior sanction for refinance limit.
Correct Answer ARS
Your Answer CFSF
Select The Blank
Question The ________ regulation makes the banks the largest
investor in the GOI securities.
Correct Answer SLR
Your Answer SLR
Question Post Offices are popular for mobilizing small savings of
the public due to :Correct Answer Wide network , Tax concessions , Saftey of funds
Your Answer Wide network , Tax concessions , Saftey of funds
True/False
Your Answer True
Question The ultimate source of money in India is:Correct Answer RBI
Your Answer RBI

Question The organised financial system includes :Correct Answer Commercial banks
Your Answer Financial companies
Question IDA lends to poor countries :Correct Answer By borrowing from IBRD , By lending at 0%
interest. , For periods up to ten years
Your Answer By borrowing from IBRD , By lending at 0% interest. ,
For periods up to ten years
Question The prominent Bond issuing PSU are :Correct Answer MTNL , NTPC , SAIL
Your Answer MTNL , NTPC , SAIL
Match The Following
Hill ,Tribal Area development Area Development Area Development
Aquaculture ,Brackish Water Fisheries Fisheries
Ploughing, weeding, transplantation Seasonal Agricultural Operations
Market Yards, Storage & Warehousing Agricultural Marketing
True/False
Question Small Savings are source of Capital Receipts for the
Government.
Correct Answer True
Your Answer False
Question The financial Assistance provided by the IMF enables
member countries to :Correct Answer Rebuild resources , Stabilise currencies , Pay for
imports
Your Answer Rebuild resources , Stabilise currencies , Undertake
specific projects
Question Cetificate of deposit are issued by :Correct Answer Banks
Your Answer Banks
Question IDBI has helped in the establishment of :Correct Answer EXIM Bank
Your Answer ICICI
Select The Blank
Question NHB at present has a ________ Capital of Rs. 350 crores.
Correct Answer Paid-up
Your Answer Paid-up

True/False
Question The Capital of NABARD is subscribed by World Bank.
Your Answer False
Select The Blank
Question In a Bank, the investment decisions are taken at
________ level.
Correct Answer Head Office
Your Answer Head Office
Question RBI is also referred to as :Correct Answer Apex Bank
Your Answer Apex Bank
Question EXIM Bank can raise resources by:Correct Answer Issuing bonds , Borrowing from RBI , Borrowing
from International Financial Institutions
Your Answer Borrowing from RBI , Borrowing from International
Financial Institutions
Question PFC is committed to the integrated development of :Correct Answer Power
Your Answer Power
True/False
Question PFC has been persuading State Governments restructuring
of their power sector to make them viable.
Correct Answer True
Your Answer True
Question SIDBI provides :Correct Answer Refinance , Rediscounting of Bills , Financial
support to SSIDC
Your Answer Refinance , Financial support to SSIDC , Cash Credit
facilities
True/False
Question Under MIGA the World bank offers various forms of
Political Insurance.
Correct Answer True
Your Answer True
Question Other than Tourism, International funds remittances
comprise of :Correct Answer Donations/Charity , Payments of Salaries ,
Payments of Royalty
Your Answer Payments of Royalty , Travel related payments
True/False
Question SCICI is a member of the OTCEI.
Correct Answer True
Your Answer False

Select The Blank
Question HDFCs loans were linked up with________.
Correct Answer Planned Savings
Your Answer Planned Savings
True/False
Correct Answer True
Your Answer True
True/False
Question HDFC was set up by NHB.
Your Answer False
Select The Blank
Question Mutual Funds provide the benefits of ________.
Correct Answer Portfolio management
Your Answer Portfolio management
True/False
Question In case of T-Bills potential investors have to put in
competitive bids.
Correct Answer True
Your Answer True
True/False
Question Non bank financial institutions undertake fund and non
fund based activities.
Correct Answer True
Your Answer True
Question Functions of R.O. of a bank include :Correct Answer Inspection/audit , Control on branches , Grant
loans/advances
Your Answer Inspection/audit , Control on branches , Grant
loans/advances
Question Duties of an International Banking unit cover :Correct Answer Handling foreign currency , Handling Doc.
credits , Granting lines of Credit
Your Answer Maintaining SLR/CRR , Handling foreign currency ,
Handling Doc. credits , Granting lines of Credit
Select The Blank
Question Secured Premium Notes are ________.
Correct Answer Debentures
Your Answer Debentures
Select The Blank
Question Syndication involves ________ sanction.
Correct Answer In principle
Your Answer Funded

Question
The prominent Bond issuing PSU are :-
Correct
Answer
MTNL , NTPC , SAIL
Your
Answer
SAIL , MTNL , NTPC

Question
Financial Services offered by PFC include :-
Correct
Answer
Your
Answer

Question
Correct
Answer
Your
Answer

Question
SIDBI commenced its operations from :-
Correct
Answer
April 2,1990
Your
Answer
April 2,1990
True/False
Question
any limit.
Correct
Answer
True
Your
Answer
True

Question
Correct
Answer
Your
Answer
True/False
Question
In case of T-Bills potential investors have to put in competitive bids.
Correct
Answer
True
Your
Answer
True
Select The Blank

Question
Correct
Answer
Daily
Your
Answer
Daily

Question
Development Financial institutions include :-
Correct
Answer
Your
Answer

Question
The organised financial system includes :-
Correct
Answer
Commercial banks
Your
Answer
Commercial banks
True/False
Question

Correct
Answer
False
Your
Answer
False

Question
Agricultural Finance Consultancy Ltd(AFC) activities cover :-
Correct
Answer
Your
Answer
Select The Blank

Question
AFC's membership consists of commercial, cooperative banks and DFIs

including ________.
Correct
Answer
EXIM bank
Your
Answer
EXIM bank
True/False
Question
Correct
Answer
True
Your
Answer
True
Select The Blank

Question
Correct
Answer
PRGF
Your
Answer
PRGF

Question
A company issues CP to save on :-

Correct
Answer
Interest cost
Your
Answer
Interest cost
True/False
Question
Under open market operation RBI conducts buying /selling shares/debentures of

blue chip companies.
Correct
Answer
False
Your
Answer
False
Select The Blank

Question
Correct
Answer
IMF
Your
Answer
IMF
True/False
Question
Banks lend to corporates directly.
Correct
Answer
True
Your
Answer
True

Question
The unorganised market is made of :-
Correct
Answer
Moneylenders
Your
Answer
Moneylenders

Question
NABARD has taken over the entire functions of :-

Correct
Answer
Your
Answer
Match The Following

Question
Correct Answer
Your Answer
Inter Bank Call Money Markets BRs, Call Money Receipts
CP, CD ,T- Bills
CP, CD ,T- Bills
Shares
Shares

Question
IDA lends to poor countries :-
Correct
Answer

years
Your
Answer

years

Question
A credit facility under which a borrower can withdraw up a certain limit subject
to availability of adequate security is :-
Correct
Answer
Cash Credit account
Your
Answer
Cash Credit account

Question
Correct
Answer
Handling Doc. credits , Granting lines of Credit , Handling foreign currency
Your
Answer

Question

Correct
Answer
Your
Answer
Match The Following

Question
Correct Answer
Your Answer
Regional Rural Bank
Thane Gramin Bank
Thane Gramin Bank
Public Sector Bank
Indian Bank
Indian Bank
Private Sector Bank
Foreign Bank
CITI BANK
CITI BANK

Question
Correct
Answer
SGL pass book
Your
Answer
SGL pass book

Question
A Transaction on "payment later" basis is a :-
Correct
Answer
Credit transaction
Your
Answer
Credit transaction
True/False
Question
Correct
Answer
True
Your
Answer
True

Question
In case of a Life policy it is possible to withdraw from the obligation to

contribute further premium by :-

Correct
Answer
Surrendering the policy , Converting it into paid up policy , Assigning it in the

open market
Your
Answer
Surrendering the policy , Converting it into paid up policy , Assigning it in the

open market
True/False
Question
PFC has been persuading State Governments restructuring of their power sector
Correct
Answer
True
Your
Answer
True

Question
Letters of undertaking issued to suppliers by the buyers bank are :-
Correct
Answer
Letters of Credit
Your
Answer
Letters of Credit
True/False
Question
Correct
Answer
True
Your
Answer
False
Select The Blank

Question
Correct
Answer
Your
Answer

Question
The primary sources of IMF resources are :-

Correct
Answer
Quotas
Your
Answer
Quotas
True/False
Question
Correct
Answer
True
Your
Answer
True
Select The Blank

Question
The department handing ________ in the banks is known as the Treasury.
Correct
Answer
Investments
Your
Answer
Investments
Select The Blank

Question
________ facilities are for economies in transition.
Correct
Answer
Systemic transform. facility
Your
Answer
Systemic transform. facility

Question
DFHI was set up with the following objective :-
Correct
Answer
Your
Answer
Select The Blank

Question
Correct
Answer

Debentures

Your
Answer
Debentures
Select The Blank

Question
services.
Correct
Answer
Technical
Your
Answer
Technical

Question
Correct
Answer

Your
Answer

Select The Blank

Question
Correct
Answer
Paid-up
Your
Answer
Paid-up

Question
Correct
Answer
Your
Answer

Question
Correct
Answer
Your
The apex institution in the field of Industrial Development is :IDBI

IDBI

Answer
Select The Blank

Question
Correct
Answer
SDR
Your
Answer
SDR
Financial Institutions and Banking

Select The Blank
Question The term ________ refers to the act of a bank extending finance to the seller against
a letter of credit.
Match The Following
Question
Correct Answer
Charitable Trusts Rajiv Gandhi Foundation
PSU
MTNL ,SAIL, KRC
Mutual Funds
UTI ,ICICI Prudential
Statutory Trusts
Port Trust
True/False
Correct Answer True
True/False
True/False
Question State loans are much less liquid than GOI Securities.
Correct Answer True
Question IDBI was delinked from RBI and it became autonomous in the year :Correct Answer 1976
Question
One of the leading All India FI is :Correct Answer SIDBI

Question The largest member of the IMF is the :Correct Answer U.S.A.
Question The foreign currency account maintained by an authorised dealer with its
correspondent abroad is :Correct Answer Nostro Account
Select The Blank
Question As a banker to the Government, RBI accepts Government deposits at ________%
interest.
Correct Answer 0
Question The word Tranche is a French word which means :Correct Answer A Slice
Question
Size of the Quota depended upon :Correct Answer
GNP
Your Answer
GNP
Match The Following
Question
Correct Answer
Your Answer
Small Savings
Chit Funds
Chit Funds
Gen.Insurance
NICo of India Ltd.
NICo of India Ltd.
Life Insurance
LIC of India Ltd
LIC of India Ltd
Mutual fund
UTI
UTI
True/False
Question
Correct Answer
True
Your Answer
True
Question
If the Bank allows a finance of Rs 95 against a Bill of Rs 100 the difference of Rs. 5 is known
as the :Correct Answer
Discount
Your Answer
Discount
Question
IIBI (formerly known as IRBI )undertakes :-

Correct Answer
Merchant Banking activities , Lease or hire purchase finance , Consultancy & managerial
services
Your Answer
services
Select The Blank
Question
Correct Answer
PRGF
Your Answer
PRGF
Question
Functions of a Banks H.O. include:Correct Answer
Liaison with RBI , Evolve Policies , Vigilance & Control
Your Answer
Question
DICGC also provides :Correct Answer
Security to deposits
Your Answer
Guarantee to borrowers
Match The Following
Question
Correct Answer
Your Answer
Group Insurance
Auto Finance
Whole Life
Group Insurance
Endowment
Endowment
Marine Insurance
Marine Insurance
True/False
Question
A Cheque is a Negotiable Instrument.
Correct Answer
True
Your Answer
True
Question
Which one of the following is not a deposit account?
Correct Answer
Cash Credit account
Your Answer
Cash Certificate
Select The Blank

Question
Correct Answer
NIICO Ltd.
Your Answer
NIICO Ltd.
Question
IMF articles were amended in 1978 to legalise the :Correct Answer
Floating exchange rates
Your Answer
Select The Blank
Question
Correct Answer
SDR
Your Answer
SDR
Question
Correct Answer
Your Answer
Regional Rural Bank
Thane Gramin Bank
Thane Gramin Bank
Public Sector Bank
Indian Bank
Saraswat Coop Bank Ltd.
Private Sector Bank
Indian Bank
Foreign Bank
CITI BANK
Select The Blank
Question
Correct Answer
Non-fund based
Your Answer
Fund based
True/False
Question
Correct Answer
False
Your Answer
True
Select The Blank
Question
Correct Answer
Moratorium
Your Answer
Moratorium
Question
Zero Coupon Bonds are issued at a :-

Correct Answer
Your Answer
Discount to maturity value
Question
DICGC does not insure the deposits :Correct Answer
Of foreign Governments , Of State Cooperative Banks
Your Answer
Question
Your Answer
Match The Following
Question
Correct Answer
Your Answer
Small Savings
Chit Funds
Chit Funds
Gen.Insurance
NICo of India Ltd.
NICo of India Ltd.
Life Insurance
LIC of India Ltd
LIC of India Ltd
Mutual fund
UTI
UTI
Question
Correct Answer
COSMOS BANK
Your Answer
COSMOS BANK
Question
Liabilities of Insurance Cos are mostly :Correct Answer
Long term
Your Answer
Long term
Select The Blank
Question
Correct Answer
Premium collected
Your Answer
Premium collected
True/False
Question
, Of the Central Government



Correct Answer
False
Your Answer
True
Match The Following
NABARD Rural Development Rural Development
AFC Ltd Consultancy Consultancy
HUDCO Housing Housing
NCDC Development of Cooperatives Development of Cooperatives
Financial Institutions and Banking 1
By assetventures
Question
The first long term industrial financing corporation set up in the country was :Correct Answer
IFCI
Your Answer
IFCI
True/False
Question
Correct Answer
False
Your Answer
False
Question
Financial assets
Your Answer
Real assets
Question
In addition to sugar Industry IFCI has predominantly lent to :Correct Answer
Textile sector
Your Answer
Textile sector
Question

Your Answer
True/False
Question
NABARD provides Refinance for Marketing of Crops.
Correct Answer
True
Your Answer
True
Question
Your Answer
Question
Your Answer
Select The Blank
Question
Correct Answer
Feasibility
Your Answer
Feasibility
True/False
Question
Correct Answer
False
Your Answer
False
Question
Your Answer
Select The Blank
Question
Correct Answer
Paid-up
Your Answer
Paid-up
Select The Blank
Question
Correct Answer
Financial
Your Answer
Financial

Match The Following
Question
Correct Answer
Your Answer
CRR
Bankers Bank
Exchange control
FEMA
FEMA
OMO
Question
NABARD was established on the recommendations of :Correct Answer
CRAFICARD
Your Answer
CRAFICARD
Question
A members IMF Quota determines its :Correct Answer
Your Answer
Question
Credit report , Bankers report , Confidential report
Your Answer
Credit report , Bankers report , Confidential report
Select The Blank
Question
sector.
Correct Answer
Your Answer
Question
Tourism promotes :Correct Answer
Credit Card Business , International remittances , Travellers Cheques
Your Answer
Credit Card Business , International remittances , Travellers Cheques
True/False
Question
Development financial institutions primarily lend to Agriculture sector.
Correct Answer
False
Your Answer
True

Select The Blank
Question
The ________ is the apex institution in the field of foreign trade in India.
Correct Answer
EXIM bank
Your Answer
EXIM bank
Select The Blank
Question
Correct Answer
Your Answer
True/False
Question
Correct Answer
True
Your Answer
True
Select The Blank
Question
Correct Answer
NABARD
Your Answer
NABARD
Select The Blank
Question
Correct Answer
Rate of interest
Your Answer
Coupen
True/False
Question
Correct Answer
True
Your Answer
True
Question
A credit facility under which a borrower can withdraw up a certain limit subject to availability
of adequate security is :Correct Answer
Cash Credit account
Your Answer
Cash Credit account
Your Answer IFCI , ICICI
Match The Following
Charitable Trusts Rajiv Gandhi Foundation Rajiv Gandhi Foundation
PSU MTNL ,SAIL, KRC MTNL ,SAIL, KRC
Mutual Funds UTI ,ICICI Prudential UTI ,ICICI Prudential

Statutory Trusts Port Trust Port Trust
True/False
Correct Answer True
Your Answer True
Your Answer Recurring deposit
True/False
True/False
Question
Correct Answer
True
Your Answer
True
Question
IDBI was delinked from RBI and it became autonomous in the year :Correct Answer
1976
Your Answer
1976
Question
One of the leading All India FI is :Correct Answer
SIDBI
Your Answer
SIDBI
Question
The largest member of the IMF is the :Correct Answer
U.S.A.
Question
The foreign currency account maintained by an authorised dealer with its correspondent
abroad is :Correct Answer
Nostro Account
Your Answer
Nostro Account
Select The Blank
Question
As a banker to the Government, RBI accepts Government deposits at ________% interest.
Correct Answer
0
Your Answer
0
Question
The word Tranche is a French word which means :Correct Answer

A Slice
Your Answer
A Pit
Question
Size of the Quota depended upon :Correct Answer
GNP
Your Answer
GNP
Match The Following
Question
Correct Answer
Your Answer
Small Savings
Chit Funds
Chit Funds
Gen.Insurance
NICo of India Ltd.
NICo of India Ltd.
Life Insurance
LIC of India Ltd
LIC of India Ltd
Mutual fund
UTI
UTI
True/False
Question
Correct Answer
True
Your Answer
True
Question
If the Bank allows a finance of Rs 95 against a Bill of Rs 100 the difference of Rs. 5 is known
as the :Correct Answer
Discount
Your Answer
Discount
Question
IIBI (formerly known as IRBI )undertakes :Correct Answer
services
Your Answer
services
Select The Blank
Question
Correct Answer
PRGF
Your Answer
PRGF
Question

Functions of a Banks H.O. include:Correct Answer
Your Answer
Question
DICGC also provides :Correct Answer
Security to deposits
Your Answer
Guarantee to borrowers
Match The Following
Question
Correct Answer
Your Answer
Group Insurance
Auto Finance
Whole Life
Group Insurance
Endowment
Endowment
Marine Insurance
Marine Insurance
True/False
Question
A Cheque is a Negotiable Instrument.
Correct Answer
True
Your Answer
True
Question
Which one of the following is not a deposit account?
Correct Answer
Cash Credit account
Your Answer
Cash Certificate
Select The Blank
Question
Correct Answer
NIICO Ltd.
Your Answer
NIICO Ltd.
Question
IMF articles were amended in 1978 to legalise the :Correct Answer
Your Answer
Select The Blank
Question

Correct Answer
SDR
Your Answer
SDR
Question
Correct Answer
Your Answer
Regional Rural Bank
Thane Gramin Bank
Thane Gramin Bank
Public Sector Bank
Indian Bank
Saraswat Coop Bank Ltd.
Private Sector Bank
Indian Bank
Foreign Bank
CITI BANK
Select The Blank
Question
Correct Answer
Non-fund based
Your Answer
Fund based
True/False
Question
Correct Answer
False
Your Answer
True
Select The Blank
Question
Correct Answer
Moratorium
Your Answer
Moratorium
Question
Zero Coupon Bonds are issued at a :Correct Answer
Your Answer
Discount to maturity value
Question
Of foreign Governments , Of State Cooperative Banks , Of the Central Government
Your Answer
Question

Your Answer
Match The Following
Question
Correct Answer
Your Answer
Small Savings
Chit Funds
Chit Funds
Gen.Insurance
NICo of India Ltd.
NICo of India Ltd.
Life Insurance
LIC of India Ltd
LIC of India Ltd
Mutual fund
UTI
UTI
Question
Correct Answer
COSMOS BANK
Your Answer
COSMOS BANK
Question
Liabilities of Insurance Cos are mostly :Correct Answer
Long term
Your Answer
Long term
Select The Blank
Question
Correct Answer
Premium collected
Your Answer
Premium collected
True/False
Question
Correct Answer
False
Your Answer
True

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Financial Institutions and Banking

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Financial Institutions & Banking

1. Banks earns non-operating income by way of: commission on bills/ guarantees/

Match the following:

Financial Institutions & Banking

borrowings of central and state

Financial Institutions & Banking

governs government debt market

Financial Institutions & Banking

Financial Institutions & Banking

Financial Institutions & Banking

The organised financial system includes :- Commercial banks

DFHI was incorporated under the :- Companies Act, 1956

Certificate of deposit is a :- Usance promissory note

The ultimate source of money in India is:- RBI

Long term debt instruments have a maturity of :- Over one year

Financial Institutions & Banking

Development Financial institutions include :- State financial institutions

The HDFC was set up in 1977 by the ________.

Instruments issued by DFIs and Banks carry :-

Highest credit ratings

LIC of India was set up in :-

Secured Premium Notes are ________.

PFC is committed to the integrated development of :-

Banks issue Guarantees on behalf of their clients.

To even out imbalances , To

The SFCs also borrow from SIDBI & IDBI. FALSE

HDFC was set up by NHB. FALSE

PFC also provides reform & restructuring related studies. TRUE

The ________ was set up to help corrections in BOP maladjustments. IMF

The CRAFICARD recommended the establishment of ________. NABARD

NIDHIS are Trading Organisations.

Gramin banks are State Owned Banks. True

CRR and SLR are ________ reserves.

Financial Institutions & Banking

Banks do not invest in the GOI securities . False

Mutual Funds provide the benefits of ________.

Syndication involves ________ sanction. In principle

Refinance , Rediscounting of Bills , Financial support to SSIDC

ARDC , ACD of RBI , RPCD of

Instruments issued by DFIs and Banks carry :-

Highest credit ratings

Money Markets Satisfy the needs of :- Short term nature

The SFCs also borrow from SIDBI & IDBI.

A major part of the credit of SFCs went to :-

Mortgage Loans are loans against property.

The unorganised financial system includes :- Indigenous bankers

HDFCs loans were linked up with________.

CPs are issued by corporate entities.

Interest on advances is generally calculated on ________ products.

IDBI has helped in the establishment of :-

Financial Institutions & Banking

Accepting Deposits , Granting loans , Encourage

IDBI was initially set up as :-

SCICI is a member of the OTCEI. True

At high interest , Unsecured ,

The apex institution in the field of Industrial Development is :-

Financial commitment , Voting

The objective of ICICI was to assist the :-

IFCI , ICICI , SIDBI

Commercial Papers are issued by :-

Financial Institutions & Banking

Issuance of CD attracts reserve requirements.

State loans are much less liquid than GOI Securities.

One of the leading All India FI is :-