BANKERS TRAINING INSTITUTE

MOCK TEST

MOCK TEST
01 Which of the following rates is 8.75% at present?
a) CRR
b) Repo Rate
c) Reverse Repo Rate

d) Bank Rate

02 Which of the following rates are same at present?

a) CRR & SLR
b) Repo Rate & Bank Rate
c) Reverse Repo Rate & Bank Rate
d) Bank Rate & Marginal facility Rate
03 Which of the following rates is/are higher than Repo Rate at present?
a) CRR
b) Reverse Repo Rate
c) Bank Rate

e) None of these

d) None of these

th

04 Which of the following rates is not correct as on 9 Feb 2013?

a) CRR : 4%
b) SLR: 23%
c) Repo Rate: 7.75%
e) None of these

d) Reverse Repo Rate : 6.75%

05 Software Technology Park of India will certify the statement and SOFTEX forms in bulk in respect of those
exporters who satisfy which of the following criteria?
a) whose annual turnover is at least Rs.1000 crore
b) who files at least 600 SOFTEX forms annually on all India basis.
c) Either (a) or (b)
d) Both (a) and (b)
06 Considering the spurt in the volume of software exports from India, the complexity of work contracts
involved, the voluminous nature of contract agreements and the duration involved in execution of each
contract as well as the time-consuming process involved in the certification of SOFTEX forms, simplified
and revised Softex procedure has been introduced in STPI at:
a) Bangalore & Hyderabad
b) Bangalore, Hyderabad and Chennai
c) Bangalore, Hyderabad, Chennai, Pune and Mumbai
d) all the STPIs in India
07 Under the revised procedure, for submission of Softex form by exporters, the information in the monthly
bulk statement is required to be submitted in respect of ___
a) invoices which are more than US$ 25000
b) invoices which are more than US$ 50000
c) invoices which are of US$ 25000 and above.
d) all the invoices including the ones lesser than US$25000
08 Units in the Domestic Tariff Areas (DTAs) have been permitted to purchase foreign exchange from ADs for
making payment towards _____ supplied to them by units in the Special Economic Zones (SEZs).
a) goods
b) services
c) Both goods and services
d) None of these
09 Loans to corporates including farmers' producer companies of individual farmers, partnership firms and cooperatives of farmers directly engaged in Agriculture and Allied Activities, up to an aggregate limit of ___
crore per borrower will be treated as Direct Agricultural advance.
a) Rs 1 crore b) Rs 2 crore
c) Rs 5 crore
d) None of these as such advance is classified as indirect agricultural advance.
10 An advance of Rs 10 crore has been given to a corporate which is directly engaged in Agriculture. How
much of it will be treated as direct agricultural advance?
a) Rs 2 crore will be direct agriculture and Rs 8 crore will be indirect agriculture.
b) Rs 1 crore will be direct agriculture and Rs 9 crore will be indirect agriculture.
c) Rs 4 crore will be direct agriculture and Rs 6 crore will be indirect agriculture.
d) Entire Rs 10 crore will be classified as direct agriculture.
e) Entire Rs 10 crore will be classified as indirect agriculture
11 Bank loans to Micro and Small Enterprises (MSE) engaged in providing or rendering of services will be
eligible for classification as direct finance to MSE Sector under priority sector upto an aggregate loan limit of
__ crore per borrower/unit.
a) Rs 1 crore b) Rs 2 crore c) Rs 5 crore
d) No limit unless it is a composite loan
12 Bank loans to any governmental agency for construction of dwelling units or for slum clearance and
rehabilitation of slum dwellers will be treated as priority sector provided the amount of loan per dwelling unit
does not exceed ______.
a) Rs 5 lac
b) Rs 10 lac
c) Rs 20 lac
d) Rs 25 lac
13 Loans sanctioned by banks for housing projects exclusively for the purpose of construction of houses only
to economically weaker sections and low income groups, will be treated as priority sector provided the total
cost of per dwelling unit does not exceed ____

a) Rs 5 lac

b) Rs 10 lac

c) Rs 25 lac

d) Rs 20 lac

14 Bank loans to Housing Finance Companies (HFCs), approved by NHB for their refinance, for on-lending for
the purpose of purchase/construction/reconstruction of individual dwelling units or for slum clearance and
rehabilitation of slum dwellers, will be classified as priority sector provided_____.
a) Maximum loan per borrower does not exceed Rs 10 lac.
b) the all inclusive interest rate charged to the ultimate borrower is not exceeding lowest lending rate of the
lending bank for housing loans plus two percent per annum.
c) Maximum loan per borrower does not exceed Rs 20 lac
d) Both (a) and (b)
e) Both (b) and (c)
15
a)
b)
c)
d)

The eligibility under priority sector loans to Housing Finance Companies is restricted to:
Five percent of the individual banks total priority sector lending, on an ongoing basis.
Five percent of the individual banks total advances, on an ongoing basis.
Ten percent of the individual banks total priority sector lending, on an ongoing basis.
Ten percent of the individual banks total advances, on an ongoing basis.

16 The Committee to review the facilities for individuals under FEMA, 1999 was headed by___.
a) K.J. Udeshi
b) Shyamala Gopinath
c) Chanda Kochar
d) Usha Thorat
17 Banks are allowed to grant loans to Non Residents / third parties against security of Non Resident
(External) Rupee Accounts / Foreign Currency Non Resident (Bank) Accounts [FCNR (B)] Deposits subject
to a maximum of ____.
a) Rs 100 lakh.
b) US$ 1 million
c) US$ 100 lakh
d) No limit.
18 Which of the following is incorrect regarding loans against NRE or FCNR (B) deposits?
a) RBI has allowed banks to grant Rupee loans or Foreign Currency Loans against NR(E)RA and FCNR(B)
deposits.
b) Loan against NRE or FCNR (B) deposits can be made either to the depositors or the third parties.
c) There is no ceiling on advance against NRE or FCNR(B) deposits subject to usual margin requirements.
d) The term loan shall include all types of fund based/non-fund based facilities.
e) None of these
19 Which of the following is incorrect regarding Prepaid instruments?
a) Semi-closed system prepaid payment instruments can be issued upto Rs.10,000/- by accepting minimum
details of the customer provided the amount outstanding at any point of time does not exceed Rs 10,000/and the total value of reloads during any given month also does not exceed Rs 10,000/-.
b) Semi-closed system prepaid payment instruments can be issued from Rs.10,001/- to Rs.50,000/- by
accepting any officially valid document defined under Rule 2(d) of the Prevention of Money Laundering
Act. Such PPIs can be issued only in an electronic form and should be non-reloadable in nature;
c) Semi-closed system prepaid payment instruments can be issued upto Rs.50,000/- with full KYC and can be
reloadable in nature
d) None of these
20 The provision on restructured accounts classified as standard advances has been enhanced. Which of the
following is correct in this regard?
a) The provision on restructured accounts classified as standard advances will be 2% in the first two years
from the date of restructuring.
b) The provision on restructured accounts classified as standard advances will be 2.75% in the first two years
from the date of restructuring.
c) The provision on restructured accounts classified as standard advances will be 2.75% in the first two years
from the date of restructuring irrespective of moratorium after restructuring.
d) The provision on restructured accounts classified as standard advances will be 2% for the period covering
moratorium and two years thereafter.
21 Restructured accounts classified as non-performing advances, when upgraded to standard category will
attract a provision of _____.
a) 2.00 per cent in the first year from the date of upgradation.
b) 2.00 per cent in the first two years from the date of upgradation.
c) 2.75 per cent in the first two years from the date of upgradation.
d) 2.75 per cent in the first year from the date of upgradation.
22 As per RBI guidelines about the borrowers enjoying credit facilities from multiple banks, banks should
obtain declaration from the borrowers about the credit facilities already enjoyed by them from other banks.
Banks should exchange information about the conduct of borrowers accounts with other banks in the
specified format at least at _____ intervals.
a) Fortnightly
b) Monthly
c) Quarterly
d) Half yearly
23 Banks should extend foreign currency loans _____only on the basis of a well laid out policy of their Boards
with regard to hedging of such foreign currency loans.

a) above US $ 5 million
b) US $ 5 million and above
c) US $ 10 million and above d) above US $ 10 million
24 Domestic scheduled commercial banks (other than RRBs) have been given general permission by RBI for
opening of branches, Administrative Offices and Central Processing Centres(CPCs)/Service Branches in
____and in the rural, semi-urban and urban centres in North-Eastern States and Sikkim.
a) Tier 2 to Tier 6 centres
b) Tier 1 to Tier 4 centres
c) Tier 3 to Tier 6 centres
d) Tier 1 to Tier 6 centres
25 RBI has permitted domestic scheduled commercial banks (other than RRBs) to open ______ in Tier 1
Centres without obtaining prior permission in each case, subject to reporting.
a) Central Processing Centres(CPCs)/Service Branches
b) offices exclusively performing administrative and controlling functions (RegionalOffices/Zonal Offices).
c) Branches
d) Both (a) and (b) only
26 For the purpose of branch expansion, Tier 1 centre means centre with population of __ as per census 2001)
a) 50,000 and above b) 500,000 and above
c) 100,000 and above
d) More than 100,000
27 RBI has enhanced the period of realization and repatriation to India of the amount representing the full
export value of goods or software exported, from six months to twelve months from the date of export. This
relaxation will be available up to____.
a) December, 2012
b) March, 2013
c) June, 2013
d) Sept 2013
28
a)
c)
d)
e)

Which of the following is not included in the definition of infrastructure as per RBI guidelines?
Education Institutions (capital stock);
b) Hospitals (capital stock)
Medical Colleges, Para Medical Training Institutes and Diagnostics Centres;
Four-star classified hotels located outside cities with population of more than 1 million.
None of these

29 RBI has placed restrictions on loans against gold bullion etc. For which of the following purpose, loans can
be granted by banks?
a) for purchase of primary gold and gold jewellery
b) for purchase of gold bullion and gold coins
c) for working capital requirements of jewelers
d) for purchase of gold coins only
e) None of these
30 Cases of attempted fraud, where the likely loss would have been Rs 1 crore or more had the fraud taken
place, should be reported by the banks to the Fraud Monitoring Cell, Department of Banking Supervision,
Reserve Bank of India, Central Office, Mumbai within _____ of the banks coming to know that the attempt
to defraud the bank had failed or was foiled.
a) two weeks
b) one week
c) three weeks
d) a fortnight
e) None of these
31 Cases of attempted fraud, where the likely loss would have been Rs 10.00 million or more had the fraud
taken place, should be place before____.
a) Audit Committee of the Board
b) Board of Directors
c) Customer Service Committee of the Board
d) Strategic Management Committee of the bank
32 Service area norms are to be followed in the case of___.
a) Government sponsored schemes only
b) Agricultural loans only
c) Both Government sponsored schemes and educational loans. d) All of these

e) None of these

33 As per RBI guidelines, which of the following criteria need not be satisfied by banks in respect of crop loans
against which they are claiming interest subvention? (i) ii) iii) iv)
a) The borrower should be an agriculturist;
b) The rate of interest charged should not exceed 6%.
c) The amount of loan is fixed according to the prescribed scale of finance for agricultural loans and the loan is
used for stated purpose;
d) Seasonality is observed in regard to both disbursement and recovery.
34 RRBs are permitted to open branches in Tier 2 to Tier 6 centres (population up to 99, 999 as per Census
2001) without prior permission in each case, subject to reporting. RBI has advised RRBs to allocate at
least__ of the total number of branches proposed to be opened during a year in unbanked rural (Tier 5 and
Tier 6) centres.
a) 10%
b) 20%
c) 25%
d) 50%
35 A Micro or Small Enterprise may be said to have become Sick, if___
a) Any of the borrowal account of the enterprise remains NPA for three months or more.
b) There is erosion in the net worth due to accumulated losses to the extent of 50% of its net worth during the
previous accounting year.
c) Any of the borrowal accounts of the unit remains substandard for more than six months
d) Either (a) or (b)
e) Both (a) and (b)
36 A Micro or Small Enterprise account may be treated to have reached the handholding stage if ____.

a) There is delay in commencement of commercial production by more than six months for reasons beyond
the control of the promoters;
b) The company incurs losses for two years or cash loss for one year, beyond the accepted timeframe;
c) The capacity utilization is less than 50% of the projected level in terms of quantity or the sales are less than
50% of the projected level in terms of value during a year.
d) Any of these
e) All of these
37 The handholding support to a Micro or Small Enterprise should be undertaken within a maximum period of
___ of identification of such units.
a) fortnight
b) one month
c) two months
d) three months
38 Name of which of the following credit rating companies has been changed to 'India Ratings and Research
Private Limited (India Ratings)'.
a) CRISIL b) CARE c) ICRA d) Fitch India
39 The rehabilitation package for a sick micro or small enterprise should be fully implemented within __
months from the date the unit is declared as 'potentially viable' / 'viable'.
a) two
b) three c) four
d) six
40 While identifying and implementing the rehabilitation package, banks should do holding operation' for a
period of ___ months which will allow small-scale units to draw funds from the cash credit account at least
to the extent of their deposit of sale proceeds during the period of such holding operation'.
a) two
b) three c) six
d) twelve
41 A sick micro or small unit should be declared unviable only if the viability status is evidenced by a viability
study. However, for micro (manufacturing) enterprises, having investment in plant and machinery up to ___
lakh and micro (service) enterprises having investment in equipment up to ____, the Branch Manager may
take a decision on viability and record the same, along with the justification.
a) Rs 2 lac, Rs 5 lac
b) Rs 5 lac, Rs 10 lac
c) Rs 5 lac, Rs 2 lac
d) Rs 10 lac, Rs 5 lac
42 The Rozgar Scheme that has been reconstructed as National Rural Livelihood Mission by Government of
India is
a) SGSY b) SJSRY c) SRMS d) PMEGP
43 The period for which recommendations have been made by Thirteenth Finance Commission is
a) 2009-14
b) 2012-17
c) 2010-15
d) 2007-12
44
a)
b)
c)
d)

Bank rate means which of the following?

Interest rate charged by banks to their best borrowers.
Interest Rate below which a bank can not lend to its borrowers.
Interest Rate charged by RBI on rediscounting bills of Commercial banks.
Interest Rate on funds made available by RBI to banks against approved securities.

45 When a bank returns a cheque unpaid, it is called

a) Dishonour of a cheque
b) Non payment of a cheque
c) Stop payment of cheque
d) Clearance of a cheque
46 Which is the first bank of India which opened its branch in China?
a) ICICI Bank
b) HDFC Bank
c) Punjab National Bank

d) State Bank of India

47 Which crop occupies the largest agricultural area in India?

a) Wheat b) Rice
c) Gram d) Ground seed
48 Government has announced to limit the sale of subsidized LPG cylinders to _____ per year.
a) 4
b) 6
c) 9
d) 12
49 Which of the following panels have recommendations relating to GAAR?
a) Rangarajan Panel
b) Shome Panel
c) Reddy Panel

d) None of these

50 The Government has allowed Foreign Direct Investment in aviation up to

a) 26%
b) 49%
c) 51%
d) 74%
51 The Government has allowed FDI in multi-brand retail and the same has been capped at
a) 26%
b) 49%
c) 51%
d) 74%
52 What was the theme of the annual World Economic Forum meeting organized in Davos, Switzerland in
Sept 12?
a) The power of collaborative innovation
b) Shared norms for a new Reality
c) Improve the state of the world: rethink, redesign, rebuild
d) Shaping the post crisis world
53 The validity period of a cheque has been reduced to three months from six months as per
a) N I Act b) B R Act c) RBI Act d) RBI guidelines

1
2
D
4
5
6
7
8
9
10

D
D
C
E
C
D
D
C
B
E

11
12
13
14
15
16
17
18
19
20

B
B
B
D
A
A
D
E
D
B

21
22
23
24
25
26
27
28
29
30

Answer
D 31
C 32
D 33
A 34
B 35
C 36
B 37
E 38
C 39
E 40

A
A
B
C
D
D
C
D
D
C

41
42
43
44
45
46
47
48
49
50

C
A
C
C
A
D
B
B
B
B

51
52
53

C
B
D