MCQOPTIONS
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MCQOPTIONS
This section includes 657 Mcqs, each offering curated multiple-choice questions to sharpen your Testing Subject knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
____ is a type of charge that gives a bank automatic claim over a borrower’s property or assets. |
| A. | Pledge |
| B. | Hypothecation |
| C. | Mortgage |
| D. | Lien |
| Answer» E. | |
| 2. |
A loan or credit with a low-interest rate or the setting of low-interest rates by a central bank in a country is known as _____ |
| A. | Soft Currency |
| B. | Hard Currency |
| C. | Hot Money |
| D. | Cheap Money |
| Answer» E. | |
| 3. |
Which of the following is also known as Weak Currency? |
| A. | Soft Currency |
| B. | Hard Currency |
| C. | Hot Money |
| D. | Cheap Money |
| Answer» B. Hard Currency | |
| 4. |
Currency that is not likely to depreciate suddenly or to fluctuate greatly in value is known as ____ |
| A. | Soft Currency |
| B. | Hard Currency |
| C. | Hot Money |
| D. | Cheap Money |
| Answer» C. Hot Money | |
| 5. |
A currency with a value that fluctuates as a result of the country’s political or economic uncertainty is known as ______ |
| A. | Soft Currency |
| B. | Hard Currency |
| C. | Hot Money |
| D. | Cheap Money |
| Answer» B. Hard Currency | |
| 6. |
________ is the flow of funds (or capital) from one country to another in order to earn a short-term profit. |
| A. | Soft Currency |
| B. | Hard Currency |
| C. | Hot Money |
| D. | Cheap Money |
| Answer» D. Cheap Money | |
| 7. |
_______ refers to a bank which is a single and small bank that provides financial services to its local community. |
| A. | Investment Banking |
| B. | Branch Banking |
| C. | Group Banking |
| D. | Unit Banking |
| Answer» E. | |
| 8. |
________ offered by banks that generally provides incentives for groups, such as employees at a company. |
| A. | Investment Banking |
| B. | Branch Banking |
| C. | Group Banking |
| D. | Unit Banking |
| Answer» D. Unit Banking | |
| 9. |
________ is engaging in banking facilities away from a bank’s home office. |
| A. | Investment Banking |
| B. | Branch Banking |
| C. | Group Banking |
| D. | Unit Banking |
| Answer» C. Group Banking | |
| 10. |
______ refers to a private company related to the creation of capital for other companies, governments, and other entities. |
| A. | Investment Banking |
| B. | Branch Banking |
| C. | Group Banking |
| D. | Unit Banking |
| Answer» B. Branch Banking | |
| 11. |
Which of the following is the tagline/slogan of Union Bank of India? |
| A. | Together We can |
| B. | Trusted Family Bank |
| C. | Prosperity for All |
| D. | Good People to Bank with |
| Answer» E. | |
| 12. |
Which of the following is the tagline/slogan of Corporation Bank? |
| A. | Together We can |
| B. | Trusted Family Bank |
| C. | Prosperity for All |
| D. | Good People to Bank with |
| Answer» D. Good People to Bank with | |
| 13. |
Which of the following is the tagline/slogan of Canara Bank? |
| A. | Together We can |
| B. | Trusted Family Bank |
| C. | Prosperity for All |
| D. | Good People to Bank with |
| Answer» B. Trusted Family Bank | |
| 14. |
Which of the following is the tagline/slogan of Dena Bank? |
| A. | Together We can |
| B. | Trusted Family Bank |
| C. | Prosperity for All |
| D. | Good People to Bank with |
| Answer» C. Prosperity for All | |
| 15. |
“Relationships Beyond Banking” is the tagline/slogan of ________ |
| A. | Allahabad Bank |
| B. | Andhra Bank |
| C. | Bank of India |
| D. | Bank of Maharashtra |
| Answer» D. Bank of Maharashtra | |
| 16. |
Much more to do. With YOU in Focus is the tagline/slogan of ________ |
| A. | Allahabad Bank |
| B. | Andhra Bank |
| C. | Bank of India |
| D. | Bank of Maharashtra |
| Answer» C. Bank of India | |
| 17. |
“One Family One Bank” is the tagline/slogan of ______. |
| A. | Allahabad Bank |
| B. | Andhra Bank |
| C. | Bank of India |
| D. | Bank of Maharashtra |
| Answer» E. | |
| 18. |
“India’s International Bank” is the tagline/slogan of ______. |
| A. | Allahabad Bank |
| B. | Andhra Bank |
| C. | Bank of India |
| D. | Bank of Baroda |
| Answer» E. | |
| 19. |
“A tradition of Trust” is the tagline/slogan of which of the following Bank? |
| A. | Allahabad Bank |
| B. | Andhra Bank |
| C. | Bank of India |
| D. | Bank of Baroda |
| Answer» B. Andhra Bank | |
| 20. |
Which of the following is the tagline/slogan of Vijaya Bank? |
| A. | Together We can |
| B. | Trusted Family Bank |
| C. | Prosperity for All |
| D. | A Friend you can Bank upon |
| Answer» E. | |
| 21. |
Which of the following is the tagline/slogan of United Bank of India? |
| A. | Together We can |
| B. | Trusted Family Bank |
| C. | Prosperity for All |
| D. | The Bank that begins with U |
| Answer» E. | |
| 22. |
Which of the following is the tagline/slogan of Syndicate Bank? |
| A. | Together We can |
| B. | Trusted Family Bank |
| C. | Your faithful and friendly financial partner |
| D. | Good People to Bank with |
| Answer» D. Good People to Bank with | |
| 23. |
Which of the following is the tagline/slogan of Punjab and Sindh Bank? |
| A. | Together We can |
| B. | Where series is a way of life |
| C. | Prosperity for All |
| D. | Good People to Bank with |
| Answer» C. Prosperity for All | |
| 24. |
Which of the following is the tagline/slogan of Oriental Bank of Commerce? |
| A. | Where Every Individual is committed |
| B. | Trusted Family Bank |
| C. | Prosperity for All |
| D. | Good People to Bank with |
| Answer» B. Trusted Family Bank | |
| 25. |
“Good People to grow with” is the tagline/slogan of ________ |
| A. | Allahabad Bank |
| B. | Andhra Bank |
| C. | Indian Overseas Bank |
| D. | Bank of Maharashtra |
| Answer» D. Bank of Maharashtra | |
| 26. |
“Your Perfect Banking Partner” is the tagline/slogan of ________ |
| A. | Allahabad Bank |
| B. | Federal Bank |
| C. | ICICI |
| D. | HDFC |
| Answer» C. ICICI | |
| 27. |
“We Understand Your World” is the tagline/slogan of ______. |
| A. | Allahabad Bank |
| B. | Federal Bank |
| C. | ICICI |
| D. | HDFC |
| Answer» E. | |
| 28. |
“Honors Your Trust” is the tagline/slogan of ______. |
| A. | Allahabad Bank |
| B. | Andhra Bank |
| C. | Bank of India |
| D. | UCO Bank |
| Answer» E. | |
| 29. |
“Experience Our Expertise” is the tagline/slogan of which of the following Bank? |
| A. | Allahabad Bank |
| B. | Federal Bank |
| C. | ICICI |
| D. | Yes Bank |
| Answer» E. | |
| 30. |
In ARM, “A” stands for _____ |
| A. | Advance |
| B. | Adjustable |
| C. | Attempt |
| D. | Advanced |
| Answer» C. Attempt | |
| 31. |
In ________, the MBS is segregated into interest-only and principal-only. |
| A. | Pass-through participation certificates |
| B. | Collateralised mortgage obligations |
| C. | Stripped mortgage-based security |
| D. | Covered bonds |
| Answer» D. Covered bonds | |
| 32. |
In ________, MBS is categorised into pools of securities called tranches. |
| A. | Pass-through participation certificates |
| B. | Collateralised mortgage obligations |
| C. | Stripped mortgage-based security |
| D. | Covered bonds |
| Answer» C. Stripped mortgage-based security | |
| 33. |
Under _____ mortgage payments are transferred to the MBS investors on a pro rata basis. |
| A. | Pass-through participation certificates |
| B. | Collateralised mortgage obligations |
| C. | Stripped mortgage-based security |
| D. | Covered bonds |
| Answer» B. Collateralised mortgage obligations | |
| 34. |
Which of the following represents cash flows from a mortgage loan? |
| A. | Hedge |
| B. | SPV |
| C. | MBS |
| D. | MCLR |
| Answer» D. MCLR | |
| 35. |
Which of the following is an investment to reduce the risk of adverse price movements in an asset? |
| A. | Hedge |
| B. | SPV |
| C. | MBS |
| D. | MCLR |
| Answer» B. SPV | |
| 36. |
_______ represents transfer of credit risk from a primary lender, typically the originating bank, to an investment bank. |
| A. | CRR |
| B. | SLR |
| C. | MBS |
| D. | MCLR |
| Answer» D. MCLR | |
| 37. |
________ is a type of asset-backed security collateralised by a pool of mortgages. |
| A. | CRR |
| B. | SLR |
| C. | MBS |
| D. | MCLR |
| Answer» D. MCLR | |
| 38. |
________ is used by monetary authorities to control inflation. |
| A. | Repo Rate |
| B. | Reverse Repo Rate |
| C. | Base Rate |
| D. | MCLR |
| Answer» B. Reverse Repo Rate | |
| 39. |
______ is the rate at which the central bank of a country lends money to commercial banks in the event of any shortfall of funds. |
| A. | Repo Rate |
| B. | Reverse Repo Rate |
| C. | Base Rate |
| D. | MCLR |
| Answer» B. Reverse Repo Rate | |
| 40. |
The maximum limit of SLR is ______ |
| A. | 30% |
| B. | 35% |
| C. | 45% |
| D. | 40% |
| Answer» E. | |
| 41. |
_______ the CRR with the RBI ______ will be the liquidity in the system |
| A. | Higher, Lower |
| B. | Lower, Higher |
| C. | Lower, Lower |
| D. | Higher, Higher |
| Answer» B. Lower, Higher | |
| 42. |
RBI is empowered to vary CRR between _______ and ______. |
| A. | 10%, 4% |
| B. | 10%, 2% |
| C. | 10%, 3% |
| D. | 10%, 1% |
| Answer» D. 10%, 1% | |
| 43. |
The RBI sells government securities to _______ the flow of credit and buys government securities to ________ credit flow. |
| A. | Increase, Decrease |
| B. | Decrease, Increase |
| C. | Increase, Increase |
| D. | Decrease, Decrease |
| Answer» C. Increase, Increase | |
| 44. |
Which of the following makes bank rate policy effective and maintains stability in government securities market? |
| A. | CRR |
| B. | SLR |
| C. | MBS |
| D. | Open Market Operations |
| Answer» E. | |
| 45. |
Every financial institution has to maintain a certain quantity of liquid assets with themselves at any point of time of their total time and demand liabilities. This is known as ______ |
| A. | CRR |
| B. | SLR |
| C. | MBS |
| D. | MCLR |
| Answer» C. MBS | |
| 46. |
_______ is a certain percentage of bank deposits which banks are required to keep with RBI in the form of reserves or balances. |
| A. | CRR |
| B. | SLR |
| C. | MBS |
| D. | MCLR |
| Answer» B. SLR | |
| 47. |
________ is an instrument of monetary policy which involves buying or selling of government securities from or to the public and banks. |
| A. | CRR |
| B. | SLR |
| C. | MBS |
| D. | Open Market Operations |
| Answer» E. | |
| 48. |
The increase in the ______will increase the cost of borrowing and lending of the banks. |
| A. | Repo Rate |
| B. | Reverse Repo Rate |
| C. | Base Rate |
| D. | MCLR |
| Answer» B. Reverse Repo Rate | |
| 49. |
________ is the rate at which the central bank of a country borrows money from commercial banks within the country |
| A. | Repo Rate |
| B. | Reverse Repo Rate |
| C. | Base Rate |
| D. | MCLR |
| Answer» C. Base Rate | |
| 50. |
If the defaulter bank continues to default on the next working day, then the rate of penal interest can be increased to _____ per annum above the Bank Rate |
| A. | 4% |
| B. | 5% |
| C. | 3% |
| D. | 2% |
| Answer» C. 3% | |