MCQOPTIONS
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MCQOPTIONS
This section includes 3653 Mcqs, each offering curated multiple-choice questions to sharpen your Banking And Financial Awareness knowledge and support exam preparation. Choose a topic below to get started.
| 1651. |
Chairman of the 'Bank Board Bureau (BBB), Shri Vinod Rai has recently stepped down from the board of [RBI Grade B 2016] |
| A. | HSBC Bank |
| B. | ICICI Bank |
| C. | IDBI Bank |
| D. | HDFC Bank |
| E. | IDFC Bank |
| Answer» F. | |
| 1652. |
Which of the following' statements is incorrect? |
| A. | VAT is the neutral tax since it does not influence the organisation of production |
| B. | VAT is easier to enforce than the sales tax to impose through cross-checking |
| C. | GST consists of three components such as Central-GST, State-GST and Local-GST |
| D. | Central -GST and State -GST will apply to all transaction of goods and services |
| E. | The Union Government of India passed the General Sales Tax in 1956 |
| Answer» D. Central -GST and State -GST will apply to all transaction of goods and services | |
| 1653. |
How instrument is used by the Reserve Bank of India to control market liquidity? [SBI PO 2014] |
| A. | Repo rate |
| B. | Statutory Liquidity Ratio |
| C. | Marginal Adjustment Facility |
| D. | Reserve Repo Rate |
| E. | Only [a] and [d] |
| Answer» F. | |
| 1654. |
The organisation is responsible for calculating National Income is - [IBPS RRB 2015] |
| A. | CSO |
| B. | NSSO |
| C. | RBI |
| D. | SBI |
| E. | None of these |
| Answer» B. NSSO | |
| 1655. |
According to a recent Reserve Bank's Instructions on banking matters. Banks cannot accept interest free deposits other than in [IBPS 2014] |
| A. | Demand deposit account |
| B. | Term deposit account |
| C. | Current account |
| D. | Both [a] and [b] |
| E. | None of these |
| Answer» D. Both [a] and [b] | |
| 1656. |
With effect from July 1,2012, for calculation of lending rates, the Reserve Bank of India has advised banks to switch over to the [IBPS Clerk 2013] |
| A. | MSF Rate System |
| B. | Reverse Repo Rate System |
| C. | Bank Rate System |
| D. | Repo Rate System |
| E. | Base Rate System |
| Answer» F. | |
| 1657. |
What is Cash Reserve Ratio? [IBPS Main 2016] |
| A. | Deposits of banks in government securities |
| B. | Rate at which banks borrow funds from the RBI |
| C. | Deposits (as cash) which banks have to keep/maintain with the RBI |
| D. | Rate at which RBI borrows money from the banks |
| E. | Rate at which RBI borrows money from the government |
| Answer» D. Rate at which RBI borrows money from the banks | |
| 1658. |
The government has named ______ outside experts as members of the Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI), moving to a model followed in the developed world. [SBI Main 2016] |
| A. | One |
| B. | Two |
| C. | Three |
| D. | Four |
| E. | Five |
| Answer» D. Four | |
| 1659. |
How instrument is used by the Reserve Bank of India to control market liquidity? [SBI 2014] |
| A. | Repo rate |
| B. | Statutory Liquidity Ratio |
| C. | Marginal Adjustment Facility |
| D. | Reserve Repo Rate |
| E. | Only [a] and [d] |
| Answer» F. | |
| 1660. |
In the field of banking, what does CRAR stand for? [SBI 2014] |
| A. | Capital Reserve Adequacy Ratio |
| B. | Capital to Risk (Weighted) Assets Ratio |
| C. | Capital Reserve Assets Ratio |
| D. | Capital Risk Adequacy Ratio |
| E. | None of these |
| Answer» C. Capital Reserve Assets Ratio | |
| 1661. |
The Reserve Bank of India keeps on changing various ratios/rates frequently. Why is this done? [BOI 2008] [a] To keep inflation under control [b] To ensure that Indian Rupee does not lose its market value [c] To ensure that banks do not earn huge profits at the cost of public money. |
| A. | Only [a] |
| B. | Only [b] |
| C. | Only [c] |
| D. | All [a], [b] & [c] |
| E. | None of these |
| Answer» B. Only [b] | |
| 1662. |
To improve access of the poor to banking, RBI has advised banks to open branches with minimum infrastructure supporting up to 8 to 10 Business Correspondents (BC) at a reasonable distance of 3-4 km. Such branches are known as [IBPS 2013] |
| A. | Nodal branches |
| B. | Micro branches |
| C. | Mini branches |
| D. | Ultra small branches |
| E. | Satellite branches |
| Answer» E. Satellite branches | |
| 1663. |
Interest on Savings deposit nowadays is _________. [SBI 2013] |
| A. | Fixed by RBI |
| B. | Fixed by the respective Banks |
| C. | Fixed by the Depositors |
| D. | Fixed as per the contract between Bank and the Consumer Court |
| E. | Not paid by the Bank |
| Answer» C. Fixed by the Depositors | |
| 1664. |
The Holidays for the Banks are declared as per ______. [SBI 2013] |
| A. | Reserve Bank Act |
| B. | Banking Regulation Act |
| C. | Negotiable Instruments Act |
| D. | Securities and Exchange Board of India Act |
| E. | Companies Act |
| Answer» D. Securities and Exchange Board of India Act | |
| 1665. |
The European Union has adopted which of the following as a common currency? [SBI 2013] |
| A. | Dollar |
| B. | Dinar |
| C. | Yen |
| D. | Euro |
| E. | Peso |
| Answer» E. Peso | |
| 1666. |
Increased interest rates, as is existing in the economy at present will ______. [IBPS 2012] |
| A. | Lead to higher GDP growth |
| B. | Lead to lower GDP growth |
| C. | Mean higher cost of raw materials |
| D. | Mean lower cost of raw materials |
| E. | Mean higher wage bill |
| Answer» B. Lead to lower GDP growth | |
| 1667. |
Which of the following organisations is known as the market regulator in India? [BOI 2008] |
| A. | IBA |
| B. | SEBI |
| C. | AMFI |
| D. | NSDL |
| E. | None of these |
| Answer» C. AMFI | |
| 1668. |
SEBI is a/an [Indian Overseas Bank 2011] |
| A. | advisory body |
| B. | statutory body |
| C. | constitutional body |
| D. | non-statutory body |
| E. | registered as a society |
| Answer» C. constitutional body | |
| 1669. |
Equity schemes managed strong NAV gains which boost their assets' was a new in some financial newspapers. What is the full form of NAV used as in above headlines? [Central Bank of India 2010] |
| A. | Nil Accounting Variation |
| B. | Net Accounting Venture |
| C. | Net Asset Value |
| D. | New Asset Venture |
| E. | None of the above |
| Answer» D. New Asset Venture | |
| 1670. |
In one of his speeches, Pranab Mukherjee said that the government has no plans to dilute the roles of market regulators. This means, the role of which of the following will not be diluted? [Syndicate Bank 2010] |
| A. | Life Insurance Corporation of India (LIC) |
| B. | Confederation of Indian Industry (CII) |
| C. | Federation of Chambers of Commerce and Industry (FICCI) |
| D. | Bureau of India Standards |
| E. | Securities and Exchange Board of India (SEBI) |
| Answer» F. | |
| 1671. |
Which of the following organisations is known as the market regulator in India? [Syndicate Bank 2009] |
| A. | IBA |
| B. | SEBI |
| C. | AMFI |
| D. | NSDI |
| Answer» C. AMFI | |
| 1672. |
Which of the following is the regulator of the credit rating agencies in India? [BOB 2008] |
| A. | RBI |
| B. | SBI |
| C. | SIDBI |
| D. | SEBI |
| E. | None of these |
| Answer» E. None of these | |
| 1673. |
Capital market regulator is [BOB 2008] |
| A. | RBI |
| B. | IRDA |
| C. | NSE |
| D. | BSE |
| E. | SEBI |
| Answer» F. | |
| 1674. |
Which of the following is not a function of the RBI? [Bank PO 2010] |
| A. | Maintaining Forex |
| B. | Deciding Bank Rate, CRR and SLR from time to time |
| C. | Opening Savings Accounts for general public |
| D. | Prescribing the Capital Adequancy Ratio |
| E. | Currency Management |
| Answer» D. Prescribing the Capital Adequancy Ratio | |
| 1675. |
Bank rate policy, open market operations, variable reserve requirements and statutory liquidity requirements employed by Reserve Bank as measures of credit control are classified as [IBPS 2011] |
| A. | quantitative methods |
| B. | qualitative methods |
| C. | Both of the above |
| D. | All of the above |
| E. | None of the above |
| Answer» B. qualitative methods | |
| 1676. |
We often see the names of two personalities in newspapers/magazines/electronic media. These names are Dr. C Rangarajan and Dr Bimal Jalan. In their lives, one thing in common. That is [Vijaya Bank 2008] |
| A. | Both are the chief economic advisors to Prime Minister of India. |
| B. | Both are Members of Parliament. |
| C. | Both are former Governors of RBI. |
| D. | Both were Finance Ministers of India. |
| E. | There is nothing common in both. |
| Answer» D. Both were Finance Ministers of India. | |
| 1677. |
Which of the following states became the first state in the country to launch RBI, s e-payment system for commercial tax payers? [IBPS 2011] |
| A. | Andhra Pradesh |
| B. | Kerala |
| C. | Gujarat |
| D. | Maharashtra |
| E. | Karnataka |
| Answer» F. | |
| 1678. |
Which of the following is a correct statement? [IBPS 2011] |
| A. | SBI is the sole authority to issue and manage currency in India |
| B. | A nationalised bank is the sole authority to issue and manage currency in India. |
| C. | A cooperative bank is the sole authority to issue and manage currency in India. |
| D. | RBI is the sole authority to issue and manage currency India. |
| E. | None of these |
| Answer» E. None of these | |
| 1679. |
Interest payable on savings bank accounts is [IBPS 2011] |
| A. | not regulated by RBI. |
| B. | regulated by State Governments. |
| C. | regulated by Central Government |
| D. | regulated by RBI. |
| E. | regulates by Finance Minister. |
| Answer» E. regulates by Finance Minister. | |
| 1680. |
Ten-rupee notes contain the signature of [Corporation Bank 2011] |
| A. | Finance Secretary, GOI |
| B. | Chairman, State Bank of India |
| C. | Governor, Reserve Bank of India |
| D. | Finance Minister, GOI |
| E. | Prime Minister |
| Answer» D. Finance Minister, GOI | |
| 1681. |
The names of which of the following rates/ratios cannot be seen in financial newspapers? [Corporation Bank 2011] |
| A. | Bank Rate |
| B. | Repo Rate |
| C. | Statutory Liquidity Ratio |
| D. | Cash Reserve Ratio |
| E. | Pulse Rate |
| Answer» F. | |
| 1682. |
Which of the following Acts was framed specially to deal more effectively with the problem of Non-Performing Assets in banking system? [Corporation Bank 2011] |
| A. | Companies Act |
| B. | Banking Regulation Act |
| C. | Foreign Exchange Management Act |
| D. | Industrial Dispute Act |
| E. | SARFAESI Act |
| Answer» F. | |
| 1683. |
Which of the following policies is known as Annual Policy Statement? [Corporation Bank 2011] |
| A. | Annual budget of GOI |
| B. | Credit and monetary policy of RBI |
| C. | Foreign trade policy of DGFT |
| D. | Regulations issued by SEBI |
| E. | None of these |
| Answer» C. Foreign trade policy of DGFT | |
| 1684. |
Interest rates on which of the following deposit schemes is fixed by thy Reserve Bank of India? [Corporation Bank 2011] |
| A. | Fixed deposits above live years' maturity |
| B. | Recurring deposits |
| C. | Savings bank |
| D. | Flexi Deposit scheme |
| E. | None of these |
| Answer» D. Flexi Deposit scheme | |
| 1685. |
The monetary authority in India, viz Reserve Bank of India, is bound to maintain a reserve against the notes issued, whatever may be the amount. This system is called as [Corporation Bank 2011] |
| A. | Minimum Reserve System |
| B. | Proportional Reserve System |
| C. | Maximum Fiduciary Issue System |
| D. | Simple Deposit System |
| E. | None of these |
| Answer» C. Maximum Fiduciary Issue System | |
| 1686. |
As we read every now and then, the Monetary and Credit Policy is reviewed and changes/corrections are made frequently. Who amongst the following exactly takes this decision in India? [Vijaya Bank 2008] |
| A. | Deputy Chairman, Planning Commission |
| B. | Prime Minister |
| C. | Finance Minster |
| D. | Chairman, Finance Commission |
| E. | None of these |
| Answer» F. | |
| 1687. |
Which of the following is not a function of the RBI? [Corporation Bank 2011] |
| A. | Maintaining Forex |
| B. | Deciding Bank Rate, CRR and SLR from time to time |
| C. | Opening Savings Accounts for general public |
| D. | Prescribing the Capital Adequacy Ratio |
| E. | Currency Management |
| Answer» D. Prescribing the Capital Adequacy Ratio | |
| 1688. |
Mutual funds are regulated by [Corporation Bank 2011] |
| A. | Association of Mutual Funds of India (AMFI) |
| B. | Securities and Exchange Board of India (SEBI) |
| C. | Reserve Bank of India |
| D. | IRDA |
| E. | None of these |
| Answer» C. Reserve Bank of India | |
| 1689. |
Consider the following. [Indian Overseas Bank 2011] (1) Deposit rates (2) Base Rate (3) Prime Lending Rate Which of the above are decided by the Reserve Bank of India? |
| A. | Only (1) |
| B. | Only (2) |
| C. | Only (3) |
| D. | Both (2) and (3) |
| E. | None of these |
| Answer» B. Only (2) | |
| 1690. |
Which of the following bodies promoted Securities Trading Corporation of India Limited (STCI) jointly with the Public Sector Banks? [Indian Overseas Bank 2011] |
| A. | Securities Exchange Board of India |
| B. | ICICI Ltd |
| C. | IDBI Ltd |
| D. | Reserve Bank of India |
| E. | IRDA |
| Answer» E. IRDA | |
| 1691. |
SEBI is a/n [Indian Overseas Bank 2011] |
| A. | Advisory body |
| B. | Statutory body |
| C. | Constitutional body |
| D. | Non-statutory body |
| E. | Registered as a society |
| Answer» C. Constitutional body | |
| 1692. |
The European Union has adopted which of the following as a common currency? [Indian Overseas Bank 2011] |
| A. | Dollar |
| B. | Dinar |
| C. | Yen |
| D. | Peso |
| E. | Euro |
| Answer» F. | |
| 1693. |
Which of the following organisations / agencies has established a fund known as investor Protection Fund? [Indian Overseas Bank 2011] |
| A. | RBI |
| B. | SIDBI |
| C. | Bombay Stock Exchange |
| D. | Ministry of Finance |
| E. | Ministry of Commerce and Industry |
| Answer» B. SIDBI | |
| 1694. |
Which of the following is the Central Bank of USA? [Allahabad Bank 2011] |
| A. | Federation of Banks, USA |
| B. | Citigroup, USA |
| C. | Bank of America |
| D. | Central Bank of USA |
| E. | Federal Reserve |
| Answer» F. | |
| 1695. |
For which of the following reasons RBI has decided to undertake mid-quarter policy reviews? [Allahabad Bank 2011] (1) To re-align its policies (2) To take steps and ensure smooth flow of credit (3) To provide guidance to the economy |
| A. | Only (1) |
| B. | Only (2) |
| C. | Only (3) |
| D. | All (1), (2) & (3) |
| E. | None of these |
| Answer» B. Only (2) | |
| 1696. |
Which of the following is/are key policy rates used by RBI to influence interest rates? [Allahabad Bank 2011] (1) Bank Rate and Repo Rate (2) Reverse Repo Rate (3) CRR and SLR |
| A. | Only (1) |
| B. | Only (2) |
| C. | All (1), (2) & (3) |
| D. | Only (3) |
| E. | Both (1) & (3) |
| Answer» D. Only (3) | |
| 1697. |
Which of the following is/are the objective(s) of our monetary policy?[Allahabad Bank 2011] (1) To anchor inflation expectations (2) To actively manage liquidity (3) To maintain interest rate regime consistent with price output and financial stability |
| A. | Only (1) |
| B. | All (1), (2) & (3) |
| C. | Both (2) & (3) |
| D. | Only (2) |
| E. | None of these |
| Answer» C. Both (2) & (3) | |
| 1698. |
Banking and financial services all over the world are regulated usually by the Monetary Authority of the land. Who controls this function in India? [Allahabad Bank 2011] |
| A. | Ministry of Finance |
| B. | SEBI |
| C. | RBI |
| D. | IRDA |
| E. | FEDAI |
| Answer» D. IRDA | |
| 1699. |
Banks borrow money from the RBI on which of the following rates? [Allahabad Bank 2011] |
| A. | Reverse Repo Rate |
| B. | Repo Rate |
| C. | SLR |
| D. | CRR |
| E. | Saving Rate |
| Answer» C. SLR | |
| 1700. |
The rate of interest on Savings Bank Account is stipulated by [Corporation Bank 2011] |
| A. | The concerned bank |
| B. | RBI |
| C. | Indian Banks Association |
| D. | Government of India |
| E. | Banking Codes and Standards Board of India |
| Answer» C. Indian Banks Association | |