43. What will be the impact on the cash reserves of commercial banks of RBI conducts a sale of securities? a) Increase b) Decrease c) Remain constant d) Increase or decrease 44. Which among the following is a major qualitative control measure in India? a) Bank Rate Policy
19
18 2016 b) Open Market Operations c) Reserve Ratio Requirements d) Margin Requirements 45. Since which year, Reserve Bank of India is using the Selective Credit Control measures to control the amount of bank advances against the commodities having limited supply? a) 1949 b) 1956 c) 1969 d) 1973 46. Euro Bond is an instrument?
a) Issued in the European market b) Issued in Euro currency c) Is a bond denominated in a currency not native to the issuer's home country d) All of the above 47. FDI refers to? a) Fixed Deposit Interest b) Fixed Deposit Investment c) Foreign Direct Investment d) Future Derivative Investment
What is the financial year for RBI? IBPS - RRB EXAM SPL 1. The first bank established in India was a) Traders Bank b) SBI c) Bank of Hindustan d) PNB 2. Words ‘Bull’ and ‘Big’ are associated with which of commercial activity ? a) Manufacturing b) Foreign trade c) Share Marketing d) Banking 3. The oldest stock exchange of India is a) Kolkata Stock Exchange b) Hyderabad Stock Exchange c) Bangalore Stock Exchange d) Bombay Stock Exchange 4. Which of the following is at the apex of Industrial Finance in India ? a) ICICI b) IDBI c) Industrial Finance Corporation d) Industrial Credit and Investment Corporation of India 5. How many forms of SWAPS are there in derivatives ? a) One b) Two c) Three d) Four 6. Which bank gives long-term loan to farmers ? a) NABARD b) Land Development Bank c) SBI d) Rural Bank 7. External Commercial Borrowings (ECBs) form part of? a) Current Account b) Capital Account c) Either a or b d) Balance of Payments e) None 8. FEMA provides that a person becomes a resident if he stays in India for .......... or more in the previous year. a) 180 days b) 181 days c) 182 days d) 183 days e) None 9. Government policy to raise income by additional taxes and allocation of expenditure is called? a) Expenditure policy b) Monetary policy c) Income policy d) Fiscal policy 10. Head Office of the Asian Development Bank located in? a) Jakarta, Indonesia b) Manila, Philippines c) Nairobi, Kenya d) Tokyo, Japan e) None 11. If a bank is unable to refund the short term deposits as funds are locked in long term loans, it involves? a) Interest Rate Risk b) Operational Risk c) Liquidity Risk d) Market Risk e) None of the above 12. If a cheque presented through the Clea ring House is returned unpaid for any reason, the banker has to enclose the cheque to a Returning Memo while returning the instrument to the customer. This provision has been prescribed under? a) Negotiable Instruments Act, 1881 b) Reserve Bank of India Act, 1934 c) Banking Regulation Act, 1949 d) RBI Clearing House Rules e) None of the above 13. If a currency note is demonetized, it takes away the ........ of that currency. a) legal tender character
b) exchange rate c) value d) All of the above e) None of the above 14. Mutual Funds are required to be reg istered with? a) AMFI b) SEBI c) IBA d) RBI e) None 15. In respect of ‘Door Step Banking’, RBI has issued directives under the provisions of? a) Reserve Bank of India Act, 1934 b) Negotiable Instruments Act, 1881 c) Banking Regulation Act, 1949 d) Shops and Establishments Act e) None of the above 16. ISO 14000 deals with quality standard for? a) Environmental Management b) Technology Management c) Knowledge Management d) Information Management e) None of the above 17. ‘BCSBI’ stand for? a) Banking Codes & Standards Boards of India b) Board Code for Standards in Branches c) Board Code for Standards in Banking d) Banking Code for Standards in India e) None of the above 18. A draft issued by the bank has been lost by the payee. He sends a letter to the issuing bank to stop payment. Bank will: a) note caution and will advise the payee to contact purchaser of the draft b) not act on the request c) payment d) Forward to RBI e) None 19. Across the face of a cheque bears the words ‘Peoples Bank’. What is its significance? a) it is an extraneous matter appearing on the cheque. Hence should be returned b) the cheque is specially crossed in favour of Peoples Bank c) it is not a crossing as it does not contain two parallel lines d) All of the above e) None of the above 20. As per KYC Policy, the list of terrorist organizations is supplied to the Banks by the? a) Government of India b) CIBIL c) IBA d) RBI e) None 21. As per RBI directives which of the following areas/functions cannot be outsourced by the Banks? a) opening and closing of accounts b) cash collection from the parties c) recovery of bad loans d) credit and debit cards e) None of the above 22. Asset Reconstruction Company is associated with? a) DICGC b) ECGC c) NPA d) SEBI e) None 23. Association of National Exchange Members of India (ANMI) is a body consisting of? a) Bankers and SEBI b) SEBI and IBA (c) Brokers Operating in the National Exchanges (d) Bankers, SEBI, IBA and RBI (e) None of the above 24. At what stage of opening of bank account is the checking of Politically Exposed
Persons (PEP) carried out? a) at the first point of customer interaction b) at the Account Services Level c) at the Central Account Services Level d) one month after the account is opened e) None of the above 25. Authorized Dealers for foreign exchange transactions are appointed by? a) RBI b) Government of India c) Individual Banks d) FEDAI e) None 26. Banker’s right of set off can be exercised on receipt of ? a) Income Tax Attachment Order b) Garnishee Order c) Both a) and b) d) SEBI e) None of the above 27. Banks should not grant new loans for purpose of minor irrigation in? a) White Block b) Grey Block c) Dark Block d) All of the above e) None of the above 28. Which of the following is a benefit of E-Commerce? a) Insufficient telecommunications band width b) Individuals can telecommunicate more easily c) customers may be unsure of EC security d) EC theory & practice is constantly evolving e) None of the above 29. Which of the following is not an example of an e-payment? a) Smart cards b) Cash c) Digital checks d) Electronic billing e) None 30. The ‘bank rate’ is? a) free to fluctuate according to the forces of demand and supply b) set by the Reserve Bank of India c) set by the Reserve Bank of India as directed by the Union Ministry of Finance d) set by the Reserve Bank of India as directed by the Indian Banks' Association e) None of the above 31. The law regarding negotiable instruments is contained in? a) The Bill of Exchange Act, 1881 b) The Banking Regulation Act, 1949 c) The Cheques Act, 1881 d) The Negotiable Instruments Act, 1881 e) None of the above 32. As we know commercial banks accept deposits from the public. What do banks do with this money? a) This is a type of credit creation. Bank gives this on loan b) This is an income for the bank c) Banks give this money directly to the govt for developmental projects d) This money is deposited with the RBI who in turn gives some interest on it banks e) None of the above 33. Which of the following in NOT a type of cheque issued by an individual? a) Bearer cheque b) Order chequec c) Crossed cheque d) Savings cheque e) None 34. If the cash reserve ratio is lowered by the RBI, its impact on credit creation will be to?
CH VINOD Banking Awareness Faculty
Hyderabad 8712 905 665 a) increase it b) decrease it c) no impact d) constant e) None of the above 35. The financial year for banks is April-March, but what is the financial year for RBI? a) January - December b) April - March c) July - June d) October - September e) June-May 36. Which of the following rates/ratios is not covered under the RBI monetary and credit policy? a) Bank rate b) Exchange rate of foreign currencies c) Repo rate d) Reverse repo rate e) Cash reserve ratio 37. Which of the following rates is decided by the market conditions and not by RBI? a) Bank rate b) SLR c) CRR d) Inflation rate e) None 38. An average citizen cannot open a Savings account in which of the following? a) Commercial bank b) Post office c) Co-operative bank d) RBI e) None of the above 39. As per the existing policy, the Cash Reserve Ratio (CRR) of scheduled banks is fixed at a certain percentage of their NDTL. What is full form of NDTL? a) New Demand and Tenure Liabilities b) Net Demand and Time Liabilities c) National Deposits and Total Liquidity d) Net Duration and Total Liquidity e) New Deposits and Term Liquidity 40. Which of the following rates signals the RBI’s long-term outlook on interest rates? a) Repo rate b) Reverse repo rate c) Bank rate d) SLR e) CRR 41. Which of the following organisation release World Economic Outlook report? a) World Bank b) IMF c) UNDP d) WTO e) None 42. ICRA, CRISIL and Standard and Poor’s (S&P) are? a) Credit rating agencies b) NGOs c) Financial Institutions d) NBFCs e) None of the above
ANSWERS 1-c, 7-b, 13-a, 19-b, 25-a, 31-d, 37-d, 43-b,
2-c, 8-c, 14-b, 20-d, 26-c, 32-a, 38-d, 44-d,
3-d, 9-d, 15-c, 21-a, 27-c, 33-d, 39-b, 45-b,
4-b, 10-b, 16-a, 22-c, 28-b, 34-a, 40-c, 46-c,
5-b, 11-c, 17-a, 23-c, 29-b, 35-c, 41-b, 47-c
6-a, 12-d, 18-a, 24-a, 30-b, 36-b, 42-a,
