Banking and Financial Institutions MCQ Questions and Solutions with Explanations

51

The Base Rate system has replaced BPLR with effect from:

A) 1^st May 2010 B) 1^st June 2010 C) 1^st July 2010 D) 1^st August 2010

Discuss

Answer & Solution

Answer: Option C

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52

Which among the following in India can use 'Repo Bonds' to raise Short-term money from markets?
1. Commercial Bank
2. Regional Bank
3. Corporate
4. Governments
Select the above correct statements.

A) Only 3 B) Only 1 C) 1 and 3 D) 2 and 4

Discuss

Answer & Solution

Answer: Option C

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53

What is true about "White Card":

A) It is related to companies producing milk products B) It does not carry on its face, the brand of the issuer C) It is meant to convert black money into the economy D) None of the above

Discuss

Answer & Solution

Answer: Option B

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54

Financial markets can be classified in the following way/s

A) Primary and secondary markets B) Organized or formal markets, and unorganized or informal markets C) Financial markets can also be classified as money markets (for short-term funds), and capital markets (for long run funds) D) All of the above

Discuss

Answer & Solution

Answer: Option D

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55

What do we call the banks that undertakes commercial banking, investment banking, mutual funds and merchant banking?

A) Shadow Banking B) Universal Banking C) Unit Banking D) Narrow Banking

Discuss

Answer & Solution

Answer: Option B

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56

The Central Government has powers to supersede the SEBI, if it is of the opinion that

A) the members of the SEBI make an application to the Central Government to do so B) the SEBI is unable to discharge its functions and duties imposed on it under the provisions of the SEBI Act, 1992 or it is necessary to do so in the public interest C) the SEBI on its own makes an application to the Central Government to do so D) the SEBI does not have the required number of members for performing the functions entrusted to it

Discuss

Answer & Solution

Answer: Option B

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57

Match the following items of List-I with the items of List-II.

List-I	List-II
a. IFCI	1. 1981
b. SIDBI	2. 1982
c. NABARD	3. 1948
d. EXIM Bank	4. 1990

A) a-3, b-1, c-2, d-4 B) a-4, b-2, c-3, d-1 C) a-4, b-3, c-2, d-1 D) a-3, b-4, c-2, d-1

Discuss

Answer & Solution

Answer: Option D

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58

Which of the following terms is used to describe the distribution of insurance products and insurance policies by banks as corporate agents?

A) Two public sector banks and one general insurance company will be privatised B) Initial Public Offering of Life Insurance Corporation will be implemented in the financial year 2021-22 as a mega IPO C) Increase in PDI limits from 49 percent to 74 percent to help insurance companies to raise additional funds D) All of the above

Discuss

Answer & Solution

Answer: Option C

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59

Which one of the following statement is incorrect?

A) Till 1942, RBI was the currency issuing authority of Burma (now Myanmar) B) National Housing Bank (NHB) is the fully owned subsidiary of RBI C) RBI is the king pin of the Indian gold market D) RBI can provide any direct financial assistance to any industry, trade or business

Discuss

Answer & Solution

Answer: Option C

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60

Non-Banking Financial Companies can be classified as:
1. Asset Finance Company (AFC)
2. Investment Company (IC)
3. Loan Company
4. Foreign Trade Company (FTC)
Choose the correct answer from the options given below:

A) 1, 2 and 3 only B) 2, 3 and 4 only C) 1, 3 and 4 only D) 1, 2 and 4 only

Discuss

Answer & Solution

Answer: Option A

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Banking and Financial Institutions MCQ Questions and Solutions with Explanations | Commerce