Banking and Financial Institutions MCQ Questions and Solutions with Explanations

Section 1 Section 2 Section 3 Section 4 Section 5 Section 6 Section 7 Section 8 Section 9 Section 10 Section 11

1.
Match the following.

List-I List-II

a. RBI 1. Private Bank

b. SBI 2. Foreign Bank

c. Citi Bank 3. Regulator

d. Catholic Syrian Bank 4. Public Bank

A. a-4, b-3, c-2, d-1

B. a-3, b-4, c-1, d-2

C. a-1, b-4, c-3, d-2

D. a-1, b-2, c-3, d-4

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2.
Which of the following is necessary to apply for Atal Pension Yojana?

A. Aadhar Card

B. Saving Bank Account

C. Kisan Credit Card

D. Both A and B

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3.
Universal banking is the combination of commercial banking with

A. investment banking

B. insurance company

C. Both A and B

D. None of these

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4.
Which one of the following is not the fund based business of commercial banks?

A. Overdraft facility

B. Issuance of Letters of Credit

C. Acceptance of deposits

D. RTGS/NEFT transactions

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5.
Which one of the following is not a measure of credit control?

A. Bank rate policy

B. Open market activities

C. Credit deposit ratio

D. Cash reserve ratio

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6.
Match the following definitions with their authors

List-I (Definition of money) List-II (Economist)

a. Money is what money does 1. Walker

b. Anything that is widely accepted in exchange for goods or business obligations 2. G. D. H. Cole

c. The essence of money is that after a function of circulation can be given from one hand to another for another task 3. D. H. Robertson

d. A commodity for which there is a general acceptance 4. Seligman

A. a-1, b-3, c-4, d-2

B. a-1, b-3, c-2, d-4

C. a-3, b-1, c-2, d-4

D. a-3, b-1, c-4, d-2

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7.
One of the following is not correct in regard to Capital Market:

A. It is a market for long term financial assets

B. Maturity Period less than one year

C. Dealings take place at Stock Exchange

D. Unlimited number of players

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8.
"BCSBI" stands for:

A. Banking Codes and Standards Boards of India

B. Board Code for Standards in Branches

C. Board Code for Standards in Banking

D. None of the above

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9.
In regard to assigning risk weight to NPAs, which one of the following is incorrect?

A. 150% risk weight, when specific provisions are less than 20% of the outstanding amount of the NPA

B. 100% risk weight, when specific provisions are atleast 20% of the outstanding amount of the NPA

C. 50% risk weight, when specific provisions are more than 50% of the outstanding amount of the NPA

D. 50% risk weight, when specific provisions are atleast 50% of the outstanding amount of the NPA

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10.
Which of the following reasons was not responsible for the establishment of IMF?

A. To achieve the exchange rate stability

B. To assist the member countries in the post war reconstruction

C. To help the member countries to finance short term balance of payment deficit

D. All are correct

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1 2 3 4 5 6 7 8 9 10

List-I	List-II
a. RBI	1. Private Bank
b. SBI	2. Foreign Bank
c. Citi Bank	3. Regulator
d. Catholic Syrian Bank	4. Public Bank

List-I (Definition of money)	List-II (Economist)
a. Money is what money does	1. Walker
b. Anything that is widely accepted in exchange for goods or business obligations	2. G. D. H. Cole
c. The essence of money is that after a function of circulation can be given from one hand to another for another task	3. D. H. Robertson
d. A commodity for which there is a general acceptance	4. Seligman

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

1. Match the following. List-I List-II a. RBI 1. Private Bank b. SBI 2. Foreign Bank c. Citi Bank 3. Regulator d. Catholic Syrian Bank 4. Public Bank

Answer & Solution

2. Which of the following is necessary to apply for Atal Pension Yojana?

Answer & Solution

3. Universal banking is the combination of commercial banking with

Answer & Solution

4. Which one of the following is not the fund based business of commercial banks?

Answer & Solution

5. Which one of the following is not a measure of credit control?

Answer & Solution

Answer & Solution

7. One of the following is not correct in regard to Capital Market:

Answer & Solution

8. "BCSBI" stands for:

Answer & Solution

9. In regard to assigning risk weight to NPAs, which one of the following is incorrect?

Answer & Solution

10. Which of the following reasons was not responsible for the establishment of IMF?

Answer & Solution

Read More Section(Banking and Financial Institutions)

1.
Match the following.

List-I List-II

a. RBI 1. Private Bank

b. SBI 2. Foreign Bank

c. Citi Bank 3. Regulator

d. Catholic Syrian Bank 4. Public Bank

2.
Which of the following is necessary to apply for Atal Pension Yojana?

3.
Universal banking is the combination of commercial banking with

4.
Which one of the following is not the fund based business of commercial banks?

5.
Which one of the following is not a measure of credit control?

7.
One of the following is not correct in regard to Capital Market:

8.
"BCSBI" stands for:

9.
In regard to assigning risk weight to NPAs, which one of the following is incorrect?

10.
Which of the following reasons was not responsible for the establishment of IMF?