G.K. QUIZ ON Banking Awareness

1.     The maximum number of withdrawals permitted in a savings account, half yearly is__?

(1) 90                                            (2) 60

(3) 50                                            (4) 110

(5) None of these

2.     When a customer opens a deposit account with the bank, which of the following is the status of the bank?

(1) Debtor                                      (2) Beneficiary

(3) Trustee                                     (4) Creditor

(5) None of these

3.     The Capital Account Convertibility of the Indian rupee refers to:

(1) that the Indian rupee can be exchanged for the US dollar for international trade in goods and service

(2) that the Indian rupee can be exchanged for any major currency for the purpose of trading financial assets

(3) that the Indian rupee can be exchanged by the authorized dealer for travel purpose

(4)  that the Indian rupee can be exchanged for any major currency for the purpose of trade in goods and services

(5) None of the above

4.     Banks issue a letter to the beneficiary on behalf of its constituents like guarantee for making payment on their behalf of on fulfillment of its term and conditions. This arrangement is known in banking context as:

(1) loan against credit

(2) letter of credit

(3) line of credit

(4) loan on credit

(5) None of these

5.     An unsecured loan extended by one corporate to another is called:

(1) commercial paper

(2) treasury bills

(3) Certificate of deposits

(4) Inter-corporate deposits

(5) All of the above

6.     To which of the following doses the RBI provides the ways and means of advances?

(1) central government

(2) commercial banks

(3) foreign banks

(4) regional rural banks

(5) state government

7.     Which of the following organizations regulate the merchant banking activities in India?

(1) RBI                                        (2) SEBI

(3) IRDA                                     (4) SIDBI

(5) Both 1 & 2

8.     Fiscal Responsibility and Budget Management Act (FRBM) concerns:

I. Fiscal Deficit        II. Balance of Payment

III. Revenue Deficit

(1) Only I                                 (2) Only II

(3) I & II                                   (4) I & III

(5) All of these

9.     The best alternative banking service to branch banking to be part of ‘financial inclusion’ is:

(1) mobile banking

(2) opening of small branches

(3) setting up of ATMs

(4) giving credit cards

(5) issuing ATM cards

10.  Consider the following statements regarding a bridge loan:

i. it is loan made by a bank for a longer period to make up for the permanent shortage of cash

ii. It is a loan provided by a bank for a short period to make up for the temporary shortage for cash

Which of the following statement(s) given is/are correct?

(1) Only I                 (2) Only II

(3) Both I & II           (4) neither I nor II

(5) None of these

Answers:

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