Quiznetik

Basics of Banking and Insurance | Set 1

1. Indian banks were nationalised in the year

Correct : B. 1969

2. Bankers are not only purveyors of money but also an important sense they are

Correct : B. manufacturers

3. Primary functions of a commercial banks are ........... and lending

Correct : B. accepting deposits

4. The total number of public sector banks in India is

Correct : C. 28

5. Indian Institute of Bankers is registered as.............

Correct : C. joint stock company

6. The head quarters of National Housing Bank is

Correct : B. mumbai

7. The Head quarters of Allahabad Bank is

Correct : C. calcutta

8. The ‘Teller System’ has been introduced by banks to.........

Correct : B. make quick payment of cheque

9. Money at call and short notice of a bank is ............

Correct : B. bankers second line of advance

10. The terms drawer, drawee and payee are associated with;

Correct : A. cheques

11. Where the RBI has no branch the bank which can act as its agent is;

Correct : C. sbi

12. Unless otherwise specified DD or cheques is valid for a period of;

Correct : C. 3 months

13. RBI was nationalised in the year

Correct : B. 1949

14. The drawee of a cheque is always..........

Correct : D. bank

15. Commercial banks in India was organised as.......

Correct : B. joint stock company

16. In India ............. banks are nationalised in the year 1969

Correct : C. 14

17. Second nationalisation of commercial banks (6 banks)was in the year

Correct : B. 1980

18. Cooperative banks are registered under.............

Correct : C. co-operative societies act

19. The first Regional Rural Bank came into existence on

Correct : C. 1975

20. The largest public sector bank in India is

Correct : B. sbi

21. RRB Act was enacted in the year

Correct : C. 1975

22. ............. is the apex institution for rural development and rural credit

Correct : D. irbi

23. RBI was established in the year

Correct : B. 1935

24. Medium term loans are meant for a period

Correct : A. 3-5 years

25. Possession of a security practically with the banker is in the case of

Correct : B. pledge

26. Maximum number of withdrawals permitted per half year weather by cheque or otherwise in saving bank account

Correct : C. 50

27. The banker’s obligation to pay his customers cheque is a duty towards............

Correct : B. the drawer

28. Collateral security means

Correct : D. additional security

29. RBI issues currency notes on the basis of............

Correct : A. minimum reserve

30. The term “Reserve” in Reserve bank of India indicates

Correct : B. it keeps reserves of all commercial banks

31. SBI was established in the year

Correct : C. 1955

32. For opening new branch of a bank should obtain the sanction of..........

Correct : C. rbi

33. Negotiable Instrument Act was passed in the year

Correct : C. 1881

34. NABARD is administered by

Correct : C. board of directors

35. A depositor can withdraw money from the bank any number of time in.............

Correct : C. current a/c

36. A cheque is deemed stale after

Correct : B. 3 months

37. Bank rate policy is aimed at

Correct : C. stabilising internal price level

38. Bank of England was established in the year

Correct : C. 1694

39. Garnishee order is to restrain a banker from

Correct : B. making payment

40. A banker need not bother too much to open an account in the name of a person when receiving.........

Correct : A. term deposit

41. Primary relationship between banker and customer is that of

Correct : C. debtor and creditor

42. Bankers lien is a general lien and is

Correct : B. an implied pledge

43. Which country is popular for branch banking

Correct : A. britain

44. Whose signature is affixed on currency notes

Correct : C. rbi governor

45. A post dated cheque is one which bears;

Correct : B. future date

46. A banker has the right to disclose the account position of a customer to...........

Correct : C. trade reference

47. An account usually maintained by businessmen in a bank is

Correct : A. current account

48. The system of banking attracting deposits and lending for short period is called

Correct : B. deposit banking

49. When a loan is advanced on the basis of immovable property, it is called

Correct : C. mortgage

50. When a loan is advanced on the basis of movable property, it is called

Correct : B. hypothecation

51. Which of the following are not methods of credit control

Correct : C. issue of notes

52. The banker will refuse payment against

Correct : D. all of these

53. The following is not a demand deposit

Correct : A. fixed deposit

54. A cheque bearing a back date from the date of issue is

Correct : D. ante dated cheque

55. Banker lien shall not exercise upon

Correct : D. safe custody deposits

56. Key loans are usually allowed on

Correct : D. goods for sale

57. The country popular for unit banking is

Correct : C. america

58. Overdraft facility is allowed to reputed customers on

Correct : B. current account

59. The authority controlling the clearing house scheme is

Correct : A. rbi

60. Crossing of a cheque can be done by

Correct : C. any holder

61. Cash Reserve Ratio of banks is insisted in RBI Act of 1934 under section

Correct : B. 42

62. In order to determine a cheque valid or not one has to examine..........

Correct : D. date that cheque bears

63. RBI is an example of

Correct : B. statutory company

64. A bank draft is drawn by

Correct : B. bank

65. Pledge means........

Correct : C. bailment of goods as security

66. One Rupee notes is issued by

Correct : C. ministry of finance

67. A place where representatives of banks meet to settle cheques for collection

Correct : C. clearing house

68. Which of the following is subsidiary function of a bank

Correct : D. banking services

69. Ownership of IDBI is vested with

Correct : B. govt. of india

70. Credit card system was firstly developed in..........

Correct : B. bank of america

71. Call deposit is modified form of................

Correct : D. sb deposit

72. The EXIM bank established in the year

Correct : A. 1982

73. NABARD was established in the year

Correct : B. 1982

74. Lead Bank scheme was introduced by RBI in the year

Correct : B. 1969

75. Rule of Claytons Case is related with

Correct : B. appropriation of debt

76. Garnishee order is issued by

Correct : D. court of law

77. Scheduled bank is one.................

Correct : A. which is included in ii schedule of rbi

78. SBI was set up by nationalising

Correct : B. imperial bank

79. A bankers lien is

Correct : A. general

80. Number of subsidiary banks of SBI is

Correct : D. 7

81. Signature of one rupee note is of.....

Correct : B. finance secretary

82. Origin of banking is said to be closely connected with

Correct : D. jews

83. The best example of pure commercial banking is

Correct : A. british banking

84. Which country’s banking is regarded as best example of mixed banking

Correct : A. germany

85. Money at call is otherwise known as..........

Correct : B. overnight money

86. ............ bank is one which specialise in financing foreign trade of a country

Correct : D. exchange

87. “A central bank is an institution charged with responsibility of regulating supply and cost of money in the interest of general public”. This definition was made by;

Correct : D. dudley johnson

88. Commercial bank can be either unit banking type or ----------- banking type.

Correct : B. branch

89. Discounting of bills of exchange is.......... function of commercial banks

Correct : A. lending

90. Industrial banks are also called .......... as they subscribing the securities issued by the industrial concerns.

Correct : D. investment bank

91. IDBI and IFCI are examples of...........

Correct : C. industrial bank

92. International Bank for Reconstruction and Development is popularly known as

Correct : C. world bank

93. Payment of premium by a commercial bank is a part of their........ System.

Correct : B. agency

94. Unit banks are linked with bigger banks by a system called........

Correct : C. correspondent banking

95. Bank is a “factory” of.............

Correct : C. credit

96. NPA stands for.............

Correct : B. nonperforming assets

97. Commercial banks act as income tax consultant. This is a.............. function.

Correct : B. utility

98. .......... Ratio refers to that portion of total deposits of commercial bank which it has to keep with central bank in the form of cash reserve.

Correct : B. crr

99. Non Banking Financial Corporation’s (NBFCs) are otherwise known as...........

Correct : B. para banks

100. Maximum period for which deposits can be obtained by a NBFC is

Correct : C. 10 years