banking, security market & insurance section 2 MCQ Questions & Answers Detailed Explanation

Question : 1

Which of the following was established in 1928 as the first printing press for bank notes in India?

a) Bharatiya Reserve Bank Notes Mudran Private Limited (BRBNMPL), Mysore

b) Currency Notes Press (CNP), Nasik

c) Indian Security Press (ISP), Nasik

d) Bharatiya Reserve Bank Notes Mudran Private Limited (BRBNMPL), Salboni

Question : 2

Which one of the following is different from the others from the point of view of ownership?

a) Debenture of a company

b) Bank Fixed Deposit

c) Kisan Vikas Patra

d) LIC Policy

Question : 3

Why is the offering of ‘teaser loans’ by commercial banks a cause of economic concern?

1. The teaser loans are considered to be an aspect of sub-prime lending and banks may be exposed to the risk of defaulters in future.
2. In India, teaser loans are mostly given to inexperienced entrepreneurs to set up manufacturing or export units.

a) Both 1 and 2

b) 2 only

c) 1 only

d) Neither 1 nor 2

Question : 4

‘Basel III’ norms target at which of the following?

1. Improve the banking sector’s ability to absorb shocks arising from financial and economic stress.
2. Improve risk management and governance.
3. Strengthen banks’ transparency.

a) 1 and 3 only

b) 1 and 2 only

c) 1 only

d) 1, 2 and 3

Question : 5

A cheque which has been written by the maker and dated at some point in the past is known as

a) Pre-paid cheque

b) Post-dated cheque

c) Out-of-date cheque

d) Antedated cheque

Question : 6

According to the Reserve Bank of India’s guidelines to banks, customers can change up to 20 pieces of soiled currency notes over the counter, free of charge up to a maximum value of

a) Rs.25,000

b) Rs.5,000

c) Rs.28,000

d) Rs.15,000