banking, security market & insurance section 4 MCQ Questions & Answers Detailed Explanation
MOST IMPORTANT indian economy mcq - 5 EXERCISES
The following question based on Banking, Security Market & Insurance topic of indian economy mcq
(a) 2001
(b) 1993
(c) 1994
(d) 1964
The correct answers to the above question in:
Answer: (b)
Practice Banking, Security Market & Insurance (banking, security market & insurance section 4) Online Quiz
Discuss Form
Read more banking security market insurance Based Indian Economy Questions and Answers
Question : 1
How many seats of Deputy Governor are there in Reserve Bank of India?
a) 3 only
b) 2 only
c) 1 only
d) 4 only
Answer »Answer: (d)
The general superintendence and direction of the RBI are entrusted with the 21-member- Central Board of Directors—the Governor (currently Dr Urjit R. Patel), four Deputy Governors, two Finance Ministry representatives, ten government-nominated directors to represent important elements from India’s economy, and four directors to represent local boards headquartered at Mumbai, Kolkata, Chennai and New Delhi.
Question : 2
Consider the following statements with regard to Statutory Liquidity Ratio (SLR)
- To meet SLR, Commercial banks can use cash only.
- SLR is maintained by the banks with themselves.
- SLR restricts the banks leverage in pumping more money into the economy.
a) 2 and 3
b) 1 and 3
c) 1, 2 and 3
d) only 2
Answer »Answer: (a)
SLR used by bankers indicates the minimum percentage of deposits that the banks have to maintain in the form of gold, cash or other approved government securities.
Question : 3
Choose the correct statements in the context of Cooperative Banks in India.
- Cooperative Banks operate on no profit no loss basis.
- Cooperative Banks are allowed to operate only in the agriculture sector.
- NABARD is a Cooperative Bank.
a) 1 and 3
b) 1 and 2
c) 1 only
d) All of these
Answer »Answer: (c)
Cooperative Banks operate on no profit no loss basis, and they operate in all sectors including agriculture sector.
NABARD is not a Cooperative Bank. National Bank for Agriculture and Rural Development (NABARD) is an apex development bank in India.
Question : 4
In the context of Indian economy, open market operations to :
- borrowing by scheduled banks from RBI
- lending by commercial banks to industry and trade
- purchase and sale of government securities by the RBI
- None of the above
a) 4 and 1 only
b) 3 only
c) 1 and 2 only
d) 2 and 3 only
Answer »Answer: (b)
Open market operation: When RBI buys/sells securities in open market, in case of OMO, first party permanently sells the Government security to second party. Second party is free to do whatever it wants with that security.
Question : 5
Which of the following company is the sole reinsurance company in India?
a) National Insurance Company
b) ICICI Prudential Life Insurance Company
c) Life Insurance Corporation of India
d) General Insurance Corporation
Answer »Answer: (d)
GIC of India (GIC) is the sole reinsurance company in the Indian insurance market with over four decades of experience.
Question : 6
Devaluation of currency leads to
a) expansion of import substituting
b) contraction of import trade
c) expansion of export trade
d) all of the above
Answer »Answer: (d)
Devaluation leads to a country’s exports becoming less expensive as the currency is deliberately adjusted down to other currencies, making imports more expensive, making domestic consumers less likely to purchase them thus the domestic companies are encouraged to substitute imports.
GET Banking, Security Market & Insurance PRACTICE TEST EXERCISES
banking, security market & insurance section 1
banking, security market & insurance section 2
banking, security market & insurance section 3
banking, security market & insurance section 4
banking, security market & insurance section 5
Banking, Security Market & Insurance Shortcuts and Techniques with Examples
Verbal Reasoning
Question & Answer Quiz
Non Verbal Reasoning
Question & Answer Quiz
Quantitative Aptitude
Question & Answer Quiz
Computer MCQ
Question & Answer Quiz
General English
Question & Answer Quiz
History GK
Question & Answer Quiz
Polity GK
Question & Answer Quiz
Geography GK
Question & Answer Quiz
Economy GK
Question & Answer Quiz
General Awareness GK
Question & Answer Quiz
Recently Added Subject & Categories For All Competitive Exams
Word Formation Objective Questions MCQs for IBPS Clerk 2024
Current year Important Objective Questions and Answers with Explanation for IBPS Clerk Prelims 2024 exam. English Vocabulary multiple choice practice exercises
Continue Reading »
Time and work Questions with Solution PDF IBPS Clerk 2024
Free Time and Work Quants Aptitude concepts based Multiple Choice Questions and Answers Practice Test, Downloadable Quiz PDF for IBPS Clerk Prelims 2024 Exam
Continue Reading »
Series Completion Questions & Answers PDF IBPS Clerk 2024
Top Alphabet Number Series Completion based Verbal Reasoning Multiple choice questions with answers PDF, & Free IBPS Mock tests For IBPS Clerk Prelims 2024
Continue Reading »
New 150+ Percentage Questions For IBPS Clerk Prelims 2024
Free Top Percentage Quants Aptitude based Multiple Choice Questions and Answers Practice Test Series, Quiz PDF & Mock Test for IBPS Clerk Prelims 2024 Exam
Continue Reading »