banking, security market & insurance section 4 MCQ Questions & Answers Detailed Explanation

Question : 1

An economy with very low rate of interest and where economic agents expect the interest rate to rise in future and consequently bond prices to fall, causing capital loss in the economy is going through a situation known as

a) Slow down in the economy

b) Double dip recession

c) Hyperinflation

d) Liquidity trap

Question : 2

SLR can be defined as—

a) $SLR = \text"ER + IS - CAB"/\text"L"$

b) $SLR = \text"ER + IS - CAB"/\text"L"$

c) $SLR = \text"ER + I - CB"/\text"L"$

d) $SLR = \text"L + CB - ER"/\text"IS"$

Question : 3

The financial instrument, through which Indian companies can raise money from overseas market in Rupees, is known as

a) Overseas Bonds

b) Gold Bonds

c) Masala Bonds

d) RBI Bonds

Question : 4

Which of the following terms is not a financial term?

a) RTGS

b) Core banking solution

c) Investment

d) All the above

Question : 5

The share of the concerned State Government in the capital of Regional Rural Banks is

a) 20 per cent

b) 35 per cent

c) 15 per cent

d) 50 per cent

Question : 6

The Indian Life Insurance Company ‘Aviva India’ is a joint venture between Aviva pic, a British insurance Company and the Indian conglomerate

a) Dabur Group

b) L and T Group

c) Tata Group

d) TVS Group