money supply, banking & financial institutions section 3 MCQ Questions & Answers Detailed Explanation

Question : 1

With reference to the governance of public sector banking in India, consider the following statements.

1. Capital infusion into public sector banks by the Government of India has steadily increased in the last decade.
2. To put the public sector banks in order, the merger of associate banks with the parent State Bank of India has been affected.

a) Only 2

b) Neither 1 nor 2

c) Both 1 and 2

d) Only 1

Question : 2

Consider the following statements regarding the recent amendments done in IBC 2016:

1. It is applicable for corporate debtor and corporate guarantor
2. New management is ringfenced from offences committed by the erstwhile management

a) (ii) only

b) Both (i) & (ii)

c) (i) only

d) Neither (i) nor (ii)

Question : 3

Convertibility of rupee implies:

a) allowing the value of rupee to be fixed by market forces

b) being able to convert rupee notes into gold

c) freely permitting the conversion of rupee to other currencies and vice versa

d) developing an international market for currencies in India

Question : 4

The rate of tax increase as the amount of the tax base increases is called

a) Regressive tax

b) Degressive tax

c) Proportional tax

d) Progressive tax

Question : 5

A speculator who enters into a purchase transaction with a view to sell in the near future when the price would have risen is called a

a) Bison

b) Boar

c) Bear

d) Bull

Question : 6

Bull and bear are related to which commercial activity ?

a) International trade

b) Stock market

c) Banking

d) E-commerce