money supply, banking & financial institutions section 11 MCQ Questions & Answers Detailed Explanation

Question : 1

The most active segment of the Money Market in India is which one of the following?

a) Call Money / Notice Money Market

b) Commercial Paper (CP)

c) Repo / Reverse Repo

d) Certificate of Deposit (CD)

Question : 2

Which of the following RBI may do to curb the rupee depreciation:

1. Allowing importers to directly buy foreign currency from RBI
2. Increasing the repo rate
3. Selling dollars in the foreign exchange market
4. Buying dollars in the foreign exchange market

a) (ii) & (iii) only

b) (i), (ii) & (iii) only

c) (i) & (iii) only

d) (i), (ii) & (iv) only

Question : 3

Legal Tender Money is

a) not accepted for business purposes by law

b) not accepted by Government

c) accepted only by Government

d) accepted by people and Government as per the law

Question : 4

Coins are minted in India at

a) Delhi, Kolkata and Hyderabad

b) Mumbai, Kolkata and Hyderabad

c) Mumbai, Delhi and Bengaluru

d) Delhi, Mumbai and Kolkata

Question : 5

Which of the following statements are correct regarding "Regional Rural Banks (RRBs)":

1. They are regulated by RBI
2. They are supervised by NABARD

a) only (ii)

b) Both (i) & (ii)

c) only (i)

d) Neither (i) nor (ii)

Question : 6

Which of the following ministries/departments identify PSUs for “Strategic Disinvestment”?

a) NITI Aayog

b) Jointly by DIPAM and NITI Aayog

c) Department of Investment and Public Asset Management (DIPAM)

d) Inter-Ministerial body called ‘Alternative Mechanism’