banking, security market & insurance section 3 Practice Questions Answers Test with Solutions & More Shortcuts

Question : 11 [UP-PCS 2016]

The first Land Development Bank was established in 1920. It was located at

a) Munger

b) Jhang

c) Meerut

d) Thane

Answer: (b)

The first land development bank was started at Jhang in Punjab in 1920.

Question : 12 [HPPSC (Pre) 2014]

SEBI was established in the year

a) 1985

b) 1990

c) 1991

d) 1988

Answer: (d)

Question : 13 [UGC-2016]

The banks which are implementing the Micro Finance Programme linked with Self Help Groups (SHGs) are

a) Co-operative banks and Regional Rural Banks, only

b) Regional Rural Banks and Commercial Banks, only

c) Commercial Banks and Co-operative Banks only

d) Commercial Banks, Regional Rural Banks and Co-operative Banks

Answer: (d)

Commercial Banks, Regional Rural Banks and Co-operative Banks are implementing the Micro Finance programme linked with Self Help Groups.

Question : 14

The Rural infrastructure fund set up in 1995 – 96, is maintained by the

a) NABARD

b) State Bank of India

c) Reserve Bank of India

d) Regional Rural Bank

Answer: (a)

Through the assistance of the Swiss Agency for Development & cooperation, NABARD set up the Rural innovation fund. RIDF is another noted scheme for the bank for rural development.

Under the RIDF scheme Rs. 51,283 crore have been sanctioned for 2,44,651 projects covering irrigation, rural roads and bridges, health & education, soil conservation, water schemes etc.

Question : 15 [BOM-PO 2016]

The ‘Interest Rate Risk’ is a type of

a) Reputational Risk

b) Liquidity Risk

c) Market Risk

d) Operational Risk

Answer: (c)

There are four major types of market risk; Interest Rate Risk, Equity Price Risk, Foreign Exchange Risk, Commodity Price Risk.

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