money supply, banking & financial institutions section 9 Practice Questions Answers Test with Solutions & More Shortcuts

Question : 46

Which among the following would most likely follow if the Reserve Bank of India effects selling of the securities?

a) The cash resources at the disposal of the commercial banks increase.

b) The cash resources of the commercial banks remain unchanged.

c) The cash resources at the disposal of the commercial banks get diminished.

d) None of the above.

Question : 47 [SSC IT 2004]

The ratio of a bank’s cash holdings to its total deposit liabilities is called the

a) Statutory Liquidity Ratio

b) Minimum Reserve Ratio

c) Variable Reserve Ratio

d) Cash Reserve Ratio

Question : 48 [HCS (Pre) 2014]

..... is the official minimum rate at which the Central Bank of a country is prepared to rediscount approved bills held by the commercial banks.

a) Bank rate

b) Reverse repo rate

c) Prime lending rate

d) Repo rate

Question : 49 [HCS (Pre) 2014]

The slogan ‘Pure Banking, Nothing else’ is raised by

a) HDFC Bank

b) UTI Bank

c) SBI

d) ICICI Bank

Question : 50

Which of the following may lead to an increase in the overall prices?

1. Increase in effective demand
2. Decrease in the aggregate level of output
3. Increase in aggregate output
4. An increase in overall employment

a) (ii) & (iv) only

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

c) (i) & (iv) only

d) All of the above