money supply, banking & financial institutions section 11 Practice Questions Answers Test with Solutions & More Shortcuts

Question : 26

Which among the following are the wholly/partly owned subsidiaries of the Reserve Bank of India (RBI)?

1. Deposit Insurance and Credit Guarantee Corporation (DICGC)
2. National Housing Bank (NHB)
3. National Bank for Agriculture and Rural Development (NABARD)
4. Bharatiya Reserve Bank Note Mudran Private Limited (BRBNMPL)

a) 1, 2 and 4

b) 1 and 4

c) 2, 3 and 4

d) All of them

Question : 27

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 : 28

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 : 29 [SSC CML 2002]

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 : 30

Consider the following statements regarding ‘Agency Banks’ of RBI:

1. RBI Act 1934 allows it to appoint agency banks
2. Public sector and private sector banks both can act as agency banks

a) (ii) only

b) Both (i) & (ii)

c) (i) only

d) Neither (i) nor (ii)