Wednesday, August 7, 2013

IBPS BANK EXAMINATIONS – BANKING AWARENESS – PRACTICE TEST-005



005
 



01.  According to know your customer guidelines, which amongst the following are not low risk clients?
a)    Salaried customers; b) government owned companies; c) government departments; d) regulatory and statutory bodies; e) high networth individuals

02.  In the following categories of bank customers, who are considered as  medium risk customers as per KYC guidelines?
a)    High networth individuals; b) Non resident Indians; c) Blind people; d) all the above; e) none of the above

03.  Which is the odd man out in respect of various risks faced by banks when it comes to risks?
a)    Credit risk; b) liquidity risk; c) operations risk; d) personal risk; e) market risk

04.  There are various insurance players in the market. Can you identify the public sector insurance companies who take care of general insurance business in the country:
a)    United India Insurance company Limited; b) New India Assurance Company Limited; c) Oriental Insurance company Limited; d) National Insurance company Limited; e) all the above

05.  Which are the specific principles of insurance?
a)    Utmost good faith; b) insurable interest; c) proximate clause; d) all the above; e) none of the above

06.  What is the full form of FINO – a term we see frequently in financial newspapers?
a)    Financial Information Network and Operations Limited; b) Financial Information National and operations limited; c) Financial Intelligence Information Network and Operations Limited; d)Financial Interest Network and Operations Limited; e) None of the above

07.  Banks and other financial insititutions in the country are required to maintain a certain amount of liquid assets like cash, gold, precious metals and other short term securities as a reserve all the time. In the world of banking, this procedure is known as:
a)    SLR; b) CRR; c) REPO; d) Reverse repo; e) none of the above

08.  What does the letter, “L” denote in the term LAF as referred every now and then in relation to monetary policy of Reserve Bank of India?
a)    Liquidity; b) Leverage; c) License; d) Language; e) Lending

09.  Personal loans can be canvassed amongst the following:
a)    Salaried persons; b) agriculturists; c) daily wage workers; d) Retail traders; e) none of the above

10.  Which amongst the following is not a development bank as on date?
a)    Industrial Finance Corporation of India; b) Export and Import Bank of India; c) Small Industries Development Bank of India; d) National Bank for agriculture and rural development; e) ICICI bank

11.  What do you mean by “probagation of cells”?
a)    Tissue culture; b) aqua culture; c) horticulture; d) pisciculture; olericulture

12.  What do you mean by apiculture?
a)    Fruit production; b) honeybee rearing; c) cultivation of fodder crops; d) vegetable cultivation; e) propagation of cells

13.  What do you mean by yellow revolution?
a)    Cocoa production; b) meat production; c) increase in agriculture production; d) flower production; e) oil seeds and pulse production

14.  Rubber production is denoted by which kind of revolution?
a)    Green revolution; b) black revolution; c) blue revolution; d) white revolution; e) brown revolution

15.  State Bank of India having a branch at Chennai opens an account with Bank of America at New York and what do you mean by the account?
a)    Vostro account; b) Nostro account; c) Loro account; d) Current account; e) None of the above

16.  Which defines Loro account in respect of the following?
a)    Canara Bank, Chennai opening an account with Bank of America at Chicago in US dollars
b)    State Bank, Coimbatore opening an account with Deutsche Bank at Bonn in euro
c)     Bank of America, New York opening an account with Bank of England at London in sterling pounds
d)    Bank of America, Los Angels opening an account with Australian Bank at Sydney in sterling pounds
e)    Bank of Tokyo at Osaka opening an account with State Bank of India, New Delhi in Indian rupees

17.  Find the correct order in respect of the following when it comes to issue of shares by a company:
a)    Authorized capital- issued capital – subscribed capital – paid up capital
b)    Authorized capital – subscribed capital – issued capital – paid up capital
c)     Authorized capital – paid up capital – subscribed capital – issued capital
d)    Authorized capital – issued capital – paid up capital – subscribed capital
e)    Issued capital – authorized capital – paid up capital – subscribed capital

18.  Among the following which appears in the balance sheet of a company?
a)    Subscribed capital; b) authorized capital; c) issued capital; d) paid up capital; e) partners’ capital

19.  Which amongst the following is off balance sheet items in respect of a banking company?
a)    Guarantees; b) deposits; c) loans granted to the public; d) machinery account; e) reserves

20.  What do you mean by the character; “M” in the term called as CAMELS?
a)    Maintenance; b) Management; c) Misappropriation; d) Money; e) Mortgage

21.  Ramesh maintains a current account with State Bank of India and a cheque for Rs. 10000/- was issued by him whereas his account showed a balance of Rs. 8000.00 and when he approached the bank manager, the manager assured to help him by the following activity:
a)    Permitting temporary overdraft for Rs. 2000; b) closing the account immediately; c) advising him to surrender the remaining cheque leaves; d) returning the cheque presented to the bank; e) telling the other party not to present the cheque once again to the bank

22.  What do you mean by money laundering?
a)    Washing the currency notes in a good laundery; b) converting money obtained through illegal sources in to legal money; c) keeping the money in currency chests; d) sending excess cash to the other branch; e) none of the above

23.  The term “coparcener” applies to which amongst the following?
a)    Partnership firm; b) Company accounts; c) Proprietorship firm; d) Hindu undivided family; e) Joint account

24.  What do you mean by an executor?
a)    The person appointed by depositor to receive the money in the case of his death on behalf of his minor legal heir as mentioned in the will
b)    The person appointed for executing cinemas in a mall
c)     The person appointed by a court of law to receive the money in case of death of the depositor on behalf of minor son of the depositor where no will has been made by the depositor
d)    Anyone of the above; e) None of the above

25.  Bank branches are in a position to send cash transaction report on daily basis in respect of transactions more than:
a)    Rs. 10 lakhs; b) Rs. 20 lakhs; c) Rs. 30 lakhs; d) Rs. 50 lakhs; e) none of the above

26.  ASBA relates to which amongst the following:
a)    Sending money for investment in shares through initial public offer; b) a loan scheme; c) deposit scheme; c) foreign exchange remittance facility; e) sending money to a share broker for purchase of shares in secondary market

27.  What do you mean by the character: “S” in the term called as RTGS?
a)    Settlement; b) Standard; c) Sequence; d) Stimulation; e) Stipulations

28.  State Bank of India is considered to be the largest bank in the country. The size is measured by which among the following?
a)    Total deposits and total advances; b) total number of branches; c) total number of employees; d) total deposits; e) total advances

29.  What do you mean by COPRA?
a)    Consumer protection act; b) Consumer programme act; c) Consumer patents act; d) Consumer perfection act; e) none of the above

30.  Nomination is not applicable in respect of which of the following:

a)    Term deposits; b) demand deposits; c) gold loans; d) safe deposit locker; e) safe custody service

TEST NO: 005 0 ANSWERS

1-E
2-D
3-D
4-E
5-D
6-A
7-A
8-A
9-A
10-E
11-A
12-B
13-E
14-B
15-B
16-C
17-A
18-D
19-A
20-B
21-A
22-B
23-D
24-A
25-A
26-A
27-A
28-A
29-A
30-C

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