Sunday, October 20, 2013

IBPS BANK EXAMINATIONS – BANKING AWARENESS – PRACTICE TEST-010






01.  When it comes to the primary functions of any bank which among the following is ODD man out?
a)    Accepting deposits from the public; b) lending cash credit loans to the public; c) lending agricultural loans to the public; d) lending loans to industries; e) selling mutual fund products

02.  When it comes to the secondary functions of any bank, which among the following is irrelevant?
a)    Selling gold coins; b) accepting deposits; c) selling mutual fund products; d) selling insurance products; e) providing consultancy services

03.  Which among the following is considered to be the subsidiary services of any bank?
a)    Issue of demand drafts; b) providing safe deposit locker facility; c) providing safe custody service; d) all the above; e) none of the above

04.  What is the minimum period for which a fixed deposit can be accepted by any bank?
a)    7 days; b) 14 days; c) 15 days; d) 21 days; e) none of the above

05.  Normally interest is paid on ____________basis in respect of fixed deposits
a)    Quarterly; b) half yearly; c) annually; d) monthly; e) 0n maturity

06.  Cheque books are issued in respect of which among the deposits as mentioned below?
a)    Fixed deposit; b) savings bank; c) current account; d) recurring deposit; e) (b) and (c) as above

07.  You are aware that the back portion of any cheque do not contain any details and is meant for recording endorsements and in case of non availability of space, a slip of paper is attached to the cheque called as______________
a)    Additional sheet; b) extra cheque leaf; c) attached cheque leaf; d) allonge; e) white addition

08.  What do you mean by TDS?
a)    Tax deducted at source; b) traditional development scheme; c) transport development scheme; d) tax development source; e) tax dedicated at source

09.  The principal regulator of the capital market in the country is called as:
a)    Insurance regulatory and development authority; b) securities and exchange board of India; c) Reserve Bank of India; d) National bank for agriculture and rural development; e) none of the above

10.  Find the incorrect match among the following:
a)    Reserve Bank of India – Canara Bank; b) Securities and exchange board of India – TCS Limited; c) Insurance Regulatory and Development authority – Life Insurance Corporation of India; d) Director general of foreign trade- Importer and exporter code; e) State governments – regional rural banks

11.  When a customer maintains an account in his personal name, it is called as individual account and when he opens an account in the name of a firm owned by him, it is called as____________________
a)    Partnership account; b) proprietorship account; c) company account; d) trust account; e) business account

12.  When a customer maintains an account in his personal name, it is called as individual account and when he opens an account in the name of a firm owned by himself and others, it is called as______________
a)    Proprietorship firm; b) partnership firm; c) company account; d) trust account; e) joint account

13.  Two parallel transverse lines on the face of the cheque is called as crossing and when a name of a bank is included between the two lines, it is called as:
a)    General crossing; b) special crossing; c) double crossing; d) bank crossing; e) none of the above

14.  Crossing has been defined in the following act:
a)    Banking regulation act 1949; b) Reserve Bank of India, 1934; c) Indian companies act 1956; d) Negotiable Instruments act 1881; e) none of the above

15.  When it comes to the facility of nomination available in bank products, which is the odd man out among the following?
a)    Fixed deposit; b) savings bank; c) reinvestment deposit; d) safe deposit locker; e) housing loan

16.  When it comes to the rights of equity share holders of any company, which among the following is not true?
a)    The equity shareholders are entitled to dividends as declared by the company
b)    Normally dividends are declared subject to the company earning any profits
c)     Equity shareholders have voting rights
d)    Equity shareholders are eligible to participate in the annual general meeting of the company and deliberate on the discussions
e)    They are eligible to get fixed dividends as per agreement

17.  Which among the following are not the duties of any commercial  bank in the country?
a)    Collection of cheques and demand drafts; b) transfer of money from one branch to another branch using RTGS and NEFT; c) Providing automated teller machine facilities; d) providing safe deposit lockers to the customers; e) providing consultancy services for the development of infrastructure like roads, industries etc.,

18.  __________________is the concept under which banks can provide various types of services namely: deposits, loans, safe deposit locker facilities, safe custody receipt facilities, selling of gold coils, provision of mutual fund products and insurance products etc to the customers:
a)    Extended banking; b) broad banking; c) wide banking; d) universal banking; e) global banking

19.  When it comes to the regulatory functions of Reserve Bank of India, which among the following is not true?
a)    Qualitative credit control; b) open market operations; c) maintenance of CRR and SLR; d) credit authorization scheme; e) promotion of export through refinance facilities

20.  When the requirements of any borrower is very huge, normally banks join together and lend the borrower on sharing basis and this form of finance is called as:
a)    Joint financing; b) coordinated financing; c) consortium advance; d) collective finance; e) cumulative finance

21.  When an individual is willing to invest in shares of prominent companies, instead of sending demand drafts, he avails the cheques issued in _________account wherein the cheque amount is blocked till such time the cheque is cleared for debiting in the account:
a)    Demat account; b) current account; c) cash credit account; d) ASBA account; e) share investment account

22.  When the bank concentrates more in __________________banking services, they prioritise lending for housing loans, personal loans, educational loans and other consumer durables loan:
a)    Wholesale banking; b) retail banking; c) universal banking; d) commercial banking; e) innovative banking

23.  ____________is the provision of small loans to poor people especially women in rural and semi urban areas, particularly in developing countries to help them engage in self employment and escape from the clutches of poverty
a)    Macro credit; b) micro credit; c) minute credit; d) rural credit; e) broad credit

24.  _______________is a phase of dismal economic activity usually accompanied by rising unemployment and it is usually defined by two successive quarters of negative gross domestic product growth and is considered to have cyclic character
a)    Inflation; b) deflation; c) recession; d) violation; e) saturation

25.  In the case of ____________a bank in need of cash can sell securities to Reserve Bank of India against cash on the condition that the bank will repurchase the securities within a short period.
a)    Reverse repo; b) repo; c) residual repo; d) inflation; e) deflation

26.  _______________is an instrument in writing containing an unconditional order signed by the maker directing a certain person to pay a certain sum of money only to or to the order of a certain person or to the bearer of the instrument
a)    Bill of entry; b) bill of exchange; c) promissory note; d) documentary credit; e) none of the above

27.  When the cheque is presented for payment to the banker for encashment, the banker insists the holder to sign on the backside of the cheque and such activity is called as:
a)    Signing the cheque; b) endorsement; c) signature recording; d) acknowledgment; e) none of the above

28.  ___________possesses a computer chip which is used for data storage, processing and identification
a)    Credit card; b) smart card; c) debit card; d) electronic card; e) none of the above

29.  ______________ is a cheque drawn by a bank on one of its branches or correspondent banks requesting the latter to pay the specified sum of money to the person named in the instrument
a)    Traveller cheque; b) demand draft; c) mail transfer; d) letter of credit; e) promissory note

30.  “A tradition of trust” is the punchline of which bank among the following?

a)    Canara bank; b) Bank of India; c) Central Bank of India; d) State Bank of India; e) Allahabad bank

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

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