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MCQs

Total Questions : 461 | Page 42 of 47 pages
Question 411. The power of the commercial banks to expand deposits through expanding their loans and advances is known as ____.
  1.    Capital Expansion
  2.    Credit Expansion
  3.    Credit control
  4.    Credit Creation
 Discuss Question
Answer: Option D. -> Credit Creation
Question 412. The Securitization And Reconstruction of Financial Assets and Enforcement of Security Interest Act (SARFAESI) meant for recovery of loans which have become NPAis not applicable to:
  1.    Private Banks
  2.    Non – Banking Financial Companies
  3.    Financial Institutes of the Govt.
  4.    Public Sector banks
 Discuss Question
Answer: Option B. -> Non – Banking Financial Companies
Question 413. Which of the following is not a primary function of a Bank?
  1.    Granting Loans
  2.    Collecting Cheques/Drafts customers
  3.    Facilitating import of goods
  4.    Issuing Bank Drafts
 Discuss Question
Answer: Option C. -> Facilitating import of goods
Question 414. Reserves which can act as a liquidity buffer for commercial banks during crisis times are
  1.    CAR
  2.    SLR
  3.    CAR and CRR
  4.    CRR and SLR
 Discuss Question
Answer: Option D. -> CRR and SLR
Question 415. Many a times we read in the news paper about CASA deposits of banks. CASA deposits are
  1.    Demand deposits
  2.    Term deposits
  3.    Hybrid deposits
  4.    Recurring deposits
 Discuss Question
Answer: Option A. -> Demand deposits
Question 416. For repayment of loan availed from Banks NBFC we come across a term known as EMI What does it stand for?
  1.    Equated Money Index
  2.    Easy Money Installment
  3.    Equated Monthly Installment
  4.    Equal Monthly Installment
 Discuss Question
Answer: Option C. -> Equated Monthly Installment
Question 417. While investing in mutual funds we come across a term called NAV. What is the meaning of NAV?
  1.    Net Annual Value
  2.    Non Asset Value
  3.    Net Actual Value
  4.    Net Asset Value
 Discuss Question
Answer: Option D. -> Net Asset Value
Question 418. In India, forex rates are determined by
  1.    Exporters
  2.    Demand and supply forces
  3.    Importers
  4.    None of these
 Discuss Question
Answer: Option B. -> Demand and supply forces
Question 419. Which of the following can be categories as a Merchant Banking service?
  1.    Consultancy on finance to a company
  2.    Advance in capital structure
  3.    Managing mergers
  4.    Helping in finalizing take over
  5.    All the above
 Discuss Question
Answer: Option E. -> All the above
Question 420. Committee, launched the process of reforms of financial system in India
  1.    Gadgil committee
  2.    Nariman committee
  3.    Narasimham committee
  4.    Khanna Committee
 Discuss Question
Answer: Option C. -> Narasimham committee

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