Banking and Financial Awareness for RBI/IBPS Exams

Q1. Which Committee has been set up to study banking customer services by RBI?
(a) Bajpai Committee 
(b) Melegam Committee 
(c) Damodaran Committee
(d) Bhatt Committees

Q2. Six banks were nationalised because?
(a) they were grossly mismanaged  
(b) the election manifest of Congress (I) contained such a commitment 
(c) the Government intended to enlarge the flow of bank credit to the economically weaker sections of the society
(d) the measure was a part of restructuring the Indian banking system 
Q3. The term “Balance of Trade” means?
(a) A point where the values of imports and exports are equal  
(b) the term is used with reference to bilateral trade agreements with countries of CIS Block
(c) the difference between the value of the imports and exports of a country
(d) the difference between the total of transactions with foreign countries in trade, services and capital 
Q4. The term “bank money” is used to denote?
(a) loans and advance granted by the commercial banks 
(b) demand deposits used as money, i.e. deposits withdrawable by cheques
(c) loans granted by the Reserve Bank of India to the commercial banks
(d) money provided by the Reserve Bank of India to the Government 
Q5. More number of banks’ branches are located in?
(a) metropolitan areas  
(b) semi-urban areas 
(c) urban areas 
(d) rural areas
Q6. Export Credit Packing Advance sanctioned to SSI exporters are covered under the credit guarantee scheme of ______?
(a) DICGC 
(b) ECGC
(c) DRI 
(d) GIC 
Q7. The advantages of securitization for a Bank is? 
(a) It provides liquidity to the issuing Bank 
(b) The Bank capital does not get blocked 
(c) Securitisation proceeds can be used for fresh lending
(d) All of the above
Q8. A Bank may prefer to invest in corporate Bonds because? 
(a) Bond is more liquid Asset 
(b) Bond has an easy exit 
(c) Bond can be sold at discount 
(d) All of the above
Q9. Example of the product line of a Bank is? 
(a) Car loan 
(b) Personal loan 
(c) Home loan
(d) All of the above
Q10. First share market in India was established in? 
(a) Delhi 
(b) Kolkata   
(c) Mumbai
(d) Chennai