Banking & Financial Awareness MCQ Set-9

Find out the most important Financial Awareness MCQ for IBPS RRB SO, SBI PO, IBPS PO, Insurance examinations and various other competitive examinations of BFSI sector in India.

Q.1 A claused bill of landing stands for:

A. Shortfall in delivered goods

B. Damage in delivered goods

C. Shipment did not provide as promised

D. All of the above

Answer: A. All of the above

Q.2 Invoice is a:

A. Accounting document

B. Commercial document

C. Legal document

D. Marketing document

Answer: B. Commercial Document

Q.3 In the matter of handling bills of exchange for collection, the relationship between customer and the bank is:

A. Trustee and agent

B. Principal and Beneficiary

C. Principal and Agent

D. Trustee and Beneficiary

Answer: C. Principal and Agent

Q.4 A debt is deemed time-barred if the lender doesn’t take legal action or recover the money within _______  from the due date?

A. 1 year

B. 2 year

C. 3 year

D. 6 months

Answer: C. 3 years

Q.5 Which among the following is not a Government Security?

I. Treasury Bill

II. Dated Government Securities

III. Partially Paid Stock

IV. Floating Rate Bonds

V. Bonds with Call/Put Option

A. Only I

B. Only II

C. I, II, III, IV and IV

D. None of these

Answer: D. None of these

Q.6 The primary products of Retail Banking in India are:

A. Loan products

B. Card products

C. Deposit products

D. All of the above

Answer: D. All of the above

Q.7 In take-out financing, how many parties are involved?

A. One

B. Two

C. Three

D. Four

Answer: C. Three

Note: Take-out financing is a method of providing finance for longer duration projects of about 15 years by banks sanctioning medium-term loans for 5-7 years.

Q.8 Which among the following is the most common objective of Banking Regulations?

A. Market Discipline

B. Credit & Debit Management

C. Prudential Objective

D. Systematic Risk Reduction

Answer: A. Market Discipline

Q.9 Which among the following regulation states that “Every banking company is required to use the word BANK in its name and no other company can use it other than banking company”?

A. Section 7 of the Banking Regulation Act, 1949

B. Section 22 of the Banking Regulation Act, 1949

C. Section 7 of the RBI Act, 1934

D. Section 22 of the RBI Act, 1934

Answer: A. Section 7 of the Banking Regulation Act, 1949

Q.10 Acceptance of deposit by Non-Banking Financial Companies (NBFCs) is regulation by which of the following RBI regulation?

A. NBFC acceptance of public deposit (Revenue Bank) directions, 1998

B. NBFC acceptance of government deposit (Revenue Bank) directions, 1998

C. NBFC acceptance of private deposit (Revenue Bank) directions, 1998

D. None of these

Answer: A. NBFC acceptance of public deposit (Revenue Bank) directions, 1998

List of Banking & Financial Awareness MCQ sets from GKLead.com

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