Theory and practice of Banking (COM 433)

---Reg No

1.____________ accounts are generally maintained by the traders and businessmen. 2)Appointing a bank as insurance agent of one insurance company to sell insurance product to their customers is known as A) Insurance agent B) Corporate agent C) banc assurance D)Financial Advisor 3.The central bank is generally owned by __________________ 4. Banks are registered under the Companies Act 1956 5.Which was the first commercial banks in India? c)Bank of Bangal d)Bank of Madras A) True A)SBI B)False B )Bank of India

6.------------------is to control and regulate the supply of money with the public and the flow of credit with a view to achieving pre-determined macro-economics goals A)Fiscal policy B)Economic Policy C)Monetary Policy D)Gove Policy A)Government

7) Monetary Policy is essentially a programme of action undertaken by the B)Central bank of a country C) SEBI D)SBI

8) When the central bank decides to pump money into circulation, it --------- government securities bills and bonds A)Buy B) Sell C) increase rate of interest C)None of these 9) How many digits are there in MICR--------------10) The ----------------- is the percentage of total deposits which commercial banks are required to maintain in the form of cash reserve bank 11) when economic conditions demand monetary expansion ,the central bank --A) raises the CRR B) reduces CRR C)Reduces bank rate D)None of these 12..Who is the governor of RBI 13.Expand RTGS--------------------------------------------14.What is current reverse repo rate ---------------15------------- companies mobilize savings and invest them in industrial securities. A) Leasing Companies B) Investment Companies C) Loan Companies D) Chit Funds

16) The------------------ is a method of persuading and convincing the commercial banks to advance credit in accordance with the directives of the central bank in overall economic interest of the country. 17 )----------- refers to difference between the securities offered and amount borrowed by the banks. A) Margin requirement B) Direct Action C)regulation on credit D) Consumer Credit

18) Who is the custodian of forex reserve of a country?_________19) From the following select one fee based activity? A) Issue management B) Deposits C) Equipment Leasing C)Hire Purchase

20) --------- companies mobilize savings and invest them in industrial securities. A) Leasing Companies B) Investment Companies C) Loan Companies D) Chit Funds