Banking Term Quiz

Q.11 Credit card business can be conducted by banks only if their net worth is at least
_______.
1. Rs. 100 Crore
2. Rs. 200 Crore
3. Rs. 300 Crore
4. Rs. 500 Crore
5. Rs. 1000 crore
Q.12 Which of the following acts do not govern banking operations of RBI in India?
1. Companies Act
2. Banking Secrecy Act
3. The Industrial Development Bank (Transfer
of Undertaking and Repeal) Act
4. Negotiable Instrurments Act
5. Banking Companies Act
Q.13 In which of the following places regional office of Reserve Bank of India is not
situated?
1. Gandhi Nagar
2. Kanpur
3. Panaji
4. Kochi
5. Raipur
Q.14 Foreign Exchange Management Act (FEMA) was enacted in which year?
1. 1998
2. 1999
3. 2000
4. 2001
5. None of these
Q.15 Negotiated Dealing System is related to -
1. trading at stock markets
2. settlement of security dealings
3. trading in Govt. securities
4. settlement of share payments
5. 1 and 2
Q.16 What is Net Interest Income (NII)?
1. Difference of interest earned on assets and non-interest income
2. Difference of assets and liabilities
3. Difference of interest earned on assets and interest paid on liabilities
4. 1 and 3
5. None of these
Q.17 Banking term "One Basis Point" represents which of the following?
1. One percent
2. One tenth of one percent
3. One hundredth of a percent
4. One third of a percent
5. None of these
Q.18 In which of the following components the total working capital fund based limit (is
called Maximum Permissible Bank Finance) is segregated in case of loan system of
credit delivery?
1. Cash credit and bills portion
2. Cash credit and term loan component
3. Cash credit and demand loan component
4. Bills portion and demend loan component
5. None of these
Q.19 Which of the following is not exempted from application of exposure ceiling
norms?
1. Weak/sick units
2. Food credit
3. State Govt. guaranteed accounts
4. Loan against deposits
5. None of these
Q.20 Operating cycle is helpful in determining which among the following?
1. Working capital requirement of a firm
2. Term loan needs of a firm
3. Cash in hand requirement of a firm
4. Profitability of a firm
5. None of these