Banking Awareness Test Questions - Set 7 Part - 1

(Note:-Answer are in Bold Letter Please Chek It !!)

1)   How many years deferment for General Anti-Avoidance Rules (GAAR) was announced in the Budget 2015-16?

a. 1 year
b. 2 year
c. 3 year
d. 4 year


2)   The new privately-owned domestic banks that started functioning with the approval of the RBI as per the issue of guidelines in January 1993 include: 

(i) UTI Bank Ltd. 
(ii) IndusInd Bank Ltd. 
(iii) ICICI Bank Ltd. 
(iv) Global Trust Bank Ltd.
(v) HDFC Ltd. 
(vi) Centurion Bank Ltd. (Since amalgamated with HDFC Bank in 2008)
(vii) Bank of Punjab Ltd.
(viii) Times Bank Ltd.
(ix) IDBI Bank Ltd.
(x) Development Credit Bank Ltd.


a. Both (i) and (viii)
b. Only (ii), (iii), (iv), (v), (vi), (vii), (ix), and (x)
c. None of the above
d. All the above


3)   When was the General Insurance Corporation of India incorporated?

a. 1971
b. 1972
c. 1973
d. 1993


4)   Under whose chairmanship did RBI constitute a Working Group for making balance of payments manual?

a. Anand Sinha
b. Deepak Mohanty
c. Harun Rashid Khan
d. Kamalesh Chandra Chakrabarty


5)   Which one of the following is the special drawing right given by the International Monetary Fund to its member countries?

a. Cold money
b. Hot money
c. Paper gold
d. None of these


6)   In pursuance of which one of the following was the General Insurance Corporation of India formed?

a. General Insurance Business (Nationalisation) Act, 1972
b. Insurance Act, 1938
c. Insurance Amendment Act, 2002
d. IRDA Act 1999


7)   If a cheque is dishonoured it is called ____________ . 

a. Settlement of the cheque
b. Withdrawing of the cheque
c. Nullifying of the cheque
d. Return of the cheque unpaid


8)   What does RBI regulate through Open Market Operation Transactions?

a. Flow of Foreign Direct Investment
b. Borrowing powers of the banks
c. Inflation
d. Liquidity in economy


9)   What is the full form of EFT?

a. Electronic Funds Transfer
b. Efficient Funds Transfer
c. Effective Funds Transfer
d. Electronic Foreign Transfer


10)   Which of the following organisations has been set up to facilitate connectivity between the Bank's switches and their ATMs, and inter bank payment gateway for authentication and routing the payment details of various e-commerce transactions?

a. IBA
b. IDRBT
c. IRDA
d. SIDBI


11)   Which of the following is known as "the real return to the investor getting reduced due to sudden rise in the prices of the commodities"?

a. Cost risk
b. Demand risk
c. Market risk
d. Systemic risk


12)   In which type of banking, electronic financial transactions are done?

a. E-Banking
b. POS Banking
c. M-Banking
d. Universal Banking


13)   Which one of the following allow bank customers to effect transfers of funds from their deposit accounts and other financial transactions at retail establishments?

a. CBS
b. DBS
c. IBS
d. POS


14)   Who was the first governor of RBI?

a. James Braid Taylor
b. Mihir Sen
c. Nagendra Singh
d. Osborne Smith


15)   Which was the first bank to introduce Internet banking?

a. Canara Bank
b. ICICI Bank
c. Punjab National Bank
d. State Bank of India


16)   What is the full form of FCCB?

a. Foreign Currency Convertible Bond
b. Foreign Currency Convertible Bank
c. Foreign Currency Convertible Board
d. Foreign Convertible Currency Board


17)   Which one of the following belongs to Bank Capitalization?

a. Basel II norms
b. Basel III norms
c. Basel I norms
d. Solvency II norms


18)   What is the tagline of SBI?

a. Pure Banking Nothing Else
b. You can always bank on us
c. Working for a better tomorrow
d. Experience Next Generation Banking


19)   On which rate bases, overnight money is needed by bank from RBI?

a. MSF
b. Repo rate
c. Reverse repo
d. Bank rate


20)   What is the full form of CBS?

a. Core Banking Solution
b. Core Banking Software
c. Core Banking System
d. Core Banking Service