Economy Banking questions

 

1.The Apex bank for providing Agricultural Refinance in India is-

(A) RBI
(B) LDB
(C) NABARD
(D) SBI

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2. Governor of RBI is 

( A) Shaktikant Das
( B) Nirmala Sitaram
( C) B. V. R. Subramanyam
( D) Narendra Modi

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3. Role of RBI Governor not consist

(A) Custodian of Country's reserve
( B) Supervising Fiscal Policy
( C) Currency bearer , Governor signature
( D) Foreign Exchange Management

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4.Which among the following is a function of the Reserve Bank of India?

(A) Bank issues the letter of credit to their customers certifying their creditability.

(B) Collecting and compilation of statistical information relating to banking & other financial sector.

(C) Banks underwrite the securities issued by public or private organizations.

(D) Accepting deposits from the public.

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5.Who is the 'lender of the last resort' in the banking structure of India?

(A) State Bank of India
(B) Reserve Bank of India
(C) Exim Bank of India
(D) Union Bank of India

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6 Consider the following statements-

1. Bank rate is the rate of interest which RBI charges its clients on their shortterm bor- rowing.

II. Repo rate is the rate of interest which RBI charges its clients on their long-term bor- rowing.

Which of the statement (s) given above is/are correct?

(A) I only
(C) Both I and II
(B) II only
(D) Neither I nor II

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7. In order to control credit, Reserve Bank of
India should-

(A) Increase CRR and decrease Bank rate
(B) Decrease CRR and reduce Bank rate
(C) Increase CRR and increase Bank rate
(D) Reduce CRR and increase Bank rate

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8. When the reserve bank of India announces an increase of the Cash Reserve Ratio(CRR), what does it mean?

(A) The commercial banks will have less money to lend.
(B) The Reserve Bank of India will have less money to lend.
(C) The Union Government will have less money to lend.
(D) The commercial banks will have more money to lend.

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9.The lowering of Bank Rate by the Reserve Bank of India leads to-

(A) More liquidity in the market.
(B) Less liquidity in the market.
(C) No change in the liquidity in the market.
(D) Mobilization of more deposits by commercial banks.

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10.Which of the following terms indicates a mechanism used by commercial banks for providing credit to the government?

(A) Cash Credit Ratio
(B) Debt Service obligation
(C) Liquidity Adjustment facility
(D) Statutory Liquidity Ratio

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11. Which of the following measures would result in an increase in the money supply in the economy?

1. Purchase of government securities from the public by the Central Banks.
2. Deposit of currency in commercial banks by the public.
3. Borrowing by the government from the Central Bank.
4. Sale of government Securities to the public by the Central Bank

.
Select the correct answer using the codes given below-

(A) 1, 2, 3 and 4
(B) 1 and 3
(C) 2 and 4
(D) 1, 2 and 3

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12. Which of the following grants/grant direct credit assistance to rural households?

1. Regional Rural Banks
2. National Bank for Agriculture and Rural Development
3. Land Development Banks

Select the correct answer using the codes given below.

(A) 1 and 2
(B) 1 and 3
(C) Only 2
(D) All the these

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13.Reserve Bank of India issues currency notes against which of the following?

(A) Gold

(B) Foreign security
(C) Govt. of India Security
(D) All of the above

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14 Devaluation of currency means-

(A) Reduction in the value of the currency vis-a- vis major internationally traded currencies.

(B) Permitting a currency to seek its worth in the international market.

(C) Fixing the value of currency with the help of International Monetary Funnd and World Bank

(D) None of the above

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15 Who maintains the foreign exchange reserve in India?

(A) Reserve Bank of India
(B) State Bank of India
(C) Ministry of Finance, Government of India
(D) Export-Import Bank of India

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16.Which one of the following statements correctly describes the meaning of legal tender money?

(A) The money which is tendered in courts of law to defray the fee of legal cases.

(B) The money which a creditor is under compulsion to accept in settlement of his claims.

(C) The bank money in the form of cheques, drafts, bills of exchange, etc.

(D) The metallic money in circulation in a country

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English Passagr

17.Researchers simulated street lighting on artificial grassland plots containing pea-aphids, sap- sucking insects, at night. These were exposed to two different types of light  a white light similar to newer commercial LED lights and an amber light similar to sodium street lamps. The low intensity amber light was shown to inhibit, rather than induce, flowering in a wild plant of the pea family which is a source of food for the pea-aphids in grasslands. The number of aphids was also significantly suppressed under the light treatment due to the limited amount of good available.

1. Which one of the following statement best reflects the most critical inference that can be made from the passage given above ?

(a) Low intensity light has more adverse effect on the plants as compared to high intensity light.

(b) Light pollution can have a permanent adverse impact on an ecosystem.

(c) White light is better for the flowering of plants as compared to the light of other colours

(d) Proper intensity of light in an ecosystem is important not only for plants but for animals too.

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Answers 

1C, 2A, 3B, 4B, 5B, 6D, 7C, 8A, 9A, 10D, 11B, 12B,  13D, 14A, 15A, 16B, 17B