Banking & Financial Awareness Quiz – Set 142

Banking & Financial Awareness Quiz: We have created many quizzes on Banking Awareness and this set is one of them. These questions are most important for banking and insurance exams. The question asked in the Banking Awareness section are based both on static banking and that to current banking in news. These Banking Awareness sets will guide you in all banking exams like IBPS Clerk, IBPS PO, SBI Clerk, SBI PO, RRB Clerk and PO and other exams.  The set will be beneficial for the Banking and financial awareness section of LIC AAO. So attempt all the sets now.

Banking & Financial Awareness Questions

1. The Depository and Depository Participants are regulated by____________
   A) RBI
   B) SEBI
   C) IRDAI
   D) NHB
   
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   Option B
   Explanation: The Securities and Exchange Board of India (SEBI) is responsible for the regulation of Depository and Depository Participants ranging from registration, regulation and inspection of the depository.
2. The interest rate applied on ways and means advances (WMA) in the first 3 months is equal to?
   A) Repo rate
   B) Bank rate
   C) CRR
   D) MSF
   
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   Option A
   Explanation: Interest rate on WMA (Before 3 months): Repo Rate; Interest rate on WMA (Beyond 3 months): Repo Rate +1%
3. Banks in india are permitted to issue Priority Sector Lending Certificate upto maximum of ___________ percent of previous year’s PSL achievement
   A) 60%
   B) 40%
   C) 20%
   D) 50%
   
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   Option D
   Explanation: A bank is permitted to issue PSLCs upto 50 percent of previous year’s PSL achievement.
4. Which of these is the wholly owned subsidiary of the Government of India?
   A) Deposit Insurance and Credit Guarantee Corporation of India(DICGC)
   B) Bharatiya Reserve Bank Note Mudran Private Limited(BRBNMPL)
   C) National Housing Bank(NHB)
   D) Reserve Bank Information Technology Private Limited (ReBIT)
   
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   Option C
   Explanation: Earlier National Housing Bank(NHB) was also a subsidiary of RBI. However now RBI has divested its entire stake in NHB
5. Signing on the face or back of the cheque for the purpose of transferring the cheque to the next person is termed as ______________
   A) Endorsement of Cheque
   B) Negotiation of Cheque
   C) Transfer of Cheque
   D) Crossing of Cheque
   
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   Option A
   
6. Foreign Exchange Management Act (FEMA) came into effect in which year?
   A) 2005
   B) 2000
   C) 1999
   D) 2010
   
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   Option B
   Explanation: The Foreign Exchange Management Act (FEMA) was enacted in 1999 to replace FERA. FEMA became effective from June 1, 2000.
7. Which character of the 11 digit Indian Financial System Code (IFSC) represents the digit 0?
   A) 5th
   B) 6th
   C) 4th
   D) 7th
   
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   Option A
   
8. The Banking Codes and Standards Board of India (BCSBI) is an independent banking industry watchdog that protects consumers of banking services in India. It was set up on the recommendation of which committee?
   A) C. Rangarajan
   B) A C Mahajan
   C) Y.V. Reddy
   D) S.S.Tarapore
   
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   Option D
   
9. APBS unique payment system implemented by National Payments Corporation of India (NPCI). Expand APBS
   A) Aadhaar Payment Benefit System
   B) Aadhaar Payment Bridge System
   C) Aadhaar Programmed Banking System
   D) Aadhaar Participating Banking System
   
   View answer

   Option B
   
10. The voting right of any shareholders in private sector banks are capped at __________
    A) 8%
    B) 12%
    C) 10%
    D) 15%
    
    View answer

    Option C
    Explanation: Shareholder’s voting rights in private sector banks are capped at 10 per cent. 

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