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GENERAL AWARENESS (WITH SPECIAL REFERENCE TO BANKING INDUSTRY)


GENERAL AWARENESS
(WITH SPECIAL REFERENCE TO BANKING INDUSTRY)
1. ‘London Look Challenge’ is related to which among the following Olympic sports?
1) Cycling   2) Boxing   3) Wrestling   4) Shooting   5) Long jump
2. There are mainly three pillars of BASEL-III guidelines minimum capital requirement, supervisory review process and which is the third one?
1) Capital adequacy   2) Market discipline   3) Financial inspection   4) Depository ratio
5) Capital risks
3. Which of the following statement(s) is/are true?
A) Bancassurance refers to banks selling the insurance products.
B) Insurance companies get the benefit because they can have distribution relationship with multiple insurers.
C) Both the bank and insurance company share the commission.
1) Only A   2) Only B   3) Only C   4) Both A and B   5) All of the above
4. Which of the following is not a function of RBI?
1) Formulates, implements and monitors the monetary policy
2) Maintaining price stability and ensuring adequate flow of credit to productive sectors
3) Manages the foreign exchange management Act, 1999
4) Manages the scholarships of students going abroad for studies
5) Maintains banking accounts of all scheduled banks
5. Which of the following statement(s) is/are true?
A) Reserve Bank has launched a website explaining ways to detect counterfeit notes
B) The tagline of this website is ‘Pehchano Paise ki Boli, Kyonki Paise Bolta Hai’.
C) It gives visual presentation with pointers on currency notes.
1) Only A   2) Only B   3) Only C   4) Both A and B   5) All of the above
6. The case of doing business index is an index created by the :
1) International Monetary Fund   2) World Bank   3) World Trade Organization
4) Organization for Economic Co-operation and Development
5) International Finance Corporation
7. Akash is a …….. missile.
1) surface-to-air   2) air-to-air   3) surface-to-surface   4) air-to-surface   5) None of the above
8. Which of the following terms is not used in banking?
1) Net demand and time liability   2) Polygamy   3) CRR   4) Mortgage   5) None of the above
9. When is World Theatre Day celebrated?
1) 8th June   2) 27th March   3) 21st March   4) 3rd December   5) 5th June
10. What is the currency of Indonesia?
1) Dollar   2) Rupiah   3) Lira   4) Rupee   5) None of these
11. When was RBI established?
1) 1945   2) 1935   3) 1965   4) 1934   5) 1969
12. Which of the following statement(s) is/are true about ‘Indian Depository Receipt’?
A) A deposit account with any of the depositories in India.
B) A deposit account with a public sector bank.
C) An instrument in the form of depository receipt created by an Indian depository against underlying equity shares of the issuing company.
1) Only C   2) Both A and B   3) Both B and C   4) All of the above   5) None of the above
13. …….. is an apex banking institution.
1) NABARD   2) State Bank of India   3) Industrial Development Bank of India   4) Exim Bank
5) All of the above
14. Fiscal policy is formulated by :
1) SEBI   2) Ministry of Finance   3) RBI   4) Planning Commission   5) None of the above
15. Where is the headquarters of UNESCO located?
1) Switzerland   2) Italy   3) Paris   4) France   5) None of the above
16. Who has set-up an expert committee to review and rework the controversial General Anti-Avoidance Rules (GAAR) tax-provisions?
1) Sharad Pawar   2) Parthasarathi Shome   3) Pranab Mukharjee   4) Manmohan Singh
5) None of the above
17. “Powered by Intellect, Driven by Values” is the tag line of which company?
1) HCL   2) Infosys   3) Wipro Technologies   4) IBM   5) None of the above
18. Which of the following is the component of SJSRY?
1) Urban Woman Self-help Programme (UWSP)
2) Urban Self Employment Programme (USEP)
3) Urban Wage Employment Programme (UWEP)
4) Urban Community Development Prgoramme (UCDP)
5) All of the above
19. Which of the following organizations launched the World Day Against Child Labour?
1) ILO   2) WTO   3) LPM   4) UNICEF   5) None of these
20. Minsk is the capital of which country?
1) Brazil   2) France   3) Belarus   4) Austria   5) Azerbaijan
21. Liquidity of a more enduring nature arising from large capital flows is absorbed through sale of :
1) Short-dated government securities   2) sales of government bonds   3) treasury bills
4) Both (1) and (3)   5) None of the above
22. What is the currency of Argentina?
1) EURO   2) Peso   3) Dram   4) Lek   5) None of these
23. Luanda is the capital of which country?
1) Austria   2) Armenia   3) Angola   4) Belarus   5) None of these
24. When is the ‘World Health Day’ celebrated?
1) 8th March   2) 29th February   3) 28th February   4) 7th April   5) None of the above
25. In which year, the priority sector lending targets were introduced?
1) 1969   2) 1985   3) 1974   4) 1975   5) None of these
26. Which among the following is not the indirect instrument in the formulation and implementation of monetary policy?
1) Liquidity adjustment facility   2) Repo/Reserve Repo Rate
3) Open Market Operation (OMO)   4) Statutory Liquidity Ratio (SLR)   5) None of the above
27. What is the rate called at which the Reserve Bank is ready to buy or rediscount bills of exchange or other commercial papers?
1) Bank rate   2) Base rate   3) BPLR   4) Repo rate   5) None of these
28. Review of macroeconomic and monetary development is the detailed back ground report, released by :
1) World Bak   2) RBI   3) Asian Development Bank   4) International Monetary Fund
5) None of the above
29. What is the period of maturity of the financial assets in which money market deals?
1) 60 days   2) 1 year   3) 90 days   4) One and half year   5) None of the above
30. What is trade bill?
1) Trade bill is an instrument, which enables the drawee of the bill to get
2) Trade bill is an instrument, which enables the drawer of the bill to get funds for short period to meet the working capital needs
3) Trade bill is an instrument of exchange which RBI issues for selling its securities
4) Trade bill is a bill which the government sells in the open market to increase its reserves
5) None of the above
31. Khandelwal committee is associated with :
1) Banking    2) Insurance   3) Budget   4) Hospitality   5) None of these
32. What is the allowed limit of FDI in private banking sector of India through automatic route?
1) 50%   2) 49%   3) 51%   4) 55%   5) None of these
33. The strategic forces commend successfully test-fixed the – Prithvi-II missile from Chandipur in Odisha’s Balasore District.
1) Surface-to-air   2) Air-to-air   3) Air-to-surface   4) Surface-to-surface   5) None of the above
34. Which of the following statement(s) is/are true about willful default?
1) The willful default party diverts the finance away from the purpose it was availed for
2) The party defaults in meeting its payment obligations even if it has capacity to repay
3) It means that a party does not make a payment out of its will   4) All of the above
5) None of the above
35. Which of the following is not categorized as a NPA?
1) Risk assets   2) Substandard assets   3) Doubtful assets   4) Loss assets   5) None of the above
36. What is the Central Bank of Britain called?
1) Bank of Britain   2) Bank of London   3) Bank of England   4) Bank of United Kingdom
5) None of the above
37. Which is not the function of RBI?
1) Maintain foreign exchange reserves   2) Control of money supply and credit
3) Control of capital market   4) It maintains and operates government deposits
5) None of the above
38. The cleaning of cheque on the basis of electronic cheque is also called :
1) Cheque cleaning   2) Electronic cheque   3) Cheque truncation   4) Cheque tranche
5) None of these
39. On the recommendations of which committee NABARD prepared the modal scheme of Kisan Credit Card?
1) R.V. Gupta Committee   2) Srinivasan Committee   3) B. Sevaraman Committee
4) Kamath Committee   5) None of the above
40. Why the instrument of money market are liquid and can be converted to cash easily?
1) These are regulated by RBI   2) Due to short maturity   3) Due to long maturity
4) Both (1) and (3)   5) None of the above
EXPLANATIONS
1.(1) This programme has been created to reward medical winning performances by Americans cyclists in London.
2.(2) Market Discipline; Basel-III strengthens bank capital requirements and introduces new regulatory requirements on bank liquidity and bank leverage. The Basel Committee on Banking Supervision published the first version of Basel-III in late 2009, giving banks approximately three years to satisfy all requirements. Largely in response to the credit crisis, banks are required to maintain proper leverage ratios and meet certain capital requirements.
3.(5)    4.(4)
5.(5) The website is : www.paisaboltahai. rbi.org.in
6.(2) World Bank : The World Bank is a United Nations international financial institution that provides loans to developing countries for capital programs. The World Bank is a component of the World Bank Group, and a member of the United Nations Development Group.
7.(1) Akash is a surface-to-air missile.
8.(2) Polygamy is a term of sociology.
9.(2) For others :
            8th June                       -           World Ocean Day
            21 March                    -           World Poetry Day
            3rd December              -           World Disabilities Day
            5th June                       -           World Environment Day
10.(2) The currency of Indonesia is Rupiah.
11.(2) RBI was established in the year 1935. The Reserve Bank of India is India’s Central Banking Institution, which controls the Monetary Policy of the Indian Rupee. It commenced its operations on 1st April. 1935 during the British Rule in accordance with the provisions of the Reserve Bank of India Act, 1934.
12.(1) An Indian Depository Receipt (IDR) is a financial instrument denominated in Indian Rupees in the form of a depository receipt created by a Domestic Depository (custodian of securities registered with the Securities and Exchange Board of India) against the underlying equity of issuing company to enable foreign companies.
13.(5) NABARD, SBI, IDBI and Exim Bank all are apex banking institutions.
14.(3) RBI formulates the fiscal policy. Fiscal policy is the means by which a government adjusts its spending levels and tax rates to monitor and influence a nation’s economy. It is the sister strategy to monetary policy through which a central bank influences a nation’s money supply.
15.(3) The headquarters of UNESCO is in Paris.
16.(4) In Indian law, GAAR is an acronym for General Anti-Avoidance Rules which are farmed to minimize tax avoidance. GAAR could be termed as a general set of rules enacted to limit tax avoidance. It was proposed by the Union Budget 2012-13.
17.(2) The taglien of Infosys is “Powered by Intellect, Driven by Values”.
18.(5) Swarna Jayanti Shahari Rozgar Yojana (SJSRY) in India is a centrally sponsored scheme which came into effect on 1 December, 1997. The scheme strives to provide gainful employment to the urban unemployed and underemployed poor, through encouraging the setting up of self-employment ventures by the urban poor living below the poverty line.
19.(1) International Labour Organization (ILO) : The World Day against Child Labour was launched by the International Labour Organization (ILO) in 2002.
20.(3) Minsk is the capital of Belarus.
For others :
Country                      Capital
Brazil              -           Brasilia
France             -           Paris
Austria            -           Vienna
Azerbaijan      -           Baku
21.(4) Liquidity of a more enduring nature arising from large capital flow is absorbed through sale of short dated government securities and treasury, bills.
22.(2) The currency of Argentina is Peso.
23.(3) For others :
Country                      Capital
Austria            -           Vienna
Armenia          -           Yerevan
24.(4)  7th April          -           World Health Day
            8th March        -           International Women’s Day
            28th February  -           UNESCO
25.(3)
26.(4) Statutory Liquidity Ratio (SLR) : Statutory liquidity ratio is the direct instrument in the formulation of monetary policy. Monetary policy is one of the ways that the U.S. government attempts to control the economy. If the money supply grows too fast, the rate of inflation will increase; if the growth of the money supply is slowed too much, then economic growth may also slow.
27.(1) Bank Rate : Bank rate, also referred to as the discount rate, is the rate of interest which a central bank charges on loans and advances to a commercial bank.
28.(2) The Reserve Bank of India is India’s Central Banking Institution, which controls the Monetary Policy of the Indian Rupee. It commenced its operations on 1 April, 1935 during the British Rule in accordance with the provisions of the Reserve Bank of India Act, 1934.
29.(2) The money market for a short term fund, which deals in financial assets whose period of maturity is up to one year.
30.(2) When trade bills are accepted by commercial banks, they are known as commercial bank. A non-interest bearing written order used primarily in international trade that binds one party to pay a fixed sum of money to another party at a predetermined future date.
31.(1) Khandelwal Committee is associated with banking.
32.(2) FDI in private sector Bank of India is allowed up to 74% where FDI up to 49% is allowed through automatic and FDI beyond 49% but up to 74% is allowed through approval route. A Foreign Direct Investment (FDI) is a controlling ownership in a business enterprise in one country by an entity based in another country.
33.(4)
34.(3) Willful default party does not make payment out of its will.
35.(1) The three categories of NPAs are :
1) Substandard assets   2) Doubtful assets   3) Loss assets
A Non-Performing Asset (NPA) is defined as a credit facility in respect of which the interest and/or installment of principal has remained ‘past due’ for a specified period of time.
36.(3) The Bank of England is the central bank of the United Kingdom and was established in 1694.
37.(3) Controlling capital market is not a function of RBI but of SEBI.
38.(3) Cheque Truncation : The clearing of cheques on the basis of electronic cheques is also called cheque truncation. An electronic cheque is an electronic copy (scanned image) of a real cheque, which is then transferred by email. In addition to the cheque’s ‘real’ signature, the transfer must be digitally signed using the sender’s private key to authenticate the transfer.
39.(1) A Kisan Credit Card is a credit card to provide affordable credit for farmers in India. It was started by the Government of India, Reserve Bank of India (RBI), and National Bank for Agriculture and Rural Development (NABARD) in 1998-99 to help farmers access timely and adequate credit.
40.(2) Due to Short Maturity : Due to short maturity instrument of money market are liquid and can be converted to cash easily.

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