Banking Awareness Questions IBPS PO Clerk SBI Set 18

Advanced 467 Reasoning Puzzles Book SBI PO 2018
Banking and Financial Awareness Questions and Answer IBPS Clerk VII - Banking Awareness Quiz Questions Answers are providing for all banking exams and interviews in 2017 - 2018. These are some important Banking Awareness Questions and Answers pdf download free providing by our Banking Expert Team is useful for all banking exams and It is specially designed according to the Syllabus of RRB, IBPS/SBI PO, and Clerk VII 2017-2018.
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Banking Awareness Questions for IBPS PO Clerk

Q 1. What are Time Liabilities ?
  • (1) The liabilities which Bank have to pay on demand
  • (2) The liabilities which Bank have to pay after specific time period.
  • (3) The liabilities which Bank have to pay to the Reserve Bank of India
  • (4) The liabilities which Bank have to pay to the central government
  • (5) None of these
Ans 1. (2) Time liability are those liabilities which Bank have to pay after specific time period. Fixed deposits, cash certificate, time liabilities portion of Saving bank deposits come under Time Liabilities.

Q 2. Which of the following is not commercial bank ?
  • (1) Foreign Banks
  • (2) Private Banks
  • (3) RBI
  • (4) Regional Rural Banks
  • (5) None of these
Ans 2. (3) RBI is the Central Bank which controls the banks in the Economy.

Q 3. A Bank which controls credit is called .
  • (1) Unit Bank
  • (2) Central Bank
  • (3) Commercial Bank
  • (4) Correspondent Bank
  • (5) None of these
Ans 3. (2) A Bank which controls credit is called Central Bank. 

Q 4. Which of the following is not the part of the scheduled banking structure in India ?
  • (1) Money Lenders
  • (2) Public Sector Banks
  • (3) Private Sector Banks
  • (4) Regional Rural Banks
  • (5) State Co-operative Banks
Ans 4. (1)

Q 5. Floating Exchange Rate is also referred to as
  • (1) Real Exchange Rate
  • (2) Controlled Exchange Rate
  • (3) Fixed Exchange Rate
  • (4) Flexible Exchange Rate
  • (5) None of these
Ans 5. (4) A FER is a type of exchange rate regime wherein currency's value is allowed to fluctuate according to the foreign exchange market.

Q 6. If the Reserve Bank of India sells securities in the market it will result in
  • (1) An immediate change in the Bank rate
  • (2) A fall in the market rate of interest
  • (3) An increase in loans to Bank customers
  • (4) A reduction in Bank deposits
  • (5) None of these
Ans 6. (4) If the RBI sells securities in the market the Bank deposits will deadline

Q 7. A non - negotiable crossing is a
  • (1) Restricted crossing
  • (2) Special crossing
  • (3) Non- transferable crossing
  • (4) Parallel crossing
  • (5) None of these
Ans 7. (5) It is General crossing.

Q 8. The primary objective of selective credit control is .
  • (1) To raise the cost of credit for all purposes.
  • (2) To decrease the total supply of credit in the economy.
  • (3) To regulate total Bank credit and general level of interest rates.
  • (4) To influence allocation of credit among different borrowers and users.
  • (5) None of these
Ans 8. (4) The primary objective of selective credit control is to influence allocation of credit among different borrowers and users. 

Q 9. The ability of a commercial Bank to increase its loans and Investment depends on its .
  • (1) Holding of government securities
  • (2) Cash position
  • (3) Excess Cash reserves
  • (4) Outstanding loans and investments
  • (5) None of these
Ans 9. (3) The ability of a Commercial Bank to increase its loans and Investment depends on its excess reserves.

Q 10. is a financial institution which mobilises savings from the people and invests then in a mix of corporate and government securities.
  • (1) Commercial Bank
  • (2) Mutual Fund
  • (3) Unit Bank
  • (4) Correspondent Bank
  • (5) None of these
Ans 10. (2) Mutual Fund

Q 11. Treasury bills are sold in India by-
  • (1) SEBI
  • (2) State Government
  • (3) RBI
  • (4) Commercial Banks
  • (5) None of these
Ans 11.(3) Treasury bills are issued by Government & sold by RBI in form of small bonds to banks.

Q 12. has been set up for exchange of credit information among its members ?
  • (1) DICGCI
  • (2) CIBIL
  • (3) ECGL
  • (4) EXIM Bank
  • (5) None of these
Ans 12. (2) CIBIL

Q 13. The system of Ad-hoc Treasury Bills in India was replaced by Ways and Means Advances with effect from .
  • (1) 1st April , 1997
  • (2) 1st April , 1996
  • (3) 1st April , 1998
  • (4) 1st April , 1995
  • (5) None of these
Ans 13. (1) The system of Ad-hoc Treasury Bills in India was replaced by Ways and Means Advances with effect from 1 April, 1997.

Q 14. Reserve money includes.
  • (1) Time deposit with the Banks only
  • (2) Currency with the public and cash with Banks
  • (3) Cash with Banks only
  • (4) Cash with Banks and post office savings bank deposits
  • (5) None of these
Ans 14.(2) Reserve Money includes currency with the public and Cash with Banks

Q 15. The system of Note Issue followed by Reserve Bank of India is .
  • (1) Proportional Reserve System
  • (2) Minimum Reserve System
  • (3) Minimum Fiduciary System
  • (4) Maximum Fiduciary System
  • (5) None of these
Ans 15. (2) The Reserve Bank of India follows Minimum Reserve System of Note Issue.