Banking And Financial Institutions - Study Mode

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[#711] Identity the correct combination of statements with regard to banking in India: 1. The Presidency banks had acted as quasi - central banks for many decades in India. 2. The Bank of Hindustan was liquidated during 1829-32. 3. General Bank of India was an unsuccessful bank and was dissolved in 1791. 4. Bank of Calcutta was renamed as Bank of Bengal in 1921.

(A) 1, 2 and 3

(B) 2, 3 and 4

(C) 1, 2 and 4

(D) 1, 2, 3 and 4

Correct Answer

(A) 1, 2 and 3

[#712] Which of the following statement is incorrect? $$eqalign{
& 1.{ ext{NPAs}} = left[ {frac{{{ ext{Gross or Net NPAs}}}}{{{ ext{Total advances}}}}}
ight] imes 100 cr
& 2.{ ext{Net NPAs}} = { ext{Gross NPAs}} - { ext{Provision for NPAs}} cr
& 3.{ ext{CAR}} = frac{{{ ext{Tier two capital}} + { ext{Tier three capital}}}}{{{ ext{Risk weighted assets}}}} cr} $$ 4. Capital fund has two tiers - Tier I or core capital Tier II

(A) Only 4

(B) Only 1

(C) 1, 2 and 4

(D) Only 3

Correct Answer

(D) Only 3

[#713] Asset Reconstruction Company is associated with:

(A) DICGC

(B) ECGC

(C) NPA

(D) SEBI

Correct Answer

(C) NPA

[#714] Which of the following can be taken as the main functions of financial markets? 1. Price determination 2. Funds mobilization 3. Liquidity at a low cost 4. Risk sharing 5. Capital formation

(A) 1, 2 and 4

(B) 1, 2 and 3

(C) 2, 3, 4 and 5

(D) 1, 2, 3, 4 and 5

Correct Answer

(D) 1, 2, 3, 4 and 5

[#715] What is the upper limit prescribed for RTGS transaction?

(A) Rs. 5 lakhs

(B) Rs. 1 lakhs

(C) Rs. 25 lakhs

(D) No upper limit is prescribed

Correct Answer

(D) No upper limit is prescribed