19 Jun 2017

Important Banking Awareness Quizzes (Topic Wise) for Upcoming IBPS Exams 2017

Important Banking Awareness Quizzes (Topic Wise) for Upcoming IBPS Exams 2017:
Dear Readers, Here we have provided the Important Banking Awareness Quizzes based on particular topic, which will help to understand and prepare in a better way. Candidates those who are preparing for upcoming IBPS Exams 2017 can make use of it.

Money Market Instruments (Part-2)


00:00:00

1. Commercial Paper (CP), a money market instrument which was introduced in _________.
1982
1992
1990
1993
1987
1).
Answer: C

2. What does F stands for in FIMMDA?
Foreign
Forum
Fixed
Financial
Finance
2). FIMMDA stands for the Fixed Income Money Market and Derivatives Association of India. It is an Association of Commercial Banks, Financial Institutions and Primary Dealers. FIMMDA is a voluntary market body for the bond, Money and Derivatives Market.
Answer: C

3. The minimum denomination for which Commercial Paper can be issued is Rs _________.
25,000
50,000
1,00000
2,00000
5,00000
3). CP can be issued in denominations of Rs.5 lakh or multiples thereof.
Answer: E

4. The maximum maturity period of Commercial Paper (CP) is _________.
1 year
2 years
5 years
8 years
No such limit
4).
Answer: A

5. What is the minimum maturity period of Commercial Paper ?
1 day
2 days
7 days
14 days
15 days
5).
Answer: C

6. The headquarter of FIMMDA is in _________.
Mumbai
New Delhi
Washington DC
Geneva, Switzerland
Basel, Switzerland
6).
Answer: A

7. Corporate’s with minimum net worth of _________ only allowed to issue Commercial Paper.
2 Cr
4 Cr
5 Cr
50 Cr
100 Cr
7). The net worth for a corporate to be able to issue it is 4 crore.
Answer: B

8. The minimum credit rating required by corporates and other issuer to issue Commercial Paper is _________.
A-1
A-2
A-3
A-4
A-5
8). The minimum credit rating shall be A-3 as per Securities and Exchange Board of India (SEBI).
Answer: B

9. Which of the following institutions cannot issue Commercial Paper (CP)?
Primary Dealers
Corporates
Scheduled Commercial Banks
All India Financial Institutions
All the above can issue the CP
9). Corporates, primary dealers and the All-India Financial Institutions are eligible to issue CP.
Answer: C

10. For issuance of CP , only Scheduled Banks allowed to act as _________.
Dealer
Principal approver
Borrower
IPA
None of these
10). Only a scheduled bank can act as an Issuing and Paying Agent (IPA) for issuance of CP.
Answer: D

11. The minimum deposit under Certificate of Deposit (CD) is Rs _________.
25,000
50,000
1,00000
2,00000
5,00000
11). CDs are issued in denominations of Rs. 1 Lac and in the multiples of Rs. 1 Lac thereafter.
Answer: C

12. What is the maximum amount for which CDs can be issued?
15 lakh
25 lakh
10 lakh
1 Cr
No such limit
12).
Answer: E

13. The minimum maturity period of a CD issued by a bank is _________.
1 day
2 days
7 days
14 Days
15 days
13).
Answer: C

14. What is the maximum maturity period of a CD issued by a bank?
30 days
90 days
1 year
3 year
5 year
14). The maturity period of CDs issued by banks should not be less than 7 days and not more than one year, from the date of issue.
Answer: C

15. The minimum maturity period of a CD issued by the Financial Institution is_________.
7 days
14 days
15 days
60 days
1 year
15).
Answer: E

16. The maximum maturity period of a CD issued by the Financial Institution is_________.
6 months
1 year
2 years
3 years
5 years
16). The FIs can issue CDs for a period not less than 1 year and not exceeding 3 years from the date of issue.
Answer: D

17. Which of the following cannot issue the Certificate of Deposit (CD)?
Scheduled commercial banks
All-India Financial Institutions
Regional Rural Banks
Local Area Banks
Both c and d
17). CDs can be issued by (i) scheduled commercial banks {excluding Regional Rural Banks and Local Area Banks} and (ii) select All-India Financial Institutions (FIs) that have been permitted by RBI to raise short-term resources within the umbrella limit fixed by RBI.
Answer: E

18. What does B stands for in ABCP?
Banking
Bank
Borrowing
Backed
Borrow
18). Asset-backed commercial paper (ABCP) is a form of commercial paper that is collateralized by other financial assets. Institutional investors usually purchase such instruments in order to diversify their assets and generate short-term gains.
Answer: D

19. Find the false statement.
Non-Resident Indians (NRIs) may also subscribe to CDs
A CD issued to NRI can be endorsed to another NRI in the secondary market.
The FIs can issue CDs for a period not less than 1 year>
There is no lock-in period for the CDs
All are correct
19).
Answer: B

20. Identify the true statement.
Banks / FIs cannot grant loans against CDs.
CDs may be issued at a discount on face value.
Banks / FIs are also allowed to issue CDs on floating rate basis.
Only a and b
All are correct
20).
Answer: E







         
Click here for Topic wise Discussion on Quantitative Aptitude Day-1 
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