LIC AAO 2019 – Financial Awareness Questions (Day – 23)

Dear Aspirants, LIC AAO is one the most important exam in the competitive examination. LIC AAO mains exam consists of four sections i.e. Reasoning ability, Data Analysis & Interpretation, General knowledge & Current affairs and Insurance & Financial Market Awareness. Insurance & Financial Market Awareness section comprises of 30 questions.  Insurance & Financial Market Awareness questions plays an important role in boosting up the score in mains examination and also helps in interview. Here we are providing new series of Practice Questions on Financial awareness. Aspirants can make use of it, to improve score in Insurance & Financial Market Awareness section.

LIC AAO 2019 – Financial Awareness Questions (Day – 23)

maximum of 10 points
Table is loading

1) A ‘Legal Entity Identifier’ is a _____ character identifier that identifies distinct legal entities that engage in financial transactions.

a) 20

b) 10

c) 15

d) 7

e) 5

2) Under ‘Non-Performing Assets (NPA) recognition process’, an asset would be classified as ___________ if it has remained in the substandard category for a period of 12 months.

a) Non-Performing

b) Restructured

c) Doubtful

d) Loss

e) Active

3) The payments bank should have a leverage ratio of not less than ___________.

a) 2%

b) 3%

c) 4%

d) 5%

e) 6%

4) ________________ is not included under ‘Weaker Sections category’ eligible for ‘Priority sector loans’ given by the banks.

a) Persons with disabilities

b) Minority Communities

c) Scheduled Casts and Scheduled Tribes

d) Distressed persons other than farmers

e) Other Backward Classes

5) A crossed cheque is any cheque that is generally crossed with ______ parallel line(s).

a) One

b) Five

c) Seven

d) Zero

e) Two

6) Total gross GST revenue collected in the month of February 2019 is ₹ ________ crores.

a) 90,928

b) 75,937

c) 86,610

d) 97,247

e) 1,00,273

7) The Asian Development Bank (ADB) and the Government of India signed a $_____ Million Loan Agreement today to operationalize two lines for the Mumbai Metro Rail System.

a) 900

b) 845

c) 926

d) 876

e) 918

8) As per Moody’s report, Indian economy is expected to grow at ____________ in calendar year 2019 and 2020

a) 7.8%

b) 6.7%

c) 8.1%

d) 7.3%

e) 7.0%

9)SEBI has lifted the restriction on limit of investments by FPIs in corporate bonds of an entity. Earlier this limit was capped at __________ percent

a) 20%

b) 30%

c) 10%

d) 40%

e) 25%

10) How many banks in India has been classified as Domestic Systemically Important Banks (D-SIBs) by RBI?

a) 4

b) 1

c) 2

d) 3

e) 5

Answers :

1) Answer: a)

The Legal Entity Identifier (LEI) code is conceived as a key measure to improve the quality and accuracy of financial data systems for better risk management post the Global Financial Crisis.LEI is a 20-digit unique code to identify parties to financial transactions worldwide.

2) Answer: c)

A restructured account is one where the bank, grants to the borrower concessions that the bank would not otherwise consider. It is a mechanism to nurture an otherwise viable unit, which has been adversely impacted, back to health.A substandard asset would be one, which has remained NPA for a period less than or equal to 12 months.An asset would be classified as doubtful if it has remained in the substandard category for a period of 12 months.

3) Answer: b)

A leverage ratio is any one of several financial measurements that look at how much capital comes in the form of debt (loans) or assesses the ability of a company to meet its financial obligations.The minimum paid-up equity capital for payments banks shall be Rs. 100 crore.The payments bank should have a leverage ratio of not less than 3 per cent, i.e., its outside liabilities should not exceed 33.33 times its net worth (paid-up capital and reserves).

4) Answer: e)

Other Backward Classes is not included under ‘Weaker Sections category’ eligible for ‘Priority sector loans’ given by the banks.

5) Answer: e)

A crossed cheque is any cheque that is crossed with two parallel lines, either across the whole cheque or through the top left-hand corner of the cheque.This symbol means that the cheque can only be deposited directly into a bank account and cannot be immediately cashed by a bank or any other credit institution.If a cheque is crossed, there is no way for the payee to uncross the cheque.

6) Answer: d)

Total gross GST revenue collected in the month of February 2019 is ₹ 97,247 crore of which CGST is ₹ 17,626 crore, SGST is ₹ 24,192 crore, IGST is ₹ 46,953 crore& cess is ₹ 8,476 crore. Revenue in February 2018 was ₹ 85,962 crore.

7) Answer: c)

The Asian Development Bank (ADB) and the Government of India signed a $926 Million Loan Agreement today to operationalize two lines for the Mumbai Metro Rail System. The Project also marks ADB’s first co-financing with NDB, which will provide $260 million. ADB President-TakehikoNakao Headquarters- Mandaluyong, Philippines.

8) Answer: d)

As per Moody’s report, Indian economy is expected to grow at 7.3 per cent in calendar year 2019 and 2020. In 2018-19 fiscal Indian economy is estimated to have grown 7%, lower than 7.2% in 2017-18

9) Answer: a)

Securities and Exchange Board of India (SEBI) has lifted the restriction on FPI  which stated that no FPI shall have an exposure of more than 20% of its corporate bond portfolio to a single corporate.

10) Answer: d)

The Reserve Bank of India has released the list of Domestic Systemically Important Banks (D-SIBs). State Bank of India is in Bucket 3, while HDFC and ICICI Bank both are in Bucket 1. Rest all buckets are empty. These three banks are in the D-SIBs list since Sep 04, 2017. No new bank has been added after the revised list is released on March 14, 2019.

Online Mock Tests 2019: