Banking MCQ on Concept of Bank
Banking MCQ on Concept of Bank
Also Read Commerce MCQ
1. An institution that deals in money is:
(a) Society
(b) Government
(c) Commercial Bank
(d) Non-profit organization
Answer (C) Commercial Bank
2. A Bank may be:
(a) A firm
(b) An Individual
(а) A Company
(d) All of these
Answer (d) All of these
3. An account where cash is deposited for a fixed period is:
(a) Saving Deposit Account
(b) Fixed deposit Account
(c) Current Deposit Account
(d) Recurring Deposit Account
Answer (b) Fixed deposit Account
4. On which account Bank gives higher rate of interest?
(a) Saving Deposit Account
(b) Fixed Deposit account
c) Current Deposit Account
(d) Recurring Deposit Account
Answer (b) Fixed Deposit Account
5. On which account Bank gives no interest?
(a) Saving Deposit Account
(b) Fixed Deposit account
(c) Current Deposit Account
(d) Recurring Deposit Account
Answer (c) Current Deposit Account
6. Overdraft facility is provided on which account?
(a) Saving Deposit Account
(b) Fixed Deposit Account
(c) Current Deposit Account
(d) Recurring Deposit Account
Answer (c) Current Deposit Account
7. Letter of Credit is used in:
(a) Interstate Trade
(b) Intra state trade
(c) Foreign Trade
(d) None of these
Answer (c) Foreign Trade
8. ATM stands for:
(a) All-time money
(b) Any time Money
(c) Ask for the Money
(d) Automatic Teller Machine
Answer (d) Automatic Teller Machine
9. Which among the following is not the function of a Commercial bank:
(a) ATM facility
(b) Tele-banking
(c) Bullion Trading
(d) Internet banking
Answer (c) Bullion Trading
10. Government of India Nationalized 14 banks in:
(a) 1969
(b) 1968
(c) 1991
(d) 1995
Answer (a) 1969
11. Commercial banks:
(a) Issue Currency notes
(b) Accepts deposits from customers
(c) Provide loans to customers
(d) Only (b) and (c)
Answer (d) Only (b) and (c)
12. Central bank of India is:
(a) Reserve Bank of India
(b) State Bank of India
(c) Central Bank of India
(d) Bank of India
Answer (a) Reserve Bank of India
13. Reserve bank of India was established in:
(a) 1947
(b) 1935
(c) 1937
(d) 1945
Answer (b) 1935
14. What is the defect of the barter system?
(a) Lack of double coincidence of wants
(b) Difficulty in the measurement of value
(c) Difficulty in store value
(d) All of these
Answer (d) All of these
15. Which of the following is the function of a commercial bank?
(a) Accepting deposits
(b) Credit creation
(c) Agency function
(d) All of these
Answer (d) All of these
16. The facility provided by the Bank to its customers to withdraw money more than their account balance is:
(a) Advance
(b) Overdraft
(c) Loan
(d) None of these
Answer (b) Overdraft
17. Which of the following is the Apex bank of India?
(a) Reserve Bank of India
(b) State Bank of India
(c) Punjab National Bank
(d) Indian Bank
Answer (a) Reserve Bank of India
18. Which of the following is the Modern function of Bank?
(a) Accepting Deposits
(b) Advancing Loans
(c) Acts as Referee
(d) ATM
Answer (d) ATM
19. What is the Full form of CBS?
(a) Control Banking System
(b) Centralized Banking Solution
(c) Central Banking System
(d) None of these
Answer (b) Centralized Banking Solution
20. Unit banking system originates in?
(a) Russia
(b) USA
(c) Canada
(d) China
Answer (b) USA
