Small Quiz

3

QUESTION 1

The bank rate means______________

Rate of interest charged by commercial banks from borrowers

Rate of interest at commercial banks discounted  bills of their borrowers

Rate of interest allowed by commercial banks on their deposits

Rate at which RBI purchases or rediscounts bills of exchange of commercial banks

None

QUESTION 2

Fiscal deficit is_______________

Total income less Govt. Borrowing

Total payments less total receipts

Total payments less total receipts

Total expenditure less total receipts excluding borrowing

None of these

QUESTION 3

In the Capital Market,the term arbitrage is used with reference______________

Purchase of securities to cover the sale

Sale of securities to reduse the loss on purchase

Simultaneous purchase and sale of securities to make profits on price

Variation on different markets

Any one of the above

QUESTION 4

Revers repo means______________

Injecting liquidity by the central Bank of a country through purchase of Govt. Securities

Absorption of liquidity from the market by sale of Govt. Ssecurities

Balancing liquidity with a view to enhance economic growth rate

Improving the position of availability of the securitice in the market

Any of the above

QUESTION 5

The stance of RBI monetary policy is___________

Inflation control with adequate liquidity for growth

Improvin credit quality of the banks

Strengthening credit delivery mechanism

Strengthening credit delivery mechanism

Any one of the above

QUESTION 6

Currency Swap instrument to manage_____________

Currency risk

interest rate risk

Currency and interest rate risk

Cash flows in different currencies

All of the above

QUESTION 7

”Sub-prime” refers to _____________

Lending done by banks at rates below PLR

Funds raised by the banks at sub-Libor rates

Group of banks which are not rated as prime banks  as per Banker’s Alimanac

Lending done by financing institutions including banks to customers not meeting with normally required credit appraisal

All of the above

QUESTION 8

Euro bond is an instrument________________

Issued in the European market

Issued in the Euro currency

Issued in a country other then the country of the currency of the Bond

All of the abov

None of these

QUESTION 9

Capital market regulator is_________________

RBI

IRDA

NSE

BSE

SEBI

QUESTION 10

In the term BRICS , R stands to________________

Romania

Rajithan

Russia

Regulation

None of those