1. Which of the following bodies tightened the norms
for foreign exchange risk cover in India mentioning that only companies
with a networth of Rs 200 crore can use derivatives to hedge against
risk of volatility in currency rates?
a. IMF
b. Reserve Bank of India
c. SEBI
d. Union Ministry of Finance
Ans: b
2. Which body in India finally provided tax exemption on the 9.5 per cent interest income on PF deposits for 2010-11?
a. Reserve Bank of India
b. Income Tax Department
c. Employees’ Provident Fund Organisation
d. Corporate Affairs Ministry
Ans: b
3. (1) The report on Customer Service in Banks by a
committee chaired by M. Damodaran, former Chairman of the Securities and
Exchange Board of India (SEBI) that was released on 3 July 2011
recommended an increased deposit insurance cover of Rs.5 lakh so as to
encourage individuals to keep all their deposits in banks.
(2) The panel also suggested blocking of lost ATM cards through SMS
and immediate restoration of funds in case of non-dispensation of cash
at an ATM within 5 working days.
Which of the above is not true?
a. Only 1
b. Only 2
c. Both 1 & 2
d. None of the above
Ans: b
4. The Reserve Bank of India (RBI) in a bid to tame
inflationary pressure hiked the short-term indicative policy rate (repo
rate) by 50 basis points on 26 July 2011. The repo rate currently stands
at what percentage?
a. 7%
b. 7.5%
c. 8%
d. 8.5%
Ans: c
5. Which bank posted a 99 per cent drop in net
profit at Rs 21 crore for the fourth quarter ended 31 March 2011 against
Rs 1867 crore during the corresponding period in 2010?
a. Indian Overseas Bank
b. State Bank of India
c. Bank of India
d. United Bank of India
Ans: b
6. Who did global payments processing company MasterCard appoint as the General Manager, South Asia and Country President, India?
a. T. V. Seshadri
b. Vicky Bindra
c. Tunde Lemo
d. Ajay Banga
Ans: a
7. Government of India on 19 July 2011 appointed
Usha Ananthasubramanian, former general manager of Bank of Baroda (BoB)
as executive director of which public sector lender?
a. Central Bank of India
b. Punjab National Bank
c. United Bank of India
d. Gramin Bank
Ans: b
8. Name the public sector lender that selected Metlife as its partner for a proposed foray into the life insurance segment.
a. Syndicate Bank
b. Punjab National Bank
c. Corporation Bank
d. United Bank of India
Ans: b
9. Which bank signed a memorandum of understanding
with Dewan Housing Finance Corporation (DHFL) under which DHFL will
distribute home loans to Yes Bank’s customers?
a. Canara Bank
b. ABN Amro bank
c. Yes Bank
d. HSBC
Ans: c
10. Which life insurance company in India launched a new non-linked health insurance plan, Jeevan Arogya?
a. HDFC Standard Life Insurance Co. Ltd
b. Life Insurance Corporation of India
c. IDBI Fortis Life Insurance Company Ltd.
d. SBI Life Insurance Co. Ltd
Ans: b
11. Which of the following public sector banks in November 2011 froze its lending to the power sector?
a. State Bank of India
b. Allahabad Bank
c. Punjab National Bank
d. United Bank of India
Ans: b
12. Which Indian bank on 10 May 2011 raised
benchmark prime lending rate 75 basis points to 14% following raising of
interest rates by RBI by basis points on 3 May 2011?
a. State Bank of India
b. Union Bank
c. Punjab National Bank
d. Bank of Baroda
Ans: a
13. The Reserve Bank of India on 26 April 2011 fined
19 banks, including the country’s top private and foreign banks for
violating its guidelines on derivatives. Which is the only public sector
bank on the list of banks to be fined?
a. State bank of India
b. Punjab National Bank
c. Bank of India
d. Indian Bank
Ans: a
14. The Reserve Bank of India on 25 August 2011
released its Annual Report for 2010-11. Which of the following was not
discussed in the Annual Report the Central Board of the RBI?
a. assessment of the macroeconomic performance during 2010-11
b. prospects for 2011-12
c. working and operations of the Reserve Bank and its financial accounts
d. role of regulatory bodies in controlling the financial markets
Ans: d
15. Reserve Bank of India (RBI) panel headed by
headed by Usha Thorat, Director, Centre for Advanced Financial Research
and Learning (CAFRAL) on 29 August 2011 came up with suggestion on
non-banking finance company (NBFC). Which of the following related to
this statement is not true?
1. The panel suggested the central bank to insist on
a minimum asset size of more than Rs.25 crore for registering any new
non-banking finance company (NBFC)
2. Transfer of shareholding, direct or indirect, of
25 per cent and above, change in control, merger or acquisition of any
registered NBFC will require prior approval of the Reserve Bank.
3. Tier-I capital for capital to risk weighted
assets ratio (CRAR) purposes would be specified at 12 per cent to be
achieved in three years for all registered deposit-taking and
non-deposit-taking NBFCs.
4. NBFCs would be subject to regulations similar to
banks while lending to stock brokers and merchant banks and similar to
stock brokers, as specified by the Securities and Exchange Board of
India (SEBI)
a. 1 & 4
b. 2 & 4
c. Only 4
d. Only 1
Ans: d
16. Which Indian PSU bank in tune with its plans to
expand its retail division in the UK entered the mortgage market in the
country for the first time?
a. Punjab National Bank
b. Oriental Bank of Commerce
c. State bank of India
d. Indian Overseas Bank
Ans: c
17. Which of the following banks set up two loan
processing centres for the small and medium enterprise (SME) segment on a
pilot basis in Bangalore & in New Delhi in September 2011?
a. Corp Bank
b. United Bank of India
c. Syndicate Bank
d. Bank of Baroda
Ans: c
18. The government suspended M Ramadoss for alleged
violations in issuing insurance cover to an airline during his stint as
head of another state-run insurer. To which insurance group did he
belong to?
a. New India Assurance
b. LIC
c. GIC
d. ICICI Insurance
Ans: a
19. Which of the following banks in early May 2011
entered into a tie-up with non-banking finance companies such as Future
Capital, Bajaj Finance, and Reliance Capital to grow its retail
portfolio?
a. Central Bank of India
b. State Bank of India
c. Bank of India
d. HDFC Bank
Ans: a
20. Which are the two Gujarat-based cooperative
sector lenders on which Reserve bank of India imposed a financial
penalty of Rs 1 lakh each for violation of various rules, including
anti-money laundering guidelines?
1. Shree MahalaxmiMercantile Co-operative Bank
2. Rander People’s Co-operative Bank
3. Abad District Co Op Bank
4. Ahd Mercantile Co-Op Bank Ltd
a. 1 & 2
b. 2 & 3
c. 1 & 4
d. 3 & 4
Ans: (a)
