Banking Awareness - Money and Money Market

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Question - 1

Commercial paper can be issued

  • A by all corporates
  • B by all corporates with net worth of atleast Rs.10 crore
  • C by all corporates with net worth of atleast Rs.5 crore
  • D can be issued only by banks
  • E All of the above

Question - 2

Commercial bills market is a part of

  • A organised money market
  • B unorganised money market
  • C stock market
  • D capital market
  • E None of the above

Question - 3

Intrest is usually paid on money market instruments

  • A at maturity
  • B on request
  • C twice a year
  • D annually
  • E All of these

Question - 4

If the monetary standard based on gold, it is called

  • A gold standard
  • B silver standard
  • C double standard
  • D multi-standard
  • E None of these

Question - 5

The gold standard was broken down in the year

  • A 1936
  • B 1946
  • C 1956
  • D 1966
  • E 1970

Question - 6

Inflation can defined as

  • A a persistent rise in general price level
  • B a persistent fall in general price level
  • C an increase purchasing power
  • D increase in value of money

Question - 7

Reason for cost push inflation is

  • A increase in wage rate
  • B increase in interest rate
  • C increase in the price of raw material
  • D increase in indirect tax
  • E decrease in cost of production

Question - 8

Which of the following is not reason for demand pull inflation?

  • A Shortage of customer goods
  • B More exports
  • C Economic growth
  • D Less import
  • E More export and less imports

Question - 9

During inflation,

  • A exports becomes more expensive
  • B exports becomes more cheap
  • C imports becomes more expensive
  • D surplus balance of payement
  • E All of the above

Question - 10

Which of the following can be identified as a Demat account?

  • A Accounts which can have zero balance
  • B Account open to facilitate repayment of loan
  • C Accounts in which shares of companies are traded in electronic form
  • D Accounts maintained by mutual fund companies for investors 
  • E None of the above