FINANCIAL & BANKING AWARENESS MCQs

1. Competition (Amendment) Bill, 2007 has replaced—
(A) VAT
(B) MRTPC
(C) Securities Contracts (Regulation) Bill, 2005
(D) Electricity Act, 2003

2. A bill has been introduced in the Parliament to raise SBI authorised capital from Rs. 20 crore to—
(A) Rs. 50 crore
(B) Rs. 1000 crore
(C) Rs. 2000 crore
(D) Rs. 5000 crore

3. The total Foreign Direct Investment (FDI) during 2008-09 has been targeted at—
(A) $ 25 billion
(B) $ 35 billion
(C) $ 45 billion
(D) $ 50 billion

4. National Electricity Policy envisages elimination of power shortage by 2012 through addition of …… during 10th and 11th plan periods.
(A) 50000 MW
(B) 75000 MW
(C) 100000 MW
(D) 125000 MW

5. ‘Priyadarshini Project’ is related to—
(A) Empowerment of Rural women
(B) Survival of Girl Child
(C) Free Education to all girls
(D) None of the above

6. ‘Pratibha Kiran Yojana’ is a new scheme to promote higher education among girls introduced by—
(A) Karnataka
(B) Bihar
(C) Madhya Pradesh
(D) Uttar Pradesh

7. To which service, the government has notified Service Tax Refund Scheme for exporter ?
(A) Port services
(B) Railway service
(C) Road service
(D) All of these

8. ‘Laadli Laxmi Yojana’ has been launched by………government for supporting girls of all religion and caste upto their marriage.
(A) Rajasthan
(B) Madhya Pradesh
(C) Uttar Pradesh
(D) Gujarat

9. The Contract of Expressway Project in Uttar Pradesh has been awarded to—
(A) JP Associates
(B) JM Infra
(C) Jointly to (A) and (B)
(D) None of the above

10. 13th ASEAN Summit was held between November 18 to 22, 2007 in—
(A) Thailand
(B) Malaysia
(C) Singapore
(D) Philippines

11. ‘Innovation Lab’ has been launched by—
(A) Tata Consultancy Services
(B) Infosys Tech
(C) Reliance Industries
(D) Anil’s Reliance Communications

12. Dr. Ganesh Natrajan has been appointed Chairman (2008-09) for—
(A) CII
(B) NASSCOM
(C) FICCI
(D) SEBI

13. Which country was honoured at China International Travel Mart 2007 with Best Participating and Excellent Advertisement Awards ?
(A) Singapore
(B) Thailand
(C) India
(D) Nepal

14. APEC group leaders have decided to take up new membership issue after a few years and as a result India and other ten countries have to wait for APEC membership till—
(A) 2009
(B) 2010
(C) 2011
(D) 2012

15. Government has extended Mid Day Meal Scheme to cover the students upto class—
(A) 6th
(B) 7th
(C) 8th
(D) 10th

16. Videsh Sanchar Nigam Ltd. has been renamed as—
(A) Reliance Sanchar Nigam Ltd.
(B) Tata Sanchar Nigam Ltd.
(C) Tata Communication Ltd.
(D) Bharti Communication Ltd.

17. Government is going to merge Annapurna Scheme with—
(A) Mid Day Meal Scheme
(B) National Old Age Pension Scheme
(C) National Food for Work Programme
(D) Antyodaya Anna Yojana

18. For attaining 9% growth rate during 11th plan (2007-2012), investment level has been estimated to be—
(A) 34•8% of GDP
(B) 32•4% of GDP
(C) 30•9% of GDP
(D) 36•7% of GDP

19. Government adopted the new funding pattern (Centre State Share) for Sarva Shiksha Abhiyan as—
(A) 50 : 50
(B) 55 : 45
(C) 60 : 40
(D) 65 : 35

20. National Food Security Mission targets to increase the production of wheat, rice and pulses in next four years to—
(A) 10, 8 and 2 million tonne respectively
(B) 8, 10 and 2 million tonne respectively
(C) 8, 12 and 2 million tonne respectively
(D) 8, 10 and 4 million tonne respectively

21. The most densely populated country in South Asia is—
(A) Bangladesh
(B) India
(C) Maldives
(D) Sri Lanka

22. Revenue Deficit as a per cent of GDP in Budget 2009-10 has been estimated at—
(A) 1•0%
(B) 4•0%
(C) 4•4%
(D) 4•8%

23. Which country among the following gets the highest HDI ranking in Human Development Report 2007 ?
(A) Iceland
(B) USA
(C) United Kingdom
(D) Japan

24. ‘Aam Admi Bima Yojana’ is an insurance scheme for rural landless households introduced by—
(A) National Insurance Co.
(B) Life Insurance Co.
(C) UTI
(D) ICICI Life Prudential Co.

25. NOAPS has been renamed as Indira Gandhi Old Age Pension Scheme with its extended scope. Now this scheme will include all old age persons—
(A) Living below poverty line
(B) Above 60 years age
(C) Above 65 years age
(D) Both (A) and (C)

26. The Ex-officio Secretary of NDC is—
(A) Secretary of Finance Ministry
(B) General Secretary of Lok Sabha
(C) Secretary of Planning Commission
(D) Vice Chairman of Planning Commission

27. For charters and cargo services, what is the new FDI ceiling announced by the government ?
(A) 100%
(B) 74%
(C) 26%
(D) 49%

28. In National Mineral Policy (1993) which mineral was allowed for having investment from private sector—
(A) Coal
(B) Iron
(C) Gold
(D) Platinum

29. The share of road transport in total transport of the country is—
(A) 20%
(B) 40%
(C) 60%
(D) 80%

30. Minimum Support Price is decided by—
(A) ICAR
(B) State Government
(C) Ministry of Agriculture
(D) CACP

31. Which percentage of Central Taxes have been recommended by the 12th Finance Commission to be transferred to States ?
(A) 28·5%
(B) 29·5%
(C) 30·5%
(D) 31·5%

32. Which state possesses the maximum percentage of SC population ?
(A) U.P.
(B) M.P.
(C) Kerala
(D) Punjab

33. Government has decided to cover all districts of the country in National Rural Employment Guarantee Programme (NREGP)—
(A) Upto January 1, 2008
(B) Upto March 31, 2008
(C) w.e.f. April 1, 2008
(D) w.e.f. April 1, 2009

34. What is ‘NIKKEI’ ?
(A) Share Price Index of Tokyo Share Market
(B) Name of Japanese Central Bank
(C) Japanese name of Country’s Planning Commission
(D) Foreign Exchange Market of Japan

35. Which statement is correct for Indian Planning Commission ?
(A) It is not defined in Indian Constitution
(B) Members and Vice-Chairman of it do not have fixed working duration
(C) Members do not require any minimum education
(D) All of these

36. Which State of the following has not yet adopted VAT (Value Added Tax) ?
(A) Tamil Nadu
(B) Uttar Pradesh
(C) Gujarat
(D) None of the above

37. Service Tax revenue collection for 2008–09 (Budget estimates) was proposed at—
(A) Rs. 64,460 crore
(B) Rs. 52,603 crore
(C) Rs. 50,200 crore
(D) Rs. 74,460 crore

38. NABARD was established on the recommendation of—
(A) Public Account Committee
(B) Shivaraman Committee
(C) Narsimham Committee
(D) None of these

39. Sampurna Gramin Rojgar Yojana was launched on—
(A) 1st April, 2001
(B) 25th Sept., 2001
(C) 30th Sept., 2001
(D) No scheme of such title has yet launched

40. Which company is providing mobile service with name ‘Cell One’ to the consumers ?
(A) MTNL
(B) BSNL
(C) Reliance Infocom
(D) Bharti Tele

41. VAT is imposed—
(A) Directly on consumer
(B) On final stage of production
(C) On first stage of production
(D) On all stages between production and final sale

42. The newly appointed person as Chairman of CBDT is—
(A) S. Sridhar
(B) S. S. N. Moorti
(C) Rajiv Chandrashekhar
(D) Venugopal Dhoot

43. Kutir Jyoti scheme is associated with—
(A) Promoting cottage industry in villages
(B) Promoting employment among rural unemployed youth
(C) Providing electricity to rural families living below the poverty line
(D) All of these

44. Novelis has been acquired and merged with—
(A) Tata Steels
(B) SAIL
(C) HINDALCO
(D) Jindal Steels

45. OTCEI is—
(A) Atomic Submarine of China
(B) Economic Policy of USA
(C) An Indian Share Market
(D) A Defence Research Organisation

46. Foreign Trade Policy 2009-10 document fixes the export target for 2009-10 as—
(A) $ 140 billion
(B) $ 175 billion
(C) $ 150 billion
(D) $ 200 billion

47. Gross Budgetary Support (GBS) for 2008–09 as per document of 11th plan stands at Rs. 2,28,725 crore but in budget proposals for 2008–09 it was raised to—
(A) Rs. 2,23,386 crore
(B) Rs. 2,43,386 crore
(C) Rs. 2,63,386 crore
(D) Rs. 28,456 crore

48. The base year of Industrial Production Index is being shifted from 1993-94 to—
(A) 2004-05
(B) 1999
(C) 2000-01
(D) 1999-2000

49. In Interim Budget proposals for 2009–10, which of the following gives 22% contribution in revenue collection of union government ?
(A) Income Tax
(B) Excise
(C) Corporation Tax
(D) Non-tax Revenue

50. The base year of present Consumer Price Index (CPI) for Urban Non-Manual Employees (CPI—UNME) is—
(A) 1980-81
(B) 1981-82
(C) 1982-83
(D) 1984-85

51. CAPART is related with—
(A) Assisting and evaluating rural welfare programmes
(B) Computer hardware
(C) Consultant service of export promotion
(D) Controlling pollution in big industries

52. Note issuing deptt. of RBI should always possess the minimum gold stock of worth—
(A) Rs. 85 crore
(B) Rs. 115 crore
(C) Rs. 200 crore
(D) None of these

53. Which of the following does not grant any tax rebate ?
(A) National Saving Certificate
(B) Indira Vikas Patra
(C) National Saving Scheme
(D) Public Providend Fund

54. Ad hoc Treasury Bill System of meeting budget deficit in India was abolished on—
(A) 31 March, 1997
(B) 31 March, 1996
(C) 1 April, 1992
(D) 1 April, 1995

55. SEBI was established in—
(A) 1993
(B) 1992
(C) 1988
(D) 1990

56. The working of SEBI includes—
(A) To regulate the dealings of share market
(B) To check the foul dealings in share market
(C) To control the inside trading of shares
(D) All of these

57. The ‘Ad hoc Treasury Bill System’ of meeting budget deficit in India was replaced by ‘Ways and Means Advances System’ which has come into force on—
(A) March 31, 1997
(B) April 1, 1996
(C) April 1, 1997
(D) None of these

58. Fiscal deficit as a percentage of GDP was 4·0% in 2004–05 which increased in 2009–10 (Budget Estimates) to—
(A) 5·0%
(B) 5·1%
(C) 6·8%
(D) 6·0%

59. Which is the first Export Processing Zone declared as Free Trade Zone in India ?
(A) Kandla
(B) Noida
(C) Santacruz
(D) Falta

60. Which statement of the following is true for IMF ?
(A) It is not an agency of UNO
(B) It can grant loan to any country of the world
(C) It can grant loan to state Govt. of a country
(D) It grants loan only to member nations

61. TRAI has abolished ADC (Access Deficit Charge) on all types of calls w.e.f.—
(A) April 1, 2008
(B) April 30, 2008
(C) August 30, 2008
(D) October 30, 2008

62. Which of the following is public sector organisation ?
(1) FCI Food Corporation of India
(2) FCI Fertilizer Corporation of India
(3) Cotton Corporation of India
(4) Jute Corporation of India
(A) Only 1 and 2
(B) Only 2, 3
(C) Only 3, 4
(D) All of these

63. Which day has been declared as ‘Balika Diwas’ (Girl Day) by the Ministry of Woman and Children Development ?
(A) April 5, every year
(B) July 9, every year
(C) October 9, every year
(D) December 9, every year

64. For RIDF-XIV, allocation in Union Budget 2008-09 was—
(A) Rs. 16000 crore
(B) Rs. 12000 crore
(C) Rs. 10000 crore
(D) Rs. 14000 crore

65. The birth rate and death rate for the year 2006 have been estimated as—
(A) 26·2 and 8·1 per thousand respectively
(B) 24·8 and 8·0 per thousand respectively
(C) 23·8 and 7·6 per thousand respectively
(D) 23·5 and 7·5 per thousand respectively

66. Central Issue price of foodgrains under TPDS includes price for BPL and APL (below poverty line and above poverty line). What is the difference between the two ?
(A) Price for APL is double of BPL price
(B) Price for BPL is one-third of APL price
(C) Difference of Rs. 500 per Qt.
(D) Difference of Rs. 250 per Qt.

67. What growth target government has estimated for the domestic crude production for the 11th Plan (2007–12) ?
(A) 42%
(B) 33%
(C) 29%
(D) 26%

68. Rural women can avail the benefit of Mahila Samriddhi Yojana if they open their account in—
(A) Rural Post Offices
(B) Commercial Banks
(C) Rural Development Bank
(D) Any of the above

69. Agriculture sector registered 4·9% growth in 2007-08 and it is estimated for year 2008-09 at—
(A) Again 4·5%
(B) 4·3%
(C) 3·3%
(D) 1·6%

70. As per the third advanced estimates of Agricultural Production for the year 2008-09 released by the Ministry of Agriculture, total foodgrain’s production has been estimated at—
(A) 240·78 million tonne
(B) 230·78 million tonne
(C) 227·88 million tonne
(D) 229·85 million tonne

71. Mistry Committee in its final report recommends full capital account convertibility by—
(A) 2008 end
(B) 2009 end
(C) 2010 end
(D) 2011 end

72. Which committee recommended tax on Agriculture Holdings ?
(A) Bhootlingam Committee
(B) Wanchoo Committee
(C) Raj Committee
(D) None of these

73. The Present Service Tax rate is—
(A) 8%
(B) 15%
(C) 10%
(D) 12%

74. The cause of deflation is—
(A) Lack of goods and services as compared to money supply
(B) Lack of imports as compared to exports
(C) Lack of money supply as compared to supply of goods and services
(D) None of these

75. Which of the following is a better measure of economic development ?
(A) Employment
(B) Size of exports
(C) Rural consumption
(D) National Income

76. Which bank in India performs duties of Central Bank ?
(A) Central Bank of India
(B) State Bank of India
(C) Reserve Bank of India
(D) Above (A) and (B)

77. Out of one Rupee expenditure, how much paise have been allotted for subsidy in 2009-10 interim budget proposals ?
(A) 12 paise
(B) 10 paise
(C) 9 paise
(D) 7 paise

78. ‘India Brand Equity Fund’ was established in—
(A) 1996
(B) 1997
(C) 1995
(D) 1992

79. Mixed Economy means—
(A) Co-existence of small and large industries
(B) Promoting both Agriculture and Industries in the economy
(C) Co-existence of public and private sectors
(D) Co-existence of rich and poor

80. Ministry of HRD has announced to hike FDI limit in Education to—
(A) 65%
(B) 70%
(C) 75%
(D) 100%

81. ‘Pure Banking, Nothing Else’ is a slogan raised by—
(A) ICICI Bank
(B) HDFC Bank
(C) SBI
(D) UTI Bank

82. In the end of March 2008, External debt to GDP ratio in India stood at—
(A) 18·8%
(B) 17·4%
(C) 17·8%
(D) 15·8%

83. Indian State having the lowest Infant Mortality Rate is—
(A) Maharashtra
(B) Goa
(C) Gujarat
(D) Kerala

84. ‘Smart Money’ is a term used for—
(A) Internet Banking
(B) Credit Card
(C) Cash with Bank
(D) Cash with Public

85. Which of the following has the maximum share in GSM Mobile Phone Service Market ?
(A) Vodafone (earlier Hutch)
(B) Airtel
(C) BSNL
(D) Reliance

86. The main objective of TRYSEM was—
(A) To train rural youth for self employment
(B) To train urban youth for self employment
(C) Both of the above
(D) None of these

87. The establishment of IORARC (Indian Ocean Rim Association for Regional Cooperation) was officially declared on—
(A) March 5, 1996
(B) March 5, 1997
(C) April 1, 1997
(D) August 15, 1947

88. Inside Trading is related to—
(A) Share Market
(B) Horse racing
(C) Taxation
(D) Public Expenditure

89. The largest source of National Income in India is—
(A) Service Sector
(B) Agriculture
(C) Industrial Sector
(D) Trade Sector

90. ‘Public Sector’ means—
(A) Government ownership on commerce and trade
(B) Capitalist ownership on commerce and trade
(C) Private ownership on trade
(D) None of these

91. NABARD is—
(A) A bank
(B) A board
(C) A block
(D) A department

92. Indian Green Revolution is the most successful in—
(A) Wheat and Potato
(B) Jwar and Oil Seeds
(C) Wheat and Rice
(D) Tea and Coffee

93. The period of 10th plan in India was—
(A) 2000-2005
(B) 2001-2006
(C) 2002-2007
(D) 2003-2008

94. Economic Planning is in—
(A) Union list
(B) State list
(C) Concurrent list
(D) Not any specified list

95. Presently (from April 29, 2003) bank rate in India is—
(A) 7·0%
(B) 6·75%
(C) 6.25%
(D) 6·0%

96. Gross domestic savings as a proportion of GDP has been improving. What is the average percentage of gross domestic savings proposed during the 11th plan ?
(A) 26·4%
(B) 31·9%
(C) 34·8%
(D) 35·2%

97. 12th Finance Commission has recommended to merge and determine one single interest rate on various outstanding central loans to states having different interest rates. What is this recommended interest rate ?
(A) 7·0%
(B) 7·5%
(C) 8·0%
(D) 8·5%

98. MRTP is related to—
(A) Monopoly and trade restrictions
(B) Inflation control
(C) Transport control
(D) Foreign Exchange Regulations

99. Interest Rate Policy is a part of—
(A) Fiscal Policy
(B) Industrial Policy
(C) Monetary Policy
(D) None of these

100. The basis of determining dearness allowance to employees in India is—
(A) National Income
(B) Consumer Price Index
(C) Standard of Living
(D) Per Capita Income

Answers1. (B) 2. (D) 3. (B) 4. (C) 5. (A) 6. (C) 7. (D) 8. (B) 9. (A) 10. (C)
11. (A) 12. (B) 13. (C) 14. (B) 15. (C) 16. (C) 17. (B) 18. (D) 19. (D) 20. (B)
21. (C) 22. (D) 23. (A) 24. (B) 25. (D) 26. (C) 27. (B) 28. (A) 29. (D) 30. (D) 31. (C) 32. (D)
33. (C) 34. (A) 35. (D) 36. (D) 37. (A) 38. (B) 39. (B) 40. (B) 41. (D) 42. (B) 43. (C) 44. (C) 45. (C)
46. (D) 47. (B) 48. (D) 49. (C) 50. (D)  51. (A) 52. (B) 53. (B) 54. (A) 55. (C) 56. (D) 57. (C) 58. (C)
59. (C) 60. (D) 61. (D) 62. (D) 63. (D) 64. (D) 65. (D) 66. (A) 67. (D) 68. (A) 69. (D) 70. (D)
71. (A) 72. (D) 73. (D) 74. (C) 75. (D)  76. (C) 77. (C) 78. (A) 79. (C) 80. (D) 81. (C) 82. (A) 83. (D) 84. (B) 85. (B) 86. (A) 87. (B) 88. (A) 89. (A) 90. (A) 91. (A) 92. (C) 93. (C) 94. (C) 95. (D)
96. (C) 97. (B) 98. (A) 99. (C) 100. (B)