GENERAL AWARENESS PRACTICE QUESTIONS

1. Interest rate risk is a type of
(1) Credit risk      
(2) Market risk           
(3) Operational risk     
(4) All the above     
(5) None of these



2. Which one of the following has launched guidebook on standards for exporters?
(1) RBI           
(2) SEBI           
(3) IBA         
(4) UNIDO                   
(5) UNESCO


3. Which is the largest commercial bank in India?
(1) Reserve Bank of India       
(2) State Bank of India     
 (3) ICICI Bank   
 (4) Bank of India
(5) None of these


4. The Bank of Calcutta, Bank of Bombay and Bank of Madras were merged in 1921 to form
(1) Reserve Bank of India       
(2) Imperial Bank of India         
 (3) Bank of India           
 (4) Union Bank of India        
(5) None of these


5. Which sister organization of the World Bank helps private activity in developing countries by financing projects with long-term capital in the form of equity and loans?
(1) Asian Development Bank            
(2) IMF          
(3) International Developmental Association
(4) International Finance Corporation            
(5) None of these


6. Which sister organization of the World Bank provides long term loans at zero interest to the poorest developing countries?
(1) Asian Development Bank            
(2) IMF        
(3) International Developmental Association         
(4) International Finance Corporation       
(5) None of these


7. Who is known as the ‘Father of Economics’?
(1) Adam Smith        
(2) Marshall       
(3) J.M. Keynes                 
(4) Pareto  
(5) None of these


8. Which was the first Indian Bank to introduce credit card?
(1) State Bank of India         
(2) Central Bank of India      
(3) Union Bank of India        
(4) ICICI       
(5) None of these


9. What does devaluation of a currency mean?
(1) decrease in the internal value of money
(2) decrease in the external value of money 
(3) decrease both in the external and internal values of money
(4) increase both in the external and internal values of money
(5) None of these


10. Which of the following is known as plastic money?
(1) bearer cheques      
(2) credit cards      
(3) demand drafts      
(4) gift cheques    
(5) None of these


11. The twelfth ‘Five Year Plan’ of India is for the five years ranging from-
(1) 2009-2014        
(2) 2008 -2013        
 (3) 2007-2012        
(4) 2012-2017        
(5) 2010-2015


12. DSCR indicates the ability of a company to-
(1) Meet its current liabilities       
(2) Service its share holders      
(3) Meet its long term debt obligations       
(4) Raise further capital      
(5) None of these


13. An IPO is-
(1) Initial Price Offered by private limited company to its share holders.
(2) An offer by an unlisted company for sale of its shares for the first time to the public.
(3) Used to increase the share capital of an unlisted company
(4) A book building process
(5) None of these


14. A decreasing current ratio indicates-
(1) A stable liquidity        
(2) An increasing liquidity     
 (3) A strained liquidity   
 (4) satisfactory current solvency      
(5) None of these


15. SEBI has been imposed a restriction on money flow in equity through ‘P-notes’. What is   the full form of ‘P-notes’?
(1) permanent notes          
(2) purchase notes     
 (3) participatory notes        
(4) private notes       
(5) None of these


Answers
1-2, 2-4, 3-2, 4-2, 5-4, 6-3, 7-1, 8-2, 9-2, 10-2, 11-4, 12-3, 13-2, 14-5, 15-3