MODEL QUESTIONS --- JAIIB PRINCIPLES OF BANKING MODULE A & B

1) Reserve Ba ! "# I $%a&s #' ()%" s are (*ass%#%e$ % )"+ a) Supervisory & Regulatory b) Promotional & Developmental c) Refinance Activities d) All of the above -) M% %.'. Ba ! Ra)e %s+ a) 3% b) 4% c) % d) !one ,$) ,$)

/) Se( ---- "# RBI A()011/2 3%ves s"*e 4"5er )" RBI )" %ss'e ('rre (6 ")es a) "# b) "$ c) %% d) %& 2) K7C .ea s a) 'no( )our *ustomer very (ell b) 'no( )our e+isting *ustomer very (ell c) 'no( )our prospective *ustomer very (ell d) Satisfy yourselves about the customer,s identity and activities- ,$) 8) I a Gar %s9ee Or$er0 )9e :a !er " 59". 3ar %s9ee "r$er serve$ %s+ a) .udgement Debtor,s *reditor b) .udgement *reditor,s *reditor c) .udgement *reditor,s Debtor d) .udgement Debtor,s Debtor ,$) ,()

;) Se( 1/1 "# NI A()01<<1 e=)e $s 4r")e()%" )" )9e a) Paying /an0er b) *ollecting /an0er c) Advising /an0er d) 1ssuing /an0er >) ?64")9e(a)%" %s a44*%(a:*e % )9e (ase "# a) 2ovable goods b) 1mmovable property c) /oo0 debts d) *orporate guarantee <) A (9e@'e %s $a)e$ 1-AB8AB8C)9e $'e $a)e %s+ a) "%3#$3# b) "43#43# c) "%3""3# d) !one 1) C9ar3e (rea)e$ " LIC P"*%(6 %s+ a) 5ypothecation b) Pledge c) Assignment d) 2ortgage ,() ,$) ,a) ,:)

1B) 7"'r :a ! 3ra )s a 5"r!% 3 (a4%)a* #% a (e )" ABC & C"0 a 4ar) ers9%4 #%r.0 a3a% s) 964")9e(a)%" "# % ve )"r6C T9e (9ar3e %s )" :e re3%s)ere$ 5%)9 Re3%s)rar "# C".4a %es 5%)9% a) 3# days from the date of advance b) 3# days from the date of hypothecation agreement c) 3# days from the date of sanction of loan d) !one ,$)

11)D9%(9 " e "# )9e #"**"5% 3 %s ") :arre$ :6 *a5 "# *%.%)a)%" E

a) Pledge b) 5ypothecation c) /an0er,s lien d) 6uarantee 1-)T9e )er. FCre$%) Ma a3e.e )G ("vers a) *apital ade7uacy norms b) Ris0 management including Asset38iability management c) *redit appraisal 9 decision and revie( of loans & advances d) All of the above 1/)Ba !&s Asse)s are (*ass%#%e$ % asse)s $"':)#'* asse)s a $ ,$) )" s)a $ar$ asse)s0 s':s)a $ar$ *"ss asse)s0 :ase$ " )9e ,()

re("..e $a)%" s "# -------------------- C"..%))ee a) Rangara:an b) !arasimham c) 6hosh d) ;andon ,:)

12)T9e )%.e )a!e )" (" ver) (as9 % )" ra5 .a)er%a*s0 se.% #% %s9e$ 3""$s0 #% %s9e$ 3""$s a $ % )" (as9 0 %s ! "5 as a) ;rade cycle b) *ash cycle c) <perating cycle d) Revolving cycle ,()

18)A (".4a 6 59%(9 4""*s ." e6 #r". % ves)"rs a $ % ves)s % s)"(!s0 :" $s0 s9ares %s (a**e$ a) A ban0 b) An insurance company c) /ancassurance d) 2utual =und 1;)Ba (ass'ra (e %s ,$)

a) An insurance scheme to insure ban0 deposits b) An insurance scheme to insure ban0 advances c) A composite financial service offering both ban0 and insurance products d) A ban0 deposit scheme e+clusively for employees of insurance companies ,()

1>)J"9 & Ja.es are #r%e $s a3e$ 12 & 18 res4e()%ve*6C T9e6 5a ) )" "4e a H"% ) a(("' ) % 6"'r :a !C 7"' 5%** a) b) c) Allo( them to open a :oint account to be operated :ointly Allo( them to open a :oint account (ith operating instructions >ither or Survivor Allo( them to open a :oint account (ith operating instructions =ormer or Survivor d) Allo( them to open a :oint account (ith operating instructions Any one or Survivor ,a)

1<)MrCA).ara. as $%re()"r "# a L)$ (".4a 6 e=4%re$C Ba ! re(e%ve$ a (9e@'e s%3 e$ :6 MrCA).ara. as $%re()"r "# )9e L)$ (".4a 6C T9e :a ! a) b) c) d) *an honour the che7ue only after obtaining confirmation from other directors *an honour the che7ue *annot hounour the che7ue ;he company should issue a stop payment instructions to the ban0 ,:) 11)Te*e :a !% 3 serv%(e %s :ase$ " a) b) c) d) ?irtual /an0ing <nline /an0ing ?oice processing *ore /an0ing ,()

-B) I a se('r%)%sa)%" $ea*0 )9e r"*e "# a S4e(%a* P'r4"se Ie9%(*e ,SPI) %s a) ;o ac7uire large !on Performing 8oans @!PA) b) ;o ac7uire such loans from a ban0 or financial institution c) ;o ac7uire such loans for a transfer priceA (ith or (ithout recourse d) ;o manage the ac7uired loans for the purpose of realiBation or holds them as investment till maturity ,$)

-1)Se('r%)%sa)%" %s a 4r"(ess "# a(@'%r% 3 )9e *"a s (*ass%#%e$ as a) /oo0debts b) Performing debts c) /ad debts d) !on performing debts ,$)

--)T9e .% %.'. 4er(e )a3e "# Pr%"r%)6 Se()"r a$va (es )" :e .a% )a% e$ :6 #"re%3 :a !s % I $%a a) 4#% b) "$% c) 3%% d) &#% ,()

-/) L"a #"r #%s9 rear% 3 %s ("vere$ ' $er Pr%r"r%)6 Se()"r as ----------a$va (es a) Direct Agriculture b) 1ndirect Agriculture c) Self >mployment Scheme d) Allied to indirect Agriculture ,a)

-2) Cas9 B'$3e) %s a s)a)e.e ) "# a) *ashC!on cash funds b) *ash receipt and *ash payments c) Another name for cash flo( d) !one -8) I :a !&s 4ar*a (e (re$%) r%s! % *e $% 3 %s a) Default of the ban0er to maintain *RR b) Default of the ban0er to maintain S8R c) Default of the ban0er to release credit to the customer d) Default of the customer to repay the loan @d) ,:)

-;) T9e a4e= % s)%)')%" 59%(9 9a $*es re#% a (e #"r a3r%('*)'re a $ r'ra* $eve*"4.e ) %s (a**e$+ a) R/1 b) S1D/1 c) !A/ARD d) S>/1 ,()

->) L" 3 F"r. A'$%) Re4"r) ,LFAR) %s 4re4are$ a $ s':.%))e$ :6 a) R/1 inspectors b) 1nternal inspectors c) Statutory auditors d) *oncurrent auditors -<) As 4er FIMMDA&s 3'%$e*% es0 )9e M%$-O##%(e %s res4" s%:*e #"r+ a) Dealing activities b) Ris0 2anagement c) Reconciliation d) *onfirmation of deals ,:) ,()

-1) I )eres) %s (a*('*a)e$ " a()'a*A/;8 $a6s :as%s % res4e() "# )9e #"**"5% 3 4r"$'()s0 e=(e4) " e + a) *all 2oney b) !otice 2oney c) ;erm 2oney d) 6<1 dated securities /B) D9%(9 5as )9e #%rs) M')'a* F' $ s)ar)e$ % I $%a+ a) S/1 2utual =und b) 'ota0 Pioneer 2utual =und c) 1ndian /an0 2utual =und d) !one of the above /1) T9e re3'*a)"r #"r M')'a* F' $s % I $%a %s+ a) =122DA b) A2=1 c) R/1 d) S>/1 ,$) ,$) ,$)

/-) FIMMDA&s 3e era* 4r% (%4*es a $ 4r"(e$'res are a44*%(a:*e )"+ a) =i+ed 1ncome 2ar0ets b) 2oney 2ar0ets c) Derivatives 2ar0ets d) All of the above @d)

//) 7"'r :a !&s ('s)".er J7K L)$0 e H"6s a CC *%.%) "# RsC10BB0BBBCBB T9e CC a(("' ) s9"5s a (re$%) :a*a (e "# Rs01B0-B8CBBC T9e re*a)%" s9%4 :e)5ee 6"'r :a ! a $ J7K L)$ %s+ a) Debtor3*reditor b) *reditor3Debtor c) /ailor3/ailee d) /ailee3/ailor ,a)

/2) T9e r%39) "# se)-"## %s+ a) *ustomer,s Right b) *ustomer,s <bligation c) /an0er,s Right d) /an0er,s Discretion ,$)

/8)D9%(9 "# )9e #"**"5% 3 #"r.s "# :'s% ess are 4er.%ss%:*e ' $er BR A()+ a) /orro(ing b) 1ssuance of 8etters of *redit c) /uying and selling of bullion d) All of the above ,$)

/;) A C"-O4era)%ve Ba ! "4era)% 3 % $%##ere ) S)a)es are re3'*a)e$ :6+ a) State *oC<perative Societies Act b) /an0ing Regulation Act c) 2ulti Dnit *oC<perative Societies Act d) /an0ing 8a(s @applicable to *oC<perative Societies) ,()

/>) I res4e() "# Re3%" a* R'ra* Ba !s0 )9e s9are 9"*$% 3 4a))er %s+ a) *entral 6overnment #%AState 6overnment 3 %ASponsoring /an0 " % b) *entral 6overnment #%AState 6overnment " %ASponsoring /an0 3 % b) *entral 6overnment " %AState 6overnment 3 %ASponsoring /an0 #% b) *entral 6overnment 3 %AState 6overnment #%ASponsoring /an0 " % ,:) /<) La5 "# *%.%)a)%" %s ") a44*%(a:*e % res4e() "# + a) Advance against pledge of shares b) ** granted against hypothecation of inventory c) ;erm loan secured by mortgage of Plant & 2achinery d) /an0 ;erm Deposit ,$)

/1) A :a ! % I $%a0 5a )s )" ' $er)a!e (a4%)a* .ar!e) a()%v%)%es0 %) s9"'*$+ a) <btain special license from A2=1 b) <btain special license from =122DA c) /oth a and b d) Register (ith S>/1 2B) FIMMDA s)a $s #"r+ a) =oreign >+change 2ar0ets and Derivative 2ar0ets b) =i+ed 1ncome 2ar0ets 2oney 2ar0ets and Derivatives 2ar0ets c) =i+ed 1ncome 2ar0ets and Derivatives 2ar0ets d) !one of the above 21) T9e Ca4%)a* A$e@'a(6 Ra)%" %s + a) &% b) $% c) 4% d) "#% ,() ,:) ,$)

2-) E=(e4) " e "# )9e #"**"5% 3 ")9ers are ! "5 as N" F' $ :ase$ #a(%*%)%es+ a) 8etters of *redit b) /an0 6uarantees c) *oCacceptance of /ills d) ;rust Receipt ,$)

2/) FIMMDA&s 3'%$e*% es ("ver )9e #"**"5% 3 4r"$'()s0 e=(e4) " e+ a) *all 2oney b) *ross *urrency 1nterest Rate s(aps c) *ommercial Paper d) *ertificate of Deposit ,:)

22) E=(e4) " e "# )9e #"**"5% 3 ")9ers are 4ar) "# P':*%( Se()"r Ba !s+ a) State /an0 of 5yderabad b) *entral /an0 of 1ndia c) Regional Rural /an0A sponsored by a nationaliBed ban0 d) 5D=* /an0 ,$)

28) A :a !er %s e=4e()e$ )" 9" "'r )9e (9e@'es 5%)9% )9e s4e(%#%e$ :a !% 3 9"'rs as 4er Se()%" a) %% b) % c) 3" d) & ,$) "# NI A()01<<1