Banking Quiz for NABARD Assistant Manager (Grade-A)

Dear Aspirants,

Banking Awareness for NABARD Assistant Manager 2018

With the increased competition in the field of banking examinations, it has now become very important to cover up all the sections efficiently. One subject that can help you bagging graceful marks in the minimum time in these examinations is Banking Awareness. Banking Awareness Quiz not only helps you deal with the General Awareness Section of Banking Exams but also, the Personal Interview round of Banking Recruitment.

Q1. In which year National Company Law Tribunal (NCLT) was set up-
(a) 2012
(b) 2013
(c) 2014
(d) 2015
(e) 2016

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S1. Ans.(e)
Sol. The Central Government has constituted National Company Law Tribunal (NCLT) under section 408 of the Companies Act, 2013 (18 of 2013) w.e.f. 01st June 2016.

Q2. In the first phase of National Company Law Tribunal the Ministry of Corporate Affairs have set up eleven Benches, one Principal Bench. The Principal Bench is located in-
(a) Bengaluru
(b) Kolkata
(c) Mumbai
(d) New Delhi
(e) Chennai

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S2. Ans.(d)
Sol. In the first phase of the National Company Law Tribunal, Ministry of Corporate Affairs have set up eleven Benches, one Principal Bench at New Delhi and ten Benches at New Delhi, Ahmadabad, Allahabad, Bengaluru, Chandigarh, Chennai, Guahati, Hyderabad, Kolkata and Mumbai. These Benches will be headed by the President and 16 Judicial Members and 09 Technical Members at different locations.

Q3. The NCLAT was constituted under Section 410 of the Companies Act, 2013. What is the meaning of “A” in NCALT?
(a) Agreement
(b) Association
(c) Appellate
(d) Agency
(e) Authority

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S3. Ans.(c)
Sol. National Company Law Appellate Tribunal (NCLAT) was constituted under Section 410 of the Companies Act, 2013 for hearing appeals against the orders of National Company Law Tribunal(s) (NCLT), with effect from 1st June, 2016.

Q4. Who is the chairperson of NCLAT?
(a) Balvinder Singh
(b) Sudhansu Jyoti Mukhopadhaya
(c) Bansi Lal Bhat
(d) AIS Cheema
(e) M S Sundara Rajan

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S4. Ans.(b)
Sol. Sudhansu Jyoti Mukhopadhaya is present chairperson of NCLAT.

Q5. Serious Fraud Investigation Office (SFIO) has been established and it has started functioning since-
(a) 1st October, 2003
(b) 1st October, 2004
(c) 1st October, 2007
(d) 1st October, 2012
(e) 1st October, 2015

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S5. Ans.(a)
Sol. The Government in the backdrop of major failure of non-banking financial institutions, phenomenon of vanishing companies, plantation companies and the recent stock market scam had decided to set up Serious Fraud Investigation Office (SFIO), a multi-disciplinary organization to investigate corporate frauds. The Organization has been established and it has started functioning since 1st October, 2003.

Q6. The FRDI Bill is part of a larger, more comprehensive approach by the Centre towards systematic resolution of all financial firms. FRDI stands for-
(a) Financial Resolution and Deposit India
(b) Financial Resolution and Deposit International
(c) Financial Resolution and Deposit Initial
(d) Financial Resolution and Deposit Increase
(e) Financial Resolution and Deposit Insurance

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S6. Ans.(e)
Sol. The FRDI Bill is part of a larger, more comprehensive approach by the Centre towards systematic resolution of all financial firms — banks, insurance companies and other financial intermediaries. The Bill comes together with the Insolvency and Bankruptcy Code to spell out the procedure for the winding up or revival of an ailing company. FRDI stands for Financial Resolution and Deposit Insurance.

Q7. LEI is a global reference number that uniquely identifies every legal entity or structure that is party to a financial transaction. What is the meaning of “I” in LEI?
(a) Insurer
(b) Indian
(c) Identifier
(d) Increase
(e) International

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S7. Ans.(c)
Sol. The Legal Entity Identifier (LEI) is a global reference number that uniquely identifies every legal entity or structure that is party to a financial transaction.

Q8. LEI India Limited is Wholly Owned Subsidiary of-
(a) Clearing Corporation of India Limited
(b) Bharatiya Reserve Bank Note Mudran Private Limited
(c) Small Industries Development Bank of India
(d) Securities and Exchange Board of India
(e) Reserve Bank of India

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S8. Ans.(a)
Sol. Legal Entity Identifier India Limited (CIN- U74900MH2015PLC268921)– A Wholly Owned Subsidiary of The Clearing Corporation of India Ltd. acts as a Local Operating Unit (LOU) for issuing globally compatible Legal Entity Identifiers (LEIs) in India.

Q9. AEPS is a system that leverages Aadhaar online authentication and enables AEBAs to be operated in anytime-anywhere banking mode by the marginalized d financially excluded segments of society through microATMs. What is the meaning of “E” in AEPS?
(a) Equity
(b) Essential
(c) Electronic
(d) Enabled
(e) Enrolled

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S9. Ans.(d)
Sol. Aadhaar Enabled Payment System (AEPS) – A system that leverages Aadhaar online authentication and enables AEBAs to be operated in anytime-anywhere banking mode by the marginalized d financially excluded segments of society through microATMs.

Q10. APB is a repository of Aadhaar number of residents and their primary bank account number used for receiving all social security and entitlement payments from various government agencies. What is the meaning of “B” in APB?
(a) Base
(b) Bridge
(c) Bond
(d) Banking
(e) Basel

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S10. Ans.(b)
Sol. Aadhaar Payments Bridge or APB is a repository of Aadhaar number of residents and their primary bank account number used for receiving all social security and entitlement payments from various government agencies. It requires using Aadhaar number as the primary key for all entitlement payments. This would weed out all fakes and ghosts from the system and ensure that the benefits reach the intended beneficiaries..

Q11. CBLO is a money market instrument that represents an obligation between a borrower and a lender as to the terms and conditions of a loan. What is the meaning of “B” in CBLO?
(a) Borrowing
(b) Balance
(c) Banking
(d) Basel
(e) Bond

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S11. Ans.(a)
Sol. A collateralized borrowing and lending obligation (CBLO) is a money market instrument that represents an obligation between a borrower and a lender as to the terms and conditions of a loan.

Q12. MDR is a fee charged from a merchant by a bank for accepting payments from customers through credit and debit cards in their establishments. MDR stands for-
(a) Merchant Discount Ratio
(b) Merchant Discount Rate
(c) Merchant Discount Rating
(d) Merchant Development Rate
(e) Money Discount Rate

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S12. Ans.(b)
Sol. MDR or Merchant Discount Rate is a fee charged from a merchant by a bank for accepting payments from customers through credit and debit cards in their establishments.

Q13. CRR is the amount of funds that the banks have to keep with the RBI. What is the full form of CRR?
(a) Cash Rate Ratio
(b) Cash Reserve Rate
(c) Cash Reserve Ratio
(d) Common Reserve Ratio
(e) Core Reserve Ratio

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S13. Ans.(c)
Sol. Cash reserve Ratio (CRR) is the amount of funds that the banks have to keep with the RBI.

Q14. MSF rate refers to the rate at which the scheduled banks can borrow funds overnight from RBI against government securities. What is the meaning of “F” in MSF?
(a) Funded
(b) Financial
(c) Flow
(d) Facility
(e) Fund

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S14. Ans.(d)
Sol. Marginal Standing Facility (MSF) rate refers to the rate at which the scheduled banks can borrow funds overnight from RBI against government securities.

Q15. ETFs are mutual funds listed and traded on stock exchanges like shares. ETFs stands for-
(a) Electronic Traded Funds
(b) Exchange Time Funds
(c) Exchange Traded Finance
(d) Exchange Traded Flows
(e) Exchange Traded Funds

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S15. Ans.(e)
Sol. Exchange Traded Funds (ETFs) are mutual funds listed and traded on stock exchanges like shares.