CAIIB BFM Expected Questions for December Exam 2022

CAIIB BFM Expected Questions: The Indian Institute of Banking and Finance has scheduled the CAIIB BFM December Exam 2022 on 4th December 2022. Candidates are giving a final touch to their preparation so that they don’t miss any single concept. To qualify for the CAIIB BFM Nov Exam 2022 aspirants should ensure that they leave no stone unturned as it is a golden opportunity to clear the exam with the old syllabus. To help the aspirants in their preparation we have brought in this article CAIIB BFM Expected Questions for December Exam 2022.

CAIIB BFM Expected Questions for December Exam 2022

As only a few days are left for the exam, candidates should utilize the given time in an effective manner. Most of the remaining time should be given in practicing the questions of the latest pattern so that candidates don’t get stuck during the examination. To assist the aspirants in right direction, we have discussed here the CAIIB BFM Expected Questions for December Exam 2022. The questions given here are along with their answers.

Questions:

These are available information about PQR Limited. A loan amount of Rs.200 crore has been provided by XYZ Bank to PQR Limited repayable in 2 years. PQR Ltd is rated as BB. PQR Limited provided Rs. 200 crore collaterals in the form of  RBI Relief Bonds( maturity period is 2 years).

Risk Weight of loan to BB-rated borrower:150%

Haircut on RBI Relief Bonds: 2%

1.) After adjusting the haircut, calculate the value of collateral?

a) 150 crore

b)175 crore

c)196 crore

d)200 crore

2.) After adjusting the haircut, calculate the net exposure value?

a) 7 crore

b)4 crore

c)8 crore

d)2 crore

3.) An exposure of Rs. 100 lakhs is backed by lien on fixed deposits of Rs.30 lakhs. There is no maturity mismatch. Calculate net exposure for capital adequacy.

a)70 lakhs

b)20 lakhs

c)50 lakhs

d)60 lakhs

4.) Under “Notice Money” funds are transacted by treasury for how many days?

a) 1 Day

b)0-2 days

c)2-14 days

d)14-365 days

5.) Capital Conservation Buffer is a capital buffer designed to avoid breach of

a)Sufficient Capital Required

b)Adequate Capital Required

c)Economic Capital Required

d)Minimum Capital Required

6.) Which type of main risk in Treasury?

a)Credit Risk

b)Market Risk

c)Operational Risk

d)Interest Rate Risk

7.) The buyback offer of commercial paper may not be made before:

a) 7 days from the date of issue

b)15 days from the date of issue

c) 30 days from the date of issue

d) 90 days from the date of issue

8.) Rupee denominated bonds issued by Indian companies to raise funds offshore are called:

a) Deep Discount Bond

b) Zero Coupon Bonds

c)Masala Bonds

d)Forex Bonds

9.) Funding long term assets by short term liability give risk to:

a)Market Risk

b)Credit Risk

c)Liquidity Risk

d)Strategic Risk

10.) Which of the following is not the fundamental reason for determining the exchange rate?

a)Interest Rate

b)Political Issue

c)Balance of Payment

d)Speculation

Answers:

Ans.1: (c)

Ans.2: (b)

Ans.3: (a)

Ans.4: (c)

Ans.5: (c)

Ans.6: (b)

Ans.7: (c)

Ans.8: (c)

Ans.9: (c)

Ans.10:(d)

For more questions and concept clearance of all the modules of BFM aspirants can watch the given video:

FAQs: CAIIB BFM Expected Questions for December Exam 2022

Q.1 When is CAIIB BFM December Exam 2022?

Ans. CAIIB BFM December Exam 2022 is scheduled on 4th December 2022.

Q.2 Where can I get CAIIB BFM Expected Questions for December Exam 2022?

Ans. CAIIB BFM Expected Questions for December Exam 2022 are provided in the article below.