Banking and Finance Quiz new

What is the primary function of banks?

• Selling goods

• Accepting deposits and lending money

• Providing healthcare services

• Offering legal advice

What is the purpose of a current account?

• To keep surplus funds

• To earn interest on balances

• To withdraw money at any time

• To pay bills of exchange

What is the function of a mortgage?

• To lease office equipment

• To grant loans to businesses

• To discount bills of exchange

• To buy a house

What is the main advantage of using debit cards for purchases?

• Ability to borrow money from the bank

• Immediate transfer of money from the bank account

• Earn interest on the amount spent

• No need for a PIN for authentication

What is the purpose of a bill of exchange?

• To transfer funds from one bank account to another

• To pay for a bank draft in advance

• To settle credit transactions instead of cash

• To make payments without using cash

What is the main function of e-banking?

• To provide automated delivery of banking products and services

• To manage occasional administrative tasks

• To operate exclusively online over the Internet

• To offer traditional banking services only

What is the advantage of mobile banking for small and mid-size business owners?

• Ability to print out statements and records

• Ability to save time

• Operate on a 24-hour basis without leaving their offices

• Check account balance and transactions at any time

What are the risks involved in e-banking and mobile banking?

• All of the above

• External attacks and hackers

• Financial fraud and money laundering

• Legal risks and non-compliance with legal requirements

What is the function of a bank draft?

• To collect payment from a bank named on the draft

• To pay for a bank draft in advance

• To make payments without using cash

• To transfer funds from one bank account to another

What is the purpose of a letter of credit in foreign trade?

• To obtain payment from the importer's bank

• To make payments without using cash

• To authorise payment to the importer

• To transfer funds from one bank account to another