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WorksheetsMONEY AND BANKING
Total questions: 25
Worksheet time: 19mins
What is the Cash Reserve Ratio (CRR)?
the fraction of the deposits that commercial banks lend to the customers
the fraction of the deposits that RBI must keep with commercial banks
the fraction of the deposits that commercial banks must keep with RBI
What is the reserve deposit ration (rdr)?
the proportion of money RBI lends to commercial banks
the proportion of total deposits commercial banks keep as reserves
the total proportion of money that commercial banks lend to the customers
What possess general acceptability?
Bank draft
Money
Bill of exchange
Which bank is called lender of last resort?
Commercial bank
Agricultural bank
Central bank
Which bank enjoys monopoly power of Note issue?
NABARD
Commercial Bank
Central Bank
What is the name of Central Bank in India?
SBI
RBI
PNB
What is the ratio of deposits which commercial banks are required to keep with themselves called?
CRR
SLR
both
Buying and selling of government securities by the central bank from/to banks is called?
open market operations
margin
banking
The rate at which central bank lends to commercial banks is called?
SLR
CRR
bank rate
Which of the following is a commonly accepted definition of money?
Any good which is commonly uiesd as a store of value
Any good which is exchanged foe gold at a fixed rate.
Any good which is acceptable to a bank
Any good which is commonly accepted as medium of exchange
Money which is accepted as a medium of exchange because of trust between the payer and the payee is called-
full bodied money
fait money
fiduciary money
credit money
Money thai is issued by the authority of the government is called-
full bodied money
fait money
fuduciary money
all the above
commercial bank creat credit money by way of --
Time deposit
Treasury Bill
Bill of Exchange
demand deposit
Credit control means-
Contraction of credit only
Extention of credit only
Extention and contraction of money supply
none of these
SLR requires the commercial bank to build their liquid assets by way of
Reserve of cash
Reserve of gold
resurve of unencumbered secirities
all of these
Open market operation as an instrument of credit control are performed by
Central bank of country
the commercial bank pof country
Both a and b
none of these
_____________ is a bank that can lend money to other banks in times of crisis
Congress
Central Bank
Department of the Interior
National Bank
_____________ is money by government decree, has no alternative value
Gold standard
Specie
Barter
Fiat money
____________ is money in the form of gold or silver coins
Fiat
Shilling
Specie
Pence
Value that is based on an opinion of a person, society, etc. is what type of value?
economic value
intrinsic value
subjective value
speculative value
Intrinsic value is best defined by which of the follow?
value that is measured by an opinion
value that is measured by the thought that the price of the good will rise in the future
a general statement on the usefulness of a good or service
value that is based on scarcity, usefulness, and the labor and materials that went into production
Which of these are functions of money?
medium of exchange that allows the trade of goods and services
holds value over time
standard of value that allows comparison of the value of goods related to one another
used as the only means of trade between nations
A type of money that is backed by a material, such as gold, is referred to as
certificate money
representative money
fiat money
commodity money
Commodity money can be best described as money that is
backed up by a valuable material
valuable based on the material that the money is made from
used to purchase valuable materials
valuable because a government says it is and people accept that it is valuable
