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Financial Literacy CLASS 10 Quiz

Total questions: 40

Worksheet time: 20mins

Name
Class
Date
1.

Which fund transfer settles transactions in real-time?

a)

Cheque

b)

RTGS

c)

IMPS

d)

NEFT

2.

Which of the following is a stock exchange in India?

a)

NYSE

b)

NSE

c)

LSE

d)

TSE

3.

Which expense is NOT covered by Education Loan?

a)

Books and equipment

b)

Hostel fees

c)

Personal vacation expenses

d)

College fees

4.

Which is NOT a function of a bank?

a)

Providing loans

b)

Accepting deposits

c)

Printing money

d)

Offering financial advice

5.

Main purpose of GST?

a)

Increase government revenue

b)

Simplify tax structure

c)

Decrease government revenue

d)

None of the above

6.

Which of the following is a benefit of GST?

a)

Eliminates cascading effect of taxes

b)

Increases compliance

c)

Promotes ease of doing business

d)

All of the above

7.

Primary impact of inflation?

a)

Stability in interest rates

b)

Increase in interest rates

c)

None of the above

d)

Decrease in interest rates

8.

What does EMI stand for?

a)

Equated Monthly Instalment

b)

Equal Money Investment

c)

Enhanced Monthly Instalment

d)

None of the above

9.

Role of a financial market regulator?

a)

Ensure fair trading practices

b)

Protect investor interests

c)

Maintain market integrity

d)

All of the above

10.

What does NAV stand for in mutual funds?

a)

Net Asset Value

b)

National Asset Value

c)

Net Annual Value

d)

National Annual Value

11.

What should you never do with a blank cheque?

a)

Deposit it without filling in the details

b)

Write the amount first

c)

Sign it

d)

Keep it with the bank

12.

Which of the following is a direct tax?

a)

VAT

b)

Service tax

c)

Income tax

d)

Sales tax

13.

What is the future value of $100 investments made annually for 5 years at 5% interest compounded annually?

a)

$127.63

b)

$500

c)

$552.60

d)

$100

14.

Which type of inflation occurs when demand exceeds supply?

a)

Cost-push inflation

b)

Built-in inflation

c)

Demand-pull inflation

d)

None of the above

15.

A recurring deposit is typically:

a)

An investment in stocks

b)

A series of regular deposits

c)

A one-time deposit

d)

A type of loan

16.

Which type of mutual fund is considered the safest?

a)

Debt fund

b)

Sectoral fund

c)

Balanced fund

d)

Equity fund

17.

Purpose of diversification in investments?

a)

To reduce risk

b)

To increase risk

c)

None of the above

d)

To maximize returns

18.

Main purpose of a financial market?

a)

To offer loans

b)

None of the above

c)

To facilitate buying & selling of securities

d)

To provide insurance

19.

Who can operate a bank account independently (RBI guidelines)?

a)

Minors with guardian’s consent

b)

Minors above 10 years

c)

Only adults

d)

Only individuals above 18 years

20.

Formula for calculating Simple Interest?

a)

(Principal × Rate × Time) / 100

b)

Principal + Rate + Time

c)

Principal × Rate × Time

d)

(Principal + Rate + Time) / 100

21.

A fixed deposit account typically offers:

a)

No interest

b)

Higher interest rates than savings accounts

c)

None of the above

d)

Lower interest rates

22.

Which of the following is a type of mutual fund?

a)

Close-ended fund

b)

Exchange-traded fund

c)

Open-ended fund

d)

All of the above

23.

What is a secondary market?

a)

Market where new securities are issued

b)

Market where existing securities are traded

c)

Market for commodities

d)

None of the above

24.

Primary benefit of investing in mutual funds?

a)

Diversification

b)

Guaranteed returns

c)

None of the above

d)

High returns with low risk

25.

Which of the following is a benefit of GST?

a)

Increases compliance

b)

Eliminates cascading effect of taxes

c)

Promotes ease of doing business

d)

All of the above

26.

What does a debit card do?

a)

Enables borrowing money

b)

Issues a loan automatically

c)

None of the above

d)

Allows spending money from own account

27.

What happens to investor’s money during an NFO?

a)

Used to buy individual stocks

b)

Pooled with others’ money & invested as per scheme

c)

Kept in high-interest savings account

d)

Directly invested in real estate

28.

Why prefer mutual funds over shares?

a)

Requires less time and research

b)

Guarantees higher returns

c)

Eliminates all risks

d)

Provides personal financial advice

29.

Who manages mutual fund investments?

a)

The investor

b)

The fund manager

c)

The bank

d)

The government

30.

When did GST come into effect in India?

a)

1st July 2016

b)

1st July 2017

c)

1st January 2017

d)

29th March 2017

31.

Which type of insurance includes accident and health insurance?

a)

Life Insurance

b)

Marine Insurance

c)

General Insurance

d)

Social Insurance

32.

What happens if you fail to repay a secured loan?

a)

The bank increases the interest rate

b)

The bank forgives the loan

c)

The bank may seize the collateral

d)

Nothing happens

33.

What security is required for an Education Loan above 7.5 lakhs?

a)

No security needed

b)

Only Parent/Guardian as co-borrower

c)

Tangible collateral security + Parent/Guardian as co-borrower

d)

Third-party guarantee

34.

Which of the following is considered wasteful expenditure?

a)

Spending money allocated for stationery on chocolates

b)

Saving money in a bank

c)

Paying off debt

d)

Buying necessary groceries

35.

Which type of loan is often used to buy a house?

a)

Payday loan

b)

Home loan

c)

Auto loan

d)

Personal loan

36.

Components of GST system in India?

a)

SGST, CGST, UGST

b)

LGST, CGST, IGST

c)

SGST, CGST, IGST

d)

SGST, CGST, FGST

37.

A premium in insurance refers to:

a)

Amount paid periodically to keep policy active

b)

None of the above

c)

Claim amount

d)

Total coverage amount

38.

Role of a mutual fund manager?

a)

Select securities to invest in

b)

Monitor performance of the fund

c)

Manage pool of funds

d)

All of the above

39.

What is a New Fund Offer (NFO)?

a)

A special tax on mutual funds

b)

Launch of a new mutual fund scheme

c)

A discount on mutual fund units

d)

A type of mutual fund withdrawal

40.

Primary function of SEBI?

a)

Promote corporate finance

b)

Regulate & protect investors in securities

c)

Manage government securities

d)

Provide financial education