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Operational Compliance Overview

Total questions: 69

Worksheet time: 35mins

Name
Class
Date
1.

Which practice best supports proper cash handling in a branch environment?

a)

Using dual custody for cash movements

b)

Allowing single teller to move vault cash

c)

Keeping cash drawers permanently open

d)

Letting customers handle loose cash

2.

CCTV monitoring policies in branches should include which elements?

a)

Defined recording durations for footage

b)

Staff access limited to only managers

c)

Random camera placement without plans

d)

Retention protocols for stored footage

3.

What is the primary purpose of maintaining proper AMC/License for security devices?

a)

Eliminating the need for alarm sensors entirely

b)

Ensuring equipment remains serviceable and compliant

c)

Reducing the number of branch staff required

d)

Allowing cameras to record in higher definition

4.

Which items together strengthen vault room security?

a)

Grill door kept locked at the vault

b)

Electronic alarms with sensors or switches

c)

Rolling shutter secured at closing

d)

Cameras removed to avoid tampering

5.

Branches are advised to maintain good relationships with which local agencies for faster emergency response?

a)

Airport customs units

b)

National tax offices

c)

Local fire stations

d)

Nearby police stations

6.

Which areas must be covered by CCTV systems in all branch types to meet coverage requirements?

a)

All vulnerable areas throughout the branch

b)

Only entrances and customer counters

c)

Parking lots and exterior spaces only

d)

Back-office rooms without customers

7.

A standard branch without gold or lockers must retain recorded footage for how long at minimum?

a)

Thirty days of continuous storage

b)

Two hundred forty days of storage

c)

Ninety days of continuous storage

d)

One hundred eighty days of storage

8.

Branches that handle gold or provide lockers must maintain what minimum storage capacity for recordings?

a)

One hundred eighty days of retention

b)

Thirty days of retention

c)

Ninety days of retention

d)

Sixty days of retention

9.

What is the minimum channel capacity specified for the CCTV recording system at a branch?

a)

Twelve channel hybrid system

b)

Thirty-two channel NVR system

c)

Eight channel digital system

d)

Sixteen channel recording system

10.

Which placement best respects customer privacy during locker operations?

a)

Cameras excluding locker viewing

b)

Cameras inside each locker room

c)

Cameras covering locker interiors

d)

Cameras focused on locker keys

11.

Which camera type is mandated to ensure clear visibility across varying lighting conditions?

a)

Standard color-only cameras

b)

Infra-red (IR) cameras

c)

Thermal-only cameras

d)

Analog low-light cameras

12.

Which power requirement ensures CCTV continues operating during a power outage?

a)

Automatic generator bypass

b)

Direct grid connection only

c)

Individual camera batteries only

d)

Connection to branch UPS station

13.

Who is authorized to receive CCTV footage, and under what condition?

a)

Individuals claiming lost items

b)

Branch employees for training

c)

Private investigators on contract

d)

Court with a formal order

e)

Police with written request

14.

Which security measure is required for the DVR equipment?

a)

Hidden desk drawer storage

b)

Ceiling mount with padlock

c)

Tamper-proof rack with alarm

d)

Open shelf with ventilation

15.

Which step ensures vouchers are accurate before final processing?

a)

Verification by authorized personnel

b)

Secure storage with access controls

c)

Systematic filing in order

d)

Initial documentation with complete details

16.

In Finacle, which transactions typically produce system-generated vouchers?

a)

Interest calculations and standard charges

b)

Ad-hoc adjustments for exceptions

c)

One-off customer compensation entries

d)

Manual fee reversals entered by staff

17.

Which statement best differentiates user-defined from system-generated vouchers?

a)

User-defined are automatic; system-generated are manual

b)

User-defined require manual entry and protocols

c)

System-generated require manual signatures only

d)

Both types bypass authorization processes

18.

What is the primary purpose of chronological filing of vouchers?

a)

Enable quick retrieval when needed

b)

Comply with tax rate changes

c)

Reduce storage costs over time

d)

Avoid printing duplicate copies

19.

Which combination aligns with proper voucher management controls?

a)

Secure storage with access controls

b)

Randomized filing without indexing

c)

Multi-level verification by authorized staff

d)

Skipping documentation for system entries

e)

Complete documentation with authorizations

20.

All transactions must be authorized and documented regardless of generation method primarily to ensure what?

a)

Audit compliance and traceability

b)

Compatibility with legacy printers

c)

Faster customer notifications

d)

Lower network bandwidth usage

21.

Which action best supports efficient audit investigations of vouchers?

a)

Deleting records older than six months

b)

Indexing vouchers for retrieval

c)

Encrypting only user-defined entries

d)

Allowing shared logins for access

22.

A file created 28 months ago is being actively referenced by a department. How should it be classified today for management purposes?

a)

Archived record beyond retention limit

b)

Current record under three-year rule

c)

Old record due to inactivity period

d)

Transitory record for disposal soon

23.

Which practice best meets security requirements for current records stored in branch offices?

a)

Shared rooms with visitor traffic

b)

Unlocked cabinets during working hours

c)

Open shelves for quick employee browse

d)

Controlled access and damage prevention

24.

When a branch relocates to a new building, which step is essential for compliant record transfers?

a)

Allow departments to move files informally

b)

Shred all files before transportation

c)

Delay moving records until operations stabilize

d)

Document and secure the transfer process

25.

All records older than three years must be moved to identified storage. Who is responsible for approving these storage locations?

a)

Branch clerks managing file rooms

b)

Regional Heads within their jurisdiction

c)

External auditors during annual reviews

d)

IT support overseeing databases

26.

Which combination correctly describes facility requirements for storing old records?

a)

Remote locations with limited access roads

b)

Well-secured against unauthorized access

c)

Fireproof features for protection

d)

Top-grade construction for durability

e)

Easily accessible to branches when needed

27.

Which statement best captures the purpose of assigning reference or index numbers to preserved records?

a)

Enable quick retrieval from storage

b)

Satisfy decorative labeling policies

c)

Replace documentation during transfers

d)

Reduce the need for secure facilities

28.

A records office implements separate reference schemes by preservation year. What primary benefit does this provide?

a)

Maintains organizational clarity for retrieval

b)

Allows destruction of older materials faster

c)

Eliminates the need for indexing numbers

d)

Avoids documenting transfers altogether

29.

Which policy correctly describes end-of-day balances for Sundry and Suspense accounts?

a)

Sundry not debit; Suspense not credit

b)

Sundry may debit; Suspense may credit

c)

Sundry may credit; Suspense may debit

d)

Sundry must zero; Suspense may carry

30.

A team posts a debit in a Sundry account for a new item and plans to clear it later. What is the compliant approach?

a)

Reverse to credit and clear promptly

b)

Split into two smaller debits

c)

Leave debit open until month-end

d)

Transfer to cash internal office

31.

Select all actions that align with Suspense account handling rules.

a)

Use for routine daily cash expenses

b)

Allow credit balance overnight if small

c)

Offset with credit only for elimination

d)

Reclassify once details are confirmed

e)

Record initial debit for unidentified receipt

32.

Which statement best reflects cash transaction restrictions in internal or office accounts?

a)

Cash debits freely allowed for petty expenses

b)

Cash debits allowed when balance is low

c)

Cash debits never permitted unless policy allows

d)

Cash debits allowed if later reimbursed

33.

To meet approval rules, a requester proposes splitting a cash payment into multiple smaller amounts. What is the correct response?

a)

Approve if amounts stay below limit

b)

Permit only with manager verbal okay

c)

Reject splitting and disallow payment

d)

Allow if posted to Suspense first

34.

Which menu should be used to process NPA account write-offs, ensuring correct handling without using suspense accounts?

a)

LAW menu exclusively

b)

GSTTDS menu only

c)

SUNREF menu only

d)

TTUM menu option

35.

A branch receives a POB (inter-branch) entry. What is the correct response method?

a)

Ignore until month-end

b)

Debit the correct account

c)

Credit a sundry account

d)

Use a suspense head

36.

For payments of a permanent nature like penalties or court orders, which source account is appropriate?

a)

Respective Suspense heads

b)

POB clearing account

c)

Miscellaneous account head

d)

Currency chest account

37.

Which actions are correct for creating expense provisions and prepaid expenses to enable automatic reversal?

a)

Use GSTTDS menu only

b)

Avoid TTUM menu entirely

c)

Post through SUNREF instead

d)

Book under revenue heads

e)

Delay until period close

38.

To prevent payment from suspense heads during cheque return processing in Finacle, what must be marked?

a)

Return clearing flag

b)

Revenue adjustment

c)

POB acknowledgement

d)

NPA status update

39.

Entries outstanding over two years in Sundry Deposit and Bills Payable accounts should be reversed using which menu?

a)

SUNREF menu option

b)

LAW menu only

c)

GSTTDS menu only

d)

Return clearing option

40.

Which practices align with proper revenue expenditure accounting to avoid heavy provisioning?

a)

Defer recognition to next quarter

b)

Use POBs for revenue items

c)

Record under miscellaneous heads

d)

Account revenue under correct expense heads

e)

Avoid booking to suspense accounts

41.

Which practice best defines dual control in cash handling operations?

a)

Two-person verification for all cash access

b)

One-person custody with supervisor review later

c)

Alternating solo access by different employees

d)

Remote approval from an offsite manager

42.

A branch stores currency in a vault with access logs and cameras. Which control is primarily being applied?

a)

Accurate counting using equipment

b)

Limit monitoring through exception logs

c)

Physical security with monitored storage

d)

Dual custody of all vault keys

43.

Which items must be properly maintained to verify cash amounts and authenticity?

a)

UV lamps for counterfeit detection

b)

Counting machines for cash totals

c)

Key rotation schedules only

d)

Sorting machines for denomination mix

44.

You discover cash on hand exceeds the authorized retention amount. What is the correct immediate action?

a)

Disable the safe-in register entry entirely

b)

Move funds to a personal locker temporarily

c)

Document the exception and reduce balance

d)

Ignore the overage until next audit

45.

What procedure strengthens dual custody beyond two-person presence?

a)

Periodic rotation of keys and combinations

b)

Assigning a single custodian for consistency

c)

Allowing remote access via phone approval

d)

Leaving vault doors unlocked during hours

46.

Which pairing correctly reflects joint custody for accessing a strong room or cash safe?

a)

Branch Head and Head Cashier hold separate keys

b)

Branch Head alone holds both required keys

c)

Two Head Cashiers hold both primary keys

d)

Deputy Branch Head keeps all keys in one ring

47.

What is the primary purpose of requiring two different officers to hold separate safe keys?

a)

Enable dual control and deter internal fraud

b)

Increase convenience for rapid single access

c)

Reduce the need for documentation entirely

d)

Allow keys to be copied for all tellers

48.

Where should duplicate key sets be stored to meet security requirements?

a)

With the cashier at their workstation

b)

In sealed cover at a nearby branch

c)

Inside the same strong room as primaries

d)

In an unlocked cabinet in operations

49.

Which statement about duplicate key custody receipts is accurate?

a)

Receipts are optional for external storage

b)

Cashier retains receipts inside the strong room

c)

Branch Head maintains safe deposit receipts

d)

Receipts must be kept with duplicate keys

50.

Which entries are mandatory in a key register for complete tracking?

a)

Safe custody receipt details for duplicates

b)

Inventory of cash balances per cashier

c)

Names, signatures, and dates of custodians

d)

Key numbers with safe or cabinet details

51.

Who should hold the key register and ensure signatures during transitions?

a)

Branch Head retains and manages the register

b)

Security vendor maintains the register

c)

Head Cashier stores it in the strong room

d)

External auditor keeps the master register

52.

How often must duplicate key sets be withdrawn from safe custody for rotation?

a)

Every second year for verification

b)

Every five years unless damaged

c)

Every quarter for random checks

d)

Only during annual audits

53.

Which outcomes are objectives of the biennial duplicate key rotation?

a)

Eliminate need for joint custody entirely

b)

Confirm custody arrangements intact

c)

Update access records and documentation

d)

Verify keys remain functional

54.

Key exchange timing should align with which events?

a)

Branch inspection periods

b)

Handover or takeover of charge

c)

Weekly teller roster changes

d)

Changes in branch leadership

55.

A cashier detects two counterfeit notes at the counter. What is the correct external reporting action?

a)

File immediate FIR using Annex IV format

b)

Submit monthly report in Annex III format

c)

Report verbally to nearest police officer

d)

Hold notes for quarterly consolidated statement

56.

Five counterfeit notes are discovered in a single deposit. What must the branch do with police authorities?

a)

Email summary to Nodal Police Station

b)

File immediate FIR in Annex IV format

c)

Await audit before taking any action

d)

Send monthly Annex III consolidated report

57.

Which items must appear on the acknowledgment receipt given to a tenderer of counterfeit notes?

a)

Details of the counterfeit note

b)

Tenderer's signature when possible

c)

Denomination exchange rate

d)

Running serial number for tracking

e)

Cashier's authentication signature

58.

A tenderer refuses to sign the acknowledgment receipt for a counterfeit note. What is the correct procedure?

a)

Record only in branch copy without receipt

b)

Wait for police to arrive before issuing

c)

Reject the note and return it to tenderer

d)

Issue receipt using prescribed format anyway

59.

Before issuing the acknowledgment receipt for a counterfeit note, which step is required for the note itself?

a)

Stamp the note as COUNTERFEIT NOTE

b)

Affix branch seal with today’s date

c)

Bundle into soiled remittance pack

d)

Photocopy both sides for records

60.

Which reporting is required within the bank after counterfeit notes are detected?

a)

Send copy to Forged Note Vigilance Cell

b)

Forward originals to currency chest directly

c)

Notify branch auditor at month end

d)

Upload images to corporate portal only

61.

What is the penalty rate when counterfeit notes are found due to handling failures?

a)

Variable based on denomination

b)

25% of notional value

c)

50% of notional value

d)

100% of notional value

62.

In which situations does the 100% penalty apply?

a)

Counterfeits in soiled note remittance

b)

Counterfeits reported late but not remitted

c)

Counterfeits found during currency chest inspection

d)

Counterfeits detected at the counter and seized

63.

Which notes must be processed through Note Sorting Machines before being recirculated?

a)

All denominations handled by tellers

b)

Only notes of Rs.100 and above

c)

Only high-value notes above Rs.500

d)

Only visibly worn or damaged notes

64.

Which action best describes trend monitoring in counterfeit currency management?

a)

Training tellers on customer service etiquette

b)

Comparing branch cash balances to vault records

c)

Tracking detection patterns and reporting suspicious trends

d)

Archiving monthly ATM logs for audits

65.

Where should counterfeit note detection data be uploaded for centralized reporting?

a)

Bank’s internal compliance dashboard

b)

National Crime Records Bureau website

c)

District police messaging group

d)

Reserve Bank branch portal in Mumbai

66.

Which combination of actions helps prevent counterfeit notes via ATMs?

a)

Rely on manual counting without machines

b)

Verify notes thoroughly before ATM loading

c)

Process notes through Note Sorting Machines

d)

Skip checks for sealed bundles from branches

67.

What is the purpose of designating district‑wise nodal officers in banks?

a)

Conduct daily teller performance reviews

b)

Approve cash chest remittances only

c)

Serve as contact points for counterfeit note activities

d)

Handle all ATM maintenance tasks

68.

For how long must counterfeit notes involved in court cases be preserved?

a)

At least three years

b)

At least two years

c)

Until the case hearing

d)

At least one year

69.

Which situation may trigger special police investigation, requiring extreme caution?

a)

Finding worn legal tender in customer deposits

b)

Detecting counterfeit notes via ATM or chest remittance

c)

Receiving old series notes from rural branches

d)

Observing temporary ATM cash shortages