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Bank PO / Clerk / RBI

PO, Clerk, RRB — Quantitative, Reasoning, GK

141 Q 3 Topics Take Test
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Difficulty: All Easy Medium Hard 51–60 of 141
Topics in Bank PO / Clerk / RBI
In banking terminology, what does 'Amortization' refer to?
A The process of charging depreciation on assets
B Paying off a debt gradually through scheduled payments
C The rate of inflation in a fiscal year
D The conversion of assets into cash
Correct Answer:  B. Paying off a debt gradually through scheduled payments
EXPLANATION

Amortization is the process of gradually paying off a loan through regular, scheduled installments over time.

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What is the full form of SWIFT in banking operations?
A Secure World Internet Financial Transfer
B Society for Worldwide Interbank Financial Telecommunication
C Standard Worldwide International Financial Technology
D Systematic World Inter-Financial Transfer
Correct Answer:  B. Society for Worldwide Interbank Financial Telecommunication
EXPLANATION

SWIFT is the Society for Worldwide Interbank Financial Telecommunication, used for secure international fund transfers.

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What is the primary objective of the Pradhan Mantri Jan Dhan Yojana (PMJDY)?
A To provide life insurance to poor households
B To ensure financial inclusion through universal access to banking services
C To regulate credit card issuance
D To monitor stock market transactions
Correct Answer:  B. To ensure financial inclusion through universal access to banking services
EXPLANATION

PMJDY aims at financial inclusion by providing zero-balance bank accounts and access to banking services for all.

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Which of the following is NOT a type of deposit account offered by commercial banks?
A Recurring Deposit Account
B Fixed Deposit Account
C Perpetual Deposit Account
D Savings Deposit Account
Correct Answer:  C. Perpetual Deposit Account
EXPLANATION

Perpetual Deposit Account is not a standard deposit category. Banks offer Savings, Current, Fixed, and Recurring deposits.

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Which of the following is a feature of digital banking in India's financial inclusion drive?
A Reduced transaction costs
B 24/7 accessibility to banking services
C Access to banking for unbanked populations
D All of the above
Correct Answer:  D. All of the above
EXPLANATION

Digital banking provides reduced costs, 24/7 access, and enables financial inclusion for unbanked populations through mobile and internet banking.

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Which of the following is a features of a current account opened in banks?
A No limit on number of transactions
B Earns interest on deposits
C Overdraft facilities available
D Both A and C
Correct Answer:  D. Both A and C
EXPLANATION

Current accounts have no transaction limits and overdraft facilities. However, they do not earn interest on deposits.

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Which of the following is NOT a function of the RBI?
A Issuing currency notes
B Regulating monetary policy
C Managing stock exchanges
D Acting as banker to the government
Correct Answer:  C. Managing stock exchanges
EXPLANATION

Stock exchanges are regulated by SEBI, not RBI. RBI issues currency, regulates monetary policy, and acts as banker to the government.

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What is the primary objective of the Deposit Insurance and Credit Guarantee Corporation (DICGC)?
A To provide credit facilities to banks
B To insure deposits and guarantee credits of banks
C To regulate the banking sector
D To monitor stock market operations
Correct Answer:  B. To insure deposits and guarantee credits of banks
EXPLANATION

DICGC's primary objective is to insure deposits of depositors and guarantee credits of banks up to specified limits.

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What is the full form of RTGS, which is used for large value fund transfers in India?
A Real Time Gross Settlement
B Rapid Transfer Gross System
C Real Transaction Gross Settlement
D Regulated Transfer Gross System
Correct Answer:  A. Real Time Gross Settlement
EXPLANATION

RTGS stands for Real Time Gross Settlement, which is used for settlement of large value transactions on a real-time basis.

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Which of the following is the regulatory body that oversees the payment and settlement systems in India?
A NPCI
B SEBI
C RBI
D IRDA
Correct Answer:  C. RBI
EXPLANATION

The Reserve Bank of India (RBI) oversees payment and settlement systems in India. NPCI is a subsidiary of RBI that operates retail payment systems.

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