Study the table: Loan disbursements across 3 branches in lakhs: Branch A: ₹250, Branch B: ₹180, Branch C: ₹320. If total loan recovery was 85%, what was the total outstanding loan amount?
Answer: C
Total disbursed = 250 + 180 + 320 = 750 lakhs. If recovery is 85%, outstanding = 750 × (1-0.85) = 750 × 0.15 = 112.5 lakhs. If recovery was 85%, then 15% outstanding = 112.5 lakhs on 750 base.
Q.202Medium
What is the Cash Reserve Ratio (CRR) as per latest RBI guidelines 2024?
Answer: B
The CRR has been maintained at 4.0% as per RBI's latest monetary policy in 2024.
Q.203Medium
Which regulatory framework applies to payments and settlement systems in India?
Answer: B
The Payment and Settlement Systems Act, 2007 specifically regulates payment systems including RTGS, NEFT, and other settlement mechanisms.
Q.204Medium
Analyze the data: Q1 loan disbursement: ₹800 crore, Q2: ₹960 crore, Q3: ₹1,152 crore. What is the sequential growth rate pattern?
Answer: B
Q1 to Q2: (960-800)/800 = 20%; Q2 to Q3: (1152-960)/960 = 20%. This shows 20% consistent quarter-on-quarter growth.
Q.205Medium
If a bank's Capital to Risk-Weighted Assets Ratio (CRAR) is 14.5%, and regulatory minimum is 11.5%, what is the capital buffer?
Answer: C
Capital buffer = Actual CRAR - Minimum regulatory CRAR = 14.5% - 11.5% = 3.0%
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Q.206Medium
Study the performance data: NPAs in 2023: ₹8,000 crore, in 2024: ₹9,600 crore. If total advances are ₹500,000 crore in 2024, what is the NPA ratio for 2024?
A bank increased its retail lending from ₹50,000 crore to ₹65,000 crore while corporate lending decreased from ₹80,000 crore to ₹72,000 crore. What is the net change in total lending portfolio?
Answer: A
Retail increase: 65,000 - 50,000 = +15,000 crore. Corporate decrease: 72,000 - 80,000 = -8,000 crore. Net = 15,000 - 8,000 = +7,000 crore. Correction: This should be +7,000, but let's verify the options align.
Q.208Medium
Analyze the quarterly data: A bank's Net Interest Income (NII) was ₹12,000 crore (Q1), ₹13,200 crore (Q2), ₹14,520 crore (Q3), and ₹15,972 crore (Q4). What is the growth pattern?
A bank's Asset Quality Ratio improved from 94.2% in FY2023 to 96.8% in FY2024. If FY2023 advances were ₹4,50,000 crore, what was the approximate amount of standard assets?
Answer: A
Standard assets = Asset Quality Ratio × Total Advances = 94.2% × ₹4,50,000 crore = ₹4,23,900 crore
Q.210Medium
Examine the data: Bank X's Cost-to-Income Ratio decreased from 48% (FY2023) to 44% (FY2024). If operating expenses in FY2024 are ₹8,800 crore, what is the estimated operating income?
Answer: B
Cost-to-Income Ratio = Operating Expenses / Operating Income; 44% = 8,800 / OI; OI = 8,0800.44 = ₹20,000 crore
Q.211Medium
A bank's advances grew by 15% year-on-year while deposits grew by 12% in FY2024. If the Loan-to-Deposit (LTD) ratio was 78% in FY2023, what is the approximate LTD ratio in FY2024?
Study the quarterly performance: Q1 profit: ₹5,600 crore, Q2 profit: ₹6,160 crore, Q3 profit: ₹6,776 crore, Q4 profit: ₹7,454 crore. What is the total annual profit and approximate quarterly growth rate?
If the RBI reduces the Repo Rate by 50 basis points, what is the likely impact on a bank's Net Interest Margin (NIM) in the short term?
Answer: B
When repo rate decreases, banks cut lending rates faster than deposit rates, compressing NIM (interest spread)
Q.214Medium
A scheduled commercial bank reports: Tier-1 Capital: ₹50,000 crore, Tier-2 Capital: ₹20,000 crore, RWA: ₹500,000 crore. Calculate the Total Capital Ratio and determine compliance status.
Answer: B
Total Capital = ₹50,000 + ₹20,000 = ₹70,000 crore. CRAR = 70,500000,000 = 14%. Basel III minimum is 10.5%, so 14% is compliant
Q.215Medium
If a bank's Cost of Funds increased by 75 basis points while the Yield on Assets increased by 50 basis points, what is the likely impact on Net Interest Margin (NIM)?
Answer: B
NIM = Yield on Assets - Cost of Funds. If Cost of Funds increases by 75 bps and Yield increases by only 50 bps, NIM decreases by 25 bps (50 - 75 = -25).
Q.216Medium
A scheduled commercial bank's Priority Sector Lending (PSL) target for FY2024-25 is 40% of adjusted net bank credit. The bank achieved 38% in Q3. What is the regulatory implication?
Answer: C
PSL compliance is measured at the end of the financial year. Banks must maintain 40% PSL by March 31. Non-compliance attracts penalties equal to shortfall amount at repo rate + 50 bps.
Q.217Medium
Analyze the data: A bank's CASA ratio decreased from 42% in Q2 to 39% in Q3. What regulatory and operational concern does this raise?
Answer: B
CASA (Current Account & Saving Account) ratio declining means lower proportion of low-cost deposits. The bank must fund advances with more expensive term deposits, which increases Cost of Funds and compresses NIM.
Q.218Medium
A bank's Gross NPA increased from ₹18,500 crore in FY2023 to ₹22,300 crore in FY2024, while total advances grew from ₹2,10,000 crore to ₹2,35,000 crore. What is the change in Gross NPA ratio?
Answer: A
Gross NPA Ratio FY2023 = (18,2500,10,000) × 100 = 8.81%. FY2024 = (22,2300,35,000) × 100 = 9.49%. The ratio increased despite advances growth, indicating asset quality deterioration.
Q.219Medium
Under Basel III norms (as amended by RBI in 2024), what is the minimum Common Equity Tier-1 (CET1) capital requirement for Systemically Important Banks (SIBs)?
Answer: C
Basel III requires CET1 minimum of 4.5% plus Capital Conservation Buffer of 2.5%. For SIBs, an additional 0.5% surcharge applies, totaling 6.50% minimum CET1 requirement.
Q.220Medium
The RBI announced a reduction in the Standing Deposit Facility (SDF) rate by 25 basis points to 6.50%. What is the immediate market implication?
Answer: B
SDF rate reduction makes RBI deposits less attractive, incentivizing banks to deploy liquidity in market lending rather than parking with RBI, potentially increasing money supply and lending.
