As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank: 1. Banking functions 2. Advisory functions 3. Supervisory functions 4. Promotional functions Identify the correct combination:

How does shadow banking differ from commercial banking?
1. While commercial banks are tightly regulated, shadow banking is not well regulated.
2. Shadow banking cannot create money.
3. While liabilities of commercial banks are insured, shadow banking liabilities are not insured.
4. While commercial banks access to central bank liquidity in the times of distress, shadow banking does not have such resource.
Select the correct answer:

A

1 only

B

1 and 2 only

C

2, 3 and 4 only

D

1, 2, 3, and 4

What is true about the Basel Committee on Banking Supervision (BCBS)?
1. BCBS is an Indian National Committee of banking supervisory authority.
2. BCBS was established by a group of 19 nationalized commercial banks.
3. BCBS was established in 1996.
4. It provides a forum for regular cooperation on banking supervisory matters.

A

1 and 2 only

B

2 and 3 only

C

3 and 4 only

D

4 only

Defining green banking is relatively easy. It means promoting environment -friendly practices and reducing your carbon footprint from your banking activities. This comes in many forms : using online banking instead of branch banking; paying bills online, opening up CDs (certificates of deposit) and money market accounts at online banks instead of large multi-branch banks. A green bank takes the biggest steps to support local green initiatives. Any combination of the above personal banking practices can help the environment. In this respect, online banks and smaller community banks have better track records than larger banks .However, these larger banks may be induced to go green . According to the passage, larger, multi -branch banks .

A

can never become green banks .

B

can become green banks if they reduce the number of branches and eliminate the use of paper .

C

can become green banks if they can greatly reduce or eliminate carbon footprint form their banking activities.

D

can become green banks if they support local green initiatives

Which of the statement on Islamic banking is incorrect? (A) Islamic banking is only for Muslims.(B) Islamic banking activity do not allow paying and receiving of interest. (C) Islamic banking promotes the principle of profit sharing between banking institution and depositor.

A

Only A

B

Only B

C

Only C

D

Both B and C

Consider the following for the defmition of building worker under Building and other Construction Workers Act, 1996. Which of the following is incorrect?
1. A person who is employed in a supervisory capacity and draws wages exceeding one thousand six hundred rupees per mensem.
2. A person who is employed mainly in a managerial or administrative capacity.
3. A person who is employed to do any skilled, semi-skilledor unskilled, manual, supervisory, technical or clerical work.

A

Both 1 and 2

B

Only 2

C

Both 1 and 3

D

All of the above

In terms of Section 24 of the RBI Act, 1934, RBI may issue bank notes for the maximum denomination of:

A

Rs. 500

B

Rs. 5000

C

Rs. 10000

D

Rs. 1000

Which of the following is correct in context of Minimum Wages Act, 1948?
1. The minimum rate of wages will be fixed or revised by the appropriate government in respect of scheduled employment sunder Section 3.
2. Cost of living allowance includes basic wages.
3. The government has the power to appoint an advisory board for the matter of fixing and revising minimum rates of wages.
4. One-third members of the Central Advisory Board will be independent.

A

1, 2 and 3

B

Both 2 and 3

C

Both 1 and 3

D

All of the above

Which of the following statements are true/false?
1. The Minimum Wages Act, 1948 came into force on 15^th March, 1948.
2. The State-Central Government has the power to appoint a central advisory board for the purpose of advising the Central and State Governments in the matters of the fixation and revision of minimum rates of wages.
3. The minimum rate of wages includes only cost of living allowance.
4. The minimum rates of wages may be fixed by the hour, day, month.

A

1, 4 are true and 2, 3 are false

B

1, 3 are true and 2, 4 are false

C

2, 4 are true and 1, 3 are false

D

3, 4 are true and 2, 1 are false

Which of the following statements are true?
1. RBI follows Minimum Reserve System for issuing paper currency note.
2. Under Section 22 of the RBI Act, the RBI issues notes.
3. The bill which does not require any acceptance is called Promissory Note.
4. Bank deposit is a non-marketable security.

A

1, 2 and 4

B

2, 3 and 4

C

1, 3 and 4

D

1, 2, 3 and 4

Consider the following statements.
Assertion (A): RBI is entrusted with the management of the public debt and issue of new loans and treasury bills on behalf of the central and state Governments.
Reasoning (R): The Governor and the Deputy Governors of RBI are appointed by the Central Government solely for the purpose in assertion.

A

(A) is correct but (R) is not correct

B

(A) and (R) both are correct but (R) is not the right explanation of (A)

C

(A) and (R) both are correct and (R) is the right explanation of (A)

D

(A) and (R) both are not correct