Banking Awareness Quiz – Set 124

Hello Aspirants,
Welcome to Banking Awareness Quiz in AffairsCloud.com. Here we are creating quiz covering important questions which are common for all the bank exams and other competitive exams.

1. In National Pension System(NPS), PRA Stands for?
   A. Pension Retirement Account
   B. Personal Recurring Account
   C. Provident Retirement Account
   D. Pension Recurring Account
   E. Personal Retirement Account
   
   Answer & Explanation

   E. Personal Retirement Account
   Explanation:
   National Pension System(NPS) is based on Personal retirement accounts (PRAs) created for individual members.
   
   
2. National Pension System (NPS) is a voluntary defined contribution pension system administered and regulated by?
   A. SEBI
   B. EXIM Bank
   C. GOI
   D. RBI
   E. PFRDA
   
   Answer & Explanation

   E. PFRDA
   Explanation:
   National Pension System (NPS) is a voluntary defined contribution pension system administered and regulated by PFRDA
   
   
3. What is the full form of POPs?
   A. Presence of Point
   B. Points of Private
   C. Presence of Public
   D. Points of Presence
   E. Points of Public
   
   Answer & Explanation

   D. Points of Presence
   Explanation:
   Renowned Financial Institutions such as Public/Private Sector Banks, NBFC, etc., are acting as Points of Presence(POPs) and Aggregators.
   
   
4. Which of the following is important part of National Pension System(NPS)?
   A. Asset Allocation
   B. Tax Collection
   C. Fund Management
   D. Both (A) and (C)
   E. Both (B) and (C)
   
   Answer & Explanation

   D. Both (A) and (C)
   Explanation:
   Fund management and asset allocation are important parts of National Pension System(NPS).
   
   
5. Which of the following bank has been appointed by PFRDA as the Trustee Bank for National Pension System (NPS)?
   A. Axis Bank
   B. HDFC
   C. ICICI
   D. SBI
   E. Yes Bank
   
   Answer & Explanation

   A. Axis Bank
   Explanation:
   Axis Bank has been appointed by PFRDA as the Trustee Bank for National Pension System (NPS) w.e.f 1st July 2013.
   
   
6. POPs shall provide the services under NPS through their network of branches called?
   A. POP – VP
   B. POP – AP
   C. POP – SP
   D. POP – TP
   E. None of these
   
   Answer & Explanation

   C. POP – SP
   Explanation:
   POPs shall provide the services under NPS through their network of branches called POP Service Providers (POP-SP).
   
   
7. In National Pension System(NPS) how much % of the corpus is taxable?
   A. 60%
   B. 50%
   C. 25%
   D. 45%
   E. None of these
   
   Answer & Explanation

   A. 60%
   Explanation:
   National Pension System is a quasi EET instrument where 60% of the corpus is taxable while 40% escapes tax.
   
   
8. Which is an online platform provided by NPS Trust for enabling individuals to open his/her Individual Pension Account?
   A. Online NPS
   B. Internet NPS
   C. e-NPS
   D. e-Account
   E. PRAs
   
   Answer & Explanation

   C. e-NPS
   Explanation:
   e- NPS is an online platform provided by NPS Trust for enabling individuals to open his/her Individual Pension Account
   
   
9. Which of the following has been appointed as a Custodian for providing custodial services to the NPS?
   A. RBI
   B. SHCIL
   C. ARCIL
   D. NSDL
   E. FICCI
   
   Answer & Explanation

   B. SHCIL
   Explanation:
   Stock Holding Corporation of India Limited has been appointed as a Custodian for providing custodial services to the NPS.
   
   
10. Which of the following is Annuity Service Provider?
    A. Life Insurance Companies
    B. Public Sector Banks
    C. Private Sector Banks
    D. NBFCs
    E. None of these
    
    Answer & Explanation

    A. Life Insurance Companies
    Explanation:
    Annuity Service Providers are life insurance companies regulated by IRDA and empanelled with PFRDA.