Banking Awareness Quiz – Set 63

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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. Which of the following Act provides provisions for regulation of credit information companies?
   A. Companies Act, 1956
   B. Credit Information (Companies Regulation Act, 2005)
   C. Information Technology Act, 2000
   D. Banking Regulation Act, 1949
   
   Answer & Explanation

   B. Credit Information (Companies Regulation Act, 2005)
   Explanation:
   Credit Information (Companies Regulation Act, 2005) provides for regulation of credit information companies and to facilitate efficient distribution of credit and for matters connected therewith or incidental thereto.
   
   
2. Which of the following Act refers to the acquisition and transfer of the undertakings of certain banking companies?
   A. Companies Act, 1956
   B. Credit Information (Companies Regulation Act, 2005)
   C. Bankings Companies (acquisition and transfer of undertakings)
   D. Banking Regulation Act, 1949
   
   Answer & Explanation

   C. Bankings Companies (acquisition and transfer of undertakings)
   Explanation:
   Bankings Companies (acquisition and transfer of undertakings) provide provisions for the acquisition and transfer of the undertakings of certain banking companies having regard to their size, resources, coverage and organization in order to control the heights of the economy and to meet progressively.
   
   
3. Which act provide legal recognition for transactions carried out by means of electronic communication, commonly referred to as e-commerce?
   A. Companies Act, 1956
   B. Credit Information (Companies Regulation Act, 2005)
   C. Information Technology Act, 2000
   D. Banking Regulation Act, 1949
   
   Answer & Explanation

   C. Information Technology Act, 2000
   Explanation:
   Information Technology Act, 2000 provide legal recognition for transactions carried out by means of electronic communication, commonly referred to as e-commerce which involve the use of alternative to paper based methods of communication.
   
   
4. As per the provisions of ________ act all financial institutions have to maintain a record for all form of transactions?
   A. Companies Act, 1956
   B. Credit Information (Companies Regulation Act, 2005)
   C. Information Technology Act, 2000
   D. PMLA Act, 2002
   
   Answer & Explanation

   D. PMLA Act, 2002
   Explanation:
   As per the provisions of Prevention of Money laundering Act(PMLA Act, 2002) all financial institutions (Ex:- NBFC, Co-operative Bank etc.,) and intermediary which includes a stock broker, sub broker etc., have to maintain a record for all form of transactions.
   
   
5. The income of a Bank is chargeable to income tax under ________ of Income Tax Act, 1961
   A. Section 28
   B. Section 29
   C. Section 31
   D. Section 32
   
   Answer & Explanation

   A. Section 28
   Explanation:
   The income of a Bank is chargeable to income tax under section 28[Profits and Gains of Business Profession]of Income Tax Act, 1961.
   
   
6. According to ___________ of the Negotiable Instruments Act 1881, a negotiable instrument means a promissory note, bill of exchange or cheque payable either to order or to bearer.
   A. Section 20
   B. Section 19
   C. Section 11
   D. Section 13
   
   Answer & Explanation

   D. Section 13
   Explanation:
   According to Section 13 of the Negotiable Instruments Act 1881, a negotiable instrument means a promissory note, bill of exchange or cheque payable either to order or to bearer.
   
   
7. Export–Import Bank of India(EXIM Bank) established in _______ under the Export-Import Bank of India Act 1981.
   A. 1983
   B. 1982
   C. 1984
   D. 1985
   
   Answer & Explanation

   B. 1982
   Explanation:
   Export-Import Bank of India for
   providing financial assistance to exporters and importers, and for functioning as the
   principal financial institution for co-ordinating the working of institutions engaged in
   financing export and import of goods and services was established in 1982 under the Export-Import Bank of India Act 1981.
   
   
8. Small Industries Development Bank of India (SIDBI), set up under which Act?
   A. SIDBI Act–1989
   B. SIDBI Act–1987
   C. SIDBI Act–1986
   D. SIDBI Act–1985
   
   Answer & Explanation

   A. SIDBI Act–1989
   Explanation:
   Small Industries Development Bank of India (SIDBI), set up on April 2, 1990 under SIDBI Act–1989, is the Principal Financial Institution for the Promotion, Financing and Development of the Micro, Small and Medium Enterprise (MSME) sector.
   
   
9. National Bank for Agriculture and Rural Development (NABARD) is an apex development bank in India, having headquarters in ______
   A. Mumbai
   B. New Delhi
   C. Bengaluru
   D. Hyderabad
   
   Answer & Explanation

   A. Mumbai
   Explanation:
   National Bank for Agriculture and Rural Development (NABARD) is an apex development bank in India, having headquarters in Mumbai.It was established on 12 July 1982 by NABARD Act 1981.
   
   
10. The Committee to review arrangements for Institutional Credit for Agriculture and Rural Development (CRAFICARD), set up by the RBI under the chairmanship of _________
    A. Shri B. Sivaraman
    B. Shri D. Raman
    C. Shri A. Ram Kumar
    D. Shri Ajay Shankar
    
    Answer & Explanation

    A. Shri B. Sivaraman
    Explanation:
    The Committee to review arrangements for Institutional Credit for Agriculture and Rural Development (CRAFICARD), set up by the RBI under the chairmanship of B. Sivaraman. As per the recommendations of the committee NABARD was established.