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This set of Modern Banking Multiple Choice Questions & Answers (MCQs) focuses on Modern Banking Set 3

Q1 | MICR is a ________ digit code.
  • 9
  • 11
  • 7
  • 13
Q2 | CTS was introduced RBI in _________
  • february 1995
  • january 2006
  • july 2004
  • february 2008
Q3 | ________ conversion of physical cheque into electronic form for transmission to the payingbank.
  • cts
  • ecs
  • rtgs
  • none of the above
Q4 | CORE stands for ________
  • central operations of exchange
  • centralized online real time exchange
  • challenge of real time exchange
  • centralized online real time efficiency
Q5 | Banking services that increasingly rest on technology and communication systems is popularlyknown as ___________
  • hi-tech banking
  • internet banking
  • mobile banking
  • all the above
Q6 | _________ is also called virtual banking or anywhere banking.
  • hi-tech banking
  • off shore banking
  • internet banking
  • none of the above
Q7 | _________ banking implies co-operation among group of banks for various large scale bankingoperations and to enjoy the economics of scale.
  • multiple banking
  • consortium banking
  • mixed banking
  • social banking
Q8 | In _______ banking, different banks provide different banking services to a single borrowerwithout having a common arrangement or understanding between the lenders.
  • mixed banking
  • group banking
  • multiple banking
  • off-shore banking
Q9 | _______ banking refers to the establishment of banking unite which deal only with foreigncurrency denominated assets & liabilities.
  • unit banking
  • off-shore banking
  • foreign bank
  • internet banking
Q10 | Indian banks were nationalised in the year
  • 1949
  • 1969
  • 1959
  • 1979
Q11 | Bankers are not only purveyors of money but also an important sense they are
  • Consumers
  • Manufacturers
  • Lenders
  • Borrowers
Q12 | Primary functions of a commercial banks are ........... and lending
  • Honouring cheques
  • Accepting deposits
  • Issuing cheques
  • Issuing DD
Q13 | The total number of public sector banks in India is
  • 14
  • 12
  • 28
  • 22
Q14 | Indian Institute of Bankers is registered as.............
  • Trustee
  • Association
  • Joint Stock Company
  • Co-op society
Q15 | The head quarters of National Housing Bank is
  • New Delhi
  • Mumbai
  • Agra
  • Hyderaba
Q16 | The Head quarters of Allahabad Bank is
  • Allahabad
  • Mumbai
  • Calcutta
  • Delhi
Q17 | The ‘Teller System’ has been introduced by banks to.........
  • Canvas more customers
  • Make quick payment of cheque
  • Clarify enquiries
  • Advice customers
Q18 | Money at call and short notice of a bank is ............
  • Secured advance
  • Bankers second line of advance
  • Widely distributed loans
  • All the above
Q19 | The terms drawer, drawee and payee are associated with;
  • Cheques
  • Promissory notes
  • Delivery order
  • Hundies
Q20 | Where the RBI has no branch the bank which can act as its agent is;
  • Any commercial bank
  • Any nationalised bank
  • SBI
  • Indian bank
Q21 | Unless otherwise specified DD or cheques is valid for a period of;
  • 6 months
  • 1 year
  • 3 months
  • One month
Q22 | RBI was nationalised in the year
  • 1941
  • 1949
  • 1943
  • 1935
Q23 | The drawee of a cheque is always..........
  • Customer
  • Minor
  • Company
  • Bank
Q24 | Commercial banks in India was organised as.......
  • Sole proprietorship
  • Joint stock company
  • Partnership
  • Joint sector
Q25 | In India ............. banks are nationalised in the year 1969
  • 16
  • 19
  • 14
  • 22