KARPAGAM ACADEMY OF HIGHER EDUCATION
DEPARTMENT OF COMMERCE CA
CORPORATE ACCOUNTING UNIT - V MCQ
S. No. Questions Answer
1 . ……..is called a factory of credit. Bank
2 Banking companies are governed in India by ………. Banking Regulation Act
3 CRR stands for ………… Cash Reserve Ratio
4 SLR stands for …………… Statutory Liquidity Ratio
5 The method of rapidly posting entries in the books of ban Slip System
ks is called as ……….
6 The P&L A/c of Banking Companies are prepared as per Form B of Schedule III
………….of Banking Regulation Act
7 …….of profit is transferred to statutory reserves. 25%
8 Banks show the provision for income tax under the head Other liabilities and prov
………. isions
9 Rebate on bills discounted is ……….. Income received in adva
nce
10 NPA stands for…………. Non‐ Performing Assets
11 Schedule 1 is concerned with …………. Capital
12 ………… is shown under Schedule 15. Interest Expended
13 Acceptance, endorsements and other obligations come un Contingent liabilities
der the head…
14 Assets are NPAs for a period not exceeding 12 months ar Substandard Assets
e called ………….
15 Assets are NPAs for a period exceeding 12 months are Doubtful Assets
cal led ………….
16 ………is a form of agreement between two parties in whi Insurance
ch one party agrees to make good for loss of another.
17 In which year, MICR system for cheque was 1987
implemented in India?
18 Which is the first bank to introduce Credit card in India? Central Bank of India
19 ----------- was not nationalized in 1969 Oriental Bank of
Commerce
20 Electronic payment system is an ? Application
21 Which is the first bank to launch Debit card in India? Citi Bank
22 Which was the first Joint Stock Bank established by an Bank of Hindustan
Indian establishment?
23 Which is the first change in banking sector of India after Social control on Banks
independence?
24 When were the banks nationalized in our country? On 19th July 1969 and
15th April 1980
25 What are the major change in banking sector of India Expansion of bank
after nationalization of Banks? branches
26 The following one is absolutely essential for a special Name of a banker
crossing
27 The reasonable period allowed in India for the 3 months
presentation of a cheque is
28 If cheque is crossed an account payee, this is direction of, Drawer, collecting bank
to
29 Which of the following is not the form of E-banking? Direct Deposit in Bank
30 -------is the most favoured technology for secure Internet Public Key
banking service Infrastructure
31 The electronic funds transfer using a two-way Wire transfer
communications system is referred to as a
32 Interest payable on savings bank accounts is? De-regulated by RBI
33 The usual deposit accounts of banks are Current accounts,
savings bank accounts
and term deposit
34 Fixed deposits and recurring deposits are? Repayable after an
agreed period
35 Accounts are allowed to be operated by cheques in Both Savings bank
respect of? accounts and current
accounts
36 Which of the following is correct statement? No interest is paid on
current deposit accounts
37 When a bank returns a cheque unpaid, it is called? Dishonour of the cheque
38 Largest shareholder (in percentage shareholding) of a Government of India
Nationalized bank is ?
39 An institution whose principle business is accepting Bank
deposits and forwarding loans is called
40 Which of the following term do not represent any part of ITC
Banking technology?
41 The chief activities of bank do not include Selling real estate
properties
42 Every Banking Company is required to close its accounts 31st March
on _________________
43 The Percentage of profit to be trasferred to statements 25%
reserve by the banking company is ___________
44 An Asset which does not generate income to the banker Non‐ Performing Assets
is termed as ____________
45 A Non - banking Asset is ____________ Any asset acquired from
the debtors in
satisfaction of claim
46 Provision for income tax is shown in the Bank Accounts Other Liabilities
under the head ___________
47 The heading other assets does not include ________ Gold
48 Demand Drafts and Telegraphic transfers are shown in Bills Payable
the Bank Accounds under the head _____________
49 Letter of Credit and Endorsement are shown in the Bank Contingent liabilities
accouns under the head _____________
50 Building acquired in satisfaction of a claim and interest Other Assets
accrues but not due on investments are shown in the
Banks Balance Sheet under the head ____________
51 Banking Companies are governed by the Banking Regulations
_______________ Act, 1949
52 Banks in India are under the general supervision of RBI
______________
53 The bases for recording bank transactions are the Slips
_____________ prepared by customers and sometimes
by bank staff
54 All appropriation of the Profit are shown in Ivth part of P & L A/c
_____________
55 Lockers rent is shown in the P&L A/c of Bank under the Schedule 14
head _______________
56 At present, the SLR for a banking company in India, as 25%
per the regulations of the Rbi is ____________
57 According to present Regulation of the RBI, a banking 5%
company is to maintain a minimum of ___________
Percent as Cash Reserve over its time and demand
58 Schedule 13 relates to __________ Interest Earned
59 Schedule 15 relates to _______ Interested Expended
60 Provisions for doubtful debts is shown under 'Provisions P & L A/c
for Contingencies' in the ____________ of banking
company
