Banking Awareness Quiz With Explanation: Part 8

(1). CTS-2010 (often seen in news) is related to which of the following banking instrument?
(a) ATMs
(b) Credit Cards
(c) Cheques
(d) Drafts

(2). If any cheque issue by a holder to the payee for the upcoming withdrawn date, then that type of cheques are called
(a) Post Dated Cheques
(b) Anti Dated Cheques
(c) Stale Cheque
(d) Order Cheque 

(3). What percentage of FDI is allowed in Insurance Sector in India?
(a) 26%
(b) 94%
(c) 51%
(d) 49% 

(4). What is 'first I' stand for in the FII often seen in news?
(a) Index
(b) Institutional
(c) Investors
(d) Indirect 

(5). How many member nations are there in the Bank for International Settlements (BIS)?
(a) 60
(b) 80
(c) 100
(d) All the members of World Bank 

(6). When was the first Basel norm introduced Basel Committee on Banking Supervision (BCBS)?
(a) 1988
(b) 1991
(c) 2000
(d) 2005 

(7). Which of the following is the oldest stock exchange of Asia?
(a) NSE
(b) Hang Seng Index
(c) Nikkei 225
(d) BSE 

(8). What is 'B' stand for in the FIPB which is a term related to FDI (often seen in news)?
(a) Bank
(b) Bureau
(c) Board
(d) Base 

(9). What is the ceiling limit of FII of paid-up capital of an Indian company(excluding PSU Banks)?
(a) 24%
(b) 20%
(c) 49%
(d) 30% 

(10). Nikkei 225 is a famous stock exchange of which of the following country?
(a) South Korea
(b) Japan
(c) Hong Kong
(d) China 


(1). Answer Key: (c)
CTS-2010 is a standard benchmark recommended by RBI for the standardisation of:

  • cheque forms (leaves) in terms of size,
  • MICR band,
  • quality of paper, having protection against alteration, should be sensitive to acid/alkali/bleach etc. and should not glow under UV light – CTS -2010 paper is UV- dull!
  • watermark, all cheques to carry a standardized watermark, ‘CTS INDIA’ – should be oval and 2.6 to 3 cms in diameter,
  • mandating colour schemes in pastels to ensure clarity of image etc.

(2). Answer Key: (a)
In banking, post-dated cheque is a cheque written by the drawer (payer) for a date in the future.

(3). Answer Key: (d)
Earlier, it was 26%.

(4). Answer Key: (b)
Foreign Institutional Investors (FIIs) are persons or companies incorporated outside India(companies can be Mutual funds, Pension funds, investment companies, foreign banks etc.), investing in shares of a company – where their investment is very less.

(5). Answer Key: (a)
The Bank for International Settlements (BIS) established on 17 May 1930, is the world's oldest international financial organization. There are two representative offices in the Hong Kong and in Mexico City. In total BIS has 60 member countries from all over the world and covers approx 95% of the world GDP.

(6). Answer Key: (a)
In 1988,The Basel Committee on Banking Supervision (BCBS) introduced capital measurement system called Basel capital accord, also called as Basel 1. . It focused almost entirely on credit risk, It defined capital and structure of risk weights for banks.

(7). Answer Key: (d)
BSE is India’s and Asia’s oldest stock exchange, established in 1878.

(8). Answer Key: (c)
The Foreign Investment Promotion Board (FIPB) is a national agency of Government of India, with the remit to consider and recommend foreign direct investment (FDI) which does not come under the automatic route.

(9). Answer Key: (a)
There is a ceiling limit of 24% FII of paid-up capital of an Indian company, and 20% in case of PSU banks.

(10). Answer Key: (b)
Nikkei 225 is from Japan.
Smart Prep Kit for Banking Exams by Ramandeep Singh - Download here

Join 40,000+ readers and get free notes in your email


Post a Comment

Thanks for commenting. It's very difficult to answer every query here, it's better to post your query on