4th Chapter

12th Principles of Banking Chapter 4 Test

Here you can prepare 12th Class Principles of Banking Chapter 4 Central Bank Test. Click the button for 100% free full practice test.

12th class Principle of Banking chapter 4 online mcq test with answers for ICom part 2 Principle of Banking Chapter 4 (Central Bank)

This online test contains MCQs about following topics:

. Introduction and growth of central bank . Definition of central bank and its principles . Functions of central bank . Clearing house and working of clearing house . Advantages of clearing house . Tools of monetary policy . Diffeculties in controlling credit . Differnece between central bank and commercial bank

ICOM Part 2 Banking Ch 4 Test
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12th class Principle of Banking chapter 4 online mcq test with answers for ICom part 2 Principle of Banking Chapter 4 (Central Bank)

Sr. # Questions Answers Choice
1 Which bank is called the mother or central banks
  • A. Reserve bank of India
  • B. Bank of England
  • C. State Bank of Pakistan
  • D. Bank of Venice
2 If credit money is controlled by the sale and purchase of government securities, it is called
  • A. Direct action
  • B. Moral persuation
  • C. Change in reserve ration
  • D. Open market operation
3 The transmission of following is stopped due to clearing house:
  • A. Credit money
  • B. Metallic money
  • C. Cash money
  • D. All of the above
4 Can open new branch without the consent of Centrla Branch.
  • A. Scheduled Bank
  • B. State Bank of Pakistan
  • C. Non -Scheduled Bank
  • D. Bank of England
5 When was the first central bank of sub-continent established:
  • A. 1635
  • B. 1732
  • C. 1835
  • D. 1935
6 Ribs Bank of Sweden became central bank in:
  • A. 1568
  • B. 1668
  • C. 1768
  • D. None of the above
7 It is necessary for scheduled bank to.
  • A. Obey SBP
  • B. Submit report to SBP
  • C. Get the Book checked
  • D. All the above
8 Central Bank provide the facility to Scheduled Banks.
  • A. Rediscounting Bills
  • B. Clearing House
  • C. Transfer of Money
  • D. All the above
9 What is meant by margin requirement
  • A. To advance loan less than the value of security
  • B. To give less amount as interest than the amount of loan
  • C. To advance more loan than the value of security
  • D. To advance loan equal to the value of security
10 Non- Scheduled banks are formed under co-opeative society Act.
  • A. 1932
  • B. 1925
  • C. 1984
  • D. 1911

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