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8th Chapter

12th Principles of Banking Chapter 8 Test

Here you can prepare 12th Class Principles of Banking Chapter 8 Bank Funds and their use Test. Click the button for 100% free full practice test.

12th class Principle of Banking chapter 8 online mcq test with answers for ICom part 2 Principle of Banking Chapter 8 (Bank Funds and their use)

This online test contains MCQs about following topics:

. Sources of bank funds . Use of bank funds . Principles of advancing loans . Precaution of advancing loans . Securities and their characteristics . Kinds of securities . Terms used in bank loans

ICOM Part 2 Banking Ch 8 Test
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12th class Principle of Banking chapter 8 online mcq test with answers for ICom part 2 Principle of Banking Chapter 8 (Bank Funds and their use)

Sr. # Questions Answers Choice
1 Two transverse parallel lines on the face of cheque.
  • A. Crossingof cheque
  • B. Dishnoring of cheque
  • C. Endorsed of cheque
  • D. Retirementof cheque
2 Which of the following is a highly marketable security
  • A. Document of title to goods
  • B. Shares and debentures
  • C. Immovable property
  • D. All the above
3 Negotiable credit instruments does not includes.
  • A. Cheque
  • B. ATM card
  • C. Draft
  • D. Promissory
4 The main sources of bank's fund are
  • A. Own capital
  • B. Deposits
  • C. Loan from other banks
  • D. All the above
5 Parties involved in a cheque.
  • A. A/c holder
  • B. Bank
  • C. Payee
  • D. All of these
6 Which things can be accepted by bank as security at the time of granting loan
  • A. Gold and silver
  • B. Property
  • C. Shares and debentures of company
  • D. All the above
7 The loans obtained for meeting the administrative expenses and purchase of raw material are:
  • A. Short term loans
  • B. Medium Term lonas
  • C. Long Term lonas
  • D. All of the above
8 On which of the following amount of overcraft, bank receives interest:
  • A. Fix
  • B. Total
  • C. Used
  • D. All of the above
9 Negotiable credit instrument.
  • A. Control credit
  • B. Stop credit
  • C. Create credit
  • D. None of these
10 Why does a bank grant loans to businessmen
  • A. To purchase raw material
  • B. To pay wages
  • C. To pay development expenditures
  • D. All the above

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