Question # 1

State Bank policy of regulating intrst rate is called.

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Monetary policy

Commerical policy

Banking policy

Fiscal policy

Which is considered liablility by a bank

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Loans

Bank building and equipment

Time deposit

Securities

Whis is the most widely used tool of monetary policy

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Open market operation

Clearing house

Discount rate

Issuing of the note

Every country establishes centralbank to

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Issue notes

Supervise commerical bank

Giveloans to businessmen

a and b of above

Demand deposit are

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Money

Bank note

Legal Money

Considered to near money

State bank of Pakistan is run by

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Board of directors

Board of managers

Board of govenors

Board of bankers

Whcih organisation controls the banking system to most countries.

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Central Bank

Commercial bank

Investment bankWorld bank

A bank has Rs. 5 million in cash The minimum reserve ratio is 20% What is maximum potential increase in total deposite.

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25 m

10 m

5 m

0 m

If you borrow from a bak the amount which the bank charges is called.

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Interest rate

tax rate

discount rate

Market rate

The following is not a bank liability.

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Demand deposit

Time deposit

Loan

Saving Deposit

Demand depostis are.

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Money

Banks notes

Legal money

Considerd and near money

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Icom Part 2 Principles of Economics Chapter 5 English Medium Online Test MCQs With Answers

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