5th Chapter

12th Economics Chapter 5 Test

Here you can prepare 12th Economics English Medium Chapter 5 Banks Test. Click the button for 100% free full practice test.

2nd Year Economics Chapter 5 Online MCQ Test for 12th Class Economics Chapter 5 (Banks)

This online test contains MCQs about following topics:

. Kinds of banks, Commercial banks and their functions credit creation, Definition of interest, Interest free banking in Pakistan, Case study of Malaysia and Saudi Arabia, Importance of banks.

ICS Part 2 Economics Ch. 5 Test
ic

2nd Year Economics Chapter 5 Online MCQ Test for 12th Class Economics Chapter 5 (Banks)

Sr. # Questions Answers Choice
1 Balance sheet of a bank has two parts
  • A. Supply and demand for deposits
  • B. Supply and demand of Advances
  • C. Assests and liablilities
  • D. Cash Reserves and loans
2 The following is not a bank liability.
  • A. Demand deposit
  • B. Time deposit
  • C. Loan
  • D. Saving Deposit
3 Which type of cheque is least safe for transfer of money
  • A. Bearer cheque
  • B. Traveller cheque
  • C. Order cheque
  • D. Cross cheque
4 Every country establishes centralbank to
  • A. Issue notes
  • B. Supervise commerical bank
  • C. Giveloans to businessmen
  • D. a and b of above
5 If you borrow from a bak the amount which the bank charges is called.
  • A. Interest rate
  • B. tax rate
  • C. discount rate
  • D. Market rate
6 It is NOT an instrument of moneatry policy
  • A. Discount Rate
  • B. Open market operation
  • C. Change in reserve ratio
  • D. Issue notes
7 Monetary pollicy has the objective
  • A. Decrease unemployment rate
  • B. Decrease tax rate
  • C. Decreases inflation rate
  • D. a and c of the above
8 Every country establishes central bank to
  • A. Issue currency
  • B. To establish commercial bank
  • C. Toprepare governemnt budget
  • D. All of the of above
9 Which is a monetary measure to increase employment.
  • A. Increase in govt expenditure
  • B. Reduce govt expenditure
  • C. Increase in interest rate
  • D. Reducing intrest rate
10 State bank of Pakistan is run by
  • A. Board of directors
  • B. Board of managers
  • C. Board of govenors
  • D. Board of bankers

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