Treasury Management M2-LongQuiz

Which among the statements is not a money transfer mechanism?

• Cheques and drafts

• Bills and negotiable instruments

• Gold bar deposits

• Electronic funds transfer

Which among the statements is Step 12 of foreign currency payment?

• Paying bank sends cover payment instruction to Correspondent Bank

• Beneficiary bank debits correspondent Nostro account, credits customer account

• Seller reconciles Accounts Receivables

• Correspondent bank debits paying bank Vostro, credit Nostro account with the central bank

Which among the statements is Step 11 of a simple funds transfer using SWIFT?

• Paying bank sends cover payment instruction to Correspondent Bank

• Paying bank sends direct payment instruction to Beneficiary Bank

• Correspondent sends paying instruction to Beneficiary bank

• Correspondent bank debits clearing Nostro account, credit bene bank vostro account

Which among the statements is Step 6 of a ordinary value payments?

• Paying bank batches all transactions into a single file and sends to the clearing system

• Clearing system credits bene bank Vostro account, sends a file of all payment instructions to Beneficiary Bank

• Bank debits clearing Nostro account credits customer account

• Paying Bank Debits customer for total amount, credits clearing Nostro account

Which among the statements is Step 4 of a real-time gross settlement (RTGS) operation?

• Seller sends invoice

• Paying bank sends payment instructions to clearing

• Clearing system credits bene bank vostro account and sends payment instruction to Beneficiary Bank

• Clearing system debits paying bank vostro

Which among the statements is Step 2 of a card settlement process?

• Confirmation of validation

• Card swipe, basic verification, and request for verification on acquiring the bank's network

• Data request sent for validation

• Purchase and presentation of card

Which among the statements is Step 10 of a clearing process of cheques?

• Confirmation of funds available & return of bounced cheques

• Cheques presented to the clearing

• Debit to payer's account

• Cheque deposit

Which among the statements is not a consideration of non-residents accounts?

• Status with domestic tax authorities

• Location of incorporation

• Registration with local industry bodies

• Netting capability and regulations

Which among the statements is a consideration of non-residents accounts?

• Resident status

• Joint ownership

• Centralized ownership

• Duration of presence in that country

Which among the statements is not a statement consideration for multiple currency accounts?

• Segregation of customer's funds

• Method of foreign currency payments

• Possibility of creating intercompany loans

• Timing of products and supplies payments