Basics of Banking Quiz

What is the primary function of a bank?

• Accepting deposits and lending loans

• Providing investment advice

• Selling insurance

• None of the above

Who is the regulatory authority of banks in India?

• SEBI

• RBI

• NABARD

• IRDA

What type of account is primarily used for day-to-day transactions?

• Savings Account

• Fixed Deposit Account

• Recurring Deposit Account

• Current Account

What does CRR stand for in banking?

• Cash Reserve Ratio

• Credit Risk Ratio

• Current Reserve Ratio

• Capital Reserve Ratio

Expand NEFT.

• National Electronic Funds Transfer

• National Emergency Funds Transfer

• New Electronic Funds Transfer

• None of the above

Banks mobilize savings and channel them into __________.

Which of the following is not a role of banks in economic development?

• Providing loans

• Controlling inflation directly

• Encouraging savings

• Facilitating investments

Banks contribute to financial inclusion by:

• Extending banking services to unbanked areas

• Offering high-interest rates

• Limiting services to urban areas

• None of the above

Priority Sector Lending by banks is aimed at:

• Wealthy individuals

• Vulnerable and weaker sections of society

• Corporate sectors

• None of the above

Name two sectors supported by banks for economic development.

• Agriculture

• Small-scale industries