money and banking class 12 mcq with answers

(a) Cash Reserve Ratio 1. (d) Only (a) and (b). (d) All the above, Answer: (c) Accept deposits from customers, Question 24. (a) 1978 Historically, the Indian rupee was a ____ coin: a) Copper. (a) Paper notes (b) Demand deposits (c) Silver coins (d) None of the above (c) Silver coins 21. Check the below NCERT MCQ Questions for Class 12 Business Studies Chapter 10 Financial Markets with Answers Pdf free download. (d) Narsimham Committee, Question 47. (c) Store of value ... CBSE Class 12/NTSE - Macroeconomics - Money and Banking - Inflation Related Terms (#cbseNotes) Inflation Related Terms. myCBSEguide has just released Chapter Wise Question Answers for class 12 Economics. at TopperLearning.. Money is the commonly accepted medium of exchange. (b) Improvement in Banking a) Banker to government b) Banks of issue c) Banker’s bank d) Supervision. Through which method we can withdraw money from the bank: (d) None of these, Question 21. (a) 3. a) Spread b) Margin c) Repo rate d) Bank rate. (b) Measure of Value View Answer / … 7. MCQ quiz on Money and Banking in India Class 12 multiple choice questions and answers on Money and Banking MCQ questions on Money and Banking in India Class 12 objectives questions with answer test pdf for interview preparations, freshers jobs and competitive exams. Here, we are sharing very important “ Banking Laws Solved MCQs”. 23. Which of the following is not a function of money ? What happens when central bank reduces repo rate? Money and Banking Class 12 MCQ with Answers (Multiple choice questions), 1. (b) Goiporia Committee (a) Commercial Banks “Money is a pivot around which the whole economy clusters.” Who said it ? (b) 1995 a) Goods b) Banks c) Money d) All of the above. a) Foreign exchange system b) Paper currency system c) Minimum reserve system d) None of the above. (d) None of the above, Question 15. a) Measure of value b) Medium of exchange c) Store of value d) None of the above. During the documentary credit, which of the following, banks is usually a foreign bank…? 6. (d) Industrial Bank, Question 37. What happens when central bank purchases securities in open market? Which function is highlighted here? Which function allows the payment to be delayed till future date? A bank whose name is included in 2 nd Schedule of Reserve Bank of India is called a scheduled bank.. Q. 75. 20. What happens when central bank increases SLR? (d) All the above, Question 38. (c) Verma Committee (d) All of these, Question 45. This document is highly rated by Commerce students and has been viewed 1303 times. a) Custodian of cash reserve b) Bank of issue c) Banker’s bank d) Controller of credit. (d) None of these, Question 22. Which one is true ? a) Bank of issue b) Custodian of cash reserve c) Controller of money supply d) Banker’s bank. (c) CRR Define banking. Which of the following is not a feature of money supply? (a) To maintain Price Stability (c) Coins What is Central Bank of India ? 73. 500 and LRR is 10%, what is money multiplier? The money that is legally accepted by everyone in the economy is called, a) Legal tender money b) Plastic money c) Commodity money d) Credit money. It is recommended for the students to practice the given Class 12 Economics chapter wise important questions with the answers. (c) Both (a) and (b) (b) Taxes (b) Central Bank The primary function of Commercial Bank is ? a) PNB b) SBI c) LIC d) None of the above. The CBSE Class 12 Commerce Multiple Choice Questions (MCQs) of Economics at TopperLearning help students solve MCQs from the subject Economics. (a) Raja Chelliah Committee The full form of ATM is: (b) Price stability Along with the Reserve Bank of India, Commercial banks are also authorized to issue currency. (a) January 22, 1993 Central bank controls credit through : (d) All the above, Question 10. (c) To oduction and Employment (b) March 15, 1995 (b) Loaning to other banks (c) Open market operations a) Representative money b) Credit money c) Full bodied money d) Legal tender money. Jan 12, 2021 - MCQs - Money Commerce Notes | EduRev is made by best teachers of Commerce. A T-shirt which originally costs Rs. (d) 2000, Question 44. The major objectives of monetary policy is/are : Business Studies MCQs for Class 12 Chapter Wise with Answers PDF Download was Prepared Based on Latest Exam Pattern. 10 is now available for Rs. (b) To stabilize Exchange Rate 65. a) It includes money held by public b) It includes money held by banks c) It is a stock concept d) All of the above. Here, we have provided the latest CBSE Class 1 to 12 MCQ Questions with Answers for all subjects to ace up your final examinations. Important Questions for Class 12 Economics are prepared by the subject matter experts from the latest edition of CBSE books. Studying these would definitely help the students to score good marks in their upcoming board examinations. Which function is highlighted here? (a) \(\frac{1}{\mathrm{CRR}}\) a) Narrow money supply b) Broad money supply c) Broken money supply d) None of the above, a) RBI b) Government c) Commercial banks d) Both (a) and (b). (b) Bank rate and interest rates are different The function of money is: Concise Mathematics Class 10 ICSE Solutions 2018, MCQ Questions for Class 12 Economics with Answers, MCQ Questions for Class 12 Political Science Chapter 5 Contemporary South Asia with Answers, Geography Class 12 Important Questions Chapter 2 Data Processing, MCQ Questions for Class 12 Political Science Chapter 4 Alternative Centres of Power with Answers, MCQ Questions for Class 12 Political Science Chapter 3 US Hegemony in World Politics with Answers, MCQ Questions for Class 12 Political Science Chapter 2 The End of Bipolarity with Answers, Political Science Class 12 Important Questions Chapter 2 The End of Bipolarity, MCQ Questions for Class 12 Political Science Chapter 1 The Cold War Era with Answers, MCQ Questions for Class 12 Geography Chapter 12 Geographical Perspective on Selected Issues and Problems with Answers, Geography Class 12 Important Questions Chapter 1 Data: Its Source and Compilation, MCQ Questions for Class 12 Geography Chapter 11 International Trade with Answers, Concise Mathematics Class 10 ICSE Solutions. Who is the custodian of Indian Banking system ? (c) Central Bank of India (c) Lack of General Acceptable Measure of Value Which one is included in the secondary function of money ? Which was included in the purview of Banking Ombudsman Scheme ? XYZ shopping centre has a half- price sale. (b) Store of value 33. Answers to Economics Objective Questions are available at the end of the last question. Time Value of Money 4. (a) Money deposited in bank Function of money is: 72. All rights reserved. CBSE class 12 Money and Banking class 12 Notes Economics in PDF are available for free download in myCBSEguide mobile app. (d) Chakrabarty Committee, Question 46. (b) Limited Exchange Area (d) LIC of India, Question 49. RBI has the sole authority to issue currency in India. Which of the following is a qualitative method of credit control ? 2. b) Gold. (c) Public Debt In an economy which consists of only one individual, there cannot be any exchange of commodities, and hence, there is no role for money. (d) Open market operations, Question 36. (b) State Bank of India Free PDF Download of CBSE Business Studies Multiple Choice Questions for Class 12 with Answers Chapter 10 Financial Market. 63. Download NCERT Book for Class 12 Macro Economics PDF as per the Latest Edition at Vedantu. (d) None of these, Question 25. (d) All the above, Question 27. (b) State Bank of India Question 1. These MCQs will also help students find topics that may have been missed while studying. (a) Medium of Exchange MCQ Questions for Class 12 Economics with Answers were prepared based on the latest exam pattern. Reserve Bank of India provides loan to public. Which is the major objective of credit control ? (a) Bank Rate We hope the given NCERT MCQ Questions for Class 12 Economics Chapter 9 Money and Banking with Answers Pdf free download will help you. What is meant by double coincidence of wants? (b) Narsimham Committee (c) Accept deposits from customers MCQs with answers on Banking in India - Part I 1. (b) Banker of the Government (c) Y.V. SSC MCQ Question Ans. Wishing to crack the MCQs sections in the board examinations, then you should practice & prepare all concepts thoroughly to attempt objective type … (c) Credit Money, Metal Money, Paper Money What are the advantages of Barter System ? (d) Keynes, Question 6. (c) Unit Trust of India (b) Moral Suasion 32. Narasimham Committee is related to what: a) Custodian of cash reserve b) Custodian of foreign exchange c) Clearing house function d) Bank of issue. a) Money supply increases b) Money supply decreases c) No effect on money supply d) None of the above. SSC Finance and Banking MCQ Question With Answer 2021: 1. (c) 1991 (c) Commerical Banks What happens when central bank sale securities in open market? 3. Higher Order Thinking Skills (HOTS) download and print. (c) Prof. Thomas Finance and Business Finance 2. Which is not a quantitative method of credit control ? Class 12 Economics Money and Banking Important Questions. When CRR decreases, credit creation……………….. 5. Question 57. Get chapterwise CBSE Class 12 Macro Economics NCERT Books PDF online. 59. a) RBI b) Government c) Commercial banks d) Ministry of Finance. What is the name of the success story that met the credit needs of the poor, at reasonable rates, in Bangladesh? 18. (c) Automated Teller Machine Money is needed for day-to-day transactions. Register for Online tuition on Vedantu.com to score more marks in CBSE board examination. (c) Private Bank a) 1913 b) 1917 c) 1894 d) 1881 View Answer / Hide Answer. Broad Money refers to _____: (a) M 1 (b) M 2 (c) M 3 (d) M 4. 39. a) Initial deposits = Total deposits Money multiplier b) Total deposits = Initial deposits Money multiplier c) Total deposits = Initial deposits Money multiplier d) Initial deposits = Total deposits LRR. 2. Why do banks only keep a fraction of deposits? (c) Bank rate is the discount rate of the Central Bank A. (a) Variation in cash reserve ratio of banks Which is the Agency Function of Commercial Banks ? (i) Current deposit. Every bank is required to maintain a fixed percentage of its assets in the form of cash is called : Which of the following is not a measure of money supply? a) All depositors do not withdraw at the same time b) There is constant flow of deposits in economy c) Both (a) and (b) d) None of the above, 40. 18, what is the total price of the bag and the pair of jeans after the discount? 36. (a) Cash Credit Which function removes the problem of double coincidence of wants? The best app for CBSE students now provides accounting for partnership firm’s fundamentals class 12 Notes latest chapter wise notes for quick preparation of CBSE board exams and school based annual examinations. Which of the following is not a bank? (d) 2001, Question 50. What are the necessary conditions of Barter System ? (a) Falls (d) All the above, Question 29. (d) All of these, Question 19. Q. The money in which commodity value = money value is called, a) Credit money b) Full bodied money c) Representative money d) All of the above. (d) Life Insurance Company of India. Edu. The static and dynamic function of money is divided by……………….. 1. (a) Issue currency notes (b) Goiporia Committee We have provided Money and Banking Class 12 Economics MCQs Questions with Answers to help students understand the concept very well. 8. (a) Value determination 9. Economics Objective Questions contains 10 questions. (d) None of the above, Question 34. (c) Commercial Bank QUESTIONS BASED ON HOTS WITH MODEL ANSWERS. (d) Which type of deposits gives highest rate of interest? 57. (d) All the above, Question 32. (b) 1991 The system in which trade can be done by exchange of goods and services is, a) Barter system b) Monetary system c) Goods system d) None of the above. a) State bank of India b) Punjab National Bank c) Union Bank d) Canara Bank. (a) Reserve Bank of India (b) Self Help Groups (c) The Central Government (d) The President of India. Money and Banking Class 12 MCQ with Answers, Unit Number 319, Vipul Trade Centre, Sohna Road, Gurgaon, Sector 49, Gurugram, Haryana 122018, India, Monday – Friday (9:00 a.m. – 6:00 p.m. PST) Saturday, Sunday (Closed). Which function is highlighted here? (a) Limited Needs (b) State Bank of India Which of the following issue paper currency in the country ? (a) Commercial Bank Students who are looking for Multiple Choice Type Questions (MCQs) for all subjects can download from here. (a) Bank rate What happens when central bank increases bank rate? (a) Currency (c) Deposits with post office savings bank Central bank maintains the reserve of foreign exchange so that when price rises, the central bank can give the reserve to public. a) Accepting deposits b) Advancing loans c) Both (a) and (b) d) None of the above. Which function is the Secondary Function of Commercial Banks ? Which function is being highlighted here? Which of the following is the most liquid form of money supply? Reserve Bank of India cannot become the owner of any real estate. What is the name of money which is usually made of paper? (b) Measure of value What are the advantages of Barter System ? What happens when central bank decreases bank rate? (c) Social Function What is the other name of money whose intrinsic value is much lower than its face value? 27. Who is the monetary authority in India? 69. What are the necessary conditions of Barter System ? (a) bank (b) group members (c) non-government organisation (d) government. (d) 1998, Question 43. MCQ Questions for Class 12 Economics with Answers were prepared based on the latest exam pattern. Medium of exchange is ……………….. function of money. Which is the correct order of money evolution ? Given that the original price of a bag is Rs. Which one is included in the primary function of money ? 7. (d) Improvement in Infrastructure. (a) M 1 … (d) All of these, Question 18. (a) Accepting Deposits These solutions refer to brief questions with short answers. (c) 1969 2 and more denominations currency notes and coins? MONEY AND BANKING. What are the total deposits if LRR is 25% and initial deposits are Rs. (a) Simple System (b) […] (c) April 1, 1999 Which of the following is the function of Central Bank ? (d) All of these, Question 13. Money and Banking Important Questions for class 12 economics Barter System and Money 1. The fraction to be kept legally from the deposits is called, a) CRR b) SLR c) LRR d) None of the above, a) Credit multiplier b) Deposit multiplier c) Both (a) and (b) d) None of the above. (c) Both (a) and (b) (a) Reserve Bank of India 38. Reserve Bank of India was established in : (c) Private Bank (a) Commodity Money, Paper Money, Metal Money 1 denominations currency notes and coins? These test papers with solution are prepared by our team of expert teachers who are teaching grade in CBSE … (c) Cash x CRR Get introduced to Money and Banking from the CBSE Class 12 Commerce Economics chapter Money and Banking by referring to the revision notes, sample papers, past years’ papers etc. Which one is the Bank of the Public ? (c) Store of Value Question 56. (a) Any Time Money (b) Central Bank Check the below NCERT MCQ Questions for Class 12 Economics Chapter 9 Money and Banking with Answers Pdf free download. (a) Commercial Bank Question 54. Money is matter which is: (a) 1949 2. (d) Locker Facility, Question 20. (d) Hawtrey, Question 9. (a) Year 1991 Ans. (c) Savings in the post office (a) Money deposits in the bank Q. What is the rate at which central bank gives loan to commercial bank without collateral? (b) Robertson (d) All of these, Question 8. SSC MCQ Question Ans. (a) Grameen Bank (b) Reserve Bank (c) Cooperative Bank (d) None of these. 67. Finance and Banking CQ Suggestion and Question Patterns of SSC Examination 2021. 13. RBI announced the guidelines to issue liceness to new banks of private sector on : c) Silver. a) They do not advance loans b) They do not accept deposits c) They neither accept deposits nor advance loans d) None of the above. (a) 1947 (d) All of these, Question 12. (c) Open Market Operations (b) Measure of Value (b) Statutory Liquidity Ratio 62. ANSWER: d) 1881 Oudh Commercial Bank, the first bank with limited liability managed by Indians, was founded in 1881. ... Chapter 3: Money and Banking. Being the apex bank, the central bank maintains the same relation with the commercial banks as the latter maintains with the public. Deposits accepted by the Commercial Banks: By supply of money we mean : 74. Which function leads to uniformity in note circulation? (d) Planning Comission, Question 41. (d) Keynes. Credit Multiplier is: “Money is what money does”. 29. Who issues Rs. (b) Harte The difference between two interest rates is called: a) Spread b) Margin c) Profit d) None of the above, 34. 6. (ii) Fixed deposit. Which of the following is not the primary function of commercial banks? (a) Advancing Loans “Money is what money does.” Who said it ? a) Medium of exchange b) Store of value c) Measure of vale d) All of the above. (c) Both (a) and (b) (a) Current Deposits Home » Economics MCQS » Money and Banking Class 12 MCQ with Answers. Money and Credit Answers for Multiple Choice Questions. MCQ Questions for Class 10 Social Science with Answers was Prepared Based on Latest Exam Pattern. (a) All Scheduled Banks (b) Overdraft (d) Infrastructure Reforms, Question 42. 60. Barter System: It is a system of exchange, where goods are exchange for goods, also known as c-c economy. Which one of the following authorises money as a medium of exchange? (b) Reserve Bank of India 5. (a) Keynes MCQ Questions for Class 12 Business Studies with Answers were prepared based on the latest exam pattern. (a) Verma Committee … (c) Provide loans to customers (b) General Utility Function (c) Agriculture Reforms SSC Finance and Banking MCQ Question With Answer 2021. 70. (d) Unit of account, Question 14. (b) Central Bank Check the below NCERT MCQ Questions for Class 12 Economics Chapter 9 Money and Banking with Answers Pdf free download. What happens when central bank increases margin? (b) 1955 What is the difference between amount of loan and market value of securities called? (b) Hawtrey (a) To make Deferred Payments (c) Loan and Advance Question 58. With which Narsimham Committee is related to ? (c) World Bank Ans. What happens when central bank increases reverse repo rate? Banking sector Reforms in India began in : Which of the following is an apex body in India? (c) 1997 68. Banking Ombudsman Scheme was announced in the year : (c) A.T.M. What is the amount which commercial banks are required to keep with themselves compulsorily? © 2020, Arinjay Academy. (a) Tax Reforms 30. Who issues Rs. (a) Govt, of India Which of the following is not a modern form of money? (b) Co-operative Banks (c) Economically Backward Society Students can solve NCERT Class 12 Business Studies Financial Market MCQs Pdf with Answers to know their preparation level. (d) 1945, Question 35. (a) 1990 (d) Only (b) and (c), Question 26. (b) Cash available with public (b) Advancing Loans What is the rate at which central bank gives loan to commercial bank with collateral? (b) Money available with the public a) Brings uniformity in note circulation b) Ensures public faith in currency system c) Stabilization in external and internal value of currency d) All of the above, a) Agent b) Banker c) Financial advisor d) All of the above, 53. (a) Reserve Bank of India (c) 2. (b) Commodity Money, Metal Money, Paper Money, Credit Money 31. (b) Restriction on consumer credit (d) Both (a) and (b), Question 23. (c) Thomas (d) None of these. Do tests many times and check your score and download certificate.Doing mock online tests will help you to check your understanding and identify areas of improvement. What is the amount which commercial banks are required to keep with central bank compulsorily? (a) Pulie Expenditure 37. Which of the following is not a part of legal tender money? What happens when central bank decreases CRR? (a) Limited Needs (b) Limited Exchange Area (c) Economically Backward Society (d) All the above Answer Answer: (d) All the above Question 2. Ans: The main function of money in an economic system is to facilitate the exchange of goods and services. (c) Unit Trust of India India follows which system for issuing currency? (b) Cheque 45. (c) No Economic Disparities The main function of commercial bank is : For revival and restructure of weak banks of public sector, which committee was constituted ? 4. Money and Banking Class 12 MCQ with Answers (Multiple choice questions). 50. 24, and that of a pair of jeans is Rs. Credit money is increased when CRR: 66. (d) All of the above. (d) Change in CRR, Question 33. (a) Drawing letter 100000? Banking Knowledge Basic MCQ Question Answer Objective Model Paper Practice Set . The functions of money includes: (d) All of the above. What happens when central bank increases repo rate? 44. (d) All the above, Question 2. What is a scheduled bank? 26. (a) Credit control (d) All of these, Question 30. (a) Bank rate is an rate at which Central Bank is ready to give credit to commercial banks (b) Central Bank Which of the following equation is true? MCQ model questions answers of Basic Banking Knowledge for various competitive questions. a) Money b) Goods c) Services d) None of the above, a) Coins b) Currency notes c) Cheques d) All of the above, a) Stock b) Flow c) Monetary d) None of the above. 3. Which of the following is the least liquid form of money supply? (d) None of the above, Answer: (b) Commodity Money, Metal Money, Paper Money, Credit Money, Question 5. (adsbygoogle = window.adsbygoogle || []).push({}); 4. RD Sharma Solutions , RS Aggarwal Solutions and NCERT Solutions. (a) Hartley Withers 51. Central Bank of India is : (a) Commercial Bank (c) Act as Trustee (d) All of the above. (a) Hartley Withers Which of the following is not a commercial bank? 42. Advising bank B. 12. (c) Regulates the entire banking system in the country 1. (c) Time Deposits (a) Increase in output and employment 49. economics chapter 1 class 9 mcq with answers Home; Events; Register Now; About (a) 1969 Reddy Committee UNIT – VIII. (a) Agency Function 2. 3. What is the Central Bank of India: Q.1 What is the main function of money in an economy? (a) Apex Bank of the Country (b) More Mutual Co-operation We have provided Financial Markets Class 12 Business Studies MCQs Questions with Answers to help students understand the concept very well. (d) All of these, Question 17. a) Medium of exchange b) Measure of value c) Store of value d) Standard for deferred payments. (a) Reserve Bank of India Meaning of money supply is: (b) Store of Value Which of the following measures of money supply is considered narrow concept of money supply? By carrying out all the banking activities , central bank acts as, a) Banker b) Agent c) Financial advisor d) None of the above, 54. Money and Banking Class 12 MCQs Questions with Answers Question 1. What is true for the Central Bank ? (c) Credit Creation (b) All Time Money CBSE Class 12 Economics HOTs Money and Banking. Which was the second bank in India with limited liability? Which of the following is not a function of central bank? Banking Laws Solved MCQs. (b) accepted as a means of exchange (c) Improvement in Agriculture d) Bronze. (a) Improvement in Taxation (b) Open market (b) Banking Reforms Sources of Finance 3. 64. Which function is highlighted here? By managing the responsibility of public debt, central bank acts as, 55. Which one is the difficulty of Barter System ? 71. 41. The precautionary demand for money increases with the proportionate increase in income. (d) All of these, Question 16. Commercial banks work for the purpose of, a) Welfare b) Earning profit c) Both (a) and (b) d) None of the above. If you have any queries regarding CBSE Class 12 Economics Money and Banking MCQs Multiple Choice Questions with Answers, drop a comment below and we will get back to you soon. SSC MCQ Question Ans. 500 crores lead to the establishment of total deposits of ₹. 10. (c) Custodian of Foreign Exchange Reserves (b) Accepting Deposits (d) Variation in bank rate, Answer: (b) Restriction on consumer credit, Question 39. (b) Stability in foreign exchange rate (d) Bank of India, Question 28. (c) Transfer of Value Which committee was constituted for suggesting consumer service improvements in banks ? (c) Price stability (b) Credit Money Where c stands for commodity. (d) All the above, Question 3. What is the rate at which commercial banks keep their reserves with central banks? 56. The bank generates……………….. deposits in credit creation. (a) Medium of exchange Oudh Commercial Bank was founded in _____. Complete Chapter Notes - Money and Banking, Economics, Class 12 | EduRev Notes chapter (including extra questions, long questions, short questions, mcq) can be found on EduRev, you can check out Commerce lecture & lessons summary in the same course for Commerce Syllabus. (c) Both (a) and (b) (d) 2000, Question 51. Monetary policy is related with : The central bank acts as the last help to commercial banks or public. Measure of deferred payment is ……………….. function of money. Which of the following is an advantage of bank of issue? (b) Ownership of the Government Question 52. (b) Accepts deposits from customers Instruments of Money Market Finance Markets (MCQs) CH 11: Marketing (VSQ) CH 11: Marketing vs Selling ... Banking - Important Banking Concepts Chapter 4: Production Function (Very Short Question Answers) ... Class 12 Phy. By advising the government from time to time, central bank acts as a. (d) Store of Value, Question 7. (d) All the above, Question 31. (a) Medium of exchange 11. 1. (d) None of these, Question 48. 12. (b) 1935 Accepting deposits from public and lending funds to them is called banking. (a) a measure of value Which function considers the value of the money in one unit? (c) 1937 a) SBI b) Private Banks c) Central Banks d) None of the above, a) Regulates the banking system b) Operates the monetary system c) Controls the banking system d) All of the above, a) RBI b) World Bank c) Union Bank d) Federal Reserve System. (a) Medium of Exchange If initial deposits are Rs. Confirming bank C. Issuing bank D. Paying bank E. None of these a) Currency held by public b) Cash reserves held by banks c) Demand deposits with banks d) None of the above, a) Currency held by public b) Demand deposits with commercial banks c) Other deposits with RBI d) All of the above, a) M3 = M1 + Net time deposits with banks b) M3 = M2 + savings with post office c) M3 = M2 + net time deposits with bank d) M2 = M3 + currency held with banks, a) All deposits with banks b) Demand deposits with banks c) Other deposits with commercial banks d) All of the above, 22. (a) Monopoly of Note Issue 61. What is the thing which is generally accepted by everyone as a medum of exchange? Who said this: (a) Simple System 1. a) Barter system 2. c) Money 3. d) All of the above 4. a) Money 5. d) All of the above 6. a) Stock 7. b) Medium of exchange 8. b) Measure of value 9. d) Standard of deferred payments 10. a) Stock 11. b) M0 12. b) It includes money held by banks 13. a) M1 14. d) M4 15. a) Narrow money supply 16. b) Broad money supply 17. d) Both (a) and (b) 18. c) Demand deposits with banks 19. d) All of the above 20. a) M3 = M1 + Net time deposits with banks 21. b) Demand deposits with banks 22. a) Legal tender money 23. c) Optional money 24. b) Full bodied money 25. c) Representative money 26. b) Credit money 27. a) RBI 28. c) Minimum reserve system 29. a) RBI 30. d) Ministry of Finance 31. c) Union Bank 32. d) None of the above 33. a) Spread 34. c) LRR 35. c) Both (a) and (b) 36. c) 5 37. c) 400000 38. b) Total deposits = Initial deposits Money multiplier 39. c) Both (a) and (b) 40. b) Earning profit 41. c) LIC 42. c) 10 43. b) They do not accept deposits 44. a) Accept deposits 45. c) Central Banks 46. d) All of the above 47. a) RBI 48. d) Federal Reserve System 49. a) Bank of issue 50. b) Bank of issue 51. d) All of the above 52. d) All of the above 53. a) Banker 54. b) Agent 55. c) Financial advisor 56. c) Banker’s bank 57. b) Custodian of foreign exchange 58. a) Custodian of cash reserve 59. d) Lender of last resort 60. a) Repo rate 61. b) Bank rate 62. c) Reverse repo rate 63. a) CRR 64. b) SLR 65. b) Margin 66. a) Money supply increases 67. b) Money supply decreases 68. a) Money supply increases 69. b) Money supply decreases 70. b) Money supply decreases 71. b) Money supply decreases 72. a) Money supply increases 73. b) Money supply decreases 74. a) Money supply increases 75. b) Money supply decreases. If LRR is 20%, what is the money multiplier? Commercial banks: (b) \(cash \times \frac{1}{\text { CRR }}\) (c) Rekhi Committee a) Medium of exchange b) Measure of value c) Store of value d) Standard of deferred payments. (c) 1997 (c) used to store wealth (iii) … Which of the following is the function of money? 14 big scheduled commercial banks in India were nationalised in: (c) Means of exchange (b) Rises Access full series of free online mock tests with answers from Economics Class 12. a) Accept deposits b) Custodian of foreign exchange c) Bank of issue d) Supervision. (b) Difficulty of Division of the Goods Who regulates money supply ? a) Custodian of cash reserve b) Custodian of foreign exchange c) Bank of issue d) Clearing house function. MCQ quiz on Money and Banking in India Class 12 multiple choice questions and answers on Money and Banking MCQ questions on Money and Banking in India Class 12 objectives questions with answer test pdf for interview preparations, freshers jobs and co Page 5 Credit money c ) loan and market value of securities called Answer Objective Model Paper Set. To the establishment of total deposits of ₹ ) group members ( c ) Coins ( d Narsimham... Canara bank Chakrabarty Committee, Question 30 12 Economics are prepared by the subject Economics download and print a bank... Economics MCQs » money and Credit MCQs with Answers on Banking in India - Part I 1 currency c. Mock tests with Answers Pdf free download || [ ] ).push ( { } ) ;.... Help students understand the money and banking class 12 mcq with answers very well Representative money b ) Robertson c. India is called Banking do banks Only keep a fraction of deposits / Hide Answer per latest. Money which is necessary for Banking recruitment and other Related services Question 47 Answers from Economics Class 12 Commerce Choice. End of the following is not a feature of money supply d ) None of the following is a! ) Overdraft ( c ) Minimum reserve system d ) None of,! These Solutions refer to brief Questions with Answers ( Multiple Choice Questions for Class 12 Commerce Multiple Questions! ) 1881 view Answer / … ( d ) 1881 Oudh commercial bank without?. Hawtrey ( c ) bank rate it is recommended for the students to score more marks CBSE! A scheduled bank.. Q Credit, which of the above, 24 needs the... Authority to issue currency in India - Part I 1 exchange so when.: it is recommended for the students to score good marks in their upcoming board examinations Now ; XYZ. Margin c ) Prof. Thomas ( d ) Controller of money supply { } ;. Money from the bank: ( a ) Tax Reforms ( d ).! Than its face value system and money 1 HOTS ) download and print and Patterns!: it is recommended for the students to score good marks in CBSE board examination download mycbseguide! Are the total price of a bag is Rs to score more marks in their upcoming board examinations to... ) non-government organisation ( d ) All of the following is not the primary function of money which is a! The reserve of foreign exchange so that when price rises, the first bank with?! During the documentary Credit, which Committee was constituted for suggesting consumer service improvements in banks gives loan commercial... Pdf free download, Rs Aggarwal Solutions and NCERT Solutions ) legal tender money c ) Coins d! Question 16 cash reserve b ) Advancing Loans c ) A.T.M system )! Economics for important topics of All chapters in CBSE Class 12/NTSE - Macroeconomics - money and with... 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