Banking Awareness Quiz for SBI CBO – Quiz 2

Banking Awareness Quiz for SBI CBO

SBI has released the notification of SBI CBO ( CIRCLE BASED OFFICERS ). The selection process consists of Online Written Test, Screening and Interview. Online written test will consist of Objective Tests for 120 marks and Descriptive Test for 50 marks. The Descriptive Test will be administered immediately after the conclusion of the Objective Test and candidates will have to type their Descriptive Test answers on the computer. To clear Banking Awareness section, Ambitiousbaba brings to you the series of objective Quiz based on exams pattern.

Q1. _______________is also known as insurance-cum-investment policy.

(a) Term Insurance

(b) Health Insurance

(c) Unit-Linked Insurance

(d) Endowment Life Insurance Policy

(e) None of these

Answer & Explanation
1.Ans (c)

This policy is also known as insurance-cum-investment category. Here, the policy holder gets the benefit of both insurance and investment. ULIP is more likely similar to mutual funds, since a part of the policy premium amount is towards insurance and the rest is invested in equity and debt instruments. Since, investments are made from a part of the policy amount, there are many benefits that are provided to the policy holder.

Q2. Under _______________ the policy holders will receive a fixed amount at specified intervals during the lifetime of the policy.

(a) Term Insurance

(b) Money Back Policy

(c) Pension Policy

(d) Health Insurance

(e)  None of these

Answer & Explanation
2.Ans (b)

An extension of Endowment Plans is Money Back Policy. Here, the policy holders will receive a fixed amount at specified intervals during the lifetime of the policy. In case, of sudden death of the policy holder, then the assured amount will be received by the beneficiary.

Q3. National Housing Bank which is under the control of Centra Government now,and earlier under the control of RBI, When did the transfer of ownership take place?

(a) July, 1982

(b) July, 1988

(c) April, 2019

(d) March, 2000

(e) March, 2001

Answer & Explanation

NHB is wholly owned by Govt. of India as after 24 April 2019 notification of RBI, which contributed the entire paid-up capital. The general superintendence, direction and management of the affairs and business of NHB vest, under the Act, in a Board of Directors. The Head office of NHB is at New Delhi.

Q4. All foreign investors in banks may be given voting rights that could exceed the present cap of ?

(a) 10%

(b) 15%

(c) 20%

(d) 18%

(e) 25%

Answer & Explanation
4.Ans (a)

No shareholder, other than RBI, shall be entitled to exercise voting rights in excess of ten percent of the issued capital, (Government, in consultation with RBI can raise the above voting right to more than ten percent).

Q5. Which Indian currency note has security thread?

(a) Rs.50/-

(b) Rs.100/-

(c) Rs.500/-

(d) Rs 200

(e) All of above

Answer & Explanation
5. Ans (e)

Rs.1000 notes introduced in October 2000 contain a readable, windowed security thread alternately visible on the obverse with the inscriptions ‘Bharat’ (in Hindi), ‘1000’ and ‘RBI’, but totally embedded on the reverse. The Rs.500 and Rs.100 notes have a security thread with similar visible features and inscription ‘Bharat’ (in Hindi), and ‘RBI’. When held against the light, the security thread on Rs.1000, Rs.500 and Rs.100 can be seen as one continuous line. The Rs.5, Rs.10, Rs.20 and Rs.50 notes contain a readable, fully embedded windowed security thread with the inscription ‘Bharat’ (in Hindi), and ‘RBI’. The security thread appears to the left of the Mahatma’s portrait. Notes issued prior to the introduction of the Mahatma Gandhi Series have a plain, non-readable fully embedded security thread.

Q6. Total how many Banking Ombudsman centres are there as of October 2021

(a) 20

(b) 19

(c) 21

(d) 22

(e) None of the above

Answer & Explanation
6.Ans (d)

There are in total 22 Banking Ombudsman office. The latest one is at New Delhi.

The 22 centres are located in different cities viz. Ahmedabad, Bengaluru, Bhopal, Bhubaneswar, Chandigarh, Chennai, Guwahati, Hyderabad, Jaipur, Kanpur, Kolkata, Mumbai (I), Mumbai (II), New Delhi (I), New Delhi (II), New Delhi (III), Patna, Thiruvananthapuram, Dehradun, Ranchi, Raipur, and Jammu.

Q7. Based on whose Commitee recommendations the Banking Ombudsman was reviewed in 2010.

(a) Parthasarathi Shome

(b) Shivaraman Committee

(c) Suma Verma Committee

(d) Shri Raghuram Rajan Committee

(e) Damodaran Commitee

Answer & Explanation
7.Ans (e)

The Damodaran Committee was set up in 2010 by RBI to look into banking services rendered to retail and small customers, including pensioners and also to look into the system of grievance redressal mechanism prevalent in banks, its structure and efficacy and suggest measures for expeditious resolution of complaints.

Q8.The Banking Ombudsman shall send to the Governor, Reserve Bank, a report, as on ____ every year, containing a general review of the activities of his Office during the preceding financial year

(a) 30 th June

(b) 31 st July

(c) 31 st March

(d) 30 th September

(e) 31 st October

Answer & Explanation
8.Ans (a)

The Banking Ombudsman shall send to the Governor, Reserve Bank, a report, as on 30

th June every year, containing a general review of the activities of his Office during the preceding financial year and shall furnish such other information as the Reserve Bank may direct.

Q9. As per Basel III, the risk of losses in on balance sheet and off-balance sheet positions arising from movements in market prices is called_______

(a) Credit risk

(b) Market risk

(c) Pricing risk

(d) Liquidity risk

(e) Operational risk

Answer & Explanation
9. Ans (b) Market risk

Q10. Which out of the following is not one of the approaches of calculating Credit Risk as per the Basel-II framework?

(a) Value at Risk

(b) Standardized Approach

(c) Foundation Internal Ratings-based approach

(d) Advanced Internal Ratings-based approach

(e) None of the above

Answer & Explanation
10.Ans (a) Basel II also provides banks with more informed approaches to calculate capital requirements based on credit risk, while taking into account each type of asset’s risk profile and specific characteristics. The two main approaches include the: Standardized approach, Internal ratings-based approach (Foundation Internal Ratings-based approach and Advanced Internal Ratings-based approach)

SBI CBO Online test Series

Click Here to Buy SBI CBO test Series

Banking Knowledge for SBI CBO 2022 : Download PDF


Leave a Reply