A major source of industrial finance is foreign capital. Foreign capital can take the form of
Direct private investment by foreigners in industrial concerns
Loans by foreigners governments
Collaboration of foreign business with Indian business in starting new industrial projects
All of the above
All of the following are subsidiaries of the State Bank of India, except
Central Bank of India
State Bank of Bikaner and Jaipur
State bank of Hyderabad
State Bank of Patiala
All revenues received, loans raised and money received in payment of loans by the Union government go into
Public Accounts of India
Contingency Fund of India
Consolidated Fund of India
None of the above
All taxes come under
Revenue receipts
Capital receipts
Public debt
Both (1) and (2)
An ad valorem duty is a tax basis of
The price of the commodity
The value added
The advertisement expenses
The unit of the commodity
An amount given by a government agency or even private body to encourage a particular economic activity is a
Grant
Loan
Subsidy
Mutual fund
An example of a development bank in India is the
State Bank of India
Karnataka State Finance Corporation
Reserve Bank of India
Punjab National Bank
An increase in the supply of money will, ceteris paribus, tend to cause the rate of interest to fall unless
The economy is at the top of a boom
The bank rate is lowered at the same time
The demand for money increases at the same time
The multiplier is zero
An upward and leftward movement of an upward slopping supply curve for a commodity could be caused by all of the following, except
The imposition of an excise tax
A shift of tastes in favour of the product
A fall in productivity
A rise in production costs
/
I, II, III, IV
III, II, IV, I
IV, III, I, II
IV, III, II, I
As in other countries, money in India consists of
Metallic coins
Paper currency
Current deposits
All of the above
A regressive tax is
Pro-rich
Pro-poor
Neutral
None of the above
Bank notes and coins above one rupee denomination are issued by the
Reserve Bank of India
Ministry of Finance
State bank of India
Government of India
A regressive tax will tend to redistribute income more
Equally
Unequally
Equitably
Inequitably
A rise in ‘SENSEX’ means
A rise in prices of shares of all companies registered with Bombay Stock Exchange
A rise in prices of shares of all companies registered with National Stock Exchange
An overall rise in prices of shares of group of companies registered with Bombay Stock Exchange
A rise in prices of shares of group of companies belonging to a group companies registered with Bombay Stock Exchange
A scheduled commercial bank should have capital and reserves over
Rs 10 lakh
Rs. 8 lakh
Rs. 5 lakh
Rs. 2 crore
A tax that takes away a higher proportion of one’s income as the income rises is termed as
Progressive tax
Regressive tax
Digressive tax
Proportional tax
A zero rate of inflation obtains necessarily in a year where the annual rate of inflation
In every week of the every year is zero
Is falling in every weak of the year
Is both falling and rising in a year
Is contrast in every week of the year
According to the new dispensation for insurance business in India
The insurance sector has been opened up to Indian private investors only
All the bank may enter the insurance business
It is mandatory for the insurance companies to invest in the infrastructure and social sectors
NBPCs are not allowed to enter the insurance sector
Ad valorem means, according to
Valid rules
Value
Existing rules
None of the above
Bank rate implies the rate of interest
Paid by the Reserve Bank of India on the deposits of commercial banks
Charged by banks on loans and advances
Payable on bonds
At which the Reserve bank of India discounts the bill of Exchange
Bank rate is the rate at which
A bank tends to the public
The Reserve bank of India lends to the public
The Government of India tends to other countries
The Reserve bank of India gives the credit to commercial banks
Bank rate means
Interest rate charged by money-lenders
Interest rate charged by scheduled banks
Rate of profit of the banking institution
The official rate of interest charged by the central bank of the country
Between what limit is the RBI empowered to vary the Cash Reserve ratio (CRR) of commercial banks?
3-15 per cent
2-11 per cent
4-13 per cent
5-12 per cent
Broadly speaking the function of the IDBI may be
As a coordinating agency
As a financing agency
As a refinancing agency
All of the above
By devaluation we mean
A fall in the domestic value of the currency
A fall in the domestic value of the currency caused by the market forces
A fall in the external value of the currency caused by government action
None of the above
Capital Account Convertibility of the Indian Rupee implies
That the Indian rupee can be exchanged by the authorized dealers for travel
That the Indian rupee can be exchanged for any major currency for the purpose of trade in goods and services
That the Indian rupee can be exchanged for any major currency for the purpose of trading financial assets
None of the above
/
I, II, III
II, III, IV
I, III, IV
I, II, III, IV
/
I, II, III, IV
I, II, IV
IV
I
Commercial banks in India
Have remained neutral to the process of economic growth
Have retarded the process of economic growth
Have accelerated the process of economic growth
None of these are correct
Commercial bank provide
Export financing
Long term loans
Block capital to industries
Short term loans to national trade
/
I, II, III, IV
II, III, IV, I
III, IV, I, II
IV, I, II, III
/
I, II
II, III
III, IV
I, II, III, IV
/
II and IV are correct
I, II and III are correct
I, II and IV are correct
III and IV are correct
/
I, II
I, III
II, III
I, II, III
/
I,
II
I,II
I,II,III
/
I
II
Both I and II
Neither I nor II
/
I,II
II,III
I,III
I,II,III
/
I
II
Both I and II
Neither I nor II
/
I
II
Both I and II
Neither I nor II
/
I
II,IV
I,III
II,III
/
I,II,III,IV
I,III,II,IV
IV,III,II,I
I,IV,III,II
/
I
I,II
II
I,II,III
/
I,II
I,III
II,III
I,II,III
Convertibility of the rupee implies
Being able to convert rupee notes into gold
Allowing the value of the rupee to be fixed by market forces
Freely permitting the conversion of rupee to other major currencies and vice versa
Developing international market for currencies in India
Corporation tax
Is levied by the Central government and appropriated by it
Is levied by the state government separately
Is levied by the Central government and shared by the centre and the states
Is levied by the Central government and appriated by the states
Credit creation increases
Real national income
Supply of money
Real wealth of the community
Purchasing power of the currency
Currency notes and coin of one rupee and lower denominations are issued by the
Reserve Bank of India
State Bank of India
Ministry of Finance
Government of India
Currency notes in India are printed and supplied by the
Security Press, Nasik
Security Press, Mumbai
Security Press, Noida
Reserve Bank of India, New Delhi
Customs duties export duties corporation taxes, taxes on capital value of assets (excluding agricultural land of individuals and companies are)
Taxes and duties levied by the Centre but wholly appropriated by the states
Taxes and duties levied by the Centre but collected by the states
Taxes and duties that accrue wholly to the union Government
Taxes levied and collected by the Union but which are shared with the states