2nd Year Economics Chapter 5 Online MCQ Test for 12th Class Economics Chapter 5 (Banks)

ICS Part 2 Economics English Medium Chapter 5 Test

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MCQ's Test For Chapter 0 "ICS Part 2 Economics English Medium Chapter 5 Online Test"

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ICS Part 2 Economics English Medium Chapter 5 Online Test

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Question # 1

Out following the only recognised legal tender is

Question # 2

Credit money is controlled by

Question # 3

Which is a monetary measure to increase employment.

Question # 4

Which is a function of commercial bank

Question # 5

It creates credit

Question # 6

Which type of cheque is least safe for transfer of money

Question # 7

State bank of Pakistan is run by

Question # 8

Cash cannot be directly obtaines from a bank against

Question # 9

When a commercial bank creaes credite. Its immediate effect is tha tit raises.

Question # 10

Monetary pollicy has the objective

Question # 11

State bank was established in .

Question # 12

Every country establishes central bank to

Question # 13

Central banks rate of lending to commercial banks is called.

Question # 14

The following is not a bank liability.

Question # 15

State Bank policy of regulating intrst rate is called.

Question # 16

If you borrow from a bak the amount which the bank charges is called.

Question # 17

Commercial banks are able to create money by

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ICS Part 2 Economics English Medium Chapter 5 Test

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ICS Part II Economics Chapter 0 Important MCQ's

Sr.# Question Answer
1 Central banks rate of lending to commericalbanks is called.
A. Interest rate
B. Discount rate
C. Money rate
D. Inflation rate
2 Short term loans can be obtained in.
A. Money market
B. Capital market
C. Exchange market
D. Stock Market
3 A bank has Rs5 million in cash. The minimum reserve ratio is 20% What is maximum potential increase in total deposits
A. 0
B. 5 m
C. 10 m
D. 25 m
4 When a commercial bank creaes credite. Its immediate effect is tha tit raises.
A. The exchange rate
B. The money supply
C. The interest rate
D. The real national income
5 Which is a function of commercial bank
A. Acting as a govt. banker
B. Fixing the exchange rate
C. Making loans
D. Issueing bank notes
6 Which is a monetary measure to increase employment.
A. Increase in govt expenditure
B. Reduce govt expenditure
C. Increase in interest rate
D. Reducing intrest rate
7 Central banks rate of lending to commercial banks is called.
A. Money rate
B. Control rate
C. Intrested rate
D. Discount rate
8 Demand deposite are
A. Bank notes
B. Money
C. Considered as ner money
D. Legal money
9 Whcih organisation controls the banking system to most countries.
A. Central Bank
B. Commercial bank
C. Investment bankWorld bank
10 10-Rupees note is issued by
A. National Bank
B. State Bank
C. Govt. of Pakistan
D. Governer State bank

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