Question # 1

If a person is more intrested to earn income he shud deposit his money in

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Demand deposits

Time deposit

Saving account

Profit loss account

Central banks rate of lending to commercial banks is called.

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Money rate

Control rate

Intrested rate

Discount rate

Which type of cheque is least safe for transfer of money

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Bearer cheque

Traveller cheque

Order cheque

Cross cheque

Treasury bill is used for

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Getting short term loans by central bank

Getting long term loans

Collecting govt. taxes

Make payments of utility bills

Banks discout it and advance loans.

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Draft

Bill of exchange

Pay Order

Gold

State bank was established in .

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1948

1950

1952

1954

It creates credit

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Central Bank

Commercial Bank

Government

Stock exchange

Whcih organisation controls the banking system to most countries.

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Central Bank

Commercial bank

Investment bankWorld bank

Profit and losss sharing is basis of finance under this system.

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Islamic

Capitalistic

Socialistic

None

State Bank policy of regulating intrst rate is called.

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Monetary policy

Commerical policy

Banking policy

Fiscal policy

Balance sheet of a bank has two parts

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Supply and demand for deposits

Supply and demand of Advances

Assests and liablilities

Cash Reserves and loans

Which is a monetary measure to increase employment.

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Increase in govt expenditure

Reduce govt expenditure

Increase in interest rate

Reducing intrest rate

The bank can give loans

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Unlimited

Equal to deposites

less than deposits

More dhan deposits

Which is the sourceof interest for a bank

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Advances

Bills discounted

Investments

All

It is NOT an instrument of moneatry policy

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Discount Rate

Open market operation

Change in reserve ratio

Issue notes

Credit money is created by

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Exchange bank

Commerical Bank

Finance companies

None of the above

Credit money is created by

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Central bank

Commercial Bank

Government

All of the above

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ICS Part 2 Economics English Medium Chapter 5 Online Test MCQs With Answers

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