Bank System Test 03 Preparation Online

Economics

1. Credit money is created by?

A. Finance companies

B. Exchange bank

C. Commercial bank

D. None of these

2. Which is considered liability by a bank?

A. Securities

B. Loans

C. Bank's building and equipment

D. Time deposit

3. Demand deposits are money because?

A. They can be used to make payments

B. All of the above

C. They are backed by gold

D. They are assets of banks

4. Select the correct statement?

A. Commercial bank create convertible money

B. Govt. creates paper money

C. Central bank creates convertible money

D. None of the above is true

5. Select the correct statement?

A. Credit money is better than legal money

B. All money is evil

C. Legal money is better than credit money

D. Both legal money and credit money are equally useful

6. Which type of cheque is least safe for transfer of money?

A. Cross cheque

B. Order cheque

C. Traveller cheque

D. Bearer cheque

7. If a person is more interested to earn income, he should deposit his money in?

A. Saving account

B. Time deposit

C. Profit-loss account

D. Demand deposit

8. Credit money is created by?

A. All of the above

B. Commercial bank

C. Central bank

D. Government

9. Which type of cheque is more safe for transfer of money?

A. Order cheque

B. Cross cheque

C. Bearer cheque

D. Traveller cheque

10. Select the correct statement?

A. Commercial bank create paper money

B. Finance companies create fake money

C. Central bank creates legal money

D. None of the above is true

Bank System Test 03 Preparation Online