Money and Banking MCQ

Check the below NCERT MCQ Questions for Money and Banking MCQ with Answers Pdf free download. MCQ Questions for  with Answers were prepared based on the latest exam pattern. We have provided Money and Banking MCQs Questions with s to help students understand the concept very well.

Money and Banking MCQs Questions with Answers

Fill in the blanks:

Question 1.
The exchange of goods for goods is called _____ exchange.

Answer: barter

Question 2.
______ is a narrow concept of money.

Answer: M1

Question 3.
________ is a broad concept of money.

Answer: M3

Question 4.
_______ are the deposits which are payable by the banks to the customers after a fixed period.

Answer: Time deposits

Question 5.
Currency money is also known as ______ money.

Answer: fiat

Question 6.
Supply of money is a _______ concept.

Answer: stock

Question 7.
The money multiplier is the rate of change in _____ due to initial deposits.

Answer: money supply

Question 8.
Currency with public means _____ and ______ with the public outside the bank.

Answer: coins, currency notes

Question 9.
_______ is the Central Bank of India.

Answer: RBI

Question 10.
Commercial banks are an important source of _________ in the economy.

Answer: money supply

Question 11.
Banks serve as a channel between _______ and investors.

Answer: depositors

Question 12.
Two essential functions of a bank are accepting deposit and ________

Answer: advancing loan

Question 13.
The Central Bank is the apex institution of the _______ system.

Answer: Monetary

Question 14.
Bank rate is the _______ instrument of Central Bank.

Answer: Quantitative

Question 15.
Central Bank of India is………………..

Answer: Reserve Bank of India

Question 16.
Bank rate is also known as………………..

Answer: Redemption

Question 17.
The bank generates……………….. deposits in credit creation.

Answer: Derivative

Question 18.
When CRR decreases, credit creation………………..

Answer: Increases

Question 19.
The measure of deferred payment is ……………….. function of money.

Answer: Secondary

Question 20.
Medium of exchange is ……………….. function of money.

Answer: Primary

Question 21.
The static and dynamic function of money is divided by………………..

Answer: Paul Einzig

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