Wednesday, November 24, 2010

BNK604 Quiz # 2 Nov 2010

Which of the following is a company that issues securities and is primarily
engaged in the business of investing in securities?
Leasing Company
Insurance Company
Investment Company
Banking Company
Lecture # 2
Generally, an "investment company" is a company (corporation, business trust,
partnership, or Limited Liability Company) that issues securities and is primarily
engaged in the business of investing in securities.


The New York Stock Exchange is an example of:
A financial instrument
A central bank
A financial market
A Financial institution
Ref:
A good example of a financial market is a stock exchange.


Which of the following is the difference between the monetary value of exports
and imports in an economy over a certain period of time?
Balance of payment
Balance of trade
Capital account
Financial account
Lecture # 5
The balance of trade is the difference between the monetary value of exports and
imports in an economy over a certain period of time.


Which of the following bank is called as lender of last
resort?
Saving bank
State bank
Foreign exchange bank
Investment bank
Lecture # 2


What is the amount which will be provided by the Asian development bank for
development assistance?
$ 4 billion
$ 5 billion
$ 6 billion
$ 8 billion
Lecture # 13
The Asian Development Bank will provide close to $ 6 billion development
assistance to Pakistan during 2006-9.


All are the obstacle for the banking industry to increase the profits EXCEPT:
Regulatory burdens
Increasing competition with non-financial institutions
Large number of branches
New government regulations
Lecture # 13
The banking industry's main obstacles to increasing profits are existing regulatory
burdens, new government regulation, and increasing competition from non-traditional
financial institutions.


One restriction in case of saving account is the unlimited withdrawals up to
the extent of deposit in the account. This restriction by the bank is known as:
Loan cover
Loan clues
Loan favorite
Loan covenants


The word bank has been derived from:
Italian
French
German
Latin
Ref: The word bank is derived from the Italian banca, which is derived from German
language and means bench.



Physical infrastructure includes:
Technological expertise
Material
Electricity
All of the given options
Ref:
The physical infrastructure includes power plants, power grids, oil and natural gas
refineries, water treatment facilities, aqueducts, highways, railroads, ports,
hospitals, airports, bridges, tunnels, roads, ports, and other fixed portions of
transportation systems, power generation and distribution facilities, water and waste
facilities, government buildings, and public arenas.


Which of the following can be an effective factor in managing debt burden?
Controlling expansion expenditures
Controlling growth expenditures
Controlling non-development expenditures
Controlling development expenditures
Lecture # 14
Managing the Debt
The external debt can be managed by taking the following policy measures:
1) Controlling the non-development expenditures of the government, which are
currently consuming around 70 percent of public revenue


To cater the needs of small and medium enterprises which bank is
established?
SME bank
ZTBL
Microfinance bank
IDBP
How many microfinance banks are working in Pakistan?
3
5
7
9
Ref:
  1. ROZGAR MICROFINANCE BANK LIMITED

2. NETWORK MICROFINANCE BANK LIMITED
3. TAMEER MICRO FINANCE BANK LIMITED
4. PAK OMAN MICROFINANCE BANK LIMITED
5. THE FIRST MICRO FINANCE BANK LIMITED

Double benefits are associated with which of the following account?
Current account
PLS account
Term deposit account
Foreign currency account
Which of the following is the first loan issued by the World Bank?
$ 400 million
$ 350 million
$ 300 million
$ 250 million
Lecture # 11

All of the following are the divisions of Islamic banking department EXCEPT:
Shariah compliance division
Business support division
Policy division
Monetary operations division
Lecture # 8

Islamic Banking Department consists of following four divisions:
• Policy Division
• Shariah Compliance Division
• Business Support Division
• Shariah Board Secretariat

The World Bank has announced the lending schedule for Pakistan in which
they declared the loan of:
$ 4 billion
$ 6.5 billion
$ 8 billion
$ 9.5 billion
Lecture # 13

The World Bank unveiled a lending program of up to $6.5 billion for Pakistan under a
new four-year, 2006-2009

Which of the following is also known as Security Market?
Insurance market
Commodity market
Capital market
Bond market
Ref: The bond market (also known as the debt, credit, or fixed income market) is
a financial market where participants buy and sell debt securities, usually in the form
of bonds
.
The life insurance company provides insurance for all of these except:
Life
Annuities
Pension funds
Voyage

Which of the following institution has been charged with the supervision of
non banking financial institutions?
Securities & exchange commission
State Bank
Chamber of commerce
Ministry of finance
Short-term obligations that are bought and sold in the money market include
all EXCEPT:
Treasury bills
Raw commodities
Commercial paper
Banker’s acceptances

Which of the following banks make the socially-responsible investments?
Private banks
Postal banks
Ethical banks
Offshore banks
Which of the following organization is established with a view of liberalization
of international trade?
World Bank
World trade organization

International monetary fund
Asian development bank
State Bank of Pakistan commenced its operation on:
Sept 1, 1947
July 1, 1948
July 1, 1949
August 1, 1964
LESSON 6

FCPEs stands for:
Faculty Center for Professional Excellence
FLIP Chart Production Environment
Fund for Children and Public Education
Former Centrally Planned Economies
Lecture # 1
The economic transformation under way in the former centrally planned economies
(FCPEs) was motivated in part by the recognition that central planning has failed to
allocate financial and real resources efficiently.
Which of the following factor can act as barrier to entry for new banks in
banking industry?
High margins
High profitability
High tax rates
High returns

What is the amount which will be provided by the Asian development bank for
development assistance?
$ 4 billion
$ 5 billion
$ 6 billion
$ 8 billion
Lecture # 13
The Asian Development Bank will provide close to $ 6 billion development
assistance to Pakistan during 2006-9


Which of the following banking reform has increased the manufacture of
household products like refrigerators, microwave ovens, TVs etc.?
Capitan strengthening
Improved asset quality
Consumer financing
Mortgage financing
Lecture # 18
Consumer Financing: The State Bank has removed restrictions imposed on
nationalized commercial banks for consumer financing. The positive experience of
auto financing gives a lot of hope that the middle class of this country will be able to
access consumer durables through banks. This will at the same time boost the
manufacturing of TVs, air-conditioners, VCRs, washing and drying machines, deep
freezers etc. in the country.
When prudential regulations were introduced for the first time?
1974
1989
1992
2001
Lecture # 10
Prudential Regulations were put in place first in 1992.

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