Practice General Topics in Finance Questions and Answers

• A company has a P/V ratio of 20% and its break-even sales are ₹16 crore. What is the fixed cost of the company?
• In the study of business cycles, the point where the economy transitions from the Expansion phase to the Recession phase is known as the ________; conv...
• A negative supply shock, such as a sudden rise in oil prices, would cause the short-run Phillips curve to:
• Given the following economic indicators for a household sector in 2026 (in ₹ Crores): ·        Private Income: 8,500 ·        Corporat...
• A SEBI-registered portfolio manager is tracking several macroeconomic variables to predict a potential downturn in the Indian economy. Which of the followi...
• Which of the following is NOT considered a 'Quantitative' tool of monetary policy used by the RBI? 
• Under the prompt corrective action (PCA) framework, which of the following parameters is NOT monitored by the RBI? 
• What is the minimum paid-up equity capital required to set up a Small Finance Bank (SFB) as per current RBI norms? 
• Which type of ATM is owned and operated by non-banking entities? 
• A 'Sub-standard' asset is one which has remained an NPA for a period: 
• Under the SARFAESI Act, 2002, what is the minimum notice period a bank must give to a borrower before taking possession of secured assets? 
• The 'Narasimham Committee' is most famously associated with which of the following? 
• In the context of Asset Reconstruction Companies (ARCs), what does 'SR' stand for? 
• What is the minimum threshold of debt for a bank to initiate recovery proceedings under the Recovery of Debts and Bankruptcy (DRT) Act? 
• Under Basel III, what is the minimum Tier 1 Capital requirement (excluding buffers)? 
• The Capital Conservation Buffer (CCB) as per Basel III norms in India is set at: 
• What is the purpose of the 'Leverage Ratio' in Basel III? 
• Credit Risk is defined as the risk of loss resulting from: 
• Under the PM Jan Dhan Yojana (PMJDY), what is the maximum overdraft limit available to eligible account holders? 
• What does the 'C' in CKYCR stand for in the context of KYC? 
• As per RBI guidelines, 'High Risk' customers must have their KYC updated at least once every: 
• In a 'Working Capital' loan, the difference between Current Assets and Current Liabilities is known as: 
• Which of the following is a 'Charge' created on Movable Assets where the possession remains with the borrower? 
• Which ratio is most critical for a Credit Officer to assess the repayment capacity of a Term Loan? 
• What is the maximum loan amount under the 'Mudra' Shishu scheme? 
• 'Factoring' is a financial service that involves the purchase of: 
• A 'Letter of Credit' (LC) is a payment mechanism used primarily in: 
• Which of the following ratios is the best indicator of a company's ability to meet its immediate short-term obligations without relying on the sale of inve...
• In credit monitoring, what does 'SMA-2' classification imply regarding a loan account? 
• What is the 'Margin' in the context of a bank loan? 
• The SARFAESI Act, 2002 is NOT applicable to which of the following? 
• Under the Insolvency and Bankruptcy Code (IBC), what is the maximum time limit (including extensions) for completing the Corporate Insolvency Resolution Pr...
• What is the minimum default amount required to initiate insolvency proceedings under the IBC as of the current 2024–2026 norms? 
• In a 'Pledge', what is the legal relationship between the Bank and the Borrower? 
• Which of the following is a 'Primary Security' for a working capital loan? 
• What is the target for Priority Sector Lending (PSL) for 'Small Finance Banks'? 
• Under the PMFME scheme, what is the maximum subsidy provided for a micro-food processing unit? 
• Which of the following is NOT a category under the MUDRA scheme? 
• For a loan to be classified under 'Agriculture - Infrastructure' category of PSL, the limit per borrower is: 
• The 'Interest Subvention Scheme' for short-term crop loans is available for loans up to: