Practice Static GA Questions and Answers

• Demand Bills are payable at sight 
• Call money market is primarily an inter-bank market 
• Banks are not required to maintain CRR for the funds raised through CDs (certificate of deposits)
• Usance Bill don’t have a definite time period for the payment of sales proceeds
• Primary Dealers are members of FIMMDA
• Ways and Means Advance (WMA) was introduced in 1992 after the recommendation of the committee on financial sector reforms 
• Limits in WMA is mutually decided by GOI and RBI as per the requirement 
• Zero coupon bonds yield zero interest
• Commercial Paper (CP) is a zero-coupon security, the face value of which is payable at the maturity 
• Corporate cannot issue Commercial Papers
• Primary dealers buy G-Sec directly from the RBI and has no role in the secondary market for G-sec 
• Sensex also called as BSE 30, is the market index consisting of 30 well-established and financially sound companies listed on Bombay Stock Exchange (BSE)&n...
• Price Earnings Ratio (PE ratio) of Indian market is high because of the growth potential in the market 
• The base year of Sensex is 1978-79 and the base value is 100 
• SEBI regulates Money market and RBI regulates capital market
• Share of service sector is increasing in the Indian economy
• Macroeconomic stability is very important for development of financial markets 
• Which of the following statements is correct? A.      Right issues are privilege given to existing shareholders to buy the common ...
• Which of the following statements is correct? A.      Preferential shares are subordinate to debt B.     ...
• Which of the following statements is correct? A.      In case of Forward Rate Agreement there is an exchange of interest rate B.&n...
• MIBOR, is calculated by –
• SMERA, a rating agency is established by –
• Which rating agency as majority shareholding of Moody’s –
• In Nov 2017, Moody’s rating for India is upgraded to –
• Which of the following is not a Credit Rating Agency
• Which of the following statements is correct? A.      When the liquidity position is tight in the market, corporates raise money b...
• Which of the following statements is correct? A.      Certificate of Deposits are negotiable and therefore also attracts stamp dut...
• Which of the following statements is correct? A.      An Individual cannot subscribe (invest in) a Certificate of Deposit B. ...
• “Hundi” is a –
• Which of the following statements is correct? A.      FIMMDA is a voluntary market body for the bond, Money and Derivatives Market...
• Which of the following statements is correct? A.      CCIL does clearing and settlement functions in foreign exchange and derivati...
• Which of the following statements is correct? A.      Money market consist of funds of maturity ranging from seven days to one yea...
• Which of the following statements is correct? A.      Treasury bills provide interest coupons as mentioned at the time of issuance...
• Which of the following statements is correct? A.      WMA were introduced to meet the long-term fund requirement of the central go...
• Which of the following statements is correct? A.      BSE was established in the year 1875 and is the oldest stock exchange in the...
• Which of the following statements is correct? A.      Financial market is dominated by intermediaries B.    &n...
• Which of the following statements is correct?
• Suppliers and Creditors of a firm are interested in
• The main objective of monetary policy by RBI is
• For setting up TAFCUBs, in 2005 first MoU was signed with which state government?