B.Com 3rd Year Money and financial Online Test

40. Assumption of credit creation is:

39. In order to increase the money supply, the banking system must have:

38. Cash Reserve Ratio will be equal to:

37. Banks expand their secondary deposits through:

36. Derivative deposits is the result of:

35. The creation of derivative deposits is indentical with what is commonly called the creation of credit.” This is defined by:

34. “Loan creates deposits”, who said this:

33. The Cash Reserve Ratio is determined by:

32. Credit creation is done by:

31. Bank credit creation capacity is affected by:

30. In the process of credit creation, the following are included:

30. According to Walter Leaf and Canon, the function of credit creation is done by:

29. Which of the following statement is correct?

28. On which of the following, power of credit creation depends on:

27. By decreasing cash reserve ratio, bank’s power of credit creation will:

26. On whom optimum capacity is dependent in credit creation?

25. Increase in bank credit leads to:

24. Increase in bank credit leads to:

23. In comparison to deposit multiplier, bank credit multiplier is:

22. Higher the reserve ratio:

21. Bank credit is a credit from:

20. During the period of depression, credit creation is:

19. Cash reserve with Central Banks is called:

18. Full form of CRR is:

17. An increase in the {time deposit / demand deposit} will lead to:

16. , An increase in reserve ratio has an effect that leads to:

15. Banks are required to maintain a percentage of their deposits in the form of balances with RBI. This is called:

14. Which of the following do not limit the bank’s capacity to create deposits?

13. “Cash Drain” refers to:

12. Secondary deposits refer to:

11, If bank have to hold a large percentage of deposits in the form of cash, the total amount of deposits that can be created will be:

10, A commercial bank’s capacity of credit creation depends mainly on:

9. During periods of depression commercial banks:

8. Deposits creation can be calculated by:

7. Deposits multiplier (K) is:

6. Credit creation depends upon:

5. Primary deposits is otherwise known as:

4. The extent of credit expansion by the banking system can be found out by the formula:

3. Banks as a whole are able to support a volume of deposits which is multiple of the cash reserves they hold. This phenomenon is known as:

2. The deposits arising as a result of funds deposited by customers are called:

1. A primary deposit is created when