Bank is responsible for country’s economic and (C) State Bank of Pakistan

monetary progress (D) Chartered Bank of England

(A) Central
Which Bank was formed under the Royal order
(B) Commercial
(C) Agricultural (A) Bank of Venice
(B) State Bank of Pakistan
(D) Co-operative
(C) Bank of Barcelona
Qualitative methods of monetary policy do not (D)Chartered Bank of England
include
(A) Direct actions Which bank does discount the bill of public
(A) Commercial bank
(B) Publicity
(C) Bank rate policy (B) Agriculture bank
(C) Industrial bank
(D) Moral persuasion
(D) All of these
What are the objectives of monetary policy?
Which Bank protects costly things of public?
(A) Stability in price
(B) Exchange stability (A) Commercial Bank
(B) Central Bank
(C) Stability in capital market
(D) All these (C) Industrial Bank
(D) Agricultural Bank
State Bank of Pakistan was inaugurated by
(A) Laiquat Ali Khan Stock certificate is a document issued by
(A) Commercial bank
(B) Miss Fatima Jinnah
(C) Quaid-e-Azam Muhammad Ali Jinnah (RA) (B) Central bank
(C) Limited companies
(D) Ayub Khan
(D) Stock market
When the State Bank of Pakistan came into
Who was the founder of commercial bank
existence
(A) 1947 (A) Goldsmiths A
(B) Merchants
(B) 1948
(C) 1955 (C) Money lenders
(D) All of these
(D) 1972

Schedule Bank is registered under State Bank of Credit money in the country is controlled by
(A) Central bank
Pakistan Act
(A) 1965 (B) Commercial bank
(C) Industrial bank
(B) 1956
(C) 1950 (D) Agricultural bank
(D) None of these Commercial banks create following money
The bank formed under Royal Charter is (A) Metallic
(B) Credit
(A) Bank of Venice
(B) Bank of Spain (C) Paper
(D) All of these
The Commercial Banks may be (B) Commercial Bank
(A) Scheduled (C) Saving Bank
(B) Non-scheduled (D) Scheduled Bank
(C) Foreign
(D) All of these The rate at which the Central Bank and
Commercial Banks purchases and sell foreign
A Commercial Bank keeps less cash reserve if currency is called
(A) Cheque is used in most of the transactions (A) Spot rate
(B) Clearing House facility is available (B) Interbank rate
(C) Rediscounting facility is available (C) Forward rate
(D) All these (D) Market rate

Commercial Bank can be regarded by nature as Cash reserve of a Commercial Bank may consist
(A) Depository Bank of
(B) Central Bank (A) Cash in hand
(C) Investment Bank (B) Cash kept with Central Bank
(D) None of these (C) Cash kept with other Banks
(D) All of above
The primary objective of Commercial Bank is
(A) To earn profit Which has monopoly to issue currency notes?
(B) To help the govt. (A) Commercial Bank
(C) To help the poor (B) Government
(D) To issue notes (C) Central Bank
(D) All of these
In Pakistan Clearing House is
(A) Commercial Bank Commercial banks normally advance loan for
(B) Scheduled Bank (A) Long-term period
(C) Central Bank (B) Medium-term period
(D) none of these (C) Short-term period
(D) For progress of trade
Commercial bank advises its customers on
(A) Household matters Basic objective of commercial bank is
(B) Financial matters (A) Welfare of people
(C) Political matters (B) Help of government
(D) All of these (C) To earth profit
(D) Arrangement of foreign exchange
Commercial bank is economic advisor of
(A) Customers An account holder does not need to write a
(B) Government cheque to withdraw money from following
(C) Local government account
(D) Public (A) Saving account
(B) Fixed deposit account
Which is the guardian of credit money? (C) Current account
(A) Central Bank (D) None of these
Crossing makes the cheque The parties of cheque are
(A) Un-safe (A) Two
(B) Un-acceptable (B) Three
(C) Safe (C) Four
(D) Acceptable (D) Five

Cheque is always crossed by The cheque which cannot be encashed at bank

(A) Drawer counter is called
(B) Drawee (A) Bearer cheque
(C) Holder (B) Order cheque
(D) All of these (C) Cross cheque
(D) Blank cheque
If drawer of cheque is a payee himself then
what word is written after the word pay In which account, cheque book is not issued?
(A) Order (A) Current a/c
(B) Bearer (B) Saving a/c
(C) Self (C) Foreign currency a/c
(D) None of these (D) Fixed deposit a/c

For which cheque bank pays money at its Acceptable credit instruments are
counter? (A) Written
(A) Bearer cheque (B) Oral
(B) Order cheque (C) Foreign
(C) Crossed cheque (D) Domestic
(D) Both A and B
An “I OWE YOU” is written instrument drawn by
Each leaf of the Cheque Book contains (A) Trader
customer’s (B) Debtor
(A) Father’s name (C) Creditor
(B) Address (D) All of these
(C) Telephone number
Which instrument is not dealt at stock
(D) Account number
exchange?
Cheque is an un-conditional order (A) Shares
(A) From customer (B) Debentures
(B) From Bank (C) Both
(C) From government (D) Bills of exchange
(D) None of them
Bills of exchange is a negotiable instrument that
A cheque which can be cashed by its holder contains
(A) Bearer cheque (A) A written order
(B) Order cheque (B) Conditional written order
(C) Cross cheque (C) Unconditional written order
(D) All these (D) None of these
Generally, the instruments which are used in National Bank of Pakistan was established in
foreign receipts and payments called (A) 1948
(A) Exchange control (B) 1949
(B) Foreign exchange (C) 1950
(C) Letter of credit (D) 1951
(D) All these
Islam forbids
Credit instrument drawn by one bank on (A) Investment
another bank is called (B) Partnership
(A) Cheque (C) Trade
(B) Bill of exchange (D) Interest
(C) Bank draft
When was Islamic banking system introduced in
(D) Postal order
Pakistan
The credit instrument which has four parties is (A) 1970
(A) Bill of exchange (B) 1972
(B) Cheque (C) 1981
(C) Bank draft (D) 1982
(D) Promissory note
For withdrawal of amount bank issues to
The parties bill of exchange are account holders
(A) Three (A) Cash book
(B) Five (B) Cheque book
(C) Six (C) Bank draft
(D) Seven (D) Pass book

Which is comparatively used more? Bank is an institution

(A) Bill of exchange (A) Social
(B) Cheque (B) Religious
(C) Draft (C) Financial
(D) Promissory note (D) Welfare

Banks were nationalized in Pakistan in The person who opens a bank account is called
(A) 1971 (A) Owner of the bank
(B) 1974 (B) Customer of the bank
(C) 1978 (C) Employee of the bank
(D) 1979 (D) Director of the bank

Head office of National Bank of Pakistan is I owe you mean

situated in (A) I am your debtor
(A) Lahore (B) I am your creditor
(B) Islamabad (C) Both A & B
(C) Quetta (D) All these
(D) Karachi
Overdraft facility is available in (C) Non-Schedule Bank
(A) Saving account (D) All these
(B) Fixed account
Central Bank was established
(C) Current account
(D) None of these (A) 1948
(B) 1950
On which of the following amount of overdraft. (C) 1951
Bank receives interest (D) 1960
(A) Fix
(B) Total Which account is suitable for business
community?
(C) Used
(D) All these (A) Fixed account
(B) Current account
Who chooses Governor of Central Bank (C) Saving account
(A) Public (D) All these
(B) Shareholders
(C) Government Which method is prevailing in Pakistan for
issuing note
(D) Minister of State
(A) Fixed fiduciary system
Which principle is followed by central bank to (B) Proportional reserve system
issue currency notes (C) Both A & B
(A) Currency principle (D) All these
(B) Banking principle
(C) Both A & B The following is used in E-Banking
(A) Debit card
(D) None of both
(B) Credit card
Which function is not performed by central (C) Both A & B
bank (D) None of these
(A) Credit creation
E-Banking provides benefits to the following
(B) Advancing loans
(C) Lender of last resort (a) Account holders
(b) Banker
(D) Bank of the public
(c) Economy
The primary object of a central bank is to (d) All of these
(A) Earn profit
(B) Advance loans to traders Which Banks can open their branches in foreign
countries?
(C) Safeguard the national interest
(D) All of these (A) Scheduled Bank
(B) Nonscheduled Bank
Which of the following Bank performs its (C) Both A & B
functions according to the instructions of (D) None of these
Central Bank
(A) Foreign Bank The term foreign exchange includes
(A) Bank draft
(B) Schedule Bank
(B) Letter of credit Joint stock company can open the following
(C) Foreign B/E account in bank
(D) All of these (A) Fixed
(B) Current
What is the objective of foreign exchange (C) Saving
control (D) All of these
(A) To stabilize exchange rate
(B) To increase government revenue PICIC was established as
(C) Favorable balance of payment (A) Private company
(D) All of these (B) Limited company
(C) Partnership
Which of the following changes cause to change (D) None of these
in foreign exchange
(A) Change in exports and imports Modaraba may be
(B) Change in capital flow (A) Specific or multi purpose
(C) Change in Bank rate (B) Prepetual
(D) All these (C) For specific period
(D) All of these
The loans which are issued for the period of one
to five year called Scheduled bank means a bank which is
(A) Demand loans registered with
(B) Short term loans (A) Stock exchange
(C) Medium term loans (B) Central bank
(D) Long term loans (C) World bank
(D) All of these
Drawee of the bank draft is a
(A) Bank on which draft is drawn On which account a bank does not pay interest
(B) Bank which issues a draft (A) Saving account
(C) Payee of the draft (B) Fixed deposit
(D) Sender of amount by draft (C) Current account
(D) All of these
The document which reveals the ownership of
goods kept on port Before opening account in bank, a married
(A) Bill of lading woman is asked about her
(B) Dock warrant (A) Husband’s name
(C) Delivery order (B) Father’s name
(D) Railway receipt (C) Mother’s name
(D) All of these
What percentage of total assets a scheduled
bank is bound to kept with in the country Loans which can be recovered on demand are
(A) 60% called
(B) 70% (A) Short term loans
(C) 80% (B) Demand loans
(D) 90%
(C) Over draft Obtaining loan against life insurance policy is
(D) All of these (A) Easy
(B) Difficult
Which of the following cannot open account in (C) Complicated
a bank (D) Impossible
(A) Pardah-nasheen woman
(B) Minor or infant Document used to deposit money into Bank
(C) Lunatic or mental patient (A) Bank statement
(D) Non-trading concerns (B) Pay in slip
(C) Credit voucher
A document which shows the title of goods (D) Pass book
shipped through a general ship is called
(A) Bill of lading The parties of promissory note are
(B) Proforma invoice (A) 2
(C) Bill of entry (B) 3
(D) License (C) 4
(D) 5
Bank provide cash finance facility to such
account holders who have Which affairs of bank are revealed by Articles of
(A) Saving account Association?
(B) Current account (A) Internal
(C) Foreign currency account (B) External
(D) Basic banking account (C) Political
(D) Financial
The document/s used in on line banking is / are
(A) Debit card What is necessary to withdraw money through
(B) Credit card ATM?
(C) A.T.M. card (A) I. D. card
(D) All of these (B) Cheque
(C) Pin code
Bank provide Qarz-e-Hasna to (D) None of these
(A) Entrepreneur
(B) Industrialist Illiterate person provides to the bank for
(C) Capitalist identity
(D) Students (A) Birth certificate
(B) Thumb impression
The share of federal government in the paid up (C) Photograph
capital of Industrial Development Bank of (D) All of these
Pakistan is
(A) 50% Refund of demand loans is done
(B) 51% (A) After six months
(C) 54% (B) On demand
(D) 57% (C) On fixed period
(D) After three months
The word “Bank” has been derived from (C) Personal
German word (D) All these
(A) Back
What is received by the Post Office on money
(B) Bancus
(C) Banco order
(A) Profit
(D) None of these
(B) Interest
If a Bank is unable to submit prospectus at the (C) Commission
time of registration, then it has to submit (D) Duty
(A) Statement in lieu of prospectus
A developed or organized money market is
(B) Certificate of incorporation
(C) Certificate of commencement always
(A) Elastic
(D) None of these
(B) Less elastic
What is the purpose of using credit card (C) More elastic
(A) To purchase goods and services (D) Not elastic
(B) To win the prices from Bank
Where is Head Office of Z.T.B.L.
(C) To travel abroad
(D) To invest the savings (A) Karachi
(B) Lahore
In case of inflation in the country, the rate of (C) Peshawar
margin is (D) Islamabad
(A) Increased
(B) Reduced The amount of money in the account of account
holder is called
(C) Waived
(D) All these (A) Profit
(B) Interest
Pay-in-slip is written evidence of (C) Deposit
(A) Transferring money (D) Loan
(B) Depositing money
(C) Withdrawing money Capital market does not deal in
(A) Shares
(D) All these
(B) Treasury bill
A trustee is the (C) Debenttires
(A) Owner of property (D) Bonds
(B) Care-taker of property
Which letter of credit is accompanied by some
(C) Mortgagee of property
(D) None of these documents
(A) Confirmed
Long term loan is advanced against the (B) Documentary
following security (C) Non-documentary
(A) Non-material (D) All these
(B) Material
The nature of relationships between Bank and
customer are
(A) Debtor and creditor
(B) Agent and principal
(C) Bailor and Bailee
(D) All these

Bank of England was formed in

(A) 1594
(B) 1694
(C) 1794
(D) 1894

Imperial Bank was established in

(a) 1921
(b) 1925
(c) 1932
(d) 1937

Non-scheduled bank can

(A) Deal in foreign exchange
(B) Attain public confidence
(C) Open new branch without permission
(D) All of these

The goods or items accepted as a security for

advaning loan should be
(A) Durable
(B) Insured
(C) Under burden
(D) All of these

Which one can be crossed?

(A) Money order
(B) Postal order
(C) Credit card
(D) All of these