1. Pradhan Mantri Vaya Vandana Yojana (PMVVY)’ aims to provide social security during old age. What is the minimum purchase price under the scheme for a minimum pension of Rs. 1,000/- per month?

A. Rs.1,20,000 B. Rs.1,00,000 C. Rs.1,25,000 D. Rs.1,50,000 E. Rs. 2,50,000

Answer: Option D
Explanation: Pradhan Mantri Vaya Vandana Yojana (PMVVY)’ aims to provide social security during old age and to protect elderly persons aged 60 and above. Minimum purchase price under the scheme is Rs.1,50,000/- for a minimum pension of Rs. 1,000/- per month
2. Beta measures what type of risk?

A. Financial risk B. Currency risk C. Investment risk D. Market and finance risk E. Market risk

Answer: Option C
Explanation: Beta of an investment indicates whether the investment is more or less volatile than the market as a whole. In general, a beta less than 1 indicates that the investment is less volatile than the market, while a beta more than 1 indicates that the investment is more volatile than the market.
3. An option that may only be exercised on expiration is known as?

A. Put Option B. European Option C. Call Option D. American Option E. None of the above

Answer: Option B
Explanation: European option – an option that may only be exercised on expiration.American option – an option that may be exercised on any trading day on or before expiry. Call Option – gives the buyer of an option the right ( not obligation) to buy a currency or share. Put Option - gives the buyer of an option the right (not obligation) to sell a currency or share.
4. In which of the following types of cheques, the person whose name is written by the issuer, is the only person authorized to collect the amount?

A. Slate Cheque B. Anti-dated cheque C. Bearer Cheque D. Blank cheque E. Order Cheque

Answer: Option E
Explanation: Order cheque is issued to only that person whose name is written on the cheque by the issuer. Identification is required at the time of presenting the cheque to the bank.
5. In the financial sector, there are many companies that are providing banking like activities though they are not recognized as banks. How is this particular type of activity known as?

A. Informal banking B. Indigenous banking C. Shadow banking D. Development banking E. Adaptive Banking

Answer: Option C
Explanation: The shadow banking system is a term for the collection of non-bank financial intermediaries that provide services similar to traditional commercial banks but outside normal banking regulations. The phrase "shadow banking" contains the pejorative connotation of back alley loan sharks.

1. “Shishu” scheme under ‘PradhanMantri Mudra Yojana’ covers loan upto which limit?

A. Rs. 100,000 B. Rs. 50,000 C. Rs. 500,000 D. Rs. 200,000 E. Rs. 250,000

Answer: Option B
Explanation: Under PradhanMantri Mudra Yojana, 3 types of schemes- Shishu, Kishor, Tarun has been launched. Shishu scheme covers loan uptoRs. 50,000.
2. What is the Marginal Standing Facility (MSF) rate and Statutory Liquidity Ratio (SLR) as per ‘First Bi-Monthly Monetary Policy’ released recently?

A. 6.50% and 19.50% B. 6.25% and 19.25% C. 6.75% and 19.75% D. 6.50% and 19.25% E. 5.75% and 18.50%

Answer: Option B
Explanation: In February 2019, Reserve Bank of India (RBI)’s six-member monetary policy committee chaired by RBI Governor Shaktikanta Das released its First Bi-Monthly Monetary Policy. RBI had reduced 0.25 basis points in the Policy Rates with immediate effect. The Change in Policy rates are as follows: Repo Rate: 6.00% , Reverse Repo Rate: 5.75%, Marginal Standing Facility Rate: 6.25%, Bank Rate: 6.25%, Cash Reserve Ratio (CRR): 4%, Statutory Liquidity Ratio (SLR): 19.25%.
3. In September 2018, the New Development Bank of the BRICS countries has approved a $525-million loan to ----- for infrastructure projects.

A. Madhya Pradesh B. West Bengal C. Bihar D. Uttarakhand E. Assam

Answer: Option A
Explanation: The New Development Bank of the BRICS countries has approved a $525-million loan to Madhya Pradesh for infrastructure projects. The loan would be used by the Indian government for on-lending to the Madhya Pradesh government for rehabilitating major district roads with a total length of about 2,000 km to improve the connectivity of the rural interior with the national and state highway networks.
4. In September 2018, the government has doubled the monetary limit to ---- for filing loan recovery application in the Debt Recovery Tribunals.

A. Rs. 25 Lakh B. Rs. 10 Lakh C. Rs. 30 Lakh D. Rs. 5 Lakh E. Rs. 20 Lakh

Answer: Option E
Explanation: The government doubled the monetary limit to 20 lakh rupees for filing loan recovery application in the Debt Recovery Tribunals by banks and financial institutions. It is aimed at helping reduce the pendency of cases in DRTs. There are 39 DRTs in the country. The government has made several amendments in different laws, including the SARFAESI Act to make the tribunals more effective and to facilitate the fast disposal of debt recovery cases.
5. The GST council has decided to offer cash back to consumers. What is the maximum limit of cashback on payments via Rupay cards, BHIM and UPI system once the offer is implemented?

A. Rs. 25 B. Rs. 50 C. Rs. 100 D. Rs. 75 E. Rs. 150

Answer: Option C
Explanation: Once the offer is implemented, the customers making payments through Rupay card and BHIM UPI would get a cashback of 20% of the total GST amount, subject to a maximum limit of Rs 100.The Goods and Services Tax (GST) Council decided to offer cash back to consumers on a trial basis for every digital payment made via Rupay cards, BHIM application and UPI system to promote cashless transactions in rural semi-urban areas.

1. Which among the following is a condition of slow economic growth and relatively high unemployment?

A. Deflation B. Bottleneck Inflation C. Stagflation D. Reflation E. Creeping Inflation

Answer: Option C
Explanation: Stagflation is a condition in which the inflation rate is high, economic growth rate slows, and unemployment remains steadily high. It can also be defined as inflation and a decline in gross domestic product. It occurs when an economy faces a sudden increase or decrease in the supply of a commodity or service. Reflation - It is a monetary or fiscal policy by the government and central bank respectively to boost demand and thus increase the level of economic activity and combat deflation. Creeping Inflation - A circumstance where the inflation of a nation increases gradually, but continually over time is called Creeping Inflation.
2. Under AtalBimitVyaktiKalyanYojana, the unemployed persons who searching for new employment can get 25% of his/her average earning of --- days as a cash benefit.

A. 60 days B. 180 days C. 30 days D. 45 days E. 90 days

Answer: Option E
Explanation: The ESI Corporation has approved ‘AtalBimitVyaktiKalyanYojana’ for Insured Persons (IP) covered under the Employees’ State Insurance Act, 1948. This scheme is a relief payable in cash directly to the Bank Account in case of unemployment and while they search for new engagement. Under Atal Bimit Vyakti Kalyan Yojana, the cash benefit given to the unemployed persons searching for new employment would be 25% of his average earning of 90 days.
3. As per the Payment of Gratuity Act, 1972 an employee is eligible to get gratuity only after he/she has worked with an organization for at least ---- years.

A. 5 years B. 10 years C. 3 years D. 15 years E. 8 years

Answer: Option B
Explanation: The Payment of Gratuity Act, 1972, states that an employee needs to apply within a matter of 30 days from the date it becomes payable.
4. What is the projected growth rate of India for the financial year 2019-20 by the International Monetary Fund (IMF)?

A. 7.3% B. 7.5% C. 7.2% D. 7.6% E. 7.8%

Answer: Option B
Explanation: The International Monetary Fund forecasted the growth rate of India for 2019-20 is 7.5%. IMF said that India’s growth rate likely to accelerate to 7.7% in 2020-21. Central Statistics Office’s (CSO) estimated the growth rate of 7.2% for 2018- 19 and the RBI estimates the growth rate of 7.4%.
5. Which of the following is also known as “Reserve Money”?

A. M1 B. M0 C. M2 D. M3 E. M4

Answer: Option B
Explanation: Reserve money (M0) = Currency in Circulation + Bankers’ Deposits with RBI + ‘Other’ Deposits with RBI. It is also called as high powered money, base money and central bank money. All these names suggest that reserve money represents the base level for money supply or it is the high- powered component of money supply.