1. In the world of financial market, what does “Offer Document” means among the following?

A. Prospectus in case of a public issue B. Letter of Offer in case of a rights issue C. Prospectus in case of a rights issue D. Letter of Offer in case of a public issue E. Both A & B

2. Which of the following financial institutions compiles the system of national accounts which aim at measuring GDP as per International Standards?

A. World Bank B. IMF C. WEF D. NDB E. ADB

3. Ministry of Finance publishes the Annual FII to help in macro policy formulation. What is ‘F’ in FII?

A. Fiscal B. Foreign C. Financial D. Fixed E. None of the above

4. Who among the following can be called as a ‘Qualified Institutional Buyer’?

A. Scheduled commercial banks B. Foreign institutional investor registered with SEBI C. Provident Funds with minimum corpus of Rs. 25 crores D. a & b only E. All a, b & c

5. IFSD is given for leasing a commercial property, what does ‘S’ mean in IFSD?

A. Service B. Security C. Swap D. Systematic E. Stock

Answers and Explanations
1. Answer - Option E
Explanation -
“Offer document” means Prospectus in case of a public issue or offer for sale and Letter of Offer in case of a rights issue, which is filed Registrar of Companies (ROC) and Stock Exchanges An offer document covers all the relevant information to help an investor to make his/her investment decision. “Draft Offer document” means the offer document in draft stage. The draft offer documents are filed with SEBI, at least 21 days prior to the filing of the Offer Document with ROC/ SEs.
2. Answer - Option B
Explanation -
The System of National Accounts (SNA) is compiled by International Monetary Fund (IMF). It is the internationally agreed standard set of recommendations on how to compile measures of economic activity consequently; the national accounts are one of the building blocks of macroeconomic statistics forming a basis for economic analysis and policy formulation.
3. Answer - Option C
Explanation -
Ministry of Finance publishes the Annual Financial Inclusion Index (FII) that measure the access and usage of a basket of formal financial products and services. The single composite index will guide the macro policy formulation. The Union Minister of Finance and Corporate Affairs, Arun Jaitley launched the Financial Inclusion Index in New Delhi.
4. Answer - Option E
Explanation -
Qualified Institutional Buyers are those institutional investors who are generally perceived to possess expertise and the financial muscle to evaluate and invest in the capital markets.
– Public financial institution as defined in section 4A of the Companies Act, 1956;
– Scheduled commercial banks
– Foreign institutional investor registered with SEBI
– Venture capital funds registered with SEBI.
5. Answer - Option B
Explanation -
The acronym of IFSD is Interest Free Security Deposit. The interest free security deposits lying with Exchange/Clearing Corporation shall be refunded to the members of Stock Exchange after three years from the date of issue of public notification or on receipt of confirmation from SEBI regarding cancellation of registration whichever is later.

1. The Government of India has risen for filing loan recovery application in the Debt Recovery Tribunals (DRT) by banks and financial institutions to ___.

A. Rs. 5 lakh B. Rs. 10 lakh C. Rs. 15 lakh D. Rs. 20 lakh E. Rs. 25 lakh

2. As per the 2019 Global Economics Prospect released in Washington, what is India’s GDP growth forecast for FY 2018-19?

A. 6.8% B. 6.1% C. 7.3% D. 7.9% E. None of these

3. According to the latest report of RBI, banks recovered how much money from the bad loans in the fiscal which ended in March 2018?

A. Rs 29,400 crores B. Rs 54,000 crores C. Rs 54,000 crores D. Rs 60,490 crores E. Rs 33,300 crores

4. As per the Interim Budget 2019-20, Individual tax payers with taxable income of up to what amount will get full tax rebate?

A. Rs 3 lakh B. Rs 5 lakh C. Rs 7 lakh D. Rs 9 lakh E. Rs 4 lakh

5. What is the current repo rate, according to first Bi-monthly Monetary Policy statement for 2019-20?

A. 6.75% B. 6.00% C. 6.25% D. 6.50% E. None of these

Answers and Explanations
1. Answer - Option D
Explanation -
The Union government doubled the pecuniary limit to Rs. 20 lakh for filing loan recovery application in the Debt Recovery Tribunals (DRTs) by banks and financial institutions, to help reduce pendency of such cases. As a result, any bank or financial institution or a consortium of banks or financial institutions cannot approach DRTs if the amount due is less than Rs. 20 lakh.
2. Answer - Option C
Explanation -
In its 2019 Global Economics Prospect released in Washington, The World Bank has projected India’s growth rate at 7.3% in the fiscal year 2018-19 and average 7.5% in 2019 and 2020.
Goods and Services Tax (GST) and demonetisation are expected to encourage a shift from the informal to the formal sector.
India has enormous growth potential compared to other emerging economies as an ambitious government undertakes comprehensive reforms.
3. Answer - Option D
Explanation -
According to the latest report of RBI, banks recovered Rs 40,400 crores worth bad loans in the fiscal which ended in March 2018.
Banks saw a significant improvement in the recovery of stressed assets after the amendments in the SARFAESI Act.
Bad loans are the loans given to debtors which are unlikely to come back to creditors. In these cases, the money given does not come back and creditor loses all his money.
4. Answer - Option B
Explanation -
Individual tax payers with taxable income of up to Rs 5 lakh will get full tax rebate from now on. Those earning Rs 6.5 lakh will not have to pay tax, if they invested in specified savings such as PF, PPF, etc.
5. Answer - Option B
Explanation -
The Reserve Bank of India in its First Bi-monthly Monetary Policy Statement, 2019-20 has reduced the Repo Rate by 25 basis points to 6.0 per cent from 6.25 per cent. Repo Rate is the rate at which RBI lends money to commercial banks.

1. FIPB (Foreign Investment Promotion Board) is under which department?

A. Department of Economic Affairs B. Department of Revenue C. Department of Investment D. Department of Commerce and Industry E. Department of Financial Services

2. Hopping inflation, jumping inflation and running or runaway inflation are the other names of which type of inflation?

A. Hyperinflation B. Galloping inflation C. Galloping inflation D. Core inflation E. Spiral Inflation

3. The Union Government has made the Pradhan Mantri Jan Dhan Yojana (PMJDY) an open-ended scheme, now the overdraft limit for account holders has been doubled to what amount?

A. Rs 12,000 B. Rs 15,000 C. Rs 10,000 D. Rs 8,000 E. Rs 20,000

4. With an aim to doubling farmers’ income by 2022 the government has created, Dairy Processing & Infrastructure Development Fund (DIDF) for setting up of chilling infrastructure & installation of electronic milk adulteration testing equipment at village level. What is the financial outlay for the fund?

A. Rs. 11,056 crores B. Rs. 5,435 crores C. Rs. 8,004 crores D. Rs. 12,127 crores E. Rs. 10,543 crores

5. As per the Anoop Satpathy led committee which was set up to review and recommend methodology for fixation of National Minimum Wage (NMW), what should be the national minimum wage for India irrespective of sectors, skills, occupations and rural-urban locations?

A. Rs. 680 per day B. Rs. 375 per day C. Rs. 425 per day D. Rs. 550 per day E. Rs. 295 per day

Answers and Explanations
1. Answer - Option A
Explanation -
The Foreign Investment Promotion Board (FIPB) is a national agency of Government of India, with the remit to consider and recommend foreign direct investment (FDI) which does not come under the automatic route. It acts as a single window clearance for proposals on foreign direct investment (FDI) in India. The Foreign Investment Promotion Board (FIPB) was housed in the Department of Economic Affairs, Ministry of Finance. FIPB will be abolished in financial year 2017-18, as announced by Finance Minister Arun Jaitley during 2017-2018 budget speech in Lok Sabha
2. Answer - Option B
Explanation -
Galloping inflation is a ‘very high inflation’ running in the range of double-digit or triple digit (i.e., 20 per cent, 100 per cent or 200 per cent in a year). Contemporary journalism has given some other names to this inflation —hopping inflation, jumping inflation and running or runaway inflation.
3. Answer - Option C
Explanation -
The Union Government has decided to make the Pradhan Mantri Jan Dhan Yojana (PMJDY) an open-ended scheme. Under the new incentives:
I) The overdraft limit for account holders has now been doubled to Rs 10000.
II) The free accident insurance cover has been doubled to Rs 2 lakh.
III) There will be no conditions attached for over-draft of up to Rs 2,000.
IV) The upper age limit for availing the facility has also been hiked to 65 from the earlier 60 years.
4. Answer - Option C
Explanation -
NABARD has set up the DIDF with a corpus of Rs 8,004 crore to bring more dairy farmers into organised milk marketing through cooperatives. The fund is implemented through National Dairy Development Board (NDDB) and National Cooperative Development Corporation (NCDC).
5. Answer - Option B
Explanation -
An expert committee led by Anoop Satpathy has recommended to fix the need based national minimum wage for India at INR 375 per day (or INR 9,750 per month) as of July 2018, irrespective of sectors, skills, occupations and rural-urban locations for a family comprising of 3.6 consumption unit. It has also recommended to introduce an additional house rent allowance (city compensatory allowance), averaging up to INR 55 per day i.e., INR 1,430 per month for urban workers over and above the NMW.