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NCERT Class 12 Economics : Money and Banking MCQ – NCERT Class 12 MCQ
Question:
What is the defect of the barter system?
A
B
C
D
Question:
Which of the following is the credit money?
A
B
C
D
Question:
Which among the following is the near money?
A
B
C
D
Question:
Which of the following is the feature of money?
A
B
C
D
Question:
In order to encourage investment in the economy, the Central Bank may ________
A
B
C
D
Question:
Institution that accepts deposits for lending purpose is known as __________
A
B
C
D
Question:
Which of the following is the function of a commercial bank?
A
B
C
D
Question:
The central bank can increase the availability of credit by
A
B
C
D
Question:
Giving permission to withdraw money by an amount more than deposited to is known as
A
B
C
D
Question:
What are the alternative measures of money supply in India?
A
B
C
D
Question:
Who circulates all mint and one rupee not in India?
A
B
C
D
Question:
Which of the following is the narrow measure of the money supply
A
B
C
D
Question:
MCQ Questions for Class 12 Economics Chapter 3 Money and Banking with Answers
January 27, 2021 by Prasanna
Check the below NCERT MCQ Questions for Class 12 Economics Chapter 3 Money and Banking with Answers Pdf free download. MCQ Questions for Class 12 Economics with Answers were prepared based on the latest exam pattern. We have provided Money and Banking Class 12 Economics MCQs Questions with Answers to help students understand the concept very well.
Money and Banking Class 12 MCQs Questions with Answers
Question 1.
What is the defect of the barter system?
(A) Lack of double coincidence of wants
(B) Difficulty in the measurement of value
(C) Difficulty in store of value
(D) All of these
Answer
Answer: (D) All of these
Question 2.
Which of the following is the credit money?
(A) Cheque and draft
(B) Promissory note
(C) Exchange note
(D) All of these
Answer
Answer: (D) All of these
Question 3.
Which among the following is the near money?
(A) Bonds
(B) Insurance policy
(C) Securities
(D) All of these
Answer
Answer: (D) All of these
Question 4.
Which of the following is the feature of money?
(A) General acceptability
(B) Homogeneous unit
(C) Liquid asset
(D) All of these
Answer
Answer: (D) All of these
Question 5.
In order to encourage investment in the economy, the Central Bank may ________
(A) Reduce Cash Reserve Ratio
(B) Increase Cash Reserve Ratio
(C) Sell Government securities in the open market
(D) Increase Bank Rate
Answer
Answer: (A) Reduce Cash Reserve Ratio
Question 6.
Institution that accepts deposits for lending purpose is known as __________
(A) Commercial Bank
(B) Central Bank
(C) Government
(D) Public
Answer
Answer: (A) Commercial Bank
Question 7.
Which of the following is the function of a commercial bank?
(A) Accepting deposits
(B) Credit creation
(C) Agency function
(D) All of these
Answer
Answer: (D) All of these
Question 8.
The central bank can increase the availability of credit by:
(A) Rasing repo rate
(B) Raising reverse repo rate
(C) Buying government securities
(D) Selling government securities
Answer
Answer: (D) Selling government securities
Question 9.
Giving permission to withdraw money by an amount more than deposited to is known as _________
(A) Advance
(B) Overdraft
(C) Loan
(D) None of these
Answer
Answer: (B) Overdraft
Question 10.
What are the alternative measures of money supply in India?
(A) M1
(B) M2
(C) M3 and M4
(D) All of these
Answer
Answer: (D) All of these
Question 11.
Who circulates all mint and one rupee not in India?
(A) Ministry of Finance
(B) RBI
(C) Ministry of External Affairs
(D) State Government
Answer
Answer: (A) Ministry of Finance
Question 12.
Which of the following is the narrow measure of the money supply?
(A) M2
(B) M3
(C) M1
(D) M4
Answer
Answer: (C) M1
Question 13.
When
A
B
C
D
Question:
Which is the most liquid measure of the money supply?
A
B
C
D
Question:
High Powered Money includes
A
B
C
D
Question:
Indian Monetary System is based on ________
A
B
C
D
Question:
Which of the following is the apex bank of India?
A
B
C
D
Question:
Who has the right of note issue
A
B
C
D
Question:
Which of the following is the function of a Central bank?
A
B
C
D
Question:
The ratio of total deposits that a commercial bank has to keep with RBI is called:
