ECONOMY MCQS SET 103

ECONOMY MCQS SET 103

1021) Which one of the following is allowed to Invest in all the securities traded on the Primary and secondary markets as also in unlisted companies?
A) Pension funds
B) Mutual funds
C) Asset Management companies
D) All of the above
Correct Answer: Mutual funds   
1022) Consider the following statements regarding the Unit Trust of India (UTI)
1. RBI is one of the major subscriber of the initial capital of the UTI.
2. UTI was collapsed in 2001-02.
Which of the statements given above is/are correct?
A) Only 1
B) Only 2
C) Both 1 and 2
D) Neither 1 nor 2
Correct Answer: Only 1
   
1023) Which one of the following is correct?
A) Life Insurance Corporation of India was set up after the General Insurance Corporation.
B) General Insurance Corporation was set up in the Fifth Five Year Plan.
C) Life Insurance Corporation of India was set up in the Second Five Year Plan
D) None of the above
Correct Answer: Life Insurance Corporation of India was set up in the Second Five Year Plan
   
1024) Consider the following statements
1. Foreign Currency Convertible Bonds are issued in currencies different from the issuing company's domestic currency.
2. Foreign Currency Convertible Bonds are quasi-debt instruments and tradable on the primary capital market.
Which of the statements given above is/are correct?
A) Only 1
B) Only 2
C) Both 1 and 2
D) Neither 1 nor 2
Correct Answer: Only 2
   
1025) Consider the following banks
1. Industrial Investment Bank of India
2. Industrial Reconstruction Bank of India
3. Industrial Reconstruction Corporation of India
Arrange the above banks chronologically and select the correct answer using the codes given below
A) 3, 1, 2
B) 1, 3, 2
C) 3, 2, 1
D) 1, 2, 3
Correct Answer: 3, 1, 2
1026) Which of the following insurance companies is not the subsidiary of the General Insurance Company of India?
A) National Insurance Company Limited
B) New India Assurance Company Limited
C) Oriental Insurance Company Limited
D) Life Insurance Corporation of India Limited
Correct Answer: Life Insurance Corporation of India Limited   
1027) Consider the following objectives
1. Stimulates and pools the saving of middle and low Income groups.
2. Share the benefits and prosperity of the rapidly growing industries with the middle and low Income groups.
Which of the objectives given above is/are the main objectives of the Unit Trust of India?
A) Only 1
B) Only 2
C) Both 1 and 2
D) Neither 1 nor 2
Correct Answer: Both 1 and 2
   
1028) Which one of the following is the component of the Balance of Payments in the current account?
A) Net earnings on exports minus payments for imports
B) Earnings on foreign investments minus payments made to foreign investors
C) Cash transfers
D) All of the above
Correct Answer: Cash transfers
   
1029) Consider the following statements
1. Capital account surplus of a country means the money is flowing into the country.
2. Capital account deficit of a nation suggests that the nation is increasing its claims on foreign assets.
Which of the statements given above is/are correct?
A) Only 1
B) Only 2
C) Both 1 and 2
D) Neither 1 nor 2
Correct Answer: Only 1
   
1030) Consider the following statements about Sinking Fund
1. It is a method of repayment of public debt
2. It is created by the government out of budgetary revenues every year.
Which of the statements given above is/are correct?
A) Only 1
B) Only 2
C) Both 1 and 2
D) None of the above
Correct Answer: Both 1 and 2