SOLVED JAIIB COMBINED PAPER 41:
1. From the following which function is of securitisation company?
a. Acquisition of loan transaction from the lender.
b. Help the lender in recovery by sale of charged property.
c. Take legal steps against the defaulter borrower on behalf of the lender.
d. Acquisition of financial assest from the originator
Ans - d
2. .......... is one of the modes of lending by a banker.
a. Documentary Bills
b. Bill of purchase
c. Supply Bills
d. Bill finance
Ans - d
3. General lien can be exercised by the bank on one of the following:
A. cash remitted for dd
B. credit balance in loan account
C. articles in safe custody
D. contents of locker
Ans - c
4. Statutory Corporations are established under
A. companies act
B. Act of parliament
C. Societies Registration act
D. None
Ans - b
5. ...... is terminated when the buyer gets the possession of the goods
a. lien
b. agreement
c. condition
d. warranty
Ans - a
6. The advising banks responsibility is ......
a. to inform the issuing bank as to whom to issue the letter of credit.
b. to advise the buyer the dispatch of documents by the seller
c. to inform the beneficiary/seller about the letter of credit
d. None of the above
Ans - c
7. Drawee of a Cheque is ......
(i) An A/c holder, (ii) Always a banker
a. Only (i)
b. Only (ii)
c. Either (i) or (ii)
d. Neither (i) nor (ii)
Ans - b
8. An endorsement which restricts further right of negotiation is not called as ......
(i) Facultative Endorsement,
(ii) Restrictive endorsement,
(iii) Conditional Endorsement
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - b
9. A bearer instrument is negotiated by ......
(i) mere delivery, (ii) endorsement required.
a. Only (i)
b. Only (ii)
c. Either (i) or (ii)
d. Neither (i) nor (ii)
Ans - a
10. An instrument on which ...... is not mentioned is called as inchoate instrument.
(i) date, (ii) payee, (iii) amount
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - d
11. In a Bill of exchange normally who is not the Payee? (i) The person ordering for payment,
(ii) The person directed to pay,
(iii) The beneficiary
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - a
12. An endorsement in which endorser waives the notice of dishonour is not called as ......
(i) Facultative Endorsement,
(ii) Restrictive endorsement,
(iii) Conditional Endorsement
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - c
13. The LC issuing bank is also called......
a. the importers bank or the opening bank
b. the advising bank or the confirming bank
c. the negotiating bank or the nominated bank
d. the reimbursement bank
Ans - a
14.When the LC specifies the Bank that is to negotiate the bills drawn under the LC, then the bank is also called......
a. Confirming Bank
b. Reimbursing Bank
c. Nominated Bank
d. None of the above
Ans - c
15. When the confirming bank confirm the credit it
a. does not take any liability
b. undertakes on its part the liability under the LC
c. undertakes to make timely of the documents and bills to the buyer or his bank
d. None of the above
Ans - b
16. There is an implied condition on the part of the seller that he has a right to ...... the goods.
a. use
b. sell
c. retain
d. resale
Ans - b
17. In bank guarantees, the bank makes payment on ......
a. being convinced that the beneficiary has incurred loss
b. on being sued by the beneficiary
c. on the guarantee being involved and after seeking concurrence of the debtor
d. merely on demand by the beneficiary
Ans - d
18. The right to receive payment under a letter of credit or the right to draw bills on a Letter of Credit is vested in
a. the opener of the LC
b. the issuing Bank only
c. the Buyer only
d. all the three parties
Ans - c
a. Acquisition of loan transaction from the lender.
b. Help the lender in recovery by sale of charged property.
c. Take legal steps against the defaulter borrower on behalf of the lender.
d. Acquisition of financial assest from the originator
Ans - d
2. .......... is one of the modes of lending by a banker.
a. Documentary Bills
b. Bill of purchase
c. Supply Bills
d. Bill finance
Ans - d
3. General lien can be exercised by the bank on one of the following:
A. cash remitted for dd
B. credit balance in loan account
C. articles in safe custody
D. contents of locker
Ans - c
4. Statutory Corporations are established under
A. companies act
B. Act of parliament
C. Societies Registration act
D. None
Ans - b
5. ...... is terminated when the buyer gets the possession of the goods
a. lien
b. agreement
c. condition
d. warranty
Ans - a
6. The advising banks responsibility is ......
a. to inform the issuing bank as to whom to issue the letter of credit.
b. to advise the buyer the dispatch of documents by the seller
c. to inform the beneficiary/seller about the letter of credit
d. None of the above
Ans - c
7. Drawee of a Cheque is ......
(i) An A/c holder, (ii) Always a banker
a. Only (i)
b. Only (ii)
c. Either (i) or (ii)
d. Neither (i) nor (ii)
Ans - b
8. An endorsement which restricts further right of negotiation is not called as ......
(i) Facultative Endorsement,
(ii) Restrictive endorsement,
(iii) Conditional Endorsement
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - b
9. A bearer instrument is negotiated by ......
(i) mere delivery, (ii) endorsement required.
a. Only (i)
b. Only (ii)
c. Either (i) or (ii)
d. Neither (i) nor (ii)
Ans - a
10. An instrument on which ...... is not mentioned is called as inchoate instrument.
(i) date, (ii) payee, (iii) amount
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - d
11. In a Bill of exchange normally who is not the Payee? (i) The person ordering for payment,
(ii) The person directed to pay,
(iii) The beneficiary
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - a
12. An endorsement in which endorser waives the notice of dishonour is not called as ......
(i) Facultative Endorsement,
(ii) Restrictive endorsement,
(iii) Conditional Endorsement
a. Only (i) and (ii)
b. Only (i) and (iii)
c. Only (ii) and (iii)
d. (i), (ii) and (iii)
Ans - c
13. The LC issuing bank is also called......
a. the importers bank or the opening bank
b. the advising bank or the confirming bank
c. the negotiating bank or the nominated bank
d. the reimbursement bank
Ans - a
14.When the LC specifies the Bank that is to negotiate the bills drawn under the LC, then the bank is also called......
a. Confirming Bank
b. Reimbursing Bank
c. Nominated Bank
d. None of the above
Ans - c
15. When the confirming bank confirm the credit it
a. does not take any liability
b. undertakes on its part the liability under the LC
c. undertakes to make timely of the documents and bills to the buyer or his bank
d. None of the above
Ans - b
16. There is an implied condition on the part of the seller that he has a right to ...... the goods.
a. use
b. sell
c. retain
d. resale
Ans - b
17. In bank guarantees, the bank makes payment on ......
a. being convinced that the beneficiary has incurred loss
b. on being sued by the beneficiary
c. on the guarantee being involved and after seeking concurrence of the debtor
d. merely on demand by the beneficiary
Ans - d
18. The right to receive payment under a letter of credit or the right to draw bills on a Letter of Credit is vested in
a. the opener of the LC
b. the issuing Bank only
c. the Buyer only
d. all the three parties
Ans - c