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Learn POLICE SI MCQs with answers [Page 11 of Department 121]

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101) Financial inclusion aims at providing financial services to

(A) poor people
(B) indian investors abroad
(C) banking
(D) industrialists
Correct Answer - Option (A)

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Ram Sharma • 188.81K Points
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102) In recent years Indian banks have increased their efficiency by

(A) by reducing number of employees
(B) expansion
(C) using information technology
(D) by increasing number of branches
Correct Answer - Option (C)

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Ram Sharma • 188.81K Points
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104) Virtual banking aims at rendering banking services through

(A) branch expansion
(B) advancing cheap creadit
(C) use of it services
(D) low expansion
Correct Answer - Option (C)

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Ram Sharma • 188.81K Points
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106) Which of the following statements best defines FDI

(A) loans from multilateral institutions like imf and world bank
(B) investment in foreign assets to acquire lasting business interest
(C) buying shares of companies in a foreign country without gaining control over management
(D) foreign currency deposits of non-resident citizens
Correct Answer - Option (B)

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Ram Sharma • 188.81K Points
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107) Which of the following constitutes foreign direct investment?

(A) purchase of stock
(B) reinvestment of earnings by a wholly owned subsidiary abroad
(C) investment by all types for abroad
(D) lending of funds to a foreign subsidiary
Correct Answer - Option (C)

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Ram Sharma • 188.81K Points
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108) Which of the following best describes horizontal foreign direct investment?

(A) long term lending to a foreign firm
(B) fdi in the same industry abroad as the foreign investor firm
(C) fdi into industry that provide inputs to the firm
(D) fdi into industry that uses the firm\s output
Correct Answer - Option (B)

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Ram Sharma • 188.81K Points
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109) If the central bank purchases assets, it will result in:

(A) An increase in the money supply.
(B) An increase in the central bank's net worth.
(C) A decline in the money supply.
(D) A decline in the central bank's net worth.
Correct Answer - Option (A)

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Ram Sharma • 188.81K Points
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110) If there is a decline in output, to keep the exchange rate fixed, the central bank has to:

(A) Purchase foreign assets
(B) Purchase domestic assets.
(C) Sell domestic assets.
(D) Sell foreign assets.
Correct Answer - Option (D)

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