Electronic Banking MCQs Chapter 3

Transactions of Internet Banking exclude___________.

A. Withdrawal of cash anywhere in India.
B. Statement of account for a specific period.
C. transfer of funds from one account to another account.

D. balance enquiry
ANSWER: A


In saving account deposits interest is paid on _________ balance in the account between 10 th to last day of month.

A. maximum
B. average
C. minimum
D. last balance at the end of month
ANSWER: C


Cheque is payable on _______

A. demand
B. usage
C. fixed future date
D. after sight

ANSWER: A


A bank on whom a cheque is drawn by the customer is__________.

A. Collecting Bank
B. Paying Bank
C. Advising Bank
D. Issuing Bank

ANSWER: B


The banking which allows banks to set up retail branches on subscriber based online services is____________.

A. Online services based banking
B. Offline services based banking
C. Intranet services based banking

D. electronic services based banking
ANSWER: A


To create tamper proof electronic cash that can be traced back to its origin.What is used

A. Complex Cryptographic Algorithm
B. Multicomplex Cryptographic Algorithm
C. Single Cryptographic Algorithm
D. Group Cryptographic Algorithm ANSWER: A


_____________ is an example of an auction site.

A. E-bay
B. Ibibo
C. Facebook

D. Orkut
ANSWER: A


A credit card is__________

A. electronic card both withdraw and deposit purpose

B. electronic card only for loan purpose
C. electronic card only for withdraw purpose
D. electronic card only for deposit purpose
ANSWER: B


A debit card is used only for______________.

A. electronic card both withdraw and deposit purpose

B. electronic card only for shop purpose
C. electronic card only for withdraw purpose
D. electronic card only for deposit purpose.
ANSWER: A


The responsibility of a certification authority for digital signature is to authenticate the_____________.

A. cash function used
B. private keys of subscribers

C. public keys of subscribers

D. key used in DES
ANSWER: A


Certification of Digital signature by an independent authority is needed because__________

A. it is safe
B. it gives confidence to a business
C. the authority checks and assures customers that the public key indeed belongs to the business which
claims its ownership.
D. private key claimed by a sender may not be actually his.
ANSWER: B


The secure Electronic Transaction protocol is used for__________.

A. Credit card payment
B. cheque payment
C. electronic cash payments
D. payment of small amounts for internet services.

ANSWER: C


Which of the following instruments is used by public to directly lend to the Government

A. Bank Deposits
B. Public Provident Fund
C. T-bills
D. Certificate of Deposit

ANSWER: B


SWIFT have __________digital code number

A. 11
B. 5

C. 6

D. 10
ANSWER: A


Which of these services would you probably not be able to get from a typical Internet Service Provider(ISP)

A. Access to a Web server
B. A Connection to the Internet

C. Technical help
D. Free Windows upgrades
ANSWER: D


A Widely used method that uses the same key to encrypt and decrypt a data transmission is referred to as___________.

A. PKI
B. Digital Signature

C. DES
D. G2C
ANSWER: B


Adigital certificate________________.

A. is an electronic message uniquely identifying the message sender.

B. is a summary of a plain text document.
C. is a reliable third party that authenticates the message sender.
D. is used to identify the owner of a private key and related public key.
ANSWER: D


Select the important factor required for gaining acceptance of smart cards.

A. availability with all the citizens.
B. availability of smart card readers,compatibility between smart cards.
C. cheap
D. easy access

ANSWER: B


SMART stands for:Specific,Measurable,__________,Relevant and Tangible.

A. Accurate
B. Actionable
C. Accountable
D. Achievable

ANSWER: D


Electronic payment system is a __________.

A. Software
B. Hardware
C. Application
D. Package

ANSWER: C


The Secure Electronic Transaction Protocol is used for________.

A. Credit Card payment
B. Cheque Payment
C. Electronic Cash Payments
D. Payment of small amounts for internet Services

ANSWER: A


M banking means

A. To perform actions on his/her mobile device.

B. To perform actions on his/her internet Service.

C. To perform actions on his/her Webpage.
D. To perform actions on his/PC
ANSWER: A


Offline data entry is preferable when

A. data should be entered without error.
B. the Volume of data to be entered is large.

C. the Volume of data to be entered is small.

D. information is to be processed periodically.
ANSWER: B


E-Cash means___________.

A. To transfer money between different parties over a network. B. To transfer cheque between different parties over a network.

C. To Credit money between different parties over a network.

D. To credit cheque between different parties over a network.
ANSWER: A


Addition of the name of a banker across the face of a cheque is called as__________.

A. general crossing
B. special crossing
C. upper crossing
D. lower crossing

ANSWER: B


If the crossing on a cheque is cancelled it is called as____________.

A. Closing of the crosing
B. Opening of the crossing
C. Special crossing

D. General Crosing

ANSWER: B


The relationship between a banker and a customer is____________.

A. that of a debtor and creditor
B. that of a creditor and a debtor
C. primarily that of a debtor and a creditor.
D. that of a debtor and agent.

ANSWER: C


In executing the standing instructions there exists a relationship of__________.

A. debtor and creditor
B. trustee and beneficiary
C. bailee and bailor
D. Agent and principal

ANSWER: D


The banker has a statutory obligation to__________.

A. honour customers cheques
B. exercise lien
C. maintain secrecy of his customers accounts.
D. honour customers bills.

ANSWER: A


The following one does not constitute a settlement of account as far as a pass book is concerned.

A. A wrong entry favourable to a customer
B. A wrong entry favourable to a banker
C. A fictitious entry
D. A wrong entry favourable to an agent. ANSWER: C


The following one is a negotiable instrument negotiable by usage or custom is__________.

A. A wrong entry favourable to a customer
B. A wrong entry favourable to a banker.
C. A fictitious entry
D. A wrong entry favourable to an agent. ANSWER: C


A Cheque which is not crossed is called___________.

A. uncrossed cheque
B. open cheque
C. order cheque
D. bearer cheque

ANSWER: D


Endorsement signifies that the_________.

A. endorser has got a good title.
B. endorsers signature is genuine
C. previous endorsements are genuine
D. All of the above.

ANSWER: D


The important delivery channel of E-banking is____________.

A. homebanking
B. telebanking
C. Internet banking
D. mobile banking

ANSWER: C


The biggest constraint in E-banking is___________.

A. start up cost
B. maintenance cost
C. training cost
D. Security cost

ANSWER: A


The credit card offers ________.

A. revolving credit for certain period
B. payoff the entire amount of card usage.

C. on line recover of amount of card usage.

D. only amount
ANSWER: A


The debit card offers__________.

A. revolving credit for certain period
B. payoff the entire amount of card usage.

C. Online recover of amount of card usage.

D. only amount
ANSWER: C


The charge Card offers__________.

A. revolving credit for certain period
B. payoff the entire amount of card usage. C. online recover of amount of card usage.

D. only amount
ANSWER: B


Mobile banking offers the following.

A. Withdrawal of cash anywhere in India.
B. Statement of account for a specified period.
C. Transfer of funds from one account to another account

D. Balance enquiry
ANSWER: D


 

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