RAMAT POLYTECHNIC MAIDUGURI
FIRST SEMESTER EXAMINATION
COURSE TITLE: ELEMENT OF BANKING
COURSE CODE:
TIME: 1 HOUR 30MINUTE
INSTRUCTION: ATTEMPT ALL THE QUESTION IN SECTION ( A)
SECTION A
1. ……………………………….. Can be define as anything that is generally acceptable to serve as
medium of exchange and that can act as measure of store of value.
a. Car
b. Money
c. House
d. Insurance
2. ………………..refers to exchange of goods for goods
a. Money
b. Trade by barter
c. Non of the above
d. All of the above
3. What is the full meaning of CBN?
a. Central Bank of Nigeria
b. Central Bond of Nigeria
c. Non of the above
4. When was CBN Establish?
a. 1990
b. 1970
c. 1958
d. 1930
5. …………. Is an Example of commodity money
a. Treasury Bill
b. Bond
c. Debenture
d. Tobacco
6. …………….. is an example of metal money.
a. Coins
b. Treasury bills
c. Salt
d. Non of the above
7. What is the full meaning of BOFIA?
a. Bank and other financial institution Agent
b. Bank and other financial institution Allien
c. Bank and Other Financial Institutions Act.
d. Non of the above
8. Money have the following characteristics except.
a. Portability
b. Generally acceptable
c. Divisibility
d. Not Durable
9. ………………. Means money should be capable of being divided into smaller unit.
a. Divisibility
b. Homogeneity
c. Durability
d. Non of the above
10. ……………….. is type of money except .
a. Paper money
b. Commodity money
c. Machine money
d. Non of the above
11. …………………………..refer to monetary value stored in electronic form on an electronic
devices.
a. Paper money
b. Metallic money
c. E – money
d. Non of the above
12. Commercial Bank is divided into …………………………………..
a. Regional, National and Local government
b. Regional, National and national
c. Regional, National and international
d. Non of the above
13. What is the start up capital for National Banks.
a. 50 billion Naira
b. 25 billion Naira
c. 10 billion Naira
14. What is the start up capital for international banks?
a. 25 billion Naira
b. 50 billion Naira
c. 10 billion Naira
15. What is the banking model authorised by CBN ?
a. Commercial banking, merchant banking and specialized banks.
b. First bank, union bank and Eco bank.
c. Jaiz bank, Polaris bank and Zenith Bank.
16. ………………………..is an example of commercial bank.
a. First bank
b. CBN
c. Non of the above
17. ………………………………is the Apex Bank
a. GT bank
b. Union bank
c. CBN
18. ……………………………is an example of near money
a. Gold
b. Silver
c. Treasury bill
19. …………………………… is a bank that accept deposit from the customers and grant loan and
advances .
a. Insurance policy
b. Commercial bank
c. Non of the above
A
20. All are problem associated with barter system except one.
a. Problem of indivisibility of goods
b. Difficulty in storing of wealth
c. They have common measure of value
21. Lack of double coincidence of want is a problem associated to ?
a. Money
b. Trade by barter
c. Transportation
d. Non of the above
22. The Barclays bank is later change to which bank?
a. Polaris bank
b. Key stone bank
c. Union bank
SECTION (B) TRUE OR FALSE
23. Commercial banks act as custodians of valuable of their customers. TRUE or FALSE
24. Salt is an example of commodity money. TRUE or FALSE
25. Money serve as store of value. TRUE or FALSE
26. CBN as the function of issuance of legal tender currency note. TRUE or FALSE
27. Trade by barter have the problem of difficulty in storing wealth. TRUE or FALSE
28. Homogeneity is one of the characteristic of money. TRUE or FALSE
29. Bank make profit through lending process by extending loans to their customers. TRUE
or FALSE
30. Money can be use to make defferred payment. TRUE or FALSE
31. CBN act as banker and financial adviser to the federal government. TRUE or FALAE
32. ATM is divided into debit card and credit card. TREUE or FALSE
33. What is the full meaning of PIN?
a. Personal interacting number
b. Personal identification number
c. Personal important number
34. Another name for E- banking is known as online Banking. TRUE or FALSE
35. E- Banking allows customers to use an electronic and communication network to access
their account information. TRUE or FALSE
36. Mobile banking is a type of E-banking . TRUE or FALSE
37. The full meaning of ATM is , Automated teller Machine, TRUE or FALSE
38. The full meaning of EFT is, electronic fund Transfer. TRUE or FALSE
39. Some example of E- banking service include balance enquiries, fund transfer Airtime
recharge. TRUE or FALSE
40. One of the disadvantage of E- banking is transaction problems. TRUE or FALSE
41. Convenience is one of the advantages of E – banking. TRUE or FALSE
42. One of the important of E- banking is that , it reduce the risk of raw cash to robbers.
TRUE or FALSE
43. E-banking facilitates E- commerce. TRUE or FALSE
44. Personal computer Banking is not a type of E- banking. TRUE or FALSE
45. Money should be of the same quality TRUE or FALSE
46. Low cost in banking services is an advantage of E- banking TRUE or FALSE
47. Transaction problem is not a disadvantage of E- banking TRUE or FALSE
48. E-banking facilitate E-commerce TRUE or FALSE
49. Trade by barter associate with problem of difficulty in storing of wealth TRUE or FALSE
50. CBN have the power to issue license and supervision TRUE or FALSE
