This quiz works best with JavaScript enabled. Home > Class 10 > Class 10 Economics Chapter 3 Money And Credit – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 10 Economics Chapter 3 Money And Credit Quiz 3 (25 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Interest rate, collateral and documentation requirement, and the mode of repayment together comprise what is called the ..... A) Conditions of burrowing. B) Term deposits. C) Terms of credit. D) None of the above. Show Answer Correct Answer: C) Terms of credit. 2. A ..... is the apex institution of monetary system of a country. A) Central Bank. B) State Bank. C) Grame. D) None of the above. Show Answer Correct Answer: A) Central Bank. 3. Riks bank was established in the year A) 1668. B) 1694. C) 1913. D) 1674. Show Answer Correct Answer: A) 1668. 4. Besides banks, the other major source of cheap credit in rural areas A) Money lenders. B) Relatives. C) Cooperative societies. D) Friends. Show Answer Correct Answer: C) Cooperative societies. 5. What will be collateral for a car loan? A) Stamp on vehicle registration papers. B) Registration papers. C) Installments. D) Interest payment. Show Answer Correct Answer: A) Stamp on vehicle registration papers. 6. Organization which supervises the credit activities of lenders in the informal sector? A) No organisation. B) Reserve bank of India. C) State government. D) Central government. Show Answer Correct Answer: A) No organisation. 7. Which one of the following is not a formal source of credit? A) Commercial Banks. B) State Bank of India. C) Employers. D) Co-operatives. Show Answer Correct Answer: C) Employers. 8. Which of the following statements is true? A) As per Indian law, apart from RBI, no other individual or organisation is allowed to issue currency. B) The law legalises the use of rupees as a medium of payment that cannot be refused in settling transactions in India. C) No individual in India can legally refuse a payment made in rupees. D) All of the above. Show Answer Correct Answer: D) All of the above. 9. In modern Economy, Money is used as medium of exchange. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 10. RBI stands for A) Reserve Bank Of India. B) Ruler Birth Index. C) All the above. D) None of the above. Show Answer Correct Answer: A) Reserve Bank Of India. 11. ..... help borrowers overcome the problemof lack of collateral and also they are the building blocks of organization of the rural poor. A) Banks. B) Co-operatives. C) Government. D) SHGs. Show Answer Correct Answer: D) SHGs. 12. The deposits in which the savings can be withdrawn at short notice and the bank is liable to pay it on demand, is also called as A) Time deposits. B) Fixed deposits. C) Demand deposits. D) Recurring deposits. Show Answer Correct Answer: C) Demand deposits. 13. Which state accounts for maximum percentage of SHGs (self-help groups) in bank credit? A) Andhra Pradesh. B) Tamil Nadu. C) Kerala. D) Compare. Show Answer Correct Answer: A) Andhra Pradesh. 14. Banks in India these days hold about ..... of their deposits as cash. This is kept as a provision to pay the depositors who might come to withdraw money from the bank on any given day. A) 15%. B) 20%. C) 25%. D) 30%. Show Answer Correct Answer: A) 15%. 15. An asset that the borrower owns (such as land, building, vehicle, livestock, deposits with banks) and uses this as a guarantee to a lender until the loan is repaid. A) Loan. B) Collateral. C) Credit. D) None of the above. Show Answer Correct Answer: B) Collateral. 16. M. Salim wants to withdraw Rs 20, 000 in cash for making payments to Prem after Prem receives the money he deposits it in his own account? What is the result? A) Salim's balance in his bank account increases, and Prem's balance increases. B) Salim's balance in his bank account decreases and Prem's balance increases. C) Salim's balance in his bank account increases and Prem's balance decreases. D) None of the above. Show Answer Correct Answer: B) Salim's balance in his bank account decreases and Prem's balance increases. 17. Name the system in which the double coincidence of wants is an essential feature. A) Barter system. B) Money economy. C) Global economy. D) None of these. Show Answer Correct Answer: A) Barter system. 18. Identify the primary Or main function of money A) Standard of deferred payments. B) Store of value. C) Transfer of value. D) Measure of value. Show Answer Correct Answer: D) Measure of value. 19. The ..... supervises the functioning of formal sources of loans. A) Commercial bank. B) Private bank. C) Reserve Bank of India. D) None of the above. Show Answer Correct Answer: C) Reserve Bank of India. 20. The commodity money which is used in China was A) Cattle. B) Sheep. C) Teeth. D) Gold. Show Answer Correct Answer: C) Teeth. 21. The ..... legalises the use of rupee as a medium of payment that cannot be refused in settling transactions in India. A) Government. B) Law. C) Court. D) Prime Minister. Show Answer Correct Answer: B) Law. 22. The currency is authorised by the ..... of the country A) Government. B) The Reserve of Bank. C) The Central Bank of India. D) The Federal Bank of India. Show Answer Correct Answer: B) The Reserve of Bank. 23. Formal sector loan sources are ..... A) Money lenders, friends, relatives. B) Land owners, employers. C) Banks, Cooperative societies, SHGs. D) Reserve Bank of India, The World Bank. Show Answer Correct Answer: C) Banks, Cooperative societies, SHGs. 24. ..... is called the medium of exchange A) Cheque. B) Deposits. C) Money. D) Bitcoins. Show Answer Correct Answer: C) Money. 25. Grameen Bank started in ..... year A) 1970s. B) 1980s. C) All the above. D) None of the above. Show Answer Correct Answer: A) 1970s. ← PreviousNext →Related QuizzesClass 10 Economics Chapter 3 Money And Credit Quiz 1Class 10 Economics Chapter 3 Money And Credit Quiz 2Class 10 Economics Chapter 3 Money And Credit Quiz 4Class 10 Economics Chapter 3 Money And Credit Quiz 5Class 10 Economics Chapter 3 Money And Credit Quiz 6Class 10 Economics Chapter 3 Money And Credit Quiz 7Class 10 Economics Chapter 3 Money And Credit Quiz 8Class 10 Economics Chapter 3 Money And Credit Quiz 9Class 10 Economics Chapter 3 Money And Credit Quiz 10Class 10 Economics Chapter 3 Money And Credit Quiz 11 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books