Banking MCQs
McQs. Of Cheque ,endorsement, Crossing of Cheque, interest free financing, negotiable
instruments and letter of credit
for Final exams
1. Which is the most secure way of payment through cheque?
A) Bearer cheque
B) Open cheque
C) Crossed cheque
D) None of above
Ans. C
2. Which one of the following is included in the parties of cheque ……… ?
(A) Drawer
(B) Drawee
(C) Payee
(D) All of the above
Ans. (D)
3. Cheque is a…… instrument
(A) Credit instrument
(B) Debit instrument
(C) Negotiable instrument
(D) None of the above
Ans. (A) & (C)
4. Which one of the following included in the kinds of a cheque ;
A) Bearer cheque
B) Open cheque
C) Crossed cheque
D) All of above
Ans. (D)
5. When a bank refuses to make the payment of cheque on technical grounds is known by:
A) Honor of the cheque
B) Cancelling of cheque
C) Dishonor of cheque
D) Settlement of the cheque
Ans. (C)
6. A cheque is expired after the period of :
A) 2 month
, B) 4 month
C) 6 month
D) Non of these
Ans. (C)
7. A cheque which is torn into pieces is know by:
A. Stale Cheque
B. Outdate Cheque
C. Expired cheque
D. Postdated Cheque
Ans. (A)
8. The person who receives the payment of credit instrument is known as?
A) Drawer
B) Drawee
C) Payee
D) None of these
And. (C)
9. When the word bearer is crossed on a cheque, the cheque becomes____________.
A. Bearer cheque
B. Order cheque
C. Semi-bearer cheque
D. Open cheque
Ans. (B)
10. A check written with a future date is know by:
A. Stale Cheque
B. Outdate Cheque
C. Expired cheque
D. Postdated Cheque
Ans. (D)
11. Endorsement signifies that the.....?
A. Endorser has got a good title of instrument
B. Endorser's signature is genuine
C. Previous endorsement are genuine
D. of the above
Ans. (D)
12. Which one of the following is not the type or form of endorsement:
A. Blank Endorsement
B. Full Endorsement
McQs. Of Cheque ,endorsement, Crossing of Cheque, interest free financing, negotiable
instruments and letter of credit
for Final exams
1. Which is the most secure way of payment through cheque?
A) Bearer cheque
B) Open cheque
C) Crossed cheque
D) None of above
Ans. C
2. Which one of the following is included in the parties of cheque ……… ?
(A) Drawer
(B) Drawee
(C) Payee
(D) All of the above
Ans. (D)
3. Cheque is a…… instrument
(A) Credit instrument
(B) Debit instrument
(C) Negotiable instrument
(D) None of the above
Ans. (A) & (C)
4. Which one of the following included in the kinds of a cheque ;
A) Bearer cheque
B) Open cheque
C) Crossed cheque
D) All of above
Ans. (D)
5. When a bank refuses to make the payment of cheque on technical grounds is known by:
A) Honor of the cheque
B) Cancelling of cheque
C) Dishonor of cheque
D) Settlement of the cheque
Ans. (C)
6. A cheque is expired after the period of :
A) 2 month
, B) 4 month
C) 6 month
D) Non of these
Ans. (C)
7. A cheque which is torn into pieces is know by:
A. Stale Cheque
B. Outdate Cheque
C. Expired cheque
D. Postdated Cheque
Ans. (A)
8. The person who receives the payment of credit instrument is known as?
A) Drawer
B) Drawee
C) Payee
D) None of these
And. (C)
9. When the word bearer is crossed on a cheque, the cheque becomes____________.
A. Bearer cheque
B. Order cheque
C. Semi-bearer cheque
D. Open cheque
Ans. (B)
10. A check written with a future date is know by:
A. Stale Cheque
B. Outdate Cheque
C. Expired cheque
D. Postdated Cheque
Ans. (D)
11. Endorsement signifies that the.....?
A. Endorser has got a good title of instrument
B. Endorser's signature is genuine
C. Previous endorsement are genuine
D. of the above
Ans. (D)
12. Which one of the following is not the type or form of endorsement:
A. Blank Endorsement
B. Full Endorsement
