TEST SUPPLEMENT -11

Forex
No Multiple Choice Question Ans
1 What is the implementation date of FEMA 1999? d
a. 31.05.1999
b. 01.06.1999
c. 31.05.2000
d. 01.06.2000
2 Which of the following is not a correct type of category of Authorised Dealers d
under FEMA 1999?
a. Authorised Dealer category I
b. Authorised Dealer category II
c. Authorised Dealer category III
d. Authorised Dealer category IV
3 What is the full form of UCPDC? b
a. Unilateral Customs and Practices for Demand Credit
b. Uniform Customs and Practices for Documentary Credit
c. Uniform Customs and Principles for Documentary Credit
d. Uniform Customs and Practices for Demand Credit
4 Which of the following authority regulates Foreign Trade in India? a
a. DGFT
b. SEBI
c. EXIM Bank
d. RBI
5 Pre-shipment credit in foreign currency can be allowed at which of the following c
interest rates?
a. EURIBOR
b. EURO LIBOR
c. LIBOR
d. All of the above
6 In case of deemed exports, the advance at post-shipment period is required to a
be liquidated within how many days?
a. 30 days
b. 60 days
c. 90 days
d. 180 days
7 Under Gold Card Scheme for exporters, the banks are required to sanction a b
standby limit of not less than ……………….. of the assessed limit
a. 10%

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b. 20%
c. 25%
d. 30%
8 Who was the chairman of High Level Committee on Balance of Payment? d
a. Dr Manmohan Singh
b. Deepak Mohanty
c. Dr Y V Reddy
d. Dr C Rangarajan
9 What is LERMS in terms of exchange rate mechanism? c
a. Liberalised Exchange Rate Monitoring System
b. Liberalised Export Regime & Monitoring System
c. Liberalised Exchange Rate Management System
d. None of the above
10 Under LERMS what percentage of Forex was required to be converted at RBI b
official rate?
a. Nil
b. 40%
c. 60%
d. 100%
11 Which currency is known as base currency in terms of Exchange Rate c
Mechanism?
a. The currency with lowest value is base currency
b. The currency which is freely convertible
c. One unit of fixed amount of currency
d. None of the above
12 Which currency is known as Terms Currency in terms of Exchange Rate a
Mechanism?
a. The currency which is quoted as variable amount
b. The currency which is freely convertible
c. Currency which dictates terms of market
d. None of the above
13 What is known as two way quote in exchange rate mechanism? b
a. Quoting the rates both with the buyer and with the seller
b. Quoting the buying and selling rate at the same time
c. Both of the above
d. None of the above
14 Foreign Currency Non-Resident (Banks) account can be opened in the name of d
which of the following?

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a. Non-resident Indian
b. Person of Indian origin
c. Overseas Corporate Bodies
d. Both a and b
15 Drawal of foreign Exchange by a person in India is not permitted in respect of d
which of the following?
a. Transactions with persons resident in Nepal and Bhutan
b. Travel to Nepal and Bhutan
c. Transactions given in Schedule 1 of FEMA
d. All of the above.
16 Which of the following methods is applied for quoting the foreign exchange b
rates in India?
a. Cross rates
b. Direct rate
c. Indirect rate
d. Buying rate
e. Selling rate
17 Overseas Corporate Bodies means: b
a. 50% by NRIs and balance by resident Indians.
b. 60% by NRIs irrespective of balance holdings
c. 70% by NRI
d. 60% by NRIs and balance by Government
18 Under, UCPDC-600, the term “ Middle” of a month shall be construed as c
a. Second week of the month
b. Third week of the month
c. 11th to 20th day of the month
a. 5th to 15th day of the month
19 As per the article 5 of the UCPDC-600, Banks deals with c
a. Goods and services
b. Performance of the contract
c. Documents only
b. None of the above.
20 Repatriation of funds held in NRO Account can be done upto………….. c
a. USD 10000 per FY without payment of tax
b. USD 100000 per FY after payment of tax
c. USD 1 million per FY after payment of tax
d. Repatriation can‟t be done from NRO account
21 M/s Arun Exports has achieved an export performance of $ 5million a

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cumulatively in current plus previous two financial years. What will be its status
under FTP 2015-20?
a. One Star Export House
b. Two Star Export House
c. Three Star Export House
d. Four Star Export House
e. Five Star Export House
22 M/s Rajeev Exports which is a Small unit as per MSME classification has achieved a
an export performance of $ 2 million cumulatively in current plus previous two
financial years. What will be its status under FTP 2015-20?
a. One Star Export House
b. Two Star Export House
c. Three Star Export House
d. Four Star Export House
e. Five Star Export House
23 M/s Rajeev Exports which is a Small unit as per MSME classification has achieved a
an export performance of $ 20 million cumulatively in current plus previous two
financial years. What will be its status under FTP 2015-20?
a. One Star Export House
b. Two Star Export House
c. Three Star Export House
d. Four Star Export House
e. Five Star Export House
24 The Outstanding Export bills are to be reported to RBI at: b
a. Half yearly intervals at March and September
b. Half yearly intervals at June and December
c. Quarterly intervals at the end of the quarter
a. Fortnightly basis on 15th and last day of the month
25 An EEFC account can be opened as: b
a. Savings Bank account
b. Current Account
c. FD/KD accounts
b. SB/CA /FD/KD accounts
26 Under Whole-turnover packing Credit policy covered with ECGC i.e., ECIB-WTPC, c
the percentage of cover for Small Scale Exporter accounts:
a. 75% up to Grade percentage limit
b. 55% to 75% depending on the Claim percentage
c. 90% of the limit

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d. 65% of the limit

27 What is the eligibility criteria for defining an exporter as Small Scale Exporter as a
per ECIB-WTPC/WTPS of ECGC?
a. Annual export turnover upto Rs.50 lakhs
b. Annual export turnover upto Rs.100 lakhs
c. Annual export turnover upto Rs.200 lakhs
d. There is no such category
28 M/s Ramji Exports had availed Packing Credit of Rs.50 Crore from Canara Bank c
which is defaulted. Canara Bank wants to invoke guarantee from ECGC under
WTPC. What will be the maximum amount which will be paid by ECGC under
WTPC?
a. 40.00 Crore
b. 37.50 Crore
c. 32.50 Crore
d. 25.00 Crore
29 M/s Sukanya Exports had availed Packing Credit of Rs.40 Crore from Canara b
Bank which is defaulted. Canara Bank wants to recover its dues by invoking
guarantee from ECGC under WTPC. What will be the maximum amount which
will be paid by ECGC under WTPC?
a. 32.00 Crore
b. 30.00 Crore
c. 26.00 Crore
d. 20.00 Crore
30 What will be the percentage of cover available to our bank under ECIB-WTPS for c
amount upto Rs.1992.17 lakhs for bills drawn on non associate non policy
holder exporter?
a. 65%
b. 70%
c. 75%
d. 90%
31 The importer has to use Form A1, if the import payment exceeds: e
a. USD 500000 or its equivalent
b. USD 100000 or its equivalent
c. USD 5000 or its equivalent
d. USD 10000 or its equivalent
e. Use of Form A1 since dispensed with
32 The time limit for settlement of usance bills under import payment for capital c
goods is:
a. Maximum 6 months from the date of shipment.
b. Maximum 12 months from the date of shipment

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c. Maximum up to the period less than 3 years.

d. Maximum 6 months from the date of documents.
33 AD banks may approve trade credits per import transaction for individual c
transaction up to :
a. USD 1 million
b. USD 10 million
c. USD 20 million
d. USD 1 billion
34 The PCFC will be available for the maximum period of : d
a. 90 days
b. 180 days
c. 270 days
d. 360 days
35 If all the terms and conditions of shipment are given on the bill of lading b
document itself, such bill of lading is called as:
a. Complete bill of lading
b. Long form bill of lading
c. Short form bill of lading
d. Straight bill of lading
36 The bill of lading which covers the entire voyage covering more than one vessel c
is called as:
a. Straight bill of lading
b. Chartered party bill of lading
c. Through Bill of lading
d. Claused Bill of lading
37 The bill of lading which covers the entire voyage including overland journey of b
goods is called as:
a. Straight bill of lading
b. Combined transport bill of lading
c. Through Bill of lading
d. Claused Bill of lading
38 Any Bill of lading is safe for negotiation purposes if d
a. It acknowledges that the goods have been put on board of the shipment.
b. No superimposed clause or notation that expressly declares the defective
condition of the goods
c. It is an acknowledgement that the goods have been received by the ship
owners for shipment.
d. Both a and b
39 In case of usance bills, the Normal Transit period (NTP) as prescribed by FEDAI c
is
a. 5 days
b. 15 days

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c. 25 days
d. 3 days
40 The exporter should necessarily submit the export documents to the bank d
within:
a. 15 days from the date of the documents
b. 15 days from the date of shipment
c. 21 days from the date of the documents
d. 21 days from the date of shipment
41 In an international trade transaction, when the seller places the goods at the c
side of the ship at named port and also clears the goods for Export, which
Incoterms will be used?
a. FCA- Free Carrier
b. FOB – Free on Board
c. FAS – Free Alongside Ship
d. DAP – Delivery at
42 INCOTERMS issued by ICC, Paris is called as : b
a. Indian company terms
b. International Commercial Terms
c. International Contract terms
d. None of the above
43 Incoterms 2010 which is in practice now a days, is applicable since ……… b
a. 01.12.2010
b. 01.01.2011
c. 01.10.2010
d. 01.05.2011
44 How many Incoterms are prescribed under INCOTERMS 2010? b
a. 10
b. 11
c. 12
d. 13
45 Which of the following is not an Incoterms 2010 for exclusive sea and inland b
waterway transport?
a. FOB
b. CIP
c. CIF
d. CFR
46 Balance of Trade means: d
a. Net position of capital account
b. Current account balance
c. Imports less exports

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d. Exports less imports

47 A contract which affords adequate protection to an exporter or an importer d
against exchange risk is :
a. Hedging
b. Guarantee
c. Letter of Credit
d. Forward Contract
48 The Balance in hand at the close of the day is called: c
a. Short position
b. Long position
c. Overnight position
d. Day light position
49 The banks which may purchase or sell foreign currency in different markets to c
take advantages of the rate differentials is called:
a. Hedging
b. SWAP
c. Arbitrage
d. Cover deal
50 A person does a transaction with Spot value on 28th February 2017 (Friday), then b
the settlement for this transaction will be done on :
a. 3rd March 2017
b. 4th March 2017
c. 5th March 2017
d. On the same day
51 Which of the following can remit up to USD 250000, under RBI‟s Liberalised a
Remittance scheme?
a. All resident individuals
b. Resident companies
c. All NRIs
d. Resident partnership firms
e. Resident HUFs and Trusts
52 Visit by a resident Indian to which of the following countries are not eligible for e
obtaining foreign exchange under forex facilities to residents?
a. All SAARC countries
b. All EEC countries
c. All CIS countries
d. Iraq and Libya
e. Nepal and Bhutan

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53 General permission is available to any resident individual to surrender received c

/ realised /unspent forex within a period of
a. 60 days
b. 90 days
c. 180 days
d. No time limit
54 Any resident Indian can hold/take Indian rupees during their travel abroad up to c
except Pakistan and Bangladesh:
a. Rs.7500
b. Rs.10000
c. Rs.25000
d. No limit
55 What is the maximum amount of remittance that AD banks can make for import d
payment where documents are directly received by importers:
a. USD 25000
b. USD 100000
c. USD 200000
d. USD 300000
56 An exporter received advance against export supply can accept the advance and d
pay maximum interest rate of:
a. BPLR
b. BPLR + 100 bps
c. LIBOR
d. LIBOR + 100 bps
57 Under UCPDC-600, the documents must be presented by or on behalf of the d
beneficiary for payment, not later than ___________ after the date of shipment,
but in any event not later than the expiry date of the credit
a. 21 banking days
b. 21 business days
c. 21 working days
a. 21 calendar days
58 Under UCPDC-600, if the expiry date of a credit or the last day for presentation c
falls on a day when the bank to which presentation is to be made is normally
closed, the expiry date or the last day for presentation, as the case may be will
be:
a. the first preceding banking day
b. the first following day
c. the next following business day

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d. the first preceding business day

59 Which of the following is NOT a capital account transaction? c
a. Investment in foreign securities.
b. Transfer of immovable property outside India
c. Export and import in to India
d. Raising foreign currency loans in India and abroad
60 The foreign exchange can be released as Currency notes / Coins up to : d
a. USD 3000 or its equivalent
b. USD 5000 or its equivalent in case of Iraq and Libya
c. No ceiling in case of Iran, Russian Federation, and other republics of
commonwealth of independent countries
d. All of the above
61 Which is not correct in case of outward remittances under Liberalised c
Remittance Scheme:
a. Remittance for any purpose specifically prohibited under Schedule-1 of
FEMA
b. Remittances made to Bhutan, Nepal, Mauritius or Pakistan are not
permitted
c. Remittances can be made by any Resident Corporate, Partnership firms,
HUFs, Trusts etc.
d. It is mandatory to have PAN number to make remittances
62 While quoting the rates, the banks take into account the time factor i.e. how d
much is going to be taken to get the purchased currency credited to the NOSTRO
account abroad. This date is known as:
a. Cash date
b. Spot date
c. Forward Date
d. Value date
63 FCNR(B) deposits can be opened as Term deposit for the period: b
a. Minimum 15 days , Maximum 10 years
b. Minimum 1 year, Maximum 5 years
c. Minimum 1 year 1 day, Maximum 2 years
d. Minimum 1 year, Maximum 10 years
64 The NRE/ NRO accounts can be opened by NRI/PIO as a joint accounts with close c
relatives who are resident Indian under _____________ condition:
a. Either or Survivor
b. Jointly
c. Former or Survivor

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d. Can‟t be opened with resident Indian

65 Which is true in NRO account: c
a. Any person who is a resident can open the account.
b. Any person resident in Nepal and Bhutan can open.
c. Additional preferential interest rate for staff deposit not available
d. No restriction in repatriation of funds from NRO accounts
66 Resident Foreign Currency (Domestic) account can be opened as a
a. Only Current account
b. SB/ CA
c. Term deposits only
d. SB/CA and Term deposits
67 SIBOR means c
a. Symbolic inter-bank Offered rate
b. Sri Lanka Inter-bank Offered rate
c. Singapore Inter-bank Offered rate.
d. Systematic Inter-bank Offered rate
68 The rate that Indian banks and other derivative market participants use as a c
benchmark for setting prices on forward rate agreements and interest rate
derivatives:
a. London Inter-bank offered rate[LIBOR]
b. Mumbai inter-bank offered rate[MIBOR]
c. Mumbai Inter-bank Forward Offered rate [ MIFOR]
d. Euro Inter-bank offered rate [ EURIBOR]
69 Under, UCPDC – 600, the words “about” or “approx” used in connection with the b
amount of LC or quantity of goods, or price per unit, the LC are to be construed
as allowing a tolerance not to exceed___________ the amount, quantity, or price
to which they refer:
a. 15% more or 15% less than
b. 10% more or 10% less than
c. 5% more or 5%less than
d. 2% more or 2% less than
70 Under UCPDC-600, a bank assumes no responsibility for consequences arising b
out of the interruption of its business by the Acts of God, riots, civil
commotions, insurrections, wars, acts of terrorism, or by any strikes or lockouts
or causes beyond its control. This is called as:
a. Disclaimer
b. Force majeure
c. Modus operandi

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d. Exclusion of liability
71 Which of the following is most preferred LC for an exporter: c
a. Revocable
b. Irrevocable and red clause
c. Irrevocable, confirmed and without recourse
d. Confirmed and standby
72 LC issued in lieu of bank guarantee, is called: c
a. Red clause LC
b. Green Clause LC
c. Standby LC
d. Revolving LC
73 Transferable Letter of credits can be transferred: b
a. Any number of times
b. Only once
c. 2 times
d. 5 times
74 The statutory authority which administers the Exchange Control in India: d
a. Ministry of commerce
b. DGFT
c. FEDAI
d. RBI
e. FEMA
75 In foreign Exchange transaction, which of the following is the basic buying rate: b
a. Bills Buying rate
b. TT Buying rate
c. FC buying rate
d. Direct rate
e. Interbank rate
76 Under UCPDC-600, branches of same bank in different countries are: b
a. Same bank
b. Different bank
c. Associate bank
d. Subsidiary bank
77 In respect of sale or purchase of foreign exchange, the following principal would c
be followed in direct rate:
a. Buy high
b. Sell low

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c. Buy low, sell high

d. Buy high, sell low
78 Mr. Rajiv, a resident of Bangalore, had shifted to USA for employment and c
settled there itself. While in USA, he married a USA girl, Martina, What is the
status of Martina as per FEMA?
a. An Indian Resident
b. Foreigner
c. A person of Indian origin
d. Non-resident Indian
79 R-Return refers to returns concerning_________: d
a. ALM Position
b. CRR maintenance position
c. NPA/SWL position
d. Foreign Exchange transactions
80 IF the contraventions of any direction given by RBI under FEMA or to file a e
return as per the Act, RBI can impose additional fine that may extend up to:
a. Rs.200 per day
b. Rs.500 per day
c. Rs.1000 Per day
d. Rs.2000 per day
e. Rs.5000 per day
81 An exporter gets a letter of credit for export of garments to US but the expiry b
date of the credit falls on 15th August, which is a public holiday in India. In such
circumstances, the documents for negotiation can be submitted to the
negotiating bank on :
a. Succeeding working day
b. Succeeding banking day
c. Preceding business day
d. Preceding banking day
82 The forward sale or purchase of foreign currency to reduce the exchange risk a
exposure connected with the assets or liabilities denominated in Foreign
currency is called:
a. Hedging
b. Squaring
c. Brokering
d. Spreading
83 What is the maximum amount that can be deposited in EEFC account: d
a. 25% of the exchange earned

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b. 50% of the exchange earned

c. 75% of the exchange earned
d. 100% of the exchange earned
84 The gap between the buying rate and selling rate of a currency is called: a
a. Bid-ask spread
b. Dealer‟s margin
c. Dealer‟s spread
a. Exchange margin
85 When a dealer purchases more of a currency and is unable to dispose it off, the b
bank is exposed to:
a. Loss
b. Exchange risk
c. Oversold position
b. Dealing risk
86 A nominated bank or issuing bank shall each have a maximum of __________ c
following the day of presentation to determine if the documents are in order:
a. 2 banking days
b. 5 working days
c. 5 banking days
d. 15 banking days
87 The bank which undertakes the responsibility of payment by the issuing bank b
and on its failure to pay is called :
a. Negotiating bank
b. Confirming bank
c. Reimbursing bank
d. Advising Bank
88 Any LC which permits the advances for storage of goods in a warehouse in c
addition to pre-shipment advance is called as:
a. Back to back LC
b. Standby LC
c. Green Clause LC
d. Red clause LC
89 Any LC is the one that can be cancelled or amended at any time without giving c
prior notice to the knowledge of the beneficiary is called:
a. Red Clause LC
b. Stand by LC
c. Revocable LC
d. Irrevocable LC

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90 Mr. Jayant is going abroad for Medical Treatment at Singapore. He is e

accompanied by his wife as attendant. How much foreign Exchange can be
released to attendant as per FEMA:
a. USD 10000
b. USD 15000
c. USD 25000
d. USD 100000
e. USD 250000
91 Any Resident individuals with actual forex exposures are allowed to book e
forward contracts upto ______________ on declaration, subject to certain
conditions:
a. USD 10,000
b. USD 100,000
c. USD 200,000
d. USD 250,000
e. USD 1,000,000
92 In case of Foreign Currency Non- Resident(Banks ) account, the ceiling of Interest c
rate for the term deposits of 3 to 5 years are :
a. LIBOR + 100 bps
b. LIBOR+ 200 bps
c. LIBOR+ 300 bps
d. LIBOR + 400 bps
e. No limit at all
93 Whenever the NRI visits India on his temporary visit, can render Foreign b
currency to his accounts exceeding __________ has to submit Currency
declaration form.
a. USD 3000
b. USD 5000
c. USD 10000
d. USD 25000
94 Any forex remittances with relates to Cultural tour as per the Schedule II of b
FEMA should obtain permission from which ministry for release of forex:
a. Ministry of finance
b. Ministry of HRD
c. Ministry of surface transport
d. Ministry of Information and Broadcasting
95 Which of the following is true with regard to borrowings in Foreign Currency e
from Close relatives outside India?

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a. The borrowing sum not to exceed USD 250000 or its equivalent from his
close relatives outside India
b. Minimum maturity period of the loan is one year
c. Loan is free of interest
d. Amount of loan is received by inward remittance in free forex through
normal banking channels or by debit to NRE/FCNR account of a non-
resident lender.
e. All the above
96 A person resident in India is allowed to retain foreign currency notes up to an b
amount of ________ or its equivalent :
a. No limit
b. USD 2000
c. USD 5000
d. USD 10000
97 Currency declaration form is a declaration given to custom authorities while c
entering India by any person if:
a. Aggregate value of Foreign exchange in the form of Currency notes, TCs,
exceeds USD 10000 or equivalent
b. Aggregate Value of Foreign Currency notes exceeds USD 5000 or its
equivalent
c. Both a and b
d. None of the above
98 The All-in-Cost ceilings for External Commercial Borrowings for the maturity b
period of three years and up to five years is:
a. 6 months LIBOR plus 200 bps
b. 6 months LIBOR plus 300 bps
c. 6 months LIBOR plus 450 bps
d. 6 months LIBOR plus 500 bps
99 In an export business, if the aggregate FOB realized value during the current and e
previous 2 financial years exceeds USD2000 million, then the export enjoys the
status of :
a. One Star Export house
b. Two Star Export house
c. Three Star Export house
d. Four Star Export house
e. Five Star Export house
100 The AD banks and Status holder exporters can self write off the unrealised b
Export bills up to:
a. 5% of the total export proceeds realized during previous calendar year

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b. 10% of the total export proceeds realized during previous calendar year
c. 5% of the total export proceeds realized during previous financial year
d. 10% of the total export proceeds realized during previous financial year
e. No write off is permitted
101 The Authorised Dealers should crystallize the overdue export bills from foreign b
currency liability to Rupee liability by applying:
a. Bill selling rate
b. TT selling rate
c. FC selling rate
d. TT buying rate
102 In a letter of credit, by adding a confirmation, the confirming bank undertakes c
the responsibility similar to that of:
a. Negotiating bank
b. Advising bank
c. Issuing bank
d. Both b and c
103 Pre-shipment Credit in Foreign Currency is allowed at ________ related interest a
rates:
a. LIBOR
b. SIBOR
c. EURIBOR
d. MIBOR
104 Which of the form does not match its purpose: d
a. ETX- Seeking extension in realisation of bills from RBI
b. XOS- Statement of exports bills outstanding more than 6 months
c. EFC- Opening of Foreign Currency accounts with a bank in India or abroad
by Exporters
d. BEF – Application for payment of import payment
105 Custom office returns to the exporter, which copy of the export declaration c
form:
a. Trade control copy
b. Currency control copy
c. Exchange control copy
d. Foreign control copy
106 Advance remittance can be allowed by AD banks, against import of aircraft / d
helicopter/ other aviation related purchases can be allowed without bank
guarantee for an amount up to:
a. USD one million

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b. USD five million

c. USD ten million
d. USD fifty million
107 A foreign national on a 3 months visit to India wants to open a bank account: d
a. He cannot be allowed to open any account
b. He can open any type of account that he need of
c. He can open an NRE account
d. He can open a NRO account
e. Account can be opened only with RBI Permission
108 Under UCPDC-600, if the provisions of LC and the UCDPC are contradictory: b
a. Provision of UCPDC would prevail over the provisions of LC
b. Provisions of LC would prevail over the provisions of UCPDC
c. Provisions favourable to the beneficiary would prevail
d. Provisions favourable to the applicant would prevail
109 Shipment date in a letter of credit is stipulated as “in the beginning of the c
month”. The expression means that the shipment can take place during:
a. 1st week of the month
b. 1st three days of the month
c. 1st ten days of the month
d. None of the above.
110 For advising / transfer of Export Letter of credits to Non-customer, the service c
charges collected are:
a. Rs. 1000/- per ELC
b. Rs.750/- per ELC
c. Rs.1500/- per ELC
d. No charges to be collected
111 As per the Delegation of power, the Manager-in-charge of Medium branch/Large d
branch/ELB/VLB can grant loans/ advances against NRE and FCNR(B) deposits to
the depositors is:
a. Rs.30 lacs
b. Rs.50 lacs
c. Rs.75 lacs
d. Rs.100 lacs
112 The GR follow up charges for overdue export bills is: b
a. Rs.100/- per month per bill
b. Rs.500/- per quarter or part thereof per bill
c. Rs.1000/- per bill
d. No charges

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113 The charges for effecting each clean outward remittance for individuals up to b
Rs.250000/- is:
a. Rs.100/-
b. Rs.500/-
c. Rs.1000/-
d. Rs.1500/-
114 The charges collected for every request for early delivery, extension, roll over or c
cancellation of Forward sale/ purchase contract is:
a. Rs. 200/- per contract
b. Rs.500/- per contract
c. Rs.500/- per request + swap cost and cancellation charges where
applicable
d. Rs. 1000/- per request + swap cost and cancellation charges where
applicable
115 Which of the following is not true with respect to receipt of advance payment a
for export?
a. Shipment should be made within 3 years from date of receipt of advance
b. Interest payable on advance amount should not exceed LIBOR + 100bps
c. Exporters with three years good track record can receive long term
advance upto 10 years
d. Rate of interest payable on receipt of long term advance should not
exceed LIBOR + 200bps
116 The rate of interest equalization available on pre shipment rupee export credit a
and post shipment rupee export credit is ______ % per annum

a. 3 %
b. 2 %
c. 4 %
d. 5 %
117 In case of outward remittance if foreign currency ,what is the amount that can a
be accepted in Indian Cash
a. up to Rs 20000
b. less than Rs 20000
c. up to Rs 50000
d. less than Rs 500000
118 The term deposit of NRE and FCNR accounts can be opened for maximum c
period of ____ and ______ years :
a. 1 year and 3 years respectively
b. 2 years and 3 years respectively
c. at bank discretion and 5 years respectively
d. 3 years and 5 years respectively

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119 While issuing the bill of lading to an exporter , a shipping company stated on the b
bill of lading that there has been few defects in the packing of goods.What type
of bill of lading it is:
a. on-board bill of lading
b. claused bill of lading
c. clean bill of lading
d. short bill of lading
120 What is the amount of foreign exchange which authorized dealers can release c
for meeting hospitalization expenditures abroad:
a. it is restricted to USD 100000 in a financial year
b. it can be any amount on the basis of self declaration without any
documentary proof
c. it can be up to USD 250000 on the basis of self declaration and any
amount on the basis of hospital estimate
d. it can be up to USD 100000 on the basis of hospital estimate
121 In a letter of credit, the shipment date is mentioned as on or about June 30 , d
2017. The shipment should take place:
a. on last day of the June 2017
b. between 16th June and 30th June
c. between 21st June and 30th June
d. between 26th June and 5th July
122 If in the letter of credit the term „beginning of the month‟ as part of validity date c
, is used , it covers the period from 1st day to 10th , as per
a. LC rules
b. FEDAI rules
c. UCPDC rules
d. INCO rules
123 In case of usance export bills, the maximum period that can be allowed is b
a. 9 months excluding NTP and grace period, if any
b. 9 months including NTP and grace period, if any
c. 365 days excluding NTP but including grace period, if any
d. 365 days including NTP and grace period, if any
124 What is the maximum extent up to which a person resident in India can retain c
foreign currency and foreign coins
a. any amount of currency notes and coins
b. maximum USD 2000
c. foreign currency up to USD 2000 and no limit on coins
d. foreign currency no limit and coins up to USD 2000
125 An NRI has sold a property in Delhi; he inherited from his parents 2 years back a
for a total amount of USD 14, 00,000. He wants its remittance to country of his
residence:

a. he can do so up to USD 1 million per financial year without any lock in

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period
b. he can do so up to USD 10 million per financial year without any lock in
period
c. he can do so up to USD 1 million per financial year after a lock in period
of 2 years
d. he can do so up to USD 1 million per financial year after a lock in period
of 3 years

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