Alagappa University 2007 M.B.A Financial Management CENTRAL BANKING AND MONETARY MANAGEMENT - Question Paper

(2005 onwards)
Time : 3 hours Maximum : 100 marks
part A — (5 * eight = 40 marks)
ans any 5 ques..

1. What are the functions of money market?
2. How does the RBI Act as a custodian of cash reserves of the commercial banks?
3. What is credit rationing?
4. Write a note on ‘Exchange Rate Stability’.
5. State the needs for regulating non banking institutions.
6. How does RBI inspect the commercial banks?
7. What is the RBI’s power of licensing the commercial banks?
8. What is the role of RBI in export credit?

part B — (4 × 15 = 60 marks)
ans any 4 ques..

9. Explain the components of Indian Money Market.
10. Why do you call the central bank as ‘Banker’s Bank’?
11. Explain and illustrate the credit creation processes of commercial banks.
12. What are the quantitative measures taken by central banks to control credits?
13. How will you measure the efficacy of Indian Monetary Policy?
14. Give an account of the organisational structure of Reserve Bank of India.
15. Evaluate the role of Reserve Bank of India in the rural credit.

Earning:   Approval pending.