Bharathidasan University 2012-4th Sem B.Com Computer Applications , - university paper

(for candidates admitted for 2008 onwards
HOLY CROSS COLLEGE(Autonomous)TIRUCHIRAPPALLI-2
B.com.Degree Examination,SEMESTER-IV,APRIL 2012
COMMERCE MAJOR CORE:BANKING THEORY legal regulations AND PRACTICE

Time:3 Hours code:UO8CO4MCO6
Max marks:100
SECTION-A
ans ALL THE QUESTIONS:

select the accurate answer:
1.Deposits into this account can be withdrawn at anytime and no interest is earned:
(a)Savings Bank Account (b)Current Account (c)Fixed Deposit (d)Derivative Deposit

2.The problem of 1 rupee notes is with the:
(a)RBI (b)Govt.of India (c)SBI (d)IDBI

3.The banker has a statutory obligation to:
(a)Honor customers cheque (b)Exercise lien
(c)Grant loan to the customer (d)Honor customers bill

4.A savings bank account in the sole name of a minor can be opened given he completes
(a)10 years of age (b)12 years of age (c)16 years of age (d)21 years of age

5.Bearer cheque can be transferred by:
(a)Mere delivery (b)Endorsement and delivery (c)Endorsement (d)Assignment

6.The safest form of crossing is :
(a)General crossing (b)special crossing (c)Double crossing (d)A/c payee crossing

7.Match Panel
1.Stale cheque -a.invalid
2.Mutilated cheque -b.Date earlier to the date of the cheque
3.Incomplete cheque-c.Record for reference
4.Post dated cheque-d.Ante-dated cheque
-e.Cheque torn into pieces
(a)1-d,2-e,3-a,4-b (b)1-a,2-b,3-c,4-d (c)1-d,2-b,3-c,4-a (d)1-b,2-a,3-c,4-d

8.when a banker undertakes the collection of bills or cheques for his customers the relationship is that of :
(a)Debtor and creditor (b)Principal and agent (c)Bailor and bailee (d)Pledger and pledgee

9.Loans granted for the purchase of durable consumer goods like cars is called as:
(a)Secured loan (b)composite loan (c)Personal loan (d)unsecured loan

10.The document issued by a company as an evidence of debt is known as:
(a)Promissory note (b)Debentures (c)Bearer bond (d)Shares

ans the subsequent questions:

11.State any 2 objectives of selective credit control
12.why is it necessary to maintain cash reserve ratio?
13.what is a Garnishee order?
14.list down any 2 precautions to be taken by a banker while opening an account in the name of an illiterate person
15.Define holder.
16.How can order instrument can be converted into a bearer instrument?
17.State the position of a banker when he pays the cheque with forged signature of the drawer.
18.Define Negligence.
19.Difference ranging from overdraft and cash credit.
20.What do you mean by insurable interest?

SECTION-B
ans ALL THE QUESTIONS,SELECTING 1 FROM every SET: 5*7=35

21(a) Briefly discuss the functions of commercial banks.
OR
21(b)Explain the promotional function of the central bank.

22(a)State the special features of bankers lien.
OR
22(b)What is the effect of wrong entries in the pass book which are favorable to a customer?

23(a)Write a note on A/c payee crossing.
OR
23(b)Give the accurate form of endorsement for the following:i.Agent,ii.Partnership Firm,iii.Joint stock companies.

24(a)Narrate the advantages of using printed forms of a cheque.
OR
24(b)Discuss the liabilities of the collecting banker.

25(a)What are the various sources of credit information?

25(b)State the duties of the pledgee.

SECTION-C
ans ANY 3 QUESTIONS: 3*15=45
26.Discuss the role and functions of central bank.
27.Enumerate the precautions a banker should take to open an account of a public limited company.
28.Briefly explain:i.Not negotiable crossing,ii.Account payee crossing,iii.Double crossing.
29.Explain the protection offered to the paying banker.
30.Elucidate the rights of a banker as pledgee.
******

Earning:   Approval pending.