IBPS Bank PO Prelims Mock Test - 15 - Banking Exams MCQ

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Q. The main features of the standardized approach are:

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Q. The consultative paper of Basel Committee was a result of:

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Q. How did Basel norms help the Bank?

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Q. Emphasis on operational risk measurement was the main feature of:

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Q. Which of the following difficulties was faced by regulators on prescription of Basel norms?

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Q. Which of the following is NOT a recommendation of second consultative paper on capital adequacy?

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Q. According to passage factor(s) responsible for declining profitability in banks was/were:

(A) cut-throat competition and technology revolution.

(B) globalization of financial intermediaries.

(C) privatization of insurance.

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Directions : Choose the word which is most similar in meaning to the word printed in bold as used in the passage.

Elaborate

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Directions : Choose the word which is most similar in meaning to the word printed in bold as used in the passage.

Options

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Directions : Choose the word which is most similar in meaning to the word printed in bold as used in the passage.

Erosion

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Directions : Choose the word which is most opposite in meaning to the word printed in bold as used in the passage.

Accord

Directions : Read the following passage carefully and answer the questions given below it. Certain words/phrases have been printed in bold to help you to locate them while answering some of the questions.

The structure and operations of banks have undergone a rapid transformation in recent years. Consequent upon the revolution in information technology and the associated increase in competition financial intermediaries have become increasingly global in geographical coverage and universal in the financial operations, encompassing a wide range of activities including banking, securities markets activities and insurance. In the face of widespread concerns about declining profitability of banks, the Basel capital adequacy norms were enacted.

Although the Basel norms helped to arrest the erosion of banks, capital ratios, concerns were raised regarding the mere applicability of baseline capital ratios in the changed environment of operation. The blurring of both functional as well as national divisions among the financial intermediaries, and the speed and complexity of adjustment, made it difficult for regulators to keep up with the growing pace change. In particular, the rule of ‘one-size-fits-all’ aspect of the capital adequacy ratio was the subject of intense debate. Recent banking crisis only emphasized the point that baseline capital adequacy norms were not adequate to hedge against failures. In response to the same, the Basel Committee on Banks’ Supervision came out with the new Consultative Paper on Capital Adequacy. It invited suggestions from the policymakers, academia and other institutes all over the world. After taking into consideration manifold suggestions of the various organizations, the second Consultative Paper on Capital Adequacy was released.

The Accord rests on three pillars; the first pillar of minimum capital requirement, the second pillar of supervisory review process and the third pillar of market discipline. The first pillar sets out the minimum capital requirements. The new framework maintains both the current definition of capital and the minimum requirement of 8% of capital to risk-weighted assets. The revised Accord will be extended on a consolidation basis to holding companies of banking groups. The Accord stresses upon the improvement in measurement of risks. The credit risk measurement methods have been made more elaborate than those in the existing Accord. The new framework also emphasizes the measurement of operational risk. For measuring credit risk, two options have been proposed. The first is the standardized approach and the second is the internal rating based approach. Under the standardized approach, the existing approach for credit risk remains conceptually the same, but the risk-weights have been enlarged to encompass exposures to a broad category of borrowers with reference to the rating provided by rating agencies.

Directions : Choose the word which is most opposite in meaning to the word printed in bold as used in the passage.

Manifold

Directions : Mark the out-of-context sentence for your answer.

A. New technologies of various kinds, together with globalization, are powerfully affecting the range of employment options for individuals in advanced and developing countries alike – and at various levels of education.

B. From recent research, we have learned a number of interesting things about how the evolution of economic structure affects employment.

C. How, then, should policymakers confront the new and difficult challenges for employment especially in developed economies?

D. Technological innovations are not only reducing the number of routine jobs, but also causing changes in global supply chains and networks that result in the relocation of routine jobs – and, increasingly, non-routine jobs at multiple skill levels – in the tradable sector of many economies.

Directions : Mark the out-of-context sentence for your answer.

A. Beyond a certain point, this issue cannot be pursued independently of metaphysical issues about realism.

B. What this means is that the judgment of taste is based on a feeling of pleasure or displeasure.

C. The first necessary condition of judgment of taste is that it is essentially subjective.

D. It is this that distinguishes a judgment of taste from an empirical judgment.

Directions : Mark the out-of-context sentence for your answer.

A. An essential ambiguity characterizes the experience of the audience.

B. The metaphysical aspects of existentialist aesthetics imply a certain theory of the audience.

C. The ambiguity of aesthetic experience is linked directly to the above mentioned theory of the negativity of the expressive means.

D. The genuine artist creates a new virtual world that expresses a coherent, idiosyncratic perspective on the world shared by all.

Directions : Mark the out-of-context sentence for your answer.

A. The failure to distinguish these questions is the source of serious philosophical confusions.

B. This may or may not turn out to be correct.

C. A natural way of thinking would seem to be that mind-body dualism is a “survival-friendly” metaphysical view, whereas materialism is inimical to survival.

D. The possibility of survival after death cannot be considered without taking into account the nature of the human person.

Directions : Mark the out-of-context sentence for your answer.

A. The pain you feel when you sprain your ankle is taken to cause you to open the freezer in search of an ice pack.

B. Mind-world interaction is taken for granted in everyday experience and in scientific practice.

C. Mental causation – the mind’s causal interaction with the world, and in particular, its influence on behaviour – is central to our conception of ourselves as agents.

D. It might seem equally obvious that the mind’s causal role in producing behaviour is also a matter for science to settle.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.

Directions : In the following passage, some of the words have been left out, each of which is indicated by a number. Find the suitable word from the options given against each number and fill up the blanks with appropriate words to make the paragraph meaningfully complete.

The Madras Literary Society, now busy trying to …(21)… itself, is offering a series of monthly talks on historical and literary …(22)…. The most recent one was on three persons who, starting out from Madras, …(23)…  significantly to our knowledge of India — namely, Francis Buchanan-Hamilton, William Lambton and Colin Mackenzie. I call them …(24)…  ‘surveyors’ because their work …(25)…  to the Botanical and Zoological Surveys of India, the Great Trigonometrical Survey of India and the Survey of India. …(26)…  from the talk, a story or two about each of the ‘surveyors’ found its way to me.

Dr. Francis Buchanan-Hamilton, generally known as Buchanan, began his assignment in South India after the final Mysore War with the mandate to gather botanical, agricultural and zoological information as …(27)…  as knowledge about the soil and natural resources …(28)…  in the area of his first survey. One of the things he ‘discovered’, I was told, was laterite in what is now Kerala. Buchanan called it “indurate clay” or “iron clay” and said this soft red soil which hardened …(29)…  exposure to air and heat was ideal for building purposes, something long known in the area but first recorded for a wider …(30)…, and given a name by him.