Number based bfm qns
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1. The document contains 45 multiple choice questions related to export-import policies, procedures and timelines in India. 2. Key timelines covered include normal transaction period (NTP) and normal delivery date (NDD) for foreign currency export bills, crystallization periods for import and export bills, validity periods for export credit insurance policies and ECGC cover. 3. The questions also address topics like maximum periods for packing credit, post-shipment credit, buyers' credit and suppliers' credit, time limits for realization of export proceeds, and reporting requirements for importers who do not submit documents on time.
Number based bfm qns
- 1. 1.The total period of PCL should not exceed ___ days and this period can be extended by banks up to ___ days (for availing concessional rate of interest). a. 30, 60 b. 60, 120 c. 120, 180 d. 180, 360 Ans - d ......................................................... 2.In case where advances for PCL are covered under Whole Turnover Policies of ECGC, the disbursing branch should inform ECGC the details of limit sanctioned in the prescribed format within ___ days. a. 7 b. 10 c. 21 d. 30 Ans - d .......................................................... 3.In Credit Running Account facility provided to commodities covered under 'Selective Credit Control', the LC or firm order should normally be produced in the bank within ___ days from the date of sanction. a. 7 b. 15 c. 21 d. 30 Ans - d ........................................................ 4.In case of post shipment finance, the shipping documents along with relative GR form must be submitted to an AD within ___ days from the date of shipment. a. 7 b. 14 c. 21 d. 30 Ans - c ........................................... 5.Concessional rate of interest in post shipment finance is valid for first ____ days. a. 30 b. 60 c. 90 d. 180 Ans - c ........................................... 6.In case of exports through approved Indian-owned warehouses abroad, the time limit for realization in post shipment finance is ___ months. a. 6 b. 12 c. 15 d. 18 Ans - c ........................................... 7.Advance against undrawn balance can be made at a concessional rate of interest for a maximum period of ___ days. a. 30 b. 45 c. 60 d. 90
- 2. Ans - d ............................................. 8.For foreign currency export bills, the NTP allowed is ___ days at present. a. 21 b. 25 c. 28 d. 30 Ans - b ........................................... 9.The NDD of the demand bill (foreign currency export bill) is ___ days from the date of handling. a. 21 b. 25 c. 28 d. 30 Ans - b ........................................... 10.In case of a 90 days DA (Usance) bill in GBP tendered to the bank on 01.04.2014 , the NTP will be __ days and NDD will be ___ (date). a. 21, 25.04.2014 b. 25, 25.04.2014 c. 25, 24.07.2014 d. 30, 30.04.2014 Ans - c ........................................... 11.Concessional rate of interest for post-shipment finance is allowed for __ days in case of demand bills. a. 21 b. 25 c. 90 d. 180 Ans - b ........................................... 12.Concessional rate of interest for post-shipment finance is allowed for __ days in case of usance bills. a. 25 b. 90 c. 180 d. None of these Ans - d ........................................... 13.In post-shipment advance, the concessional rate of interest cannot exceed __ days from the date of shipment. a. 90 b. 120 c. 180 d. 360 Ans - c ........................................... 14.FEDAI rules provide that in case of unpaid usance bills, the period of crystalization is ____th day after the ___ at the prevailing ___ rate. a. 21, NTP, TT buying b. 30, NTP, TT selling c. 30, NTP, TT buying d. 30, NDD, TT selling Ans - d ........................................... 15.PCFC can be allowed initially for a maximum period of ___ days. a. 90 b. 120 c. 180
- 3. d. 360 Ans - c ........................................... 16.For gold card status holder exporters, the concessional rate of interest on post shipment rupee export credit may be extended for a maximum period of ___ days. a. 120 b. 180 c. 360 d. 365 Ans - d ........................................... 17.Sight bills drawn under import letters of credit would be crystallized on the ___ day after the day of receipt if not yet paid. a. 10 th b. 11 th c. 15 th d. 30 th Ans - a ........................................... 18.The NDD of the usance bill (foreign currency export bill) is ___ days. a. 21 b. usance period + 21 days NTP c. 25 d. usance period + 25 days NTP Ans - d ........................................... 19.Suppose a sight bill is drawn in USD and is submitted to the bank on 01.04.2014, the NTP allowed will be __ days and NDD will be ___ (date). a. 21, 21.04.2014 b. 25, 25.04.2014 c. 28, 28.04.2014 d. 30, 30.04.2014 Ans - b ........................................... 20.Sight bills drawn under Import letters of credit, if not paid by the ____ day, would be crystallised. a. 7th b. 10th c. 15th d. 30th Ans - b ........................................... 21.The delivery period in case of option contract can not exceed beyond ____ month. a. 1 b. 2 c. 3 d. 4 Ans - a .......................................... 22.All contracts which have matured and have not been collected, shall be automatically cancelled on the .....working day after the maturity date. a. 5th b. 7th c. 10 th d. 15th Ans - b ........................................... 23.Import bills should be crystallized on the ___th day, if not paid by the due date.
- 4. a. 7 b. 10 c. 15 d. 21 Ans - b ........................................... 24.Overdue forward contracts should be automatically cancelled on the ___th working day, from the due date of contract. a. 7 b. 15 c. 21 d. 30 Ans - a ........................................... 25.Buyers' credit or suppliers' credit for ___ years or above come under the category of ECB. a. 1 b. 2 c. 3 d. 4 Ans - c ........................................... 26.The remittance against import should be completed not later than __ months from the date of shipment. a. 3 b. 6 c. 9 d. 12 Ans - b ............................................ 27.AD should forward a deailed report to RBI on half-yearly basis in the form of BEF consisting of defaulter (importers) who do not submit bill of entry within __ days from the date of issue of registered reminder (which is 1 month from the date of remittance). a. 14 b. 21 c. 28 d. 30 Ans - b ........................................... 28.Banks can approve proposals for availing buyer's credit for a period with maturity up to ___, for import of all items premissible under the Exim Policy, up to US ___ million per import transaction. a. 3 months, 10 b. 6 months, 20 c. 1 year, 10 d. 1 year, 20 Ans - d ........................................... 29.Banks can approve proposals for availing supplier's credit for a period beyond ___ with maturity up to ___, for import of all items premissible under the Exim Policy, up to US ___ million per import transaction. a. 3 months, 1 year, 10 b. 6 months, 1 years, 20 c. 6 months, 3 years, 20 d. 1 year, 3 years, 20 Ans - c ...........................................
- 5. 30.Export bill is generally crystallized on ____ th day from the due date / notional due date. a. 07 b. 10 c. 21 d. 30 Ans - d ........................................... 31.The minimum and maximum period of FCNR deposits are ___ and ___ years respectively. a. 1, 3 b. 1, 5 c. 2, 3 d. 2, 5 Ans - b ........................................... 32.Small exporter policy is issued for a period of ___ months and its coverage is ___% where the loss is due to commercial risk and ___ % if the loss is due to political risk and the waiting period for claim is ___ months from the due date of payment. a. 12, 95, 100, 4 b. 12, 100, 95, 4 c. 4, 95, 100, 12 d. 12, 95, 100, 6 Ans - a ........................................... 33.Standard policy of ECGC covers ___ and the period covered under commercial risk is ___ months. a. exporters for long-term exports, 2 b. exporters for short-term exports, 4 c. importers for short-term exports, 6 d. importers for long-term exports, 8 Ans - b ............................................................. 34.Specific shipment short term policy cover against commercial and political risks involved in export of goods on short term credit not exceeding ___ days. a. 120 b. 180 c. 360 d. 365 Ans - b ........................................... 35.The validity period of export turnover policy is ___. a. 6 months b. 1 year c. 15 months d. 18 months Ans - b ........................................... 36.The validity period of packing credit insurance is ___. a. 3 months b. 6 months c. 1 year d. 15 months Ans - c ........................................... 37.What is the maximum time period for crystallisation period? a. 15 days b. 30 days c. 45 days d. 60 days Ans - d
- 6. ........................................... 38.An import bill not retired by the importer should be crystallized by the bank on what day? a. On 21st day from the date of Bill of Lading b. On the 10th day from the receipt of documents at the counters of the bank c. On the expiry of five banking days d. On the day of receipt of the Bill Ans - b ........................................... 39.The period of validity of specific approval under guarantee given to high political risk countries is ___ months. a. 2 b. 3 c. 4 d. 6 Ans - d ........................................... 40.A Bank received an LC for USD 2 Mio issued by MT 700 and opened on Jan 25, 2011. The credit calls for shipment of 200 tonnes of good quality wheat cultivated in Punjab. What is the time available for issuing bank for examination of documents under UCP600? a. 21 days b. Reasonable time not exceeding 7 days c. Reasonable time not exceeding 7 banking days d. Five banking days Ans - d ........................................... 41.Exchange Fluctuation Risk Cover Scheme is valid for a period beyond ___ up to a maximum period of ___. a. 6 months, 1 year b. 12 months, 3 years c. 15 months, 12 years d. 12 months, 15 years Ans - d ........................................... 42.Under the financial guarantees, banks are required to file with ECGC, a notice of default within ___ months from the due date or ___ month(s) from the date of recall, and the claims are to be filed within ___ months from the date of lodging default notice. a. 2, 3, 5 b. 4, 1, 6 c. 4, 2, 3 d. 2, 4, 6 Ans - b ........................................... 43.What is the statutory time limit for export proceeds to be treated as deferred payment exports? a. 3 months b. 6 months c. 9 months d. 12 months Ans - b ........................................... 44.In case of direct shipment of goods, the exporter is required to submit the export documents to the bankers within ___ days. a. 07 b. 21 c. 14 d. 30
- 7. Ans - b ............................................ 45.The maximum time for realization of export bills (proceeds) is ___ months from the date of shipment (not date of export). a. 1 b. 3 c. 6 d. 12 Ans - d ...........................................