Financial Institutions - Jamb Economics Past Questions and Answers

Question 31:

• JAMB 1980

In Nigeria, cheques are not money because?

A. Their use is confined to business houses
B. There are no banks in rular areas
C. They are not legal tender
D. They are not generally acceptable as a medium of exchange
E. Most Nigerians cannot identify them

Question 32:

• JAMB 1980

Commercial banks can create money in the following ways

A. By issuing coins and paper money
B. By borrowing money from Banks abroad
C. By receriving deposits from individuals
D. By printing money on the instructions of the Central Bank
E. None of the above

Question 33:

• JAMB 1981

Which of the following is NOT a major function of a Central Bank?

A. Serving as Goverment''s bank
B. Serving as bankers bank
C. Acceptance of deposit from the public
D. Responsibility for monetary policy
E. Serving as lender of last resort

Question 34:

• JAMB 1982

Which one of the following functions of banks in Nigeria is reserved to the Central Bank?

A. Accepting deposits
B. Serving as agents for payments
C. Issuing bank-notes
D. Lending to customers
E. Purchasing and selling of stock exchange securities

Question 35:

• JAMB 1982

Function of commercial banks do NOT include?

A. Lending with interest charges
B. Carrying out transactions on behalf of customers
C. Expansion of money supply
D. Keeping of security document s for customers
E. Printing of currency