Money : Barter To Bitcoin Flashcards
Primary function of Money
Measure of value
Medium of exchange
Secondary function of Money
Store of value
Transfer of value
Deffered payments
Contingent functions of Money
Basis of credit system
Employing factor of production
Redistribution of National Income
Full bodied coins has intrinsic value T or False
True
Token coins has intrinsic value ?
No
Which act prohibits melting of coins ?
Coinage act 2011
What are the two conditions to be a fiat Money
Must be in the form of physical currency
Must be issued by the order of a king / queen / government/ central Bank
Who issued coinage upto 1000
Govt of India
Who signs rs 1 note
Finance secretary
RBI issues notes other than rs 1 using the powers of
RBI act 1934
What are the conditions to become legal tender
Must be fiat money
Must be legally Valid for all debts and transactions throughout the country other party cannot refuse it
As per RBI ACT of 1934 currency notes are unlimited legal tender ? T or F
True
Who launched MANI App - Mobile aided note identifier
RBI in 2020
Which company developed the Money App
Daffodil
Features of Mani app
Can’t recognise fake note
Works offline also
Can tell by vibrations also if user is blind and deaf
Nature of our currency note
Zero interest , anonymous bearer bond
Who did the demonetization in 2016.
Finance Ministry - Department of Economic affairs
Demonetization done through which act
Specified bank notes (cessation and liabilities) act 2017
What is Redenominantion
Removing zero from currency’s face value, to facilitate transactions during high inflation
Toman replaced Riyal in which country
Iran - example of Redenominantion
Viceroy Ripon’s Negotiate Instruments Act 1881
Related to cheque dishonor
Types of cheque
Stale
Post dated
Open / bearer cheque
IFSC code , MICR code
Indian financial system code - 11 digit alphanumeric
Magnetic ink character recognition code - 9 digit code - written with iron oxide
Demand Draft vs Oberdraft
DD can’t be dishonoured
Overdraft is a type of loan
Pradhan mantri Jan dhan account has overdraft upto 10,000
What is CTS
Cheque truncation system.
CTS is under which organisation or company
NPCI
Which act empowers RBI to regulate card payment, e payment related products and services.
Payments and settlement System Act 2007
What is CBS
Core banking solution - basically banking software with web platform for centralised data management & branch less banking
What is the CBS of RBI
E kuber
What changes have been done in Budget 2022 related to CBS
Post office Saving Bank will also be connected to Core banking solution so that their depositors too can use E banking net banking ATM etc
