Dibrugarh University Question Paper: Indian Financial System (May' 2015)

2015 (May)
COMMERCE
(General / Speciality)
Course: 603
Time: 3 hours
(Indian Financial System)
Full Marks: 80
Pass marks: 32

The figures in the margin indicate full marks for the questions
1. Answer the following as directed:                                                                              1x8=8
(a)    Indian financial system comprises of both organized and _____ sector. (Fill in the gap)
(b)   SEBI was given legal status in the year _____. (Fill in the gap)
(c)    Non-banking assets and Non-performing assets are synonymous term. (Write True or False)
(d)   The Indian money market does not deal in cash or money but in promissory notes, government paper. (Write True or False)
(e)   Mention one function of underwriters.
(f)     Which system does the RBI follow for issuing paper currency note?
(g)    New issue market has organizational set-up. (Write True or False)
(h)   Industrial Development Bank of India (IDBI) accepts deposits from the public. (Write True or False).

2. Write short notes on (any four) :                                                          4x4=16

(a)    Rural Banking System.
(b)   Functions of New Issue Market.
(c)    Call Money Market.
(d)   Commercial Paper.
(e)   Types of Mutual Fund.
(f)     Importance of Credit Card.

3. (a) Define financial system. Discuss about the present structure of Indian financial system.  3+8=11
Or
(b) Discuss the Indian financial system by highlighting its features and weaknesses.               5+6=11

4. (a) Explain the sources and application of funds of the commercial banks in India.                     11
Or
(b) Discuss the changing role of Indian commercial bank in the context of economic reforms.

5. (a) Discuss the credit control methods adopted by the RBI in Indian Banking system.                  11
Or
(b) Discuss the functions of the Reserve Bank of India as the banker’s bank and clearing house.

6. (a) Discuss briefly the financial services provided by the merchant banks in Indian capital market.  11
Or
(b) What is Stock Exchange? Explain its significance in the development of Indian capital market.                      3+8=11

7. (a) Describe the role of SEBI in the development of Indian capital market.                        12
Or

(b) What is Mutual Fund? Explain how mutual funds help in creating a healthy capital market.     12