Public Deposit

Q.

What is meant by Public Deposit?

Q.

Public deposits are the deposits that are directly raised from the ____.

1. Directors

2. Public

3. Auditors

4. Owners

Q.

Banks charge a higher interest rate on loans than what they offer on __________.

Q.

Give any three advantages of intercorporate deposits.

Q.

The rate of interest offered on public deposits is usually higher than that offered on bank deposits.

1. False

2. True

Q. Which of the following is/are the demerits of OTCEI?

1. Poor liquidity of Scrips
2. Delay in Settlement
3. Lack of Transparency
4. All of the above

Q. Select the proper option from the options given below and rewrite the sentences.

Higher rate of interest on investments attracts ________.

(a) Money lender
(b) Investors
(c) Borrower
(d) Banker

Q. ___ is not diluted as the voting rights are not given to depositor.

Q. Cost of public deposit is generally lower than the cost of borrowings from bank and other instituitions.

1. True
2. False

Q. What is an Indian Depository Receipt?

1. An instrument in the form of depository receipt created by an Indian depository against underlying equity shares of the issuing company
2. A deposit account with a Public Sector Bank
3. A depository account with any of the Depositories in India
4. An instrument in the form of deposit receipt issued by Indian depositories

Q. A company which has public deposits is required to set aside 20 per cent of the deposits maturing by the end of the year.

1. True
2. False