Money and Credit Multiple-choice Questions (MCQs) will help students while studying the chapter related to Money and Credit. It is an important chapter in the syllabus of Class 10 Social Science. Solving the Money and Credit MCQ Questions, in addition to referring to the CBSE Notes for Class 10 Social Science, will help students to understand the chapters in a comprehensive manner and be better prepared while facing the examination.
Students must solve MCQ Questions of Class 10 Social Science to help them understand their level of preparation. Money and Credit MCQs given below will help students to revise and recollect the important concepts and points related to topics such as money as a medium of exchange, modern forms of money, loan activities of banks, two different credit situations, terms of credit, loans from cooperatives, formal sector credit in India, informal sector credit in India, and self-help groups for poor.
MCQ Questions for Class 10 Social Science - Money and Credit
1. State the name of money made by Gold, Silver, Copper etc.
(a) Metal money
(b) Money
(c) Paper money
(d) Credit money
Answer:
(a) Metal Money
2. The one rupee note is :
(a) Real currency
(b) Voluntary currency
(c) Assistance currency
(d) None of these
Answer:
(a) Real currency
3. The Invention of money was conducted to remove the defect of one of the following system :
(a) Exchange System
(b) Factor Exchange System
(c) Paisa Exchange System
(d) Barter System
Answer:
(c) Paisa Exchange System
4. Money makes the Exchange System so ....................
(a) Simple
(b) Hard
(c) Complicated
(d) None of these
Answer:
(a) simple
5. The function of a Commercial Bank are :
(a) To accept the deposits
(b) To advance loan
(c) Credit creation
(d) All of the above
Answer:
(d) All of the above
6. The Central Bank of India is :
(a) Reserve Bank of India
(b) Commercial Bank
(c) Punjab National Bank
(d) State Bank of India
Answer:
(b) Commercial Bank
7. The Central Bank issues :
(a) Coins
(b) Note
(c) Gold-Silver
(d) All of the above
Answer:
(b) Note
8. How much cash Reserve do the commercial Banks keep ?
(a) 10%
(b) 15 %
(c) 20%
(d) 25%
Answer:
(b) 15%
9. Which one is not the formal source of credit ?
(a) Bank
(b) Co-operative society
(c) Moneylenders
(d) None of these
Answer:
(c) Moneylenders
10. Which one is not the informal source of credit ?
(a) Moneylender
(b) Friends
(c) Reserve Bank of India
(d) Traders
Answer:
(c) Reserve Bank of India
11. When was Bangladesh Bank started ?
(a) 1960
(b) 1970
(c) 1982
(d) 1957
Answer:
(b) 1970
12. For what purpose is money used ?
(a) Medium of exchange
(b) Measure of value
(c) Store of value
(d) All of the above
Answer:
(d) All of the above
13. Who issues the currency notes in India ?
(a) Commercial Banks
(b) Reserve Banks of India
(c) Co-operative Banks
(d) None of these
Answer:
(b) Reserve Banks of India
14. Which of the following is included in money ?
(a) Currency notes
(b) Coins
(c) Demand deposits
(d) All of the above
Answer:
(d) All of the above
15. In a self help group most of the decisions regarding savings and loan activities are taken by whom ?
(a) Banks
(b) Members
(c) Non Governmental organisation
(d) None of these
Answer:
(b) Members
