Question 1

In the common law Principle of branch separateness meant:

Accepted Answer

the branches of banks had considerable autonomy from their head office

Answer

the branch must follow the subsidiary

Answer

None of the mentioned

Question 2

Public deposit-taking and granting credits on its own account and providing customers with payment services. Activities termed as ‘core banking’. This the legal definition of

Accepted Answer

The EC approach

Answer

Command approach

Answer

The UK approach

Question 3

The reasons for the fall of multifunctional banks

Accepted Answer

These banks are inextricably linked with the all-pervasive issue of moral hazard and the ever-present threat of shifting the burden of imprudent bank management to taxpayers via expensive bailouts

Answer

Weak demand

Answer

Weak demand

Answer

Lack of trust among public

Question 4

Why banks became too-big-to-fail

Accepted Answer

Because of numerous quantitative studies of the ‘subsidy’3’ provided by the implicit government bail-out guarantee to the larger banks perceived as TBTF

Answer

Because of public support

Answer

None of the mentioned answerers

Question 5

The view that ‘too much’ competition could undermine instead of fostering financial stability”. This statement is

Accepted Answer

True

Answer

False

Question 6

Why are bank merger sand acquisitions becoming more common today

Accepted Answer

All of the mentioned answers

Answer

Motives of grandeur

Answer

Cost savings and efficiency gains

Answer

Economies of scale

Question 7

The legal implications of banks mergers and acquisitions are

Accepted Answer

The increased concentration through mergers and acquisitions have left public policy and the law as an expression of public policy far behind & The complexity of a breed of large multinational, multifunctional banks means that if seriously distressed, any wind up is fraught with enormous difficulties.

Answer

The increased concentration through merger sand acquisitions have left public policy and the law as an expression of public policy far behind.

Answer

Unfulfillment of the BOD legal requirements

Answer

The complexity of a breed of large multinational, multifunctional banks means that if seriously distressed, any wind up is fraught with enormous difficulties

Question 8

The problems of law and compliance for banking groups are

Accepted Answer

Defining boundaries of a corporate group when a legislative scheme is to have group-wide coverage & Multifunctional banking groups also throw up their own regulatory or legal gaps and overlaps

Answer

Unfulfillment of central banks law

Answer

Multifunctional banking groups also throw up their own regulatory or legal gaps and overlaps

Answer

Defining boundaries of a corporate group when a legislative scheme is to have group-wide coverage

Question 9

The definition of digital banking is

Accepted Answer

A digital bank refers to a bank which offers financial products and services that are processed end-to-end through a digital platform and/or electronic channels with no physical branch/sub-branch or branch-lite unit offering the same

Answer

Open banking activities licensed by CBB

Answer

A digital bank refers to a bank which offers financial products and services that are processed end-to-end through a digital platform and/or electronic channels with physical branch/sub-branch.

Question 10

The legal systems in the world today

Accepted Answer

All of the mentioned

Answer

Civil law

Answer

Religious law

Answer

Common law

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