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Mr.Osama is a proprietor dealing in exclusive handmade textiles in Muscat. He imports silk thread from China and exports silk dresses to Tanzania. He has
Mr.Osama is a proprietor dealing in exclusive handmade textiles in Muscat. He imports silk thread from China and exports silk dresses to Tanzania. He has about twenty employees working in his textile factory. He has an account in Bank Muscat. He has exported silk dresses for RO 25,000 on credit to Hamsa traders in Tanzania who has accepted the bill of exchange on 1st June 2021 with a credit period of three months. He has placed all his documents in the locker of Bank Muscat. He decides to expand his business and convert it to a company. The reason for conversion of his business to company is to raise more capital. He is planning to issue shares to public in the future. Mr. Osama has his will written and has appointed Bank Muscat as the legal executor. Mr. Osama has placed an order for one thousand tons of silk thread from a Chinese dealer costing RO 15,000. He has paid only RO 500 as an advance for the same.. 1- Mr. Osama is planning to take the help of Bank Muscat to perform all the legal formalities and necessary arrangements in connection with the raising of share capital. This function provided by Bank Muscat is called a. Underwriting of Capital Issues b. Acting as Guarantors c. Safe Custody of Valuables d. Financial Leasing 2- Mr.Osama has instructed Bank Muscat to pay his electricity and water bills on the 5th of every month. The relationship between Mr. Osama and Bank Muscat is that of a a. Agent Principal relationship b. Bailee Bailor Relationship c. Creditor Debtor Relationship d. Trustee Beneficiary relationship 3- When Bank Muscat are short of funds, it get loans from Central Bank of Oman. By providing loan to Bank Muscat, the Central Bank of Oman is acting as a a. Lender of Last Resort b. Controller of Bank Muscat c. Policy maker of Bank Muscat d. None of the options mentioned 4-Central bank always attempts to avoid _____________to maintain stability. a. Fluctuations in the foreign exchange rates b. Growth in the Agricultural sector c. Divert savings into productive channels d. none of the options mentioned 5- All licensed Banks have to maintain a deposit of not more than _______ as reserves with the Central Bank of Oman a. 30% of total Demand deposit b. None of the options mentioned c. 40% of total time deposit d. 40% of total Demand deposit
1- Mr. Osama is planning to take the help of Bank Muscat to perform all the legal formalities and necessary arrangements in connection with the raising of share capital. This function provided by Bank Muscat is called
a.
Underwriting of Capital Issues
b.
Acting as Guarantors
c.
Safe Custody of Valuables
d.
Financial Leasing
2- Mr.Osama has instructed Bank Muscat to pay his electricity and water bills on the 5th of every month. The relationship between Mr. Osama and Bank Muscat is that of a
a.
Agent Principal relationship
b.
Bailee Bailor Relationship
c.
Creditor Debtor Relationship
d.
Trustee Beneficiary relationship
3- When Bank Muscat are short of funds, it get loans from Central Bank of Oman. By providing loan to Bank Muscat, the Central Bank of Oman is acting as a
a.
Lender of Last Resort
b.
Controller of Bank Muscat
c.
Policy maker of Bank Muscat
d.
None of the options mentioned
4-Central bank always attempts to avoid _____________to maintain stability.
a.
Fluctuations in the foreign exchange rates
b.
Growth in the Agricultural sector
c.
Divert savings into productive channels
d.
none of the options mentioned
5- All licensed Banks have to maintain a deposit of not more than _______ as reserves with the Central Bank of Oman
a.
30% of total Demand deposit
b.
None of the options mentioned
c.
40% of total time deposit
d.
40% of total Demand deposit
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