Law and practice of Banking Question Paper - 2007

IV Semester B.com Examination, April/May 2007
(Semester Scheme)
COMMERCE
Law and practice of Banking

Time: 3 Hours                                                                 Max. Marks : 90

Instruction:  1) Answers Should be written completely only in English. 
                        2) Answer all the Sections.

SECTION - A

Answer any 10 sub-questions. Each sub-question carries 2 marks.           (10x2=20)

1. a) What is particular lien?b) Who is a collecting banker?
c) What is right of set off?
d) Expand FCNR?
e) What do you mean by certificate of deposit?
f) Who is customer?
g) Define mortgage?
h) What is material alteration? Give an exmple.
i) what is cah credit?
j) What is endorsement?
k) What are travellers cheques?
l) What is an overdraft?

SECTION - B

Answer any 5 of the following questions. Each question carries 5 marks.   (5x5=25)

2. What is a letter of credit? Briefly explain the types of letters of credit.
3.Differenciate between bank dedt and an ordinary dedt.
4.Briefly explain the safe deposit valuts.
5.Who is a 'holder for value' ? explain.
6. Write a note on credit cards.
7. Analyse the various features of a bank draft.
8. Bring out the features of a pledge.
9. What is negligence? give examples.

SECTION - C

Answer any 3 of the following questions. Each question carries 15 marks.     (3x15=45)

10. Analyse the principles of sound lending by commercial banks.
11. What are the precautions a banker has to take while opening and operating?
    a) Executors and administrators account.
    b) Partnership firm accounts.
   c) Joint accounts.
12. Who is a paying banker? What are the percautions to be taken by him while honouring a cheque?
13. Explain briefly special relationship between banker and customer .
14. What are the essentials of a valid endorsement? Mention its types.