Get fully solved assignment, plz drop a mail with your sub code
Charges rs 125/subject and rs 700/semester only.
our website is www.smuassignment.in
if urgent then call us on 08791490301, 08273413412
DRIVE-SUMMER
2014
PROGRAM-MBADS
(SEM 3/SEM 5) MBAFLEX/ MBA (SEM 3) PGDBMN (SEM 1)
SUBJECT
CODE-MA0038
SUBJECT NAME-BANKING
OPERATIONS
Q1. David is a money lender and lends money to the needy. Will David
lend money charging market rate of interest or more?
(Explain the intermediation process of banks. (Differences in
lending, Intermediation process) 5, 5
Answer:
Intermediation process of banks
Naturally,
he will charge more than the market rate of interest. People who borrow money from
David run the risk of interest rate escalation. If the market rate of interest
goes up, David will increase the rate of interest. On the contrary, David also
faces a risk. If the market rate of interest falls down, people who have borrowed
money from David will go for cheaper sources and repay the borrowed sum to
David. David will then have difficulty of
Q2. Assess the business potential for opening an extension counter
of your bank in a medical college. List the possible benefits and infra
requirements for the branch. (possible benefits and, infra requirements for the
branch.) 5, 5
Answer:
Possible benefits
Banks
need to assess the business potential of each and every region/location in
order to work out the targets for business. If we open a extension counter of
our bank in a medical college then it will be very beneficial for a bank. There
are so many resources that can be very beneficial and will act as possible benefits.
As we know more number of resources give more benefits in business. Similarly, there
is more requirement for staff. So more
Q3. Please refer any commercial bank and write down the interest
rates on deposits as quoted by the bank in the notice board.
Discuss the basic objectives which the banks pursue while pricing
their business loans? (Interest rates, Basic objectives while pricing the
business loans) 3, 7
Answer:
Interest rates on deposits
Interest
rate risks affect the market value of equity of a bank and it’s NII. The focus
to increase the NII will be addressed by banks from a short-term view and the
improvement of market value of equity from a long-term view, it being a highly
critical issue affecting the brand image of the bank in the market.
Get fully solved assignment, plz drop a mail with your sub code
computeroperator4@gmail.com
Charges rs 125/subject and rs 700/semester only.
our website is www.smuassignment.in
if urgent then call us on 08791490301, 08273413412
Q4.
In every bank, there are many schemes for managing investments made by the
clients. The banks provide a wide range of plans and schemes for investment. The
banks deposit the money collected through their clients in many government
projects apart from lending. Can the banks invest in liquidity plans of mutual
funds?
Discuss
the composition of investments and investment policy guidelines. (Can the banks
invest in liquidity plans of mutual funds, composition of investments,
investment policy guidelines) 2, 4, 4
Answer:
Composition
of Investments
Banks’
investment consists of different types of instruments.
Money
market
The
basic functions of money market are to provide efficient facilities for adjustment
of liquidity position of commercial banks. Money market functions smoothly and
helps flow of funds to be utilised for important economic activities.
Q5. List out the banks that were merged during the financial year
2010-2012. Discuss the factors that affect mergers and acquisitions. (List the
mergers, factors) 5, 5
Answer:
List of the banks that were merged
during the financial year 2010-2012
The Indian banking industry may
see a few mergers and acquisitions (M&A) deals 2010-12, ahead of the
banking regulator releasing the licensing norms for new banks that are expected
to open for business in the next two years.
Once the new banks open for
business, competition will intensify and many of these banks may find it
difficult
Q6. BoI, was the first to cut its minimum rate of lending or the base rate by 0.25 per cent after a finance ministry diktat last week, is targeting to take domestic NIM up to 3.10 per cent for FY14 from previous year's 3 per cent. Discuss the factors that contribute to NIM. (Explain NIM, factors) 5, 5
Answer:
Net
Interest Margin (NIM) (NIM) is a measure of the difference
between the interest income generated by banks or other financial institutions
and the amount of interest paid out to their lenders (for example, deposits),
relative to the amount of their (interest-earning) assets. It is similar to the
gross margin of non-financial companies.
Net
interest margin is equal to the percentage of total interest income minus the
total interest expense divided by the average earning
Get fully solved assignment, plz drop a mail with your sub code
computeroperator4@gmail.com
Charges rs 125/subject and rs 700/semester only.
our website is www.smuassignment.in
if urgent then call us on 08791490301, 08273413412
No comments:
Post a Comment