One of your customers wants to import some goods which require Import Licences.

He
wants to know who issues import licences. You will inform him that Import Licenses are
issued by -3
A bank guarantee should not have a maturity of more than ________ years, as per RBI
regulations-7*2x3*
ABC Ltd., your customer wants to know the ceiling on the `all n cost` rate upto one year in
case of Buyer`s/ Supplier`s Credit. You inform him that `all n cost` rate upto one year
should not exceed-1*3*2
An exporter of yours wants to know which form is to be used for declaring that money
earned through exports is coming into the country. You will inform him that it will be-2*1x
One of your customers wants you to issue a guarantee favouring the overseas lender from
which he is availing ECB. You will-3*4*2*1
Export of Computer Software in non physical form is declared in which of the following
declaration form -3*4
Packing credit advance is generally allowed on the strength of-1*4*3x 2
Your customer wants to invest abroad in a Joint Venture (JV) or a Wholly Owned Subsidiary
(WOS). Investment in Joint Venture/Wholly Owned Subsidiary abroad would require-2*1
In case of deemed exports, finance is extended to the -4
Normally the Bill of Entry has to be submitted by the Importer to his bank within-3*2*1
What is a direct import bill?-2
In a competitive market when both the trade partners are of international repute and
possess equal muscle, what kind of payment mentod you would suggest -3*1*2
ABC Ltd., your customer wants to know the ceiling on the `all in cost` rate for the period
between one year to three years in case of Buyer`s / Supplier`s Credit. You inform him that
`all in cost` rate for the period between one year to three years shoul -1
Buyer`s credit is financing the exporter while supplier`s credit is financing the importer-1*2
Base rate is arrived at based on-2*3
Which of the following products do not consume capital-4*1

Counter guarantee means a guarantee obtained-1*

Your importer wants to import raw leather from France. Supplier is prepared to offer credit
for 240 days under your bank`s letter of credit. Importer requests you to open a Letter of
Credit. Can we open?-1*4*3x2
Under the EEFC Scheme-3*1
Your customer who wants to avail import short term ECB has to apply for approval to ICICI
Bank in-3*4*
Limit up to which foreign currency may be credited to EEFC account in case of a 100% EOU
and units situated in Software technology parks (STPI`s)-4*2*3
TC reimbursement services is provided by Authorized Dealers for the following reasons-1*2
The payment of an import transaction has to be made within 180 days from the date of
shipment. Your customer says that he wants to open a LC with a usance period of 360 days.
For this case, approval will have to be taken from-3*1
Authorized dealers may sell foreign exchange as per-2*3
In Appraisal process for Documentary Credit Opening, Supplier diligence can be done
through-1*2
Which of the following statements are true?I)As on date, all export packing credit extended
by ICICI Bank is covered by ECGC Whole Turnover Packing Credit GuaranteeII)With effect
from July 1, 2003, ICICI Bank`s export packing credit portfolio is not cover -1*4
Three types of EEFC accounts available with our bank are-3
The major difference between clean collection and documentary collection is the
attachment/non attachment of documents of title ( Bill of Lading)-2
ICICI Bank benefits in the following ways by opening Special Foreign Currency Accounts for
OTO`s-1
Standby Credit is Documentary Credit under which an issuing bank is liable to pay only
when-1*4*3
Corporates normally approach the bank for outward remittances for the following-1
The following are the reasons why Overseas Tour Operators need Special Foreign Currency
Accounts-4
What are the benefits of the recently launched Online LC Issuance service for corporates?-1
The post shipment credit can be obtained for all of the following except -1
EEFC account is an account maintained by-1*2
For opening an import LC, a Status Report on the overseas party is required if the amount
exceeds-1*2
Vis a vis the LC facility,-1*2x4x 3
Interest on packing credit advance is charged-2*4
Effective May 1, 2003, the ceiling of interest rate on rupee export pre shipment credit is-4*3
In documents for collection the relation between exporter and the bank is -4
You being a Solutions Manager, one of your customers approaches you for opening of LC
with the required set of documents. You will-2
Your customer approaches a branch for opening of LC with the required set of documents.
The branch then sends the documents to CTSU through-3*4
A client awaiting a bid bond guarantee, on winning the bid may require-3*1
What is staffware?-2
Packing credit advance may be availed of by-4*1
FEDAI is-2
In international trade, Letters of Credits are governed by -4
The term `forfaiting` refers to-4*1
Merchanting trade` is a transaction where-3
What is the full form of ECGC- 3 wrong 2
The credit confirmation risks by Indian Banks can be covered with -1
What is `Export Documentation Tracking Service` offered by ICICI Bank?-1
For import payment, your importer has to submit an application to his AD known as-2*3*4x
The following person/s can open Foreign Currency accounts in India for business purposes-
3*2
The post shipment credit can be obtained for all of the following except = 2*
-
Section: 1. Certification Test on Trade Services
----------------------------------------------------------------------------------------------------------------------------
-Zee Ltd. inquires what is the maximum period for short term import credit (Buyer`s Credit/ Supplier`s Credit).
You tell him it is 1*3x4
A junior staff who has joined the bank recently wants to know what is a letter of credit. You inform him that a
letter of credit means 4
`Vostro Account` means 1*2
In case of an import Letter of Credit, commission charges, etc. are charged at the rates prescribed by 1*3
In extending EXIM Banks LOC, the following is the key determinant from ICICI Banks perspective 1
A bank guarantee should not have a maturity of more than __________ years 1
Credit Risk on the buyer is a feature in 1*2
In the documents for collections, the importer is known as 3*2
Banks should exercise due caution with regard to financial guarantees and should confine themselves to the
provisions of performance guarantee 2Buyer`s credit is financing the exporter while supplier`s credit is
financing the importer
As per existing RBI guidelines, the maximum rate of interest chargeable on pre shipment finance (PCFC) in
foreign currency is 1*2
Counter guarantee means a guarantee obtained 1*22
The advantages for financing trade transactions are 1. Short Term2.Self Liquidating 3. Secured. 4. Speedily
Completed. 4
`Packing Credit` means 1*3*
Find th odd man out 2*1*
`Merchanting trade` is a transaction where=3
The process of LC advising involves 1. Establishing the authenticity of LC received 2. Advising the terms &
conditions of LC to the beneficiary 3. Undertaking to negotiate under the LC 2
One of your clients who has a sizeable EEFC balance wants to place a deposit with you. You will inform him
that EEFC deposit can be accepted for a minimum period of 1*
As per existing RBI guidelines, the maximum rate of interest on post shipment finance in foreign currency is 2
When the beneficiary invokes the guarantee issued by the bank 2*3*4*1
Impex Ltd. wants to know the maximum amount in case of short term import credit (Buyer`s Credit/
Supplier`s Credit) per import transaction. It is 3
A continuing guarantee means=4
Adding confirmation to LC means 4
CTSU is responsible for all the regulatory and internal compliance with the rules attached to every transactions
2
Transactions in which the goods supplied do not leave the country and the payment for the goods is received
by the supplier in Indian rupees, but the suppliers earn or save foreign exchange for the country are termed as
2
n documents for collection the relation between exporter and the bank is 4
Import payments are to be made within 4*3
Foreign trade is controlled by 2
Post shipment finance includes 1
Foreign currency against rupee is said to be at a premium it will be 2
Which of the following statement about post shipment finance is incorrect? 2*4x1
A person desiring to start Export & Import Business should have 4
Post shipment finance is constrained by the following factors 1
Your exporter wants to open an Exchange Earner`s Foreign Currency (EEFC) account. You inform him that
EEFC account can be opened for 2

-
-
-
-
-
-
-
-
-Under D/A, the credit allowed by the exporter to importer is referred to as -1*4
The basic difference between `forfaiting` and `factoring` is that forfaiting can be with or
without recourse, while factoring has to be without recourse-1*2
In Appraisal process for Documentary Credit Opening, Supplier diligence can be done
through-2
What is the full form of ECGC-3
Your Status Holder client wants to know what is the limit upto which foreign currency may
be credited to EEFC account. You tell him it is-4*3x1
n Bills for collection, banks are obliged to make the payment against the receipt of
documents -1
EEFC account is...-1
The post shipment credit can be obtained for all of the following except -1
Co acceptance is a...- 3
A customer of yours wants to open a foreign currency account abroad. An Indian Company
to open a foreign currency account abroad requires -4
In documetns for collection, the role of collecting bank is all of the following except-3
The maximum amount for short term external commercial borrowings is-2
Vostro Account` means-2
Which one of the following is applicable for inland LC?-3
Local Bill discounting and collection services is being offered in our Trade Services Bouquet.
Do you agree with the statement?-4
In reimbursing TC`s, the rate of interest for the seven day period when the Bank is out of
funds would be charged in the following way-3*4
Export Packing Credit is normally disbursed on the basis of- 2*4
Post shipment finance extended for capital goods and project exports under the buyers
credit scheme of the EXIM Bank requires prior approval of -1
Authorized Dealers may accept the documents pertaining to export submitted after the
expiry of the specified period of 21 days- 3*4x 1
One of your customers wants to know what is a back to back LC. It is -2 -
Effective May 1, 2003, the ceiling of interest rate on rupee export post shipment is-4*1x
n case of a `forward` transaction-1
What are the stamping requirements for LC applications?-1*2
Except certain exempted categories, Export proceeds have to be repatriated to India within
-2*3
guarantee which covers only a single transaction is known as a-4
As per RBI guidelines, the limit for receipt of inward remittances by an Indian corporate is-
4*3*
You opened a letter of credit and received the documents from the negotiating bank. You
found the documents in order. However, the importer here has gone bankrupt and is not in
a condition to pay. Would you pay to the negotiating bank?-3*4
If the importer has not submitted the documentary evidence within the prescribed time
limit, AD has to submit a statement to RBI known as-3*1
For remittances other than import payment, importer has to submit an application to his AD
known as-2

-ndian Exporters benefit in the following ways by availing of EXIM Bank`s LOC
arrangements-1
In case of merchant trade transactions, the liability for the import leg of the transaction
should be extinguished by the payment received for the export leg of the transaction-3x1
EXIM Bank has Line of Credit Arrangements with many third world countries` government
institutions and borrower institutions for the following purposes-1x2x
Nostro Account` means-1
Post shipment finance in case of physical exports is extended to 1) The actual exporter 2)
An exporter in whose name the export documents are transferred -1
A bank guarantee that his customer will make payment of the specified amount, in certain
instalments and on specified dates is known as—2
On the due date of a import bill Co accepted by ICICI Bank...-2
For ICICI Bank, the following benefits would accrue by offering Export Aggregation services-
1
Banks should exercise due caution with regard to financial guarantees and should confine
themselves to the provisions of performance guarantee-all 1*
Which of the following types of accounts can be opened in the names of firms, companies,
business organizations, association of persons, etc under EEFC accounts?-2
Exchange control authority in India is-4
Which of the following statements about EEFC account is correct?-1x2x3
The post shipment credit can be obtained for all of the following except -1
The concept of `avalisation` is used in case of -2

Under RBI norms, Indian Banks have to achieve an export credit target of 3x
The risk offered for capital adequacy on discounting of bill is 2
-

What is the full form of GTSU 2* wrong

Banks should normally refrain from issuing guarantees on behalf of customers who 1*3
Honour means all except 4
Under bills for collection 4*2* wrong 3
Post shipment finance is provided from 2
Reimbursement bank role is to 3*2
Discounting of export LC is done at the request of 2
Collecting bank 2
Post shipment finance is provided against evidence of 2
Financial documents doesn`t include 1
ABC Ltd., your customer wants to know the ceiling on the `all-n-cost` rate upto one year in
case of Buyer`s\Supplier`s Credit. You inform him that `all-n-cost` rate upto one year
should not exceed 2
One of your customers wants to import some goods which require Import Licences. He
wants to know who issues import licences. You will inform him that Import Licenses are
issued by- 3
Discounting of export LC involves risk on 4*1
In case of advance payment 2
A person desiring to start Export and Import Business should have 4
In case of default, the issuer of performance guarantee undertakes 2
In case of an import Letter of Credit, commission charges, etc. are charged at the rates
prescribed by - 3
In case of documentary collection drawee of the bill is 3*2
Under LC payment is made to negotiating bank by 3
Projects exports are carried by 1. Supplying all the required goods / services from India 2.
Supplying the required goods / services partially from India and partially from a third
country 2*1
In a competitive market when both the trade partners are of international repute and
possess equal muscle, what kind of payment method you would suggest 4*3*
Effective May 1, 2003, the ceiling of interest rate on rupee export - pre shipment credit is
4*1*3
A client awaiting a bid-bond guarantee, on winning the bid may require 4*2*1
Pre-shipment finance is normally disbursed on the basis of 4
The bank which agrees to honour the claim under an LC in event of default of the issuing
bank will be known as 3*2
In documents for collection, the role of collecting bank is all of the following except 2*1*3
Impex Ltd. wants to know the maximum amount in case of short-term import credit
(Buyer`s Credit/ Supplier`s Credit) per import transaction. It is 3
For normal goods, suppliers credit can be availed for a maximum period of 1*2
Document against payment means Interest on packing credit advance is charged1
Guarantee issuing bank is liable to pay in case of 2
Letter of credit issuance involves 123
Which type of guarantee is suitable for an importer paying money in advance to an exporter
1
Documentary Credit 2*4*1
The guarantee which is required at the time customer bids for a tender 2
The responsibility of certifying the verasity of requests received from the customers llies
with respctive branches 2
Post shipment finance is provided to 4
Which of the two is a continuing arrangement? 3* wrong
The process of LC advising involves 1. Establishing the authenticity of LC received 2.
Advising the terms and conditions of LC to the beneficiary 3. Undertaking to negotiate under
the LC 1*2
For capital goods, buyers credit can be availed for a maximum period of 4*
In international trade, Letters of Credits are governed by- 4
One of your customers wants to know what is a back - to -back LC. It is 3*2
Pre shipment finance and post shipment finance is meant for 2
Banks can grant pre-shipment finance at concessional rates for a period of 3*4*
Forfaiting has following features except 2*4
RBI approval is required for opening LC with the usance period of more than 180 days 1*4*
Factor provides following services 1234
Documents under an LC should be presented 4
The LC issuing Bank undertakes to make the payment against LC on 3
Benefit to importer in a LC transaction is 2
In confirming an export LC, confirmation bank 12
What does D/P stand for? 1
In case of documentary collection drawer of the bill is 2*
Forfaiting is the mechanism for financing 2
The full form of SWIFT is 1
At the time of opening of all LC, funds are transfered from importer to exporter no
In case of documentary collection the importer`s bank 1

Postshipment finance is granted from the date of extending the credit-1

importers would prefer Co acceptance for the following benefits-1
CIB sends Trade Finance Alerts regarding-1
Banks can grant pre shipment finance at concessional rates for a period of -4*1
ICICI bank maintains a US Dollar account with Chase Manhattan Bank, New York. This
account is called in the books of ICICI Bank as -3
An exporter wants to know within how many days he has to submit export documents to
your branch. You inform him that he has to submit the documents within-3
What is the full form of CTSU-3
EXIM Bank has Line of Credit Arrangements with many third world countries` government
institutions and borrower institutions for the following purposes-2*
The responcibility of certifying the verasity of requests received from the customers llies
with respctive branches-2
As per RBI guidelines, the limit for receipt of inward remittances by an Indian corporate is
In case of a `forward` transaction 1
Indian Exporters benefit in the following ways by availing of EXIM Bank`s LOC
arrangements 4x2x
EEFC account has to be canvassed
aggressively because 1
In Bills for collection, banks are obliged to make the payment against the receipt of
documents 1
The Pricing of opening an LC considers the following except-2*1
at the time of opening of all LC, funds are transferred from importer to exporter-1
The LC limit fixed to a company would depend on -1
The forfaiting bank would provide non recourse finance to exporter based on the following
event/s happening-1*2
When the supplier is super strong in negoti
ating and agrees to ship the goods only after the receipt of payment. What kind of payment
terms ae agreed upon? 4X2*3
A guarantee which covers only a single transaction is known as a 2x3x4
The rates applicable for a forward contract can be 1
Bill of Entry is a1x3
EEFC account holder should comply with the following while issuing cheques out of that
account 1
Export bills can be 1
Deemed exports can be financed by 1) Multiple Agencies 2) UN
Organisations 3) Any other external agencies 1x 123 tat option
Your customer who has a unit in a Special Economic Zone (SEZ) wants to know how much
amount can be credited to his EEFC account. You inform him that it is-4*
One of your customers wants to open an overseas branch/office/ post a representative
abroad. For this case-4*3*
`Nostro Account` means=1
Our Trade Services Bouquet does not offer the following-3
Export Bill drawn on DP basis will be eligible for concessional rate of interest on Post
shipment advances up to Normal Transit Period. NTP means—2*3