Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q5: Which of the following statements regarding the eligibility of cash in currency chest balances are correct?

Cash kept in sealed covers for safe custody or held under a single lock is considered ineligible for inclusion.




To be eligible, cash must be held in the custody of joint custodians and be freely available to them.




If ineligible amounts are included in the chest balances, the action is treated as an instance of wrong reporting.




Including ineligible cash in the chest balance attracts penal interest at the specified rate.
A
1 and 2 only
B
3 and 4 only
C
1, 2 and 3 only
D
All of the above
✅ Correct Answer: D
Cash is only eligible for inclusion in chest balances if it is held under joint custody.
Cash under a single lock or in sealed covers is ineligible.
Including such ineligible amounts is treated as wrong Currency Chest Reporting and attracts penal interest immediately.