Indian Bank LBO key terms

A reasoning format where two or more given statements about categories are assumed true, and you decide which conclusions necessarily follow from them, regardless of real-world knowledge.

A technique for solving syllogisms by drawing circles for each category and arranging overlaps to test whether a conclusion holds in every possible arrangement.

In syllogism questions, a conclusion phrased as 'it is possible that...' is true unless the given statements make that situation impossible in every arrangement.

A pair of conclusions where exactly one must be true, so the answer is 'either I or II follows'; it typically arises when both conclusions use the same subject and predicate.

A question describing family links through statements or coded symbols, asking how two people are related; you build a family tree, marking gender and generation carefully.

A problem where movements are given as letter or symbol codes for north, south, east and west, and you must convert the code into actual directions before finding distance or facing.

In direction sense questions, the straight-line distance between start and end points is found using the right-triangle rule: distance equals the square root of the sum of squares of the horizontal and vertical shifts.

A puzzle placing people around a circle or in a row under constraints such as facing direction and adjacency; fixed clues are used first, then uncertain ones tested.

An arrangement puzzle where people or flats are placed on numbered floors of a building, solved by anchoring definite positions and eliminating impossible assignments.

A set of clues linking several attributes, such as person, city, colour and profession; a grid or table helps track which combinations remain possible.

A question giving words with their coded forms so you can identify the rule, such as shifting letters or reversing order, then apply it to a new word.

A sequence mixing letters, digits and symbols, where questions ask how many elements fall between two markers or satisfy a positional condition after rearrangement.

Statements using greater-than, less-than and equal signs are combined into a chain; you decide which of the offered conclusions about the elements is definitely true.

A machine-style question where a given input line is rearranged step by step under an undisclosed rule; you infer the rule and predict a later step.

A question asking whether the information in statements I and II, alone or together, is enough to answer a query, without actually computing the final value.

A speed question requiring evaluation of an expression using BODMAS order, fraction conversion and algebraic identities, usually answerable through approximation rather than exact long calculation.

Rounding numbers to convenient values so an answer close to the options can be chosen quickly; it is valid only when the options are far apart.

Remembering common equivalents such as 12.5 percent equals one-eighth, which converts percentage problems into fast multiplication and division with small fractions.

Two changes applied one after another do not simply add; the net effect is found by multiplying the multipliers, so a rise of 20 percent then a fall of 20 percent gives a net 4 percent fall.

Simple interest is principal times rate times time divided by 100; compound interest grows on the amount including earlier interest, so the difference between them widens with each period.

A ratio compares two quantities of the same kind, and a proportion states that two ratios are equal; scaling both parts by the same factor preserves the relationship.

A method using a weighted average diagram to find the ratio in which two ingredients of different prices or strengths must be mixed to obtain a desired mean value.

A business problem where profit is shared in proportion to each partner's capital multiplied by the time invested, so equal capital for unequal periods earns unequal shares.

Distance equals speed multiplied by time; for a train crossing a platform the total distance is train length plus platform length, and relative speed governs overtaking or approaching objects.

Downstream speed is the boat's still-water speed plus the current, upstream speed is the difference, and still-water speed is the average of the two.

If a person finishes a job in n days, one day's work is one over n; combining workers means adding these rates, and efficiency ratios scale the days inversely.

A variation of time and work where inlet pipes add to the tank at a positive rate and outlet pipes subtract, with the net rate deciding the filling time.

Two equations give values of x and y; you compare the roots to decide whether x is greater, smaller, equal, or the relationship cannot be established.

A set of questions based on a table, bar graph, pie chart or line graph, requiring calculation of ratios, percentages and averages from the given figures.

A passage with blanks, each to be filled by the option that fits the grammar and meaning of the surrounding sentence and the overall theme.

A passage followed by questions on main idea, inference, tone and vocabulary; answers must be supported by the text rather than by outside opinion.

An inference is a conclusion logically drawn from stated facts, while an assumption is an unstated belief the author takes for granted; confusing the two is a common trap.

A word or phrase such as 'although', 'therefore' or 'moreover' that signals contrast, cause, result or addition, and so determines which clause logically fits a blank.

A short passage ends in a blank and you choose the sentence that best continues its argument, matching both the logical direction and the tone.

A sentence is divided into parts and you identify the part containing a grammatical fault, such as subject-verb disagreement, wrong preposition or faulty parallelism.

The verb must match its subject in number and person; intervening phrases, collective nouns and constructions like 'one of the' are frequent sources of error.

A phrase in a sentence is underlined and you pick the replacement that makes the sentence grammatically correct and idiomatically natural, or choose 'no improvement'.

Sentences of a paragraph are given in scrambled order; you find the opening sentence and link the rest through pronouns, connectors and logical flow.

The interest rate at which the Reserve Bank of India lends short-term funds to commercial banks against securities; raising it generally makes loans costlier and cools demand.

The rate at which the Reserve Bank of India absorbs surplus liquidity from banks by borrowing from them; it usually sits below the repo rate.

The share of a bank's net demand and time liabilities that must be held as cash with the Reserve Bank of India, earning no interest and reducing lendable funds.

The minimum portion of net demand and time liabilities a bank must keep in liquid assets such as government securities, gold or cash, in addition to the cash reserve requirement.

A mandate requiring banks to direct a specified share of credit to sectors such as agriculture, micro enterprises, education and weaker sections, verified against adjusted net bank credit.

A loan is classified as an NPA when interest or principal has been overdue for more than 90 days, after which provisioning and recovery action apply.

A 2016 Indian law creating a time-bound corporate resolution process run by an insolvency professional, with the National Company Law Tribunal adjudicating and a committee of creditors approving plans.

International capital adequacy standards issued by the Basel Committee, requiring banks to hold capital against credit, market and operational risk; India follows the Basel III framework.

A bank's capital expressed as a percentage of its risk-weighted assets, showing how much cushion it holds against losses relative to the riskiness of its lending.

A six-member body chaired by the Reserve Bank of India Governor that sets the policy repo rate to meet the inflation target, with meetings held at least four times a year.

A framework in which the central bank commits to a numerical inflation goal, currently 4 percent consumer price inflation with a tolerance band of plus or minus 2 percent.

A retail price index tracking the cost of a fixed basket of goods and services bought by households; it is the headline measure used for India's inflation target.

An index of price changes at the wholesale or producer level, covering primary articles, fuel and manufactured products; it excludes services and is not the targeting measure.

A document such as a cheque, promissory note or bill of exchange that entitles the holder to payment and can be transferred by endorsement or delivery.

An image-based clearing process in which the physical cheque is scanned at the presenting bank and only the electronic image and data travel to the paying bank.

A Reserve Bank of India system settling high-value interbank payments individually and immediately, with no netting of debits and credits across transactions.

A nationwide retail funds transfer system permitting one-to-one transfers between bank accounts, settled in batches through the Reserve Bank's clearing infrastructure.

A platform built by the National Payments Corporation of India that lets mobile apps link bank accounts and transfer money instantly using a virtual payment address.

Mandatory identity and address verification of customers before opening accounts or allowing transactions, aimed at preventing money laundering and terrorist financing.

Laws and procedures requiring banks to monitor transactions, keep records and report suspicious activity to the Financial Intelligence Unit so that illegal funds can be traced.

Protection offered by the Deposit Insurance and Credit Guarantee Corporation, covering each depositor up to five lakh rupees per bank for deposits in insured commercial banks.