Karnataka Bank Clerk key terms

A reasoning format using two or more premises that share a middle term to produce a conclusion. Candidates judge whether the conclusion necessarily follows, using Venn diagrams rather than real-world truth.

A technique for testing syllogism conclusions by drawing circles for each category and checking which regions must be empty or populated, revealing whether a conclusion is forced.

Two conclusions in a syllogism where one must be true but not both, such as 'Some A are B' and 'No A is B'. If neither is individually certain, the pair is still offered as an option.

A puzzle giving relationships between people, often coded symbols or generations, from which the candidate deduces how two named persons are related. Drawing a family tree avoids confusion.

A question where symbols or letters replace comparison signs, and statements combine them. The candidate decodes the symbols and decides which of the given conclusions about order is definitely true.

A puzzle placing people around a circle or in a row with clues about facing direction and neighbours. Candidates fix positions step by step, usually starting with the most restrictive clue.

A set of conditions about people, floors, days or colours that must be satisfied simultaneously. Marks are awarded for a group of questions sharing one arrangement, so a wrong initial assumption is costly.

A test of tracking movement across compass directions, including turns and distances, to find final position or shortest distance. Sketching each step and applying Pythagoras for diagonals is the standard approach.

A question where a word or sentence is written in a disguised form under a rule, and the candidate applies that rule to a new word or reverses it to recover the original.

A sequence mixing letters, digits and symbols, with questions about counting, positions from either end, or which element satisfies a stated condition. Careful left-to-right scanning under time pressure is essential.

A format giving a question with two or three statements, asking whether the data supplied is enough to answer it. Candidates must not compute the answer, only judge whether it is uniquely determinable.

Rounding numbers in a calculation to nearby convenient values so the answer can be estimated quickly. Options are usually spaced widely enough that exact arithmetic is unnecessary.

Reducing an expression built from brackets, powers, roots and mixed operations to a single value, following the conventional order of operations while exploiting shortcuts and standard squares.

A list of numbers following a hidden rule, such as differences, ratios, squares or alternating patterns, where the candidate identifies the missing or wrong term.

An equation of the form ax squared plus bx plus c equals zero, solved for its two roots by factorisation or the quadratic formula. Questions often compare the roots of two such equations.

A fraction expressed with denominator 100, used to compare quantities and to compute increases, decreases and successive changes. Converting common fractions to percentages speeds up many aptitude problems.

The comparison of cost price with selling price to find gain or loss, expressed as a percentage of cost price unless stated otherwise. Marked price and discount are handled separately from profit.

Interest computed only on the original principal for the whole period, equal to principal times rate times time divided by 100. It does not compound, unlike interest added to the balance each period.

Interest calculated on principal plus previously accrued interest, so the amount grows geometrically. The difference from simple interest over two years equals the interest on the first year's interest.

The relation that distance equals speed multiplied by time, applied to journeys, trains and boats. Relative speed is the sum when moving towards each other and the difference when moving in the same direction.

Problems where a boat's speed in still water combines with or opposes the current, giving downstream speed as the sum and upstream speed as the difference of the two rates.

Problems where the rate of work is the reciprocal of the days taken, so combined rates add. Efficiency ratios let candidates convert one worker's output into another's in the same units.

A variant of work problems where inlet pipes fill and outlet pipes empty a tank. Rates are added for inlets and subtracted for outlets, with a negative net rate meaning the tank never fills.

Counting arrangements where order matters (permutations) versus selections where it does not (combinations), using factorial-based formulas and the fundamental principle of multiplication.

The ratio of favourable outcomes to total equally likely outcomes in a sample space. For independent events the probabilities multiply, and for either of two events they are added after removing overlap.

Measurement of lengths, areas and volumes of plane and solid figures such as circles, cylinders and cones, requiring recall of standard formulas and correct unit handling.

A set of three positive integers satisfying a squared plus b squared equals c squared, such as 3-4-5 or 5-12-13. Recognising such triples quickly gives right-triangle sides in geometry and direction problems.

A set of questions based on a table, bar chart, pie chart or line graph, where candidates extract values and compute ratios, averages or percentage changes. Reading the units and footnotes first prevents errors.

The sum of a set of values divided by how many values there are. In data interpretation it is often needed as a base for comparison, and changes in average reveal missing or added values.

The rule that a verb matches its subject in number and person, with complications from intervening phrases, collective nouns, and constructions like 'one of the' or 'neither...nor'.

A question presenting a sentence divided into parts, one of which contains a grammatical or usage error. Candidates identify the faulty segment without rewriting the whole sentence.

A short word linking a noun or pronoun to another element to show relations of place, time or direction. Fixed verb-preposition pairs must be memorised because they resist logic.

A verb combined with an adverb or preposition that produces a meaning different from the parts, such as 'put off' meaning postpone. These are frequently tested in fill-in-the-blank items.

A fixed expression whose meaning cannot be inferred from its individual words, such as 'at the drop of a hat'. Questions ask for the correct meaning or a suitable replacement.

A passage followed by questions on its main idea, specific details, inferences, tone and vocabulary in context. Answers must be supported by the text rather than by outside knowledge.

A passage with words removed at intervals, where candidates choose the option that best restores meaning and grammar. Both contextual fit and collocation must be checked for each blank.

A set of sentences presented out of order that must be rearranged into a coherent paragraph. Opening sentences, pronouns and connecting words provide the clues to the correct sequence.

A short-term borrowing arrangement where a bank sells securities to the central bank or another party and agrees to buy them back later at a slightly higher price. The rate charged is the repo rate.

The mirror of a repo: the central bank absorbs liquidity from banks by borrowing against securities. The reverse repo rate normally sits below the repo rate and forms the floor of the policy corridor.

The share of a bank's net demand and time liabilities that must be held as cash with the Reserve Bank of India. It earns no interest and directly reduces funds available for lending.

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

A loan where principal or interest has remained overdue for more than 90 days. Such assets are classified as substandard, doubtful or loss, and require provisioning that reduces bank profit.

Money a bank sets aside from profit to cover expected losses on doubtful or non-performing loans. Higher provisioning lowers reported profit and is mandated by central bank norms.

Indian law enacted in 2016 that provides a time-bound resolution process for distressed companies and individuals, with a committee of creditors deciding on revival or liquidation.

A mandate requiring banks to direct a set share of credit to sectors such as agriculture, small enterprises, education and weaker sections, with shortfalls deposited in a rural development fund.

Extending affordable formal financial services, especially deposit accounts, credit and insurance, to unbanked and low-income groups. Schemes such as Jan Dhan Yojana and small finance banks serve this goal.

A licensed bank that accepts deposits up to a prescribed ceiling and offers payments and remittances but cannot lend or issue credit cards. It promotes small-value digital transactions.

A bank licensed to serve unserved and underserved sections, required to hold a high share of small-ticket loans. Unlike a payment bank, it can lend and accept deposits without the same ceiling.

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

An image-based clearing process in which a cheque's electronic image and data replace the physical instrument, speeding up settlement and reducing the risk of transporting paper cheques.

A real-time payment system that lets users transfer funds between bank accounts using a virtual handle on a mobile application, without entering account details for each transaction.

A system settling large-value interbank payments individually and immediately, used mainly for high-value transactions. Settlement is final and irrevocable once processed.

An electronic system for transferring funds between accounts at different banks, settled in batches rather than instantly, commonly used for salary and vendor payments.

International standards on bank capital adequacy, liquidity and risk management issued by the Basel Committee. Indian banks follow these through capital adequacy ratios prescribed by the central bank.

A bank's capital expressed as a percentage of its risk-weighted assets, showing how much cushion exists against losses. Regulators set a minimum and Indian banks must also meet a higher buffer.

A scheme giving farmers a revolving credit limit for crop production and related needs, with simplified documentation and interest subvention on prompt repayment.

Protection covering depositors if a bank fails, provided in India by the Deposit Insurance and Credit Guarantee Corporation up to a specified limit per depositor per bank.

A pooled investment vehicle that collects money from many investors and invests it in securities according to a stated objective, with units priced at net asset value.

A method of investing a fixed sum in a mutual fund at regular intervals, averaging purchase cost over time and encouraging disciplined saving rather than lump-sum timing.

A statutory body at the Reserve Bank of India that meets to set the policy repo rate and inflation stance, aiming to keep consumer price inflation near the target set by government.