UGC NET Paper 2 Commerce Mock Test - 9 Free MCQ Practice Test with Solutions

" },"encodingFormat": "text/html","text": "

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "-9.5%", "comment": { "@type": "Comment", "text": "

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "-3.5%", "comment": { "@type": "Comment", "text": "

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "1.5%", "comment": { "@type": "Comment", "text": "

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "3.5%", "comment": { "@type": "Comment", "text": "

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "d", "comment": { "@type": "Comment", "text": "

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer is 3.5%.

Key PointsReal rate of interest:

The real rate of interest is the interest rate adjusted for inflation. It represents the rate at which the purchasing power of an investment increases. In other words, it is the rate of return on an investment after accounting for the impact of inflation.

The formula for calculating the real rate of interest is as follows:

Real rate of interest = Nominal rate of interest - Inflation rate

For example, if the nominal interest rate on a savings account is 4%, and the inflation rate is 2%, the real rate of interest would be:

Real rate of interest = 4% - 2% = 2%

This means that the investor is earning a real rate of return of 2% on their investment after accounting for inflation

The real rate of interest is the nominal rate of interest minus the inflation rate.

Therefore, the real rate of interest in this scenario would be:

Real rate of interest = Nominal rate of interest - Inflation rate
Real rate of interest= 6.5% - 3.0%
Real rate of interest= 3.5%

So the real rate of interest in this scenario is 3.5%.

." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?" },"encodingFormat": "text/html","text": "What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "12 per cent", "comment": { "@type": "Comment", "text": "What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "18 per cent", "comment": { "@type": "Comment", "text": "What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "30 per cent", "comment": { "@type": "Comment", "text": "What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "40 per cent", "comment": { "@type": "Comment", "text": "What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer is18 per cent

Key PointsSustainable Growth Rate:

The maximum rate of growth that a business or social enterprise may maintain without needing to raise more capital or take on more debt is known as the sustainable growth rate (SGR).
It measures how quickly a business can expand using only internal revenue and without borrowing money from other sources.

Important Points

The sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent is 18%

." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?" },"encodingFormat": "text/html","text": "Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Rs 16.75", "comment": { "@type": "Comment", "text": "Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Rs 20.65", "comment": { "@type": "Comment", "text": "Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Rs 28.75", "comment": { "@type": "Comment", "text": "Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Rs 30.15", "comment": { "@type": "Comment", "text": "Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer is 28.75.

Key Points

The price per share of the company using Walter's valuation model is Rs. 28.75.

Walter's valuation model is a method of valuing a company's shares based on the company's earnings per share, return on investment, and the return required by shareholders.

The formula for Walter's valuation model is:

Price per share = (EPS * ROI * R) / (1 - Payout Ratio)
where:

EPS is the earnings per share
ROI is the return on investment
R is the return required by shareholders
Payout Ratio is the percentage of earnings that is paid out as dividends
In this case, the following values are given:

EPS = Rs. 4
ROI = 20%
R = 16%
Payout Ratio = 40%
Substituting these values into the formula, we get:

Price per share = (EPS * ROI * R) / (1 - Payout Ratio)
= (4 * 20 * 16) / (1 - 0.4)
= (640) / (0.6)
= Rs. 28.75." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "Which of the following is NOT the feature of the Indian capital market?" },"encodingFormat": "text/html","text": "Which of the following is NOT the feature of the Indian capital market?","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Government rules and regulations", "comment": { "@type": "Comment", "text": "Which of the following is NOT the feature of the Indian capital market?" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Utilises intermediaries", "comment": { "@type": "Comment", "text": "Which of the following is NOT the feature of the Indian capital market?" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Link between savers and investment opportunities", "comment": { "@type": "Comment", "text": "Which of the following is NOT the feature of the Indian capital market?" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Co-promotes state-level venture funds", "comment": { "@type": "Comment", "text": "Which of the following is NOT the feature of the Indian capital market?" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "Which of the following is NOT the feature of the Indian capital market?" }, "answerExplanation": { "@type": "Comment", "text": "

The correct option isCo-promotes state-level venture funds.

Co-promotes state-level venture funds is not a feature of Indian capital Market
Important PointsFeatures of Indian Capital Market are as follows:

Serves as link between Savers and Investment Opportunities:As money is transferred from savers to risk-taking borrowers on the capital market, it forms an essential link between the saving and investing processes.
LongTerm Investment :The ability to put their hard-earned money into long-term investments is beneficial to investors.
Helps in Capital Formation :The capital market provides chances for those investorswho have extra funds and wish to store them in an investment, so they can benefit from compound interest.
Helps Intermediaries:It requires the assistance of intermediaries, such as brokers, banks, etc., to transfer shares and money from one investor to another, aiding them in running their businesses.
Rules and Regulations :The government regulates and controls how the capital markets operate, giving it a secure environment for trading.

Additional InformationCapital Market:A capital market is a location where funding instruments like shares, bonds, debentures, debt instruments, and E T Fs can be traded. It is a way to raise money for private citizens, businesses, and governments.

Types of Capital Market

Primary Market:

New securities that are launched in the stock market for the first time are primarily dealt with in the primary market.
As a result, the fresh issue market is another name for it.
The primary market's principal purpose is to make it easier for corporations to transfer newly issued shares to the general public.
Financial institutions, banks, H N I, and others are the key investors in this type of market.

Secondary Market:

Also known as the stock market, this market serves as the actual venue for the trading of securities.
Here, securities are bought and sold.
Current investors sell the securities, while new investors acquire the securities.

Match List I with List II

Choose the correct answer from the options given below:

" },"encodingFormat": "text/html","text": "

Match List I with List II

Choose the correct answer from the options given below:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

A ‐ l, B ‐ ll, C ‐ lV, D ‐ lll

", "comment": { "@type": "Comment", "text": "

Match List I with List II

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

A ‐ lll, B ‐ lV, C ‐ ll, D ‐ l

", "comment": { "@type": "Comment", "text": "

Match List I with List II

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

A ‐ l, B ‐ ll, C ‐ lll, D ‐ lV

", "comment": { "@type": "Comment", "text": "

Match List I with List II

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

A ‐ l, B ‐ lV, C ‐ ll, D ‐ lll

", "comment": { "@type": "Comment", "text": "

Match List I with List II

Choose the correct answer from the options given below:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "b", "comment": { "@type": "Comment", "text": "

Match List I with List II

Choose the correct answer from the options given below:

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer isA ‐ lll, B ‐ lV, C ‐ ll, D ‐ l.

Key PointsHedging -By purchasing a second investment that you anticipate will perform in the opposite way, you can use the investment strategy known as hedging to offset a potential loss on the first one.

Important PointsEuropean option -An option contract that only allows for the day of expiration for right exercise is known as a European option.

Option premium -The current market value of an option contract is known as an option premium. Thus, it is the money that the seller (writer) of an option contract receives from the opposite side. Premiums for in-the-money options are made up of intrinsic and extrinsic value.

In-money option-A call option that is in the money allows the holder to purchase the securities for less than its current market value. If a put option is in-the-money, it allows the holder to sell the security for a higher price than it is currently trading for.

American option -An American Option is a form of options contract (Call or Put) that allows the option holder to exercise the option whenever they choose prior to the expiration date. It enables the option holder to profit from the security or stock whenever it is advantageous to do so.

The correct answer is Time Keeping.

Key PointsThe activities that are not associated with workforce planning are:

Timekeeping: Timekeeping is the process of recording the hours that employees work. It is not directly related to workforce planning, which is the process of ensuring that an organization has the right number of employees with the right skills in the right places at the right time.

Assessing capability of workforce to develop any requisite skills: This is part of workforce planning, not separate from it.

The activities that are associated with workforce planning are:

Forward planning: This involves forecasting future demand for labor and supply of labor.
Reviewing internal and external labor supply: This involves identifying the skills and competencies of the current workforce and the skills and competencies that will be needed in the future.
Identifying areas where recruitment will be needed: This involves identifying the departments or functions where there will be a shortage of workers in the future.
Developing strategies to address any gaps in the workforce: This may involve recruitment, training, or redeployment.
Workforce planning is an important process for ensuring that an organization has the right number of employees with the right skills in the right places at the right time. It is a continuous process that should be reviewed regularly to ensure that it is still aligned with the organization's goals and objectives

Key-Points

ECGC (Export Credit Guarantee Corporation):

Export Credit Guarantee Corporation of India is administered by the Government of India through the Ministry of Commerce and Industry.
It is fundamentally an export promotion organization with a motive to enhance the competitiveness of Indian exports by offering them credit insurance covers.
ECGC was set up for ensuring the smooth functioning of Indian exporters by minimizing the risk associated with the payments emanating from other nations.
ECGCinsurance covers also assist the Indian exporters with better access to credit facilities from banks and other financial institutions.
ECGC is the 5th largest credit insurance company dealing with the exports of any country.
It also offers Overseas Investment Insurance to the Indian companies investing in Joint Ventures abroad in the form of loans or equity.

Therefore, ECGC is concerned with insurance.

Additional Information

ECGC offers the following types of guarantees to the exporter:

Export financeguarantee
Packing creditguarantee
Post-shipment export creditguarantee
Export production financeguarantee
Transportguarantee
Export performanceguarantee

." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value." },"encodingFormat": "text/html","text": "Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value.","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Creating customer needs", "comment": { "@type": "Comment", "text": "Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value." }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Building customer loyalty", "comment": { "@type": "Comment", "text": "Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value." }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Renewing a customer base", "comment": { "@type": "Comment", "text": "Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value." }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Cannibalizing products", "comment": { "@type": "Comment", "text": "Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value." }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value." }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer is Building customer loyalty.

Key PointsHolistic marketers achieve profitable growth by focusing on three key areas:

Expanding customer share: This means attracting new customers and increasing the amount of business that existing customers do with the company.

Building customer loyalty: This means creating a strong emotional connection with customers so that they keep coming back for more.

Capturing customer lifetime value: This means maximizing the amount of revenue that a company can generate from each customer over their lifetime.

By focusing on these three areas, holistic marketers can achieve profitable growth in the long term.

Additional Information

Here are some specific strategies that holistic marketers can use to build customer loyalty:

Personalization: Holistic marketers use data to personalize the customer experience. This can include things like sending targeted emails, offering personalized discounts, and providing personalized customer service.

Community: Holistic marketers create a sense of community around their brand. This can be done by sponsoring events, creating online forums, or simply encouraging customers to interact with each other on social media.

Value: Holistic marketers provide customers with value beyond the product or service they are selling. This can include things like free shipping, loyalty programs, or educational content.

By building customer loyalty, holistic marketers can create a sustainable source of revenue that will help them achieve profitable growth in the long term.

The correct answer isJuly 2017.

Key Points

Goods and Service tax
- In 2016, the Indian Parliament passed a law, the Goods and Services Tax Act 2016, to simplify and introduce a unified indirect tax system in India.
- This is expected to generate additional revenue for the government, reduce tax evasion and create ‘one nation, one tax, and one market’.
- Another component of reform in this area is simplification. To encourage better compliance on the part of taxpayers, many procedures have been simplified and the rates have also been substantially lowered.
- The GST isa value-added tax levied on most goods and services sold for domestic consumption.
- The GST ispaid by consumers,but it isremitted to the government by the businesses selling the goods and services.
- GST, whichsubsumed almost all domestic indirect taxes(petroleum, alcoholic beverages, and stamp duty are the major exceptions) under one head, is perhaps the biggest tax reform in the history of independent India.
- It was launched into operation on the midnight of 1^stJuly 2017. Hence, Option 1 is correct.
- GST is applicable on‘supplyof goods or services as against the old concept on the manufacture of goods or sale of goods or the provision of services.
- GST is based on the principle of destination-based consumption taxation as against the principle of origin-based taxation.
- It is a dual GST with the Centre and the States simultaneously levying tax on a common base.
- The GST to be levied by the Centre is calledCentral GST (CGST)and that to be levied by the States is calledState GST (SGST).
- Import of goods or services would be treated as inter-state supplies and would be subject toIntegrated Goods & Services Tax (IGST)in addition to the applicable customs duties.
- GST rates to be mutually decided:CGST, SGST & IGST are levied at rates to be mutually agreed upon by the Centre and the States.
- The rates are notified on the recommendation of theGST Council.
- GST is levied at four rates viz.5%, 12%, 18% and 28%.The schedule or list of items that would fall under these multiple slabs is worked out by the GST council.

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

" },"encodingFormat": "text/html","text": "

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

2, 3, and 4

", "comment": { "@type": "Comment", "text": "

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

1, 3, 5, and 6

", "comment": { "@type": "Comment", "text": "

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

3, 4, and 6

", "comment": { "@type": "Comment", "text": "

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

None of the above

", "comment": { "@type": "Comment", "text": "

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "a", "comment": { "@type": "Comment", "text": "

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

" }, "answerExplanation": { "@type": "Comment", "text": "

An income earned which is not subject to income tax is called exempt income. As per Section 10 of the Income Tax Act, 1961, there are certain types of income that will be subjected to Income tax within a financial year, provided that they meet certain conditions and guidelines.

Key Points

Income Exempt from Tax as per Section 10

Mentioned below is the list of a few incomes exempt from tax specific to Section 10:

Agriculture Income [Section 10(1)]
Amount received out of family income, Hindu Undivided Family (H.U.F.) [Section 10(2)]
Share of profit, [Section 10(2A)]
Interest paid to Non-Resident [Section 10(4)(i)]
Leave Travel Concession or Assistance [Section 10(5)]
Remuneration or Salary received by an individual who is not a citizen of India [Section 10(6)] a. Remuneration [U/s 10(6)(ii)] b. Remuneration received as an employee of foreign enterprise [U/s 10(6)(vi)] c. Employment on a foreign ship [U/s 10(6)(viii)] d. Remuneration received by an employee of foreign government [U/s 10(6)(xi)]
Tax paid by Government or Indian concern on Income of a Foreign Company [Section 10(6A), (6B), (6BB) and (6C)]
Perquisites/Allowances paid by Government to its Employees serving outside India [Section 10(7)]
Retirement Compensation from a Public Sector Company or any other Company [Section 10(10C)]
Amount received under a Life Insurance Policy [Section 10(10D)]
Statutory Provident Fund [Section 10(11)]
Recognized Provident Fund [Section 10(12)]
Superannuation Fund [Section 10(13)]
House Rent Allowance-HRA [Section 10(13A)]
Income of Scientific Research Association [Section 10(21)]
Income of a News Agency [Section 10(22B)]
Income of some Professional Institutions [Section 10(23A)]
Income of Mutual Fund [Section 10(23D)]
Exemption of income of a securitization trust [Section 10(23DA)j [w.e.f. A.Y. 2014-15]
Income of Investor Protection Fund [Section 10(23EA)]
Exemption of income of investor protection fund of depository [Section 10(23ED)] [w.e.f. A.Y. 2014-15]
Exemption for Certain Incomes of a Venture Capital Company or Venture Capital Fund from Certain Specified Business or Industries [Section 10 (23FB)]
Income of Registered Trade Unions [Section 10(24)]
Exemption of income to a shareholder on buyback of shares of unlisted company [Section 10 (34A) [w.e.f. A.Y. 2014-15]
Exemption of income from Units [Section 10(35)]
Exemption of income from Securitization Trust [Section 10(35A)] [w.e.f A.Y. 2014-15]
Long Capital gain (Below Rs. 1 Lakh)arising from sale of shares and units[Section 10(38)]

Important Point

1. According to theIncome TaxAct,rental incomeof apropertyistaxedunder Section 24 in the hands of the owner, under the head 'incomefrom houseproperty'.

2. LATEST NEWS Budget 2020

No Dividend Distribution Tax (DDT) to be paid by Companies from FY 2020-21. Hence the dividend income will become taxable in the hands of taxpayers irrespective of the amount received at applicableincome tax slab rates.

Therefore, option 1 is the correct answer.

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

" },"encodingFormat": "text/html","text": "

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "(a), (b), (d)", "comment": { "@type": "Comment", "text": "

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "(a), (b), (c)", "comment": { "@type": "Comment", "text": "

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "(a), (c), (d)", "comment": { "@type": "Comment", "text": "

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(b), (c), (d)", "comment": { "@type": "Comment", "text": "

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer is 'option 2'

The three pillars of APEC are:

Trade and Investment Liberalization
Business Facilitation
Economic and Technical Cooperation (ECOTECH)

Therefore, the correct answer is 'a, b and c'

Additional Information

The 21 APEC member economies jointly work towards the realization of free and open trade and investment in the Asia-Pacific by 2020 and the establishment of agreater regional community to address the economic and social dimensions of development,a commitment made in1994 known as the Bogor Goals.

The Three Pillars of APEC's agenda focus on:

1. Trade and Investment Liberalization

APEC members take actions to reduce tariff and non-tariff barriers to trade and investment that boost job creation, incomes, and growth. Collaboration is guided by APEC's Regional Economic Integration agenda and includes the advancement of bilateral and regional trade agreements and the long-term goal of a Free Trade Area of the Asia-Pacific (FTAAP).

2. Business Facilitation

APEC members pursue measures toin the region and open new economic opportunities including for small firms, women, and youth. APEC's Structural Reform agenda supports the development and harmonization of policies that improve market access and efficiency and uphold public interest such as the safeguarding of health and safety.

3. Economic and Technical Cooperation (ECOTECH)

ECOTECH builds the technical capacity of APEC's diverse members to promote trade, investment, and robust, secure, and sustainable economic growth that widely benefits the region's people.
Priorities include strengthening anti-corruption, cross-border education and skills training, emergency preparedness, energy security, environmental protection, defence against pandemics and infrastructure development, among others.

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

" },"encodingFormat": "text/html","text": "

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Complex Buying Behavior

", "comment": { "@type": "Comment", "text": "

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Variety Seeking Buying Behavior

", "comment": { "@type": "Comment", "text": "

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Dissonance Reducing Buying Behavior

", "comment": { "@type": "Comment", "text": "

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

Habitual Buying Behavior

", "comment": { "@type": "Comment", "text": "

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "a", "comment": { "@type": "Comment", "text": "

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

" }, "answerExplanation": { "@type": "Comment", "text": "

Complex Buying Behavioris spotted when there are significant differences between brands and also there is high involvement.

Complex buying behavior occurs when the consumer is highly involved with the purchase and when there are significant differences between brands.
This behavior can be associated with the purchase of a new home or a personal computer.
Such tasks are complex because the risk is high (significant financial commitment), and the large differences between brands or products require gathering a substantial amount of information prior to purchase.
This may include informing the consumer about the product category and its important attributes, providing detailed information about product benefits, and motivating sales personnel to influence final brand choice.

1.Variety Seeking Buying Behavior:

Variety-seeking buyer behavior is the buying tendency of those consumers that do not have a high involvement with a product when there is a significant difference between brands.
These types of consumers seek variety for no valid reasons at all and become bored quite easily with products.

2.Dissonance Reducing Buying Behavior:

Dissonance-reducing buying behavior occurs when the consumer is highly involved but sees little difference between brands.
This is likely to be the case with the purchase of a lawnmower or a diamond ring.
After making a purchase under such circ*mstances, a consumer is likely to experience the dissonance that comes from noticing that other brands would have been just as good, if not slightly better, in some dimensions.
A consumer in such a buying situation will seek information or ideas that justify the original purchase.

3.Habitual Buying Behavior:

Habitual buying is that kind of buying behavior of customers where they don't think much before buying the product and involvement in the decision-making is very low.
The product is perceived as a commodity and doesn't provide much difference from its rivals.

The correct answer isVariability of rates of return from average rate of return as derived in the form of standard deviation.

Key PointsInvestment risk-Investment risk refers to the possibility that a financial investment will not perform as anticipated or that its actual return will differ from that anticipated.

Important PointsThe degree of volatility, or the discrepancy between actual returns and average (anticipated) returns, serves as a proxy for risk.

The standard deviation is the name given to this variation. Investments that have higher volatility and higher standard deviations (showing greater dispersion from the average) are riskier ones.

Variability of returns:

Variability of returns;risk can be considered “good”— that is, when the results are better than expected (higher returns)—or “bad”—that is, when the results are worse than expected (lower returns).

Standard Deviation:The standard deviation measures the variability of possible returns and is represented by the lower-case Greek symbol sigma(σ).

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

" },"encodingFormat": "text/html","text": "

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "(a) and (c) only", "comment": { "@type": "Comment", "text": "

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "(b) and (c) only", "comment": { "@type": "Comment", "text": "

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "(a) and (b) only", "comment": { "@type": "Comment", "text": "

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(a) and (d) only", "comment": { "@type": "Comment", "text": "

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "c", "comment": { "@type": "Comment", "text": "

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

" }, "answerExplanation": { "@type": "Comment", "text": "Key Points

Samples

Asampleis agroup of people or objectsused in the study that is taken from a wider populationfor analysis.
It should berepresentative of the whole populationfor generalization of results.

Important PointsSampling error:

A sampling error is a sampling error occurred when the selected sample does not represent the entire population.
And result generated does not match the results to be obtained from the whole population.
Here, the point estimate is the sample selected and a parameter is called the entire population.
So,Sampling error or Estimation error is the differencebetween the pointestimate (sample statistics) and the true value of the population parameter.

Hence, the difference between the point estimate and the true value of population parameter being estimated is known asSampling error orEstimation error.

Additional Information

Probable error:

The correlation coefficient that aids in determining the precise values of the coefficients is the Probable error coefficient.
The correlation coefficient, or probable error, is essentially what determines the value and accuracy of the coefficients.

Standard error:

By utilizing standard deviation, the standard error is a statistical concept that assesses how accurately a sample distribution represents a population.
The standard errorshows how varied the population mean is likely to be from a sample mean.

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

" },"encodingFormat": "text/html","text": "

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Increased holding costs", "comment": { "@type": "Comment", "text": "

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Decreased collaboration between suppliers and buyers", "comment": { "@type": "Comment", "text": "

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Reduced stockouts and overstock situations", "comment": { "@type": "Comment", "text": "

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Higher transportation costs", "comment": { "@type": "Comment", "text": "

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer isReduced stockouts and overstock situations.

Key Points

One of the common benefits of implementing a Vendor-Managed Inventory (VMI) system is 'Reduced stockouts and overstock situations.' VMI allows suppliers to monitor inventory levels at the buyer's site and manage the replenishment process.
By ensuring that the right amount of products is delivered at the right time, VMI helps in minimizing stockouts (when products are out of stock when needed) and overstock situations (when there is excess inventory).
This optimizes inventory levels, reduces carrying costs, and enhances overall supply chain efficiency.

Match the following:

" },"encodingFormat": "text/html","text": "

Match the following:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

(a) - (iv), (b) - (iii), (c) - (ii), (d) - (i)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (iv), (c) - (i), (d) - (iii)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (iii), (c) - (i), (d) - (iv)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

(a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "b", "comment": { "@type": "Comment", "text": "

Match the following:

" }, "answerExplanation": { "@type": "Comment", "text": "

HenceOption 2is the correct answer.

The correct answer is 'Brand mark'.

Key Points

A brand mark is a symbol, element, art design, or visual image that helps immediately recognize a certain company. It is essential for developing and maintaining a brand's image.
Many factors influence the success of a specific brand, one of which is imagery. It's worth noting that using images can help you convey your message and emotions quickly. Keeping this fact in mind, companies worldwide use brand marks to identify their brands visually.
A brand mark is a supportive element that helps customers identify a brand at once.
When people see the brand mark, it should remind them of the unique characteristics of your company. It's all about emotional connection, something that will draw prospects to your brand and boost their engagement.

Additional Information

Brand -A brand is a name, term, sign, symbol, design or some combination of them, used to identify the products-goods or services of one seller or group of sellers and to differentiate them from those of the competitors.
Brand name - Brand name is the verbal component of a brand.
Trade mark -A brand or part of a brand that is given legal protection is called trademark.

The correct answer is Option 1

Key Points

The cartel is defined u/s 2(c) of the Competition Act, 2002.
Cartel is defined in section 2, clause (c) of the Act: “Cartel” includes an association of producers, sellers, distributors, traders or service providers who, by agreement. amongst themselves, limit, control or attempt to control the. production, distribution, sale or price of, or, trade in goods or.

Important Points

Section 2(f) in the Competition Act, 2002 defines 'Consumer'
Section 2(h) in the Competition Act, 2002 defines'Enterprise'
Section 2(i) in the Competition Act, 2002 defines'Person'

Match the following:

" },"encodingFormat": "text/html","text": "

Match the following:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

(a) - (iii), (b) - (ii), (c) - (i), (d) - (iv)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

(a) - (i), (b) - (ii), (c) - (iii), (d) - (iv)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

(a) - (iv), (b) - (iii), (c) - (ii), (d) - (i)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (iv), (c) - (i), (d) - (iii)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "d", "comment": { "@type": "Comment", "text": "

Match the following:

" }, "answerExplanation": { "@type": "Comment", "text": "

Below is the explanation of the correct answer:

Hence Option 4 is the correct answer.

The correct optionOlder Population and less-educated sections.

Key PointsAs per the passage'Cybersecurity threats, inadequate digital infrastructure in rural areas, and limited digital literacy among the older and less-educated sections of the society still persist.'

The correct option isWhatsApp Business.Key PointsAs per the passage'UPI, coupled with applications like Paytm, PhonePe, and Google Pay, have revolutionized peer-to-peer and peer-to-business transactions.'

The correct option is aComprehensive regulatory framework.

Key PointsAs per the passage'However, this shift is not without challenges. Cybersecurity threats, inadequate digital infrastructure in rural areas, and limited digital literacy among the older and less-educated sections of the society still persist.'

The correct option is theDemonetization drive of 2016.

Key PointsAs per the passage'The demonetization drive of 2016 acted as a catalyst, prompting a large segment of the population to pivot to digital transactions almost overnight.'

The correct option isDigital India Currency.

Key PointsAs per the passage'The government of India launched various initiatives including Jan Dhan Yojana, Aadhaar and Mobile number (JAM) trinity, and the Unified Payments Interface (UPI) system with a vision to transform India into a digitally empowered society.'

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

" },"encodingFormat": "text/html","text": "

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C → D → A → E → B", "comment": { "@type": "Comment", "text": "

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "A → C → D → B → E", "comment": { "@type": "Comment", "text": "

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "C → A → D → E → B", "comment": { "@type": "Comment", "text": "

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "C → A → B → E → D", "comment": { "@type": "Comment", "text": "

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

" }, "answerExplanation": { "@type": "Comment", "text": "Key Points

Various Trade Agreements:

Economic cooperation
- It is a component of international cooperation that seeks to. generate the conditions needed to facilitate the processes of trade and financial. integration in the international arena by implementing actions with the purpose of. obtaining indirect economic benefits in the medium and long term.
Free trade area
- It is a region in which a number of countries have signed a free trade agreement and maintain little or no barriers to trade in the form of tariffs or quotas among one another. Free trade area.
- This is the most basic form of economic cooperation. Member countries remove all barriers to trade between themselves but are free to independently determine trade policies with non-member nations.
- There are no import tariffs or quotas on products from one country entering another.
- Examples of free trade areas include EFTA: European Free Trade Association consists of Norway, Iceland, Switzerland and Liechtenstein. NAFTA: United States, Mexico and Canada (being renegotiated)
Customs union
- It is generally defined as a type of trade bloc which is composed of a free trade area with a common external tariff.
- Customs unions are established through trade pacts where the participant countries set up common external trade policy.
- The most famous example of a customs union is the European Union (EU)
- Goods move between EU member countries without tariffs (duty-free).
- In addition, all EU members charge non-member countries the same tariffs for imported goods.
Common market
- This is a formal agreement where a group is formed amongst several countries that adopt a common external tariff.
- In a common market, countries also allow free trade and free movement of labour and capital among the members of the group. The trade arrangement is aimed at providing improved economic benefits to all the members of the common market.
- The European community is an example of a common market organized for countries or members of the European Union.
Economic union
- It is a type of trade bloc which is composed of a common market with a customs union.
- The participant countries have both common policies on product regulation, freedom of movement of goods, services and the factors of production and a common external trade policy.
- Purposes for establishing an economic union normally include increasing economic efficiency and establishing closer political and cultural ties between the member countries.
- The economic union is established through trade pact.
- The gulf economic council is one such example.

Hence if we see the sphere of influence the above trade agreement cover these can be arranged in a descending order in the following order C → A → B → E → D

Which of the following economies accrue all the firm in an industry?

" },"encodingFormat": "text/html","text": "

Which of the following economies accrue all the firm in an industry?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Managerial Economies

", "comment": { "@type": "Comment", "text": "

Which of the following economies accrue all the firm in an industry?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Economies of Concentration

", "comment": { "@type": "Comment", "text": "

Which of the following economies accrue all the firm in an industry?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Labour Economies

", "comment": { "@type": "Comment", "text": "

Which of the following economies accrue all the firm in an industry?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

Marketing Economies

", "comment": { "@type": "Comment", "text": "

Which of the following economies accrue all the firm in an industry?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "b", "comment": { "@type": "Comment", "text": "

Which of the following economies accrue all the firm in an industry?

" }, "answerExplanation": { "@type": "Comment", "text": "

The industry refers to a group of firms/companies that does related primary activities for their business.

Key Points

1. Managerial Economics:

It is a branch of economics that deals with the theories, tools, concepts, and methodologies to solve practical problems of business.
These business decisions will not only affect the daily decisions in the future but also will affect the economic power of long-term decisions.

2. Economies of Concentration:

When the number of firms in an area increases then those firms enjoy some of the benefits like availability of raw materials, transport, and communication, research and invention, etc. and they also receive financial assistance from banking and non-banking institutions.
Here we can conclude that the concentration of all firms in the industry leads to economies of concentration.

3. Labour Economics:

It involves the study of the factors which affect the efficiency of workers, the determination of their pay and also their deployment between different occupations and industries.
It studies the labour force as an element in the process of production. Labour force comprises of all those working like an employee, employer, and also self-employed workers.

4. Marketing Economies:

It is a system where the laws of supply and that of demand directs the supply of goods and services.
Marketing economies of scale occur when the firm is able to lower the unit cost of promotion and advertising through accessing effective marketing mediums.

Therefore, Economies of Concentration accrue all the firm in an industry.

The correct answer is Internal Rate of Return

Key Points

Which one of the following is not the correct property of normal distribution?

" },"encodingFormat": "text/html","text": "

Which one of the following is not the correct property of normal distribution?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Continuous distribution

", "comment": { "@type": "Comment", "text": "

Which one of the following is not the correct property of normal distribution?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Equality of central values (Mean, Mode and Median)

", "comment": { "@type": "Comment", "text": "

Which one of the following is not the correct property of normal distribution?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Standard deviation is the sole parameter of the distribution

", "comment": { "@type": "Comment", "text": "

Which one of the following is not the correct property of normal distribution?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

Uni-modal distribution

", "comment": { "@type": "Comment", "text": "

Which one of the following is not the correct property of normal distribution?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "c", "comment": { "@type": "Comment", "text": "

Which one of the following is not the correct property of normal distribution?

" }, "answerExplanation": { "@type": "Comment", "text": "

The normal distribution is the most important probability distribution in statistics because it fits many natural phenomena. For example, heights, blood pressure, measurement error, and IQ scores follow the normal distribution. It is also known as the Gaussian distribution and the bell curve.
Key Points

Common Properties for All Forms of the Normal Distribution

Despite the different shapes, all forms of normal distribution have the following characteristic properties.
They’re all symmetric.
The normal distribution is a continuous probability distribution.
The normal distribution cannot model skewed distributions.
The mean, median, and mode are all equal.
Half of the population is less than the mean and half is greater than the mean.
The Empirical Rule allows you to determine the proportion of values that fall within certain distances from the mean.
A normal distribution curve is unimodal (it has only one mode).
The normal distribution has two parameters, the mean and standard deviation.

Thus, option 3 is not the correct property of normal distribution.

Match the items of List - II with List - I and choose the correct code :

" },"encodingFormat": "text/html","text": "

Match the items of List - II with List - I and choose the correct code :

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "(a) - (iv), (b) - (ii), (c) - (iii), (d) - (i)", "comment": { "@type": "Comment", "text": "

Match the items of List - II with List - I and choose the correct code :

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "(a) - (ii), (b) - (iii), (c) - (iv), (d) - (i)", "comment": { "@type": "Comment", "text": "

Match the items of List - II with List - I and choose the correct code :

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "(a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)", "comment": { "@type": "Comment", "text": "

Match the items of List - II with List - I and choose the correct code :

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(a) - (i), (b) - (ii), (c) - (iii), (d) - (iv)", "comment": { "@type": "Comment", "text": "

Match the items of List - II with List - I and choose the correct code :

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Match the items of List - II with List - I and choose the correct code :

" }, "answerExplanation": { "@type": "Comment", "text": "

The following is the explanation of the right answer.

Therefore, Option 1 is the correct answer.

The correct answer is 1972.

Important Points

The entire general insurance business in India was nationalized by General Insurance Business (Nationalisation) Act, 1972 (GIBNA).
The Government of India (GOI), through Nationalisation, took over the shares of 55 Indian insurance companies and the undertakings of 52 insurers carrying on general insurance business.
General Insurance Corporation of India (GIC) was formed in pursuance of Section 9(1) of GIBNA.
It was incorporated on 22 November 1972 under the Companies Act, 1956 as a private company limited by shares.
GIC was formed for the purpose of superintending, controlling, and carrying on the business of general insurance.
As soon as GIC was formed, GOI transferred all the shares it held of the general insurance companies to GIC.
Simultaneously, the nationalized undertakings were transferred to Indian insurance companies.

The correct answer is 'Product or services'.

Key Points

Additional Information

Distribution channel - A distribution channel is a chain of businesses or intermediaries through which a good or service passes until it reaches the final buyer or the end consumer. Distribution channels can include wholesalers, retailers, distributors, and even the internet.
Market trend - It is the direction of movement of the financial market over time. An example of a market trend is a bull market which is an upward movement of the market while a bear market is a downward movement of the market.
Production - The production Concept is a belief that states that the customers would always acquire products that are cheaper and more readily available (or widely available). The production concept advocates that the more products or production the more would be sales. In countries where labor is cheap and easily available, production can be maximized while minimizing costs, hence increasing production efficiency.

The correct answer is Gold Jewellery.

Key Points

GST is known as the Goods and Services Tax.
It is an indirect tax that has replaced many indirect taxes in India such as excise duty, VAT, services tax, etc.
The Goods and Service Tax Act was passed in Parliament on 29th March 2017 and came into effect on 1st July 2017.
Products that are exempted from GST are:
- Alcohol
- Petroleum products
- Vegetables
- Honey, etc

Additional Information

GST was introduced by the 101^stConstitutional Amendment Act.
GST was the 122^th Constitutional Bill.
GST was introduced by then Finance Minister Arun Jaitley.
The present Finance Minister of India is Nirmala Sitharaman.

The correct answer is 30%

Key Points

Standard deduction u/s 24(a)

Deduction available under section 24(a) of the Income Tax Act, 1961 is 30% of the Annual Value. This 30% deduction is allowed even if actual expenditure on the property is higher or lower. Therefore, this deduction is irrespective of the actual expenditure incurred on insurance, repairs, electricity, water supply, etc.Important Points

Additional Information Section 24 of the IT Act refers to the income accrued from house property. This section specifically relates to the exemptions you can get on the interest component of the home loan you are repaying. The section sheds light on the various kinds of deductions that are permitted from the income earned by an individual through his residential property.

The correct answer is800 USD Million.

Key PointsStar status is a recognition given to exporters by the Government of India under the Foreign Trade Policy (FTP). It is awarded to exporters who have consistently met export targets and have made significant contributions to India's foreign trade.There are five levels of star status:

One-star export house
Two-star export house
Three-star export house
Four-star export house
Five-star export house

Important PointsExport performance threshold for Star Status (in million USD):

." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :" },"encodingFormat": "text/html","text": "The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "P = 6, Q = 9", "comment": { "@type": "Comment", "text": "The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "P = 5, Q = 2", "comment": { "@type": "Comment", "text": "The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "P = 4, Q = 4", "comment": { "@type": "Comment", "text": "The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "P = 3, Q = 6", "comment": { "@type": "Comment", "text": "The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :" }, "answerExplanation": { "@type": "Comment", "text": "Key Points

Market Demand:The total of each individual demand curve in a given market creates the market demand curve. It demonstrates the quantity of the commodity that people want at various price points.

Perfectly competitive market:According to economic theory, perfect competition exists when all businesses sell the same goods, market share has no impact on prices; businesses can enter or quit the market without any barriers, consumers have perfect or complete information, and businesses are unable to set prices.

Market Equilibrium: If the quantity demanded and the quantity provided are equal at the market price, the market is in equilibrium. The equilibrium price, or market clearing price, is the price at which the amounts supplied and demanded are equal, and the corresponding quantity is the equilibrium quantity.

Important PointsQD = 12 - 2P (Quantity Demanded) -- (1)

QS = 3 + P (Quantity supplied)-- (2)

Condition for Market Equilibrium

Quantity demanded= Quantity supplied

Therefore,

12 - 2P =3 + P

3P = 12 - 3

3P = 9

P = 3

Therefore, the equilibrium price is 3

Substituting the value of P in either (1) or (2)

QD = 12 - 2P

QD = 12 - 2 x 3

QD = 12 - 6

QD = 6

Therefore, the equilibrium Quantity is 3

Hence, the correct answer is P = 3, Q = 6

The correct answer is5 lakhs.

Key Points

To safeguard small investors from high-risk products, market regulator Sebi made a steep hike in the minimum investment size for any equity derivative product to Rs 5 lakh from Rs 2 lakh.
It has been decided that the minimum lot size of an equity derivative contract could be increased to Rs 5 lakh.
For stock derivatives, the lot size (in units of underlying) would be fixed as a multiple of 25, provided the lot size is not less than 50.

Additional Information

SEBI stands forSecurities and Exchange Board of India.
The Securities and Exchange Board of India is the regulatory body for the securities and commodity market in India under the jurisdiction of the Ministry of Finance, Government of India.
The headquarters of SEBI is in Mumbai.
The Chairperson of SEBI is Ajay Tyagi.,

Match List 1 with List 2

Choose the correct answer form the options given below:

" },"encodingFormat": "text/html","text": "

Match List 1 with List 2

Choose the correct answer form the options given below:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

A - 4, B - 3, C - 2, D - 1

", "comment": { "@type": "Comment", "text": "

Match List 1 with List 2

Choose the correct answer form the options given below:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

A - 3, B - 4, C - 1, D - 2

", "comment": { "@type": "Comment", "text": "

Match List 1 with List 2

Choose the correct answer form the options given below:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

A - 1, B - 2, C - 3, D - 4

", "comment": { "@type": "Comment", "text": "

Match List 1 with List 2

Choose the correct answer form the options given below:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

A - 2, B - 1, C - 4, D - 3

", "comment": { "@type": "Comment", "text": "

Match List 1 with List 2

Choose the correct answer form the options given below:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "a", "comment": { "@type": "Comment", "text": "

Match List 1 with List 2

Choose the correct answer form the options given below:

" }, "answerExplanation": { "@type": "Comment", "text": "

The Correct answer is Option 1.

Key Points

Coefficient of Range:

The range is the difference between the highest and the lowest value of frequency for a given frequency distribution.
The coefficient of range on the other hand is the ratio of the difference between the highest and lowest value of frequency to the sum of the highest and lowest value of frequency.
The coefficient of Range shows how much of the data is spread. It shows the relative measure of the dispersion of the range.
In order to calculate, the formula used is- (Highest Value of frequency - The lowest value of frequency)/(Highest Value of frequency + Lowest value of frequency)

Coefficient of Quartile Deviation (QD):

Quartiles are the values that divide a group of observations into four equal parts.
The coefficient of quartile deviation is a measure of dispersion used to describe the spread or distribution of data.
It is calculated as - Coefficient of quartile deviation = (Q3– Q1) / (Q3+ Q1)

Coefficient of Mean Deviation (MAD):

Mean deviation or average deviation is the average difference between the items in a series from the mean, median, or mode.
The coefficient of mean deviation is calculated by dividing the mean deviation by the average. If deviations are taken from the mean, we divide it by the mean.
It is calculated as Mean Deviation/ x or Me.

Coefficient of Variation (CV):

The coefficient of variation (CV) is the ratio of the standard deviation to the mean and shows the extent of variability in relation to the mean of the population. The higher the Coefficient of Variation, the greater the dispersion.
It is calculated as -

Hence, the correct answer is Option 1.

The correct answer isBy enterprise function.

Key Points

By enterprise function,departmentation facilitates tight control on top.
Departmentation by enterprise function is to group the activities being performed by different units along the lines of the function of the organisation.
- Every enterprises aim at creating or producing something that is desirable by others.
- It follows the principles of occupational specialization.
- It also simplifies training.
The basic enterprise functions are-
- Production
- Selling
- Financing

Additional Information

Departmentation refers to the formal structure of the organisation, composed of various departments and managerial positions and their relationships to each other.
- It refers to the horizontal differentiation in an organization.
- Itrefers to the grouping of operating duties into jobs, the combining of jobs and mixing of companies into divisions called 'Departments'.
- This way, it becomes easier and efficient for the top management to have control on various units.

The Reserve Bank of India (RBI) was established on April 1, 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.

Key Points

The mainfunctionsof RBI:

Custodian of Country’s Foreign Currency Reserves:The Reserve Bank has custody of the country’s reserves of international currency, and this enables the Reserve Bank to deal with crises connected with adverse balance of payments position.
Controller of Credit:Since credit, money forms the most important part of the supply of money, and since the supply of money has important implications for economic stability, the importance of the control of credit becomes obvious. Credit is controlled by the Reserve Bank in accordance with the economic priorities of the government.
Printing of currency notes:The Reserve Bank has the right to print currency up to10,000 rupee notes.
- However, if the Reserve Bank wants to print anything higher, the government must amend the Reserve Bank of India Act.
- In addition, when the Reserve Bank estimates the demand for banknotes each year, it must file a written request thatgovernment officials mustsign off on before printing.
- When making these final decisions, government officials rely heavily on advice from the Reserve Bank senior staff.

Important Points

While the Reserve Bank of India prints currency, the government of India directly handles the minting of coins.
Coins are minted at the fourmints:Alipore in South Kolkata, Saifabad in Hyderabad, Cherlapally in Hyderabad, and Noida in Uttar Pradesh.
Although the government handles minting coins, the Reserve Bank issues them for circulation.

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

" },"encodingFormat": "text/html","text": "

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Limited liability

", "comment": { "@type": "Comment", "text": "

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Artificial legal person

", "comment": { "@type": "Comment", "text": "

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Continuous succession

", "comment": { "@type": "Comment", "text": "

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

Separate property

", "comment": { "@type": "Comment", "text": "

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "c", "comment": { "@type": "Comment", "text": "

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

" }, "answerExplanation": { "@type": "Comment", "text": "

A company can be compared to a river, which maintains its identity. Although the parts from which it is made are constantly changing. The suitable characteristic here isContinuous succession.

A company is capable to survive beyond the lives of its members.
As a company is created by law therefore it can be dissolved only by law alone and it remains unaffected by the change, lunacy, retirement, death, or insolvency of its members
The members of the company may come and go but a company goes on forever and remains the same entity
The existence of the company continues even if its all members are dead.
There can not be a successionforever without the incorporation.

Limited liability:An Limited Liability Company (LLC) is a type of business in which the owners are called members. The business entity is separate from the members so only the entity may be held liable if the company is sued or fails to pay its debts. An LLC contains elements of a sole proprietorship, a partnership, and a corporation.
An artificial person is an entity created by law and given similar legal rights and duties to that of a human being. It can be real or imaginary and for the purpose of legal reasoning is treated more or less as a human being.

Key-Points

The Sale of Goods Act, 1930 defines an unpaid seller as a seller that hasnot been paid the full price of the goods that have been sold or that has received a bill of exchange or other negotiable instruments as conditional payment, and the condition on which it was received has not been fulfilled.

Therefore, the meaning of an unpaid seller is the person who has sold the goods and has not yet received the price.

Additional Information

Features of an unpaid seller:

The seller must have sold the goods on a cash basis and must be unpaid.
The seller must be unpaid either wholly or partly.
The decided period of time has expired and the seller is still left unpaid.
The seller must not refuse to accept the payment.
The price is paid through a negotiable instrument i.e. bill of exchange, promissory note, cheque, etc. and the same has been dishonored.

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

" },"encodingFormat": "text/html","text": "

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Nil

", "comment": { "@type": "Comment", "text": "

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

1,60,000

", "comment": { "@type": "Comment", "text": "

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

1,50,000

", "comment": { "@type": "Comment", "text": "

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

80,000

", "comment": { "@type": "Comment", "text": "

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

" }}],"acceptedAnswer": { "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "c", "comment": { "@type": "Comment", "text": "

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer is1,50,000

Key Points

Section 80C of Income Tax Act, 1961:

Eligibility:It is available for individuals and Hindu Undivided Families (HUFs)

Conditions for Deduction:

The investments in the following schemes are deductible under the Section 80C of tax deduction: -

PPF , EPF,
LIC premium
Equity linked saving scheme
Principal amount payment towards home loan
stamp duty and registration charges for purchase of property
Sukanya smriddhi yojana (SSY)
National saving certificate (NSC)
Senior citizen savings scheme (SCSS)
ULIP
tax saving FD for 5 years
Infrastructure bonds etc.

Maximum amount of Deduction: Rs. 1,50,000

Important Points

Tax benefits on LIC insurance policies

Mr.Manu pays Life insurance premium of Rs. 1,60,000 for his son, so he will get a deduction of Rs. 1,50,000.

Match the following.

" },"encodingFormat": "text/html","text": "

Match the following.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

(a) - (iv), (b) - (i), (c) - (ii), (d) - (iii)

", "comment": { "@type": "Comment", "text": "

Match the following.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

(a) - (iii), (b) - (i), (c) - (iv), (d) - (ii)

", "comment": { "@type": "Comment", "text": "

Match the following.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (iii), (c) - (i), (d) - (iv)

", "comment": { "@type": "Comment", "text": "

Match the following.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(a) - (iii), (b) - (iv), (c) - (i), (d) - (ii)", "comment": { "@type": "Comment", "text": "

Match the following.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

Match the following.

" }, "answerExplanation": { "@type": "Comment", "text": "

(a) - (iii), (b) - (i), (c) - (iv), (d) - (ii) is correct.

Type I error:Type I error is also known as false positive and occurs when a researcher incorrectly rejects a true hypothesis.
Large sample:The standard error is inversely proportional to sample size i.e. the larger the sample size, the smaller the standard error because the statistic will approach the actual value and vice-versa.
Multiple regression:Multiple regression represents the relationship between multiple independent (predictor) variables and one dependent (criterion) variable.
Chi-square test:The Chi-square test is a non-parametric tool designed to analyze group differences when the dependent variable is measured at a nominal level.

For the purpose of extending rural banking and agro finance, the NABARD :

" },"encodingFormat": "text/html","text": "

For the purpose of extending rural banking and agro finance, the NABARD :

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Directly leads and monitors the rural borrowers

", "comment": { "@type": "Comment", "text": "

For the purpose of extending rural banking and agro finance, the NABARD :

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Refinances the banks extending rural finance

", "comment": { "@type": "Comment", "text": "

For the purpose of extending rural banking and agro finance, the NABARD :

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Refinances the rural borrowers obtaining credit from banks

", "comment": { "@type": "Comment", "text": "

For the purpose of extending rural banking and agro finance, the NABARD :

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Directly finances the rural borrowers and gets refinance from government", "comment": { "@type": "Comment", "text": "

For the purpose of extending rural banking and agro finance, the NABARD :

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

For the purpose of extending rural banking and agro finance, the NABARD :

" }, "answerExplanation": { "@type": "Comment", "text": "

For the purpose of extending rural banking and agro finance, the NABARD Refinances the banks extending rural finance. NABARD's refinance is available to State Co-operative Agriculture and Rural Development Banks (SCARDBs), State Co-operative Banks (SCBs), Regional Rural Banks (RRBs), Commercial Banks (CBS), and other financial institutions approved by RBI. While the ultimate beneficiaries of investment credit can be individuals, partnership concerns, companies, State-owned corporations, or co-operative societies, production credit is generally given to individuals.

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

" },"encodingFormat": "text/html","text": "

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

I, II and III

", "comment": { "@type": "Comment", "text": "

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

II, III and IV

", "comment": { "@type": "Comment", "text": "

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

I, II and IV

", "comment": { "@type": "Comment", "text": "

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "I, III and IV", "comment": { "@type": "Comment", "text": "

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

" }, "answerExplanation": { "@type": "Comment", "text": "

Capital structure is the mix of the long-term sources of funds used by a firm. It is made up of debt and equity securities and refers to the permanent financing of a firm. It is composed of long-term debt, preference share capital, and shareholders' funds. Capital structure is usually designed to serve the interest of the equity shareholders. Capital structure maximizes the market value of a firm, i.e. in a firm having a properly designed capital structure the aggregate value of the claims and ownership interests of the shareholders are maximized. Capital structure minimizes the firm's cost of capital or cost of financing. By determining a proper mix of fund sources, a firm can keep the overall cost of capital to the lowest. It also maximizes the company's market price of the share by increasing earnings per share of the ordinary shareholders. It also increases the dividend receipt of the shareholders.

Match the following:

" },"encodingFormat": "text/html","text": "

Match the following:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

(a) - (iv), (b) - (iii), (c) - (i), (d) - (ii)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

(a) - (iv), (b) - (i), (c) - (ii), (d) - (iii)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

(a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)

", "comment": { "@type": "Comment", "text": "

Match the following:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(a) - (iii), (b) - (i), (c) - (ii), (d) - (iv)", "comment": { "@type": "Comment", "text": "

Match the following:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

Match the following:

" }, "answerExplanation": { "@type": "Comment", "text": "

(a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)is correct.

Treasury bills:Treasury bills arerisk-free, as individuals are backed by the highest authority in the country, and have to be paid even during the economic crisis.
Beta:Beta is used in the capital asset pricing model which describes the relationship betweensystematic riskand expected return for assets.
Capital budgeting:Thetime value of moneyis important incapital budgetingdecisions because it allows small-business owners to adjust cash flows for the passage of time.
Working capital:Working capitalis also called circulating capital or revolving capital i.e.the moneywhich circulates in various forms of current assets in a continuous manner.The amount always keeps on circulating or revolving from cash to current assets and back again to cash.Thus, it is known as theOperating cycle.

Which one of the following is agricultural income under Income Tax Act?

" },"encodingFormat": "text/html","text": "

Which one of the following is agricultural income under Income Tax Act?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Income from the land used for storing agricultural produce

", "comment": { "@type": "Comment", "text": "

Which one of the following is agricultural income under Income Tax Act?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Dividend from a company engaged in agriculture

", "comment": { "@type": "Comment", "text": "

Which one of the following is agricultural income under Income Tax Act?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Income from dairy farm, poultry farm, etc

", "comment": { "@type": "Comment", "text": "

Which one of the following is agricultural income under Income Tax Act?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Income from the sale of replanted trees where denuded parts of the forest are replanted and subsequent operations in forestry are carried out", "comment": { "@type": "Comment", "text": "

Which one of the following is agricultural income under Income Tax Act?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Which one of the following is agricultural income under Income Tax Act?

" }, "answerExplanation": { "@type": "Comment", "text": "

Agriculture Income earned by a taxpayer in India is exempt under Section 10(1) of the Income Tax Act, 1961. Agricultural income is defined under section 2(1A) of the Income-tax Act.

As per section 2(1A), agricultural income generally means

Any rent or revenue derived from land which is situated in India and is used for agricultural purposes.
Any income derived from such land by agriculture operations including processing of agricultural produce so as to render it fit for the market or sale of such produce.
Any income attributable to a farmhouse subject to satisfaction of certain conditions specified in this regard in section 2(1A).
Any income derived from saplings or seedlings grown in a nursery shall be deemed to be agricultural income.

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

" },"encodingFormat": "text/html","text": "

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

deferred

", "comment": { "@type": "Comment", "text": "

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

transitcredit

", "comment": { "@type": "Comment", "text": "

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

transferable

", "comment": { "@type": "Comment", "text": "

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "instalmentcredit", "comment": { "@type": "Comment", "text": "

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

" }, "answerExplanation": { "@type": "Comment", "text": "

A transferable letter of credit is a type of financial guarantee, known as a letter of credit, that additionally allows the first beneficiary to transfer some or all of the credit to another party, which creates a secondary beneficiary. The party that initially accepts the transferable letter of credit from the bank is referred to as the first, or primary beneficiary.

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

" },"encodingFormat": "text/html","text": "

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "I and II", "comment": { "@type": "Comment", "text": "

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "II and III", "comment": { "@type": "Comment", "text": "

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

I, II and III

", "comment": { "@type": "Comment", "text": "

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "II, III and IV", "comment": { "@type": "Comment", "text": "

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

" }, "answerExplanation": { "@type": "Comment", "text": "

CA 2013 required all companies to file the following additional declarations with the Registrar of Companies prior to commencement of business or exercising any borrowing power:

(i) declaration by a director that minimum paid-up share capital has been paid; and

(ii) company has filed verification of registered office. The CA Amendment 2015 has removed the above requirements and deleted Section 11 of CA 2013. This reduces the filings to be made by companies in India.

Under Sec. 194 IB of the Income Tax Act, 1961 an individual or HUF (who is not required to get his accounts audited u/s 44 AB) who is responsible for paying to a resident any rent, shall deduct income tax, for the use of any land and building or both, if the rent exceeds:

" },"encodingFormat": "text/html","text": "

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Rs. 50,000 per month

", "comment": { "@type": "Comment", "text": "

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Rs. 40,000 per month

", "comment": { "@type": "Comment", "text": "

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Rs. 25,000 per month

", "comment": { "@type": "Comment", "text": "

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Rs. 15,000 per month", "comment": { "@type": "Comment", "text": "

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

" }, "answerExplanation": { "@type": "Comment", "text": "

According to Section 194IB, it is mandatory for any person, i.e. individuals/HUF not liable to audit u/s 44AB, to deduct taxes for rent paid to a resident, exceeding Rs 50,000 per month.

According to the section, rent means a payment made by a payee under a tenancy, lease, sub-lease, or any other arrangement made for assets such as:

Land
Land including a factory building
Building including a factory building
Machinery
Furniture
Equipment
Plant
Fittings

Road blocking advertisem*nt refers to:

" },"encodingFormat": "text/html","text": "

Road blocking advertisem*nt refers to:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Advertising a product by blocking the road

", "comment": { "@type": "Comment", "text": "

Road blocking advertisem*nt refers to:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Creating big blocks for advertising a product

", "comment": { "@type": "Comment", "text": "

Road blocking advertisem*nt refers to:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Advertising a product on multiple TV channels at the same time

", "comment": { "@type": "Comment", "text": "

Road blocking advertisem*nt refers to:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "None of the above", "comment": { "@type": "Comment", "text": "

Road blocking advertisem*nt refers to:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

Road blocking advertisem*nt refers to:

" }, "answerExplanation": { "@type": "Comment", "text": "

Road blocking advertisem*nt refers to advertising a product on multiple TV channels at the same time.

Road Blocking Advertisem*nt is the practice of placing an advertisem*nt on each available media within a market, to appear at exactly (or as near as possible) the same time.

Road blocking is most often used as a means of building high reach levels within a short period of time.

The Right to Information Act, 2005 makes the provision of _________________.

" },"encodingFormat": "text/html","text": "

The Right to Information Act, 2005 makes the provision of _________________.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Dissemination of all types of information by all Public authorities to any person.

", "comment": { "@type": "Comment", "text": "

The Right to Information Act, 2005 makes the provision of _________________.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Establishment of Central, State and District Level Information Commissions as an appellate body.

", "comment": { "@type": "Comment", "text": "

The Right to Information Act, 2005 makes the provision of _________________.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Transparency and accountability in Public authorities.

", "comment": { "@type": "Comment", "text": "

The Right to Information Act, 2005 makes the provision of _________________.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "All of the above", "comment": { "@type": "Comment", "text": "

The Right to Information Act, 2005 makes the provision of _________________.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

The Right to Information Act, 2005 makes the provision of _________________.

" }, "answerExplanation": { "@type": "Comment", "text": "

All of the above are theprovisions of the Right to Information Act, 2005.

Right to Information (RTI),2005, is an act set up by the Parliament of India that frames the procedures and rules for the right to information to the citizen. RTI is replaced by the Freedom of information act, 2002.The following are the features of the RTI Act:

It promotes accountability and transparency in every public authority.
It promotes effective and timely dissemination of correct information by the public authority to any individual.
It promotes the establishment of district, state, and central level information commission as an appellate body.

Modern marketing concepts emphasize on:

" },"encodingFormat": "text/html","text": "

Modern marketing concepts emphasize on:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Sales maximisation

", "comment": { "@type": "Comment", "text": "

Modern marketing concepts emphasize on:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Customer satisfaction

", "comment": { "@type": "Comment", "text": "

Modern marketing concepts emphasize on:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Profit maximisation

", "comment": { "@type": "Comment", "text": "

Modern marketing concepts emphasize on:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Wealth maximisation", "comment": { "@type": "Comment", "text": "

Modern marketing concepts emphasize on:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

Modern marketing concepts emphasize on:

" }, "answerExplanation": { "@type": "Comment", "text": "

Modern marketing concepts emphasize customer relationships. If customers are satisfied with the producer's products, then the market image of the producer will be good. This will lead to more profits and growth. Modern marketing is about customer experience at every touchpoint, building relationships with customers, adapting continuously to the new digital landscapes, and marketing across multiple channels to reach different consumers.

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

" },"encodingFormat": "text/html","text": "

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

1, 3 and 4

", "comment": { "@type": "Comment", "text": "

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

2, 3 and 4

", "comment": { "@type": "Comment", "text": "

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

1, 2, 3 and 4

", "comment": { "@type": "Comment", "text": "

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "1, 2 and 3", "comment": { "@type": "Comment", "text": "

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

" }, "answerExplanation": { "@type": "Comment", "text": "

The negative list for imports consists of:

The list of canalized goods can be found in the ITC (HS). Goods in this category can be imported only through canalizing agencies. The main canalized items are currently petroleum products, bulk agricultural products, such as grains and vegetable oils, and some pharmaceutical products.
Prohibited Goods/ banned items narcotic drugs and psychotropic substances. p*rnographic and obscene material. Counterfeit and pirated goods and goods infringing any of the legally enforceable intellectual property rights. Antiquities.
Restricted means that special licenses or permits are required from a federal agency before the item is allowed to enter the United States. Examples of restricted items include firearms, certain fruits and vegetables, animal products, animal by-products, and some animals.

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

" },"encodingFormat": "text/html","text": "

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Surcharges

", "comment": { "@type": "Comment", "text": "

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Dividends

", "comment": { "@type": "Comment", "text": "

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

", "comment": { "@type": "Comment", "text": "

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Assets", "comment": { "@type": "Comment", "text": "

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

" }, "answerExplanation": { "@type": "Comment", "text": "

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholders is known as surcharges.

A surcharge is an additional charge or tax to the tax being already levied.The separate taxation of the incomes of corporations and their shareholders follows the legal principle that corporations and shareholders are distinct entities.

Which of the following is incorrect about proactive planning?

" },"encodingFormat": "text/html","text": "

Which of the following is incorrect about proactive planning?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Way of thinking regarding management of future risks

", "comment": { "@type": "Comment", "text": "

Which of the following is incorrect about proactive planning?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Anticipating future contingencies

", "comment": { "@type": "Comment", "text": "

Which of the following is incorrect about proactive planning?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Reacting to external events

", "comment": { "@type": "Comment", "text": "

Which of the following is incorrect about proactive planning?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Getting ready with alternative routes for unforseen situations", "comment": { "@type": "Comment", "text": "

Which of the following is incorrect about proactive planning?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

Which of the following is incorrect about proactive planning?

" }, "answerExplanation": { "@type": "Comment", "text": "

Proactive planning involves designing a desired future and then inventing ways to create that future state. Not only is the future a preferred state, but the organization can actively control the outcome. Planners actively shape the future, rather than just trying to get ahead of events outside of their control.

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

" },"encodingFormat": "text/html","text": "

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Both Assertion (A) and Reason (R) are true and (R) is the correct explanation of (A)

", "comment": { "@type": "Comment", "text": "

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Both Assertion (A) and Reason (R) are true and (R) is not the correct explanation of (A)

", "comment": { "@type": "Comment", "text": "

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

(A) is correct, but (R) is not correct

", "comment": { "@type": "Comment", "text": "

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(A) is not correct, but (R) is correct", "comment": { "@type": "Comment", "text": "

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

" }, "answerExplanation": { "@type": "Comment", "text": "

Price skimming is a product pricing strategy by which a firm charges the highest initial price that customers will pay and then lowers it over time.

As the demand of the first customers is satisfied and competition enters the market, the firm lowers the price to attract another, a more price-sensitive segment of the population.
Price skimming is often used when a new type of product enters the market. The goal is to gather as much revenue as possible while consumer demand is high and competition has not entered the market.
The skimming strategy gets its name from 'skimming' successive layers of cream, or customer segments, as prices are lowered over time.

Match the given lists and select the correct code for the answer.

" },"encodingFormat": "text/html","text": "

Match the given lists and select the correct code for the answer.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

a - (iv), b - (iii), c - (ii), d - (i)

", "comment": { "@type": "Comment", "text": "

Match the given lists and select the correct code for the answer.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

a - (i), b - (ii), c - (iii), d - (iv)

", "comment": { "@type": "Comment", "text": "

Match the given lists and select the correct code for the answer.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

a - (ii), b - (iv), c - (i), d - (iii)

", "comment": { "@type": "Comment", "text": "

Match the given lists and select the correct code for the answer.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "a - (iii), b - (i), c - (iv), d - (ii)", "comment": { "@type": "Comment", "text": "

Match the given lists and select the correct code for the answer.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Match the given lists and select the correct code for the answer.

" }, "answerExplanation": { "@type": "Comment", "text": "

Pure or perfect competition is a theoretical market structure in which all firms sell an identical product (the product is a 'commodity' or 'hom*ogeneous'). All firms are price takers (they cannot influence the market price of their products). Market share has no influence on prices.

In Monopolistic Competition, a buyer can get a specific type of product only from one producer. In other words, there is product differentiation. The firms have to incur selling expenses since there is product differentiation. The firm can improve or deteriorate the quality of its products too.

Oligopoly is a market structure in which there are a few firms producing a product. When there are few firms in the market, they may collude to set a price or output level for the market in order to maximize industry profits.

In a monopoly, there is a practice of charging different prices for an identical product is called price discrimination. According to Robinson, “Price discrimination is charging different prices for the same product or the same price for the differentiated product.”s a single seller of a product called a monopolist.

In tax laws, donation to approved and notified association for scientific research is allowed as:

" },"encodingFormat": "text/html","text": "

In tax laws, donation to approved and notified association for scientific research is allowed as:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

125% of the donation

", "comment": { "@type": "Comment", "text": "

In tax laws, donation to approved and notified association for scientific research is allowed as:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

100% of the donation

", "comment": { "@type": "Comment", "text": "

In tax laws, donation to approved and notified association for scientific research is allowed as:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

175% of the donation

", "comment": { "@type": "Comment", "text": "

In tax laws, donation to approved and notified association for scientific research is allowed as:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "150% of the donation", "comment": { "@type": "Comment", "text": "

In tax laws, donation to approved and notified association for scientific research is allowed as:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

In tax laws, donation to approved and notified association for scientific research is allowed as:

" }, "answerExplanation": { "@type": "Comment", "text": "

In tax laws, donation to approved and notified association for scientific research is allowed as 100% of the donation.

Section 80GGA allows deductions for donations made towards scientific research or rural development.This deduction is allowed to all assessees except those who have an income (or loss) from a business and/or a profession.

Mode of payment: Donations can be made in the form of a cheque or by a draft or in cash; however cash donations in excess of Rs 10,000 are not allowed as deductions.100% of the amount that is donated or contributed is considered eligible for deductions.

Rationality of consumer

", "comment": { "@type": "Comment", "text": "Which of the following is not the basic assumption of cardinal utility analysis?" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Utility cardinally measurable

", "comment": { "@type": "Comment", "text": "Which of the following is not the basic assumption of cardinal utility analysis?" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Diminishing marginal utility of money

", "comment": { "@type": "Comment", "text": "Which of the following is not the basic assumption of cardinal utility analysis?" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Hypothesis of independent utilities", "comment": { "@type": "Comment", "text": "Which of the following is not the basic assumption of cardinal utility analysis?" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "Which of the following is not the basic assumption of cardinal utility analysis?" }, "answerExplanation": { "@type": "Comment", "text": "

The basic assumption of cardinal utility analysis is :

Rationality of consumer
Utility cardinally measurable
The hypothesis of independent utilities

What assumption is being made when we use the t-distribution to perform a hypothesis test?

" },"encodingFormat": "text/html","text": "

What assumption is being made when we use the t-distribution to perform a hypothesis test?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

That the underlying distribution has more than one modal class.

", "comment": { "@type": "Comment", "text": "

What assumption is being made when we use the t-distribution to perform a hypothesis test?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

That the underlying population has a constant variance.

", "comment": { "@type": "Comment", "text": "

What assumption is being made when we use the t-distribution to perform a hypothesis test?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

That the underlying population has a non-symmetrical distribution.

", "comment": { "@type": "Comment", "text": "

What assumption is being made when we use the t-distribution to perform a hypothesis test?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "That the underlying population follows an approximately Normal distribution.", "comment": { "@type": "Comment", "text": "

What assumption is being made when we use the t-distribution to perform a hypothesis test?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

What assumption is being made when we use the t-distribution to perform a hypothesis test?

" }, "answerExplanation": { "@type": "Comment", "text": "

The common assumptions made when doing a t-test include those regarding the scale of measurement, random sampling, normality of data distribution, adequacy of sample size and equality of variance in standard deviation.

Adjusting Financial Statements of the company as per price indexes is a practice under:

" },"encodingFormat": "text/html","text": "

Adjusting Financial Statements of the company as per price indexes is a practice under:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Inflation Hedging

", "comment": { "@type": "Comment", "text": "

Adjusting Financial Statements of the company as per price indexes is a practice under:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Inflation Accounting

", "comment": { "@type": "Comment", "text": "

Adjusting Financial Statements of the company as per price indexes is a practice under:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Recession planning

", "comment": { "@type": "Comment", "text": "

Adjusting Financial Statements of the company as per price indexes is a practice under:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Financial Hedging", "comment": { "@type": "Comment", "text": "

Adjusting Financial Statements of the company as per price indexes is a practice under:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

Adjusting Financial Statements of the company as per price indexes is a practice under:

" }, "answerExplanation": { "@type": "Comment", "text": "

Price level Accounting or inflation accounting refers to the adjustment of financial statements of the company as per price indexes cause the historical figures and book values of the statements are no longer of any significance.

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

" },"encodingFormat": "text/html","text": "

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Both statements are correct", "comment": { "@type": "Comment", "text": "

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Both statements are incorrect", "comment": { "@type": "Comment", "text": "

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Statement I is correct but statement II is incorrect", "comment": { "@type": "Comment", "text": "

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Statement I is incorrect but statement II is correct", "comment": { "@type": "Comment", "text": "

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

" }, "answerExplanation": { "@type": "Comment", "text": "

The financial break-even point is the level of EBIT where the EPS is zero for a particular given financial plan. Indifference point is the point where the EPS will be the same for the given financial plans irrespective of the debt-equity mix. If the expected level of EBIT exceeds the indifference point, then it would be beneficial to use the fixed charge source of funds to increase the EPS i.e. use of levered funds.

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

" },"encodingFormat": "text/html","text": "

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Decision

", "comment": { "@type": "Comment", "text": "

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Location

", "comment": { "@type": "Comment", "text": "

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Product

", "comment": { "@type": "Comment", "text": "

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Promotion", "comment": { "@type": "Comment", "text": "

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

" }, "answerExplanation": { "@type": "Comment", "text": "

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is Promotion.Promotions refer to the entire set of activities, which communicate the product, brand or service to the user.

There are five primary methods of Promotion:

Direct selling
Advertising
Public relations
Personal selling
Sales promotion

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

" },"encodingFormat": "text/html","text": "

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Rs. 5000

", "comment": { "@type": "Comment", "text": "

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Rs. 5400

", "comment": { "@type": "Comment", "text": "

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Rs. 6000

", "comment": { "@type": "Comment", "text": "

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

Rs. 4000

", "comment": { "@type": "Comment", "text": "

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "a", "comment": { "@type": "Comment", "text": "

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

" }, "answerExplanation": { "@type": "Comment", "text": "

ratio
Contribution Sales Variable cost

BEP

Rs. 5000

Training

", "comment": { "@type": "Comment", "text": "The purpose of job evaluation is:" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Promotion

", "comment": { "@type": "Comment", "text": "The purpose of job evaluation is:" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Wage fixation

", "comment": { "@type": "Comment", "text": "The purpose of job evaluation is:" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Transfer", "comment": { "@type": "Comment", "text": "The purpose of job evaluation is:" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "The purpose of job evaluation is:" }, "answerExplanation": { "@type": "Comment", "text": "

Job evaluation is a systematic way of determining the worth of a job in relation to other jobs to establish the pay structure. The purpose of job evaluation is wage fixation.

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

" },"encodingFormat": "text/html","text": "

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

The European Council

", "comment": { "@type": "Comment", "text": "

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

The European Commission

", "comment": { "@type": "Comment", "text": "

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

The European Legislative Council

", "comment": { "@type": "Comment", "text": "

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Court of Justice", "comment": { "@type": "Comment", "text": "

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

" }, "answerExplanation": { "@type": "Comment", "text": "

The European Legislative Councilis not associated with the EU organization.

The European Union adopts legislation through a variety of legislative procedures.The procedure used for a given legislative proposal depends on the policy area in question.

Most legislation needs to be proposed by the European Commission and approved by the Council of the European Union and European Parliament to become law.Therefore, there is no such body as the European legislative council.

Financial management is concerned with the:

" },"encodingFormat": "text/html","text": "

Financial management is concerned with the:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Procurement of funds and their effective utilisation

", "comment": { "@type": "Comment", "text": "

Financial management is concerned with the:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Raising of funds from the market

", "comment": { "@type": "Comment", "text": "

Financial management is concerned with the:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Management of working funds

", "comment": { "@type": "Comment", "text": "

Financial management is concerned with the:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Investing funds in the most appropriate assets", "comment": { "@type": "Comment", "text": "

Financial management is concerned with the:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Financial management is concerned with the:

" }, "answerExplanation": { "@type": "Comment", "text": "

Financial management is concerned with the procurement of funds and their effective utilisation so that unnecessary usage of funds can be avoided. Financial management optimises the output from the given input of funds and attempts to use the funds in the most productive manner.

What is the rate of the consumer price inflation for the first half of the current fiscal year?

" },"encodingFormat": "text/html","text": "

What is the rate of the consumer price inflation for the first half of the current fiscal year?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

1.49%

", "comment": { "@type": "Comment", "text": "

What is the rate of the consumer price inflation for the first half of the current fiscal year?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

4.5%

", "comment": { "@type": "Comment", "text": "

What is the rate of the consumer price inflation for the first half of the current fiscal year?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

5.2%

", "comment": { "@type": "Comment", "text": "

What is the rate of the consumer price inflation for the first half of the current fiscal year?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "5.60%", "comment": { "@type": "Comment", "text": "

What is the rate of the consumer price inflation for the first half of the current fiscal year?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

What is the rate of the consumer price inflation for the first half of the current fiscal year?

" }, "answerExplanation": { "@type": "Comment", "text": "

The rate of consumer price inflation is 5.2% for the first half of the current fiscal year.

According to the passage,'It also raised its projection for consumer price inflation a bit to 5.2 percent for the first half of the current fiscal year.'

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

" },"encodingFormat": "text/html","text": "

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Rs. 3 lakh

", "comment": { "@type": "Comment", "text": "

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Rs. 1 lakh

", "comment": { "@type": "Comment", "text": "

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Rs. 3.5 lakh crore

", "comment": { "@type": "Comment", "text": "

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Rs. 1 lakh crore", "comment": { "@type": "Comment", "text": "

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

" }, "answerExplanation": { "@type": "Comment", "text": "

The minimum amount of securities purchases through GSAP in the first quarter of the current fiscal year is Rs. 1 lakh crore.

According to the passage, 'The RBI announced a government securities acquisition programme (GSAP), essentially a calendar of its bond-buying programme, starting with Rs. 1 lakh crore of securities purchases in the first quarter of the current fiscal year.'

What is the rate of GDP growth that is predicted for FY22?

" },"encodingFormat": "text/html","text": "

What is the rate of GDP growth that is predicted for FY22?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

5.93%

", "comment": { "@type": "Comment", "text": "

What is the rate of GDP growth that is predicted for FY22?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

31%

", "comment": { "@type": "Comment", "text": "

What is the rate of GDP growth that is predicted for FY22?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "5.20%", "comment": { "@type": "Comment", "text": "

What is the rate of GDP growth that is predicted for FY22?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "10.5%", "comment": { "@type": "Comment", "text": "

What is the rate of GDP growth that is predicted for FY22?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

What is the rate of GDP growth that is predicted for FY22?

" }, "answerExplanation": { "@type": "Comment", "text": "

The rate of GDP growth that is predicted for FY22 is10.5%.

According to the passage,'In Wednesday’s statement, the MPC retained its assessment of FY22 GDP growth of 10.5 percent.'

Why did the central bank extend the refinance facilities for the SIDBI?

" },"encodingFormat": "text/html","text": "

Why did the central bank extend the refinance facilities for the SIDBI?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

To help the agricultural sectors

", "comment": { "@type": "Comment", "text": "

Why did the central bank extend the refinance facilities for the SIDBI?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

To help the MSMEs

", "comment": { "@type": "Comment", "text": "

Why did the central bank extend the refinance facilities for the SIDBI?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

It would help to control the inflation of the economy

", "comment": { "@type": "Comment", "text": "

Why did the central bank extend the refinance facilities for the SIDBI?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "To increase the demand of corporate bonds", "comment": { "@type": "Comment", "text": "

Why did the central bank extend the refinance facilities for the SIDBI?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

Why did the central bank extend the refinance facilities for the SIDBI?

" }, "answerExplanation": { "@type": "Comment", "text": "

The central bank extends the refinance facilities for the SIDBI to help the MSMEs.

According to the passage, 'The central bank also extended measures to improve credit flow to the economy, some of which were introduced last year to fight the pandemic. It extended its long-term repo operations (lending money to banks), extended refinance facilities for NABARD and SIDBI to help MSMEs.'

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

" },"encodingFormat": "text/html","text": "

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Statement (I) is the cause and Statement (II) is the effect.

", "comment": { "@type": "Comment", "text": "

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Statement (II) is the cause and Statement (I) is the effect.

", "comment": { "@type": "Comment", "text": "

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Both the Statement (I) and Statement (II) are independent causes.

", "comment": { "@type": "Comment", "text": "

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Both the statements (I) and (II) are effects of independent causes.", "comment": { "@type": "Comment", "text": "

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

" }, "answerExplanation": { "@type": "Comment", "text": "

According to the passage,'The RBI’s bond purchase calendar will give confidence to bond market participants that huge supply of government borrowings will not drive up yields too much.'......'The central bank, however, announced a bond-buying calendar which will ensure that borrowers reap the benefits of a low-interest rate regime.'

The RBI's bond purchase calendar will give confidence to bond market participants because it will ensure that borrowers reap the benefits of a low-interest rate regime.

So, statement (I) is the cause, and statement (II) is the effect.

Which of the following is not a method of forecasting demand?

" },"encodingFormat": "text/html","text": "

Which of the following is not a method of forecasting demand?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Collective opinion method

", "comment": { "@type": "Comment", "text": "

Which of the following is not a method of forecasting demand?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Total outlay method

", "comment": { "@type": "Comment", "text": "

Which of the following is not a method of forecasting demand?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Expert opinion method

", "comment": { "@type": "Comment", "text": "

Which of the following is not a method of forecasting demand?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Controlled opinion method", "comment": { "@type": "Comment", "text": "

Which of the following is not a method of forecasting demand?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

Which of the following is not a method of forecasting demand?

" }, "answerExplanation": { "@type": "Comment", "text": "

The total outlay method is not a method of forecasting demand.

The total outlay method is the major method of measuring the price elasticity of demand. It is also generally known as the total expenditure method. In this method, elasticity is measured by comparing the total expenditure of the consumer during the change in the price of commodities.

Methods of forecasting demand are:

Survey of buyer's intentions
Collective opinion
Trend projection
Executive judgment method
Controlled experiments
Expert's opinions

The correct answer is Combined rates.

Key Points Non-Tariff barriers:

Import quotas: These are limitations on the quantity or value of goods that can be imported into a country within a specific period. Quotas can restrict competition and limit the availability of foreign products in the domestic market.

Import licenses: Governments may require importers to obtain licenses or permits to import certain goods. These licenses can create administrative hurdles and delays in the importation process.

Technical barriers to trade (TBT): TBTs include regulations, standards, and requirements related to product quality, safety, labeling, packaging, and testing. While these measures aim to protect consumers and ensure product quality, they can also create obstacles for foreign exporters who need to comply with different sets of regulations.

Sanitary and phytosanitary measures (SPS): SPS measures are regulations related to food safety, animal health, and plant health. They are intended to protect human, animal, or plant life from risks associated with imported goods. However, SPS measures can also be used as non-tariff barriers when applied in a discriminatory or overly restrictive manner.

Subsidies and domestic support: Domestic subsidies provided to domestic industries can distort international trade by giving them a competitive advantage. This can make it difficult for foreign competitors to compete on a level playing field.

Government procurement restrictions: Governments may impose restrictions on foreign companies' participation in government procurement contracts, favoring domestic suppliers or requiring certain levels of local content.

Intellectual property rights (IPR) protection: Inadequate protection or enforcement of intellectual property rights, such as patents, copyrights, and trademarks, can hinder foreign companies from effectively competing in the market.

Hence, the correct answer is Combined Rates.

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

" },"encodingFormat": "text/html","text": "

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Both (A) and (R) are incorrect", "comment": { "@type": "Comment", "text": "

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "(A) is correct and (R) is incorrect", "comment": { "@type": "Comment", "text": "

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Both (A) and (R) are correct", "comment": { "@type": "Comment", "text": "

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(A) is incorrect and (R) is correct", "comment": { "@type": "Comment", "text": "

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

" }, "answerExplanation": { "@type": "Comment", "text": "

Inferior good:

An inferior good is a good whose demand decreases when consumer income rises and demand increases when consumer income decreases.
Unlike normal goods, for which the demand rises as consumer income rises.
Inferiority relates to affordability rather than a statement about the quality of the good.
As a rule, these goods are affordable and also adequately fulfill their purpose but as more costly substitutes that offer more pleasure becomes available, the use of inferior goods diminishes.
Thus, inferior goods are narrowly defined for which suitable substitutes are available.
For example, cheaper cars; consumers will prefer cheaper cars when their income is constricted and as the consumer's income increases, the demand for inferior cars will decrease.
A special type of inferior good may exist known as the Giffen good which disobeys the 'law of demand'.
When the price of Giffen good increases, the demand for that good increases too.
The observed demand curve would slope upward indicating positive elasticity.
Giffen goods were first noted by Sir Robert Giffen.
It is usual to attribute Giffen's observation to the fact that in Ireland during the 19th century there was a rise in the price of potatoes.
However, it has been noticed that Giffen did not use potatoes as an example of Giffen goods and it was presented in terms of bread.
This phenomenon is often described as 'Giffen's Paradox'.
However, Giffen's paradox rarely occurs in the real world.

Therefore, both (A) and (R) are correct.

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

" },"encodingFormat": "text/html","text": "

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

(A) is correct, (R) is incorrect

", "comment": { "@type": "Comment", "text": "

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

(A) is incorrect, (R) is correct

", "comment": { "@type": "Comment", "text": "

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Both (A) and (R) are incorrect

", "comment": { "@type": "Comment", "text": "

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

Both (A) and (R) are correct

", "comment": { "@type": "Comment", "text": "

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "d", "comment": { "@type": "Comment", "text": "

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

" }, "answerExplanation": { "@type": "Comment", "text": "

Assertion (A): “Price Discovery” is a function of the derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of the influence of futures price on the spot price.

Here Both (A) and (R) are correct. Hence option4 is the correct answer.

Key Points

Price discovery is the overall process, whether explicit or inferred, of setting the spot price or the proper price of an asset, security, commodity, or currency.
The process of price discovery looks at a number of tangible and intangible factors, including supply and demand, investor risk attitudes, and the overall economic and geopolitical environment.
Simply put, it is where a buyer and a seller agree on a price and a transaction occurs.
The derivatives market serves as an important source of information about prices. Prices of derivative instruments such as futures and forwards can be used to determine what the market expects future spot prices to be.
The information is accurate and reliable. Thus, the futures and forwards markets are especially helpful in the price discovery mechanism.

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

" },"encodingFormat": "text/html","text": "

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Both the statements I and II are correct", "comment": { "@type": "Comment", "text": "

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Both the statements I and II are incorrect.", "comment": { "@type": "Comment", "text": "

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Statement I is correct, but II is incorrect", "comment": { "@type": "Comment", "text": "

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Statement II is correct, but I is incorrect", "comment": { "@type": "Comment", "text": "

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

" }, "answerExplanation": { "@type": "Comment", "text": "

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Explanation:

Leptokurtic Curve - Value of β₂ is greater than 3.
Mesokurtic Curve - Value of β₂ is equal to 3.
Platykurtic Curve - Value of β2 is less than 3.

Thus, Statement I is incorrect.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

Explanation:

In a moderately asymmetrical distribution (variable occurs at the irregular frequency), the standard deviation is 1.25 times of mean deviation.

This statement is correct.

Therefore, Statement II is correct, but I is incorrect.

The correct answer is C. K. Prahlad.

Key Points 'The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits' has been written by C.K. Prahalad. The book, published in 2004, explores the idea that the world's poor can be considered as a lucrative market for businesses, and by addressing their needs and creating products and services tailored for them, both social and economic goals can be achieved. Prahalad suggests that businesses can play a crucial role in poverty alleviation while also generating profits by engaging with the large and untapped market represented by the world's poor.

Additional Information

'The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits' is a book written by C.K. Prahalad, an influential management thinker and professor of corporate strategy. The book, first published in 2004, introduces the concept of the 'Bottom of the Pyramid' (BoP) as a significant yet underserved market segment comprising the world's poor.

Key points and details from the book include:

Bottom of the Pyramid (BoP):

Prahalad argues that the traditional view of the world's poor as passive recipients of aid should be reconsidered. Instead, he sees them as an untapped market, constituting a potential source of innovation, growth, and profits for businesses.

Market Potential:

Prahalad contends that there is a vast market opportunity at the bottom of the economic pyramid. Despite their low individual purchasing power, when aggregated, the purchasing power of the poor is substantial. He advocates for businesses to develop products and services that are affordable, accessible, and sustainable for this market.

Role of Business in Poverty Alleviation:

The book challenges businesses to go beyond traditional corporate social responsibility (CSR) initiatives and philanthropy. Prahalad argues that by addressing the needs of the poor and integrating them into the market, businesses can contribute to poverty alleviation while simultaneously creating value for themselves.

Innovative Business Models:

Prahalad highlights examples of companies that have successfully implemented innovative business models to serve the BoP market. These include products such as affordable healthcare, telecommunications, and financial services designed to meet the unique needs of low-income consumers.

Co-Creation and Partnerships:

Prahalad emphasizes the importance of involving the poor as active participants in the design and development of products and services. Co-creation and collaboration with local communities are seen as key elements for success.

Sustainability and Inclusivity:

The book argues that sustainable business practices and inclusive growth strategies are essential for long-term success. It promotes the idea that businesses can achieve economic prosperity while contributing to the well-being of society.

Match List I with List II:

Choose the correct answer from the options given below:

" },"encodingFormat": "text/html","text": "

Match List I with List II:

Choose the correct answer from the options given below:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "(A) - (IV), (B) - (II), (C) - (I), (D) - (III)", "comment": { "@type": "Comment", "text": "

Match List I with List II:

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "(A) - (I), (B) - (IV), (C) - (III), (D) - (II)", "comment": { "@type": "Comment", "text": "

Match List I with List II:

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "(A) - (II), (B) - (III), (C) - (IV), (D) - (I)", "comment": { "@type": "Comment", "text": "

Match List I with List II:

Choose the correct answer from the options given below:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(A) - (IV), (B) - (III), (C) - (II), (D) - (I)", "comment": { "@type": "Comment", "text": "

Match List I with List II:

Choose the correct answer from the options given below:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Match List I with List II:

Choose the correct answer from the options given below:

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct answer is (A) - (IV), (B) - (II), (C) - (I), (D) - (III)

Key Points

Net Stable Funding Ratio

The net stable funding ratio is a liquidity standard requiring banks to hold enough stable funding to cover the duration of their long-term assets.
Banks must maintain a ratio of 100% to satisfy the requirement.
The Net Stable Funding Ratio (NSFR) and Liquidity Coverage Ratio (LCR) are significant components of the Basel III reforms.

Innovative Perpetual Debt Instrument

Tier I Capital consists mainly of share capital and disclosed reserves. Since this capital is fully available to cover the core losses, it is also called Core Capital. For this reason, this is considered the highest quality capital.
IPDIs issued as Tier I cannot exceed 15 percent of total capital.
This limitation is based on the Tier I capital amount as of March 31 of the previous year along with deductions of intangible assets before investment deductions.

Time Maturity Gap

Assets Liabilities Management is the process whereby a bank’s total assets and liabilities are controlled and managed simultaneously in an integrated fashion. In the management of the overall balance sheet.
A maturity gap is a term used to describe a strategy that is designed to assess the relationship between the risk of owning assets and liabilities that generate revenue due to interest rate accruals and the volatility of those holdings.

Risk-Weighted Assets

Tier II Capital is also known as supplementary capital. It consists of certain reserves and certain types of subordinated debt.
Any loan which is repayable after other debts have been paid is called subordinated debt. Tier 2 capital also has a ratio.
This is the formula utilized to describe the capital being held versus what's known as total risk-weighted assets (RWAs).
Risk-weighted assets are the assets held by the bank that is weighted by its credit risk.

The correct answer is Buttle's Model.

Key Points

Buttle's Model:

The Customer Relationship Management (CRM) value chain model is a model that shows firms how to build and implement CRM strategies.
It was created in the year 2004 by Francis Buttle.
This model's major goal is to connect an organization's internal and external processes in order to provide value for customers while making a profit. In addition, the concept can be used in both B2B (Business to Business) and B2C (Business to Customer) companies.

Additional Information

IDIC Model:

The Peppers and Rogers Group created the IDIC model as a basic framework for adopting CRM in a range of settings.
It was developed in the year 2004.
IDIC stands for identify, differentiate, interact, and customize, which are the four steps of CRM deployment.

Payne's Model:

The Five Forces CRM model was developed by Adrian Payne and Pennie Frow.
Payne & Frow’s Five-Step Process Model ensures that the customer experience is consistent across all departments.

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

" },"encodingFormat": "text/html","text": "

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A, B and D only", "comment": { "@type": "Comment", "text": "

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "B, C and D only", "comment": { "@type": "Comment", "text": "

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "B and C only", "comment": { "@type": "Comment", "text": "

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "A, B, C and D", "comment": { "@type": "Comment", "text": "

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

" }, "answerExplanation": { "@type": "Comment", "text": "Key Points

Section 68 of Companies Act 2013: Power of company to purchase its own securities

A company may purchase its own shares or other specified securities (hereinafter referred to as buy-back) out of—

its free reserves;
the securities premium account; or
the proceeds of the issue of any shares or other specified securities

Important Points

The term 'free reserves' refers to those reserves which are available for distribution as dividend to shareholders, i.e. reserves which are not required to be maintained as per law or by the terms of the issue of share capital.
The securities premium account is the account where the amount received in excess of the face value of the shares is credited.

Net profits of the company cannot be utilized for the purpose of buy-back of shares.

Hence, as per Section 68 of the Companies Act 2013, companies may purchase their own shares out of its free reserves, the securities premium account, or the proceeds of the issue of any shares or other specified securities.

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

" },"encodingFormat": "text/html","text": "

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Rs. 5,00,000", "comment": { "@type": "Comment", "text": "

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Rs. 6,00,000", "comment": { "@type": "Comment", "text": "

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "Rs. 5,40,000", "comment": { "@type": "Comment", "text": "

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Rs. 4,80,000", "comment": { "@type": "Comment", "text": "

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

" }, "answerExplanation": { "@type": "Comment", "text": "Key Points

Gross Annual Value:

Gross annual value (GAV) is a term used to describe the potential revenue from immovable property.
Whether or not the property is rented out for business or residential uses, GAV will still apply.
In Income Tax, the word immovable property comprises buildings such as residential houses, factories, commercial buildings, godowns and land on which bonded warehouses have been established.
Net Annual Value: In accordance with the Income Tax Act, the municipality taxes are subtracted from the property's gross annual value to determine the Net Annual Value (NAV). NAV is the difference between GAV and the municipal tax that the owner has paid.

Important PointsCalculation of Net Annual Value

Note: Municipality Tax (due not paid) is not be deducted from GAV because it is not yet paid by the owner, so the GAV itself will be the value of NAV.

Hence, the correct answer is 6,00,000.

Which one of the following statements is false?

" },"encodingFormat": "text/html","text": "

Which one of the following statements is false?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

IFC was established in July 1956

", "comment": { "@type": "Comment", "text": "

Which one of the following statements is false?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

IFC encourage the growth and development of Public Sector Enterprises in member countries

", "comment": { "@type": "Comment", "text": "

Which one of the following statements is false?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

IFC is an affiliate of the World Bank

", "comment": { "@type": "Comment", "text": "

Which one of the following statements is false?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

IFC encourages the growth of productive private enterprises in member countries

", "comment": { "@type": "Comment", "text": "

Which one of the following statements is false?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "b", "comment": { "@type": "Comment", "text": "

Which one of the following statements is false?

" }, "answerExplanation": { "@type": "Comment", "text": "

IFC encourage the growth and development of Public Sector Enterprises in member countries statements is false.

The International Finance Corporation (IFC) is an international financial institution that offers investment, advisory, and asset management services to encourage private-sector development in less developed countries. The IFC is a member of the World Bank Group and is headquartered in Washington, D.C. in the United States.

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

" },"encodingFormat": "text/html","text": "

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

0.95

", "comment": { "@type": "Comment", "text": "

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

0.90

", "comment": { "@type": "Comment", "text": "

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

0.80

", "comment": { "@type": "Comment", "text": "

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "0.15", "comment": { "@type": "Comment", "text": "

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

" }, "answerExplanation": { "@type": "Comment", "text": "The power of this hypothesis test will be

1 - beta = 1 - 0.10 = 0.90

Mathematically, power is 1 – beta. The power of a hypothesis test is between 0 and 1; if the power is close to 1, the hypothesis test is very good at detecting a false null hypothesis." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

" },"encodingFormat": "text/html","text": "

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Both A and B

", "comment": { "@type": "Comment", "text": "

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

A, B and C

", "comment": { "@type": "Comment", "text": "

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Both B and D

", "comment": { "@type": "Comment", "text": "

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "All of the above", "comment": { "@type": "Comment", "text": "

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

" }, "answerExplanation": { "@type": "Comment", "text": "The Agency system is very popular in the current business scenario. There are two parties in the agency system one is the principal and the agent. An agent is a person acting on behalf of his principal. It’s a connecting link between the principal and the third party. Herein we will discuss the creation of an agency under the Indian Contract Act, 1872.

1. Agency by estoppel:

The concept of agency by estoppel arises where one person acts in such a way that the other believes that a third person is authorized to act on his behalf and enters into a transaction with the third person, the person whose act induced him to do so, is liable for that agreement as if the third person acting on his behalf.
It is based on principles of natural justice and equity.

2. Agency by necessity

It is a type of legal relationship in which one party can make essential decisions for another party.
The courts recognize agency by necessity during an emergency or urgent situation under which the beneficiary is unable to provide explicit authorization.

3. Agency by Ratification:

A confirmation by the principal of an act or contract performed or entered into on his or her behalf by another, who assumed, without authority, to act as his or her agent.

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

" },"encodingFormat": "text/html","text": "

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Only Statement I is correct

", "comment": { "@type": "Comment", "text": "

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Only Statement II is correct

", "comment": { "@type": "Comment", "text": "

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Both Statements are correct

", "comment": { "@type": "Comment", "text": "

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Both Statements are incorrect", "comment": { "@type": "Comment", "text": "

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

" }, "answerExplanation": { "@type": "Comment", "text": "Data material held in any electronic form is 'information' under the RTI Act, 2005. IT Act, 2000 came into force on 17 October 2000.

Therefore, the only statement I is correct.

Section 2(f) of the RTI Act, 2005 defines 'Information' as any material in any form, including records, documents, memos, e-mails, opinions, advice, press releases, circulars, orders, logbooks, contracts, reports, papers, samples, models, data material held in any electronic form and information relating to any private body which can be accessed by a public authority under any other law for the time being in force.." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "

Which is the Act which provides legal framework for e-Governance in India:

" },"encodingFormat": "text/html","text": "

Which is the Act which provides legal framework for e-Governance in India:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

IT (amendment) Act 2008

", "comment": { "@type": "Comment", "text": "

Which is the Act which provides legal framework for e-Governance in India:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Indian Penal Code

", "comment": { "@type": "Comment", "text": "

Which is the Act which provides legal framework for e-Governance in India:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

IT Act 2000

", "comment": { "@type": "Comment", "text": "

Which is the Act which provides legal framework for e-Governance in India:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

None of the above

", "comment": { "@type": "Comment", "text": "

Which is the Act which provides legal framework for e-Governance in India:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "c", "comment": { "@type": "Comment", "text": "

Which is the Act which provides legal framework for e-Governance in India:

" }, "answerExplanation": { "@type": "Comment", "text": "

The act that provides the legal framework for e-Governance in India is the IT Act 2000.

An Act to provide legal recognition for transactions carried out by means of electronic data interchange and other means of electronic communication, commonly referred to as "electronic commerce", which involve the use of alternatives to paper-based methods of communication and storage of information.

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

" },"encodingFormat": "text/html","text": "

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Meta marketing concept

", "comment": { "@type": "Comment", "text": "

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Demarketing concept

", "comment": { "@type": "Comment", "text": "

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Synchro marketing concept

", "comment": { "@type": "Comment", "text": "

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Counter marketing concept", "comment": { "@type": "Comment", "text": "

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

" }, "answerExplanation": { "@type": "Comment", "text": "Under the Synchro marketing concept, seasonal products can be classified. Synchro marketing shifts the pattern of irregular demand for a product during a particular period of time.

For example:

The slowdown in the restaurants during the period between lunch and dinner.
Less number of tourists during summers at resorts.
In India, where most of the expensive products are bought only during festival seasons (Diwali, Eid, etc.)

_____ is a progressive tax.

" },"encodingFormat": "text/html","text": "

_____ is a progressive tax.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Custom duty

", "comment": { "@type": "Comment", "text": "

_____ is a progressive tax.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Sales tax

", "comment": { "@type": "Comment", "text": "

_____ is a progressive tax.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Income tax

", "comment": { "@type": "Comment", "text": "

_____ is a progressive tax.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Development Surcharge", "comment": { "@type": "Comment", "text": "

_____ is a progressive tax.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "

_____ is a progressive tax.

" }, "answerExplanation": { "@type": "Comment", "text": "A progressive tax is directly related to the taxpayer's ability to pay.

Every year, we have to pay a fixed portion of our income to the central government in the form of income tax. As per the rule of the central government for Income tax, a certain tax is applicable on the income of all people as per slab. Every business and person is supposed to pay the tax and the return is to be submitted every year. Total funds collected through tax are used by the government for services as well as to fulfill the requirements for the country's development.

Which Act was replaced with the introduction of Competition Act, 2002?

" },"encodingFormat": "text/html","text": "

Which Act was replaced with the introduction of Competition Act, 2002?

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

FERA

", "comment": { "@type": "Comment", "text": "

Which Act was replaced with the introduction of Competition Act, 2002?

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

FEMA

", "comment": { "@type": "Comment", "text": "

Which Act was replaced with the introduction of Competition Act, 2002?

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

MRTP

", "comment": { "@type": "Comment", "text": "

Which Act was replaced with the introduction of Competition Act, 2002?

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

POTA

", "comment": { "@type": "Comment", "text": "

Which Act was replaced with the introduction of Competition Act, 2002?

" }}],"acceptedAnswer": { "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "c", "comment": { "@type": "Comment", "text": "

Which Act was replaced with the introduction of Competition Act, 2002?

" }, "answerExplanation": { "@type": "Comment", "text": "

The Competition Act, 2002 was enacted by the Parliament of India and governs Indian competition law.

It replaced the archaic The Monopolies and Restrictive Trade Practices Act, 1969. Under this legislation, the Competition Commission of India was established to prevent the activities that have an adverse effect on competition in India. This act extends to whole of India.

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

" },"encodingFormat": "text/html","text": "

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

(i), (iii) and (iv)

", "comment": { "@type": "Comment", "text": "

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

(i), (ii) and (iv)

", "comment": { "@type": "Comment", "text": "

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

(ii), (iii) and (iv)

", "comment": { "@type": "Comment", "text": "

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Only (i) and (iii)", "comment": { "@type": "Comment", "text": "

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "B", "comment": { "@type": "Comment", "text": "

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

" }, "answerExplanation": { "@type": "Comment", "text": "The central bank is an apex bank that controls the entire banking system of a country. It is the sole agency of note-issuing and controls the supply of money in the economy.

It performs the following functions as per the Reserve Bank of India Act, 1934:

1. Banking functions:

The Reserve Bank acts as the Banker, Agent, and Adviser to the Government of India and states. It performs all the banking functions of the State and Central Government and it also tenders useful advice to the government on matters related to economic and monetary policy. It also manages the public debt of the government.
It performs the same functions for the other commercial banks as the other banks ordinarily perform for their customers. RBI lends money to all the commercial banks of the country.

2. Supervisory functions:

It supervises other banks and governments into various economic conditions and guides them at the time of inflation or deflation in the economy.

3. Promotional functions:

The central bank also performs promotional functions which include integrating with world economies and maintaining foreign reserves. They represent the country's economy internationally.

Budgetary control helps in the implementation of:

" },"encodingFormat": "text/html","text": "

Budgetary control helps in the implementation of:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Stantdard Cost

", "comment": { "@type": "Comment", "text": "

Budgetary control helps in the implementation of:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Marginal Cost

", "comment": { "@type": "Comment", "text": "

Budgetary control helps in the implementation of:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Ratio Analysis

", "comment": { "@type": "Comment", "text": "

Budgetary control helps in the implementation of:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "Technical Analysis", "comment": { "@type": "Comment", "text": "

Budgetary control helps in the implementation of:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Budgetary control helps in the implementation of:

" }, "answerExplanation": { "@type": "Comment", "text": "A standard costing system involves estimating the required costs of a production process. Standard costs are estimates of the actual costs in a company's production process because actual costs cannot be known in advance. This helps a business to plan a budget.." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "

In 'job evaluation', the key jobs are designated as ones:

" },"encodingFormat": "text/html","text": "

In 'job evaluation', the key jobs are designated as ones:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Which are more in number in the organization

", "comment": { "@type": "Comment", "text": "

In 'job evaluation', the key jobs are designated as ones:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Which are most important for the survival of the organization

", "comment": { "@type": "Comment", "text": "

In 'job evaluation', the key jobs are designated as ones:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Which are most secure

", "comment": { "@type": "Comment", "text": "

In 'job evaluation', the key jobs are designated as ones:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

Which represent different levels of each of the compensable factors

", "comment": { "@type": "Comment", "text": "

In 'job evaluation', the key jobs are designated as ones:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "b", "comment": { "@type": "Comment", "text": "

In 'job evaluation', the key jobs are designated as ones:

" }, "answerExplanation": { "@type": "Comment", "text": "

In 'job evaluation', the key jobs are designated as ones that are most important for the survival of the organization.

A job evaluation is a systematic way of determining the value/worth of a job in relation to other jobs in an organization. It tries to make a systematic comparison between jobs to assess their relative worth for the purpose of establishing a rational pay structure.

." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "What is the time period during which the record of transactions is to be kept by banks under KYC directives?" },"encodingFormat": "text/html","text": "What is the time period during which the record of transactions is to be kept by banks under KYC directives?","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "15 years", "comment": { "@type": "Comment", "text": "What is the time period during which the record of transactions is to be kept by banks under KYC directives?" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "10 years", "comment": { "@type": "Comment", "text": "What is the time period during which the record of transactions is to be kept by banks under KYC directives?" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "5 years", "comment": { "@type": "Comment", "text": "What is the time period during which the record of transactions is to be kept by banks under KYC directives?" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "1 year", "comment": { "@type": "Comment", "text": "What is the time period during which the record of transactions is to be kept by banks under KYC directives?" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "C", "comment": { "@type": "Comment", "text": "What is the time period during which the record of transactions is to be kept by banks under KYC directives?" }, "answerExplanation": { "@type": "Comment", "text": "Records of all transactions referred to in clause (a) of Sub-section (1) of section 12 read with Rule 3 of the PML Rules is required to be maintained for a period of five 5 years from the date of transactions between the clients and credible.." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "

In independent India, the first major foreign exchange crisis occurred in the year:

" },"encodingFormat": "text/html","text": "

In independent India, the first major foreign exchange crisis occurred in the year:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "1955", "comment": { "@type": "Comment", "text": "

In independent India, the first major foreign exchange crisis occurred in the year:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "1956", "comment": { "@type": "Comment", "text": "

In independent India, the first major foreign exchange crisis occurred in the year:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "1969", "comment": { "@type": "Comment", "text": "

In independent India, the first major foreign exchange crisis occurred in the year:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "1991", "comment": { "@type": "Comment", "text": "

In independent India, the first major foreign exchange crisis occurred in the year:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

In independent India, the first major foreign exchange crisis occurred in the year:

" }, "answerExplanation": { "@type": "Comment", "text": "In independent India, the first major foreign exchange crisis occurred in the year 1991.In 1991, there was significant downward pressure on the value of the rupee from the international market and India was faced with depleting foreign reserves that necessitated devaluation.." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "

Match the following.

" },"encodingFormat": "text/html","text": "

Match the following.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (iii), (c) - (i), (d) - (iv)

", "comment": { "@type": "Comment", "text": "

Match the following.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (iii), (c) - (iv), (d) - (i)

", "comment": { "@type": "Comment", "text": "

Match the following.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (iv), (c) - (iii), (d) - (i)

", "comment": { "@type": "Comment", "text": "

Match the following.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

(a) - (ii), (b) - (i), (c) - (iv), (d) - (iii)

", "comment": { "@type": "Comment", "text": "

Match the following.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "b", "comment": { "@type": "Comment", "text": "

Match the following.

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct combination is (a) - (ii), (b) - (iii), (c) - (iv), (d) - (i)

All statutory powers for regulating Indian capital market are vested with SEBI itself. To safeguard the interests of investors and to regulate the capital market with suitable measures. To regulate the business of stock exchanges and other securities market.

Monetary policy is the macroeconomic policy laid down by the Reserve Bank of India. It involves the management of money supply and interest rates. The central bank tweaks interest rates to achieve macroeconomic objectives such as liquidity, consumption and inflation.

Accordingly, Telecom Regulatory Authority of India (TRAI) was established in the year 1997 in pursuance of TRAI (Ordinance) 1997, which was later replaced by an Act of Parliament, to regulate the telecommunication services.

The Insurance Regulatory and Development Authority of India (IRDAI) is an autonomous, statutory body tasked with regulating and promoting the insurance and re-insurance industries in India.

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

" },"encodingFormat": "text/html","text": "

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "Both (A) and (R) are true and (R) is the correct explanation.", "comment": { "@type": "Comment", "text": "

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "Both (A) and (R) are true, but (R) is not the correct explanation.", "comment": { "@type": "Comment", "text": "

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "(A) is true, but (R) is false.", "comment": { "@type": "Comment", "text": "

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "(A) is false, but (R) is true.", "comment": { "@type": "Comment", "text": "

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "A", "comment": { "@type": "Comment", "text": "

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

" }, "answerExplanation": { "@type": "Comment", "text": "Both (A) and (R) are true and (R) is the correct explanation.

When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables is true.

The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two is also true and correctly explains the assertion.." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "

The budgets are classified on the basis of:

" },"encodingFormat": "text/html","text": "

The budgets are classified on the basis of:

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

Capacity

", "comment": { "@type": "Comment", "text": "

The budgets are classified on the basis of:

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

Time

", "comment": { "@type": "Comment", "text": "

The budgets are classified on the basis of:

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

Functions

", "comment": { "@type": "Comment", "text": "

The budgets are classified on the basis of:

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "All of the above", "comment": { "@type": "Comment", "text": "

The budgets are classified on the basis of:

" }}],"acceptedAnswer": { "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "D", "comment": { "@type": "Comment", "text": "

The budgets are classified on the basis of:

" }, "answerExplanation": { "@type": "Comment", "text": "Budgeting is the process of forecasting revenues and expenses of the company for a specific period and examples of which include the sales budget prepared to make a projection of the company's sales and the production budget prepared to project the production of the company etc.

Budgets may be classified on the basis of:

(A) Functions

(B) Conditions

(D) Activity levels (flexibility)." }}},{"@type": "Question","typicalAgeRange": "4-35","educationalLevel": "intermediate","eduQuestionType": "Multiple choice","learningResourceType": "Practice problem","name": "Recollect the concept of UGC NET Paper 2 Commerce Mock Test - 9 to solve the ques", "comment": { "@type": "Comment", "text": "

Directions: Match the following.

" },"encodingFormat": "text/html","text": "

Directions: Match the following.

","suggestedAnswer": [{ "@type": "Answer", "position": 0, "encodingFormat": "text/html", "text": "

a - (i), b - (ii), c - (iii), d - (iv)

", "comment": { "@type": "Comment", "text": "

Directions: Match the following.

" }},{ "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "

a - (ii), b - (iv), c - (i), d - (iii)

", "comment": { "@type": "Comment", "text": "

Directions: Match the following.

" }},{ "@type": "Answer", "position": 2, "encodingFormat": "text/html", "text": "

a - (iii), b - (i), c - (iv), d - (ii)

", "comment": { "@type": "Comment", "text": "

Directions: Match the following.

" }},{ "@type": "Answer", "position": 3, "encodingFormat": "text/html", "text": "

a - (iv), b - (ii), c - (iii), d - (i)

", "comment": { "@type": "Comment", "text": "

Directions: Match the following.

" }}],"acceptedAnswer": { "@type": "Answer", "position": 1, "encodingFormat": "text/html", "text": "b", "comment": { "@type": "Comment", "text": "

Directions: Match the following.

" }, "answerExplanation": { "@type": "Comment", "text": "

The correct combination is a - (ii), b - (iv), c - (i), d - (iii).

Perfect Competition is a type of market structure where many firms sell similar products – and profits are virtually non-existent due to fierce competition. With that said, it is important to realize that perfect competition is an abstract term used to compare against real-life markets.

One could argue that the U.S. airline industry is an oligopoly, controlled by the four main domestic carriers: American Airlines, Delta Airlines, Southwest Airlines, and United Airlines.

The Railways is a monopoly that has underinvested in capacity and created a systemic shortage. To squeeze the monopoly-induced artificial shortage to jack up fares is unfair.

." }}}] }]

UGC NET Exam>UGC NET Tests>UGC NET Paper 2 Commerce Mock Test - 9 - UGC NET MCQ

Test Description

100 Questions MCQ Test - UGC NET Paper 2 Commerce Mock Test - 9

UGC NET Paper 2 Commerce Mock Test - 9 for UGC NET 2024 is part of UGC NET preparation. The UGC NET Paper 2 Commerce Mock Test - 9 questions and answers have been prepared according to the UGC NET exam syllabus.The UGC NET Paper 2 Commerce Mock Test - 9 MCQs are made for UGC NET 2024 Exam. Find important definitions, questions, notes, meanings, examples, exercises, MCQs and online tests for UGC NET Paper 2 Commerce Mock Test - 9 below.

Solutions of UGC NET Paper 2 Commerce Mock Test - 9 questions in English are available as part of our course for UGC NET & UGC NET Paper 2 Commerce Mock Test - 9 solutions in Hindi for UGC NET course. Download more important topics, notes, lectures and mock test series for UGC NET Exam by signing up for free. Attempt UGC NET Paper 2 Commerce Mock Test - 9 | 34 questions in 120 minutes | Mock test for UGC NET preparation | Free important questions MCQ to study for UGC NET Exam | Download free PDF with solutions

1 Crore+ students have signed up on EduRev. Have you? Download the App

UGC NET Paper 2 Commerce Mock Test - 9 - Question 1

Save

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

A. -9.5%
B. -3.5%
C. 1.5%
D. 3.5%

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 1

The correct answer is 3.5%.

Key PointsReal rate of interest:

The formula for calculating the real rate of interest is as follows:

Real rate of interest = Nominal rate of interest - Inflation rate

For example, if the nominal interest rate on a savings account is 4%, and the inflation rate is 2%, the real rate of interest would be:

Real rate of interest = 4% - 2% = 2%

This means that the investor is earning a real rate of return of 2% on their investment after accounting for inflation

The real rate of interest is the nominal rate of interest minus the inflation rate.

Therefore, the real rate of interest in this scenario would be:

Real rate of interest = Nominal rate of interest - Inflation rate
Real rate of interest= 6.5% - 3.0%
Real rate of interest= 3.5%

So the real rate of interest in this scenario is 3.5%.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 2

Save

What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?

A. 12 per cent
B. 18 per cent
C. 30 per cent
D. 40 per cent

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 2

The correct answer is18 per cent

Key PointsSustainable Growth Rate:

The maximum rate of growth that a business or social enterprise may maintain without needing to raise more capital or take on more debt is known as the sustainable growth rate (SGR).
It measures how quickly a business can expand using only internal revenue and without borrowing money from other sources.

Important Points

The sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent is 18%

UGC NET Paper 2 Commerce Mock Test - 9 - Question 3

Save

Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?

A. Rs 16.75
B. Rs 20.65
C. Rs 28.75
D. Rs 30.15

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 3

The correct answer is 28.75.

Key Points

The price per share of the company using Walter's valuation model is Rs. 28.75.

Walter's valuation model is a method of valuing a company's shares based on the company's earnings per share, return on investment, and the return required by shareholders.

The formula for Walter's valuation model is:

Price per share = (EPS * ROI * R) / (1 - Payout Ratio)
where:

EPS = Rs. 4
ROI = 20%
R = 16%
Payout Ratio = 40%
Substituting these values into the formula, we get:

Price per share = (EPS * ROI * R) / (1 - Payout Ratio)
= (4 * 20 * 16) / (1 - 0.4)
= (640) / (0.6)
= Rs. 28.75

UGC NET Paper 2 Commerce Mock Test - 9 - Question 4

Save

Which of the following is NOT the feature of the Indian capital market?

A. Government rules and regulations
B. Utilises intermediaries
C. Link between savers and investment opportunities
D. Co-promotes state-level venture funds

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 4

The correct option isCo-promotes state-level venture funds.

Co-promotes state-level venture funds is not a feature of Indian capital Market
Important PointsFeatures of Indian Capital Market are as follows:

Serves as link between Savers and Investment Opportunities:As money is transferred from savers to risk-taking borrowers on the capital market, it forms an essential link between the saving and investing processes.
LongTerm Investment :The ability to put their hard-earned money into long-term investments is beneficial to investors.
Helps in Capital Formation :The capital market provides chances for those investorswho have extra funds and wish to store them in an investment, so they can benefit from compound interest.
Helps Intermediaries:It requires the assistance of intermediaries, such as brokers, banks, etc., to transfer shares and money from one investor to another, aiding them in running their businesses.
Rules and Regulations :The government regulates and controls how the capital markets operate, giving it a secure environment for trading.

Types of Capital Market

Primary Market:

New securities that are launched in the stock market for the first time are primarily dealt with in the primary market.
As a result, the fresh issue market is another name for it.
The primary market's principal purpose is to make it easier for corporations to transfer newly issued shares to the general public.
Financial institutions, banks, H N I, and others are the key investors in this type of market.

Secondary Market:

Also known as the stock market, this market serves as the actual venue for the trading of securities.
Here, securities are bought and sold.
Current investors sell the securities, while new investors acquire the securities.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 5

Save

Match List I with List II

Choose the correct answer from the options given below:

A.
A ‐ l, B ‐ ll, C ‐ lV, D ‐ lll
B.
A ‐ lll, B ‐ lV, C ‐ ll, D ‐ l
C.
A ‐ l, B ‐ ll, C ‐ lll, D ‐ lV
D.
A ‐ l, B ‐ lV, C ‐ ll, D ‐ lll

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 5

The correct answer isA ‐ lll, B ‐ lV, C ‐ ll, D ‐ l.

Important PointsEuropean option -An option contract that only allows for the day of expiration for right exercise is known as a European option.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 6

Save

Which activities are not associated with workforce planning?

A. Forward planning reviewing internal and external labour supply
B. Time keeping
C. Assessing capability of workforce to develop any requisite skills
D. Identifying areas where recruitment will be needed

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 6

The correct answer is Time Keeping.

Key PointsThe activities that are not associated with workforce planning are:

Assessing capability of workforce to develop any requisite skills: This is part of workforce planning, not separate from it.

The activities that are associated with workforce planning are:

UGC NET Paper 2 Commerce Mock Test - 9 - Question 7

Save

ECGC is concerned with

A. Credit
B. Insurance
C. Transport
D. All the above

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 7

Key-Points

ECGC (Export Credit Guarantee Corporation):

Export Credit Guarantee Corporation of India is administered by the Government of India through the Ministry of Commerce and Industry.
It is fundamentally an export promotion organization with a motive to enhance the competitiveness of Indian exports by offering them credit insurance covers.
ECGC was set up for ensuring the smooth functioning of Indian exporters by minimizing the risk associated with the payments emanating from other nations.
ECGCinsurance covers also assist the Indian exporters with better access to credit facilities from banks and other financial institutions.
ECGC is the 5th largest credit insurance company dealing with the exports of any country.
It also offers Overseas Investment Insurance to the Indian companies investing in Joint Ventures abroad in the form of loans or equity.

Therefore, ECGC is concerned with insurance.

Additional Information

ECGC offers the following types of guarantees to the exporter:

Export financeguarantee
Packing creditguarantee
Post-shipment export creditguarantee
Export production financeguarantee
Transportguarantee
Export performanceguarantee

UGC NET Paper 2 Commerce Mock Test - 9 - Question 8

Save

Holistic marketers achieve profitable growth by expending customer share, ______, and capturing customer lifetime value.

A. Creating customer needs
B. Building customer loyalty
C. Renewing a customer base
D. Cannibalizing products

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 8

The correct answer is Building customer loyalty.

Key PointsHolistic marketers achieve profitable growth by focusing on three key areas:

Expanding customer share: This means attracting new customers and increasing the amount of business that existing customers do with the company.

Building customer loyalty: This means creating a strong emotional connection with customers so that they keep coming back for more.

Capturing customer lifetime value: This means maximizing the amount of revenue that a company can generate from each customer over their lifetime.

By focusing on these three areas, holistic marketers can achieve profitable growth in the long term.

Additional Information

Here are some specific strategies that holistic marketers can use to build customer loyalty:

Value: Holistic marketers provide customers with value beyond the product or service they are selling. This can include things like free shipping, loyalty programs, or educational content.

By building customer loyalty, holistic marketers can create a sustainable source of revenue that will help them achieve profitable growth in the long term.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 9

Save

Goods and Service taxcame into effect from?

A. July 2017
B. July2016
C. July 2018
D. July 2019

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 9

The correct answer isJuly 2017.

Key Points

Goods and Service tax
- In 2016, the Indian Parliament passed a law, the Goods and Services Tax Act 2016, to simplify and introduce a unified indirect tax system in India.
- This is expected to generate additional revenue for the government, reduce tax evasion and create ‘one nation, one tax, and one market’.
- Another component of reform in this area is simplification. To encourage better compliance on the part of taxpayers, many procedures have been simplified and the rates have also been substantially lowered.
- The GST isa value-added tax levied on most goods and services sold for domestic consumption.
- The GST ispaid by consumers,but it isremitted to the government by the businesses selling the goods and services.
- GST, whichsubsumed almost all domestic indirect taxes(petroleum, alcoholic beverages, and stamp duty are the major exceptions) under one head, is perhaps the biggest tax reform in the history of independent India.
- It was launched into operation on the midnight of 1^stJuly 2017. Hence, Option 1 is correct.
- GST is applicable on‘supplyof goods or services as against the old concept on the manufacture of goods or sale of goods or the provision of services.
- GST is based on the principle of destination-based consumption taxation as against the principle of origin-based taxation.
- It is a dual GST with the Centre and the States simultaneously levying tax on a common base.
- The GST to be levied by the Centre is calledCentral GST (CGST)and that to be levied by the States is calledState GST (SGST).
- Import of goods or services would be treated as inter-state supplies and would be subject toIntegrated Goods & Services Tax (IGST)in addition to the applicable customs duties.
- GST rates to be mutually decided:CGST, SGST & IGST are levied at rates to be mutually agreed upon by the Centre and the States.
- The rates are notified on the recommendation of theGST Council.
- GST is levied at four rates viz.5%, 12%, 18% and 28%.The schedule or list of items that would fall under these multiple slabs is worked out by the GST council.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 10

Save

Which of the following incomes are exempt from tax?

1. Dividend received from the foreign company.

2. Agricultural income.

3. Remuneration received byan individual who is not a citizen of India

4. Long term Capital gain income (Below 1 lakh).

5. Dividend received from an Indian company.

6. Rental income of house property.

Codes:

A.
2, 3, and 4
B.
1, 3, 5, and 6
C.
3, 4, and 6
D.
None of the above

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 10

Key Points

Income Exempt from Tax as per Section 10

Mentioned below is the list of a few incomes exempt from tax specific to Section 10:

Agriculture Income [Section 10(1)]
Amount received out of family income, Hindu Undivided Family (H.U.F.) [Section 10(2)]
Share of profit, [Section 10(2A)]
Interest paid to Non-Resident [Section 10(4)(i)]
Leave Travel Concession or Assistance [Section 10(5)]
Remuneration or Salary received by an individual who is not a citizen of India [Section 10(6)] a. Remuneration [U/s 10(6)(ii)] b. Remuneration received as an employee of foreign enterprise [U/s 10(6)(vi)] c. Employment on a foreign ship [U/s 10(6)(viii)] d. Remuneration received by an employee of foreign government [U/s 10(6)(xi)]
Tax paid by Government or Indian concern on Income of a Foreign Company [Section 10(6A), (6B), (6BB) and (6C)]
Perquisites/Allowances paid by Government to its Employees serving outside India [Section 10(7)]
Retirement Compensation from a Public Sector Company or any other Company [Section 10(10C)]
Amount received under a Life Insurance Policy [Section 10(10D)]
Statutory Provident Fund [Section 10(11)]
Recognized Provident Fund [Section 10(12)]
Superannuation Fund [Section 10(13)]
House Rent Allowance-HRA [Section 10(13A)]
Income of Scientific Research Association [Section 10(21)]
Income of a News Agency [Section 10(22B)]
Income of some Professional Institutions [Section 10(23A)]
Income of Mutual Fund [Section 10(23D)]
Exemption of income of a securitization trust [Section 10(23DA)j [w.e.f. A.Y. 2014-15]
Income of Investor Protection Fund [Section 10(23EA)]
Exemption of income of investor protection fund of depository [Section 10(23ED)] [w.e.f. A.Y. 2014-15]
Exemption for Certain Incomes of a Venture Capital Company or Venture Capital Fund from Certain Specified Business or Industries [Section 10 (23FB)]
Income of Registered Trade Unions [Section 10(24)]
Exemption of income to a shareholder on buyback of shares of unlisted company [Section 10 (34A) [w.e.f. A.Y. 2014-15]
Exemption of income from Units [Section 10(35)]
Exemption of income from Securitization Trust [Section 10(35A)] [w.e.f A.Y. 2014-15]
Long Capital gain (Below Rs. 1 Lakh)arising from sale of shares and units[Section 10(38)]

Important Point

1. According to theIncome TaxAct,rental incomeof apropertyistaxedunder Section 24 in the hands of the owner, under the head 'incomefrom houseproperty'.

2. LATEST NEWS Budget 2020

Therefore, option 1 is the correct answer.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 11

Save

Three pillars of the Asia-Pacific Economic Cooperation (APEC) are

(a) trade and investment liberalization

(b) business facilitation

(d) military cooperation

Choose the correct option

A. (a), (b), (d)
B. (a), (b), (c)
C. (a), (c), (d)
D. (b), (c), (d)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 11

The correct answer is 'option 2'

The three pillars of APEC are:

Trade and Investment Liberalization
Business Facilitation
Economic and Technical Cooperation (ECOTECH)

Therefore, the correct answer is 'a, b and c'

Additional Information

The Three Pillars of APEC's agenda focus on:

1. Trade and Investment Liberalization

APEC members take actions to reduce tariff and non-tariff barriers to trade and investment that boost job creation, incomes, and growth. Collaboration is guided by APEC's Regional Economic Integration agenda and includes the advancement of bilateral and regional trade agreements and the long-term goal of a Free Trade Area of the Asia-Pacific (FTAAP).

2. Business Facilitation

APEC members pursue measures toin the region and open new economic opportunities including for small firms, women, and youth. APEC's Structural Reform agenda supports the development and harmonization of policies that improve market access and efficiency and uphold public interest such as the safeguarding of health and safety.

3. Economic and Technical Cooperation (ECOTECH)

ECOTECH builds the technical capacity of APEC's diverse members to promote trade, investment, and robust, secure, and sustainable economic growth that widely benefits the region's people.
Priorities include strengthening anti-corruption, cross-border education and skills training, emergency preparedness, energy security, environmental protection, defence against pandemics and infrastructure development, among others.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 12

Save

Which kind of consumer behavior is spotted when there is significant differences between brands and also there is high involvement?

A.
Complex Buying Behavior
B.
Variety Seeking Buying Behavior
C.
Dissonance Reducing Buying Behavior
D.
Habitual Buying Behavior

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 12

Complex Buying Behavioris spotted when there are significant differences between brands and also there is high involvement.

Complex buying behavior occurs when the consumer is highly involved with the purchase and when there are significant differences between brands.
This behavior can be associated with the purchase of a new home or a personal computer.
Such tasks are complex because the risk is high (significant financial commitment), and the large differences between brands or products require gathering a substantial amount of information prior to purchase.
This may include informing the consumer about the product category and its important attributes, providing detailed information about product benefits, and motivating sales personnel to influence final brand choice.

1.Variety Seeking Buying Behavior:

Variety-seeking buyer behavior is the buying tendency of those consumers that do not have a high involvement with a product when there is a significant difference between brands.
These types of consumers seek variety for no valid reasons at all and become bored quite easily with products.

2.Dissonance Reducing Buying Behavior:

Dissonance-reducing buying behavior occurs when the consumer is highly involved but sees little difference between brands.
This is likely to be the case with the purchase of a lawnmower or a diamond ring.
After making a purchase under such circ*mstances, a consumer is likely to experience the dissonance that comes from noticing that other brands would have been just as good, if not slightly better, in some dimensions.
A consumer in such a buying situation will seek information or ideas that justify the original purchase.

3.Habitual Buying Behavior:

Habitual buying is that kind of buying behavior of customers where they don't think much before buying the product and involvement in the decision-making is very low.
The product is perceived as a commodity and doesn't provide much difference from its rivals.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 13

Save

The risk of return from investment can be measured through

A. Variability of rates of return from average rate of return as derived in the form of standard deviation
B. Variability of rates of return from average rate of return as derived in the form of median
C. Comparison of return from investment with industry returns
D. Comparison of return from investment with competitor's return

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 13

The correct answer isVariability of rates of return from average rate of return as derived in the form of standard deviation.

Key PointsInvestment risk-Investment risk refers to the possibility that a financial investment will not perform as anticipated or that its actual return will differ from that anticipated.

Important PointsThe degree of volatility, or the discrepancy between actual returns and average (anticipated) returns, serves as a proxy for risk.

The standard deviation is the name given to this variation. Investments that have higher volatility and higher standard deviations (showing greater dispersion from the average) are riskier ones.

Variability of returns:

Standard Deviation:The standard deviation measures the variability of possible returns and is represented by the lower-case Greek symbol sigma(σ).

UGC NET Paper 2 Commerce Mock Test - 9 - Question 14

Save

The difference between the point estimate and the true value of population parameter being estimated is known as

(a) Sampling error

(b) Estimation error

(d) Standard error

Choose the correct option from the options given below:

A. (a) and (c) only
B. (b) and (c) only
C. (a) and (b) only
D. (a) and (d) only

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 14

Key Points

Samples

Asampleis agroup of people or objectsused in the study that is taken from a wider populationfor analysis.
It should berepresentative of the whole populationfor generalization of results.

Important PointsSampling error:

A sampling error is a sampling error occurred when the selected sample does not represent the entire population.
And result generated does not match the results to be obtained from the whole population.
Here, the point estimate is the sample selected and a parameter is called the entire population.
So,Sampling error or Estimation error is the differencebetween the pointestimate (sample statistics) and the true value of the population parameter.

Hence, the difference between the point estimate and the true value of population parameter being estimated is known asSampling error orEstimation error.

Additional Information

Probable error:

The correlation coefficient that aids in determining the precise values of the coefficients is the Probable error coefficient.
The correlation coefficient, or probable error, is essentially what determines the value and accuracy of the coefficients.

Standard error:

By utilizing standard deviation, the standard error is a statistical concept that assesses how accurately a sample distribution represents a population.
The standard errorshows how varied the population mean is likely to be from a sample mean.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 15

Save

Which of the following is a common benefit of implementing a Vendor-Managed Inventory (VMI) system?

A. Increased holding costs
B. Decreased collaboration between suppliers and buyers
C. Reduced stockouts and overstock situations
D. Higher transportation costs

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 15

The correct answer isReduced stockouts and overstock situations.

Key Points

One of the common benefits of implementing a Vendor-Managed Inventory (VMI) system is "Reduced stockouts and overstock situations." VMI allows suppliers to monitor inventory levels at the buyer's site and manage the replenishment process.
By ensuring that the right amount of products is delivered at the right time, VMI helps in minimizing stockouts (when products are out of stock when needed) and overstock situations (when there is excess inventory).
This optimizes inventory levels, reduces carrying costs, and enhances overall supply chain efficiency.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 16

Save

Match the following:

A.
(a) - (iv), (b) - (iii), (c) - (ii), (d) - (i)
B.
(a) - (ii), (b) - (iv), (c) - (i), (d) - (iii)
C.
(a) - (ii), (b) - (iii), (c) - (i), (d) - (iv)
D.
(a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 16

HenceOption 2is the correct answer.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 17

Save

That part of a brand which can be recognized but which is not utterable is called?

A. Brand
B. Brand name
C. Brand mark
D. Trade mark

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 17

The correct answer is "Brand mark".

Key Points

A brand mark is a symbol, element, art design, or visual image that helps immediately recognize a certain company. It is essential for developing and maintaining a brand's image.
Many factors influence the success of a specific brand, one of which is imagery. It's worth noting that using images can help you convey your message and emotions quickly. Keeping this fact in mind, companies worldwide use brand marks to identify their brands visually.
A brand mark is a supportive element that helps customers identify a brand at once.
When people see the brand mark, it should remind them of the unique characteristics of your company. It's all about emotional connection, something that will draw prospects to your brand and boost their engagement.

Additional Information

Brand -A brand is a name, term, sign, symbol, design or some combination of them, used to identify the products-goods or services of one seller or group of sellers and to differentiate them from those of the competitors.
Brand name - Brand name is the verbal component of a brand.
Trade mark -A brand or part of a brand that is given legal protection is called trademark.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 18

Save

The cartel is defined u/s _________ of the Competition Act, 2002.

A. 2(c)
B. 2(f)
C. 2(h)
D. 2(i)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 18

The correct answer is Option 1

Key Points

The cartel is defined u/s 2(c) of the Competition Act, 2002.
Cartel is defined in section 2, clause (c) of the Act: “Cartel” includes an association of producers, sellers, distributors, traders or service providers who, by agreement. amongst themselves, limit, control or attempt to control the. production, distribution, sale or price of, or, trade in goods or.

Important Points

Section 2(f) in the Competition Act, 2002 defines 'Consumer'
Section 2(h) in the Competition Act, 2002 defines'Enterprise'
Section 2(i) in the Competition Act, 2002 defines'Person'

UGC NET Paper 2 Commerce Mock Test - 9 - Question 19

Save

Match the following:

A.
(a) - (iii), (b) - (ii), (c) - (i), (d) - (iv)
B.
(a) - (i), (b) - (ii), (c) - (iii), (d) - (iv)
C.
(a) - (iv), (b) - (iii), (c) - (ii), (d) - (i)
D.
(a) - (ii), (b) - (iv), (c) - (i), (d) - (iii)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 19

Below is the explanation of the correct answer:

Hence Option 4 is the correct answer.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 20

Save

Which demographic group is less likely to use digital transactions due to limited digital literacy?

A. Urban Millennials
B. Rural Teenagers
C. Older Population and less-educated sections
D. Young Professionals

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 20

The correct optionOlder Population and less-educated sections.

Key PointsAs per the passage"Cybersecurity threats, inadequate digital infrastructure in rural areas, and limited digital literacy among the older and less-educated sections of the society still persist."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 21

Save

Which of these apps is not associated with digital payments in India?

A. PhonePe
B. Google Pay
C. Paytm
D. WhatsApp Business

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 21

The correct option isWhatsApp Business.Key PointsAs per the passage"UPI, coupled with applications like Paytm, PhonePe, and Google Pay, have revolutionized peer-to-peer and peer-to-business transactions."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 22

Save

Which of the following is not a challenge faced by digital transactions in India?

A. Cybersecurity threats
B. Limited digital literacy among particular groups
C. Comprehensive regulatory framework
D. Inadequate digital infrastructure in rural areas

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 22

The correct option is aComprehensive regulatory framework.

Key PointsAs per the passage"However, this shift is not without challenges. Cybersecurity threats, inadequate digital infrastructure in rural areas, and limited digital literacy among the older and less-educated sections of the society still persist."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 23

Save

What event in recent Indian history acted as a catalyst for the sudden increase in digital transactions?

A. Rollout of UPI
B. Introduction of Paytm
C. Demonetization drive of 2016
D. Launch of Jio

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 23

The correct option is theDemonetization drive of 2016.

Key PointsAs per the passage"The demonetization drive of 2016 acted as a catalyst, prompting a large segment of the population to pivot to digital transactions almost overnight."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 24

Save

Which initiative did the Indian government not launch to support digital transactions?

A. JAM Trinity
B. Unified Payments Interface (UPI)
C. Jan Dhan Yojana
D. Digital India Currency

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 24

The correct option isDigital India Currency.

Key PointsAs per the passage"The government of India launched various initiatives including Jan Dhan Yojana, Aadhaar and Mobile number (JAM) trinity, and the Unified Payments Interface (UPI) system with a vision to transform India into a digitally empowered society."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 25

Save

Arrange the following in descending order of importance

A. Free Trade Area

B. Customs union

C. Economic cooperation

D. Economic union

E. Common markets

Choose the correct answer from the options given below:

A. C → D → A → E → B
B. A → C → D → B → E
C. C → A → D → E → B
D. C → A → B → E → D

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 25

Key Points

Various Trade Agreements:

Economic cooperation
- It is a component of international cooperation that seeks to. generate the conditions needed to facilitate the processes of trade and financial. integration in the international arena by implementing actions with the purpose of. obtaining indirect economic benefits in the medium and long term.
Free trade area
- It is a region in which a number of countries have signed a free trade agreement and maintain little or no barriers to trade in the form of tariffs or quotas among one another. Free trade area.
- This is the most basic form of economic cooperation. Member countries remove all barriers to trade between themselves but are free to independently determine trade policies with non-member nations.
- There are no import tariffs or quotas on products from one country entering another.
- Examples of free trade areas include EFTA: European Free Trade Association consists of Norway, Iceland, Switzerland and Liechtenstein. NAFTA: United States, Mexico and Canada (being renegotiated)
Customs union
- It is generally defined as a type of trade bloc which is composed of a free trade area with a common external tariff.
- Customs unions are established through trade pacts where the participant countries set up common external trade policy.
- The most famous example of a customs union is the European Union (EU)
- Goods move between EU member countries without tariffs (duty-free).
- In addition, all EU members charge non-member countries the same tariffs for imported goods.
Common market
- This is a formal agreement where a group is formed amongst several countries that adopt a common external tariff.
- In a common market, countries also allow free trade and free movement of labour and capital among the members of the group. The trade arrangement is aimed at providing improved economic benefits to all the members of the common market.
- The European community is an example of a common market organized for countries or members of the European Union.
Economic union
- It is a type of trade bloc which is composed of a common market with a customs union.
- The participant countries have both common policies on product regulation, freedom of movement of goods, services and the factors of production and a common external trade policy.
- Purposes for establishing an economic union normally include increasing economic efficiency and establishing closer political and cultural ties between the member countries.
- The economic union is established through trade pact.
- The gulf economic council is one such example.

Hence if we see the sphere of influence the above trade agreement cover these can be arranged in a descending order in the following order C → A → B → E → D

UGC NET Paper 2 Commerce Mock Test - 9 - Question 26

Save

Which of the following economies accrue all the firm in an industry?

A.
Managerial Economies
B.
Economies of Concentration
C.
Labour Economies
D.
Marketing Economies

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 26

The industry refers to a group of firms/companies that does related primary activities for their business.

Key Points

1. Managerial Economics:

It is a branch of economics that deals with the theories, tools, concepts, and methodologies to solve practical problems of business.
These business decisions will not only affect the daily decisions in the future but also will affect the economic power of long-term decisions.

2. Economies of Concentration:

When the number of firms in an area increases then those firms enjoy some of the benefits like availability of raw materials, transport, and communication, research and invention, etc. and they also receive financial assistance from banking and non-banking institutions.
Here we can conclude that the concentration of all firms in the industry leads to economies of concentration.

3. Labour Economics:

It involves the study of the factors which affect the efficiency of workers, the determination of their pay and also their deployment between different occupations and industries.
It studies the labour force as an element in the process of production. Labour force comprises of all those working like an employee, employer, and also self-employed workers.

4. Marketing Economies:

It is a system where the laws of supply and that of demand directs the supply of goods and services.
Marketing economies of scale occur when the firm is able to lower the unit cost of promotion and advertising through accessing effective marketing mediums.

Therefore, Economies of Concentration accrue all the firm in an industry.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 27

Save

The discount rate at which the Net Present Value (NPV) of a project becomes zero is known as:

A. average rate of return
B. internal rate of return
C. alternative rate of return
D. none of these

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 27

The correct answer is Internal Rate of Return

Key Points

UGC NET Paper 2 Commerce Mock Test - 9 - Question 28

Save

Which one of the following is not the correct property of normal distribution?

A.
Continuous distribution
B.
Equality of central values (Mean, Mode and Median)
C.
Standard deviation is the sole parameter of the distribution
D.
Uni-modal distribution

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 28

Common Properties for All Forms of the Normal Distribution

Despite the different shapes, all forms of normal distribution have the following characteristic properties.
They’re all symmetric.
The normal distribution is a continuous probability distribution.
The normal distribution cannot model skewed distributions.
The mean, median, and mode are all equal.
Half of the population is less than the mean and half is greater than the mean.
The Empirical Rule allows you to determine the proportion of values that fall within certain distances from the mean.
A normal distribution curve is unimodal (it has only one mode).
The normal distribution has two parameters, the mean and standard deviation.

Thus, option 3 is not the correct property of normal distribution.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 29

Save

Match the items of List - II with List - I and choose the correct code :

UGC NET Paper 2 Commerce Mock Test - 9 Free MCQ Practice Test with Solutions - UGC NET (155)

A. (a) - (iv), (b) - (ii), (c) - (iii), (d) - (i)
B. (a) - (ii), (b) - (iii), (c) - (iv), (d) - (i)
C. (a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)
D. (a) - (i), (b) - (ii), (c) - (iii), (d) - (iv)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 29

The following is the explanation of the right answer.

Therefore, Option 1 is the correct answer.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 30

Save

55 Indian Insurance companies and 52 other General Insurance companies were nationalized in _________.

A. 1983
B. 1992
C. 1972
D. 1991

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 30

The correct answer is 1972.

Important Points

The entire general insurance business in India was nationalized by General Insurance Business (Nationalisation) Act, 1972 (GIBNA).
The Government of India (GOI), through Nationalisation, took over the shares of 55 Indian insurance companies and the undertakings of 52 insurers carrying on general insurance business.
General Insurance Corporation of India (GIC) was formed in pursuance of Section 9(1) of GIBNA.
It was incorporated on 22 November 1972 under the Companies Act, 1956 as a private company limited by shares.
GIC was formed for the purpose of superintending, controlling, and carrying on the business of general insurance.
As soon as GIC was formed, GOI transferred all the shares it held of the general insurance companies to GIC.
Simultaneously, the nationalized undertakings were transferred to Indian insurance companies.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 31

Save

Marketing concentrates on consumer needs whereas selling concentrates on?

A. Distribution channel
B. Product or services
C. Production
D. Market trend

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 31

The correct answer is "Product or services".

Key Points

Additional Information

Distribution channel - A distribution channel is a chain of businesses or intermediaries through which a good or service passes until it reaches the final buyer or the end consumer. Distribution channels can include wholesalers, retailers, distributors, and even the internet.
Market trend - It is the direction of movement of the financial market over time. An example of a market trend is a bull market which is an upward movement of the market while a bear market is a downward movement of the market.
Production - The production Concept is a belief that states that the customers would always acquire products that are cheaper and more readily available (or widely available). The production concept advocates that the more products or production the more would be sales. In countries where labor is cheap and easily available, production can be maximized while minimizing costs, hence increasing production efficiency.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 32

Save

Which of the following goods are taxed under Goods and Services Tax (GST), India?

A. CNG
B. Liquor
C. Petrol
D. Gold Jewellery

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 32

The correct answer is Gold Jewellery.

Key Points

GST is known as the Goods and Services Tax.
It is an indirect tax that has replaced many indirect taxes in India such as excise duty, VAT, services tax, etc.
The Goods and Service Tax Act was passed in Parliament on 29th March 2017 and came into effect on 1st July 2017.
Products that are exempted from GST are:
- Alcohol
- Petroleum products
- Vegetables
- Honey, etc

Additional Information

GST was introduced by the 101^stConstitutional Amendment Act.
GST was the 122^th Constitutional Bill.
GST was introduced by then Finance Minister Arun Jaitley.
The present Finance Minister of India is Nirmala Sitharaman.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 33

Save

Deduction available under section 24(a) of Income Tax Act, 1961 is __________ of Annual Value.

A. 25%
B. 40%
C. 30%
D. 20%

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 33

The correct answer is 30%

Key Points

Standard deduction u/s 24(a)

UGC NET Paper 2 Commerce Mock Test - 9 - Question 34

Save

As per FTP 2023, revised export performance threshold for Five Star Status is:

A. 500 USD Million
B. 800 USD Million
C. 1000 USD Million
D. 2000 USD Million

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 34

The correct answer is800 USD Million.

One-star export house
Two-star export house
Three-star export house
Four-star export house
Five-star export house

Important PointsExport performance threshold for Star Status (in million USD):

UGC NET Paper 2 Commerce Mock Test - 9 - Question 35

Save

The market demand curve for a perfectly competitive market is QD = 12 - 2P. The market supply curve is QS = 3 + P. The market will be in equalibrium if :

A. P = 6, Q = 9
B. P = 5, Q = 2
C. P = 4, Q = 4
D. P = 3, Q = 6

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 35

Key Points

Market Demand:The total of each individual demand curve in a given market creates the market demand curve. It demonstrates the quantity of the commodity that people want at various price points.

Important PointsQD = 12 - 2P (Quantity Demanded) -- (1)

QS = 3 + P (Quantity supplied)-- (2)

Condition for Market Equilibrium

Quantity demanded= Quantity supplied

Therefore,

12 - 2P =3 + P

3P = 12 - 3

3P = 9

P = 3

Therefore, the equilibrium price is 3

Substituting the value of P in either (1) or (2)

QD = 12 - 2P

QD = 12 - 2 x 3

QD = 12 - 6

QD = 6

Therefore, the equilibrium Quantity is 3

Hence, the correct answer is P = 3, Q = 6

UGC NET Paper 2 Commerce Mock Test - 9 - Question 36

Save

Minimum contract size in equity derivatives segment in India is _______.

A. 4 lakhs
B. 8 lakhs
C. 10 lakhs
D. 5 lakhs

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 36

The correct answer is5 lakhs.

Key Points

To safeguard small investors from high-risk products, market regulator Sebi made a steep hike in the minimum investment size for any equity derivative product to Rs 5 lakh from Rs 2 lakh.
It has been decided that the minimum lot size of an equity derivative contract could be increased to Rs 5 lakh.
For stock derivatives, the lot size (in units of underlying) would be fixed as a multiple of 25, provided the lot size is not less than 50.

Additional Information

SEBI stands forSecurities and Exchange Board of India.
The Securities and Exchange Board of India is the regulatory body for the securities and commodity market in India under the jurisdiction of the Ministry of Finance, Government of India.
The headquarters of SEBI is in Mumbai.
The Chairperson of SEBI is Ajay Tyagi.,

UGC NET Paper 2 Commerce Mock Test - 9 - Question 37

Save

Match List 1 with List 2

Choose the correct answer form the options given below:

A.
A - 4, B - 3, C - 2, D - 1
B.
A - 3, B - 4, C - 1, D - 2
C.
A - 1, B - 2, C - 3, D - 4
D.
A - 2, B - 1, C - 4, D - 3

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 37

The Correct answer is Option 1.

Key Points

Coefficient of Range:

The range is the difference between the highest and the lowest value of frequency for a given frequency distribution.
The coefficient of range on the other hand is the ratio of the difference between the highest and lowest value of frequency to the sum of the highest and lowest value of frequency.
The coefficient of Range shows how much of the data is spread. It shows the relative measure of the dispersion of the range.
In order to calculate, the formula used is- (Highest Value of frequency - The lowest value of frequency)/(Highest Value of frequency + Lowest value of frequency)

Coefficient of Quartile Deviation (QD):

Quartiles are the values that divide a group of observations into four equal parts.
The coefficient of quartile deviation is a measure of dispersion used to describe the spread or distribution of data.
It is calculated as - Coefficient of quartile deviation = (Q3– Q1) / (Q3+ Q1)

Coefficient of Mean Deviation (MAD):

Mean deviation or average deviation is the average difference between the items in a series from the mean, median, or mode.
The coefficient of mean deviation is calculated by dividing the mean deviation by the average. If deviations are taken from the mean, we divide it by the mean.
It is calculated as Mean Deviation/ x or Me.

Coefficient of Variation (CV):

The coefficient of variation (CV) is the ratio of the standard deviation to the mean and shows the extent of variability in relation to the mean of the population. The higher the Coefficient of Variation, the greater the dispersion.
It is calculated as -

Hence, the correct answer is Option 1.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 38

Save

Which of the following methods of departmentation facilitates tight control on top?

A. By geography
B. By customer group
C. By enterprise function
D. By product

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 38

The correct answer isBy enterprise function.

Key Points

By enterprise function,departmentation facilitates tight control on top.
Departmentation by enterprise function is to group the activities being performed by different units along the lines of the function of the organisation.
- Every enterprises aim at creating or producing something that is desirable by others.
- It follows the principles of occupational specialization.
- It also simplifies training.
The basic enterprise functions are-
- Production
- Selling
- Financing

Additional Information

Departmentation refers to the formal structure of the organisation, composed of various departments and managerial positions and their relationships to each other.
- It refers to the horizontal differentiation in an organization.
- Itrefers to the grouping of operating duties into jobs, the combining of jobs and mixing of companies into divisions called 'Departments'.
- This way, it becomes easier and efficient for the top management to have control on various units.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 39

Save

Which of the following is not the function of the Reserve Bank of India ?

A. Custodian of foreign currency
B. Printing of currency notes
C. Issuance of coins
D. Controller of credit

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 39

The Reserve Bank of India (RBI) was established on April 1, 1935, in accordance with the provisions of the Reserve Bank of India Act, 1934.

Key Points

The mainfunctionsof RBI:

Custodian of Country’s Foreign Currency Reserves:The Reserve Bank has custody of the country’s reserves of international currency, and this enables the Reserve Bank to deal with crises connected with adverse balance of payments position.
Controller of Credit:Since credit, money forms the most important part of the supply of money, and since the supply of money has important implications for economic stability, the importance of the control of credit becomes obvious. Credit is controlled by the Reserve Bank in accordance with the economic priorities of the government.
Printing of currency notes:The Reserve Bank has the right to print currency up to10,000 rupee notes.
- However, if the Reserve Bank wants to print anything higher, the government must amend the Reserve Bank of India Act.
- In addition, when the Reserve Bank estimates the demand for banknotes each year, it must file a written request thatgovernment officials mustsign off on before printing.
- When making these final decisions, government officials rely heavily on advice from the Reserve Bank senior staff.

Important Points

While the Reserve Bank of India prints currency, the government of India directly handles the minting of coins.
Coins are minted at the fourmints:Alipore in South Kolkata, Saifabad in Hyderabad, Cherlapally in Hyderabad, and Noida in Uttar Pradesh.
Although the government handles minting coins, the Reserve Bank issues them for circulation.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 40

Save

Consider the following statement

A company can be compared to a river, which maintains its identity. Although its the parts from which it is made are constantly changing.

Which of the following characteristics of the company is implicit in the above statement?

A.
Limited liability
B.
Artificial legal person
C.
Continuous succession
D.
Separate property

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 40

A company can be compared to a river, which maintains its identity. Although the parts from which it is made are constantly changing. The suitable characteristic here isContinuous succession.

A company is capable to survive beyond the lives of its members.
As a company is created by law therefore it can be dissolved only by law alone and it remains unaffected by the change, lunacy, retirement, death, or insolvency of its members
The members of the company may come and go but a company goes on forever and remains the same entity
The existence of the company continues even if its all members are dead.
There can not be a successionforever without the incorporation.

Limited liability:An Limited Liability Company (LLC) is a type of business in which the owners are called members. The business entity is separate from the members so only the entity may be held liable if the company is sued or fails to pay its debts. An LLC contains elements of a sole proprietorship, a partnership, and a corporation.
An artificial person is an entity created by law and given similar legal rights and duties to that of a human being. It can be real or imaginary and for the purpose of legal reasoning is treated more or less as a human being.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 41

Save

Meaning of unpaid seller is

A. The person who has not paid the price
B. The person who has sold the goods and received the price
C. The person who has sold the goods and has not yet received the price
D. The person who has not sold the goods

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 41

Key-Points

Therefore, the meaning of an unpaid seller is the person who has sold the goods and has not yet received the price.

Additional Information

Features of an unpaid seller:

The seller must have sold the goods on a cash basis and must be unpaid.
The seller must be unpaid either wholly or partly.
The decided period of time has expired and the seller is still left unpaid.
The seller must not refuse to accept the payment.
The price is paid through a negotiable instrument i.e. bill of exchange, promissory note, cheque, etc. and the same has been dishonored.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 42

Save

Life insurance premium of Rs.1,60,000 was paid by Mr.Manu for his major son Daksh. Deduction u/s 80 C available to Mr.Manu is-

A.
Nil
B.
1,60,000
C.
1,50,000
D.
80,000

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 42

The correct answer is1,50,000

Key Points

Section 80C of Income Tax Act, 1961:

Eligibility:It is available for individuals and Hindu Undivided Families (HUFs)

Conditions for Deduction:

The investments in the following schemes are deductible under the Section 80C of tax deduction: -

PPF , EPF,
LIC premium
Equity linked saving scheme
Principal amount payment towards home loan
stamp duty and registration charges for purchase of property
Sukanya smriddhi yojana (SSY)
National saving certificate (NSC)
Senior citizen savings scheme (SCSS)
ULIP
tax saving FD for 5 years
Infrastructure bonds etc.

Maximum amount of Deduction: Rs. 1,50,000

Important Points

Tax benefits on LIC insurance policies

Mr.Manu pays Life insurance premium of Rs. 1,60,000 for his son, so he will get a deduction of Rs. 1,50,000.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 43

Save

Match the following.

A.
(a) - (iv), (b) - (i), (c) - (ii), (d) - (iii)
B.
(a) - (iii), (b) - (i), (c) - (iv), (d) - (ii)
C.
(a) - (ii), (b) - (iii), (c) - (i), (d) - (iv)
D. (a) - (iii), (b) - (iv), (c) - (i), (d) - (ii)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 43

(a) - (iii), (b) - (i), (c) - (iv), (d) - (ii) is correct.

Type I error:Type I error is also known as false positive and occurs when a researcher incorrectly rejects a true hypothesis.
Large sample:The standard error is inversely proportional to sample size i.e. the larger the sample size, the smaller the standard error because the statistic will approach the actual value and vice-versa.
Multiple regression:Multiple regression represents the relationship between multiple independent (predictor) variables and one dependent (criterion) variable.
Chi-square test:The Chi-square test is a non-parametric tool designed to analyze group differences when the dependent variable is measured at a nominal level.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 44

Save

For the purpose of extending rural banking and agro finance, the NABARD :

A.
Directly leads and monitors the rural borrowers
B.
Refinances the banks extending rural finance
C.
Refinances the rural borrowers obtaining credit from banks
D. Directly finances the rural borrowers and gets refinance from government

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 44

UGC NET Paper 2 Commerce Mock Test - 9 - Question 45

Save

With reference to capital structure, consider the following statementsand choose the correct statements from the given code.

(I) Capital structure is the mix of the long-term sources of funds used by a firm.

(II) It is made up of debt and equity securities.

(III) Capital structure maximizes the market value of a firm.

(IV) Capital structure maximizes the firm's cost of capital or cost of financing.

A.
I, II and III
B.
II, III and IV
C.
I, II and IV
D. I, III and IV

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 45

UGC NET Paper 2 Commerce Mock Test - 9 - Question 46

Save

Match the following:

A.
(a) - (iv), (b) - (iii), (c) - (i), (d) - (ii)
B.
(a) - (iv), (b) - (i), (c) - (ii), (d) - (iii)
C.
(a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)
D. (a) - (iii), (b) - (i), (c) - (ii), (d) - (iv)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 46

(a) - (iii), (b) - (iv), (c) - (ii), (d) - (i)is correct.

Treasury bills:Treasury bills arerisk-free, as individuals are backed by the highest authority in the country, and have to be paid even during the economic crisis.
Beta:Beta is used in the capital asset pricing model which describes the relationship betweensystematic riskand expected return for assets.
Capital budgeting:Thetime value of moneyis important incapital budgetingdecisions because it allows small-business owners to adjust cash flows for the passage of time.
Working capital:Working capitalis also called circulating capital or revolving capital i.e.the moneywhich circulates in various forms of current assets in a continuous manner.The amount always keeps on circulating or revolving from cash to current assets and back again to cash.Thus, it is known as theOperating cycle.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 47

Save

Which one of the following is agricultural income under Income Tax Act?

A.
Income from the land used for storing agricultural produce
B.
Dividend from a company engaged in agriculture
C.
Income from dairy farm, poultry farm, etc
D. Income from the sale of replanted trees where denuded parts of the forest are replanted and subsequent operations in forestry are carried out

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 47

Agriculture Income earned by a taxpayer in India is exempt under Section 10(1) of the Income Tax Act, 1961. Agricultural income is defined under section 2(1A) of the Income-tax Act.

As per section 2(1A), agricultural income generally means

Any rent or revenue derived from land which is situated in India and is used for agricultural purposes.
Any income derived from such land by agriculture operations including processing of agricultural produce so as to render it fit for the market or sale of such produce.
Any income attributable to a farmhouse subject to satisfaction of certain conditions specified in this regard in section 2(1A).
Any income derived from saplings or seedlings grown in a nursery shall be deemed to be agricultural income.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 48

Save

A _________ letter of credit is a type of financial guarantee, known as a letter of credit.

A.
deferred
B.
transitcredit
C.
transferable
D. instalmentcredit

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 48

UGC NET Paper 2 Commerce Mock Test - 9 - Question 49

Save

Consider the following statements with reference to the Companies (Amendment) Act, 2015 :

(I) The minimum paid-up share capital requirement has been done away with

(II) The company cannot declare a dividend for a financial year unless the losses and depreciation carried over from past years have been set-off against the profits of the company,

(III) thresholds will be prescribed for reporting fraud to the Central Government, or the audit committee, or the board of directors.

(IV) Section 11 of CA 2013 has been retained.

Which of the above statements are correct

A. I and II
B. II and III
C.
I, II and III
D. II, III and IV

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 49

CA 2013 required all companies to file the following additional declarations with the Registrar of Companies prior to commencement of business or exercising any borrowing power:

(i) declaration by a director that minimum paid-up share capital has been paid; and

UGC NET Paper 2 Commerce Mock Test - 9 - Question 50

Save

A.
Rs. 50,000 per month
B.
Rs. 40,000 per month
C.
Rs. 25,000 per month
D. Rs. 15,000 per month

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 50

According to Section 194IB, it is mandatory for any person, i.e. individuals/HUF not liable to audit u/s 44AB, to deduct taxes for rent paid to a resident, exceeding Rs 50,000 per month.

According to the section, rent means a payment made by a payee under a tenancy, lease, sub-lease, or any other arrangement made for assets such as:

Land
Land including a factory building
Building including a factory building
Machinery
Furniture
Equipment
Plant
Fittings

UGC NET Paper 2 Commerce Mock Test - 9 - Question 51

Save

Road blocking advertisem*nt refers to:

A.
Advertising a product by blocking the road
B.
Creating big blocks for advertising a product
C.
Advertising a product on multiple TV channels at the same time
D. None of the above

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 51

Road blocking advertisem*nt refers to advertising a product on multiple TV channels at the same time.

Road Blocking Advertisem*nt is the practice of placing an advertisem*nt on each available media within a market, to appear at exactly (or as near as possible) the same time.

Road blocking is most often used as a means of building high reach levels within a short period of time.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 52

Save

The Right to Information Act, 2005 makes the provision of _________________.

A.
Dissemination of all types of information by all Public authorities to any person.
B.
Establishment of Central, State and District Level Information Commissions as an appellate body.
C.
Transparency and accountability in Public authorities.
D. All of the above

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 52

All of the above are theprovisions of the Right to Information Act, 2005.

It promotes accountability and transparency in every public authority.
It promotes effective and timely dissemination of correct information by the public authority to any individual.
It promotes the establishment of district, state, and central level information commission as an appellate body.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 53

Save

Modern marketing concepts emphasize on:

A.
Sales maximisation
B.
Customer satisfaction
C.
Profit maximisation
D. Wealth maximisation

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 53

UGC NET Paper 2 Commerce Mock Test - 9 - Question 54

Save

Which of the following items are included in the negative list of imports?

1. Canalised items

2. Banned items

3. Restricted items

4. Items of the open general license

A.
1, 3 and 4
B.
2, 3 and 4
C.
1, 2, 3 and 4
D. 1, 2 and 3

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 54

The negative list for imports consists of:

The list of canalized goods can be found in the ITC (HS). Goods in this category can be imported only through canalizing agencies. The main canalized items are currently petroleum products, bulk agricultural products, such as grains and vegetable oils, and some pharmaceutical products.
Prohibited Goods/ banned items narcotic drugs and psychotropic substances. p*rnographic and obscene material. Counterfeit and pirated goods and goods infringing any of the legally enforceable intellectual property rights. Antiquities.
Restricted means that special licenses or permits are required from a federal agency before the item is allowed to enter the United States. Examples of restricted items include firearms, certain fruits and vegetables, animal products, animal by-products, and some animals.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 55

Save

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholdersis known as ___________.

A.
Surcharges
B.
Dividends
C.
Shares
D. Assets

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 55

In most countries with income taxation, corporate entities are subject to tax on their profits and, in addition, are taxed in the hands of shareholders is known as surcharges.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 56

Save

Which of the following is incorrect about proactive planning?

A.
Way of thinking regarding management of future risks
B.
Anticipating future contingencies
C.
Reacting to external events
D. Getting ready with alternative routes for unforseen situations

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 56

UGC NET Paper 2 Commerce Mock Test - 9 - Question 57

Save

Assertion (A): Price skimming is the process of charging high prices for goods who have easily available substitutes.

Reason (R): Price skimming strategy is aimed to generate high profits in less time before the entry of other competitors.

A.
Both Assertion (A) and Reason (R) are true and (R) is the correct explanation of (A)
B.
Both Assertion (A) and Reason (R) are true and (R) is not the correct explanation of (A)
C.
(A) is correct, but (R) is not correct
D. (A) is not correct, but (R) is correct

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 57

Price skimming is a product pricing strategy by which a firm charges the highest initial price that customers will pay and then lowers it over time.

As the demand of the first customers is satisfied and competition enters the market, the firm lowers the price to attract another, a more price-sensitive segment of the population.
Price skimming is often used when a new type of product enters the market. The goal is to gather as much revenue as possible while consumer demand is high and competition has not entered the market.
The skimming strategy gets its name from "skimming" successive layers of cream, or customer segments, as prices are lowered over time.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 58

Save

Match the given lists and select the correct code for the answer.

UGC NET Paper 2 Commerce Mock Test - 9 Free MCQ Practice Test with Solutions - UGC NET (194)

A.
a - (iv), b - (iii), c - (ii), d - (i)
B.
a - (i), b - (ii), c - (iii), d - (iv)
C.
a - (ii), b - (iv), c - (i), d - (iii)
D. a - (iii), b - (i), c - (iv), d - (ii)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 58

Pure or perfect competition is a theoretical market structure in which all firms sell an identical product (the product is a "commodity" or "hom*ogeneous"). All firms are price takers (they cannot influence the market price of their products). Market share has no influence on prices.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 59

Save

In tax laws, donation to approved and notified association for scientific research is allowed as:

A.
125% of the donation
B.
100% of the donation
C.
175% of the donation
D. 150% of the donation

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 59

In tax laws, donation to approved and notified association for scientific research is allowed as 100% of the donation.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 60

Save

Which of the following is not the basic assumption of cardinal utility analysis?

A.
Rationality of consumer
B.
Utility cardinally measurable
C.
Diminishing marginal utility of money
D. Hypothesis of independent utilities

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 60

The basic assumption of cardinal utility analysis is :

Rationality of consumer
Utility cardinally measurable
The hypothesis of independent utilities

UGC NET Paper 2 Commerce Mock Test - 9 - Question 61

Save

What assumption is being made when we use the t-distribution to perform a hypothesis test?

A.
That the underlying distribution has more than one modal class.
B.
That the underlying population has a constant variance.
C.
That the underlying population has a non-symmetrical distribution.
D. That the underlying population follows an approximately Normal distribution.

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 61

UGC NET Paper 2 Commerce Mock Test - 9 - Question 62

Save

Adjusting Financial Statements of the company as per price indexes is a practice under:

A.
Inflation Hedging
B.
Inflation Accounting
C.
Recession planning
D. Financial Hedging

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 62

UGC NET Paper 2 Commerce Mock Test - 9 - Question 63

Save

Direction: Read the statements carefully and choose the correct answer.

Statements:(I): The greater is the likely level of EBIT than the financial indifference point, the stronger is the case for issuing levered financial plans to maximise the EPS.

Statements(II): The financial break-even point is found at that level of EBIT where the EPS is zero for a particular financial plan.

A. Both statements are correct
B. Both statements are incorrect
C. Statement I is correct but statement II is incorrect
D. Statement I is incorrect but statement II is correct

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 63

UGC NET Paper 2 Commerce Mock Test - 9 - Question 64

Save

Increasing consumer awareness of a commodity or product, driving product sales and building brand credibility is:

A.
Decision
B.
Location
C.
Product
D. Promotion

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 64

There are five primary methods of Promotion:

Direct selling
Advertising
Public relations
Personal selling
Sales promotion

UGC NET Paper 2 Commerce Mock Test - 9 - Question 65

Save

If the sales are Rs. 6000, variable cost is Rs. 3600, and the fixed cost is Rs. 2000then the break-even point will be -

A.
Rs. 5000
B.
Rs. 5400
C.
Rs. 6000
D.
Rs. 4000

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 65

ratio
Contribution Sales Variable cost

BEP

Rs. 5000

UGC NET Paper 2 Commerce Mock Test - 9 - Question 66

Save

The purpose of job evaluation is:

A.
Training
B.
Promotion
C.
Wage fixation
D. Transfer

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 66

Job evaluation is a systematic way of determining the worth of a job in relation to other jobs to establish the pay structure. The purpose of job evaluation is wage fixation.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 67

Save

European Union (EU) organization has its own governing and decision making institutions. Which one of the following is not associated with the EU organization?

A.
The European Council
B.
The European Commission
C.
The European Legislative Council
D. Court of Justice

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 67

The European Legislative Councilis not associated with the EU organization.

The European Union adopts legislation through a variety of legislative procedures.The procedure used for a given legislative proposal depends on the policy area in question.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 68

Save

Financial management is concerned with the:

A.
Procurement of funds and their effective utilisation
B.
Raising of funds from the market
C.
Management of working funds
D. Investing funds in the most appropriate assets

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 68

UGC NET Paper 2 Commerce Mock Test - 9 - Question 69

Save

What is the rate of the consumer price inflation for the first half of the current fiscal year?

A.
1.49%
B.
4.5%
C.
5.2%
D. 5.60%

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 69

The rate of consumer price inflation is 5.2% for the first half of the current fiscal year.

According to the passage,"It also raised its projection for consumer price inflation a bit to 5.2 percent for the first half of the current fiscal year."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 70

Save

What is the minimum amount of the securities purchases through GSAP in the first quarter of the current fiscal year?

A.
Rs. 3 lakh
B.
Rs. 1 lakh
C.
Rs. 3.5 lakh crore
D. Rs. 1 lakh crore

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 70

The minimum amount of securities purchases through GSAP in the first quarter of the current fiscal year is Rs. 1 lakh crore.

According to the passage, "The RBI announced a government securities acquisition programme (GSAP), essentially a calendar of its bond-buying programme, starting with Rs. 1 lakh crore of securities purchases in the first quarter of the current fiscal year."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 71

Save

What is the rate of GDP growth that is predicted for FY22?

A.
5.93%
B.
31%
C. 5.20%
D. 10.5%

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 71

The rate of GDP growth that is predicted for FY22 is10.5%.

According to the passage,"In Wednesday’s statement, the MPC retained its assessment of FY22 GDP growth of 10.5 percent."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 72

Save

Why did the central bank extend the refinance facilities for the SIDBI?

A.
To help the agricultural sectors
B.
To help the MSMEs
C.
It would help to control the inflation of the economy
D. To increase the demand of corporate bonds

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 72

The central bank extends the refinance facilities for the SIDBI to help the MSMEs.

According to the passage, "The central bank also extended measures to improve credit flow to the economy, some of which were introduced last year to fight the pandemic. It extended its long-term repo operations (lending money to banks), extended refinance facilities for NABARD and SIDBI to help MSMEs."

UGC NET Paper 2 Commerce Mock Test - 9 - Question 73

Save

Find the relation between the statements given below:

Statement I: The RBI’s bond purchase calendar will give confidence to bond market participants.

Statement II: Bond-buying calendar will ensure that borrowers reap the benefits of a low interest rate regime.

A.
Statement (I) is the cause and Statement (II) is the effect.
B.
Statement (II) is the cause and Statement (I) is the effect.
C.
Both the Statement (I) and Statement (II) are independent causes.
D. Both the statements (I) and (II) are effects of independent causes.

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 73

According to the passage,"The RBI’s bond purchase calendar will give confidence to bond market participants that huge supply of government borrowings will not drive up yields too much."......"The central bank, however, announced a bond-buying calendar which will ensure that borrowers reap the benefits of a low-interest rate regime."

The RBI's bond purchase calendar will give confidence to bond market participants because it will ensure that borrowers reap the benefits of a low-interest rate regime.

So, statement (I) is the cause, and statement (II) is the effect.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 74

Save

Which of the following is not a method of forecasting demand?

A.
Collective opinion method
B.
Total outlay method
C.
Expert opinion method
D. Controlled opinion method

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 74

The total outlay method is not a method of forecasting demand.

Methods of forecasting demand are:

Survey of buyer's intentions
Collective opinion
Trend projection
Executive judgment method
Controlled experiments
Expert's opinions

UGC NET Paper 2 Commerce Mock Test - 9 - Question 75

Save

Which one of the following is NOT a non-tariff barrier?

A. Quota
B. Customs and entry procedures
C. Combined rates
D. Exchange control

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 75

The correct answer is Combined rates.

Key Points Non-Tariff barriers:

Import licenses: Governments may require importers to obtain licenses or permits to import certain goods. These licenses can create administrative hurdles and delays in the importation process.

Hence, the correct answer is Combined Rates.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 76

Save

Assertion (A): Giffin paradox rarely occurs in the real world.

Reasoning (R): Inferior goods are narrowly defined for which suitable substitutes are available.

A. Both (A) and (R) are incorrect
B. (A) is correct and (R) is incorrect
C. Both (A) and (R) are correct
D. (A) is incorrect and (R) is correct

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 76

Inferior good:

An inferior good is a good whose demand decreases when consumer income rises and demand increases when consumer income decreases.
Unlike normal goods, for which the demand rises as consumer income rises.
Inferiority relates to affordability rather than a statement about the quality of the good.
As a rule, these goods are affordable and also adequately fulfill their purpose but as more costly substitutes that offer more pleasure becomes available, the use of inferior goods diminishes.
Thus, inferior goods are narrowly defined for which suitable substitutes are available.
For example, cheaper cars; consumers will prefer cheaper cars when their income is constricted and as the consumer's income increases, the demand for inferior cars will decrease.
A special type of inferior good may exist known as the Giffen good which disobeys the 'law of demand'.
When the price of Giffen good increases, the demand for that good increases too.
The observed demand curve would slope upward indicating positive elasticity.
Giffen goods were first noted by Sir Robert Giffen.
It is usual to attribute Giffen's observation to the fact that in Ireland during the 19th century there was a rise in the price of potatoes.
However, it has been noticed that Giffen did not use potatoes as an example of Giffen goods and it was presented in terms of bread.
This phenomenon is often described as "Giffen's Paradox".
However, Giffen's paradox rarely occurs in the real world.

Therefore, both (A) and (R) are correct.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 77

Save

Assertion (A): “Price Discovery” is a function of derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of influence of futures price on spot price.

A.
(A) is correct, (R) is incorrect
B.
(A) is incorrect, (R) is correct
C.
Both (A) and (R) are incorrect
D.
Both (A) and (R) are correct

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 77

Assertion (A): “Price Discovery” is a function of the derivatives market.

Reason (R): ‘Price Discovery’ deals with the study of the influence of futures price on the spot price.

Here Both (A) and (R) are correct. Hence option4 is the correct answer.

Key Points

Price discovery is the overall process, whether explicit or inferred, of setting the spot price or the proper price of an asset, security, commodity, or currency.
The process of price discovery looks at a number of tangible and intangible factors, including supply and demand, investor risk attitudes, and the overall economic and geopolitical environment.
Simply put, it is where a buyer and a seller agree on a price and a transaction occurs.
The derivatives market serves as an important source of information about prices. Prices of derivative instruments such as futures and forwards can be used to determine what the market expects future spot prices to be.
The information is accurate and reliable. Thus, the futures and forwards markets are especially helpful in the price discovery mechanism.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 78

Save

Choose the correct cod for the following statements being correct or incorrect.

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

A. Both the statements I and II are correct
B. Both the statements I and II are incorrect.
C. Statement I is correct, but II is incorrect
D. Statement II is correct, but I is incorrect

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 78

Statement I: If the value of , of a distribution gives the value more than 3, its curve is platykurtic.

Explanation:

Leptokurtic Curve - Value of β₂ is greater than 3.
Mesokurtic Curve - Value of β₂ is equal to 3.
Platykurtic Curve - Value of β2 is less than 3.

Thus, Statement I is incorrect.

Statement II: In a moderately asymmetrical distribution, the standard deviation is 1.25 times of mean deviation.

Explanation:

In a moderately asymmetrical distribution (variable occurs at the irregular frequency), the standard deviation is 1.25 times of mean deviation.

This statement is correct.

Therefore, Statement II is correct, but I is incorrect.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 79

Save

The Fortune at the Bottom of Pyramid : Eradicating Poverty’ has been written by

A. C.K. Prahalad
B. Philip Kotler
C. Peter Drucker
D. Amartya Sen

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 79

The correct answer is C. K. Prahlad.

Key Points "The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits" has been written by C.K. Prahalad. The book, published in 2004, explores the idea that the world's poor can be considered as a lucrative market for businesses, and by addressing their needs and creating products and services tailored for them, both social and economic goals can be achieved. Prahalad suggests that businesses can play a crucial role in poverty alleviation while also generating profits by engaging with the large and untapped market represented by the world's poor.

Additional Information

"The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits" is a book written by C.K. Prahalad, an influential management thinker and professor of corporate strategy. The book, first published in 2004, introduces the concept of the "Bottom of the Pyramid" (BoP) as a significant yet underserved market segment comprising the world's poor.

Key points and details from the book include:

Bottom of the Pyramid (BoP):

Market Potential:

Role of Business in Poverty Alleviation:

Innovative Business Models:

Co-Creation and Partnerships:

Sustainability and Inclusivity:

UGC NET Paper 2 Commerce Mock Test - 9 - Question 80

Save

Match List I with List II:

UGC NET Paper 2 Commerce Mock Test - 9 Free MCQ Practice Test with Solutions - UGC NET (228)

Choose the correct answer from the options given below:

A. (A) - (IV), (B) - (II), (C) - (I), (D) - (III)
B. (A) - (I), (B) - (IV), (C) - (III), (D) - (II)
C. (A) - (II), (B) - (III), (C) - (IV), (D) - (I)
D. (A) - (IV), (B) - (III), (C) - (II), (D) - (I)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 80

The correct answer is (A) - (IV), (B) - (II), (C) - (I), (D) - (III)

Key Points

Net Stable Funding Ratio

The net stable funding ratio is a liquidity standard requiring banks to hold enough stable funding to cover the duration of their long-term assets.
Banks must maintain a ratio of 100% to satisfy the requirement.
The Net Stable Funding Ratio (NSFR) and Liquidity Coverage Ratio (LCR) are significant components of the Basel III reforms.

Innovative Perpetual Debt Instrument

Tier I Capital consists mainly of share capital and disclosed reserves. Since this capital is fully available to cover the core losses, it is also called Core Capital. For this reason, this is considered the highest quality capital.
IPDIs issued as Tier I cannot exceed 15 percent of total capital.
This limitation is based on the Tier I capital amount as of March 31 of the previous year along with deductions of intangible assets before investment deductions.

Time Maturity Gap

Assets Liabilities Management is the process whereby a bank’s total assets and liabilities are controlled and managed simultaneously in an integrated fashion. In the management of the overall balance sheet.
A maturity gap is a term used to describe a strategy that is designed to assess the relationship between the risk of owning assets and liabilities that generate revenue due to interest rate accruals and the volatility of those holdings.

Risk-Weighted Assets

Tier II Capital is also known as supplementary capital. It consists of certain reserves and certain types of subordinated debt.
Any loan which is repayable after other debts have been paid is called subordinated debt. Tier 2 capital also has a ratio.
This is the formula utilized to describe the capital being held versus what's known as total risk-weighted assets (RWAs).
Risk-weighted assets are the assets held by the bank that is weighted by its credit risk.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 81

Save

In CRM, Value Chain Model is also known as?

A. IDIC Model
B. Buttle's Model
C. Payne's Model
D. None of these

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 81

The correct answer is Buttle's Model.

Key Points

Buttle's Model:

The Customer Relationship Management (CRM) value chain model is a model that shows firms how to build and implement CRM strategies.
It was created in the year 2004 by Francis Buttle.
This model's major goal is to connect an organization's internal and external processes in order to provide value for customers while making a profit. In addition, the concept can be used in both B2B (Business to Business) and B2C (Business to Customer) companies.

Additional Information

IDIC Model:

The Peppers and Rogers Group created the IDIC model as a basic framework for adopting CRM in a range of settings.
It was developed in the year 2004.
IDIC stands for identify, differentiate, interact, and customize, which are the four steps of CRM deployment.

Payne's Model:

The Five Forces CRM model was developed by Adrian Payne and Pennie Frow.
Payne & Frow’s Five-Step Process Model ensures that the customer experience is consistent across all departments.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 82

Save

As per Section 68 of the Companies Act 2013, companies may purchase their own shares of which of the following?

A. its free reserves

B. the securities premium account

C. Net profits of the firm

D. The proceeds of the issue of any shares or other specified securities

A. A, B and D only
B. B, C and D only
C. B and C only
D. A, B, C and D

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 82

Key Points

Section 68 of Companies Act 2013: Power of company to purchase its own securities

A company may purchase its own shares or other specified securities (hereinafter referred to as buy-back) out of—

its free reserves;
the securities premium account; or
the proceeds of the issue of any shares or other specified securities

Important Points

The term "free reserves" refers to those reserves which are available for distribution as dividend to shareholders, i.e. reserves which are not required to be maintained as per law or by the terms of the issue of share capital.
The securities premium account is the account where the amount received in excess of the face value of the shares is credited.

Net profits of the company cannot be utilized for the purpose of buy-back of shares.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 83

Save

Which one of the following is the Net Annual Value (NAV) of house for the given details?

Municipal value = Rs. 5,00,000

Fair Rental value = Rs. 6,00,000

Standard Rent = Rs. 7,00,000

Actual Rent (Annual Rent) = Rs. 5,40,000

Municipal Tax = Rs. 15,000 (due but not paid)

A. Rs. 5,00,000
B. Rs. 6,00,000
C. Rs. 5,40,000
D. Rs. 4,80,000

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 83

Key Points

Gross Annual Value:

Gross annual value (GAV) is a term used to describe the potential revenue from immovable property.
Whether or not the property is rented out for business or residential uses, GAV will still apply.
In Income Tax, the word immovable property comprises buildings such as residential houses, factories, commercial buildings, godowns and land on which bonded warehouses have been established.
Net Annual Value: In accordance with the Income Tax Act, the municipality taxes are subtracted from the property's gross annual value to determine the Net Annual Value (NAV). NAV is the difference between GAV and the municipal tax that the owner has paid.

Important PointsCalculation of Net Annual Value

Note: Municipality Tax (due not paid) is not be deducted from GAV because it is not yet paid by the owner, so the GAV itself will be the value of NAV.

Hence, the correct answer is 6,00,000.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 84

Save

Which one of the following statements is false?

A.
IFC was established in July 1956
B.
IFC encourage the growth and development of Public Sector Enterprises in member countries
C.
IFC is an affiliate of the World Bank
D.
IFC encourages the growth of productive private enterprises in member countries

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 84

IFC encourage the growth and development of Public Sector Enterprises in member countries statements is false.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 85

Save

For a hypothesis test, alpha (α) is 0.05 and beta (β) is 0.10. The power of this test is ________.

A.
0.95
B.
0.90
C.
0.80
D. 0.15

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 85

The power of this hypothesis test will be

1 - beta = 1 - 0.10 = 0.90

Mathematically, power is 1 – beta. The power of a hypothesis test is between 0 and 1; if the power is close to 1, the hypothesis test is very good at detecting a false null hypothesis

UGC NET Paper 2 Commerce Mock Test - 9 - Question 86

Save

In the contract of agency, Implied agency may arise by:

A. Agency by Estoppel

B. Agency of Necessity

C. Agency by Ratification

D. Agency by Holding out

A.
Both A and B
B.
A, B and C
C.
Both B and D
D. All of the above

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 86

The Agency system is very popular in the current business scenario. There are two parties in the agency system one is the principal and the agent. An agent is a person acting on behalf of his principal. It’s a connecting link between the principal and the third party. Herein we will discuss the creation of an agency under the Indian Contract Act, 1872.

1. Agency by estoppel:

The concept of agency by estoppel arises where one person acts in such a way that the other believes that a third person is authorized to act on his behalf and enters into a transaction with the third person, the person whose act induced him to do so, is liable for that agreement as if the third person acting on his behalf.
It is based on principles of natural justice and equity.

2. Agency by necessity

It is a type of legal relationship in which one party can make essential decisions for another party.
The courts recognize agency by necessity during an emergency or urgent situation under which the beneficiary is unable to provide explicit authorization.

3. Agency by Ratification:

A confirmation by the principal of an act or contract performed or entered into on his or her behalf by another, who assumed, without authority, to act as his or her agent.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 87

Save

Statement I: Data material held in any electronic form is 'information' under RTI Act, 2005.

Statement II: IT Act, 2000 came into force on 10th October, 2000.

Choose the correct code:

A.
Only Statement I is correct
B.
Only Statement II is correct
C.
Both Statements are correct
D. Both Statements are incorrect

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 87

Data material held in any electronic form is 'information' under the RTI Act, 2005. IT Act, 2000 came into force on 17 October 2000.

Therefore, the only statement I is correct.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 88

Save

Which is the Act which provides legal framework for e-Governance in India:

A.
IT (amendment) Act 2008
B.
Indian Penal Code
C.
IT Act 2000
D.
None of the above

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 88

The act that provides the legal framework for e-Governance in India is the IT Act 2000.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 89

Save

The seasonal products like a raincoat, umbrella, etc. enjoy demand at peak only during a certain season. Under which marketing concept does this exempt classify?

A.
Meta marketing concept
B.
Demarketing concept
C.
Synchro marketing concept
D. Counter marketing concept

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 89

Under the Synchro marketing concept, seasonal products can be classified. Synchro marketing shifts the pattern of irregular demand for a product during a particular period of time.

For example:

The slowdown in the restaurants during the period between lunch and dinner.
Less number of tourists during summers at resorts.
In India, where most of the expensive products are bought only during festival seasons (Diwali, Eid, etc.)

UGC NET Paper 2 Commerce Mock Test - 9 - Question 90

Save

_____ is a progressive tax.

A.
Custom duty
B.
Sales tax
C.
Income tax
D. Development Surcharge

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 90

A progressive tax is directly related to the taxpayer's ability to pay.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 91

Save

Which Act was replaced with the introduction of Competition Act, 2002?

A.
FERA
B.
FEMA
C.
MRTP
D.
POTA

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 91

The Competition Act, 2002 was enacted by the Parliament of India and governs Indian competition law.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 92

Save

As per the RBI Act, 1934, the following functions are described as the functions of a Central Bank:

(i) Banking functions

(ii) Advisory functions

(iii) Supervisory functions

(iv) Promotional functions

Identify the correct combination:

A.
(i), (iii) and (iv)
B.
(i), (ii) and (iv)
C.
(ii), (iii) and (iv)
D. Only (i) and (iii)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 92

The central bank is an apex bank that controls the entire banking system of a country. It is the sole agency of note-issuing and controls the supply of money in the economy.

It performs the following functions as per the Reserve Bank of India Act, 1934:

1. Banking functions:

The Reserve Bank acts as the Banker, Agent, and Adviser to the Government of India and states. It performs all the banking functions of the State and Central Government and it also tenders useful advice to the government on matters related to economic and monetary policy. It also manages the public debt of the government.
It performs the same functions for the other commercial banks as the other banks ordinarily perform for their customers. RBI lends money to all the commercial banks of the country.

2. Supervisory functions:

It supervises other banks and governments into various economic conditions and guides them at the time of inflation or deflation in the economy.

3. Promotional functions:

The central bank also performs promotional functions which include integrating with world economies and maintaining foreign reserves. They represent the country's economy internationally.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 93

Save

Budgetary control helps in the implementation of:

A.
Stantdard Cost
B.
Marginal Cost
C.
Ratio Analysis
D. Technical Analysis

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 93

A standard costing system involves estimating the required costs of a production process. Standard costs are estimates of the actual costs in a company's production process because actual costs cannot be known in advance. This helps a business to plan a budget.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 94

Save

In 'job evaluation', the key jobs are designated as ones:

A.
Which are more in number in the organization
B.
Which are most important for the survival of the organization
C.
Which are most secure
D.
Which represent different levels of each of the compensable factors

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 94

In 'job evaluation', the key jobs are designated as ones that are most important for the survival of the organization.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 95

Save

What is the time period during which the record of transactions is to be kept by banks under KYC directives?

A. 15 years
B. 10 years
C. 5 years
D. 1 year

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 95

Records of all transactions referred to in clause (a) of Sub-section (1) of section 12 read with Rule 3 of the PML Rules is required to be maintained for a period of five 5 years from the date of transactions between the clients and credible.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 96

Save

In independent India, the first major foreign exchange crisis occurred in the year:

A. 1955
B. 1956
C. 1969
D. 1991

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 96

In independent India, the first major foreign exchange crisis occurred in the year 1991.In 1991, there was significant downward pressure on the value of the rupee from the international market and India was faced with depleting foreign reserves that necessitated devaluation.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 97

Save

Match the following.

A.
(a) - (ii), (b) - (iii), (c) - (i), (d) - (iv)
B.
(a) - (ii), (b) - (iii), (c) - (iv), (d) - (i)
C.
(a) - (ii), (b) - (iv), (c) - (iii), (d) - (i)
D.
(a) - (ii), (b) - (i), (c) - (iv), (d) - (iii)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 97

The correct combination is (a) - (ii), (b) - (iii), (c) - (iv), (d) - (i)

The Insurance Regulatory and Development Authority of India (IRDAI) is an autonomous, statutory body tasked with regulating and promoting the insurance and re-insurance industries in India.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 98

Save

Direction: Read the given statements carefully and choose the correct option accordingly.

Assertion (A): When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables.

Reason (R): The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two.

Choose the right answer from the following codes.

A. Both (A) and (R) are true and (R) is the correct explanation.
B. Both (A) and (R) are true, but (R) is not the correct explanation.
C. (A) is true, but (R) is false.
D. (A) is false, but (R) is true.

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 98

Both (A) and (R) are true and (R) is the correct explanation.

When there is evidence of a linear relationship between two variables, it may not always mean an independent dependent relationship between the two variables is true.

The causal relationship between the two variables may not imply a reasonable theoretical relationship between the two is also true and correctly explains the assertion.

UGC NET Paper 2 Commerce Mock Test - 9 - Question 99

Save

The budgets are classified on the basis of:

A.
Capacity
B.
Time
C.
Functions
D. All of the above

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 99

Budgeting is the process of forecasting revenues and expenses of the company for a specific period and examples of which include the sales budget prepared to make a projection of the company's sales and the production budget prepared to project the production of the company etc.

Budgets may be classified on the basis of:

(A) Functions

(B) Conditions

(D) Activity levels (flexibility)

UGC NET Paper 2 Commerce Mock Test - 9 - Question 100

Save

Directions: Match the following.

A.
a - (i), b - (ii), c - (iii), d - (iv)
B.
a - (ii), b - (iv), c - (i), d - (iii)
C.
a - (iii), b - (i), c - (iv), d - (ii)
D.
a - (iv), b - (ii), c - (iii), d - (i)

Detailed Solution for UGC NET Paper 2 Commerce Mock Test - 9 - Question 100

The correct combination is a - (ii), b - (iv), c - (i), d - (iii).

One could argue that the U.S. airline industry is an oligopoly, controlled by the four main domestic carriers: American Airlines, Delta Airlines, Southwest Airlines, and United Airlines.

The Railways is a monopoly that has underinvested in capacity and created a systemic shortage. To squeeze the monopoly-induced artificial shortage to jack up fares is unfair.

Information about UGC NET Paper 2 Commerce Mock Test - 9 Page

In this test you can find the Exam questions for UGC NET Paper 2 Commerce Mock Test - 9 solved & explained in the simplest way possible. Besides giving Questions and answers for UGC NET Paper 2 Commerce Mock Test - 9, EduRev gives you an ample number of Online tests for practice

Top Courses for UGC NET

Mathematical Reasoning and Aptitude for UGC NET

Teaching Aptitude for Teaching Exam

UGC NET Mock Test Series 2024

Crash Course for UGC NET Education

NCERT Textbooks (Class 6 to Class 12)

Explore Courses

Download as PDF

Top Courses for UGC NET

Mathematical Reasoning and Aptitude for UGC NET

Teaching Aptitude for Teaching Exam

UGC NET Mock Test Series 2024

Crash Course for UGC NET Education

NCERT Textbooks (Class 6 to Class 12)

Explore Courses

Download the FREE EduRev App Scan the QR code to for best learning experience!

Download the FREE EduRev App

Track your progress, build streaks, highlight & save important lessons and more!

Join with a free account

Get Instant Access to 1000+ FREE Docs, Videos & Tests

10,000,000

Users

100+

Exams

3,25,000

Docs and Videos

75,000

Tests

I have an EduRev Account • Sign Up with Email

Attempt this test on App!

Get detailed analysis along with solutions of each question.

Open in App

Not Now

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && catId == '48') { var ht_ml = "

UPSC is the most crucial stepping stone for aspirants, and the right platform can make all the difference. Get access to high-quality study material including notes, videos,tests & all famous books summaries along with expert guidance, and a community of like-minded individuals.Take the first step towards success by signing up on EduRev today.

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && catId == '69') { var ht_ml = "

CAT is the most crucial stepping stone to your dream MBA college, and the right platform can make all the difference. Get access to high-quality study material including notes, videos & tests with expert guidance, and a community of like-minded individuals.Take the first step towards success by signing up on EduRev today.

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && catId == '32') { var ht_ml = "

JEE is a crucial stepping stone for IIT aspirants, and the right platform can make all the difference. Get access to high-quality study material including notes, videos & tests along with expert guidance, and a community of like-minded individuals. Take the first step towards success by signing up on EduRev today.

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && parseInt(catId) >= 18 && parseInt(catId) <= 29) { var ht_ml = "

Want to become a " + catName + " topper? The right platform can make all the difference. Get access to high-quality study material including notes, videos, tests & sample papers along with expert guidance, and a community of like-minded individuals. Take the first step towards success by signing up on EduRev today.

`; $('.adbnr3_tb').html(ht_ml); } else { $(".cnt_ad_bnr.are_you_even_banner3").remove(); //$('.adbnr3_tb').html(""); } $('.adbnr4_tb').html(""); } else { $('.adbnr1_tb').html(""); //$('.adbnr2_tb').html(""); var catId = '162'; var catName='UGC NET'; if (catId != null && catId != '' && catId == '33') { var ht_ml = "

NEET is a crucial stepping stone for aspiring Doctors, and the right platform can make all the difference. Get access to high-quality study material including notes, videos & tests along with expert guidance, and a community of like-minded individuals, Take the first step towards success by signing up for on EduRev today.

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && catId == '48') { var ht_ml = "

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && catId == '69') { var ht_ml = "

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && catId == '32') { var ht_ml = "

`; $('.adbnr3_tb').html(ht_ml); } else if (catId != null && catId != '' && parseInt(catId) >= 18 && parseInt(catId) <= 29) { var ht_ml = "

`; $('.adbnr3_tb').html(ht_ml); } else { $(".cnt_ad_bnr.are_you_even_banner3").remove(); //$('.adbnr3_tb').html(""); } $('.adbnr4_tb').html(""); } showinfinityDocsAdonPage('adbnr2_tb', '162', 'UGC NET', 'Content_page_ad'); } //$(window).resize(function () { // SetAdBnr(); //}); //$(document).ready(function () { // SetAdBnr(); //});

UGC NET Paper 2 Commerce Mock Test - 9 Free MCQ Practice Test with Solutions - UGC NET (2024)

100 Questions MCQ Test - UGC NET Paper 2 Commerce Mock Test - 9

If the nominal rate of interest is 6.5% and the inflation rate is 3.0%, whatis the real rate of interest?

What is the sustainable growth rate of the company that enjoys return on equity = 30 percent and a dividend payout ratio of 40 percent?

Earnings per share of a company is Rs 4, Return on Investment is 20 percent and the return required by shareholder is 16 percent. Assuming Walter valuation model. if the payout ratio is 40 percent. what will be the price per share?

Top Courses for UGC NET

Top Courses for UGC NET