Which is the most potent driver of business transformation during Covid-19 pandemic ?
A
Ethical consciousness
B
Scale economies and pricing power
C
Technology adoption and innovation
D
Supply chain logistics and government interventions
Question 2Single Answer
Counter Vailing Duties (CVD) are often imposed on imports to off set the impact of :
A
Predatory pricing
B
Export subsidies
C
Dumping
D
Low cost financing
Question 3Single Answer
To prevent opportunistic takeover of domestic firms amid Covid-19 pandemic. Foreign Direct Investment (FDI) from countries that share borders with India is allowed through :
A
Automatic route
B
Government route
C
FIPB route
D
DPIIT route
Question 4Single Answer
Factor conditions in Michael Porter’s competitive advantage National Include :
A
Market size
B
Demand conditions
C
Internationally competitive suppliers
D
Skilled labour and scientific knowledge
Question 5Single Answer
In case the purchasing company agrees to act as the agent of the vendor for collection of the book debts, in the books of the purchasing company, the amount of debtors should be credited to :
A
Vendor’s debtors account
B
Vendor’s suspense account
C
Debtors account
D
Creditors account
Question 6Single Answer
When the value of “Investment in subsidiary” in the holding company’s balance sheet in more then the book value of the net assets acquired, the difference represents :
A
Capital reserve on consolidation
B
Goodwill on consolidation
C
Minority interest
D
Post acquisition profit
Question 7Single Answer
The basic method of valuing human assets is :
A
Adjustment
B
Amortization
C
Capitalization
D
Quasi equity
Question 8Single Answer
X and Y are partners, sharing profits and losses in the ratio of 4 :3. They admit Z into the partnershipand for 1/5th share. X and Y decide to share the future profits in the ratio of 2 :1. What is the sacrificing ratio of X and Y ?
A
4 : 3
B
13 : 8
C
8 :13
D
4 :17
Question 9Single Answer
The value of the firm in wealth maximization objective is measured by :
A
Present value of all expected future cash flows
B
All expected future cash flows
C
Percent value of all expected future profits
D
All expected future profits
Question 10Single Answer
For a decline in price, total revenue declines in the demand of the product is :
A
Inelastic
B
Elastic
C
Unitary elastic
D
Zero elastics
Question 11Single Answer
In Cobb-Douglas production function, Q=AKαLβ increasing returns to scale occurs when :
A
α + β > 1
B
K + L > 1
C
α + β < 1
D
K + L < 1
Question 12Single Answer
The extreme case of non-price competition in an Oligopoly is :
A
Formation of cartels
B
Interdependent decision-making
C
Attaining economies of scale
D
Formation of duopoly
Question 13Single Answer
Pecking order theory in finance is based on the assertion of :
A
Asymmetric information between managers and investors
B
Symmetric information between managers and investors
C
Outside information
D
Asymmetric information among investors only
Question 14Single Answer
If a project cost is Rs. 40,000. Its stream of earning before depreciation and tax during first year through five years is expected to be Rs. 10,000, Rs. 12,000, Rs. 14,000, Rs. 16,000 and Rs. 20,000. Assume a 50% tax rate and depreciation on straight line basis; project’s ARR is :
A
14.40%
B
72%
C
16%
D
55.56%
Question 15Single Answer
According to the theory of dividend the firm should follow its investments policy of accepting all positive NPV projects and paying out dividends if and only if, funds are available :
A
Bird in hand theory
B
Investor rationality theory
C
100 percent retention theory
D
Residual theory
Question 16Single Answer
In Securitisation when no assets are acquired and the collateral is fixed for the life of the asset,the type of a structure is called as :
A
Revolving structure
B
Amortized structure
C
Collateralized structure
D
Self-liquidating structure
Question 17Single Answer
For a very large sample size the ratio between and σ is 8 : 40. Determine the sample size 𝓷 :
A
25
B
5
C
4
D
16
Question 18Single Answer
For a given set of paired data, the correlation and regression coefficients have been calculated as being equal to r,bxy and byx respectively. Now, each of values of x series is divided by 5. What effect does it have on each of these co-efficients ?
A
The three co - efficients remain unchanged
B
There is no change in r but by x changes to byx/5and bxy changes to 5bxy
C
Each of the co-efficients will be reduced to one fourth of its value
D
There is no change r but byx changes to 5byx and bxy chages to bxy/5
Question 19Single Answer
Which of the following statement is correct ?
A
Co-efficients of variance
B
If value in a series are negative, the standard deviation is also negative
C
If value in a series multiplied by σ, the variance would be multiplied by 36
D
Standard deviation is equal to square of variance
Question 20Single Answer
For a poisson distribution variable X, P(X=0) = 2P(X=1), its standard deviation would be :
A
B
0.5
C
D
2
Question 21Single Answer
A test that contains a fair sample of the tasks and skills actually needed for the job in question is :
A
Construct validity
B
Content validity
C
Test validity
D
Criterion validity
Question 22Single Answer
Which among of the following is not a primary determinant of organizational structure ?
A
Chain and span
B
Capacity and lower needs
C
Power and control
D
Differentiation and integration
Question 23Single Answer
An act in a way that results in the greatest good for the greatest number is :
A
The golden rule
B
The utilitarian principle
C
The four way test
D
Kant’s categorical imperative
Question 24Single Answer
People repeat behaviors that bring them satisfaction and pleasure and stop those that bring them dissatisfaction or pain is known as :
A
Law of exercise
B
Law of redo
C
Low of effect
D
Low of readiness
Question 25Single Answer
Which one of the following statements is true about under the Base I Accord, BCBS, fixed the minimum requirement of capital fund for banks at ?
A
8 percent of the total risk weighted assets
B
9 percent of the total risk weighted assets
C
10 percent of the total risk weighted assets
D
1000 crore
Question 26Single Answer
Which of the following statement is correct relating to Indian Financial System ?
A
RBI has direct supervision over depositories and mutual funds
B
Monetary control is exercised through cash reserve ratio and statutory liquidity ratio
C
Primary dealers mainly deal in shares, mutual fund units
D
The decrease in statutory liquidity ratio contracts the credit creation
Question 27Single Answer
Which one of the following is not one of the advantages of Derivatives market ?
A
Leveraging increases risk
B
They enhance liquidity in the market for underlying assets
C
They represent a form of insurance against risks
D
They reduce price volatility
Question 28Single Answer
Which one of the following statements is not true about Indian Money Market ?
A
Non-Banking Finance Companies (NBFCs) are financial institutions that constitute organized component of money market
B
Money market mutual funds are allowed to sell units to corporates and individuals
C
A Well-developed money market is essential for a modern economy
D
In the Indian Money Market, the predominant place is enjoyed by government and semi-government securities
Question 29Single Answer
Which of the following is not true while determining length of distribution channel ?
A
The larger the market size, the longer the channel
B
If the average lot size is large, it is better to have a longer channel
C
If the product and the market require a high level of service, it is advisable to keep a shorter channel
D
If customers shop for an assortment of products, it demands for a water channel of distribution
Question 30Single Answer
Which of the following can be categorized as people processing services ?
A
Health care
B
Legal services
C
Education
D
Transportation
Question 31Single Answer
SBUs or products that have lost their position of leadership and are in the low growth markets, are known as :
A
Star
B
Problem child
C
Dog
D
Cash cow
Question 32Single Answer
Which of the following is not a valid basis for market segmentation ?
A
Customer Based Segmentation
B
Technology Oriented Segmentation
C
Competition Related Segmentation
D
Product Related Segmentation
Question 33Single Answer
Which one of the following statements is a promissory note ?
A
I promise to Q Rs. 7,000, 7 days after my marriage
B
On demand, I promise to pay B or bearer Rs. 5,000
C
I promise to pay Rs. 5,000 on C’ death provided C leaves with me enough money to pay that sum
D
I acknowledge to be indebted to you for Rs. 10,000 to be paid on demand for value received
Question 34Single Answer
A claim for ‘quantum meruit’ cannot succeed :
A
Where is divisible contract is partly performed
B
When an indivisible contract for a lumpsum is partly performed
C
When a contract is discovered to be unenforceable due to some technical defect
D
In the case of breach of contract, the aggrieved party can claim reasonable compensation for k what he has done under the contract
Question 35Single Answer
The first offence for infringement of copyright can be for a maximum of imprisonment for a term of :
A
6 months and a fine of Rs. 20,000
B
3 years and a fine of Rs 50,000
C
3 years and a fine of Rs 2,00,000
D
1 year and a fine of Rs 3,00,000
Question 36Single Answer
Which one of the following conditions does not constitute a valid agency by necessity ?
A
There should be have been actual and definite commercial necessity for the agent to act promptly
B
The agent should have acted bonafide and for benefit of the principle
C
The agent should have adopted the most reasonable and practicable course under the circumstances
D
Destruction of the subject matter of the contract of agency
Question 37Single Answer
If assessee is engaged in the business of growing and manufacturing tea in India, the non-agricultural income in that case be :
A
40% the income from such business
B
25% the income from such business
C
60% the income from such business
D
75% the income from such business
Question 38Single Answer
AMT provisions are applicable on :
A
Corporate assessee
B
Non Corporate assessee
C
HUF
D
An Individual
Question 39Single Answer
X, an employee of the private company, gets Rs. 30,000 p.m. as basic salary and entitled to Rs. 1,500 p.m. as entertainment allowance. What are the deductions u ∕ s 16 (ii) for gross salary in respect of entertainment allowance ?
A
Rs. 5,000
B
Rs. 18,000
C
Rs. 72,000
D
Nil
Question 40Single Answer
Which of the following provident fund is approved by the provident fund commissioner ?
A
Statutory provident fund
B
Recognized provident fund
C
Unrecognised provident fund
D
Public provident fund
Question 41Single Answer
Which of the following institutions are included in the ‘World Bank Group’ ?
(a) International Finance Corporation
(b) International monetary Fund
(c) World Trade Organization
(d) Multilateral Investment Guarantee Agency
(e) International Development Association
Choose the correct answer from the options given below :
A
(a), (b) and (c) only
B
(a), (b) and (d) only
C
(a), (b), (d) and (e) only
D
(a), (d) and (e) only
Question 42Single Answer
Corporate socialresponsibility is the continuing commitment by business to behave ethically and contribute to :
(a) Political awareness, social security and inclusion.
(b) Public health, education and literacy.
(c) Maintaining ecological balances and protecting environment.
(d) Gender diversity, profiteering and market controlling.
(e) Rendering, Sponsoring and donating to social and charitable activities.
Choose the correct answer from the options given below :
A
(a), (b) and (d) only
B
(b), (c) and (e) only
C
(c), (d) and (e) only
D
(a), (b) and (c) only
Question 43Single Answer
Firm characteristics that help managers identify core compentencies include :
(a) Potential access to wide variety of markets
(b) Significantly contribute to the perceived customer benefits
(c) Value accretive and noncompetitive
(d) Distinctive and difficult for competitors to imitate
Choose the correct answer from the options given below :
A
(a), (b) and (c) only
B
(b), (c) and (d) only
C
(a), (b) and (d) only
D
(a), (c) and (d) only
Question 44Single Answer
Which of the following distinction (s) is/are not correct between public issue and rights issue ?
(a) In public issue, applications for shares are invited from the general public and in rights issue, the shares are offered to existing shareholders.
(b) In public issue there is no question of any over-subscription and in rights issue the shares may be under subscribed or over subscribed leading to prorata allotment.
(c) The price of public issue is generally less than the market price and in rights issue, the price is deliberately made less than the market price.
(d) In a pubic issue, the communication of the issue is through prospects or advertisements and in rights issue the communication is between the company and the existing members of the company.
Choose the correct answer from the options given below :
A
(b) only
B
(d) only
C
(a) and (c) only
D
(c) and (d) only
Question 45Single Answer
According to AS-2, Which of the following costs should be included in valuing the inventories of a manufacturing company ?
(a) Freight and insurance
(b) Carriage outwards
(c) Depreciation of factory plant
(d) General administrative overheads
Choose the correct answer from the options given below :
A
(a) and (d) only
B
(a), (b) and (d) only
C
(b) and (c) only
D
(a) and (c) only
Question 46Single Answer
Which of the following rules stands true while preparing schedule of changes in working capital ?
(a) An increase in current assets increases working capital.
(b) An increase in current assets decreases working capital.
(c) An increase in current liabilities decreases working capital.
(d) An increase in current liabilities increases working capital.
Choose the most appropriate answer from the options given below :
A
(a) and (c) only
B
(a) and (d) only
C
(b) and (d) only
D
(a),(b) and (c) only
Question 47Single Answer
Characteristics constituting the core of consumers rationality includes :
(a) Homogeneous expectations
(b) Non-satiation (c) Selfish motive
(d) Clarity of preferences
(e) Possession of information
Choose the correct answer from the options given below :
A
(a), (b) and (c) only
B
(b), (c) and (d) only
C
(a), (b), (c) and (d) only
D
(b), (c), (d) and (e) only
Question 48Single Answer
Why is an indifference curve convex to the origin ?
(a) Indifference curve slope downward to the right.
(b) Two commodities are imperfect substitutes.
(c) Declining marginal rate of substitution between commodities.
(d) Diminishing marginal utilities.
Choose the correct answer from the options given below :
A
(a) and (b) only
B
(b) and (c) only
C
(c) and (d) only
D
(a) and (d) only
Question 49Single Answer
Financial crises takes the form of :
(a) Currency crisis
(b) Banking crisis
(c) Systematic financial crisis
(d) Foreign debt crisis
Choose the correct answer from the options given below :
A
(a), (b), (c) only
B
(a), (b), (d) only
C
(b), (c), (d) only
D
(a), (b), (c), (d) only
Question 50Single Answer
Following are the problems that mar an optimal international diversification :
(a) Unfavourable exchange rate movements
(b) Frictions in international markets
(c) Manipulation of security prices
(d) Unequal access to information
Choose the most appropriate answer from the options given below :
A
(a), (b), (c) only
B
(b), (c), (d) only
C
(a), (c), (d) only
D
(a), (b), (c), (d) only
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Commerce
Question 51Single Answer
Which of the following statement is correct about Mann-Whitney U-test ?
(a) It is non parametric test.
(b) It requires that samples are independent.
(c) It can be used when populations involved are normally distributed.
(d) It is used to test the null hypothesis that the two populations are involved are identical.
(e) It is always a two tailed test.
Choose the correct answer from the options given below :
A
(a), (b), (d) only
B
(a), (c), (d) only
C
(a), (d), (e) only
D
(a), (b), (e) only
Question 52Single Answer
Which of the following are correctabout complementary events ?
(a) Mutually exclusive
(b) Independent
(c) Such that their probabilities add up to 1
(d) Collective exhaustive
Choose the most appropriate answer from the options given below :
A
(a), (b), (c) only
B
(a), (b), (d) only
C
(b), (c), (d) only
D
(a), (c), (d) only
Question 53Single Answer
Which of the following statements are correct about Chi Square test ?
(a) The only parameter of a Chi-Square distribution is its number of degrees of freedom.
(b) The null hypothesis in given Chi-Square test is rejected when calculated value of variable exceed its critical value.
(c) The rejection region in a goodness of fit test lies only in the right tail of the distribution.
(d) The Chi-Square test is a parametric test.
(e) At a =.05 and V =1 the critical value of x2 is equal to Z - value at the same level of significance.
Choose the most appropriate answer from the options given below :
A
(b), (d), (e) only
B
(a), (c), (e) only
C
(a), (b), (c) only
D
(b), (c), (d) only
Question 54Single Answer
The principles of management have the following distinct features :
(a) Flexibility
(b) Universal application
(c) Principals are relative, not absolute
(d) Based on situation
Choose the most appropriate answer from the options given below :
A
(a), (b) only
B
(b), (c) only
C
(a), (c), (d) only
D
(a), (b), (c), (d)
Question 55Single Answer
Use of interviews as a training needs assessment technique has the following advantages :
(a) Questions can be modified
(b) Easy to analyze
(c) Can explore unanticipated issues that come up
(d) Less time consuming
Choose the most appropriate answer from the options given below :
A
(a), (b) only
B
(b), (c) only
C
(a), (c) only
D
(b), (c), (d) only
Question 56Single Answer
The advantages of incentive payments are :
(a) Ease in the introduction of new machines
(b) Better utilization of equipment
(c) Reduced absenteeism and turnover
(d) Increased scrap
Choose the most appropriate answer from the options given below :
A
(a), (b) only
B
(b), (c) only
C
(b), (c), (d) only
D
(a), (b), (c) only
Question 57Single Answer
Which of the following forms may not result in credit risk ?
(a) Principal and/or interest amount may not be repaid in the case of direct lending.
(b) In case of guarantees or letter of credit, fund may not be forth coming from the constituents upon crystallization of the liability.
(c) Funds/Securities settlements may not be effected, in case of securities trading business.
(d) Provide information for determining adequacy of loan loss provision.
Choose the correct answer from the options given below :
A
(a), (b) and (c) only
B
(a), (c) and (d) only
C
(b) and (c) only
D
(d) only
Question 58Single Answer
Which of the following statements are false regarding electronic purse? Indicate the correct code :
(a) Retinal pattern verification
(b) Visual recognition
(c) No risk of bad payment
(d) Method of accepting payments with no cash float to manage and no risk of theft
Choose the correct answer from the options given below :
A
(a), (b) and (c) only
B
(b), (c) and (d) only
C
(a) and (b) only
D
(c) and (d) only
Question 59Single Answer
Which of the following statements are the defects of Indian Money Market ?
(a) Profitable investment
(b) Dichotomy in Indian Money Market
(c) Financing Industry
(d) Diversity in interest rates
Choose the correct answer from the given options given below :
A
(a), (b) and (c) only
B
(b) and (c) only
C
(a), (b) and (d) only
D
(b) and (d) only
Question 60Single Answer
Penetration pricing strategy delivers results :
(a) Where price quality association is weak
(b) When the product is perceived as a ‘high technology’ product
(c) When the market is characterized by intensive competition
(d) When the firm uses it as an entry strategy
Choose the most appropriate answer from the options given below :
A
(b), (c) only
B
(a), (d) only
C
(a), (c), (d) only
D
(a), (b), (c) only
Question 61Single Answer
Which of the following represents traditional logistics management approach ?
(a) Independent inventory management efforts.
(b) Minimise firm costs.
(c) Amountof information sharing and monitoring limited to current process.
(d) Small breadth of supplier base to increase coordination.
Choose the correct answer from the options given below :
A
(a), (b) only
B
(b), (c) only
C
(a), (c), (d) only
D
(b), (c), (d) only
Question 62Single Answer
Which of the following statements are false ? Indicate the correct code.
(a) No company has to file any prescribed declaration before commencement of business.
(b) A company can ratify the contract entered into by the promoters with third parties on behalf of the company before its formation.
(c) The date mentioned in the certificate for commencement of business is taken as the date of birth of a public company.
(d) A private company has to file a “Settlement in lieu of prospectus” with the registrar.
Choose the correct answer from the options given below :
A
(a), (b) and (d) only
B
(a) and (b) only
C
(b), (c) and (d) only
D
(c) and (d) only
Question 63Single Answer
Which of the following are not the objectives of competition act, 2002
(a) Ensure freedom of trade for other participants in incidental and connected markets.
(b) Provide a reasonable level of reliability and connect operation.
(c) Adhere to generally accepted security procedures.
(d) Protect the interests of consumers.
Choose the correct answer from the options given below :
A
(a), (c), (d) only
B
(b), (c), (d) only
C
(a), (c) only
D
(b) and (c) only
Question 64Single Answer
Which of the following persons cannot use ITR-4 ?
(a) Who is director of a company
(b) Who has held any unlisted equity shares
(c) Who has any asset located outside India
(d) A firm (other than LLP) if assessee is a Resident
(e) Who has income from other sources
Choose the most appropriate answer from the given below :
A
(a), (b), (c) only
B
(a), (b), (d) only
C
(b), (d), (e) only
D
(c), (d), (e) only
Question 65Single Answer
Which of the following losses are not deductible from business income ?
(a) Loss sustained before the business is commenced.
(b) Losses incurred in the closing down of the business.
(c) Loss incurred due to damage, destruction, etc., of capital assets.
(d) Loss of raw material and finished goods in transit.
(e) Loss of stock-in-trade due to enemy action.
Choose the correct answer from the options given below :
A
(a), (b), (c) only
B
(b), (c), (d) only
C
(a), (d), (e) only
D
(a), (b), (d) only
Question 66Single Answer
Match List-I with List-II :
List-I List-II
(InternationalTradeTheories)
(a) David Ricardo I. Theory of absolute (1817) advantage
(b) Michael Porter II.Factor endowment (1990) theory
(c) Adam Smith III. Theory of comparative (1776) advantage
(d) Heckscher IV. Theory of competitive (1919) – Ohlin advantage (1933)
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
I II III IV
B
III IV I II
C
IV III II I
D
III IV II I
Question 67Single Answer
Match List-I with List-II : List – I List-II
(Method) (Purchase consideration)
(a) Lump-sum I. Calculated by adding up the payment method total amount (money value) ofexisting shares, preference shares and cash received the from purchasing company for the shareholders of the vendor company.
(b) Net assets II. On the bases of ratio in method which the shares or the transferee company are to be exchanged for the shares of transferor company.
(c) Net payment III.The amount to be paid by Method the transferee company to transferor company for amalgamation of its business.
(d) Swap Ratio IV. Arrived at by adding them Method agreed value of assets taken over and deducting there fromagreed values of liabilities. Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
III II I IV
B
III IV I II
C
IV I II III
D
IV III II I
Question 68Single Answer
Match List-I with List-II :
List- I List-II
(Pricing Strategies) (Description)
(a) Ramsay pricing I. Setting a high price when a product is first introduced and gradually lowering price as it gains scale
(b) Price skimming II. Firm charges lower price (than the ongoing price) to gain market entry
(c) Cost plus pricing III. Price deviations from marginal cost should be inversely proportional to price elasticity of the product
(d) Penetration pricing IV. It is full cost pricing strategy that also includes mark up for target return, degree of competition, price elasticity and availability of substitutes.
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
III IV I II
B
II I III IV
C
III IIV II
D
I IV II III
Question 69Single Answer
Match List-I with List-II :
List-I List-II
(a) Market risk I. Associated with the Efficiency with which a firm conducts its operation within the environment imposed upon it.
(b) Financial risk II. Arises due to change operating conditions caused by conditions thrust upon the firm which are beyond its control.
(c) External business risk III. Variations in price sparked off due to real, social, political and economic events.
(d) Internal business risk IV. Associated with the structure of a firm.
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
I II III IV
B
III IV II I
C
III I II IV
D
IV III I II
Question 70Single Answer
Logically sequence the following in the process of entering international markets outlined in the Uppsala model.
(a) Sporadic (Ad hoc) exports
(b) Foreign production and manufacturing
(c) Establishing a foreign sales subsidiary
(d) Domestic operations and production
(e) Exporting via independent representative
Choose the correct answer from the options given below :
A
(a), (b),(c), (d) and (e)
B
(c), (b), (d), (a) and (e)
C
(d), (a), (e), (c) and (b)
D
(e), (b), (d), (c) and (a)
Question 71Single Answer
Match List-I with List-II :
List-I List-II
(Personality dimensions) (Individual Traits)
(a) Extroversion I. Calm, happy and secure
(b) Conscientiousness II. Talkative, Assertive, sociable and outgoing
(c) Emotional stability III.Creative, curious, intellectual,imaginve and artistically sensitive
(d) Openness to IV. Self-disciplined, experience hardworking, organised, dependable and persistent.
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
II` IV III I
B
II IV I III
C
III II I IV
D
IV I II III
Question 72Single Answer
Match List-I with List-II :
List-I List-II
(a) Insurance Act I. 1988
(b) Life Insurance II. 1963 Corporation Act
(c) Motor Vehicles III.1938 Act
(d) Marine IV. 1956 Insurance Act
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
IV III I II
B
I II III IV
C
III IV I II
D
IV III II I
Question 73Single Answer
Match List-I with List-II :
List-I List-II
(Books) (Author(s)
(a) Wealth of Nations, I. Thomas Malthus 1776
(b) Principles of Political II. Karl Marx Economy and Taxation,1817
(c) Principles of III. Adam Smith Population, 1798
(d) Das Capital, 1867 IV. David Ricardo
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
I III IV II
B
III IV I II
C
II III I IV
D
III I IV II
Question 74Single Answer
Match List-I with List-II :
List-I List-II
(a) Ordinary damages I. Never granted by way of compensation for the loss
(b) Special damages II. They are quite heavy in amount and are awarded by way of punishment only
(c) Exemplary III. Arise in the ordinary Damages course of events from the breach of contract
(d) Nominal damages IV. The constitute indirect loss suffered by the aggrieved party on account of contract
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
III IV II I
B
IV III II I
C
I II IV III
D
II I III IV
Question 75Single Answer
Match List-I with List-II :
List-I List-II
(a) Section 35(2AA) I. Payment made to certain institutions for scientific
(b) Section 35(1) (ii a) II. Payment made to certain institutions for research in social sciences.
(c) Section 35(1) (iii) III. Payment made to a company to be scientific Research.
(d) Section 35(1) (ii) IV. Payment made to Indian Institute of Technology for Scientific Research.
Choose the correct answer from the options given below :
A
(a) (b) (c) (d)
IV II III I
B
IV III II I
C
I II III IV
D
I II IV III
Question 76Single Answer
Sequence the following in increasing order of integration of member economies.
(a) Free Trade Area
(b) Economic Union
(c) Custom Union
(d) Preferential Trade Agreements
(e) Common Market
Choose the correct answer from the options given below :
A
(a), (c), (e), (b), (d)
B
(b), (e), (c), (a), (d)
C
(d), (a), (c), (e), (b)
D
(c), (e), (b), (d), (a)
Question 77Single Answer
The liquidator after realizing the assets of the company should distribute the proceeds among below mentioned claimants in the following order :
(a) Legal charges
(b) Liquidators remuneration and cost of expenses of winding up
(c) Workman’s dues and claims of the secured creditors
(d) Preferential creditors and creditors secured by floating charge
(e) Unsecured creditors
Choose the correct answer from the options given below :
A
(b), (c), (a), (d), (e)
B
(d), (c), (b), (a), (e)
C
(a), (b), (c), (b), (e)
D
(b), (c), (e), (a), (d)
Question 78Single Answer
Arrange the following market structures in the increasing order of pricing power in firms.
(a) Monopolistic competition
(b) Perfect competition
(c) Duopoly (d) Monopoly
(e) Oligopoly
Choose the correct answer from the options given below :
A
(b), (d), (a), (e), (c)
B
(b), (a), (e), (c), (d)
C
(a), (c), (b), (d), (e)
D
(d), (c), (e), (a), (b)
Question 79Single Answer
Arrange the following items, i.e., stages of capital budgeting in correct sequence :
(a) Identification of potential investment opportunities.
(b) Assembling of proposed investments.
(c) Decision making.
(d) Implementation and performance review.
(e) Preparation of capital budget and appropriations.
Choose the correct answer from the options given below :
A
(b), (a), (e), (c), (d)
B
(e), (c), (a), (b), (d)
C
(c), (e), (d), (b), (a)
D
(a), (b), (c), (e), (d)
Question 80Single Answer
Arrange the following stages of processing of data in a correct sequence :
(a) Coding
(b) Editing
(c) Tabulation
(d) Classification
(e) Using Percentages
Choose the correct answer from the options given below :
A
(a), (b), (c), (d), (e)
B
(d), (a), (b), (c), (e)
C
(c), (d), (a), (b), (e)
D
(b), (a), (d), (c), (e)
Question 81Single Answer
Arrange the following characteristics of stages of group development in the increasing order :
(a) Members begin to resolve differences and clarify the purpose of the group and the roles of group members.
(b) It includes recognition for participation and achievement.
(c) Members are highly task-oriented and there is unity in the group.
(d) Conflicts start arising due to the differences of opinion among members.
(e) Members are moderately eager, have positive expectations, anxious about why they are there, and who other members are.
Choose the correct answer from the options given below :
A
(e), (d), (a), (b), (c)
B
(d), (e), (c), (a), (b)
C
(e), (d), (a), (c), (b)
D
(d), (b), (a), (e), (c)
Question 82Single Answer
Arrange the following stepsin logical sequence of operation of the registration of portfolio managers :
(a) Prior approval of the SEBI.
(b) Adequate steps for redressal of investors grievances.
(c) Maintenance of the specified capital adequacy requirements.
(d) Payment of fee.
(e) Abide by the regulations under the SEBI Act.
Choose the correct answer from the options given below :
A
(c), (e), (a), (b), (d)
B
(d), (a), (b), (e), (c)
C
(a), (d), (b), (c), (e)
D
(d), (e), (a), (c), (b)
Question 83Single Answer
Arrange the following stages of consumer decision making process in a sequential order with regard to young person Divya :
(a) Looks for a specific colour and showroom delivery as she does not want to wait.
(b) Narrows down to a dark grey car of a specific brand.
(c) Belongs to an executive group and all her colleagues have their own vehicles.
(d) Uses media and other social channels to collect information about different models.
(e) Feels that fuel efficiency should be the most critical factor while making a choice.
Choose the correct answer from the options given below :
A
(a), (c), (b), (d), (e)
B
(c), (e), (d), (a), (b)
C
(c), (a), (d), (e), (b)
D
(e), (c), (a), (d), (b)
Question 84Single Answer
Arrange the following stages of formation of companies in a proper sequence :
(a) Promotion stage
(b) Raising of share capital stage
(c) Incorporation stage
(d) Commencement stage
(e) Selection of name
Choose the correct answer from the options given below :
A
(c), (a), (e), (d), (b)
B
(b), (e), (a), (c), (d)
C
(a), (e), (c), (b), (d)
D
(d), (a), (b), (c), (e)
Question 85Single Answer
Sequence the steps for computing gross annual value of income from house property :
(a) Find out the rent actually received of receivable after excluding unrealised, rent before deducting lose due to vacancy.
(b) Find out the loss because of vacancy.
(c) Find out the reasonable expected rent of the property.
(d) Find out the which one is the higher amount computed in (c) or (a). (e) (d) – (b) is gross annual value
Choose the correct answer from the options given below :
A
(c), (a), (d), (b), (e)
B
(d), (d), (c), (b), (e)
C
(d), (a), (c), (b), (e)
D
(a), (b), (c), (d), (e)
Question 86Single Answer
Given below are two statements :
Statements I : Deferred Tax Liabilities (Net) is the amount of tax on the temporary difference between the accounting income and taxable income. It arises when the accounting income is more than the taxable income.
Statements II : Deferred Tax Liabilities (Net) and Deferred Tax Assets (Net) are only book entries i.e., they are neither actual asset.
In the light of the above statements, choose thecorrect answer from the options given below :
A
Both Statement I and Statement II are true
B
Both Statement I and Statement II are false
C
Statement I is true, but Statement II is false
D
Statement I is false, but Statement II is true
Question 87Single Answer
Given below are two statements :
Statements I : Modified Internal rate of return is based on reinvestment assumption.
Statements II : Value-additivity principle is not applicable in NPV. In the light of the above statements,
Choose the most appropriate answer from the options given below :
A
Both Statement I and Statement II are correct
B
Both Statement I and Statement II are incorrect
C
Statement I is correct, but Statement II is incorrect
D
Statement I is incorrect, but Statement II is correct
Question 88Single Answer
Given below are two statements :
Statements I : Delegation is an interpersonal transactions based on behavior analysis.
Statements II : Delegation is an evolutionary and developmental process which needs encouragement and reinforcement.
In the light of the above statements, choose the most appropriate answer from the options given below :
A
Both Statement I and Statement II are correct
B
Both Statement I and Statement II are incorrect
C
Statement Iis correct, but Statement II is incorrect
D
Statement I is incorrect, but Statement II is correct
Question 89Single Answer
Given below are two statements :
Statements I : Only low priced products will sell in rural India.
Statements II : Rural consumers are a homogeneous lot.
In the light of the above statements, choose the most appropriate answer from the options given below :
A
Both Statement I and Statement II are correct
B
Both Statement I and Statement II are incorrect
C
Statement I is correct, but Statement II is incorrect
D
Statement I is incorrect, but Statement II is correct
Question 90Single Answer
Given below are two statements : One is labelled as Assertion (A) and the other is labelled as Reason (R).
Assertion (A) : ITR -1 can be used by an individual whose total income does not exceed Rs. 1 Crore.
Reason (R) : ITR -1 cannot be used by an individual who is director in a company.
In the light of the above statements, choose the most appropriate answer from the options given below :
A
Both (A) and (R) are correct and (R) is the correct explanation of (A)
B
Both (A) and (R) are correct, but (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
Question 91Single Answer
As per section 80G maximum deduction allowed for any cash donation is upto :
A
Rs. 1,000
B
Rs. 2,000
C
Rs. 5,000
D
Rs. 10,000
Question 92Single Answer
In Leontief production function, L is considered as :
A
Structural constraint in the production process
B
Degree of homogeneity
C
Binding constraint in the production process
D
Optimization constraint in the production process
Question 93Single Answer
EPRG framework in international Business refers to :
Which one of the following is not a major direct selling company in India ?
A
Eureka Forbes
B
Amway India Enterprises
C
Modicare
D
Hindustan Unilever Ltd
Question 95Single Answer
Which one of the following statements is ‘TRUE ‘inpartnership ?
A
In the absence of any provision deed, only a working partner is entitled to remuneration
B
Any firm which earns normal profit has no goodwill
C
The business of the firm must be carried on by all the partners
D
Interest on loan given by a partner to the firm shall be paid if there if are profits
Question 96Single Answer
In continuous compounding, the time it takes to double the sum grossly follow ‘Rule of 69’. If it is changed to discrete compounding the relevant rules of thumb is__________.
A
Rule of 69.3
B
Rule of 72
C
Rule of 84
D
Rule of 64
Question 97Single Answer
The ‘going concern concept’ is the underlying basis for :
A
Disclosing the market value of securities
B
Consolidating the accounts of subsidiary companies with those of parent company
C
Depreciating fixed assets over their useful lives
D
Disclosing the sales and other operating information in the income statement
Question 98Single Answer
‘Constraint Optimistaion’ is closer to which of the following objectives of business firms ?
A
Sales maximisation
B
Profit maximisation
C
Satisfying behaviour
D
Rent seeking behaviour
Question 99Single Answer
In a rising consumer income scenario, the preferred decision choice of business firm for low income elastic products will be__________.
A
Product promotion
B
Cost control
C
Product repositioning
D
Product improvement
Question 100Single Answer
If an estimated Cobb-Douglas production function is Q=10K0.6L0.8, what type of returns to scale does this production function indicate ?
A
Increasing returns
B
Decreasing returns
C
Constant returns
D
Negative returns
Question 101Single Answer
Companies Act is governed by
A
RBI
B
SEBI
C
Partnership Act
D
Ministry of Corporate Affairs
Question 102Single Answer
Own shares purchased by a company with a view to reduce its capital is called
A
sale
B
Purchase
C
buy-back
D
Private placement
Question 103Single Answer
A company in which there is only one member is called
A
one member company
B
one person company
C
single company
D
Individual company
Question 104Single Answer
Shares which have preferential rights are called
A
Equity share
B
Preference share
C
Debenture
D
Bond
Question 105Single Answer
Which of the following is the registered capital of the company ?
A
Nominal capital
B
Authorised capital
C
Share capital
D
Both (a) and (b)
Question 106Single Answer
Capital which is called only at the time of winding-up of the company is called
A
Capital reserve
B
Reserve capital
C
Secure capital
D
Authorised capital
Question 107Single Answer
Which kind of preference share entitIes its holders to receive arrear of dividends of previous years ?
A
Cumulative preference share
B
Non-cumulative preference share
C
Convertible preference share
D
Non-convertible dividend share
Question 108Single Answer
Which document is an invitation offer to public to subscribe for company’s share ?
A
Red herring prospectus
B
Prospectus
C
In lieu of prospectus
D
None of the above
Question 109Single Answer
The balance of share forfeiture account can be used to
A
Provide for discount given at the time of reissue
B
Write-off preliminary expenses
C
Write-off bad debts
D
None of the above
Question 110Single Answer
A company issued 25,000 shares and received applications for 35,000 shares. Company wants to allot shares to everyone who has applied. What will be the ratio for allotment ?
A
6 : 7
B
7: 5
C
5 : 7
D
7 : 6
Question 111Single Answer
A company issued 10,000 shares of Rs10 each. Amount is payable as Rs 2 on application, Rs 5 on allotment and Rs 3 on first and final call. A shareholder who had 1,000 shares failed to pay allotment and first call amount on due date. After a month, he paid the due amount. What will be the amount received by company against issue of shares ?
A
Rs 92,000
B
Rs 90,000
C
Rs 1,00,000
D
Rs 8,000
Question 112Single Answer
Nominal share capital is
A
That part of the authorised capital which is issued by the company
B
The amount of capital which is actually applied for by the prospective shareholders
C
The maximum amount of share capital which a company is authorised to issue
D
The amount actually paid by the shareholders
Question 113Single Answer
Money received in advance from shareholders before it is actually called-up by the directors is
A
Mebited to calls-in-advance account
B
Credited to calls-in-advance account
C
Debited to calls account
D
None of the above
Question 114Single Answer
Shares can be forfeited
A
For non-payment of call money
B
For failure to attend meetings.
C
For failure to repay the loan to the bank
D
For which shares are pledged as a security.
Question 115Single Answer
The profit on reissue of forfeited shares is transferred to
A
General reserve
B
Capital redemption reserve
C
Capital reserve
D
Revenue reserve
Question 116Single Answer
Balance of share forfeiture account is shown in the balance sheet under the item
A
Current liabilities and provisions
B
Reserves and surpluses
C
Share capital
D
Unsecured loans
Question 117Single Answer
Amox Ltd. is registered with a capital of 10,00,000 equity shares of Rs 10 each. 6,00,000 equity shares were offered for subscription to public. Applications were received for 6,00,000 shares. All calls were made and amount was duly received except final call of Rs 2 on 80,000 shares.What Will will be the amount of share capital shown in the balance sheet ?
A
Rs 60,00,000
B
Rs 58,40,000
C
Rs 5,84,000
D
Rs 6,00,000
Question 118Single Answer
Which amongst the following shares conter voting rights on its holders ?
A
Equity shares
B
Redeemable preference shares
C
Participatory preference shares
D
None of the above
Question 119Single Answer
Amount payable on shares can be received in installments by the company. What is the first installment called ?
A
Application money
B
Allotment money
C
First call money
D
Second call money
Question 120Single Answer
Total capital specified in capital clause is Rs 50,00,000 which is divided in 35,000 equity shares of Rs 100 each and 15,000, 10% preference shares of Rs100 each. The company issued 10,000 equity shares and 5,000 preference shares. The public subscribed for 9,000 equity shares and 4,500 preference shares out of the issued shares. What will be the subscribed capital amount ?
A
Rs 50,00.000
B
Rs 50,000
C
Rs 9,00,000
D
Rs 13,50,000
Question 121Single Answer
Akash Ltd. registered capital is Rs 50,00,000 in shares of Rs 10 each.The company issued 2,00,000 of such shares, payable @ Rs 3 per share on allotment. What will be the amount due on allotment, if shareholder holding 20,000 shares paid all call money at the time of allotment only ?
A
Rs 4,00,000
B
Rs 6,00,000
C
Rs 60,000
D
Rs 1,50,000
Question 122Single Answer
The subscribed share capital of XYZ Ltd. is 80.00.000 divided in shares of Rs 100 each. There were no calls-in-arrears till the final call was made. The final call was paid on 77,500 shares. The calls-in-arrears amounted to Rs 62,500. Calculate the final call per share.
A
Rs 20
B
Rs 30
C
Rs 25
D
Rs 35
Question 123Single Answer
Shares for consideration other than cash can be issued at
A
Par
B
Premium
C
Discount
D
Both (a) and (b)
Question 124Single Answer
Neton Ltd. has in its memorandum of association.Capital clause stating that it is formed with 75,000 equity shares of Rs 100 each. The company has issued the entire shares and the public has also subscribed and paid-up for the full amount on application itself. What will be the subscribed capital Rs
A
Rs 75,00,000
B
Rs 10,00,000
C
Rs 1,00,000
D
Rs 7,50,000
Question 125Single Answer
Shareholders receive ......... from the company as a benefit against their investment.
A
Interest
B
Commission
C
Profit
D
Dividend
Question 126Single Answer
If the purchase consideration is more than net worth, then which account will be debited for the difference amount ?
A
Capital Reserve A/c
B
Asset A/c
C
Goodwill A/c
D
Vendor A/c
Question 127Single Answer
Singh who was allotted 200 equity share of Rs 20 each by a ’company, failed to pay Rs 8 each on final call. Shares were re-issued to Kumar at Rs 20 each. What will be the journal entry on re-issue ?
A
Bank A/c Dr 4000
To Equity Share Capital A/c 4000
B
Equity Share Capital A/c Dr 4000
To Bank A/c 4000
C
Bank A/c Dr 4000
To Share Forfeiture A/c 4000
D
Share Forfeiture A/c Dr 4000
To Bank A/c 4000
Question 128Single Answer
Issued 10,000 shares of Rs 100 each to the Narayan Ltd. @10% premium and paid Rs 2,00,000 in cash for a consideration of running business purchased. Journalise this transaction .
A
Narayan Ltd. Dr 13,00,000
To Share Capital A/c 10,00,000
To Securities Premium Reserve A/c 1,00,000
To Cash A/c 2,00,000
B
Narayan Ltd. Dr 13,00,000
To Share Capital A/c 13,00,000
C
Narayan Ltd. Dr 13,00,000
To Cash A/c 13,00,000
D
Share Capital A/c Dr 100000
Securities Premium Reserve A/c Dr 1,00,000
Cash A/c Dr 2,00,000
To Narayan Ltd. 1300000
Question 129Single Answer
Pass the journal entry for amount of first call, Rs 90,000 received after deducting calls-in-arrears of Rs 6,000 .
A
Bank A/c Dr 90,000
Calls-in.arrears A/c Dr 6,000
To Share First Call A/c 96,000
B
Share First Call A/c Dr 96,000
To Bank A/c 90000
To Calls-in-arrears A/c 6000
C
Bank A/c Dr 96,000
To Share First Call A/c 96000
D
None of the above
Question 130Single Answer
Which of the following is main source of income of non-profit organisation ?
A
Sale of old books
B
Sale of old furniture
C
Received subscription
D
Business
Question 131Single Answer
There are 500 members in Diamond Club, paying an annual subscription of Rs 50 each. Subscription received during the year Rs 20,000 including Rs 2,000 for next year. Calculate amount to be shown as outstanding subscription.
A
Rs 7,000
B
Rs 5,000
C
Rs 25,000
D
Rs 18,000
Question 132Single Answer
Donation can be
A
General donation
B
Specific donation
C
Both (a) and (b)
D
None of these
Question 133Single Answer
In the final account of non-profit organisation, closing balance of cash will be recorded in
A
Receipt and payment account only
B
Balance sheet only
C
Income and expenditure account
D
Receipt and payment account and balance sheet both
Question 134Single Answer
In the absence of any specific information, entrance fees may be treated as
A
Revenue receipt
B
Capital receipt
C
Non-cash receipt
D
Deferred receipt
Question 135Single Answer
Consider the following statements
I. Income and expenditure records both capital and revenue items.
II. Receipt and payment account records only revenue items during the year.
Choose the correct option
A
Both are incorrect
B
Both are correct
C
Only (i) is correct
D
Only (ii) is correct
Question 136Single Answer
Find the cost of medicines consumed, if Opening stock of medicines Rs 30,000 Purchases during the year Rs 50,000 Closing stock Rs 20,000
A
Rs 80,000
B
Rs 60,000
C
Rs 50,000
D
Rs 40,000
Question 137Single Answer
For the year ending 31st March, 2022, the following entries appeared related to subscription received
2020-21 5,000
2021-22 96,000
2022-23 10,400
The club has 300 members, paying annual subscription of Rs 400 each. Subscription outstanding on 31st March, 2021 was Rs 8,000. Calcu late the amount of subscription to be shown in the income and expenditure account ?
A
Rs 96,000
B
Rs 1,11,400
C
Rs 1,20,000
D
Rs 91,000
Question 138Single Answer
What amount of rent will be transferred to debit side of income and expenditure account, if rent paid during the year was Rs 70,000, rent outstanding at the end of the year Rs 6,000 and rent outstanding at the beginning of the year Rs 8,000 ?
A
Rs 60,000
B
Rs 68,000
C
Rs 70,000
D
Rs 72,000
Question 139Single Answer
On 15th April, 2021, assets of Ashish club was as follows
Assets : Land and building Rs 1,00,000, Cash in hand Rs 30,000, Furniture Rs 65,000, Subscription receivable Rs 30,000 .
Liabilities : Bank overdraft Rs 1,25,000, Outstanding salaries Rs 15,000.Capital fund as on 1st April, 2021 will be
A
Rs 85,000
B
Rs 75,000
C
Rs 1,10,000
D
Rs 8,000
Question 140Single Answer
Consider the following information Sports fund investment Rs 70,000
Donation for sports fund Rs 15,000 Sports prizes awarded Rs 10,000
Expenses on sports events Rs 8,000 Income from sports fund investment Rs 5,000 Calculate amount of sport fund that will be shown in liability side of balance sheet.
A
Rs 40,000
B
Rs 38,000
C
Rs 45,000
D
Rs 72,000
Question 141Single Answer
Calculate the amount of locker rent to be transferred to income and expenditure account .
Particulars 31st March, 2021 (Rs) 31st March, 2022 (Rs)
Outstanding Locker Rent 9,200 12,600
Advance Locker Rent 6,000 8,000
Locker rent received during the year 2021-22, Rs. 64,000 .
A
Rs 65,400
B
Rs 66,500
C
Rs 66,000
D
Rs 73,000
Question 142Single Answer
Opening balance of prize fund was Rs 16,400. During the year, donations received towards this fund amounted to Rs 7,700, while amount spent on prizes was Rs 6,150 and interest received on prize fund investment was Rs 2,000. The closing balance of prize fund will be
A
Rs 28,250
B
Rs 32,250
C
Rs 19,950
D
Rs 15,950
Question 143Single Answer
Capital fund in non-profit organisation will be
A
Total Assets - Total Liabilities
B
Total Assets - External Liabilities
C
Total Assets - internal Liabilities
D
Total Fund - Total External Liabilities
Question 144Single Answer
Receipt and payment account is the summary of
A
Bank balance
B
Capital account
C
Cash hook
D
Income and expenditure account
Question 145Single Answer
The amount of subscriptions received in advance shown in
A
liabilities side
B
Assets side of balance sheet
C
payments side of receipts and payments account
D
None of the above
Question 146Single Answer
Receipt and payment account generally shows
A
A debit balance
B
A credit balance
C
Surplus and deficit.
D
Capital fund
Question 147Single Answer
Item that should be debited in the income and expenditure account of a college is
A
Tuition fees received from students
B
Equipment purchased for science laboratory
C
Amount of reward
D
Fines collected from students
Question 148Single Answer
Receipt and payment account shows
A
Income and expenditure
B
Profit and loss
C
Saving and deficit
D
Cash receipts and payments
Question 149Single Answer
Funds raised by non-profit organisation for its operation are credited to
A
Capital Fund of NPO
B
General fund of NPO
C
Reserve Fund of Bank
D
Both (a) and (b)
Question 150Single Answer
Which of the following cannot be recorded in the receipt and payment account of a club ?