Pyqs 2020
Pyqs 2020
Pyqs 2020
in 8146207241
SECTION: - QUANT
Directions (Q. 1 – 5): Find the wrong term in the following Series
Q1. 23 46 74 106 143 184 229
A. 74
B. 229
C. 106
D. 143
E. 184
Q6. In a 180ml mixture of milk and water, water is 40% of the mixture then How much
water should be added so that water becomes 60% of the mixture?
A. 70 ml
B. 65ml
Q7. By selling a certain article a shopkeeper allows a discount of 35% and still makes a
profit of 30%. Then his MRP is what % of CP?
A. 100%
B. 130%
C. 165%
D. 200%
E. 250%
Q8. A Van covers 40km in 2 hours and a car’s speed is 25km more than Van. Then find the
time taken by car to cover a distance of 585km?
A. 11hrs
B. 10hrs
C. 13hrs
D. 12.5hrs
E. 11.5hrs
Q9. 12 men and 10 women together can finish a piece of work in 8 days while 8men and 9
women together finishes the same piece of work in 10 days. Then find the time taken by
16men and 8women together to finishes same piece of work?
A. 60/9 days
B. 50/9 days
C. 70/9 days
D. 30/7 days
E. 40/9 days
Q10. Difference between speed of a boat in still water and rate of current is 12km/h. And
the respective ratio between speed of boat in downstream and upstream is 9:4. Then the
distance covered by Boat in downstream in 5hrs is?
A. 120km
B. 125km
C. 130km
D. 135km
E. 140km
Q11. Sum of the ages of Ram and Kiran is 75 years while the difference between Hema’s
age and Kiran’s age is 10 years. After 4 years Hema’s age will be half that of Ramesh’s age,
then find the present age of Kiran?
A. 17yrs
Q12. Average weight of A, B and C is 38kg while average weight of A and B is 25kg. Average
weight of B and D is 28kg while ratio between D and C weight is 1:4, Then find the sum of
weight of all four (A, B, C and D)
A. 120kg
B. 128kg
C. 132kg
D. 136kg
E. 130kg
Q.13) A man bought 50 bananas and sells 30 of them at a profit of 10rs. Per banana and
remaining in rs.1500 still makes a profit of 40% to the overall. Find the cost price of each
banana?
A. Rs. 45
B. Rs. 55
C. Rs. 42
D. Rs. 35
E. Rs. 25
Direction (14 – 19): Read the following information carefully and answer the questions
based on it.
Three are three types of buses Normal (A and B), Luxury (P and Q) and Volvo (M). Each bus
has two classes – Sleeper and General class. The ratio of number of Seats in Sleeper class and
general class of bus A is in 3:2 and the number of seats in a general class of bus B is 57(1/7)%
more than the sleeper class of same Bus. Number of seats in the sleeper class of Bus P is 25
less than that of Bus B. Number of seats in the General class and the Sleeper class of Bus P is
the same. Number of seats in the general class of bus Q is 50% of seats in the sleeper class of
the same Bus. Ratio of the number of seats in the sleeper class of Bus B and that of Bus Q is
in the ratio of 5:12 respectively. Ratio of the number of seats in the General class and Sleeper
class of Bus M is in the ratio of 65:39 respectively. Total seats in Sleeper class and general
class of bus Q and M together is 615 and 535 respectively. Total number of seats in the sleeper
class of buses A and B together is 415.
Q14. If 45% of seats in Sleeper class and 60% of seats of the general class of bus Q is occupied
by male passengers and the rest seats are occupied by female passengers, then find the
total number of female passengers in Bus Q. (Only one person is allowed to sit on one seat).
A. 325
B. 295
C. 315
Q15. If 40% of seats in sleeper class of normal buses in occupied by male passengers and
33.33% of seats in general classes of normal buses are occupied by female passengers. If
the price of one male passenger is Rs. 69 and of female passengers Rs. 24, then find the
total revenue generated by normal buses if the buses are fully occupied?
A. Rs. 40920
B. Rs. 40720
C. Rs. 40820
D. Rs. 40520
E. None of these
Q16. If there is another bus N, having seats 65% more than that of bus M, and the ratio of
number of seats in sleeper class and in general class in bus N is 6:7 respectively. Find the
number of seats in general class of bus N.
A. 472
B. 462
C. 492
D. 482
E. None of these
Q17. Find the average number of seats in the general class of all buses together?
A. 234
B. 214
C. 204
D. 244
E. None of these
Q18. Find the difference between the number of seats in the sleeper class of bus A and bus
M?
A. 55
B. 65
C. 85
D. 45
E. None of these
Q19. Find the total number of seats in bus B is how much % more or less than that of bus
P?
A. 50%
B. 66.66%
C. 75%
D. 25%
E. None of these
SECTION: - REASONING
Directions (21-22): Study the following information carefully to answer the given
questions.
Point B is 12 m South of Point A. Point C is 24 m East of Point B. Point D is 8 m South of Point
C. Point D is 12 m East of Point E and Point F is 8 m North of Point E.
Q21. If a man has to travel to Point E from Point A (through these points by the shortest
distance), which of the following points will be pass through first?
A. Point C
B. Point D
C. Point F
D. Point B
E. None of these
Q22. If a man is standing facing North at Point C, how far and in which direction is Point
F?
A. 12 m, West
B. 24 m, East
C. 12 m, East
D. 24 m, West
E. None of these
Directions (23-24): Do as directed in each of the following questions.
Q23. Twenty percent of all energy consumed in the country is consumed by home
appliances. If appliances that are twice as energy-efficient as those currently available are
produced, this figure will eventually be reduced to about ten percent.
The argument above requires which of the following assumptions?
Directions (25-29): Study the following information carefully and answer the questions
given below:
There are six members V, U, T, A, B, C in a family, among them only two are married couple.
All of them have liking different numbers i.e. 10, 11, 12, 16, 14, 21 (but not necessarily in the
same order).
V, U and T are seated in a circle facing the centre. A, B and C are also seated in the same circle
but two of them are not facing the centre (facing opposite direction of the centre).11 number
is liked by B. V who is son-in-law of C is second to the left of A’s husband. B who has only one
child and B’s child is youngest in the family, sits second to the right of A. C, his daughter is B
who sits third to the left of T who is immediate neighbour of C. T likes the number which is
perfect square. A sits immediate left of V but not an immediate neighbour of C. V and T are
siblings. A is grandmother of U. only 2 females in a family. The one who is youngest in the
family likes 12. The number, A likes is less than 12. The number which is liked by V is 11 more
than the number which is liked by A.
Q27. Which of the following is the combination of female members in the family?
A. The one who likes 11 and the one who likes 10
B. The one who likes 12 and the one who likes 10
C. The one who likes 11 and the one who likes 21
D. The one who likes 14 and the one who likes 16
E. Cannot be determined
Directions (30-34): Study the following information carefully and answer the below
questions
Seven persons i.e. M, N, O, P, Q, R and S are living in a seven storey building with seven
different floors such that the ground floor is numbered as 1, the floor just above the ground
floor is numbered as 2 and so on till the topmost floor is numbered as 7. They all go to
different countries i.e. Italy, China, London, Sri Lanka, Austria, India and Japan. All the
information is not necessarily in the same order. M neither goes to Sri Lanka nor lives just
above O’s floor. P lives below R. N goes to London and lives on floor number 3. Three persons
live between the one who goes to India and the one who goes to China. S is from Italy and
lives on a floor adjacent to Q’s floor. The one who goes to India lives on an even numbered
floor. Two persons live between the floors on which the person who goes to Japan and the
person who goes to Sri Lanka live. Q neither goes to Japan nor goes to Sri Lanka. O is from
Japan and lives above the one who goes to China. O doesn’t live on the topmost floor. The
person who goes to London lives on a floor below the person who goes to Sri Lanka and Japan.
Q doesn’t live adjacent to the one who belongs to Sri Lanka and Japan.
Q31. Four of the following five are alike in a certain way and thus form a group. Which
among the following doesn’t belong to the group?
A. P- Sri Lanka
B. O- India
C. N-Austria
D. Q-Japan
E. M- India
Direction (35-38): In the question below are given some statements followed by some
conclusions. You have to take the given statements to be true even if they seem to be in
variance with commonly known facts. Read all the conclusions and then decide which of
the given conclusions logically follows from the given statements disregarding commonly
known facts.
Q35.
Statements: Only a few flower is fruit.
No fruit is food.
All food is vegetable.
Conclusions: I. All fruit being flower is a possibility.
II. No fruit are vegetable.
Q36.
Statements: Only a few Actor is Actress.
No Actress is Person.
Some Person is Villain.
Conclusions: I. All Villain Being Actress is a possibility.
II. Some Actress not being Actor is a possibility
Q37.
Statements: All leaf is root.
Only a few root is branch.
No branch is tree.
Conclusions: I. Some leaf is branch.
II. Some tree are not root.
Q38.
Statements: Only a few black is red.
Some red is yellow.
Some yellow is orange.
Conclusions: I. No orange is red.
II. Some red not being black is a possibility.
A. Only conclusion I follows.
B. Only conclusion II follows.
C. Both conclusion I and II follow.
D. Neither conclusion I nor conclusion II follows
E. None of the above.
Q41. He spoke with the fervour of discovery, unaware that he was reinventing the wheel.
A. Wasting time
B. Construct a wheel
C. Repeating thoughts
D. Growing continuously
E. None of these
Q44. When he heard the bad news, he kept a stiff upper lip.
A. Stoic demeanour
B. Emotional outburst
C. Physical injury
D. Agitated state
E. None of the above
(Directions 45-49): Rearrange the following six sentences A, B, C, D, E, and F in the proper
sequence to form a meaningful paragraph and then answer the question given beside.
A. In dualistic thinking, students typically tend to depend on figures of authority as
benchmarks on what is right or wrong rather than analyzing facts.
B. An understanding and realization of this model could enable students to develop
intellectually beyond the level.
C. His concept of dualistic thinking in his model of intellectual development involving nine
levels, published in 1970.
D. Perry’s model today remains part of college teaching systems in many western contexts.
E. William G. Perrywas a well-known educational psychologist who studied the cognitive
development of students during their college years.
F. Dualism refers to the first level of intellectual capacity, to understand good and evil in black
and white, sans intervening shades.
Q45. Which of the following would be the FOURTH sentence after rearrangement?
A. E
B. F
C. D
Q46. Which of the following would be the LAST sentence after rearrangement?
A. E
B. D
C. F
D. C
E. A
Q47. Which of the following would be the FIRST sentence after rearrangement?
A. A
B. C
C. F
D. E
E. D
Q48. Which of the following would be the SECOND sentence after rearrangement?
A. B
B. F
C. C
D. D
E. E
Q49. Which of the following would be the THIRD sentence after rearrangement?
A. F
B. A
C. C
D. E
E. B
Direction (51-52): In the following questions, two related sentences I and II are
given. There may be an error in the sentence(s). You have to find the error and then
select the correct option from those given after the sentences.
Q51. I. Yellowstone National Park is the oldest national park in the US and likely the world.
II. Anyone can drive through the park and encounter an array of wildlife a few feet away.
A. If there is an error only in the first sentence.
B. If there is an error only in the second sentence.
C. If there are errors in both sentences
D. If there is an error in either of the sentences
E. If there is no error in either of the sentences
Q52. I. The Amazon River is the artery for the largest rainforest in the world.
II. It is the largest river in the world by discharge and one of the larger one by length.
A. If there is an error only in the first sentence.
B. If there is an error only in the second sentence.
C. If there are errors in both sentences
D. If there is an error in either of the sentences
E. If there is no error in either of the sentences
Q54. Alcohol-induced liver damage is a growing epidemic, especially in Kerala where aberrant
lifestyle changes are being _________ at a rapid rate as compared to rest of India.
A. Exhume
B. Entwined
C. Tangible
D. Imbibed
E. Foresight
Q55. Delhi is the _________ example of a city that has neglected its environment and needs
a fundamental policy change incorporating environmental preservation within the economic
goals so as to shift the mindset of Indian society.
A. Quintessential
B. Banal
C. Flawed
D. Primitive
E. Spirit
Directions (56-60): Read the passage given below and answer the questions that follow.
Energy sector is dominated by traditional energy sources, comprising primarily of oil, gas and
coal. These constitute about 85 per cent of India’s total energy consumption, followed by
renewable energy, which takes care of about 13 per cent of the pie. This trend is fast changing,
as government is shifting its focus from traditional sources to cleaner and renewable sources
of energy.
In a bid to reduce emissions, the Supreme Court had banned the sale and registration of non
BS-IV compliant vehicles with effect from 1 April 2017. The government has been encouraging
development of electric vehicles (EVS) for the Indian market. This paradigm shift towards
Q57. Choose the word/group of words which is MOST SIMILAR in meaning to the word/group
of words printed in bold as used in the passage.
Bleak
A. Cheerful
B. Appealing
C. Warm
D. Austere
E. Vivacious
Q58. What recent changes have been observed in India’s power sector?
I. In terms of capacity addition, increase in addition at a decreasing rate has been seen in
renewable energy space.
II. Government has been actively promoting cleaner energy, such as wind, solar and
hydropower.
III. Tariffs for wind and solar energy are still prohibitively high and would take some time
before being able to compete with thermal power effectively.
A. Only I
B. Only II
C. Only I and II
D. Only II and III
E. None of the above
Q59. Which of the following, if true, could give a fillip to EVS in India?
I. Power tariffs decrease owing to increase in power generation capacity.
II. The government provides subsidies on clean energy and taxes conventional fuels.
III. Spreading awareness about the advantages EVS have over non-EVS.
A. Only I
B. Only II
C. Only III
Q60. Which of the following is/are true with reference to the passage?
I. Energy sector is dominated by traditional non renewable energy sources.
II. Shift towards Electric vehicles will lead to more consumption of oil and gas in the long run.
III. Reduction in the use of oil and gas will lessen India’s imports and improve fiscal numbers.
A. Only I
B. Only II
C. Only I and III
D. Only II and III
E. All of the above
Q62. Chacha Chaudhari has been recently roped in as the brand ambassador of which of the
following initiatives of the Govt of India, in month of Nov 2020?
A. SC and ST students
B. NRI students
C. Differently abled people
D. Women working in SHGs
E. All of the above
Q63. The Pension Fund Regulatory and Development Authority (PFRDA), has increased the
minimum net worth criterion for pension fund managers to ₹ ______ from ₹25 crore, in the
month of Feb 2020.
A. 35 crore
B. 45 crore
C. 60 crore
Q64. Which of the following International organizations has announced the launch of (in
the month of December 2020) International Prize in the field of “creative economy” in the
name of Bangabandhu Sheikh Mujibur Rahman?
A. UNDP
B. UNESCO
C. UNEP
D. World Bank
E. IMF
Q65. President Ram Nath Kovind has recently launched a book titled “Pioneer of Humanity:
Maharshi Arvind”, in the month of Dec 2020. It is authored by which of the following
Ministers of the Central Govt?
A. Rajnath Singh
B. Nirmala Sitharaman
C. Amit Shah
D. Ramesh Pokhrial Nishank
E. Nitin Gadkari
Q66. SDGs are the global goals to be achieved by which of the following years?
A. 2040
B. 2030
C. 2025
D. 2050
E. 2022
Q67. Recently in the month of Nov 2020, Sonu Sood has been appointed the State Icon of
which of the following states by the Election Commission of India (ECI)?
A. Punjab
B. Maharashtra
C. Haryana
D. Gujarat
E. Karnataka
Q68. Which of the following has become the first UT in country to operationalize Public
Financial Management System (PFMS) at the district level, in the month of Oct 2020?
A. Chandigarh
B. Jammu & Kashmir
Q69. Recently in the month of Oct 2020, which of the following companies has announced
its target of 100% renewable electricity across all company owned and controlled
operations by the year 2030?
A. Parle Agro
B. PepsiCo
C. Britannia
D. Hindustan Unilever ltd.
E. None of these
Q70. Union Minister of Science and Technology Dr. Harsh Vardhan has inaugurated India’s
Highest Meteorological (Met) Centre at which of the following places, in the month of Dec
2020?
A. Gangtok
B. Srinagar
C. Mandi
D. Aizawl
E. Leh
Q71. Ladakh Buddhist Association has recently (in Dec 2020) celebrated _________ festival
in Leh to mark the beginning of New Year of Buddhist Community?
A. Losar
B. Pang Lhabsol
C. Saga Dawa
D. International Flower Festival
E. Cherry Blossom festival
Q72. The Reserve Bank of India (RBI) has proposed to introduce LCR for Non-Banking
Financial Companies (NBFCs) with an asset size of Rs 5,000 crore and above, in the year
2019. What does “C” stand for in the acronym LCR?
A. Coverage
B. Convertible
C. Capital
D. Company
E. Convergence
Q73. Name the Mission that has been recently launched by the Government, in the month
of Dec 2020, to promote the quality of products being manufactured in the country?
Q74. Who among the following has been appointed as the deputy election commissioner in
the Election Commission of India, in the month of Jan 2021?
A. Rajiv Gauba
B. Ajay Bhushan Pandey
C. Umesh Sinha
D. Piyush Goyal
E. None of the above
Q75. Recently in Dec 2020, BSE has launched an electronic spot platform for agricultural
commodities through its subsidiary BSE Investments. Name of the platform is?
A. BSEX
B. PILLAR
C. AGRIDEX
D. INVIDEX
E. BEAMS
Q76. The first lithium refinery of India will soon be set up in the state of ______ to boost
the nation's efforts towards electrification of transport, announced in Dec 2020.
A. Rajasthan
B. Jharkhand
C. Maharashtra
D. Chhattisgarh
E. Gujarat
Q77. In India, the National Consumer Day is observed every year on which day to spread
awareness to about consumer importance, their rights, and responsibilities?
A. Jan 24th
B. Oct 2nd
C. Dec 24th
D. Nov 14th
E. Nov 25th
Q78. Which of the following organizations has released Rule for dividend distribution in
mutual funds, that will come into effect from Jan 2021?
Q79. Fashion designer Pierre Cardin, who revolutionised fashion in the early 1950s, has
recently passed away at the age of 98, in the month of Dec 2020. He belonged to which of
the following countries?
A. Germany
B. USA
C. France
D. Canada
E. Australia
A. to match the aptitude of individuals to the demand in the work environment and
increase work efficiency of existing daily wage earners by providing them monetary
rewards and quality training.
B. To provide high quality teaching to the Postgraduate students and produce
Postgraduates with research aptitude and knowledge in the subjects of Modern Science.
C. to benefit the minority youths who do not have a formal school leaving certificate in
order to provide them formal education and skills.
D. Both b & c
E. All of the above
Options:
(a) Market
(b) Price
(c) People
(d) Both A and B
(e) None of the above
Explanation:
The demand curve is downward sloping, indicating the negative relationship between the
price of a product and the quantity demanded.
The demand curve slopes downwards because as we lower the price of x, the demanded
starts growing. At a lower price, purchasers have an extra income to spend on buying the
same good, so they can buy greater of it. This ends in an inverse relationship between price
and demand.
Explanation:
The inverse relationship between unemployment rate and inflation when graphically
charted is called the Phillips curve. William Phillips pioneered the concept first in his paper
"The Relation between Unemployment and the Rate of Change of Money Wage Rates in
the United Kingdom, 1861-1957,' in 1958.
Q.3) From the following, select the correct phase of business cycle.
Explanation:
3|Page www.edutap.co.in Query? [email protected] 8146207241
The correct phase of a business cycle is Expansion, Recession, Trough, Recovery
The Nifty Option Contract has 75 shares per lot. A person bought a call option on Nifty
for 10 lots. The premium per share was Rs 50. He exited the option contract when the
premium per share was Rs 80. In the whole transaction his total expenses were Rs 225.
(a) Rs 22500
(b) Rs 22275
(c) Rs 22050
(d) Rs 22000
(e) None of Above
Explanation:
Q.5) If a hotel provides complimentary breakfast to its guests, then what kind of supply
is this in the context of GST?
a) Composite Supply
4|Page www.edutap.co.in Query? [email protected] 8146207241
b) Mixed Supply
c) Exempt Supply
d) No Supply
e) None of the above
Explanation:
Composite supply consists of two or more goods/services, which is naturally supplied with
each other in the ordinary course of business and one of them is a principal supply. The
items cannot be supplied separately.
Note: Principal supply means the supply of goods or services, which constitute the
predominant element of a composite supply and to which another supply is
ancillary/secondary.
a) Board of Directors
b) CAG
c) Central Government
d) SEBI
e) None of the above
NOTE: This question has no relevance. This question is a part of Section 233A of the
Companies Act, 1956. There is no mentioning of Special Audit or Special Auditor under the
Companies Act, 2013.
https://www.mca.gov.in/Ministry/pdf/Companies_Act_1956_13jun2011.pdf
Explanation:
A cash budget is a company's estimation of cash inflows and outflows over a specific period
of time, which can be weekly, monthly, quarterly, or annually. A company will use a cash
budget to determine whether it has sufficient cash to continue operating over the given
time frame.
The cash budget represents a detailed plan of future cash flows and is composed of four
elements: cash receipts, cash disbursements, net change in cash for the period, and new
financing needed.
Q.8) The Auditor can be removed before expiry of his term by which of the following?
Explanation:
Section 140 of the Act permits removal of auditor before completion of his term and
contains procedure for the same. As per sub-section (1) of section 140, the auditor
appointed under section 139 may be removed from his office before the expiry of his term
only by a special resolution of the company, after obtaining the previous approval of the
Central Government in that behalf.
Explanation:
M1 = Currency with the public + Demand deposits with the banking system + ‘Other’
deposits with the RBI
(a) Price
(b) Aggregate Supply
(c) Aggregate Demand
(d) Effective Demand
(e) NONE OF THE ABOVE
Explanation:
In the Keynesian theory, employment depends upon effective demand. Effective demand
results in output. Output creates income. Income provides employment. Since Keynes
assumes all these four quantities, viz., effective demand (ED), output (Q), income (Y) and
employment (N) equal to each other, he regards employment as a function of income.
Effective demand is determined by two factors, the aggregate supply function, and the
aggregate demand function. The aggregate supply function depends on physical or
technical conditions of production which do not change in the short run.
Q.11) Which section of the Companies Act gives power to SEBI to issue of capital and
transfer of shares?
Explanation:
Section 24 of the Companies Act 2013 gives power to SEBI to issue of capital and transfer
of shares
Options:
Explanation:
Open interest is the total number of outstanding derivative contracts, such as options or
futures that have not been settled for an asset. The total open interest does not count, and
total every buy and sell contract. Instead, open interest provides a more accurate picture
of the options trading activity, and whether money flows into the futures and options
market are increasing or decreasing.
Q.13) 8000 units were introduced in the process. 5% is the normal loss. 6600 units were
transferred to next process. WIP is 1000 units which is 60% complete. Find the Equivalent
Units.
Explanation:
Cartage = Rs 2000
Freight = Rs 25000
Installation = Rs 40000
Testing = Rs 18000
Explanation:
All the given costs form a component of the total cost of machine and would be included
in the total cost incurred. Adding all the given costs, the total cost of a machine = Rs 15.85
lakh
Q.15) Sales unit is 162500. Total Actual Cost is Rs 3 lakhs. Actual Fixed Cost is Rs 87000
(in line with budgeted cost). Total Actual Cost is Rs 18000 more than the budgeted cost.
Find the Budgeted Variable Cost per unit.
(a) 2.27
(b) 1.74
(c) 2.43
(d) 1.20
(e) 1.42
Explanation:
Difference between Total Actual Cost and Budgeted Actual Cost = Rs 18,000
Therefore, Budgeted Variable Cost per unit = Budgeted Variable Cost / Sales units = Rs
1,95,000 / 162500 units = Rs 1.2 / unit
Q.16) The Selling price per unit is Rs 40. The P/V Ratio is 40%. The amount of fixed costs
= Rs 60,000. Find the BEP in units.
Explanation:
Explanation:
Manufacturing Resource Planning (MRP II) is a computer-based system that can create
detailed production schedules using real-time data to coordinate the arrival of component
materials with machine and labor availability. MRP II is used widely by itself, but it's also
used as a module of more extensive enterprise resource planning (ERP) systems.
Q.18) Roles and Responsibilities of Forward Market Commission duties are transferred
to ____________
(a) SEBI
(b) RBI
(c) SBI
(d) NPCI
(e) None of the above
Explanation:
The Forward Markets Commission (FMC) was the chief regulator of commodity futures
markets in India. As of July 2014, it regulated Rs 17 trillion worth of commodity trades in
13 | P a g e w w w . e d u t a p . c o . i n Query? [email protected] 8146207241
India. On 28 September 2015 the FMC was merged with the Securities and Exchange Board
of India (SEBI) to make the regulation of commodity futures market strong.
Q.19) Reduction of share capital can be done with the approval of _________
Explanation:
Q.20) Stock Price is Rs 60. The Initial Margin is 40% and Maintenance Margin is 20%. At
what price the Margin Call would be made?
Answer: (D) Rs 45
Initial margin is the amount required by the exchange to initiate a futures position. While
the exchange sets the margin amount, your broker may be required to collect additional
funds for deposit. Maintenance margin is the minimum amount that must be maintained
at any given time in your account.
A margin call is a demand from a brokerage firm to a customer to bring margin deposits up
to the initial or original margin levels to maintain the existing position. A margin call
typically occurs when an adverse move against the customer's position transpires.
If you put all the values in the formula, you will get
So, an investor will get the margin call at Rs. 45, therefore Option D is correct.
Q.21) What kind of a role the manager is performing when he is representing the
company in all the industry meetings?
Options:
(a) Monitor
(b) Disseminator
(c) Spokesperson
(d) Figurehead
(e) None of the above
Explanation:
Spokesperson – Managers represent and speak for their organization. In this role, you're
responsible for transmitting information about your organization and its goals to the
people outside it.
Monitor – In this role, you regularly seek out information related to your organization and
industry, looking for relevant changes in the environment. You also monitor your team, in
terms of both their productivity, and their well-being.
Figurehead – As a manager, you have social, ceremonial and legal responsibilities. You're
expected to be a source of inspiration. People look up to you as a person with authority,
and as a figurehead.
Mintzberg published his Ten Management Roles in his book, "Mintzberg on Management:
Inside our Strange World of Organizations," in 1990.
1. Figurehead.
2. Leader.
3. Liaison.
4. Monitor.
5. Disseminator.
6. Spokesperson.
7. Entrepreneur.
8. Disturbance Handler.
9. Resource Allocator.
10.Negotiator.
Q.22) If a manager informs employees of policies and related stuff, then the role played
by him is that of a ___________
Explanation:
Leader – This is where you provide leadership for your team, your department or perhaps
your entire organization; and it's where you manage the performance and responsibilities
of everyone in the group.
Liaison – Managers must communicate with internal and external contacts. You need to
be able to network effectively on behalf of your organization.
Resource Allocator – You'll also need to determine where organizational resources are best
applied. This involves allocating funding, as well as assigning staff and other organizational
resources.
Spokesperson – Managers represent and speak for their organization. In this role, you're
responsible for transmitting information about your organization and its goals to the
people outside it.
Mintzberg published his Ten Management Roles in his book, "Mintzberg on Management:
Inside our Strange World of Organizations," in 1990.
1. Figurehead.
2. Leader.
3. Liaison.
4. Monitor.
5. Disseminator.
6. Spokesperson.
8. Disturbance Handler.
9. Resource Allocator.
10. Negotiator.
Q.23) The role played by a HR manager in the career planning, training and development
of a worker is __________
(a) Strategist
(b) Welfare
(c) Counsellor
(d) Spokesperson
(e) Developmental
Explanation:
Developmental Role:
Development of workers for attaining company goals is made by the HR manager through
improvement of knowledge, skill, abilities, aptitude, attitude, value, beliefs etc. A dynamic
organization needs dynamic employees and transformation of employee’s mind-set to the
process of dynamism is possible only when all the potential areas for growth and
development are reinforced.
HR manager takes all possible measures for growth and development of employees
through formulation of HR policies in the matter of training, career planning and
development, counselling etc.
Strategist Role:
Welfare Role:
HR executive looks to the welfare aspect of the employee’s viz., canteen, creche, rest-
room, hospital, transportation, housing accommodation, school, etc. His one of the
principal roles is to provide welfare facilities to the employees for their betterment and
well-being.
Counsellor’s Role:
Because of illiteracy and ignorance workers cannot take decision in their personal
problems and they need advice to sort out such problems, viz. education of children,
medical treatment, marital matter, family problems, etc. HR manager, as he comes close
to the workers because of his nature of work, develops understanding between them and
advises, guides the workers in right direction.
Spokesperson Role:
Explanation:
This inventory categorization technique splits subjects into three categories to identify
items that have a heavy impact on overall inventory cost.
• Category A serves as your most valuable products that contribute the most to
overall profit.
• Category B is the products that fall somewhere in between the most and least
valuable.
• Category C is for the small transactions that are vital for overall profit but don’t
matter much individually to the company altogether.
Q.25) Net Profit = Rs 30,000. Collection from debtors = Rs 2500. Paid to creditors = Rs
7500. What is the net cash flow from operations?
(a) Rs 32,500
(b) Rs 25,000
(c) Rs 27,500
(d) Rs 35,000
(e) None of above
Explanation:
Q.26) When the company dissolves, which of the following the debenture holders have
the right to receive?
Explanation:
When the company dissolves, the debenture holders have the first right to claim the
interest and the principal both. Hence option (a) is the correct answer.
Answer: (d) Total revenue received + Recovered loan and other receipt – Total
Expenditure
Explanation:
Fiscal Deficit = Total revenue received + Recovered loan and other receipt – Total
Expenditure
Q.28) What is the difference between GVA at Basic Price and GDP?
(a) Investments
(b) Taxes and Subsidies
(c) Taxes
(d) Subsidies
(e) None of Above
Explanation:
GVA at basic prices will include production taxes and exclude production subsidies
available on the commodity. GVA at factor cost includes no taxes and excludes no
subsidies. GDP at market prices include both production and product taxes and excludes
both production and product subsidies.
Q.29) As per law what is this company called when 1 partner has 999 shares and another
has 1 share?
Options:
Explanation:
Q.30) Which of the following will not affect Current Account Deficit?
Explanation:
• Forex outflow when we import goods can lead to current account deficit
• Level of consumer spending (economic growth) and hence import spending
• Capital flows such as remittances of money by NRIs would be considered in the
current account
• Saving rates – influencing level of import spending
• Relative inflation/competitiveness
Q.31) Which instrument is used by foreign entities not registered with SEBI to invest in
India markets via registered brokers?
Explanation:
(b) T-bills
(c) Derivatives
Explanation:
The money market is a component of the economy which provides short-term funds. The
money market deals in short-term loans, generally for a period of a year or less.
Derivatives are more of a risk management tool. Rest of the options are money market
instruments
Q.33) Net Profit Ratio is 5%. Total Assets = Rs 90,00,000. Return on Assets = 9%. Find the
total assets turnover ratio.
(a) 1.7
(b) 1.8
(c) 2.3
(d) 3.6
Explanation:
ROTA = 9% or .09
PAT = 8,10,000
(a) FDI
(b) FPI
(c) ECB
Explanation:
By buying and selling shares, bonds and debentures, FPIs are mainly made with the
intention of making fast money. FPIs are created for shorter periods because companies
are not owned by foreign investors and instead invest in the securities of existing
companies. FPI's are highly volatile in nature.
(d) Subsidies
Explanation:
If the discount allowed on reissue of shares is less than the forfeited amount, there will
be some balance left in the Forfeited Account, which should be transferred to capital
reserve, because it is a profit of capital nature.
Q.37) In trait approach theory, intelligence, emotion, knowledge form which trait of the
leader?
(a) Intellectual
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(b) Personality
(c) Communication
(d) Conscientious
Explanation:
Q.38) Over and Under Absorption of Overheads due to Normal Factors are ___________
Explanation:
Under Normal Factors, a supplementary rate can be used to adjust the amount of under-
or over-absorption. The supplementary rate is determined by dividing the amount of
under – or over-absorption by the actual absorption base. Under-absorption is adjusted
by using a plus supplementary rate while a minus supplementary rate in used to correct
over-absorption.
The amount of under-or over-absorption can be transferred to the costing profit and loss
account to arrive at the accurate net profit for an accounting period. When over-or under
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absorption has been due to abnormal factors, the amount of under- or over-absorption is
necessarily transferred to the costing profit and loss account.
Q.39) Calculate exchange profit & Loss for 2011-12 and 2012-13 as per AS11?
In May 2012 when payment was made, exchange price was Rs 47.5 per dollar
(a) Rs 40,000
(b) Rs 50,000
(c) Rs 90,000
(d) Rs 10,000
Explanation:
Profit/Loss for the year 2011-12 = Rs 47.00 – Rs 46.60 = Rs 0.4 per dollar loss, Total = Rs
0.4 * 1 lakh = Rs 40,000
Profit/loss for the year 2012-13 = Rs 47.50 – Rs 47.00 = Rs 0.5 per dollar loss, Total = Rs
0.5 * 1 lakh = Rs 50,000
(b) Task Oriented and Concern for the Team, make employee feel needed
(d) Self-centered
Answer: (b) Task Oriented and Concern for the Team, make employee feel needed
Explanation:
The effective quality of a leader is that he should be task oriented but at the same time
have the concern for his team and make the employees feel needed so that they will be
motivated to do to the work efficiently and effectively.
Q.41) Long term borrowings maturing in the current year are shown in the balance sheet
under which head?
Explanation:
Q.42) What is considered as the life spark of management and includes motivating,
guiding, etc. to the employees?
(a) Controlling
(b) Directing
(c) Planning
(d) Organising
Explanation:
Directing means giving instructions, guiding, counselling, motivating and leading the staff
in an organisation to achieve Organisational goals.
It is that part of managerial function which actuates the organizational methods to work
efficiently for achievement of organizational purposes. It is considered life-spark of the
enterprise which sets it in motion the action of people because planning, organizing and
staffing are the mere preparations for doing the work. Direction is that inert-personnel
aspect of management which deals directly with influencing, guiding, supervising,
motivating sub-ordinate for the achievement of organizational goals.
(b) Kaizen
Explanation:
Kaizen is aimed at decreasing waste by eliminating overproduction, improving quality,
being more efficient, having less idle time, and reducing unnecessary activities. All these
translate to money savings and turn potential losses into profits.
Many people have a tendency to jump to the conclusions directly and form judgments
without considering all the aspects of information. This is generally done by the people
who are impatient and resort to a selective listening. This premature evaluation of the
information acts as a barrier to the effective communication and lowers the morale of
the sender.
Explanation:
Q.46) Which section of the Companies Act 2013 deals with the removal of the name of
the company from the register of the companies?
Explanation:
Section 248(2) of the Companies Act, 2013, deals with the removal of the name of the
company from the register of the companies.
Q.47) Which of the following is not a component of cash flow from operations?
Explanation:
Cash flow from operating activities (CFO) indicates the amount of money a company
brings in from its ongoing, regular business activities, such as manufacturing and selling
Cash flow from operating activities does not include long-term capital expenditures or
investment revenue and expense. CFO focuses only on the core business, and is also
known as operating cash flow (OCF) or net cash from operating activities.
Payment to supplier of machinery is a long-term capital expenditure and will not appear
in cash flow from operations.
Explanation:
Q.49) There was a Numerical on Debentures. It was asked by how much the Debenture
Account will get credited by? We do not have exact Question
Q.50) There was some numerical on Inventory. We do not have exact question with us
S.
No Topic Subject Level Remarks
1 Demand and Supply Economics Easy
2 Inflation and unemployment Economics Easy
1. One which could not be mapped directly to syllabus, but they were either from the basic topics
or topics indirectly linked to syllabus. All these topics were covered in EduTap course
2. Second which were out of syllabus and could not be even remotely linked to Syllabus. One
cannot prepare for such questions as otherwise there is no end to topics
Takeaway: Very Balanced Distribution. Justice to all the subjects. One needs to prepare all the subjects
Takeaway: One needs to attempt paper with 90% accuracy in Easy Questions and 75% accuracy in
Moderate Questions. By doing this one can touch score of 65-70 which was a good score in UR category.
Anything near 75 marks increased the probability further.
The questions with level as difficult should have attempted with care. Here rather than gaining marks,
priority shall have been to not loose marks through negative marking by marking wrong questions
Takeaway: 11 Questions on Numerical were asked in the Exam. They were not difficult. Most of them
were easy to Moderate. If you practiced numerical given in the course before the exam, then most of the
moderate numerical would also have looked on easier side. Numerical shall be intrinsic part of your
preparation and no need to do complex numerical, basic level is enough
1.5. Current/Static
All the questions in Phase 2 were purely static based. So, one should avoid doing current affairs or keep them at
low priority in the preparation
Takeaway: So, it is advisable to do all the PYQs of common subjects in other exams. For example, PYQs of FM shall
be done from RBI Grade B previous year papers, PYQs of Economics shall be done from RBI Grade B and NABARD
Gr A paper. All PYQs of RBI Grade B and NABARD Gr A are available for free on EduTap’s website
It is also advisable that if you get PYQs of Costing, Company Law, Commerce and Accounts for NPS or PFRDA, you
must do them. We are not having PYQs of NPS and PFRDA with us
Takeaway:
1. Good Distribution of questions amongst the topics. No single topic was given preference by
asking many questions from single topic
2. Questions were on easier side. They were basic concept-based questions and not factual. Though
economic seems tough but even basic understanding could have been enough
Takeaway:
1. Good Distribution of questions amongst the topics. No single topic was given preference by asking
many questions from single topic. The only miss is that no question from accounting related to
ESOPs, Buyback, Bonus or Rights shares was asked
2. The question tagged as Miscellaneous was a numerical on Accounting for Debenture which is not
part of Syllabus
3. Total of 5 Numerical are asked. Though most of them are marked Moderate but in case you had
practiced Numerical given in the course then it would have been easy
4. You cannot cover accounting just by covering theory. Numerical preparation is integral part of
preparation of Commerce and Accounts
5. IND As were not asked in exam. You can leave them or take them low on priority
6. Overall, you would find this section easy if you would have practiced Numerical
Takeaway:
1. Good Distribution of questions amongst the topics. No single topic was given preference by asking
many questions from single topic.
2. Questions were asked from Material Cost and Overhead Cost, which is not directly given in
syllabus, but they were anyways part of basic of costing and covered in EduTap’s course. Do not
leave the basic chapters even if they are not directly given in the syllabus
3. Total of 4 Numerical are asked. Though most of them are marked Moderate but in case you had
practiced Numerical given in the course then it would have been easy
4. You cannot cover Costing just by covering theory. Numerical preparation is integral part of
preparation of Costing
5. Overall, you would find this section easy if you would have practiced Numerical
Takeaway:
1. Not that good Distribution of questions amongst the topics. 4 questions from Derivatives were
asked which is more than normal. The miss seems to be that no question related to Role and
Functions of Regulatory bodies or FRBM/Finance Commission was asked
6. Questions were asked from Options, which is not directly given in syllabus, but they were anyways
part of basic of Derivatives and covered in EduTap’s course. Do not leave the basic chapters even
if they are not directly given in the syllabus
2. Total of 2 Numerical are asked. Though these of them are marked Moderate/difficult but in case
you had practiced Numerical given in the course then it would have been doable
3. In Finance, you can leave numerical in first iteration because theory itself is vast. Derivatives and
Bonds are the only topic from which numerical can be asked
4. Overall, a scoring section
Management
Number of
Q. NO Topic Questions Difficulty Level
Easy - 2
21,22,23 GENERAL MANAGEMENT 3 MODERATE -2
Easy - 1
37,40 LEADERSHIP 2 MODERATE -1
Easy - 1
44, 48 COMMUNICATION 2 MODERATE -1
45 Motivation 1 Easy
5 - Easy
Total 9 4 - Moderate
Takeaway:
1. Good Distribution of questions amongst the topics. No single topic was given preference by asking
many questions from single topic. The only miss seems to be that no question related HRD was
asked
2. Even moderate questions could have been done if one had good understanding of the topic
3. Overall, a scoring section
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2.6. Company Law Section Analysis
Company law
Number of
Q. No Topic Questions Difficulty Level
6 Miscellaneous 1 DIFFICULT
MODERATE - 1
8,29 AUDIT AND AUDITORS 2 Difficult -1
PROSPECTUS AND ALLOTMENT OF
11 SECURITIES 1 Moderate
19 SHARE CAPITAL AND DEBENTURES 1 Easy
46 MISCELLANEOUS 1 DIFFICULT
Easy -1
Moderate - 2
Total 6 Difficult - 3
Takeaway:
1. Less Questions asked in Company law. Many topics in syllabus were not touched at all
2. 2 Questions marked as Miscellaneous
a. One question on ‘who appoints special auditor’ is not at all relevant from companies act, 2013. This
question is a part of Section 233A of the Companies Act, 1956. There is no mentioning of Special
Audit or Special Auditor under the Companies Act, 2013
b. Another question on “Which section of the Companies Act 2013 deals with the removal of name
of the company from the register of the companies’” is out of syllabus. It is from REMOVAL OF
NAMES OF COMPANIES FROM THE REGISTER OF COMPANIES (CHAPTER XVIII) of Company Law
which is not in syllabus
c. We cannot prepare for such questions. That way preparation will become infinite
3. 3 questions related to power to appoint, approve, or remove something such as auditors,
amendments etc.
4. 2 questions related to section numbers of company law were asked
5. Overall, a tough section in exam
When companies come together through the mergers and acquisitions process [M&A],
there are numerous issues that must be analyzed to determine if the benefits of such a
move outweigh the risks that are involved. There are always benefits to the M&A process
and there are always disadvantages. Even long-term advantages may outweigh short-term
difficulties. This is why evaluating the numerous pros and cons of mergers and acquisitions
that are transaction specific is so important. The Pros of Mergers and Acquisitions
1. It adds more value to the combined entity than either individual company can produce
on its own. At its heart, the M&A process is all about reducing duplication so that more
efficiencies can be achieved. The end result is typically an enhance level of overall revenue
because there aren’t costly redundancies that occur through the product chain.
2. It opens up new markets for both companies. Once an organization has merged with
another, it instantly gains a new market share that it may not have had before. Many
people within an industry are brand loyal and the M&A process allows people to maintain
that loyalty while potentially transitioning to new goods or services.
4. It can create multiple growth opportunities. Two businesses that may have been
competing against each other now work together as one entity in the completion of the
M&A process. This means they are more effective on a local level at providing economic
benefits because there isn’t a “race to the bottom” occurring.
1. It creates distress within the employee base of each organization. The M&A process
invariably consolidates positions within the companies that are duplicated. This often
means that there is a chance layoff could occur, which would place people out of work for
an indefinite period of time.
2. It may increase the amount of debt that is owed. If there are debts owed by either
organization [or both], then the M&A process may increase the balance sheet debt of the
combined company.
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3. There can be differences in corporate culture that are not easy to consolidate.
The pros and cons of mergers and acquisitions show that this business transaction should
not be something that is just rushed into without thought. An empowered decision is
required. By evaluating all of the key points, it becomes more likely that the best possible
decision can be made.
Along with precautionary, well-designed fraud prevention procedures, once fraud occurs,
how companies can detect it promptly and efficiently is also of great importance. With
financial statement fraud for example, when investigators dedicate themselves to probing
for suspicious transactions or activities, they traditionally perform inspections on every
voucher and invoice of every transaction. If the quantity of transactions is too large for
them to tackle, they usually choose an alternative method: a selective check based on the
filtered importance threshold. However, there is still a possibility that fraudulent
transactions remain undiscovered since the checks are selective, not comprehensive.
Thanks to the evolution of technology, investigators can now conduct a thorough and
complete audit of entire populations of transactions in a relatively short period. So how
can technology improve the efficiency of the fraud detection process? As previously
illustrated, a full and detailed examination can now be achieved via data analysis.
Additionally, technology could be integrated into the fraud investigation process. In our
experience, once fraud is discovered, the first step was to build a basic background
information understanding. In this aspect, it is necessary to comprehend a fraudster’s
relatives and close friends to establish his or her interpersonal relationships, then try to
clarify the accomplice network. The prevalence of mobile phones and social networking
apps such as Facebook, Twitter, WeChat, Instagram and WhatsApp provides investigators
with a great opportunity to observe fraudsters’ interests, lifestyle and characteristics. In
addition, social networking analysis tools, like NodeXL, SVAT, Gephi, etc., could be
deployed to achieve the same goal.
Fake news is false or misleading information presented as news. It often has the aim of
damaging the reputation of a person or entity or making money through advertising
revenue. However, the term does not have a fixed definition, and has been applied more
broadly to include any type of false information, including unintentional and unconscious
mechanisms, and also by high-profile individuals to apply to any news unfavorable to
his/her personal perspectives. Once common in print, the prevalence of fake news has
increased with the rise of social media, especially the Facebook News Feed. Political
polarization, post-truth politics, confirmation bias, and social media algorithms have been
implicated in the spread of fake news. It is sometimes generated and propagated by hostile
foreign actors, particularly during elections. The use of anonymously hosted fake news
websites has made it difficult to prosecute sources of fake news for libel. In some
definitions, fake news includes satirical articles misinterpreted as genuine, and articles that
employ sensationalist or clickbait headlines that are not supported in the text. Multiple
strategies for fighting fake news are currently being actively researched and need to be
tailored to individual types of fake news. Effective self-regulation and legally enforced
regulation of social media and web search engines are needed. The information space
needs to be flooded with accurate news to displace fake news. Individuals need to actively
confront false narratives when spotted, as well as take care when sharing information via
social media. However, reason, the scientific method and critical thinking skills alone are
insufficient to counter the broad scope of bad ideas. Overlooked is the power of
confirmation bias, motivated reasoning and other cognitive biases that can seriously
distort the many facets of immune mental health. Inoculation theory shows promise in
designing techniques to make individuals resistant to the lure of fake news, in the same
way that a vaccine protects against infectious diseases.
Q.2 Read the given passage and draft a precis within 170 words: -(30 Marks)
For decades, psychologists and sociologists have pushed back against the theories of
mainstream finance and economics, arguing that human beings are not rational utility-
maximizing actors and that markets are not efficient in the real world. The field of
behavioral economics arose in the late 1970s to address these issues, accumulating a wide
swath of cases when people systematically behave "irrationally." The application of
behavioral economics to the world of finance is known, unsurprisingly, as behavioral
finance. From this perspective, it's not difficult to imagine the stock market as a person: It
has mood swings (and price swings) that can turn on a dime from irritable to euphoric; it
can overreact hastily one day and make amends the next. But can human behavior really
help us understand financial matters? Does analyzing the mood of the market provide us
with any hands-on strategies? Behavioral finance theorists suggest that it can. Behavioral
finance is a subfield of behavioral economics, which argues that when making financial
decisions like investing people are not nearly as rational as traditional finance theory
predicts. For investors who are curious about how emotions and biases drive share prices,
behavioral finance offers some interesting descriptions and explanations. The idea that
psychology drives stock market movements flies in the face of established theories that
advocate the notion that financial markets are efficient. Proponents of the efficient market
hypothesis (EMH), for instance, claim that any new information relevant to a company's
value is quickly priced by the market. As a result, future price moves are random because
We can ask ourselves if these studies will help investors beat the market. After all, rational
shortcomings should provide plenty of profitable opportunities for wise investors. In
practice, however, few if any value investors are deploying behavioral principles to sort
out which cheap stocks actually offer returns that are consistently above the norm. The
impact of behavioral finance research still remains greater in academia than in practical
money management. While theories point to numerous rational shortcomings, the field
offers little in the way of solutions that make money from market manias. The
behavioralists have yet to come up with a coherent model that actually predicts the future
rather than merely explain, with the benefit of hindsight, what the market did in the past.
The big lesson is that theory doesn't tell people how to beat the market. Instead, it tells us
that psychology causes market prices and fundamental values to diverge for a long time.
Behavioral finance offers no investment miracles to capitalize on this divergence, but
perhaps it can help investors train themselves on how to be watchful of their behavior and,
in turn, avoid mistakes that will decrease their personal wealth.
Solution:
Behavioral finance asserts that rather than being rational and calculating, people often
make financial decisions based on emotions and cognitive biases. For instance, investors
often hold losing positions rather than feel the pain associated with taking a loss. The
instinct to move with the herd explains why investors buy in bull markets and sell in bear
markets. Behavioral finance is useful in analyzing market returns in hindsight but has not
yet produced any insights that can help investors develop a strategy that will outperform
in the future. However, for anyone who has been through the Internet bubble and the
subsequent crash, the efficient market theory is pretty hard to swallow. Behaviorists
explain that, rather than being anomalies, irrational behavior is commonplace. In fact,
researchers have regularly reproduced examples of irrational behavior outside of finance
using very simple experiments
Q.3Read the given passage and answer the given questions: -(40 Marks)
Money, whether it's represented by a metal coin, a shell or a piece of paper, doesn't always
have value. Its value depends on the importance that people place on it—as a medium of
exchange, a unit of measurement, and a storehouse for wealth. Money allows people to
trade goods and services indirectly, it helps communicate the price of goods (prices written
in dollar and cents correspond to a numerical amount in your possession, i.e.in your
Q.1 On the basis of the passage, describe why money is considered as an idea.
Ans. Money is considered an idea because everyone knows that it will be accepted as a
form of payment. However, throughout history, both the usage and the form of money
have evolved. Money, whether it's represented by a metal coin, a shell or a piece of paper,
Ans. While most of the time, the terms "money" and "currency" are used interchangeably,
there are several theories that suggest that these terms are not identical. According to
some theories, money is inherently an intangible concept, while currency is thephysical
(tangible) manifestation of the intangible concept of money. Money, whether it's
represented by a metal coin, a shell or a piece of paper, doesn't always have value. Its value
depends on the importance that people place on it—as a medium of exchange, a unit of
measurement, and a storehouse for wealth.
Q.3 According to author, what is difference between having money and being rich.
Ans. As stated, being rich is simply having a lot of money or income. It comes down to how
much cash you have in your bank account. But just because you’re rich, doesn’t mean you
are wealthy. In fact, being rich can often mean that you are spending a lot of money. It can
also mean that you have a lot of debt. It doesn’t matter how much money you have if your
expenses are higher than your income.
Ans. Money–in some way, shape or form–has been part of human history for at least the
last 3,000 years. Before that time, historians generally agree that a system of bartering was
likely used. Money allows people to trade goods and services indirectly, it helps
communicate the price of goods (prices written in dollar and cents correspond to a
numerical amount in your possession, i.e.in your pocket, purse, or wallet), and it provides
individuals with a way to store their wealth in the long-term.
Ans. One of the greatest achievements of the introduction of money was increasing the
speed at which business, whether mammoth-slaying or monument-building, could be
done. The 21st century has given rise to two novel forms of currency: mobile payments
and virtual currency. Mobile payments are money rendered for a product or service
through a portable electronic device, such as a cell phone, smartphone, or a tablet device.
Mobile payment technology can also be used to send money to friends or family members.
Increasingly, services like Apple Pay and Google Pay are vying for retailers to accept their
platforms for point-of-sale payments.
Options:
Explanation:
BSE Limited, also known as the Bombay Stock Exchange, is an Indian stock
exchange located on Dalal Street in Mumbai. Established in 1875, it is Asia's
oldest stock exchange.
Explanation:
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DTAA stands for Double Taxation Avoidance Agreement. The Double Tax Avoidance
Agreement (DTAA) is a tax treaty signed between two or more countries to help taxpayers
avoid paying double taxes on the same income. A DTAA becomes applicable in cases where
an individual is a resident of one nation but earns income in another. India has
comprehensive double taxation avoidance agreement with 88 countries, out of which 85
have entered into force. This means that there are agreed rates of tax and jurisdiction on
specified types of income arising in a country to a tax resident of another country. Under
the Income Tax Act 1961 of India, there are two provisions, Section 90, and Section 91,
which provide specific relief to taxpayers to save them from double taxation. Section 90
(bilateral relief) is for taxpayers who have paid the tax to a country with which India has
signed double taxation avoidance agreements, while Section 91 (unilateral relief) provides
benefit to tax payers who have paid tax to a country with which India has not signed an
agreement. Thus, India gives relief to both kinds of taxpayers. The rates differ from country
to country.
Options:
(b) Accounting
Explanation:
Tally is an ERP accounting software package that is used to record day to day business data
of a company. The latest version of Tally is Tally ERP 9. Tally ERP 9 Software is one of the
(a) SEBI
(b) RBI
(c) Ministry of Finance
(d) NABARD
(e) NHB
Explanation:
Non-Banking Financial Companies (NBFCs) are regulated and governed by Reserve bank of
India (RBI). As per section 45-IA of the Reserve Bank of India Act, 1934, an NBFC cannot
carry on non-banking financial activities unless it has certificate of registration and net
owned fund of 2 crore.
Q.5) Which of the following campaigns is aimed to improve the efficiency of welfare
services intended for girls in India?
Explanation:
Beti Bachao, Beti Padhao is a campaign of the Government of India that aims to generate
awareness and improve the efficiency of welfare services intended for girls in India.
a) Scheduling
b) Marketing
c) Inventory Management
d) Overheads Treatment
e) None of the above
Explanation:
The just-in-time (JIT) inventory system is a management strategy that aligns raw-material
orders from suppliers directly with production schedules. Companies employ this
inventory strategy to increase efficiency and decrease waste by receiving goods only as
they need them for the production process, which reduces inventory costs. This method
requires producers to forecast demand accurately.
Explanation:
During the incorporation of a company, the CRC issued Corporate Identification Number
to a company.
Explanation:
The Direct Taxes are handled by the Central Board of Direct Taxes (CBDT). The Income Tax
Department (also referred to as IT Department or ITD) is a government agency undertaking
direct tax collection of the Government of India. It functions under the Department of
Revenue of the Ministry of Finance. Income Tax Department is headed by the apex body
Central Board of Direct Taxes (CBDT).
(a) Passport
(b) Aadhaar Card
(c) Driving Licence
(d) PAN
(e) None of the above
Explanation:
GSTIN, known as GST Identification Number, is assigned to every GST registered person.
Each taxpayer is assigned a state-wise PAN-based 15-digit Goods and Services Taxpayer
Identification Number (GSTIN).
• The first two digits represent the state code as per Indian Census 2011. Every state
has a unique code. For instance,
- State code of Karnataka is 29
- State code of Delhi is 07
• The next ten digits will be the PAN number of the taxpayer
• The thirteenth digit will be assigned based on the number of registrations within a
state
• The fourteenth digit will be “Z” by default
• The last digit will be for check code. It may be an alphabet or a number.
Q.10) As per the Constitution of India, when a bill is presented in the Parliament of India,
who decides whether a Financial Bill is a money bill or ordinary bill?
Explanation:
The definition of "Money Bill" is given in Article 110 of The Constitution of India. A financial
bill is not a Money Bill unless it fulfills the requirements of Article 110.
The Speaker of the Lok Sabha certifies if a financial bill is a Money Bill or not.
Explanation:
Bills are sometimes drawn in several parts. All the parts so drawn are referred as bill 'drawn
in sets'. The drawer of the 'bills in sets' must sign all the parts and deliver all the parts but
the acceptance should be written only on one part.
Q.12) If partnership deed is not there, then how the profit is distributed among partners?
Options:
Explanation:
In accordance with the provisions of the partnership deed, the profits and losses made by
the firm are distributed among the partners. However, sharing of profit and losses is equal
among the partners, if the partnership deed is silent.
Explanation:
Under the State List, “agriculture” is mentioned in entry 14. So, states are entirely
competent to enact laws on agriculture. Entry 18 mentions, inter-alia, “transfer and
alienation of agricultural land”
(a) Section 10
(b) Section 2
(c) Section 4
(d) Section 139
(e) Section 141
Explanation:
Section 4 of the Income Tax Act, 1961 (the Act), is the basic charging section under which
income-tax is chargeable on the total income of every person.
(a) Hundi
(b) Currency Note
(c) Bills of Exchange
(d) Promissory Note
(e) Cheque
Explanation:
Currency is a legal tender which gives the holder the right to receive the value of its
denomination on exchange. So “holding” determines the entitlement. A holder of a
negotiable instrument, if he is not the payee, is entitled to receive the payment only from
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the transferor. So, if the title of the transferor is defective, then holder’s title also become
defective unless he is a holder in due course. In which case he has to prove that he has
obtained the instrument for a valuable consideration and in good faith before maturity. A
negotiable instrument is something in lieu of currency, which makes it a form of credit.
Whereas currency is used for current payment.
(a) MBO
(b) Carrots and Stick Approach
(c) Transformational Approach
(d) Eclectic Motivation
Explanation:
Carrot and stick motivation is a motivational approach that involves offering a “carrot” (a
reward—for good behavior) and a “stick” (a negative consequence for poor behavior). It
motivates staff by creating actionable goals and desirable rewards for employees who can
alter their behavior and performance.
Explanation:
A bullion market is a market through which buyers and sellers trade gold and silver as well
as associated derivatives. The bullion market is the primary source of gold and silver
trading quotes throughout the day. Multiple bullion markets exist across the globe.
(a) Demography
(b) Sociology
(c) Anthropology
(d) Ecology
(e) None of the above
Explanation:
Q.19) Rent Expenses were charged to the books of accounts for 11 months but it was not
charged in the 12th month. Which type of error is this?
Explanation:
The error of omission refers to the error in which a transaction is not at all recorded in the
books, either completely or partially.
Explanation:
The Make in India logo is the silhouette of a lion on the prowl, made entirely of cogs,
symbolizing manufacturing, strength, and national pride.
Q.21) While calculating income from house property, Municipal Taxes are treated on
_______basis
Explanation:
Municipal taxes paid: Any taxes paid to the Government during the financial year (for
which the income is being computed) on the property owned, such as house tax, are
allowed for deduction from the Gross Annual Value which is calculated on the basis of the
total rent receivable/received/deemed rent for the property.
(a) Organisation
(b) Opportunity
(c) Outstanding
(d) Outright
(e) None of the above
Explanation:
(a) SBI
(b) HDFC Bank
Explanation:
A lender of last resort is whoever you turn to when you urgently need funds and you've
exhausted all your other options. Banks typically turn to their lender of last resort (the
Central Bank of the country) when they cannot get the funding they need for their daily
business.
RBI is the official lender of the last resort in India. Lender of the last resort means Central
bank coming to the rescue of other banks in times of financial crisis.
Q.24) Which of the following organisation is responsible for promotion and financing of
MSMEs?
(a) SEBI
(b) RBI
(c) NHB
(d) SIDBI
(e) NABARD
Explanation:
SIDBI was made responsible for administering Small Industries Development Fund and
National Equity Fund that were administered by IDBI before. SIDBI is the Primary
Financial Institution for promoting, developing and financing MSME (Micro, Small and
SIDBI helps MSMEs in acquiring the funds they require to grow, market, develop and
commercialize their technologies and innovative products. The bank provides several
schemes and also offers financial services and products for meeting the individual’s
requirement of various businesses.
Options:
Explanation:
After the enactment of various GST laws, Goods and Services Tax was launched all over
India with effect from 1 July 2017. The Jammu and Kashmir state legislature (then a full
state) passed its GST act on 7 July 2017, thereby ensuring that the entire nation is brought
under a unified indirect taxation system.
Q.26) If the total Assets are – Rs 36,000; Liabilities are – Rs 16,000; What is the amount
of Equity?
(a) Rs 20,000
(b) Rs 52,000
(c) Rs 56,000
(d) Rs 10,000
(e) None of Above
Explanation:
Explanation:
(a) 5%
(b) 20%
(c) 80%
(d) 500%
(e) None of Above
Explanation:
(a) 5
(b) 6
(c) 7
(d) 2
(e) 3
Answer: (c) 7
Explanation:
The Companies Act,2013 is divided into 29 chapters containing 470 sections as against 658
Sections in the Companies Act, 1956 and has 7 schedules.
Explanation:
Explanation:
Cyber stalking (following someone all the time, using a computer, to make them feel scared)
E-mail fraud (for example, emailing people asking to send money in scams)
Spam (where "spammers" get email addresses for thousands of people and send them all unwanted
ads)
Options:
Explanation:
Challan number /ITNS 281 is used to deposit Tax deducted at source (TDS) or Tax
collected at source (TCS). TDS challan status can be filled by corporate or non- corporate
entities. Any taxpayer can do the income tax challan 281 payment online on the TIN NSDL
website.
(b) The number of people who left the organisation in the previous period
(d) The rate of the change in the wages of the labour force
Explanation:
Labour turnover may be defined as the number of workers replaced during a given period
relative to the average labour force during the period. It is the number of workers who
left the job during a period relative to the average labour force during the period.
Explanation:
Explanation:
A current account is opened when the capital of partners is fixed. In such a case, all
transactions relating to (except introduction and withdrawal of capital) interest on
capital, interest on drawings, salary to partners, etc. are done from/through the current
account.
(a) C++
(b) SQL
(c) Python
(d) HTML
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(e) None of the above
Explanation:
HTML (Hypertext Markup Language) is the code that is used to structure a web page and
its content. For example, content could be structured within a set of paragraphs, a list of
bulleted points, or using images and data tables.
(a) Firewall
(b) Adware
(c) Booting
(d) Formatting
Explanation:
(a) Dividends
(c) Tax
Explanation:
Debenture holders are paid interest on their lent money at a fixed / agreed rate.
(a) Void
(b) Voidable
Explanation:
(a) SEBI
(b) RBI
Explanation:
Section 77 to 87 of the Companies Act 2013 provides the procedure for the registration
of Charges.
Along with the Form CHG-1 or CHG-9 as the case may be, the documents such as a
certified true copy of every instrument evidencing creation or modification of the Charge,
particular of other Charge holders in case of joint Charge and consortium finance, and in
case of acquisition of property which is already subject to Charge instrument evidencing
such acquisitions, are filed.
(a) Infosys
(b) TCS
(d) WIPRO
Explanation:
Options:
Net Asset Value (NAV) is calculated as the current value of total assets minus the total
value of all liabilities, divided by the total number of outstanding units. NAV allows an
investor to track the performance of a fund.
Options:
(a) Coverage
(b) Conditional
(c) Counter
(d) Carriage
Explanation:
LCR = Liquidity Coverage Ratio. The liquidity coverage ratio (LCR) refers to the proportion
of highly liquid assets held by financial institutions, to ensure their ongoing ability to
meet short-term obligations.
Q.44) Which of the following can be considered as FDI apart from investing in one’s home
currency?
Explanation:
Explanation:
(a) Up
(b) Down
(c) Out
(d) Diagonal
Explanation:
This principle is used in the case of personal accounts. When a person gives something to
the organization, it becomes an inflow and therefore the person must be credit in the
books of accounts. The converse of this is also true, which is why the receiver needs to be
debited.
This principle is applied in case of real accounts. Real accounts involve machinery, land
and building etc. They have a debit balance by default. Thus, when you debit what comes
in, you are adding to the existing account balance. This is exactly what needs to be done.
Similarly, when you credit what goes out, you are reducing the account balance when a
tangible asset goes out of the organization.
Debit All Expenses and Losses, Credit All Incomes and Gains
This rule is applied when the account in question is a nominal account. The capital of the
company is a liability. Therefore, it has a default credit balance. When you credit all
incomes and gains, you increase the capital and by debiting expenses and losses, you
decrease the capital. This is exactly what needs to be done for the system to stay in
balance.
The golden rules of accounting allow anyone to be a bookkeeper. They only need to
understand the types of accounts and then diligently apply the rules.
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Q.47) Which of the following would be best for process improvement?
Explanation:
Feedback control is a process that managers can use to evaluate how effectively their
teams meet the stated goals at the end of a production process. Feedback control
evaluates the team's progress by comparing the output the team was planning on
producing to what was actually produced.
(a) Liquidity
(b) Activity
(c) Profitability
(d) Solvency
Explanation:
The current ratio is a liquidity ratio that measures a company's ability to pay short-term
obligations or those due within one year. It tells investors and analysts how a company
can maximize the current assets on its balance sheet to satisfy its current debt and other
payables.
(a) 90 days
(c) 1 year
(d) 2 years
Explanation:
Q.50) The ____________ states that other factors being constant, price and quantity
demand of any good and service are inversely related to each other.
Explanation:
The law of demand states that other factors being constant (cetris peribus), price and
quantity demand of any good and service are inversely related to each other. When the
price of a product increases, the demand for the same product will fall.
Questio Leve
n No. Topic Subject l Remarks
Primary and Secondary Markets – Equity
1 Markets FINANCE Easy
1. One which could not be mapped directly to syllabus, but they were either from the basic topics
or topics indirectly linked to syllabus. All these topics were covered in EduTap course
2. Second which were out of syllabus and could not be even remotely linked to Syllabus. One
cannot prepare for such questions as otherwise there is no end to topics
1. 10 Questions were no way related to syllabus. The questions from computer, Schemes, General
Studies, and Miscellaneous (which cannot be tagged to any subject) were completely out of the
way. Point to note is that these questions were easy and many who did not prepare for the exam
at all could also score in these questions. But one cannot prepare for such questions as then the
preparation will become infinite
2. Not a balanced paper as Economics, Management, Costing and Company Law were not given
due importance
3. Overall, the exam was weird, but one required only qualifying marks which could be managed
Takeaway: Though paper was weird as unexpected questions were asked, but still it was on easier
side. Once could easily get qualifying marks
Takeaway: 1 numerical was asked in the exam. But if we see Paper 2 of Phase 2 then around 10+
numerical were asked there. Next time even in Phase 1- Paper 2 they can ask more numerical. Moreover,
there shall be integrated preparation for Phase 1 and Phase 2 to prepare for all scenarios
Take Way
1. Very a smaller number of questions asked. Justice not done with syllabus
2. No factual questions but only conceptual questions
3. Even out of these 2 questions, 1 question is marked as Miscellaneous as this question was not
related to syllabus of economics. This question was as given below
“Statistics of population is known as _______________”
Take Way
1. Good Number of Questions Asked as most were easy
2. No question asked from accounting standards or accounting related to share capital, bonus
shares, rights issue, Employees Stock Option and Buy-Back of Securities etc. though these were
important topics
3. No numerical asked but then we cannot leave numerical as lot of them were asked in paper 2 phase 2.
They can be asked in Phase 1 paper 2 next time
4. Questions asked were conceptual and not factual
5. Many Questions marked as Miscellaneous above though could not be tagged to syllabus directly,
but they were part of basics of account which we covered in EduTap Course. You could not afford
to leave these chapters as even if questions would not have been asked from these, they were
still important for understanding other chapters
Total 3 Easy - 3
Take Way
1. Less Number of Questions Asked. Justice not done with syllabus
2. No Question asked from methods of costing such as Process costing, Job Costing, Unit Costing
etc.
3. Just 1 numerical asked but then we cannot leave numerical as lot of them were asked in paper 2
phase 2. They can be asked in Phase 1 paper 2 next time
4. Questions asked were conceptual and on easier side and not factual
5. One Questions is marked as Miscellaneous above as they could not be tagged to syllabus directly.
But they were part of basics of Costing which we covered in EduTap Course. You could not afford
to leave these chapters as even if questions would not have been asked from these, they were
still important for understanding other chapters
Finance
Number of
Q. No. Topic Questions Difficulty Level Remarks
Primary and Secondary
1 Markets – Equity Markets 1 Easy
Direct and Indirect Taxes and
2 GST 1 Easy
Financial Instituions -
4 RBI,SEBI,NABARD, SIDBI etc. 1 Easy
Direct and Indirect Taxes and
8 GST 1 Easy
Direct and Indirect Taxes and
9 GST 1 Easy
This question is from IT Act
14 Miscellaneous 1 DIFFICULT which is not part of Syllabus
Banking and Financial System
15 in India 1 MODERATE
Derivatives (Futures and
17 Forwards) 1 MODERATE
(From INCOME TAX which is
21 Miscellaneous 1 DIFFICULT Out of Syllabus)
23 Functions of RBI 1 Easy
Financial Instituions -
24 RBI,SEBI, NABARD, SIDBI etc. 1 Easy
Easy - 11
Moderate - 5
Total 18 Difficult - 2
Take Way
1. Huge Number of Questions Asked. Skewed more in favor of Finance but Questions were generic
and easy
2. No Numerical asked but then we cannot leave numerical as lot of them were asked in paper 2
phase 2. They can be asked in Phase 1 paper 2 next time
3. No hard-core factual Question
4. Two Questions are marked as Miscellaneous from Mutual Funds and Risk Management above as
they could not be tagged to syllabus directly. But they were part of basics of Finance which we
covered in EduTap Course.
5. Two Questions marked as Miscellaneous were related to Income Tax related concepts which is
out of scope of syllabus
Easy - 3
Total 4 Moderate - 1
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Take Way
1. Very less number of Questions asked, and they were on easier side
2. No Question asked from important topics such as leadership, HRD, Communication etc.
3. All conceptual questions
Take Way
1. Less Number of Questions Asked.
2. No Section number asked. But they were asked in Phase 2 Paper 2, so we cannot leave section
numbers altogether
3. One Questions are marked as Miscellaneous from Basics of Company law i.e., Chapter 1 in
company law as they could not be tagged to syllabus directly. But basics of company law
important part of Company Law which we covered in EduTap Course.
4. Two Questions marked as Miscellaneous were related to other chapters of company law which
are not part of syllabus. One cannot prepare for such questions as like that they can ask anything
Take Way
1. It was unexpected to have questions from Computer, Schemes, and GS in the Exam
2. But these questions were easy and most of the candidates scored good here
3. Next time we might not see these questions as paper 2 of phase 2 had not any such weird
questions
3. Closing Comments
1. Please do not base your preparation based on this paper. This was an exception may be
2. Next year the phase 1 paper 2 might be tougher than itself
3. One should not start preparing for schemes or computer or GS by looking at this paper because
then preparation becomes infinite. We should focus on core syllabus given in the notification