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Question 1 of 15
1. Question
1 pointsConsider the following statements regarding the ‘Impossible Trinity’ (The Policy Trilemma) in international macroeconomics:
Statement I: A country cannot simultaneously maintain a fixed foreign exchange rate, free capital movement, and an independent monetary policy.
Statement II: In the context of India’s ‘Managed Float’ regime, the Reserve Bank of India (RBI) often sacrifices absolute capital mobility to maintain a degree of control over both the exchange rate and domestic interest rates.
Which one of the following is correct in respect of the above statements?
Correct
Answer: (b)
Explanation:
Statement I is correct. The ‘Impossible Trinity’ or ‘Policy Trilemma’ in international macroeconomics states that a country cannot simultaneously achieve:
- A fixed exchange rate
- Free capital mobility
- Independent monetary policy
Only two of these three objectives can be fully achieved at the same time.
Statement II is also correct. India follows a ‘Managed Float’ exchange rate regime in which the Reserve Bank of India (RBI) intervenes to reduce excessive exchange-rate volatility while also pursuing domestic monetary policy objectives such as inflation control. To preserve this flexibility, India maintains partial capital controls rather than allowing perfectly free capital movement.
However, Statement II is not the correct explanation for Statement I. Statement I is a general theoretical principle of international macroeconomics applicable to all economies. Statement II merely illustrates how India operationalises or navigates that trilemma in practice. It is an example or application of the theory, not the underlying explanation of why the trilemma exists.
Incorrect
Answer: (b)
Explanation:
Statement I is correct. The ‘Impossible Trinity’ or ‘Policy Trilemma’ in international macroeconomics states that a country cannot simultaneously achieve:
- A fixed exchange rate
- Free capital mobility
- Independent monetary policy
Only two of these three objectives can be fully achieved at the same time.
Statement II is also correct. India follows a ‘Managed Float’ exchange rate regime in which the Reserve Bank of India (RBI) intervenes to reduce excessive exchange-rate volatility while also pursuing domestic monetary policy objectives such as inflation control. To preserve this flexibility, India maintains partial capital controls rather than allowing perfectly free capital movement.
However, Statement II is not the correct explanation for Statement I. Statement I is a general theoretical principle of international macroeconomics applicable to all economies. Statement II merely illustrates how India operationalises or navigates that trilemma in practice. It is an example or application of the theory, not the underlying explanation of why the trilemma exists.
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Question 2 of 15
2. Question
1 pointsWith reference to ‘Sterilization’ operations conducted by the Reserve Bank of India, consider the following statements:
- It is a process used to neutralize the inflationary impact of large foreign capital inflows.
- Under the Market Stabilization Scheme (MSS), the RBI issues dated securities and treasury bills to mop up excess liquidity.
- The interest payments on MSS securities are borne by the RBI’s own surplus, not the Government of India’s budget.
- Sterilization helps in preventing the nominal appreciation of the Indian Rupee.
How many of the above statements are correct?
Correct
Answer: (c)
Explanation:
Statement I is correct. Sterilization refers to monetary operations undertaken by the Reserve Bank of India (RBI) to offset or neutralize the impact of large foreign capital inflows on domestic money supply and inflation. When the RBI purchases foreign currency to prevent excessive appreciation of the Rupee, domestic liquidity increases; sterilization absorbs this excess liquidity.
Statement II is correct. Under the Market Stabilization Scheme (MSS), treasury bills and dated securities are issued specifically for absorbing excess liquidity generated due to capital inflows and foreign exchange interventions.
Statement III is incorrect. The interest burden on MSS securities is borne by the Government of India and is reflected in the Union Budget, not from the RBI’s own surplus.
Statement IV is correct. Sterilization operations are often associated with RBI intervention in the foreign exchange market to prevent excessive nominal appreciation of the Indian Rupee caused by heavy foreign capital inflows.
Incorrect
Answer: (c)
Explanation:
Statement I is correct. Sterilization refers to monetary operations undertaken by the Reserve Bank of India (RBI) to offset or neutralize the impact of large foreign capital inflows on domestic money supply and inflation. When the RBI purchases foreign currency to prevent excessive appreciation of the Rupee, domestic liquidity increases; sterilization absorbs this excess liquidity.
Statement II is correct. Under the Market Stabilization Scheme (MSS), treasury bills and dated securities are issued specifically for absorbing excess liquidity generated due to capital inflows and foreign exchange interventions.
Statement III is incorrect. The interest burden on MSS securities is borne by the Government of India and is reflected in the Union Budget, not from the RBI’s own surplus.
Statement IV is correct. Sterilization operations are often associated with RBI intervention in the foreign exchange market to prevent excessive nominal appreciation of the Indian Rupee caused by heavy foreign capital inflows.
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Question 3 of 15
3. Question
1 pointsIn the context of India’s external sector, consider the following components:
- Re-investment of earnings by foreign direct investors.
- Short-term trade credits.
- External assistance via multilateral loans.
- Non-Resident Indian (NRI) deposits.
How many of the above are classified under the ‘Capital Account’ of the Balance of Payments?
Correct
Answer: (d)
Explanation:
In India’s Balance of Payments (BoP), the Capital Account/Capital and Financial Account records transactions that create assets or liabilities between residents and non-residents.
Statement I is correct. Re-investment of earnings by foreign direct investors is treated as part of Foreign Direct Investment (FDI) inflows and is classified under the Capital Account.
Statement II is correct. Short-term trade credits are external borrowings used to finance imports and exports, and they are recorded under external commercial borrowings/trade credit components of the Capital Account.
Statement III is correct. External assistance through multilateral loans represents foreign borrowing by the Government and is included under the Capital Account.
Statement IV is correct. NRI deposits are liabilities owed by Indian banks to non-residents and are recorded under the Capital Account.
Incorrect
Answer: (d)
Explanation:
In India’s Balance of Payments (BoP), the Capital Account/Capital and Financial Account records transactions that create assets or liabilities between residents and non-residents.
Statement I is correct. Re-investment of earnings by foreign direct investors is treated as part of Foreign Direct Investment (FDI) inflows and is classified under the Capital Account.
Statement II is correct. Short-term trade credits are external borrowings used to finance imports and exports, and they are recorded under external commercial borrowings/trade credit components of the Capital Account.
Statement III is correct. External assistance through multilateral loans represents foreign borrowing by the Government and is included under the Capital Account.
Statement IV is correct. NRI deposits are liabilities owed by Indian banks to non-residents and are recorded under the Capital Account.
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Question 4 of 15
4. Question
1 pointsConsider the following statements regarding ‘Inverted Duty Structure’ (IDS):
- It occurs when the import duty on finished goods is lower than the import duty on raw materials or intermediate inputs.
- IDS acts as a strategic incentive for domestic manufacturers to increase value addition under the ‘Make in India’ initiative.
- The Free Trade Agreements (FTAs) signed by India have occasionally exacerbated the issue of IDS in the electronics and chemical sectors.
Which of the statements given above are incorrect?
Correct
Answer: (b) II only
Explanation:
Statement I is correct. An Inverted Duty Structure (IDS) arises when import duties on finished goods are lower than the duties imposed on raw materials, components, or intermediate goods required for domestic manufacturing. This places domestic manufacturers at a cost disadvantage.
Statement II is incorrect. IDS generally discourages domestic manufacturing and value addition because producers find it cheaper to import finished products rather than manufacture them domestically using higher-cost taxed inputs. Therefore, IDS acts as a disincentive, not a strategic incentive, for initiatives such as ‘Make in India’.
Statement III is correct. Certain Free Trade Agreements (FTAs) signed by India have, at times, aggravated the problem of IDS, especially in sectors such as electronics and chemicals, where lower tariffs on imported finished goods compared to components or intermediates reduced the competitiveness of domestic industry.
Incorrect
Answer: (b) II only
Explanation:
Statement I is correct. An Inverted Duty Structure (IDS) arises when import duties on finished goods are lower than the duties imposed on raw materials, components, or intermediate goods required for domestic manufacturing. This places domestic manufacturers at a cost disadvantage.
Statement II is incorrect. IDS generally discourages domestic manufacturing and value addition because producers find it cheaper to import finished products rather than manufacture them domestically using higher-cost taxed inputs. Therefore, IDS acts as a disincentive, not a strategic incentive, for initiatives such as ‘Make in India’.
Statement III is correct. Certain Free Trade Agreements (FTAs) signed by India have, at times, aggravated the problem of IDS, especially in sectors such as electronics and chemicals, where lower tariffs on imported finished goods compared to components or intermediates reduced the competitiveness of domestic industry.
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Question 5 of 15
5. Question
1 pointsConsider the following statements regarding ‘Narrow Banking’:
- It involves banks placing their entire demand and time liabilities in risk-free assets like Government Securities.
- It is a strategy often recommended for banks with high Non-Performing Assets (NPAs) to ensure capital preservation.
- The Payment Banks in India operate on a model that is a subset of the narrow banking concept.
How many of the above are correct?
Correct
Answer: (c)
Explanation:
Statement I is correct. Narrow Banking refers to a banking model in which banks invest their demand and time liabilities predominantly or entirely in safe and highly liquid assets such as Government Securities, rather than lending extensively to the commercial sector.
Statement II is correct. The concept of Narrow Banking has often been recommended for weak banks with high Non-Performing Assets (NPAs). By restricting such banks from risky lending activities and directing funds into secure government-backed instruments, capital preservation and depositor safety can be ensured.
Statement III is also correct. Payment Banks in India operate on a model closely resembling a subset of Narrow Banking. They are not permitted to undertake conventional lending activities and are required to invest a substantial portion of their deposits in safe Government Securities and other approved liquid assets.
Incorrect
Answer: (c)
Explanation:
Statement I is correct. Narrow Banking refers to a banking model in which banks invest their demand and time liabilities predominantly or entirely in safe and highly liquid assets such as Government Securities, rather than lending extensively to the commercial sector.
Statement II is correct. The concept of Narrow Banking has often been recommended for weak banks with high Non-Performing Assets (NPAs). By restricting such banks from risky lending activities and directing funds into secure government-backed instruments, capital preservation and depositor safety can be ensured.
Statement III is also correct. Payment Banks in India operate on a model closely resembling a subset of Narrow Banking. They are not permitted to undertake conventional lending activities and are required to invest a substantial portion of their deposits in safe Government Securities and other approved liquid assets.
-
Question 6 of 15
6. Question
1 pointsIn the context of ‘Alternative Investment Funds’ (AIFs) in India, consider the following types:
- Social Venture Funds
- Infrastructure Funds
- Hedge Funds
- SME Funds
How many of the above are classified as ‘Category I AIFs’ by SEBI?
Correct
Answer: (c)
Explanation:
The Securities and Exchange Board of India (SEBI), under the SEBI (Alternative Investment Funds) Regulations, classifies Alternative Investment Funds (AIFs) into three categories based on their investment objectives and economic significance.
Category I AIFs comprise funds that invest in sectors considered socially or economically desirable and which are expected to contribute positively to economic development. These include Venture Capital Funds, SME Funds, Social Venture Funds, Infrastructure Funds, and Angel Funds.
Statement I is correct. Social Venture Funds are classified under Category I AIFs. These funds invest in entities engaged in activities with measurable social impact.
Statement II is correct. Infrastructure Funds are classified as Category I AIFs because they channel investments into infrastructure sectors such as transport, energy, telecommunications, and related public utility projects.
Statement III is incorrect. Hedge Funds are classified under Category III AIFs. They employ complex trading strategies, including leverage and derivatives, with the objective of generating short-term returns.
Statement IV is correct. SME Funds are included under Category I AIFs as they provide investment support to small and medium enterprises, which are considered important for employment generation and industrial growth.
Incorrect
Answer: (c)
Explanation:
The Securities and Exchange Board of India (SEBI), under the SEBI (Alternative Investment Funds) Regulations, classifies Alternative Investment Funds (AIFs) into three categories based on their investment objectives and economic significance.
Category I AIFs comprise funds that invest in sectors considered socially or economically desirable and which are expected to contribute positively to economic development. These include Venture Capital Funds, SME Funds, Social Venture Funds, Infrastructure Funds, and Angel Funds.
Statement I is correct. Social Venture Funds are classified under Category I AIFs. These funds invest in entities engaged in activities with measurable social impact.
Statement II is correct. Infrastructure Funds are classified as Category I AIFs because they channel investments into infrastructure sectors such as transport, energy, telecommunications, and related public utility projects.
Statement III is incorrect. Hedge Funds are classified under Category III AIFs. They employ complex trading strategies, including leverage and derivatives, with the objective of generating short-term returns.
Statement IV is correct. SME Funds are included under Category I AIFs as they provide investment support to small and medium enterprises, which are considered important for employment generation and industrial growth.
-
Question 7 of 15
7. Question
1 pointsConsider the following statements in respect of ‘Special Drawing Rights’ (SDR):
- It is a potential claim on the freely usable currencies of IMF members.
- The value of the SDR is based on a basket of five currencies: US Dollar, Euro, Chinese Renminbi, Japanese Yen, and British Pound.
- The weightage of the Chinese Renminbi (Yuan) in the SDR basket has remained unchanged since its inclusion in 2016.
- SDRs can be held and used by private individuals and commercial entities for international trade settlement.
Which of the statements given above is/are correct?
Correct
Answer: (a)
Explanation:
Statement I is correct. Special Drawing Rights (SDRs) are international reserve assets created by the International Monetary Fund (IMF). An SDR represents a potential claim on the freely usable currencies of IMF member countries.
Statement II is correct. The value of the SDR is determined on the basis of a basket comprising the following five currencies:
- United States Dollar
- Euro
- Chinese Renminbi
- Japanese Yen
- Pound Sterling
Statement III is incorrect. The IMF periodically reviews the composition and weightage of currencies in the SDR basket. Consequently, the weight assigned to the Chinese Renminbi has not remained unchanged since its inclusion in 2016.
Statement IV is incorrect. SDRs are official reserve assets and may be held only by IMF member countries, the IMF, and certain designated international institutions. They are not available for holding or direct usage by private individuals or commercial entities for international trade settlement.
Incorrect
Answer: (a)
Explanation:
Statement I is correct. Special Drawing Rights (SDRs) are international reserve assets created by the International Monetary Fund (IMF). An SDR represents a potential claim on the freely usable currencies of IMF member countries.
Statement II is correct. The value of the SDR is determined on the basis of a basket comprising the following five currencies:
- United States Dollar
- Euro
- Chinese Renminbi
- Japanese Yen
- Pound Sterling
Statement III is incorrect. The IMF periodically reviews the composition and weightage of currencies in the SDR basket. Consequently, the weight assigned to the Chinese Renminbi has not remained unchanged since its inclusion in 2016.
Statement IV is incorrect. SDRs are official reserve assets and may be held only by IMF member countries, the IMF, and certain designated international institutions. They are not available for holding or direct usage by private individuals or commercial entities for international trade settlement.
-
Question 8 of 15
8. Question
1 pointsConsider the following statements about ‘Prompt Corrective Action’ (PCA) framework:
- It applies equally to Public Sector Banks, Private Sector Banks, and Co-operative Banks.
- ‘Net NPA’ and ‘Tier 1 Leverage Ratio’ are two of the key monitoring indicators under the revised PCA framework.
Which of the statements given above is/are correct?
Correct
Answer: (b) II only
Explanation:
Statement I is incorrect. The Prompt Corrective Action (PCA) framework of the Reserve Bank of India (RBI) does not apply equally across all categories of banks in an identical manner. The PCA framework was primarily designed for Scheduled Commercial Banks, including Public Sector Banks and Private Sector Banks. Although separate supervisory mechanisms exist for Co-operative Banks, the PCA norms applicable to them are not identical to those applicable to commercial banks.
Statement II is correct. Under the revised PCA framework, key monitoring indicators include:
- Capital adequacy measured through Capital to Risk-weighted Assets Ratio (CRAR) and Common Equity Tier 1 (CET1) ratio,
- Asset quality measured through Net Non-Performing Assets (Net NPA),
- Profitability measured through Return on Assets (RoA), and
- Leverage measured through Tier 1 Leverage Ratio.
Incorrect
Answer: (b) II only
Explanation:
Statement I is incorrect. The Prompt Corrective Action (PCA) framework of the Reserve Bank of India (RBI) does not apply equally across all categories of banks in an identical manner. The PCA framework was primarily designed for Scheduled Commercial Banks, including Public Sector Banks and Private Sector Banks. Although separate supervisory mechanisms exist for Co-operative Banks, the PCA norms applicable to them are not identical to those applicable to commercial banks.
Statement II is correct. Under the revised PCA framework, key monitoring indicators include:
- Capital adequacy measured through Capital to Risk-weighted Assets Ratio (CRAR) and Common Equity Tier 1 (CET1) ratio,
- Asset quality measured through Net Non-Performing Assets (Net NPA),
- Profitability measured through Return on Assets (RoA), and
- Leverage measured through Tier 1 Leverage Ratio.
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Question 9 of 15
9. Question
1 pointsConsider the following pairs of ‘Trade Barriers’ and their ‘Nature’:
Barrier Nature I. Sanitary and Phytosanitary (SPS) Measures Food safety and animal/plant health regulations II. Technical Barriers to Trade (TBT) Product size, shape, and labeling requirements III. Voluntary Export Restraints (VER) Non-tariff quotas imposed by the exporting country IV. Rules of Origin Criteria to determine the national source of a product How many of the above pairs are correctly matched?
Correct
Answer: (d)
Explanation:
Pair I is correctly matched. Sanitary and Phytosanitary (SPS) Measures refer to regulations relating to food safety and the protection of human, animal, and plant health from risks arising from pests, diseases, contaminants, or additives.
Pair II is correctly matched. Technical Barriers to Trade (TBT) include technical regulations, standards, testing procedures, packaging norms, product specifications, and labeling requirements relating to the size, shape, quality, or performance of products.
Pair III is correctly matched. Voluntary Export Restraints (VERs) are export limitations imposed by the exporting country, generally under pressure or agreement with the importing country, to restrict the quantity of goods exported.
Pair IV is correctly matched. Rules of Origin are criteria used to determine the national source or economic nationality of a product, particularly for the application of tariffs, trade preferences, and anti-dumping measures.
Incorrect
Answer: (d)
Explanation:
Pair I is correctly matched. Sanitary and Phytosanitary (SPS) Measures refer to regulations relating to food safety and the protection of human, animal, and plant health from risks arising from pests, diseases, contaminants, or additives.
Pair II is correctly matched. Technical Barriers to Trade (TBT) include technical regulations, standards, testing procedures, packaging norms, product specifications, and labeling requirements relating to the size, shape, quality, or performance of products.
Pair III is correctly matched. Voluntary Export Restraints (VERs) are export limitations imposed by the exporting country, generally under pressure or agreement with the importing country, to restrict the quantity of goods exported.
Pair IV is correctly matched. Rules of Origin are criteria used to determine the national source or economic nationality of a product, particularly for the application of tariffs, trade preferences, and anti-dumping measures.
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Question 10 of 15
10. Question
1 pointsA proposed levy on outward foreign-currency exchange transactions seeks to discourage short-term, round-trip currency speculation by imposing a small cost on every exchange transaction. Its objective is to stabilize global currency markets by reducing the profitability of high-frequency “hot money” flows while having minimal impact on long-term international trade and investment. Which one of the following taxes best describes this levy?
Correct
Answer: (b)
Explanation:
A Tobin Tax refers to a small levy imposed on foreign exchange transactions, particularly short-term currency conversions. It was originally proposed by economist James Tobin with the objective of reducing excessive volatility and speculative movements in international currency markets.
The tax is intended to discourage short-term, high-frequency speculative capital flows, commonly referred to as “hot money,” by making rapid round-trip currency transactions marginally more expensive. At the same time, the levy is designed to have minimal impact on long-term trade, productive investment, and genuine cross-border economic activity.
Incorrect
Answer: (b)
Explanation:
A Tobin Tax refers to a small levy imposed on foreign exchange transactions, particularly short-term currency conversions. It was originally proposed by economist James Tobin with the objective of reducing excessive volatility and speculative movements in international currency markets.
The tax is intended to discourage short-term, high-frequency speculative capital flows, commonly referred to as “hot money,” by making rapid round-trip currency transactions marginally more expensive. At the same time, the levy is designed to have minimal impact on long-term trade, productive investment, and genuine cross-border economic activity.
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Question 11 of 15
11. Question
1 pointsA gardener increased the length of his rectangular garden by 40% and decreased its breadth by 20%. The area of the new garden:
Correct
Solution: B
Let the original length = L and breadth = B.
New length
= 140% of L
= 1.4LNew breadth
= 80% of B
= 0.8BNew area
= 1.4L × 0.8B
= 1.12LBThus, the new area becomes 112% of the original area.
Increase in area
= 112% of original area − 100%
= 12%Explanation
When one dimension increases and another decreases, the net effect on area is obtained by multiplying the percentage factors.
Increase by 40% ⇒ multiply by 1.4
Decrease by 20% ⇒ multiply by 0.8Therefore,
1.4 × 0.8 = 1.12
Hence, the area increases by 12%.
Correct Answer: (b)
Incorrect
Solution: B
Let the original length = L and breadth = B.
New length
= 140% of L
= 1.4LNew breadth
= 80% of B
= 0.8BNew area
= 1.4L × 0.8B
= 1.12LBThus, the new area becomes 112% of the original area.
Increase in area
= 112% of original area − 100%
= 12%Explanation
When one dimension increases and another decreases, the net effect on area is obtained by multiplying the percentage factors.
Increase by 40% ⇒ multiply by 1.4
Decrease by 20% ⇒ multiply by 0.8Therefore,
1.4 × 0.8 = 1.12
Hence, the area increases by 12%.
Correct Answer: (b)
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Question 12 of 15
12. Question
1 pointsA straight line segment is 36 cm long. Points are to be marked on the line from both ends. From each end, the first point is at a distance of 1 cm from the end point and the second point is at a distance of 2 cm from the first point, and so on. If the points on the ends are not counted and the common points are counted as one, what is the number of points?
Correct
Solution: B
From the left end, points are marked at cumulative distances:
1, 3, 6, 10, 15, 21, 28 cm
The next cumulative position is 36 cm, which is the endpoint and hence not counted.
From the right end, points are marked at:
35, 33, 30, 26, 21, 15, 8 cm
Now combine all distinct interior points:
1, 3, 6, 8, 10, 15, 21, 26, 28, 30, 33, 35
Total number of distinct interior points = 12
Explanation
The distances increase successively by 1 cm, 2 cm, 3 cm, and so on. Therefore, the positions form cumulative sums:
1
1 + 2 = 3
1 + 2 + 3 = 6
1 + 2 + 3 + 4 = 10, etc.The same process is repeated from the opposite end. Common points such as 15 and 21 are counted only once.
Hence, the total number of points is 12.
Correct Answer: (b)
Incorrect
Solution: B
From the left end, points are marked at cumulative distances:
1, 3, 6, 10, 15, 21, 28 cm
The next cumulative position is 36 cm, which is the endpoint and hence not counted.
From the right end, points are marked at:
35, 33, 30, 26, 21, 15, 8 cm
Now combine all distinct interior points:
1, 3, 6, 8, 10, 15, 21, 26, 28, 30, 33, 35
Total number of distinct interior points = 12
Explanation
The distances increase successively by 1 cm, 2 cm, 3 cm, and so on. Therefore, the positions form cumulative sums:
1
1 + 2 = 3
1 + 2 + 3 = 6
1 + 2 + 3 + 4 = 10, etc.The same process is repeated from the opposite end. Common points such as 15 and 21 are counted only once.
Hence, the total number of points is 12.
Correct Answer: (b)
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Question 13 of 15
13. Question
1 pointsThe following graph shows the average profit of two companies A and B over the years 1995 to 2000.
In which year was the average profit of A and B the same?
Correct
Solution: D
From the graph, both Companies A and B record the same average profit in the year 1998.
Therefore, the required year is 1998.
Explanation
In a line graph, equal values are represented by the point where both lines meet at the same level on the vertical axis.
Since the graph shows equal average profits for Companies A and B in 1998, that is the correct answer.
Correct Answer: (d)
Incorrect
Solution: D
From the graph, both Companies A and B record the same average profit in the year 1998.
Therefore, the required year is 1998.
Explanation
In a line graph, equal values are represented by the point where both lines meet at the same level on the vertical axis.
Since the graph shows equal average profits for Companies A and B in 1998, that is the correct answer.
Correct Answer: (d)
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Question 14 of 15
14. Question
1 pointsThe following table shows the marks obtained by two students in different subjects:
Subject Student A Maximum Marks Student B Maximum Marks English 60 100 80 150 Psychology 70 100 70 100 History 50 100 60 100 Sanskrit 30 50 15 25 The difference in the mean aggregate percentage marks of the students is:
Correct
Solution: D
For Student A:
Total marks obtained
= 60 + 70 + 50 + 30
= 210Total maximum marks
= 100 + 100 + 100 + 50
= 350Percentage of A
= (210/350) × 100
= 60%For Student B:
Total marks obtained
= 80 + 70 + 60 + 15
= 225Total maximum marks
= 150 + 100 + 100 + 25
= 375Percentage of B
= (225/375) × 100
= 60%Difference in mean aggregate percentage
= 0%Explanation
Aggregate percentage is calculated using:
(Total marks obtained / Total maximum marks) × 100
Although the subject-wise marks differ, both students secure the same overall percentage of 60%.
Hence, the difference in mean aggregate percentage is zero.
Correct Answer: (d)
Incorrect
Solution: D
For Student A:
Total marks obtained
= 60 + 70 + 50 + 30
= 210Total maximum marks
= 100 + 100 + 100 + 50
= 350Percentage of A
= (210/350) × 100
= 60%For Student B:
Total marks obtained
= 80 + 70 + 60 + 15
= 225Total maximum marks
= 150 + 100 + 100 + 25
= 375Percentage of B
= (225/375) × 100
= 60%Difference in mean aggregate percentage
= 0%Explanation
Aggregate percentage is calculated using:
(Total marks obtained / Total maximum marks) × 100
Although the subject-wise marks differ, both students secure the same overall percentage of 60%.
Hence, the difference in mean aggregate percentage is zero.
Correct Answer: (d)
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Question 15 of 15
15. Question
1 pointsPassage
Cynthia was a shy girl. She believed that she was plain and untalented. One day her teacher ordered the pupils to act out a play during the school play. Cynthia nearly died of fright when she was told that she would have to stand on stage in front of the entire class and deliver dialogues. The mere thought of it made her feel sick. But a remarkable transformation occurred during the audition. A thin, shy girl, her knees quaking, her stomach churning in terror, began to turn everyone with her excellent performance. Her bored classmates suddenly stopped their noisy chatter at her slender figure on the stage. At the end of her audition, the entire room erupted in thunderous applause.
Cynthia was afraid to stand on stage because:
Correct
Solution: C
The passage states that Cynthia believed she was “plain and untalented.” This shows that she lacked confidence in herself.
Therefore, she was afraid to perform on stage.
Explanation
The primary reason behind Cynthia’s fear was her low self-esteem and lack of self-confidence.
Option (b) describes only a symptom of fear.
Option (a) may be inferred but is not the best answer.
Option (d) is incorrect because the passage never suggests that she disliked school plays.Hence, the most appropriate answer is that she lacked self-confidence.
Correct Answer: (c)
Incorrect
Solution: C
The passage states that Cynthia believed she was “plain and untalented.” This shows that she lacked confidence in herself.
Therefore, she was afraid to perform on stage.
Explanation
The primary reason behind Cynthia’s fear was her low self-esteem and lack of self-confidence.
Option (b) describes only a symptom of fear.
Option (a) may be inferred but is not the best answer.
Option (d) is incorrect because the passage never suggests that she disliked school plays.Hence, the most appropriate answer is that she lacked self-confidence.
Correct Answer: (c)
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