SLET NE Commerce Solved Paper 2023 [Paper II] - Dynamic Tutorials & Services

SLET NE Commerce Solved Paper 2023 (Paper II)

Assam SLET Solved Question Paper Commerce

[Time: 2 hour; Maximum Marks: 200]

Note: This paper contains Hundred (100) objective type questions, each question carrying two (02) marks. All the questions are compulsory.

In this post you will get SLET NE Commerce Solved Paper 2023 with Proper Explanation. SLET NE General Paper 1 Solutions will also be available very soon on our website.

Assam SLET Exam is conducted every year by SLET Commission NE Region. Question Papers of Assam SLET Exam is tough as compared to UGC NET Exam question paper. Syllabus of Assam SLET (SLET NE) Exam and UGC NET exam is similar. You can refer Assam SLET Commerce syllabus for 2023 here.

SLET NE Commerce Solved Paper 2023

Also Read: Assam SLET (SLET NE) Solved Question Paper 2012 to 2023 [Commerce]

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Assam SLET (SLET NE) Commerce Solved Question Paper 2012 (Paper III)

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Assam SLET (SLET NE) Commerce Solved Question Paper 2018

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Assam SLET (SLET NE) Commerce Solved Question Paper 2021

Assam SLET (SLET NE) Commerce Solved Question Paper 2022

Assam SLET (SLET NE) Commerce Solved Question Paper 2023

1. Select the correct answer:

Developing countries sometimes object that free trade will lead them to specialise in primary products. They view this as undesirable because:

(A) Their costs of producing primary products are higher than the costs of producing them elsewhere.

(B) They believe that the prices of primary products tend to fall over time.

(D) They would rather consume manufactured goods.

Ans: (B) They believe that the prices of primary products tend to fall over time.

2. Who amongst the following was the Head of the Committee which gave its recommendations on the modalities for Capital Account Convertibility?

(A) Dr. Rakesh Mohan.

(B) Dr. C. Rangarajan.

(D) K. J. Udeshi.

Ans: (C) S. S. Tarapore.

3. Read the statements given below as Assertion (Ass) and Reason (R), and select the correct answer from the options given below to the statements:

Assertion (Ass): Business entities discharge some responsibilities towards the society which is called Corporate Social Responsibility (CSR).

Reason (R): Companies in India have to undertake corporate social responsibility activities because it is mandated by the Companies Act, 2013.

Codes:

(A) Both (Ass) and (R) are individually correct and (R) is a correct explanation of (Ass).

(B) Both (Ass) and (R) are individually correct but (R) is not the correct explanation of (Ass).

(D) (Ass) is incorrect but (R) is correct.

Ans: (B) Both (Ass) and (R) are individually correct but (R) is not the correct explanation of (Ass).

4. Which of the following theories suggest that the firms seek to penetrate new markets over time?

(A) Theory of comparative advantage.

(B) Imperfect market theory.

(D) None of the above.

Ans: (C) Produce life cycle theory.

5. An increase in the current account deficit will lead to _______ of the home currency value, other things remaining same.

(A) appreciation.

(B) depreciation.

(D) appreciation or depreciation depending on the size of deficit.

Ans: (B) depreciation.

6. Read the statements (a), (b) and (c) and state whether they are True or False according to the combinations given in the answer codes:

(a) Imposition of non-tariff barriers and currency control are important import restriction measures.

(b) Hybrid of Fixed and Floating Exchange system is referred as ‘Crawling Peg System’.

(c) The ‘Mercantilism theory’ is a trade theory which says that a capital intensive country should export labour-intensive goods and import capital goods.

Codes:

(A) (a)-False, (b)-True, (c)-False.

(B) (a)-True, (b)-False, (c)-True.

(D) (a)-False, (b)-False, (c)-True.

Ans: (C) (a)-True, (b)-True, (c)-False.

7. Read the statements given below and select the correct answer from the codes given below to the statements:

Statement I: ‘Free trade’ leads to specialisation and thereby increases output.

Statement II: Import restrictions are both long-term and short-term measures with regard to balance of payments adjustments.

Codes:

(A) Statement I is true but II is false.

(B) Statement II is true but I is false.

(D) Both the statements I and II are true.

Ans: (A) Statement I is true but II is false.

8. Match the items of List – I with those of List – II and indicate the correct code:

List-I

List-II

(a) Comparative Cost Theory.

(b) Opportunity Cost Theory.

(d) Absolute Cost Theory.

(i) Eli Heckscher and Bertil Ohlin.

(ii) Adam Smith.

(iii) David Ricardo.

(iv) Gottfried Haberler.

Codes:

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

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

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

Ans: (C) (a)-(iii), (b)-(iv), (c)-(i), (d)-(ii).

9. Match the items of List – I (international Agencies) with the items of List – II (Year of establishment) and select the correct answer from the codes given below:

List-I

List-II

(a) International Monetary Fund.

(b) International Finance Corporation.

(d) Asian Development Bank.

(e) International Development Agency.

(1) 1930.

(2) 1944.

(3) 1956.

(4) 1960.

(5) 1966

Codes:

(A) (a)-(1), (b)-(2), (c)-(4), (d)-(5), (e)-(3).

(B) (a)-(2), (b)-(3), (c)-(1), (d)-(5), (e)-(4).

(D) (a)-(5), (b)-(4), (c)-(3), (d)-(2), (e)-(1).

Ans: (B) (a)-(2), (b)-(3), (c)-(1), (d)-(5), (e)-(4).

10. Match the items of List – A with the items of List – B, which are related in a particular manner; and select the correct answer code from the codes given below:

List – A

List – B

(a) Free Trade Agreement.

(b) North America Free Trade Agreement.

(d) General Agreement on Tariff and Trade.

(e) World Intellectual Property Organization.

(1) 1947.

(2) 1967.

(3) 1988.

(4) 1994.

(5) 1995.

Codes:

(A) (a)-(3), (b)-(4), (c)-(1), (d)-(2), (e)-(5).

(B) (a)-(3), (b)-(4), (c)-(1), (d)-(5), (e)-(2).

(D) (a)-(3), (b)-(4), (c)-(5), (d)-(2), (e)-(1).

Ans: (C) (a)-(3), (b)-(4), (c)-(5), (d)-(1), (e)-(2).

11. Which of the following best shows the accounting equation?

(A) Total assets = Total liabilities + Total shareholders’ equity.

(B) Total assets + Total liabilities = Total shareholders’ equity.

(D) None of the above.

Ans: (A) Total assets = Total liabilities + Total shareholders’ equity.

12. Which statement among the following is not correct about National Financial Reporting Authority (NFRA)?

(A) NFRA was constituted by the Government of India under section 132(1) of the Companies Act, 2013.

(B) If works under Institute of Chartered Accounts of India (ICAI) to monitor and enforce compliance with accounting and auditing standard.

(D) Make recommendation on the foundation and laying down of accounting and auditing policies and standard.

Ans: (B) If works under Institute of Chartered Accounts of India (ICAI) to monitor and enforce compliance with accounting and auditing standard.

13. Margin of safety may be improved by

(A) Increasing sales volume.

(B) Increasing fixed cost.

(D) All of the above.

Ans: (A) Increasing sales volume.

14. Select from the options given below as correct option.

The main objective of Accounting Standard is:

(A) To prepare the accounting reports which is easily understood by common man?

(B) To comply with legal formalities.

(D) To facilitate tax revenue.

Ans: (C) To harmonise the diversified accounting practices.

15. Find out the true statement from the following:

(A) Goodwill of a partnership firm has no relation with the efforts made by the existing partners in the past.

(B) When the new partner brings his/her share of goodwill in cash, the amount brought in by the new partner is transferred to the existing partner in the existing profit sharing ratio.

(C) When there is any goodwill account in the balance sheet of existing partnership firm, it will be written off in new profit sharing ratio among partners.

(D) If a new partner does not bring necessary cash for goodwill then goodwill account can be raised in the books.

Ans: (D) If a new partner does not bring necessary cash for goodwill then goodwill account can be raised in the books.

16. Read the Assertion (Ass) and Reasoning (R) and select the correct answer code given below:

Assertion (Ass): Proposed Dividend is shown on the liability side of the balance sheet.

Reason (R): Proposed Dividend cannot be distributed unless it is approved in the annual general meeting.

Codes:

(A) Both (Ass) and (R) are individually correct and (R) is a correct explanation of (Ass).

(B) Both (Ass) and (R) are individually correct but (R) is not the correct explanation of (Ass).

(D) (Ass) is incorrect but (R) is correct.

Ans: (D) (Ass) is incorrect but (R) is correct.

17. Read the statements and select the correct answer from the codes given:

Statement I: Continuation of a business entity as a going concern is presumed as the basis for financial reporting unless and until the entity’s liquidation becomes imminent.

Statement II: Cash basis considers the revenue as realized when the goods are produced.

Codes:

(A) Statement II is true but I is false.

(B) Statement I is true but II is false.

(D) Both the statements I and II are true.

Ans: (B) Statement I is true but II is false.

18. Read the Assertion (Ass) and Reason (R) and find the correct answer using codes given below:

Assertion (Ass): For a large business concern, an auditor, instead of checking details of all financial transactions, has to take up test checking based on some statistical sampling technique.

Reason (R): When the volume of work involved in undertaking is large, detailed verification of all financial transactions can be reduced by adopting test checking on the basis of statistical sampling technique.

Codes:

(A) Both (Ass) and (R) are correct and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are correct but (R) is not the correct explanation of (Ass).

(D) (Ass) is incorrect but (R) is correct.

Ans: (A) Both (Ass) and (R) are correct and (R) is the correct explanation of (Ass).

19. For the statement Assertion (Ass) and Reason (R), select the correct answer using the codes given below:

Assertion (Ass): Ratio Analysis is one of the tools employed to know the financial health of a concern.

Reason (R): Ratio Analysis is not the only technique available to take investment decision.

Codes:

(A) Both (Ass) and (R) are true and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are true but (R) is not the correct explanation of (Ass).

(D) (Ass) is false but (R) is true.

Ans: (A) Both (Ass) and (R) are true and (R) is the correct explanation of (Ass).

20. Read the Assertion (Ass) and Reason (R) and find the correct answer using the codes given below:

Assertion (Ass): The financial statements prepared on historical cost basis results in erosion of capital in the long run.

Reason (R): Maintaining the books of accounts as per Current Purchasing Power technique only may contain the inflationary pressure.

Codes:

(A) Both (Ass) and (R) are true and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are true but (R) is not the correct explanation of (Ass).

(D) (Ass) is false but (R) is true.

Ans: (B) Both (Ass) and (R) are true but (R) is not the correct explanation of (Ass).

21. A situation in which the number of competing firms is relatively small is known as:

(A) Oligopoly.

(B) Perfect competition.

(D) Monopoly.

Ans: (A) Oligopoly.

22. Match the items of List – I with items List – II and indicate the code of correct matching:

List-I

List-II

(a) Economies of Scale.

(b) Internal economies.

(d) Economics of scope.

(i) Arise with lower average costs of manufacturing a product when two complementary products are produced by a single firm.

(ii) Mean lowering costs of production by producing in bulk.

(iii) Arise when cost per unit depends on size of the firm.

(iv) Arise when cost per unit depends on size of industry, not the firm.

Codes:

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

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

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

Ans: (C) (a)-(ii), (b)-(iii), (c)-(iv), (d)-(i).

23. Read the following statements and select the correct answer from the codes given:

Statement I: Point price elasticity of demand in terms of marginal revenue (MR) and average revenue (AR) can be measured with the following formula: AR/(AR – MR).

Statement II: The point price elasticity of demand is the product of the slope of the demand function and the ratio between corresponding price and quantity.

Codes:

(A) Both the statements are correct.

(B) Both the statements are incorrect.

(D) Statement (I) is incorrect while statement (II) is correct.

Ans: (A) Both the statements are correct.

24. Read the statements given below Assertion (Ass) and Reason (R) and choose the correct answer using codes given below:

Assertion (Ass): Profit is reward for innovation.

Reason (R): Interest is reward for postponing consumption.

Codes:

(A) Both (Ass) and (R) are true and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are true but (R) is not the correct explanation of (Ass).

(D) (Ass) is false but (R) is true.

Ans: (B) Both (Ass) and (R) are true but (R) is not the correct explanation of (Ass).

25. Read the statements (a), (b) and (c) and State whether they are true or false according to the combinations given in the answer codes:

(a) At a point of satiety for a commodity the marginal utility is negative.

(b) A rectangular hyperbola shaped demand curve on all its points has unequal slopes and equal point Elasticities.

Codes:

(A) (a)-False, (b)-True, (c)-False.

(B) (a)-True, (b)-False, (c)-True.

(D) (a)-False, (b)-True, (c)-True.

Ans: (A) (a)-False, (b)-True, (c)-False.

26. Match the items of List – A showing types of Price Elasticity of Demand (PED) to the items of List – B showing various functional notations, and select the correct answer code given below:

List – A

List – B

(a) Perfectly elastic.

(b) Perfectly inelastic.

(d) Elastic.

(e) Inelastic.

(1) PED < 1.

(2) PED > 1.

(3) PED = 1.

(4) PED = 0.

(5) PED = ¥

Codes:

(A) (a)-(4), (b)-(5), (c)-(3), (d)-(2), (e)-(1).

(B) (a)-(4), (b)-(5), (c)-(3), (d)-(1), (e)-(2).

(D) (a)-(5), (b)-(4), (c)-(3), (d)-(1), (e)-(2).

Ans: (C) (a)-(5), (b)-(4), (c)-(3), (d)-(2), (e)-(1).

27. Select the correct answer: When a good is used for multiple purposes, then the demand for this good is called as:

(A) Direct Demand.

(B) Multiple Demand.

(D) Joint Demand.

Ans: (C) Composite Demand.

28. Cost incurred because of new decision taken by management is called:

(A) Sunk cost.

(B) Variable cost.

(D) Fixed cost.

Ans: (C) Incremental cost.

29. In long-run equilibrium, the price in perfectly competitive market is equal to –

(A) Short-run marginal cost.

(B) Short-run average total cost.

(D) None of the above.

Ans: (B) Short-run average total cost.

30. Read the statements and select the correct answer:

Statement I: On every point on the straight line demand curve, the point Elasticities are all equal.

Statement II: On every point on the rectangular hyperbola shaped demand curve, the point Elasticities are not equal.

Codes:

(A) Both statements are correct.

(B) Both statements are incorrect.

(D) Statement II is correct while I is correct.

Ans: (B) Both statements are incorrect.

31. Which of the following statement is NOT TRUE with regard to Special Drawing Rights (SDRs)?

(A) SRDs are supplementary foreign exchange reserve assets and maintained by the International Monetary Fund (IMF).

(B) SDRs are units of accounts for the IMF.

(D) SDRs are currencies of the IMF.

Ans: (D) SDRs are currencies of the IMF.

32. Read the Assertion (Ass) and Reason (R) and find the correct answer using the codes given below:

Assertion (Ass): Return on Investment is the prime ratio for judging profitability of a company.

Reason (R): The turnover of a company plays a major role in determining the Return on Investment of a company.

Codes:

(A) Both (Ass) and (R) are correct and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are correct but (R) is not the correct explanation of (Ass).

(D) (Ass) is incorrect but (R) is correct.

Ans: (B) Both (Ass) and (R) are correct but (R) is not the correct explanation of (Ass).

33. Which of the following analysis is suitable for risk-return analysis in financial decisions?

(A) CAPM analysis.

(B) SWOT analysis.

(D) EVA analysis.

Ans: (A) CAPM analysis.

34. Match the items of List – I with the items of List – II and select the correct answer using the codes given below:

List-I

List-II

(a) Modigliani-Miller approach.

(b) Net operation income approach.

(d) Factoring.

(i) Commercial Paper.

(ii) Working Capital.

(iii) Capital Structure.

(iv) Arbitrage.

Codes:

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

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

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

Ans: (A) (a)-(iv), (b)-(iii), (c)-(i), (d)-(ii).

35. Match List – I and List – II and select the correct answer from the codes given below:

List-I

List-II

(a) Capital Budgeting.

(b) Profitability Index.

(d) Capital investment decisions.

(i) Time adjusted rate of return.

(ii) Irreversible.

(iii) Benefit/Cost.

(iv) Planning Capital Expenditure.

Codes:

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

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

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

Ans: (C) (a)-(iv), (b)-(iii), (c)-(i), (d)-(ii).

36. Match the items of List – I with the items of List – II and select the appropriate code as correct matching:

List-I

List-II

(a) Financial Breakeven Point.

(b) Cost Volume Profit Analysis.

(d) Net Operating Income Approach.

(i) Rate of discount at which NPV is zero.

(ii) Cost of Capital remains the same for different degrees of financial leverage.

(iii) Analysis to study relationship among fixed cost, variable costs, sales volume and profits.

(iv) The minimum level of EBIT needed to satisfy all fixed financial charges.

Codes:

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

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

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

Ans: (A) (a)-(iv), (b)-(iii), (c)-(i), (d)-(ii).

37. Match the items of List – I with the items of List – II from the codes given below:

List-I

List-II

(a) Liquidity Risk.

(b) Business Risk.

(d) Inflation Risk.

(i) Risk related to purchasing power of income.

(ii) Risk related to Firm’s Capital structure.

(iii) Risk related to inability to pay its dues on time.

(iv) Risk related to fluctuations in profits.

Codes:

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

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

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

Ans: (D) (a)-(iii), (b)-(iv), (c)-(ii), (d)-(i).

38. Which of the following are internal hedging techniques?

I. Leading.

II. Netting.

III. Swap.

Select the correct answer code from the following:

(A) I and II.

(B) II and III.

(D) I, II and III.

Ans: (A) I and II.

39. Examine the following statements about the functions of a financial system and state whether they are True / False selecting correct option from the codes given below:

(i) Facilitates operation of a payment system.

(ii) Provides the means of portfolio adjustment.

(iii) Helps speculators to be on price movements.

(iv) Channelises funds between lenders and borrowers.

Codes:

(A) (i)-True, (ii)-False, (iii)-True, (iv)-True.

(B) (i)-True, (ii)-True, (iii)-False, (iv)-False.

(D) (i)-False, (ii)-False, (iii)-False, (iv)-True.

Ans: (C) (i)-True, (ii)-True, (iii)-False, (iv)-True.

40. Match List – I with List – II and select the correct answer using codes below:

List-I

List-II

(a) The discounting rate at which the present value of cash inflows is equal to the cash outflow.

(b) The present value of cash inflows minus present value of cash outflows.

(d) Relationship between systematic risk and expected returns on stock.

(1) Cost of Capital.

(2) Net Present Value.

(3) Internal Rate of Return.

(4) Beta.

Codes:

(A) (a)-(3), (b)-(1), (c)-(4), (d)-(2).

(B) (a)-(3), (b)-(2), (c)-(1), (d)-(4).

(D) (a)-(4), (b)-(3), (c)-(2), (d)-(1).

Ans: (B) (a)-(3), (b)-(2), (c)-(1), (d)-(4).

41. If unexplained variation between variables X and Y is 36%, what is the coefficient of correlation between the variables?

(A) 0.36.

(B) 0.64.

(D) 0.80.

Ans: (D) 0.80.

42. If the population is heterogeneous, which one of the following probability sampling methods is more appropriate?

(A) Stratified Sampling.

(B) Cluster Sampling.

(D) Snowball Sampling.

Ans: (A) Stratified Sampling.

43. Read the following statements and select the correct answer:

Statement I: In forming a 90% confidence interval for a population mean from a sample size of 22, the number of degrees of freedom from a t-distribution equals 22.

Statement II: Suppose, in a testing hypothesis for the population proportion, the p-value is computed to be 0.143. The null hypothesis should be rejected if the chosen level of significance is 0.05.

Codes:

(A) Statement I is true, but Statement II is false.

(B) Statement II is true, but Statement I is false.

(D) Both the statements I and I are true.

Ans: (C) Both the statements I and II are false.

44. Read the statements (a), (b) and (c) and state whether they are true or false according to the combinations given in the answer codes:

(a) The mathematical formula for joint probabilities P (AB) = P (A/B) x P (B) holds good when the events are statistically independent.

(b) In a decision problem having four alternatives and six states the pay-off table will include ten pay-offs.

Codes:

(A) (a)-True, (b)-True, (c)-False.

(B) (a)-False, (b)-False, (c)-True.

(D) (a)-True, (b)-True, (c)-True.

Ans: (B) (a)-False, (b)-False, (c)-True.

45. Read the statements and select the correct answer from the codes given.

Statement I: If regression coefficient of X and Y is greater than one, regression coefficient of Y and X must be less than one.

Statement II: The geometric mean between two regression coefficients is the coefficient of correlation.

Codes:

(A) Both statements are correct.

(B) Statement I is correct; Statement II is incorrect.

(D) Both statements are incorrect.

Ans: (A) Both statements are correct.

46. Which of the following is not a non-parametric test?

(A) t-test.

(B) Run-test.

(D) Chi-square test.

Ans: (A) t-test.

47. Which of the following is measured by the split-half reliability method?

(A) Internal consistent reliability.

(B) Test-retest reliability.

(D) None of the above.

Ans: (A) Internal consistent reliability.

48. In normally distributed data, the level of skewness and kurtosis must be _______.

(A) one.

(B) zero.

(D) more than one.

Ans: (B) zero.

49. State which of the following statements are True / False by selecting the correct option from the codes given below:

1. Hypothesis testing cannot be done with the help of p-value.

2. Accepting a null hypothesis, when it is true, does not result in an error.

3. Rejecting a null hypothesis when it is actually true, results in an error.

Codes:

(A) 1-True, 2-False, 3-True.

(B) 1-False, 2-False, 3-True.

(D) 1-True, 2-False, 3-False.

Ans: (C) 1-False, 2-True, 3-True.

50. Match List – I against List – II and select the correct answer code given below:

List-I

List-II

(i) Median.

(ii) Percentile.

(iii) Decile.

(iv) Quartile.

(a) Divide frequency into two parts.

(b) Divide frequency into four parts.

(d) Divide frequency into 100 parts.

Codes:

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

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

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

Ans: (A) (i)-(a), (ii)-(d), (iii)-(c), (iv)-(b).

51. Examine the following statements and state whether they are True / False and select the correct option from the codes given below:

(i) First-line supervisors are responsible for directing the day-to-day activities of operative employees.

(ii) Since the “bottom-line” cannot be measured in non-profit organizations, managers do not need to focus on the financial aspects of their operations.

(iii) Organisations that are more efficient are always effective.

(iv) Bottom-down budgets are always effective.

Codes:

(A) (i)-True, (ii)-False, (iii)-False, (iv)-False.

(B) (i)-False, (ii)-False, (iii)-True, (iv)-True.

(D) (i)-True, (ii)- True, (iii)- True, (iv)-False.

Ans: (A) (i)-True, (ii)-False, (iii)-False, (iv)-False.

52. Match List – I with List – II:

List-I

List-II

(a) When an employee is suspected to be guilty but not yet proved.

(b) Employees appraised based on their reaction on certain situation appraisal method.

(d) An employee is trained for a key position in the organization.

(i) Critical incident method.

(ii) Succession Planning.

(iii) Suspension.

(iv) The 360-Degree Appraisal.

Choose the correct option from the codes given below:

Codes:

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

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

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

Ans: (C) (a)-(iii), (b)-(i), (c)-(iv), (d)-(ii).

53. For the following two statements of Assertion (Ass) and Reasoning (R) indicate the correct code of answer given below:

Assertion (Ass): Vertical integration is considered as a growth strategy because the firms’ operations are expanded beyond the primary business.

Reason (R): Vertical integration is the mixed empirical result to ascertain whether the strategy helps or hinders the performances.

Codes:

(A) Both (Ass) and (R) are correct and (R) is the right explanation of (Ass).

(B) Both (Ass) and (R) are correct but (R) is not the right explanation of (Ass).

(D) (R) is correct but (Ass) is not correct.

Ans: (B) Both (Ass) and (R) are correct but (R) is not the right explanation of (Ass).

54. The technique of Carrot and Stick approach is used for:

(A) Reducing Absenteeism.

(B) Rewarding.

(D) Motivating.

Ans: (D) Motivating.

55. Which of the following management thinkers has written a book title ‘Practice of Management’?

(A) Peter F Drucker.

(B) Terry.

(D) Henry Fayol.

Ans: (A) Peter F Drucker.

56. Read the statements Assertion (Ass) and Reasoning (R), and select the correct answer from the codes given below:

Assertion (Ass): Corporate culture is generally considered as either ‘closed or threatening’ or as ‘open and participatory’.

Reason (R): Corporate culture and style of functioning of top managers is important factor for determining the internal environment of a company.

Codes:

(A) (Ass) is correct, but (R) is wrong.

(B) (Ass) is incorrect, but (R) is correct.

(D) Both (Ass) and (R) are correct, but (R) is not the correct explanation of (Ass).

Ans: (C) Both (Ass) and (R) are correct, and (R) is the correct explanation of (Ass).

57. Read the statements Assertion (Ass) and Reasoning (R), and select the correct answer from the codes given below:

Assertion (Ass): No business runs itself; even on momentum…….every business needs repeated stimulus.

Reason (R): The management is the dynamic, life giving element in every business, without its leadership, the resources of production remain as resources and never become production.

Codes:

(A) Assertion (Ass) and Reasoning (R) both are correct and (R) is the correct explanation of (Ass).

(B) Assertion (Ass) and Reasoning (R), both are correct, but (R) is not the correct explanation of (Ass).

(D) Reasoning (R) is correct, but Assertion (Ass) is wrong.

Ans: (A) Assertion (Ass) and Reasoning (R) both are correct and (R) is the correct explanation of (Ass).

58. Match the items of List – I with the items of List – II and select the correct answer using the codes given below:

List-I

List-II

(a) The Practice of Management.

(b) Philosophy of Management.

(d) General and Industrial Administration.

(i) Henry Fayol.

(ii) F. W. Taylor.

(iii) Oliver Sheldon.

(iv) Peter F. Drucker.

(v) Philip Kotler.

Codes:

(A) (a)-(v), (b)-(iv), (c)-(i), (d)-(ii).

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

(D) (a)-(iv), (b)-(v), (c)-(ii), (d)-(i).

Ans: (B) (a)-(iv), (b)-(iii), (c)-(ii), (d)-(i).

59. Match List – I with List – II and select the correct answer using the codes given below the lists:

List-I

List-II

(a) Maslow.

(b) Herzberg.

(d) McGregor.

(i) Hygiene Theory.

(ii) X and Y Theories.

(iii) Need Hierarchy.

(iv) Z Theory.

Codes:

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

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

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

Ans: (D) (a)-(iii), (b)-(i), (c)-(iv), (d)-(ii).

60. Match List – I with List –II and select the correct answer using the codes given below:

List-I

List-II

(a) Provides information for determining remuneration for different job.

(b) Deciding on the contents of a job in terms of duties and responsibilities.

(d) Identifies gaps in existing manpower in terms of quantity and talent.

(1) Performance Appraisal.

(2) Job Evaluation.

(3) Human Resource Planning.

(4) Job Design.

Codes:

(A) (a)-(2), (b)-(3), (c)-(1), (d)-(4).

(B) (a)-(3), (b)-(2), (c)-(4), (d)-(1).

(D) (a)-(2), (b)-(4), (c)-(1), (d)-(3).

Ans: (D) (a)-(2), (b)-(4), (c)-(1), (d)-(3).

61. Which of the following is the oldest stock exchange in India?

(A) Bombay Stock Exchange.

(B) Ahmedabad Stock Exchange.

(D) Calcutta Stock Exchange.

Ans: (A) Bombay Stock Exchange.

62. Considering the issue of debt instrument to equity instrument option is a:

(A) Financing Decision.

(B) Investment Decision.

(D) Marketing Decision.

Ans: (A) Financing Decision.

63. Growth fund is a mutual fund that:

(A) Assures growth in income.

(B) Invests in fixed income securities.

(D) Invests primarily in equities.

Ans: (D) Invests primarily in equities.

64. Match List – I with List – II and select the correct answer using codes below:

List-I

List-II

(a) Exchange of Goods for Goods.

(b) Simultaneous fulfillment of mutual wants of buyers and sellers.

(d) Total volume of money held by public at a particular point of time.

(1) Money Supply.

(2) Double Co-incidence.

(3) Currency and coins with public.

(4) Barter Exchange.

Codes:

(A) (a)-(4), (b)-(3), (c)-(2), (d)-(1).

(B) (a)-(4), (b)-(2), (c)-(3), (d)-(1).

(D) (a)-(2), (b)-(4), (c)-(3), (d)-(1).

Ans: (B) (a)-(4), (b)-(2), (c)-(3), (d)-(1).

65. Match the items of List – I with the items of List – II and find out the correct matching:

List-I (Financial Institutions)

List-II (Year of Establishment)

(a) IFCI.

(b) IDBI.

(1) 1955.

(2) 1964.

(3) 1948

Codes:

(A) (a)-(1), (b)-(2), (c)-(3).

(B) (a)-(2), (b)-(1), (c)-(3).

(D) (a)-(3), (b)-(2), (c)-(1).

Ans: (D) (a)-(3), (b)-(2), (c)-(1).

66. With a view to encourage newer classes of entrepreneurs and bringing about wider dispersal of ownership and control of industrial undertakings, IDBI operates a special scheme for supplementing the equity contribution to projects made by small and new entrepreneurs. This scheme is known as:

(A) Seed Capital Assistance Scheme.

(B) Bridge Loan Scheme.

(D) Technical Development Fund Scheme.

Ans: (A) Seed Capital Assistance Scheme.

67. Read the statements Assertion (Ass) and Reasoning (R), and select the correct answer code:

Assertion (Ass): The Reserve Bank of India is entrusted with the management of the public debt and issue of new loans and treasury bills on behalf of the Central and State Govt.

Reason (R): The Governor and Deputy Governors of Reserve Bank of India are appointed by the Central Govt.

Codes:

(A) (Ass) is correct but (R) is not correct.

(B) (Ass) and (R) both are correct but (R) is not the right explanation of (Ass).

(D) (Ass) and (R) both are not correct.

Ans: (B) (Ass) and (R) both are correct but (R) is not the right explanation of (Ass).

68. Read the statements given below as Assertion (Ass) and Reason (R), and choose the correct answer using codes given below:

Assertion (Ass): If an investor could estimate the future return of a stock with high level of accuracy, the Capital Asset Pricing Model (CAPM) would not be necessary.

Reason (R): CAPM assumes that the future cash flows can be estimated for discounting process.

Codes:

(A) Both (Ass) and (R) are true and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are true but (R) is not the correct explanation of (Ass)

(D) (Ass) is false but (R) is true.

Ans: (B) Both (Ass) and (R) are true but (R) is not the correct explanation of (Ass)

69. Read the Assertion (Ass) and Reason (R) and find the correct answer using the codes given below:

Assertion (Ass): Prediction of price volatility of equity shares in recognised stock exchanges in India cannot be made with 100% accuracy.

Reason (R): Insider trading has made fundamental analysis of company shares useless.

Codes:

(A) Both (Ass) and (R) are correct and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are correct but (R) is not the correct explanation of (Ass)

(D) (Ass) is incorrect but (R) is correct.

Ans: (C) (Ass) is correct and (R) is incorrect.

70. Read the Assertion (Ass) and Reason (R) and select the correct answer code given below:

Assertion (Ass): The ‘net current assets’ concept of working capital is considered superior to the ‘current assets’ or ‘gross working capital’ concept because it indicates sound financial strength and liquidity of the firm.

Reason (R): It is important to consider all items of current assets while analysing the liquidity position of a firm to ascertain the ability of the firm to pay the short term liabilities.

Codes:

(A) Both (Ass) and (R) are individually correct and (R) is a correct explanation of (Ass).

(B) Both (Ass) and (R) are individually correct but (R) is not the correct explanation of (Ass)

(D) (Ass) is incorrect but (R) is correct.

Ans: (C) (Ass) is correct but (R) is incorrect.

71. Match List – I with List – II and select the correct answer using the codes given below the lists:

List-I

List-II

(a) Mega Marketing.

(b) Penetration Price.

(d) Customer Satisfaction.

(1) Advertising.

(2) Philip Kotler.

(3) Low Price.

(4) Post Purchase Behaviour.

Codes:

(A) (a)-(1), (b)-(2), (c)-(3), (d)-(4).

(B) (a)-(2), (b)-(3), (c)-(1), (d)-(4).

(D) (a)-(3), (b)-(4), (c)-(1), (d)-(2).

Ans: (B) (a)-(2), (b)-(3), (c)-(1), (d)-(4).

72. Match List – I with List – II and select the correct answer using codes below:

List-I

List-II

(a) Product Development.

(b) Market Development.

(d) Market Penetration.

(1) Increasing sales of existing products in existing markets.

(2) Selling existing products in new markets.

(3) Development of new products for sale in new markets.

(4) Developing new products for sale in existing markets.

Codes:

(A) (a)-(4), (b)-(2), (c)-(3), (d)-(1).

(B) (a)-(1), (b)-(2), (c)-(3), (d)-(4).

(D) (a)-(2), (b)-(3), (c)-(4), (d)-(1).

Ans: (A) (a)-(4), (b)-(2), (c)-(3), (d)-(1).

73. Read the statements given below as Assertion (Ass) and Reasoning (R), and choose the correct answer using codes given below:

Assertion (Ass): Customer is the centre stage of marketing approach in recent times.

Reason (R): Customer orientation is known as pillar of marketing approach in recent times.

Codes:

(A) Both (Ass) and (R) are false.

(B) Both (Ass) and (R) are correct.

(D) (Ass) is false but (R) is correct.

Ans: (B) Both (Ass) and (R) are correct.

74. For the following two statements of Assertion (Ass) and Reasoning (R) indicate the correct answer using the codes given below:

Assertion (Ass): The self-image could be an individual’s own perceived image and actual image based on how others perceive the individual.

Reason (R): Large number of products like credit cards, automobiles, readymade garments, designer ware, cosmetics and perfumes are bought due to self-image and demographic variables like income may not be important in purchase decisions for these products.

Codes:

(A) (Ass) and (R) both are not correct.

(B) (Ass) is correct but (R) is not correct.

(D) (Ass) is not correct but (R) is correct.

Ans: (C) (Ass) is correct and (R) is correct explanation for (Ass).

75. Read the following statements and select the correct answer from the codes given below:

Statement I: When companies make marketing decisions by considering consumers’ wants and the long-run interests of the company, consumer, and the general population, they are practicing the Consumer-oriented marketing principles.

Statement II: The Product line pricing is used as price points for reference to different levels of quality for a company’s related products.

Codes:

(A) Statement I is true but Statement II is false.

(B) Statement II is true but Statement I is false.

(D) Both the statements I and II are true.

Ans: (B) Statement II is true but Statement I is false.

76. Examine the following statements and state whether they are True / False selecting correct option from the codes given below:

(i) Organisational purchase decisions are influenced by the firm’s external variables only.

(ii) Learned motives are those motives that a customer acquires or learns from the environment.

(iii) A clearly defined segment must react to changes in any of the elements of the marketing mix.

(iv) Creating a brand is not the ultimate aim of a marketing Endeavour.

Codes:

(A) (i)-True, (ii)-False, (iii)-False, (iv)-True.

(B) (i)-False, (ii)-False, (iii)-True, (iv)-True.

(D) (i)-True, (ii)- True, (iii)- True, (iv)-False.

Ans: (C) (i)-False, (ii)-True, (iii)- True, (iv)-False.

77. Match the items of List – I with those of List – II and indicate the correct code:

List-I

List-II

(a) Forecasting.

(b) Inventorying.

(d) Planning Programs.

(i) Optimal Employment.

(ii) Development Activities.

(iii) Mathematical Projections of Industrial trend.

(iv) Projecting present resources into future.

Codes:

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

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

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

Ans: (C) (a)-(iii), (b)-(i), (c)-(iv), (d)-(ii).

78. In integrating specialist functions of product management with the line function of sales, as major challenge to top management, can be achieved by which type of marketing organization?

(A) Functional organization.

(B) Matrix organization.

(D) Limited liability organization.

Ans: (B) Matrix organization.

79. In marketing function of a business the final step in target marketing is:

(A) Market Analysis.

(B) Market Positioning.

(D) Market Targeting.

Ans: (B) Market Positioning.

80. Match the items of List – I with those of List – II and indicate the correct code:

List-I

List-II

(a) Undue influence.

(b) Misrepresentation.

(d) Fraud.

(i) Section 15 of the Indian Contract Act.

(ii) Section 16 of the Indian Contract Act.

(iii) Section 17 of the Indian Contract Act.

(iv) Section 18 of the Indian Contract Act.

Codes:

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

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

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

Ans: (B) (a)-(ii), (b)-(iv), (c)-(i), (d)-(iii).

81. X entered into a contract with Y to deliver certain goods to Y. X offered the goods to Y at proper time and place, but Y refused to accept the goods. In this case:

(A) X does not have any right against Y.

(B) X can sue Y for breach of contract, but not discharged from his liability.

(D) Y is not liable for breach of contract.

Ans: (C) X is discharged from his liability and can also sue Y for breach of contract.

82. ‘IGST’ is payable when the supply is:

(A) Interstate.

(B) Intrastate.

(D) All of the above.

Ans: (A) Interstate.

83. Section 135 of the Companies Act, 2013 deals with

(A) Depreciation.

(B) Impairment of assets.

(D) Corporate Social Responsibility.

Ans: (D) Corporate Social Responsibility.

84. In case of transfer of capital goods or plant and machinery, the registered person shall:

(A) be liable to pay the input tax credit claimed.

(B) liable to pay reverse charges.

(D) None of the above.

Ans: (A) be liable to pay the input tax credit claimed.

85. In India, literary work is protected until

(A) life time of the author.

(B) 25 years after the death of the author.

(D) 60 years after the death of the author.

Ans: (D) 60 years after the death of the author.

86. Indian Contract Act was passed in the year

(A) 1881.

(B) 1930.

(D) 2008.

Ans: (C) 1872.

87. Goods displayed in a shop with the price label is:

(A) an offer.

(B) a counter offer.

(D) a contra offer.

Ans: (C) an invitation of offer.

88. Read the following statements and select the correct answer from the codes given below:

Statement I: An exception to the doctrine of constructive notice is the doctrine of indoor management.

Statement II: A joint stock company is a juristic person with perpetual succession after its registration.

Codes:

(A) Statement I is true but Statement II is false.

(B) Statement II is true but Statement I is false.

(D) Both the statements I and II are true.

Ans: (D) Both the statements I and II are true.

89. Match the List – I with List – II and find the correct combination using the codes given below:

List-I

List-II

(a) Right to Information Act.

(b) Information Technology Act.

(d) Companies Act.

(i) 2013.

(ii) 2005.

(iii) 2002.

(iv) 2008.

(v) 2000.

Codes:

(A) (a)-(iii), (b)-(ii), (c)-(v), (d)-(i).

(B) (a)-(ii), (b)-(v), (c)-(iv), (d)-(i).

(D) (a)-(ii), (b)-(i), (c)-(v), (d)-(iii).

Ans: (B) (a)-(ii), (b)-(v), (c)-(iv), (d)-(i).

90. Which of the following income is not chargeable as income from business or profession?

(A) Profits and gains of business carried by an assessee during the previous year.

(B) Income derived by a trade, professional or similar association from specific services performed for its members.

(D) Salary received by a partner of a firm from the firm in which he is a partner.

Ans: (C) Income from activity of owning and maintaining race horses.

91. Maximum period to carry forward losses for the activity of owning and maintaining race horses is:

(A) 4 years.

(B) 8 years.

(D) 12 years.

Ans: (A) 4 years.

92. Mr. X has one let out property in Guwahati, whose Gross Municipal Value is Rs. 4,00,000, Fair Rent is Rs. 4,80,000 and Standard Rent is Rs. 4,50,000. Rent received for 9 months is Rs. 4,14,000 and vacancy period is 3 months. The Gross Annual Value of the property for the Assessment Year 2021 – 22 is:

(A) Rs. 4,14,000.

(B) Rs. 4,80,000.

(D) Rs. 3,42,000.

Ans: (A) Rs. 4,14,000.

93. Match the items of List – I with the items of List – II and select the correct answer code:

List-I

List-II

(a) Section 10B (1).

(b) Section 10 (B).

(d) Section 10 (3).

(1) Retrenchment Compensation.

(2) Profits and gains derived from a 100% export oriented undertaking.

(3) Commuted Pension.

(4) Casual Income.

Codes:

(A) (a)-(1), (b)-(2), (c)-(3), (d)-(4).

(B) (a)-(1), (b)-(3), (c)-(2), (d)-(4).

(D) (a)-(2), (b)-(1), (c)-(3), (d)-(4).

Ans: (D) (a)-(2), (b)-(1), (c)-(3), (d)-(4).

94. Which of the following is not a capital asset as defined by the Income Tax Act of India?

(A) Self occupied property in Guwahati.

(B) Shares in an Indian Company.

(D) Personal Car.

Ans: (D) Personal Car.

95. Match the items of List – I with the items of List – II and select the correct answer code:

List-I

List-II

(a) Interest on arrears of rent in respect of agricultural land.

(b) Rent received from a furnished Cinema Hall.

(d) House Rent Allowance.

(1) Taxable under the Head Income from other sources.

(2) Taxable under the Head Income from Business.

(3) Partially exempted.

(4) Fully exempted.

Codes:

(A) (a)-(1), (b)-(2), (c)-(4), (d)-(3).

(B) (a)-(2), (b)-(1), (c)-(4), (d)-(3).

(D) (a)-(4), (b)-(2), (c)-(3), (d)-(1).

Ans: (A) (a)-(1), (b)-(2), (c)-(4), (d)-(3).

96. Read the Assertion (Ass) and Reason (R) and find the correct answer using the codes given below:

Assertion (Ass): A domestic company can opt to pay corporate taxes @ 22% on its income under section 115BAA instead of paying taxes @ 30% for the Assessment Year 2021-22.

Reason (R): If a company opts for section 115BAA it cannot set off carried forward loss and unabsorbed depreciation from any earlier Assessment Year.

Codes:

(A) Both (Ass) and (R) are correct and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are correct but(R) is not the correct explanation of (Ass).

(D) (Ass) is incorrect but (R) is correct.

Ans: (B) Both (Ass) and (R) are correct but(R) is not the correct explanation of (Ass).

97. While calculating direct tax payable u/s 7 of the Payment of Bonus Act, which of the following should not be considered?

(A) Exemption under IT Act.

(B) Deduction under IT Act.

(D) All of the above.

Ans: (D) All of the above.

98. Read the statement Assertion (Ass) and Reasoning (R), and select the correct answer code from the given codes:

Assertion (Ass): Sushil is using a motor car for his personal purposes, but charges as business expenditure – an act of tax evasion and illegal.

Reason (R): It is not unlawful to treat a personal expenditure as business expenditure as he is a director of the organisation. Sushil is resorting to no unfair means to claim deduction by falsification of records. Thus, not an act of tax evasion and illegal.

Codes:

(A) Both (Ass) and (R) are true and (R) is the correct explanation of (Ass).

(B) Both (Ass) and (R) are true and (R) is not the correct explanation of (Ass).

(D) (Ass) is false but (R) is true.

Ans: (C) (Ass) is true but (R) is false.

99. Read the statements (a), (b) and (c) and examine whether they are True or False and select the correct combination of answer codes given below:

(a) Unabsorbed depreciation allowance can be carried forward for eight years for set off against corporate profits.

(b) Unabsorbed business losses can be carried forward foe eight years for set off against corporate profits.

(c) Additional depreciation allowance cannot be set off against corporate profits if a company opts for paying taxes under section 115BAA of the Income Tax Act.

Codes:

(A) (a)-True, (b)-False, (c)-False.

(B) (a)-False, (b)- True, (c)- True.

(D) (a)-False, (b)- True, (c)-False.

Ans: (B) (a)-False, (b)- True, (c)- True.

100. Match List – I with List – II and select the correct answer using the codes given below the lists:

List-I

List-II

(a) Calls in Advance.

(b) Income received in advance.

(d) Debenture redeemable within 10 months.

(i) Non-current liability.

(ii) Other Non-current liability.

(iii) Other Current liability.

(iv) Current liability.

Codes:

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

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

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

Ans: (C) (a)-(ii), (b)-(iii), (c)-(i), (d)-(iv).

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