CG SET Commerce 2017 Solved - Master Multiple Choice Questions in Commerce and Management

1.

(A)

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

(B)

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

(C)

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

(D)

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

2.

The objective(s) set forth before the competition commission of India is/are:

(a) Checking the anti-competitive practices.

(b) Prohibiting abuse of dominance.

(c) Regulating business combinations.

(A)

Only (b) and (c)

(B)

Only (a) and (b)

(C)

Only (a) and (c)

(D)

All of the above

3.

Which of the following factor(s) is/are excluded from the calculation of GDP?

(a) Private consumption

(b) Gross investment

(c) Net of export and import

(d) Government Investment and Government Spending

(A)

Only (a) and (b)

(B)

Only (b) and (c)

(C)

Only (c) and (d)

(D)

None of them

4.

Assertion (A): FEMA has been brought to repeal FERA.

Reason (R): Industries found FERA as a kind of draconian Law.

(A)

Both (A) and (R) are true.

(B)

Both (A) and (R) are false.

(C)

Only (A) is true but (R) is false.

(D)

(A) is true but (R) is not the correct explanation.

5.

Assertion (A): Industrial Policy 1956 laid more emphasis on setting up of heavy industries.

Reason (R): Heavy industries create more employment.

(A)

Both (A) and (R) are true.

(B)

Both (A) and (R) are false.

(C)

(A) is true but (R) is not true.

(D)

(A) is not true but (R) is true.

6.

Assertion (A): When a company earns profit prior to its incorporation it is called Capital profit.

Reason (R): Capital profit cannot be used for distribution as dividend among the shareholders.

(A)

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

(B)

Both (A) and (R) are wrong.

(C)

Both (A) and (R) are correct.

(D)

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

7.

(A)

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

(B)

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

(C)

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

(D)

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

8.

Statement of cash flows is associated with: (a) Ind AS - 7

(b) Ind AS - 1

(c) Ind AS - 101

(d) Ind AS - 8

(e) AS - 3

(f) AS - 29

(A)

(a) (b) (e) (c) (d)

(B)

Only (a) (e) (c) (f)

(C)

Only (b) (d) (f)

(D)

Only (a) (e)

9.

In break-even chart Y-axis represents:

(A)

Volume of Sales in Unit

(B)

Value of Sales in Rupees

(C)

Cost and Sales in Rupees

(D)

Value of Production in Rupees

10.

A company sells two products : Product 'X' : Contribution margin ratio 20% and sales 2,00,000 Product 'Y': Contribution margin ratio 40% and sales 1,00,000

If Actual Sales were 'X'- 1,00,000 and 'Y'- Z 2,00,000 total contribution would :

(A)

Increase 10,000

(B)

Decrease 10,000

(C)

Increase 20,000

(D)

Decrease 20,000

11.

The nature of cross price elasticity of demand in case of complementary products will be:

(A)

positive

(B)

negative

(C)

zero

(D)

both (A) and (B)

12.

Which one of the following statements is correct?

(A)

Monopolist charges the maximum possible price.

(B)

Monopolist always makes economic profit.

(C)

Monopolist operates on an inelastic demand curve.

(D)

None of the above.

13.

(A)

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

(B)

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

(C)

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

(D)

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

14.

Consider the following tests:

(a) z-test

(b) t-test

(c) f-test

(d) χ² (chi-square) test

(A)

Only (a) and (b)

(B)

Only (b) and (c)

(C)

Only (c) and (d)

(D)

Only (b), (c), and (d)

15.

(A)

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

(B)

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

(C)

Both (A) and (R) are correct.

(D)

Both (A) and (R) are wrong.

16.

(A)

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

(B)

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

(C)

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

(D)

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

17.

The steps involved in hypothesis test are stated below:

(a) Setting up the hypothesis

(b) Test statistic

(c) Selecting a significance level

(d) Critical value

(e) Decision

Indicate the correct sequence of the above steps from the following codes:

(A)

(a) (b) (c) (d) (e)

(B)

(a) (c) (b) (d) (e)

(C)

(d) (c) (b) (a) (e)

(D)

(b) (a) (c) (d) (e)

18.

't' test can be applied in examining:

(a) Pearson's simple correlation

(b) Spearman's rank correlation

(c) Partial correlation

(d) Multiple correlation

(A)

(a) (b) (c) (d)

(B)

Only (a) (b) (c)

(C)

Only (a) (b) (d)

(D)

Only (a) (b)

19.

Assertion (A): The degree of relationship between 𝑥1 and the joint influence of 𝑥2 and 𝑥3 on 𝑥1 is called multiple correlation of 𝑥1 on 𝑥2 and 𝑥3.

Reason (R): Multiple correlation of 𝑥1 on 𝑥2 and 𝑥3 can be used for the purpose of ascertaining the partial correlation between 𝑥1 and 𝑥2 and the partial correlation between 𝑥1 and 𝑥3.

(A)

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

(B)

Both (A) and (R) are correct.

(C)

Both (A) and (R) are wrong.

(D)

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

20.

Which of the following tasks are associated with the term 'Staffing'?

(a) Training

(b) Appraisal

(c) Placement

(d) Directing

(A)

Only (a) and (b)

(B)

Only (a) (b) and (c)

(C)

Only (b) and (c)

(D)

All of the above

21.

"Worker is not a cog in the machine." The principle underlying the above statement is associated with:

(A)

Scientific Management

(B)

Modern Management

(C)

Human Relations Approach

(D)

None of the above

22.

(A)

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

(B)

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

(C)

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

(D)

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

23.

Grapevine is the term associated with:

(A)

Formal communication

(B)

Informal communication

(C)

Both formal and informal communication

(D)

None of the above

24.

Which of the following are the attributes of a Clan culture?

(a) Loyalty

(b) Personal commitment

(c) Teamwork

(d) Self-management

(e) Social influences

(A)

(a) (b) (c) (d) (e)

(B)

Only (a) (b) (c) (d)

(C)

Only (a) (b) (c) (e)

(D)

Only (b) (c) (d) (e)

25.

Visual representation of consumer perceptions and preferences is known as:

(A)

Perceptual map

(B)

Position

(C)

Repositioning

(D)

Presentation

26.

Modern Marketing Management four Ps are:

(A)

People, Process, Programs, Performance

(B)

Product, Place, Promotion, Price

(C)

Process, Place, Promotion, Product

(D)

People, Process, Place, Promotion

27.

Assertion (A): Multicultural Marketing is an approach recognizing that different ethnic and cultural segments have different needs.

Reason (R): Therefore, a mass market approach is required to satisfy them.

(A)

Both (A) and (R) are true

(B)

(A) is true but (R) is not true

(C)

(A) is not true but (R) is true

(D)

Both (A) and (R) are not true

28.

Assertion (A): Selective distortion is the tendency to interpret information in a way that fits our preconceptions.

Reason (R): Consumers will not distort information to be consistent with prior brand and product beliefs and expectations.

(A)

Both (A) and (R) are true

(B)

(A) is true but (R) is false

(C)

Both (A) and (R) are false

(D)

(A) is false but (R) is true

29.

(A)

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

(B)

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

(C)

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

(D)

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

30.

(A)

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

(B)

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

(C)

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

(D)

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

31.

If ROI of a firm is more than interest rate on borrowed capital, its Financial Leverage will be:

(A)

Negative and Adverse

(B)

Positive and Favourable

(C)

Indifferent

(D)

None of the above

32.

A company had issued 7% debentures of ₹100 each at a premium of 6% for a period of 12 years. What is the cost of capital?

(A)

6.51%

(B)

6.41%

(C)

6.21%

(D)

6.31%

33.

A company estimates cash payments of ₹150000 per month. These payments are expected to be steady over the entire period of the year. The fixed cost per transaction is ₹120 and the interest rate on market securities is 12% p.a.; the optimum cash transaction size is:

(A)

₹65000

(B)

₹80000

(C)

₹60000

(D)

₹75000

34.

35.

Operating leverage is affected by:

(A)

Fixed costs

(B)

Variable costs

(C)

Sales volume

(D)

All the above

36.

Assertion (A): Selection Tests help uncover qualifications and talents that cannot be predicted.

Reason (R): Because they are reliable, valid, and standardized.

(A)

Both (A) and (R) are true

(B)

Both (A) and (R) are false

(C)

(A) is true but (R) is false

(D)

(A) is false but (R) is true

37.

(A)

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

(B)

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

(C)

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

(D)

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

38.

(A)

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

(B)

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

(C)

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

(D)

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

(E)

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

39.

Human Resource Interview Process consists of:

(A)

Reception, Preparation, Information exchange, Termination

(B)

Preparation, Reception, Information, exchange Termination

(C)

Information exchange, Reception, Preparation, Termination

(D)

Reception, Preparation, Termination, Information exchange

40.

Which of the following are Key Components of a Total Quality Management System?

(A)

Individual responsibility, incremental improvement, use of raw data

(B)

Collective responsibility, continual improvement, use of raw data

(C)

Group responsibility, staged improvement, knowledge

(D)

Involves everyone, continual improvement, use of data and knowledge

41.

The Government of India undertook the recapitalisation of many RRBs (Regional Rural Banks) having:

(A)

Less capital

(B)

Negative profitability

(C)

Negative net worth

(D)

Less assets

42.

(A)

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

(B)

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

(C)

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

(D)

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

43.

(A)

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

(B)

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

(C)

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

(D)

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

44.

(A)

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

(B)

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

(C)

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

(D)

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

45.

(A)

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

(B)

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

(C)

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

46.

(A)

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

(B)

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

(C)

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

(D)

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

47.

Consider the following events relating to international business and rearrange them in their sequential order of occurrence (starting from past to current):

(a) GATT

(b) WTO

(c) LPG policy adopted by India

(d) LPG policy adopted by advanced countries

(A)

(d) (a) (b) (c)

(B)

(d) (a) (c) (b)

(C)

(a) (d) (b) (c)

(D)

(a) (d) (c) (b)

48.

Consider the following items in India's imports. Rearrange them on the basis of their percentage-share (higher to lower):

(a) Gold

(b) Diamond

(c) Crude Petroleum

(d) Edible oils

(A)

(d) (c) (a) (b)

(B)

(d) (a) (b) (c)

(C)

(c) (d) (a) (b)

(D)

(c) (a) (b) (d)

49.

Consider the following items in India's exports and rearrange them on the basis of their percentage-share (higher to lower):

(a) Iron and Steel

(b) Vehicles

(c) Gems Precious Metals

(d) Manufactured goods

(A)

(d) (c) (b) (a)

(B)

(c) (d) (b) (a)

(C)

(c) (b) (a) (d)

(D)

(d) (c) (a) (b)

50.

Consider the following trading partners of India. Rearrange them on the basis of their percentage-share (higher to lower):

(a) Germany (b) China (c) Saudi Arabia (d) United Arab Emirates

(A)

(b) (c) (a) (d)

(B)

(b) (d) (c) (a)

(C)

(a) (b) (c) (d)

(D)

(a) (b) (d) (c)

CG SET Commerce 2017 Paper-II Solved Practice MCQ Question and Answer

CG SET Commerce 2017 Paper-II Solved Practice MCQ Question and Answer

CG SET Commerce 2017 Paper-II Solved Practice MCQ Question and Answer

CG SET Commerce 2017 Paper-II Solved Practice MCQ Question and Answer

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