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Financial Management (Paper II & III UGC/NET)

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SEZ Policy in India is motivated by the experience of:

  1. Japan

  2. China

  3. USA

  4. Germany


Correct Option: B

M. Narasirnham headed:

  1. The working group constituted by the Government of India in July 1975 for the establishment of Regional Rural Banks

  2. The committee on the financial system,

  3. The committee on Banking Sector Reforms, 1997

  4. All of the above


Correct Option: D

Under kinked demand model, the demand curve for the firm's product is drawn on the assumption that

  1. All rivals charge the same price which is charged by the oligopolist.

  2. All rivals charge a price independent of the price charged by the oligopolist.

  3. All rivals follow the oligopolist up to certain price but beyond that they do not.

  4. All oligopolists charge the price as independent sellers.


Correct Option: C

Which is the oldest type of organisation'?

  1. Line

  2. Line and Staff

  3. Functional

  4. Matrix


Correct Option: A

If net profit is Rs. 25,000/- after writing off preliminary expenses of Rs. 5000/- then the funds from operation will be:

  1. Rs. 25,000/-

  2. Rs. 30,000/-

  3. Rs. 20,000/-

  4. Rs. 10,000/-


Correct Option: B

Capital Adequacy Norms declared in the year, 1996, is applicable to

  1. Foreign Banks

  2. Co-operative Banks

  3. Private Sector Banks

  4. Nationalized Bank


Correct Option: D

Recruitment is concerned with the process of:

  1. Selection of right candidate.

  2. Developing a pool of potential employees.

  3. Inviting applications for jobs.

  4. None of the above.


Correct Option: B

The devaluation of currency of a country is done when __________ (i) It has adverse balance of payments. (ii) It has favourable balance of payments.

  1. Both (i) and (ii) are correct.

  2. Both (i) and (ii) are incorrect.

  3. Only (i) is correct.

  4. Only (ii) is correct.


Correct Option: C

Recruitment and selection involves the following except:

  1. Building a pool of candidates

  2. Completing application forms by applicants

  3. Reduction of the work force

  4. Employment planning and forecasting


Correct Option: C

In a factory, there are 1000 workers consisting of 400 A-Grade workers and 600 B-Grade workers. In A-Grade, 300 are male workers; and in B-Grade, only 200 are male workers. How many female workers are there in the factory?

  1. 300

  2. 400

  3. 500

  4. 600


Correct Option: C

Which combination of the following factors has driven globalization in the recent past? I. Growth of multinational corporations. II. Internationalization of finance. III. Increased international trade.

  1. I and II

  2. I and III

  3. II and III

  4. All of the above


Correct Option: D

Attrition is related to:

  1. Job description

  2. Resignation/Termination

  3. Job evaluation

  4. Merit rating


Correct Option: B

From which date have all Banks started sharing their ATM free of cost for transactions?

  1. January 1, 2009

  2. April 1, 2009

  3. July 1, 2009

  4. September 1, 2009


Correct Option: B

Human relations approach of Management is associated with:

  1. Abraham Maslow

  2. Elton Mayo

  3. Peter Drucker

  4. Frederick Herzberg


Correct Option: B

The main purpose of the Control function is to:

  1. Oversee Work

  2. Take remedial action

  3. Punish defaulters

  4. Meet targets


Correct Option: B

A letter of credit means:

  1. A bank agreeing to accept and pay on due date

  2. A letter containing conditions of credit purchase or sale

  3. A letter sent by exporter to importer sanctioning credit deal

  4. A letter sent by importer to exporter sanctioning credit deal


Correct Option: A

Match the following:

 
List - I
List - II
(a) WTO
(i) Provides loans to address short-term balance of payments problems.
(b) RBI
(ii) Multilateral trade negotiating body.
(c) IMF
(iii) Facilitating lending and borrowing for reconstruction and development.
(d) IBRD
(iv) Central Bank of India.
  1. (a) - (ii), (b) - (iv), (c) - (i), (d) - (iii)

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

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

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


Correct Option: A

The gains from two nations depend on:

  1. Domestic barter rates

  2. Difference in the domestic barter rates of the two countries

  3. Terms of trade

  4. Degree of absolute advantage


Correct Option: C

Process of delegation of authority involves:

  1. Transfer of authority

  2. Transfer of responsibility

  3. Transfer of authority and responsibility

  4. Transfer of key management functions


Correct Option: C

Match the items from List - I with the items in List - II:

 
List - I
List - II
(a) Error of Principle
(i) A purchase of Rs. 1000/- has not been recorded
(b) Error of Commission
(ii) Treating repair charges as addition to assets
(c) Error of Omission
(iii) A sale of Rs. 563 was posted as Rs. 653
(d) Compensatory error
(iv) Sales book is undercast by Rs. 1000/- and return inward book is overcast by Rs. 1000
(v) Return inward book is undercast by Rs. 1000/- and purchase book is overcast by Rs. 1000/
  1. (a)-(ii), (b)-(iii), (c)-(i), (d)-(iv)

  2. (a)-(ii), (b)-(iii), (c)-(iv), (d)-(v)

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

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


Correct Option: D

Statement - I: Standard error of the mean is the standard deviation of the sampling distribution of mean. Statement - II: Simple random sampling is non-probability sampling method. Which of the following combination is correct?

  1. Both I and II are true.

  2. Both I and II are false.

  3. I is true and II is false.

  4. I is false and II is true.


Correct Option: C

Match the items in List - I with items in List - II:

 
List - I
List - II
(a) Peter F. Drucker
(i) Unity of command
(b) Henry FayoL
(ii) Achievement Motivation
(c) McAurthy
(iii) M.B.O.
(d) McLeland
(iv) 4 Ps of marketing
  1. (a) - (i), (b) - (ii), (c) - (iii), (d) - (iv)

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

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

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


Correct Option: D

In the technique of MBO: (i) Overall objectives are set at the top of the organisational hierarchy (ii) Individual objectives coincide with objectives of the organization (iii) Performance should be evaluated periodically (iv) Objectives are decided at the subordinate level

  1. (i) and (ii)

  2. (i) and (iii)

  3. (i), (ii) and (iii)

  4. All of the above


Correct Option: B

Match the following:

 
List - I
List - II
(a) Indira Awas Yojana
(i) This programtne was launched in 2001 This programme aims at providing wage employment in rural areas and food security to the people.
(b) Sampoorna Grameen Yojana
(ii) This is a major scheme for construction of houses to be given to the poor, free of Cost
(c) Pradhan Mantri Gram Sadak Yojana
(iii) This was introduced in April 1999 as a result of restructuring and combining the Integrated Rural Development Programme.
(d) Swaran Jayanti Gram Swarozgar Yojana
(iv) This was introduced in December 2000 to provide road- connectivity through good all weather roads to unconnected villages.
  1. (a) - (ii), (b) - (i), (c) - (iv), (d) - (iii)

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

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

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


Correct Option: A

Which of the following is an important reason for studying accounting?

Directions: Read the following passage and answer the given question.

Accounting is the process of identifying, measuring and communicating economic information to permit informed judgements and decisions by the users of the information, It primarily focusses on measurement, analysis, interpretation and use of information, As an information system, accounting links an information source, a channel of communication and set of receivers. Accounting system should be designed to classify financial information on a basis suitable for decision-making purposes and to process the tremendous quantities of data efficiently and accurately. Financial accounting is concerned with providing information to external users and it is oriented towards the preparation of final statements which summarises the results of operations for selected periods of time and show the financial position of business at particular date. Management accounting is concerned with providing information to managers to carry out their responsibilities and functions such as planning, execution, control and decision- making. The end product of the financial accounting process is a set of reports called financial statement, such as, profit and loss account, balance-sheet and statement of changes in financial position. Profit & loss account shows the results of operations for a period of time, balance-sheet shows financial position on certain date and statement of changes in financial position shows where the financial resources have come and where they have gone.

  1. The information provided by accounting is useful in making many economic decisions.

  2. Accounting plays an important role in Society.

  3. The study of accounting could lead to a challenging career.

  4. All of the above


Correct Option: D
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