Analytical Reasoning for IBPS

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1. Effect: This year, majority of the final year students of the management institute have opted for
finance as specialisation.
Which of the following can be a probable cause of the above effect?
1)Last year, most of the students with HR specialisation got better job offers than the students of
other specialisations.
2)The management institute offers only finance specialisation to its final year students.
3)Last year, the students with finance specialisation bagged most of the lucrative offers vis-a-vis
students of other specialisation.
4)The management institute has recently started its finance specialisation in addition to marketing
and HR being offered earlier.
5)None of these
2. There is a shift in the orientation of our economy from manufacturing to service. The increased
demand in service sector will require managers to work with people rather than with objects and things in
the assembly line.
This passage best supports which of the following statements?
1)Managers should have a balanced mind.
2)Assembly line will exist in service-oriented organisations.
3)Interpersonal skills will become more important at work place in future.
4)Manufacturing-oriented organisations ignore the importance of people.
5)Service-oriented organisations will not deal with objects.
Directions (Q. 3-5): Study the following information carefully and answer the questions given
below.
Eco-fundamentalists have long campaigned for restricting industries and urbanisation to barren rocky
areas, leaving fertile areas reserved for agriculture. The judiciary must steer clear of this Luddite approach.
Great cities in the world over are located on fertile land along rivers, not in barrens, wastes, deserts or
rocky mountain-tops. The Nile valley is the most crowded in the world, but the solution is not to move
Cairo into the desert. Productivity in cities is far higher than in agriculture.
3. Which of the following is a conclusion which can be drawn from the facts stated in the above
passage?
1)Except the Nile valley, there has been no urbanisation in any other river valley in the world.
2)Productivity is considered over and above the environmental concerns in all cases around the
world.
3)River valleys around the world have been ravaged by rapid industrialisation and urbanisation.
4)The authorities should turn a deaf ear to the hardcore environmental activists.
5)None of these
4. Which of the following assumptions is implicit in the above passage?
1)Those who subscribe to urbanisation on fertile land take into account the greater productivity of
cities.
2)Barren and rocky areas are suitable for industrialisation and urbanisation.
3)The Indus valley is less crowded than the Nile valley.
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4)Voices have been raised to shift Cairo to the desert.

5)None of these

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5. Which of the following is a result/repercussion in the light of the facts given in the above passage?
1)Despite rapid urbanisation, majority of people in the developing world are still living in rural
areas.
2)It has been empirically established that not only industrialisation in the developed countries but
also rapid and unplanned urbanisation in the developing countries has greatly contributed to global
warming.
3)The conversion of agricultural areas into cities has forced people to become dependent on
genetically modified crops.
4)Lack of agriculture land has led to the conversion of urban hubs into more productive areas.
5)None of these

Directions (Q. 6-7): Read the following passage and examine each inference given below it
in the context of this passage.
Make your answer as
1) if the inference is definitely true.
2) if the inference is probably true.
3) if the data provided are inadequate.
4) if the inference is probably false.
5) if the inference is definitely false.
Our country needs about nine to ten per cent of yearly increase in power capacity. That means from
the present 86000 MW we have today, we require an additional 8000 to 10000 MW every year. The
private industries or the foreign ones may contribute 1000 to 2000 MW. So, basically, 90 per cent of
capacity addition will have to be done by public sector companies. But government cant continuously give
money for this. This means that the tariff has to be regulated to generate money, not based on the cost of
25 years ago. If this happens, optimal utilisation of power will take place. It will not be wasted.
6. Once we attain 10 per cent increase in the present power capacity for a few years, we will have
little problem.
7. There is a likelihood of increase in power tariffs in future.

Directions (Q. 8-9): Each question given below consists of a statement followed by four
arguments numbered I, II, III and IV. You have to decide which of the arguments is strong and
which is weak and accordingly choose your answer from the alternatives given below each
question.
8. Statement: Should the consumption of aerated drinks be banned in India?
Arguments:
I.Yes, this is the only way to reduce the risk of exposing people to some of the diseases.
II.No, each individual has the right to choose what he wants.
III.No, there is no confirmed evidence that such products have adverse effects on human body.
IV.Yes, it is banned in many other countries also.
1) Only I is strong
2) Only I and II are strong
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3) Only III is strong

4) Only I and IV are strong
5) All are strong

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9. Statement: Should there be reservation in jobs in organisations in the private sector also as is the
case in public sector companies in India?
Arguments:
I.Yes, this would give more opportunities of development to the weaker sections of society and,
thus, help reduce the gap between the affluent and the downtrodden in India.
II.No, the private sector does not get any government assistance and, therefore, they should not
be saddled with such policies.
III.No, nowhere else in the world is such a practice being followed.
IV.No, the management of private sector companies would not agree to such compulsions.
1) Only I is strong
2) Only I and II are strong
3) Only II and IV are strong
4) Only I and IV are strong
5) All are strong

Answers with Explanation

1. 3
2. 3
3. 4
4. 1; From the last two lines of the passage, it is clear that the author wants to say that since the
productivity of cities is higher than in agriculture, the cities should be permitted to be built on fertile land.
5. 5
6. 1; The given inference is clearly evident from the first two sentences of the passage.

7. 1; According to the passage, the capacity of power generation ought to be increased every year and
funds must be collected by regulating the tariffs accordingly. This leads us to the given inference.
8. 3; The use of only in I makes it invalid. Again, it is the duty of the govt to save its citizens from
intake of any harmful poruduct even if they like them. So, II does not hold true. But a product must not be
banned unless its harmful effects have been proved. So, III hold good. Lastly, we cant blindly follow the
decisions taken by other countries. So, IV also does not hold good.
9. 2; The reservation of jobs in the private sector too would surely increase opportunities for weaker
sections to improve their economic plight. Thus, argument I is strong enough. II is strong because duties
make sense when you enjoy rights as well. But IV is weak because we are in the realm of a policy decision
making. Likes and dislikes dont matter. Further, just imitating other countries holds no relevance. So,
argument III also does not hold good.

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