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PAPER – I
1. Feedback in communication Process __________________
(A) Explores defect in receiver
(B) Clarifies the communication
(C) Beneficial in understanding
(D) Delights the Sender
2. Intrapersonal communication is
(A) Person-to-person contact
(B) Talking to oneself
(C) When more than two persons are involved
(D) None of the above
(A) 1770 AD
(B) 1790 AD
(C) 1801 AD
(D) 1780 AD
(A) Acceptance
(B) Joy
(C) Thinking
6-9. Following table shows the scores of students in One MOCK Test (section wise). Assume MOCK
TEST contain 3 sections, each sections have 50 questions. The total of the scores in 3 sections is
compared with “cut off” and if student’s total score is higher than the “cut off”, it is said that he has
cleared the “cut off”.
10. Which student has scored minimum by combining only section of Quant & DI
(A) 8th
(B) 1st
(C) 4th
(D) 5 th
11 Which of the following is not open source software?
(A) Internet Explorer
(B) Apache HTTP Server
(C) Fedora Linux
(D) Open Office
12. In MS Word, after selecting a content, it can be copied by ______
(A) Shift Key + C Key
(B) Alt Key + C Key
(C) Enter Key
(D) Ctrl Key + C Key
13 MODEM = ______________
(A) An Electric Device
(B) Modulator and Demodulator
(C) Internal Memory
(C) None of the above
14 Multimedia is __________
(A) A computer Game
(B) A software
(C) A technology
(D) A Media
15 What is the full form of ‘LAN’?
(A) Large Area Network
(B) Local Area Network
(C) Little Area Network
(D) None of the above
16 Look at this series: 53, 53, 40, 40, 27, 27, what number should come next?
(A) 10
(B) 18
(C) 14
(D) 45
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17 Look at this series: 80, 10, 70, 15, 60, ... What number should come next?
(A) 50
(B) 15
(C) 23
(D) 20
18 Look at this series: 2, 6, 18, 54, .... What number should come next?
(A) 162
(B) 134
(C) 155
(D) 161
19 Look at this series: 201, 202, 204, 207... What number should come next?
(A) 205
(B) 208
(C) 210
(D) 211
Passage 1 (Q.20-25)
The history of literature really began as the earliest of the arts. Man danced for joy round his primitive
camp fire after the defeat and slaughter of his enemy. He yelled and shouted as he danced and
gradually the yells and shouts became coherent and caught the measure of the coherent and caught
the measure of the dance and thus the first war song was sung. As the idea of God developed
prayers were framed the songs and prayers became traditional and were repeated from one
generation to another, each generation adding something of its own.
As man slowly grew more civilized, he was compelled to invent some method of writing by three
urgent necessities. There were certain things that it was dangerous to forget and which, therefore,
had to be recorded. It was often necessary to communicate with persons who were some distance
away and it was necessary to protect one’s property by making tools and so on, in some distinctive
manner. So man taught himself to write and having learned to write purely for utilitarian reasons he
used this new method for preserving his war songs and his prayers. Of course, among these ancient
peoples, there were only a very few individuals who learned to write, and only a few could read what
was written.
(A) To be artistic
(A) It is researchable
(C) It is New
(A) Sensitivity
(B) Generalizability
(C) Usability
(D) Replicability
31. UGC was established formally as statutory body in the year __________________
(A) 1972
(B) 1965
(C) 1956
(D) 1962
33. Who was chairman of the UGC committee 1969 appointed for administrative legislation of the
universities?
(A). Dr. Zakir Hussain
(B) Dr. P B Gajendragadkar
(C) Dr. L S Mudaliar
(D) Dr. Radha Krishnan
(A) 1964-65
(B) 1994-95
(C) 1997-98
(D) 1980-81
(C) The leading party in Lok Sabha and Rajya Sabha combined
36. The study of interrelations between Organism and their environment is called___
(A) Biosphere
(B) Ecology
(C) Synecology
(D) Autecology
37 WWF is _______
(A) 40-65 db
(B) 60-70 db
(C) 80-100 db
(A) Aptitudes
(B) Skills
(C) Attitudes
(D) Relationship
43 The participation of students will be maximum if ____ method is used for teaching.
(D) Lectures
(B) A D Clinton
(D) J H Hills
46. If Saturday falls on three days after today which is January 7, on which day 2nd December of previous
year fall?
(A) Tuesday
(B) Saturday
(C) Monday
(D) Sunday
47-49 In each of the following questions, number series is given. One of the numbers in each series is
wrong. After searching wrong number find the correct number in its place.
(A) Daughter
(B) Father
(C) Brother
PAPER – II
1. The ability to apply creative solutions to problems and opportunities to enhance or to enrich people’s
live is called.
(A) Entrepreneurship
(B) Innovation
(C) Creativity
2. Employees must be given the tools and resources they need to be creative. One of the most
valuable resources is:
(A) Time
(B) Money
4. Which of the following tend to market high end goods and services and are able to use a premium
(A) Followers
(B) Leaders
(C) Nichers
(D) Challengers
(A) Political
(B) Economic
(C) Social
(D) Demographic
6. Ego strength and locus of control are _____ that influence an individual’s ethical behavior.
(A) Values,
(B) Beliefs
7. The belief that businesses that help in solving difficult social problems create a desirable
community and attract and keep skilled employees is known as which argument for social
responsibility ?
8. Which of the following refers to a special telephone line that enables employees to bypass the
9. Which of the following approaches is neither immoral nor moral and simply ignores ethical
considerations?
(D) E - commerce and the instant transmission of money and information across continents.
11. The point rating method is a quantitative technique & job evaluation. What are the advantages of this
method?
(i) The maximum number of IRRs for the above series is limited to two.
(ii) The firm has withdrawn Rs. 1400 from the project at the end of year.
(B) Has an unrecovered balance of zero through the life of the project.
(D) Has i* (the rate at which uncovered investment balances are zero, lesser than imin (the smallest
interest rate satisfying the non - positivity condition).
14. Which of the following statements is/are true regarding bond value theorems?
(i) When the required rate of return is greater than the coupon rate, the premium on the bond
(ii) For a given difference between YTM and coupon rate, the longer the term to maturity, greater will
(iii) The effect of a change in YTM on the price of the bond in more in case of lower yield bonds than
(A) Microeconomics deals with the economies of individual countries while macroeconomics
(B) Microeconomic is concerned with the behavior of individual entity like market, firm etc, and while
16. The price elasticity of demand for a product is infinity if the firm increases price of the product by
10% total revenue of the firm will.
18. ______ Provides a way for individual investors to support socially responsible companies
(A) NASDAQ
(C) A band
19. Aggressive involvement in a chronic, incessant struggle to achieve more in less time, even against
20. The success of quality circle depends upon all the following factors except.
(A)The concept should be used only for addressing problems of a long term nature and problems
(B) The skills of the quality circle members should be used to resolve problems that fall under their
work area.
(B) Up to 3 months
(C) 3 to 18 months
(C) Organizing
(D) Employment
24. What is the nature of management interaction in the case of a mechanistic organization?
(A) Flat
(B) Horizontal
(C) Vertical
(D) Responsive.
25. Every work group has it own Norms. Norms are ___________
(A) The unwritten rules that convey to the members what they ought to do and ought not to do
under given circumstances.
(C) Shared meaning held by members that distinguish one organization from the other
26. Which of the following is an argument against the involvement of businesses in social welfare
activities?
27. A way that organization can show their commitment to being green is through adopting the ______.
28. Which of the following are most important decisions that managers make?
(A) Functional
(B) Programmed
(D) Tactical
29. The most significant decisions made in today’s complex environment are taken under conditions of
_____.
(A) Risk
(B) Uncertainty
(C) Certainty
(D) Stability
30. Motivation is a _____________ stale.
(A) Sociological
(B) Psychological
(C) Physiological
(D) Biological
32. The ______ of incentive payment is generally used for groups. The emphasis here is on team work
and coordination.
(A) Organization
(B) Finance
(C) Marketing
(D) Growth
35. Which of the following comes under the broad definition for factors of production?
(A) Technology
(B) Innovation
(C) Capital
36. In order to understand learned behavior in animals, skinner made use of _____ and _____ in his
experiment.
(i) Rats
(ii) Parrots
(iii) Pigeons
(iv) Squirrels
37. A / an is a computer based information system that supports the process of managerial decision
making in situations that are not well structured.
(A) MIS
38. Which of the following is a key concept of the satisfying model of decision – making, which suggest
that the ability of managers to be completely rational when making decisions is limited by certain
factors?
(A) Rationality
(B) Irrationality
40. In the socialization approach, person is qualified on promoted to the next rounded stage, only when
he performs well. To the norms and rules of the organization, otherwise he is eliminated from the
race.
(A) Disjunctive
(B) Investiture
(C) Serial
(D) Tournament
42. Which of the following is/are true regarding the measurement of cost, inflow and outflow of a
project?
43. Which of the following is the term used for medium range capacity planning with a time horizon of
three to eighteen months?
44. The numerical difference between forecast demand and actual demand is called ____.
(C) Variance
46. Who defined marginal analysis as the extra output obtained by adding are extra unit of input,
(A) Economic
(B) Political
(C) Social
(D) Governmental
48. In which of the following situations does the intensity of an ethical issue increase?
(C) When the chances of the act causing harm are negligible.
(A) Values
(B) Procedures
(C) Rules
(D) Policies
50. Many people oppose the involvement of organizations in social welfare activities. Which of the
following is not a reason for their opposition to such activities?
i) Excessive cost
PAPER - III
1. Which of the following models of O.B. is based on power and works well under certain conditions,
especially during organizational crises?
2. The relationship between aggregate consumption expenditure and aggregate income of household
sector is known as ____________ function.
(A) Consumption
(B) Saving
(C) Expenditure
(D) Income
3. Who define Organization behavior as, “the understanding, prediction and management of human
behavior of organization?
4. ___can be termed as a relatively permanent change that occurs in a person belief and attitudes with
time and experience.
(A) Behavior
(B) Perception
(C) Personality
(D) Learning
5. A manager interacting with individuals or groups inside or outside the organization performs the role
of a _______.
(A) Leader
(B) Figurehead
(C Liasion
(D) Ambassador
6. The terms refers to "total knowledge skills, creative abilities, talents and aptitudes of an
organization's work force as well as values, attitudes and beliefs the individuals is valued.
7. Threats to one’s concept of self, incompatible temperament, and failure in communication result in
____.
8. According to Charles Darwin’s theory of evolution, human beings evolved jut like other animals. The
theory, in turn opened up a new area of study called:
(A) Sociobiology
(B) History
(C) Anthropologies
(D) Economics
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9. The decision tree in the revised version of the leadership participation model consisted of twelve
contingencies which were referred to as:
10. Which of the following methods does a firm resort to avoid dividend payments?
11. It is a facts that there are 24 million left handed people in the United States, however, most
marketers do not attempt to appeal to or design products for this group because there is little in the
way of census data about this group. Therefore, this group fails in one of the requirements of
effective segmentation. Which of the following is most likely to apply in this case?
(A) Actionable
(B) Substantial
(C) Differentiable
(D) Measurable
12. When a company enters a new product category for which its current brand names are not
13. The type of sales presentation approach that requires good listening and problem solving skills is
the:
14. The starting point for preparing the master budget is the.
15. In what way are Distribution Resource Planning (DRP) and Material Requirements Planning (MRP)
similar?
16. Which company first adopted the concept of scientific management in the assembly line production
system?
18. In hypothesis testing, the hypothesis which is tentatively assumed to be true is called the
………………hypothesis.
19. A system that responds to change in the environment and modifies its operation accordingly is
known as:
20. The five forces that affect the level of competition in an industry are:
(A) Threat of entrants ; power of buyers; power of suppliers ; threat of substitutes; competitive
rivalry.
(B) Threat of buyers; power of entry; power of substitutes; threat of suppliers; threat of recession.
(C) Threat of recession; power of buyers; power of suppliers; threat of management failure;
competitive rivalry.
(D) Threat of entry; power of buyers; power of suppliers; threat of substitutes; government action.
21. In __________ type of organization, people who have traditionally held power continue to do so
22. Which is the best indicator of economic development of a developing country like India?
(A) Stimulus
(B) Response
(C) Consequence
24. The learning that happens when a neutral stimulus is combined with another stimulus that produces
25. Managers have to play several roles while performing their duties. One of these roles, called the
includes______________.
i) Liaison role
26. The ____function in human resource management is concerned with providing a work environment
which is conductive to the employees and nurturing them to make them well committed and attached
to the organization.
(A) Lineation
(B) Development
(c) Motivation
(D) Acquisition
27. In the ________socialization strategies, the channels of movement in the socialization, process are
kept open and an individual is given the opportunity to perform better in the next stage, event if did
not perform as expected in the preceding stages.
(A) Formal
(B) Sequential
(C) Contest
(D) Tournament
30. A company issues one right shares for every 4 shares held at a subscription price of Rs. 60 per share.
The current market prices of the share is Rs. 80. Value of share is
(A) Rs. 4
(B) Rs. 5
(C) Rs. 15
(D) Rs. 26
31. Which of the following is not an activity in Human Resource management (HRM) process?
(A) Training
(B) HR Planning
(D) Compensation
32. __________ is the organization function of planning for human resource needs, recruiting and
training candidates and evaluating their performance.
33. Which is formally defined as a planned effort to improve the performance of the employee in his area
of work?
(A) Development
(B) Training
(C) Staffing
(D) Appraisal
34. Which of the following involves choosing the candidates who best meet the qualifications and have
(A) Staffing
(B) Recruitment
(C) Evaluation
(D) Selection
35. Which of the following involves the process of defining expectations for employee performance,
measuring, evaluation and recording actual employee performance relative the these predetermined
36. Which of the following is not the quality lies of a typical advertising?
(B) Persasiveness
(C) Contest
(D) Premiums.
38. The stage in the product life cycle that focuses on expending market and creating product
awareness and trial is the
(A) Decline stage
(D) Maturity
39. A manufacturer has four sponsorship options. a _____ is a brand created and owned by a reseller of
a product or service.
(A) Licensed Brand
(D) Co - brand
40. Which of the following factors are the most popular based for segmenting customer groups.
(A) Geographic
(B) Demographic
(C) Psychographics
(D) Behavioral
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41. In Capital Asset Pricing Model Approach, to known the cost of equity we require.
(A) The expected dividend.
(C) BCR and NBCR criteria are not suitable to evaluate non - simple mixed investment.
43. Which of the following appraisal technique helps in achieving the objective of shareholders wealth
maximization?
(A) IRR
(C) NPV
46. Credits transferable by original beneficiary in favor of secondary beneficiary are known as:
47. When the exporter expects the importer, to make the payments immediately upon the draft being
48. The basic objective of export promotion council is to promote and develop the Exports of the.
49. The agreement signed by Ranbaxy Laboratory and Bayer AG of Germany in the year 1999 is an
example of.
(A) Subsidiary
50. Companies go international for a number of different reasons. Which of the following is not a
(A) TR = MC
(B) MR = MC
(C) AR = AC
(D) P = MC
(B) Wage & salary + dividends paid at home - personal income tax.
(C) Wage & Salary + divident paid at home + Factor income received from abroad Transfer from
(D) Wage & salary + Divident paid at home + Factor income received from abroad Transfer from
Year 0 1 2
Cash Flow -1000 1400 -100
57. _____refers to the ability of individual to see things from the other’s point of view.
(A) Empathy
(B) Mentoring
(C) Sympathy
(D) Learning
58. Sometimes people arrive at a general impression about an individual the basis of single
characteristic, what is this process known as?
(C) Attribution
59. Which of the following reward systems necessitates that teams exceed some base line performance
to receive a share of profits generated by the organization ?
60. The First - step in human resource planning is the assessment of the human resources currently
available assessment of the human resources currently available in the organization once the
assement in complete, an inventory of the resources can be complied. What aspects are mentioned
61. Private employment agencies do well in dynamic job markets where companies scout aggressively
for talent jobs. Which type of employee recruitment needs do private agencies usually caters to?
62. Career ______________ is the degree to which employees can cope with problems affecting their
work.
(A) Values
(B) Identity
(C) Insight
(D) Resilience
63. In the _____________ effect, the most recent performance of the appraises dominates the
(A) Primacy
(B) Regency
64. Interest free loans provided by companies to their employees, are an example of ______.
(A) Benefits
(B) Incentives
(C) Bonus
65. In the first stage of most grievances redressal procedure the grievance is verbally conveyed by the
employee to the _______.
66. The Minimum number of persons required to form a private Ltd. company and a public Ltd company
respectively are.
(A) 2 and 5
(B) 5 and 7
(C) 2 and 7
(D) 7 and 2
67. The _______________ is (are) the MRP input detailing which end items are to be produced, when
they are needed, and in what quantities.
(A) The overall capitalization rate of the firm decreases as the degree of leverage increases.
(C) The overall capitalization rate increases as the degree to leverage increase.
(D) The market is assumed to capitalize the firm at a discount rate that is independent of the firm’s
degree of leverage.
69. Which of the following feature (s) of preference shares are similar to those of equity shares?
(A) Reolemability
70. A firm can raise capital from the primary market by the issue of securities in which of the following
ways?
71. The study of human populations in terms of size, density, location, age, gender, race, occupation,
and other statistics is called:
(A) Geotherpy
(B) Demography
(C) Ethnography
72. If a company (considering) its options on the product/ market expansion grid) chooses to move into
different unrelated fields (from what it has ever done before) with new products as a means to
stimulate growth, the company would be following which of the following general strategies?
(D) Diversification
73. If Honda, uses its company name to cover such different products as its automobiles, lawn mowers,
and motorcycles, it is practicing which of the following strategies ?
74. The last stage in the selling process is the ____________ stage.
(A) Approach
(C) Closing
(D) Follow - up
75. One of the most common problems with using internal database information is that :
(A) Since it was probably collected for some other purpose, it may be incomplete or wrong.
(C) Top executives are usually unwilling to relinquish data, therefore, the data has limits.
(D) The data is almost always unsecured and, therefore, suspect as to reliability.
Answer key
PAPER - I
Que. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Ans. B B C D A C D A B B A D B C B C D A D C
Que. 21 2223 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40
Ans. A B D D B D B D C A C A B B A B C D D C
Que. 41 4243 44 45 46 47 48 49 50
Ans. D D B D C A B D A A
PAPER -II
Question 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Answer B A C C B C C C B C D D D B B
Question 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
Answer C C D A A C D C C A B B C B B
Question 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45
Answer A B D C C A B C B D D B D B C
Question 46 47 48 49 50
Answer C A B A C
PAPER –III
Que. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Ans. A A A D C A A A A C D D C B A
Que. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
Ans. B B B A A B D D A A A C D C A
Que. 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45
Ans. C B B D A D B B C B C C E C D
Que. 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60
Ans. A A D C A C C D A B D A A B D
Que. 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75
Ans. D D B B C C A D B D B D D D A
2.(B) Intrapersonal communication is language used internal to the communicator. It occurs in the mind
of the individual in a model, which contains a sender, receiver, and feedback loop.
3.(C) Subscriber’s identity module ‘SIM’ card, a device used to store information in mobile phone.
4.(D) It was a weekly newspaper , and was founded on January 29, 1780, in Calculta, the capital of “British
India”.
8.(A) 3rd student has scored highest marks by combining section English & DI.
i.e. 29 + 23 = 52
12 + 19 = 31
11(A) Internet Explorer is not open source software. We could explain what is open source software.
12.(D) In MS Word, after selecting a content, it can be copied by Ctrl Key + C Key.
14
–13 –13 –13
+10 +5 +10 +5
18.(A)
×3 ×3 ×3
19.(D)
+1 +2 +3 +4
20. (C) Before man invented writing literature was just singing and dancing
21. (A) as for the war songs and prayers each generation added something of its own to the stock
23. (D) The war song evolved out of Yelling and shouting
24. (D) Man invented writing because he wanted to record and communicate
25. (B) The word ‘measure’ in the context of the passage means rhythm
26. (D) The information to be collected in survey method are related to present position, aims of the
research &the attainment of Aim of research
30.(A) This is an experiment where the researcher manipulates one variable & control the rest of the
31.(C) UGC was established formally as statutory body in the year 1956.
33.(B) Dr. P B Gajendragadkar was chairman of the UGC committee 1969 appointed for administrative
35.(A) The prime minister of India is appointed from the leading Party in Lok Sabha.
36.(B) The study of interrelations between Organism and their environment is called ecology.
38.(D) Jim Corbett National Park was the first National Park established in India.
39.(D) Fossil fuels are fuels made by natural processes such as anaerobic decomposition of buried dead
organisms.
43. (B) The participation of students will be maximum if Discussion Method is used for teaching.
44.(D) The primary responsibility of the teacher’s adjustment lies with The Teacher himself
256 128 64 32 16 8
÷2 ÷2 ÷2 ÷2 ÷2
30, 64 is wrong & must be replaced by 62.
48.(D) 196, 169, 144, 121 , 101
(14)2 (13)2 (12)2 (11)2 (10)2
So , 101 is wrong must be replaced by (10)2 = 100
49.(A) This series follows.
64
x2 + 1 x3 + 1 x2 + 1 x3 + 1 x2 + 1
So , 68 is wrong & must be replaced by 64.
PAPER –II
1.(B) Innovation is the creation of better or more effective products processes, service, technology or
ideas that are accepted by markets, government and society. It differs from invention in that
innovation refers to the use of a new idea or method, whereas invention refers more direct to the
creation of the idea or method itself.
2. (A) Entrepreneurship is the process of exploring the opportunities in the market place and arranging
resources required to exploit opportunities for long term gain. To stimulate his own creativity and
encourage it among and enough time which involves generating applying alternative options to
company’s products, services, procedures for a most profitable outcome.
3.(C) A firm pursuing a cost - leadership strategies attempts to gain a competitive advantage primarily by
reducing its economic costs below its competitors. The ability of a valuable cost - leadership
competitive strategies to generate a sustainable competitive advantage depends on that strategies
being rare and costly to imitate.
4.(C) A niche is a more narrowly defined customer group seeking a distinctive mix of benefits. Marketers
usually identify niches by dividing a segment into sub segment and presumably understand their
customers needs so well that the customers willingly pay a premium price.
5.(B) Propensity of people to consume is an economic variable. The proportion of the disposable income
which individuals desire to spend on consumption is known as propensity to consume. Marginal
propensity to consume [MPC] is the proportion of additional income that an individual desire to
consume.
6.(C) Personality variables refer to those characteristics of an individual which influence his/her ethical
types of personality variables
7.(C) The belief that businesses that help solving difficult social problems create a desirable community
and they make a good public image. Which in turn attract and keep skilled employees. They create
a better environment which is essential for long run survival of any business. Involvement by
business can solve difficult social problems, thus creating a better quality of life and a more
desirable community in which to attract and hold skilled employees.
8.(C) The ethics hotline is a mechanism for ethical management in organization. This hotline is handles by
an executive who investigates and helps the employees concerned to solve their problems
internally, thus preventing an employee from contacting outside agency.
9.(B) Archie BCarroll identified three types of management depending on the degree to which an
organization’s decisions are ethical or moral. These are moral, immoral & amoral management.
Amoral managers regard profitability as their ultimate goal and ignore the consequences of their
behavior on their social stakeholders.
10.(C) World wide trend towards similar consumption patterns, the emergence of global buyers & sellers, e
- commerce and the instant transmission of money & information across continents are reasons of
globalization.
11.(D). The advantage of point - rating method are that the system is accurate & dependable, and that wage
differentials are likely to be systematic and in an accordance with the content of each job. The
disadvantage is that it is a complex time consuming assignment involving high costs and a lot of
clerical work.
12.(D) As the no. of times of change in signs are two i.e. from -1000 to 1400 and 1400 to - 100, we can
derive that the maximum no. of IRRs for the series is two. At the end of the first year, there is an
inflow of Rs. 1400 in the project. If the firm has withdrawn Rs. 1400 from the project, it would also
become an inflow.
13.(D) A non - simple mixed investment has one or more cash outflow interspersed with cash inflows and a
mixed investment represents an investment for which the unrecovered investment balance at the
end of year t is greater than zero for some values of t and equal or less than zero for others values
of t.
14.(B) When the required rate of return on a bond is greater than the coupon rate the discount then the
value of the bond is less than the par value. This discount on the bond declines as maturity
approaches. For a change in YTM, the percentage price change in case of bonds of high coupon
rate will be smaller than in case of bonds of low coupon rate. Hence only (ii) is true.
15.(B) Micro economics deals with the minute details of the economics like the individuals, firm’s markets
prices etc. where a macro economics studies the aggregate variables of the economy such as
output, employment and total spending.
16.(C) If the price elasticity of a good is perfectly elastic for a small increase in price of the good leads to a
great drop in quantity demanded. And therefore, the revenue of the firm may fall to zero if it increase
the price of the good.
17.(C) The law of diminishing return state that by employing more units of same factors of production to
work with one or more fixed factors, the total production will increase at an increasing rate, than at a
constant rate and finally at a diminishing rate, In option (c) this law is not applicable since two inputs
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are used in same proportion. When all the inputs are increased by same proportions, this law is not
relevant.
18.(D) A socially responsible mutual stock fund provides a way for individual investors to support socially
responsible companies. This mutual fund holds securities in companies that adhere to social, moral,
religious or environmental beliefs. A socially responsible mutual fund will only hold securities in
companies that adhere to high standards of good corporate citizenship.
19.(A) Aggressive involvement in a chronic, incessant, Struggle to achieve more in less time, even against
opposition from others is the characteristic of people belonging to type A personality. Even type B
personality does not experience a sense of urgency when carrying out tasks and even if they fail to
accomplish them within the specified time do not become impatient. Locus of control is defined as
an individual is perception of what controls his fate.
20.(A) To ensure the success of quality circles, certain measures must be taken. For example, the skills of
the quality circle member should be used to resolve problems that fall under their work area, the
supervisor should be trained in facilitation skills, there should be continuous support from top
management, and most importantly the concept should be used only for addressing problems of a
short terms nature and problems that are measurable.
21.(C) The typical time horizon for aggregate planning is 3 to 18 months. It is an operational activity which
does an aggregate plan for the production process, to give an idea to management as to what
quantity of materials and other resources are to be procured and when, so that the total cost of
operations of the organization is kept to the minimum over that period.
22.(D) Changing inventory level is a planning strategy of capacity option. Since inventory level is varied,
during the months of low demand, the excess units produced over demand are accumulated as
inventory and during the month of high demand, the same can be utilized to fulfill that shortage of
production over demand.
23.(C) The operative function of HRM are related to specific activities of HRM, viz. employment, human
resources development, compensation and employee relations Organizing is a managerial function
of HRM.
24.(C) In a mechanistic organization, management interaction is vertical that is, between superior and
subordinate. Operations and working behavior are administered by instructions and decisions made
by the superior and communicated to the subordinates.
25.(A) The work group of the new employee will have its own norms and standards of acceptable behavior.
These norms are unwritten rules and convey to the members what they ought to do and ought not to
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do under a given circumstances. Some of the norms may include confirming to informal production
standards set by the group, celebrating major achievement of the department etc.
26.(B) If a business spends excessively high amount in social welfare activities, it might transfer the cost to
its customers in the form of higher prices. Indirectly society will be made to pay for the social
involvement of the business.
27.(B) A way that organizations can show their commitment to being green is through adopting the I
SO 14001. Meeting the requirements of ISO 14001 : 2004 is a management tool enabling an org.
of any size or type to identify and control the environmental impact of its activities, products or
service and to improve its environmental performance continually and to implement a systematic
approach to settling environmental objectives and targets.
28.(C) Non – programmed decisions generally deal with unstructured problems under conditions of
uncertainty . Managers require a lot of information about the external environment when making non
– programmed decisions.
29.(B) Managers often have to deal with unstructured problems under conditions of uncertainty. They do
not possess enough information when taking decisions under conditions of uncertainty and do
not have knowledge of available alternatives, the risks associated with each of the alternatives and
the outcome or consequences of each alternative. They make certain assumptions and depend on
their judgment and experience for taking effective decisions.
31.(A) Selectivity and organization are perceptual dimensions. On the other hand, registration,
interpretation and feedback are perceptual sub -processes.
32.(B) The task bonus system is a short - term incentive plan which emphasizes on teamwork and
coordinates. Under this method, the task of each group member is pre - determined and he has to
achieve it to earn a bonus above his standard pay.
33.(D) Growth strategies provide guidelines for the organizational growth. Growth strategies help managers
forecast the necessary growth for the firm, the area and the manner in which the growth should take
place, and the manner in which it should occur.
34. (C) Entrepreneurship is a constant process that relies on creativity, innovation and its application in the
market place. It is the act of being an entrepreneurs, which can be defined as “one who undertakes
innovation, finance and business acumen in an effort to transform innovations into economic goods.
35.(C) To produce any commodity, we need three factors of production land, labor and capital. Machinery,
Fuel etc, comes under capital.
36.(A) In order to understand learned behavior in animal, Skinner made use of rats and pigeons in his
experiments.
37.(B) DSS provide managers with tool for analyzing problem situation. A Decision support system [DSS]
supports and makes the process of managerial decision making more effective.
38. (C) The concept of bounded rationality suggests that managers are not always rational when making
decisions and that their abilities are limited by factors like cognitive capacity and time constraints.
39.(B) Factors that limit a manager’s effect to solve a problem are called constraints. Social constraints like
changes in lifestyle, increasing no. of diverse, increasing no. of woman in workforce etc. Affect the
decisions taken by an organization with regards to its products and marketing strategy. Domestic
demand is an economic constraint.
40.(D) In the tournament socialization approach based on their performance and according to the
organization norms, employees are promoted to the next stage other wise eliminated from the race.
42.(B) Depreciation is a non - cash charge and hence has to be added back to the project after tax.
43.(D) Aggregate planning is capacity planning for the intermediate range of 3 to 18 months. It is concerned
with matching supply and demand of output over medium time range.
44.(B) Forecast error is the different between forecast demand for a period & actual demand in that period.
45.(C) All quantitative forecasts are based on historical data. On the basis of past happenings trends,
through some quantitative measures, companies make assumptions for the future demand of their
products & services.
46.(C) Marginal analysis is one of the decision making techniques used to evaluate alternatives. Paul
Samuelson defined the term marginal analysis in his book “Economics “.
47.(A) An example of an economic external variable is availability of credit. The RBI in India has been
following the monetary and credit policies with twin objective of supporting economic expansion
whole at the same time exercising due caution with regard to the rate of monetary expansion. RBI
has been progressively raising the CRR and SLR to control inflationary pressure and also sells govt.
securities in open market aims at controlling inflation and problem of excess liquidity.
48.(B) A manager’s ethical behavior is affected by the intensity of the ethical issue itself. Factors like
greatness of harm, probability of harm, and proximity to victims influence a manager’s perception of
the ethical nature of an issue. When the no. of people harmed is large, the intensity of the ethical
issue increases.
49.(A) Values refer to the basic convictions held by an individual regarding right or wrong. The personal
values of different managers in an organization are often quite different. These values largely
determine an individual’s ethical or unethical behavior.
50.(C) A careful analysis of agreements for and against the involvement of organization in social welfare is
necessary to determine whether an organization should implement social initiatives. (i) & (ii) are
arguments against social responsibilities of business (iii) is an argument for social responsibilities of
businesses.
PAPER –III
1. (A) The autocratic model is based on power. On the other hand, the supportive model of OB is based
on leadership. The collegial model is an extension of the supportive model. In the custodial model,
employees are assured of economic rewards and benefits irrespective of performance.
2. (A) While the consumption function explains how the income is spend on consumption, the saving
function describes what part of income is saved.
3. (A) According to Fred Luthans org. behavior is, “the understanding Prediction and management of
human behavior in organization.”
4. (D) Learning can be referred as a relatively permanent change that occurs in a person’s belief and
attitude with time and experience. This change may result in a corresponding change in the
individual’s behavior.
5. (C) A Manager interacting with individuals or group inside or outside the org. perform the role of a
liaison. Leadership includes hiring, training, motivating and disciplining employees the figurehead
role, managers perform symbolic and ceremonial duties as head of a group. An ambassador is a
diplomatic official heading his or her country’s permanent mission to certain international
organization.
6.(A) Human resource refer to " the total knowledge, skill, creative abilities, talent and aptitudes of an
organization's work force as well as the value, attitudes and beliefs of the individuals involved this
to a definition by Leon C. Magginson.
7. (A) People always try to uphold their image and self respect and when someone threaten this, they try
to react. This leads to interpersonal conflicts. Further based upon their personalities different
individuals have different tolerance levels and people with low tolerance levels get into
interpersonal conflicts frequently. These may arise due to differences in perception between
individuals and gaps in communication.
8. (A) Charles Darwin’s theory of evolution opened up a new area of study called sociobiologies, which
deals with the biological basis of all from of social behavior in all organism, including human beings.
Acc. to this theory human beings evolved just like other animals.
9. (A) The decision tree in the revised version of the leadership participation model consisted of twelve
contingencies which were referred to as problem attributes. The twelve problem attributes can be
broadly classified into two categories, namely, decision - quality and employee acceptance.
10. (C) Bonus shares, are the additional shares issued to existing shareholders to increase the ownership
in the company.
11. (D) Since if a group is not measurable most marketers do not attempt to appeal to or design products
for this group because it is very less as compared to census data.
12. (D) When a company enters a new product category for which its current brand names are not
appropriate, will likely follow new brands.
13.(C) Need satisfaction approach requires good listening and problem solving skills. In this sales
technique, a sales person first seeks to understand the prospect’s stated (express) and unstated
(tacit) needs through probing question and careful listening.
14. (B) The starting point of a master budget is sales forecast or sales budget that is an assessment of
anticipated sales. A sales budget is a detailed schedule showing the expected sales for the budget
period typically it is expressed in both dollars/ Rupees and units of production.
15. (A) In MRP and DRP, both employ similar logic and procedures MRP is a concept of creating material
plans & production schedules based on the lead time of supply chain & DRP is also a method used
in business administration for planning orders within a supply chain.
16. (B) Henry Ford applied the concept of scientific management of Taylor in the assembly time production
system of ford motor in 1911.
17. (B) Correlation is the study of the linear relationship between two variables. The coefficient of
correlation measures the degree of relationship b/w two sets of figure or mutual dependence of two
or more variables.
18. (B) A proposition that undergoes verification to determine it should be accepted or rejected in favour of
an alternative proposition. Often the null hypothesis is expressed as ‘There is no relationship
between two quantities.” It is presumed to be true until statistical evidence nullifies it for alternative
hypothesis.
19. (A) An adaptive system responds to changes in the environment and modifies its operations
accordingly. An adaptive systems is a set of interacting or interdependent entities, real or abstract,
forming an integrated whole that together are able to respond to environmental changes or
changes in the interacting parts.
20. (A) Porter’s five force model is a framework for industry and business strategy development and to
derive five forces that determine the competitive intensity and therefore attractiveness of a market.
It refer to competition from external sources. The remainder are internal threats.
21. (B) In club organizations, persons who have traditionally held power, continue to do so. These
organizations may seem to comply with the law by hiring and promoting women and minorities,
however, they manage to maintain the club organization by selecting only those who possess the
‘right’ credentials and perspectives.
22. (D) Per capita national income is the best indicator because an increase in per capita real national
income would mean that goods are available per head, which would mean the standard of living has
increased.
23. (D) Acc. to some researchers, the cognitive, approach emphasizes psychological processes while the
behavioristic approach stresses stimulus, response and consequences.
24. (A) The learning of attitudes occurs through associative learning. When a neutral stimulus is combined
with another stimulus that produces a strong reaction, it results in associative learning.
25. (A) Henry Mintzberg classified management roles into three categories depending on the extent of
interpersonal relationships, transfer of information and decision making involved. The interpersonal
roles of a manager include figure head, leadership and liasion roles.
26. (A) Lineation function is a process in human resources management which is concerned with providing a
conductive work environment to the employees and nurturing them to make them fell committed and
attached to the organization.
27. (C) In the contest socialization strategies the channels of movement in the socialization process are kept
open and an individual is given the opportunity to perform better in the next stage, even if he did not
perform as expected in the preceding stages.
28. (D) The trade off between risk and return is a central concept of financial management since the
objective of the firm is to maximize its value to its share holders.
PV
I
I
NBCR = BCR -1
Po S
30. (A) Theoretical value of the right
N 1
800 600
4
4 1
31. (C) HRM is defined as an organized function of planning for human resource needs, and recruitment,
selection, development, compensation and evaluation of performance to fill those needs. The HRM
process consists of five basis activities namely human resource planning, staffing, training and
development, performance appraisal and compensation mission formulation is an activity of top
management.
32. (B) HRM aims at supplying the right people in the right positions in the organization. The major activities
in the HRM process are human resource planning, staffing, training and development, performance
appraisal & compensation planning.
33. (B) Organizations conduct training program for new recruits to help them understand the processes in
the organization Training programs are also conducted for existing employees who require improved
skills in order to advance in the organization.
34. (D) In the selection process, individual characteristics are matched with job requirements.
35. (A) Performance appraisal is defined as the formal evaluation of an individual’s job performance. It also
involves giving feedback to the individual concerned and developing constructive solutions for further
improvement.
36. (D) Advertising has got a lot of advantages to its credit. Although is constructed to be expensive when
compared to any of the other medium, it can generate immediate visibility and allows for quick, easy
tracking of the effectiveness of the company.
37. (B) News articles are not a sales - promotion fool. Sales promotion is one of the seven aspects of
promotion mix which include contests, premiums, coupons, free product samples, prizes, pop
display, rebates, free-bies etc.
38. (B) In PLC, introduction stage is a period of slow sales growth as the product is introduced in the
market, profits are non existent because of the heavy expenses of product introduction. In this
stage promotional expenditure are at their highest ratio to sales because of the need to (1) inform
potential consumers (2) induce product trial and (3) secure distribution in retail outlets.
39. (C) A private label brand (also called reseller, store, and house or distributor brand) is one retailers and
wholesalers develop. For example Retailers such as Big Bazar and shopper’s stop offer large portion
of garment under their own or other private labels.
40. (B) In demographic segmentation, the market is divided into groups on the basis of variables such as
age, family size, family life, cycle, gender, income, occupation, education, race, generation, social
class, religion and nationality. One of the reasons for the popularity of this kind of segmentation is
that consumer needs, wants and usage rates and product and brand preferences are often
associated with demographic variables.
Acc. to this approach, the cost of equity is reflected by the following question.
K i R f i Rm R f
Here Rm denotes the return from the market portfolio.
42. (C) BCR & NBCR criteria are not suitable to evaluate a non - simple mixed investment.
43. (E) Both the methods required rate of earning of investment made on a project is compared with the
return and their time value. Thus, if the return crosses the requisite only then it is accepted.
S tandard deviation
44. (C) Coefficient of variation =
Mean
45. (D) Capital recovery factor is the inverse of present value interest factor for annuity.
46. (A) Deferred credits could mean money received in advance of it being earned, such as deferred
revenue or customer advances. It could also result from complicated transaction. Where a credit
amount arises but the amount is to revenue. It is reports as a liability in balance sheet.
47. (A) In a sight draft, the payment is on demand or on presentation of the negotiation documents to the
paying bank or the importer. In practice, the bank may pay within 3 working days (not instantly) after
the receipt and review of the negotiation documents.
48. (D) The basic objective of export promotion council/ is to promote & develop the Exports of the overall
exports of the country.
49. (C) A strategic Alliance is a mutually beneficial long term format relationship formed between two or
more parties to pursue a set of agreed upon goals, or to meet a critical business need while
remaining independent originations. It is a synergistic agreement whereby two or more organizations
agree to cooperate in the carring out of a business activity where each brings different strengths &
capabilities to the arrangement.
50. (A) Exploring new market is an aggressive reason for going companies international, Defensive reason is
to protect domestic market.
51.(C) Break even of a firm occurs when there is a no profit no loss situation happens. This can be possible
only when AR = AC.
52.(C) Personal disposable Income = Wage & Salary + Dividend paid at home + Factor income received
from abroad + Transfer from govt. personal income tax.
53.(D) As the no. of times of change in signs are two i.e. from -1000 to 1400 and 1400 to - 100, we can
derive that the maximum no. of IRRs for the series is two. At the end of the first year, there is an
inflow of Rs. 1400 in the project. If the firm has withdrawn Rs. 1400 from the project, it would also
become an inflow.
54.(A) The empowerment of employees for improving work performance as postulated in Theory Y was
termed “Job enrichment” by Frederick Herzleorg in 1964.
55.(B) Virtual org. enable employees to work from home. This means less interaction with the org. difficulty
in managing and monitoring performance, and difficulty in promoting commitments towards
organization An advantage of working from homo is that employees can save time and money
involved in shuttling between workplace and homes.
56.(D) Authority refers to the legitimate power vested in a person by the formal structure of an organization.
Autonomy refers to the degree of freedom a person has in decision making. Power is the ability to
attain a desired goal or influence the behavior of another person and locus of control is the degree of
control exercise by an individual over the work environment.
57.(A) Empathy refers to the ability to see things from the other person’s point of view. To manage diverse
group at the workplace, managers must be able to empathize with others.
58. (A) When people arrive at a general impression about an individual on the basis of a single
characteristic the individual possesses, it is known as Halo effect.
59.(B) Gain - sharing systems necessitate that team exceeds some base - line performance to receive a
share of the profits generated by the org. This system rewards all team members on the basis of the
performance of the organization division or plant.
60.(D) An intensive job analysis provides the necessary inputs for preparation of the inventory report. This
report in compilsed on the basis of skill set, qualification and knowledge of the employees.
61.(D) Private agentives usually caters to the recruitment needs of juniors, middle and top level of
management. They charge a percentage of the pay package offered to the candidate of fees for their
service.
62.(D) Career resilience is the degree to which employees can cope with problems affecting their work.
63.(B) The regency effect occurs when the recent performance of the appraise dominates the appraisal.
The appraises tends to get influenced by the performance of the employee over the recent months of
the appraisal prior as it is still fresh in his memory.
64.(B) Interest free loans provided by companies to their employees are an example of benefits. Benefits
are fringe advantages that accrue to an employee over and above his salary as a result of his
employment and position in the organization and which are not related to his performance.
65.(C) The first stage in grievance redressal is usually handled by supervisor or the designated officer.
66.(C) Acc. to Section 3 (1) (iii) of companies Act, 1956 the minimum no. of persons required to form a
private and public ltd. company are 2 and 7.
67.(A) The master production schedule (MPS) is effectively the plan that the company has developed for
production, staffing inventory etc. It has as input a variety of data e.g. forecast demand, production
cost, inventory cost etc. and as output a production plan dealing amounts to be produced, staffing
levels etc for each of a no. of time periods.
68.(D) Acc. to Net operating income approach, the overall capitalization rate and the cost of debts remain
constant for all degree of leverage.
69.(B) There is no obligation to pay dividends on equity capital as well as preference capital. Preference
capital includes the call feature wherein the issuing company has the option to redeem the shares,
prior to maturity date. Only equity shareholders enjoy voting rights.
70.(D) A firm can raise capital from the primary market by issue of securities in all the above ways.
71. (B) While studying demographic variables, market or population is divided into groups on the basis of
variables such as age, gender, income, family size, family life cycle, nationality and social class.
72(D) If a company chooses to move into different unrelated fields from what it has ever done before) with
new products as a mean of stimulate growth, it is called diversification.
73.(D) It is brand extension strategies recognizing that one of their most valuable assets in their brands,
many firms have decided to leverage that asset by introducing a host of new products under some
of their strongest brand name which improve that adds of new/products success in many ways.
74.(D) The last step of the selling process is “follow - up”. It is necessary if the salesperson wants to ensure
customer satisfaction and repeat business.
75.(A) One of the most common problems with using internal data base information is that since it was
probably collected for some other purpose, it may be incomplete or wrong.
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