Exercise 2

Question 16 :

The current price index (base 1960) is nearly 330. This means that

A). all items cost 3-3 times more than what they did in 1960
B). the prices of certain selected items have gone up to 3-3 times
C). weighted means of prices of certain item has increased 3-3 times
D). gold price has gone up 3-3 times
Answer : Option C

Question 17 :

Notes on which denomination has the portrait of Mahatma Gandhi printed on them?

A). 1000 rupee
B). 500 rupee
C). 100 rupee
D). All of the above
Answer : Option D

Question 18 :

Devaluation of currency will be more beneficial if

A). prices of domestic goods remain constant
B). prices of exports remain constant
C). prices of imports remains constant
D). prices of exports rise proportionately
Answer : Option B

Question 19 :

Of the gross tax revenue of the Union Government the indirect taxes account for nearly

A). 70 per cent
B). 75 percent
C). 65 percent
D). 60 percent
Answer : Option C

Question 20 :

The banks are required to maintain a certain ratio between their cash in the hand and totals assets. This is called

A). Statutory Bank Ratio (SBR)
B). Statutory Liquid Ratio (SLR)
C). Central Bank Reserve (CBR)
D). Central Liquid Reserve (CLR)
Answer : Option B