Financial Accounting
1. Representational faithfulness in accounting implies that information should be:
(a) presented in the simplest language possible
(b) factual, unbiased, and free from omission or commission
(c) predictive but not necessarily free from errors
(d) prepared on the basis of accounting standards only
2. If a machinery costs Rs.15,00,000 and depreciation is provided at 10% per annum, what will be the journal entry to transfer depreciation to the Profit and Loss Account?
(a) Depreciation A/c Dr. Rs.1,50,000 ; To Machinery A/c Rs.1,50,000
(b) Profit and Loss A/c Dr. Rs.1,50,000; To Depreciation A/c Rs.1,50,000
(c) Machinery A/c Dr. Rs.1,50,000; To Profit and Loss A/c Rs.1,50,000
(d) Provision for Depreciation A/c Dr. Rs.1,50,000; To Profit and Loss A/c Rs.1,50,000
3. Arrange the following steps of balancing a ledger account in the correct order:
1. Identify the larger side (debit or credit).
2. Enter “Balance c/d” on the side with lesser total.
3. Total both sides and write the figure.
4. Carry down the balance to the next period as “Balance b/d.”
(a) 4 → 3 → 1 → 2
(b) 2 → 1 → 3 → 4
(c) 3 → 1 → 2 → 4
(d) 1 → 2 → 3 → 4
4. How will a cheque deposited into the bank but dishonoured appear in the Bank Reconciliation Statement?
(a) Addition to the Cash Book balance
(b) No effect on reconciliation
(c) Addition to the Pass Book balance
(d) Deduction from the Cash Book balance
5. Sumit started a business by investing Rs.5,00,000 and borrowed Rs.1,00,000 from Ajay. Hence the amount of asset (cash) is Rs.6,00,000. The accounting equation of these two transactions will be:
(a) Asset (cash) = Capital + Liability (Loan from Ajay)
6,00,000 = 5,00,000 + 1,00,000
(b) Capital = Asset (cash) + Liability (Loan from Ajay)
15,00,000 = 5,00,000 + 1,00,000
(c) Liability = Capital – Asset (cash)
5,00,000 = 5,00,000 – 1,00,000
(d) Asset (cash) = Capital – Liability (Loan from Ajay)
5,00,000 = 5,00,000 – 1,00,000
6. In India, Accounting Standards are primarily issued by the:
(a) Institute of Chartered Accountants of India
(b) Securities and Exchange Board of India
(c) Ministry of Corporate Affairs
(d) Reserve Bank of India
7. Which of the following errors will NOT affect the agreement of trial balance ?
(a) Complete omission of a transaction
(b) Error in balancing an account
(c) Wrong amount posted to an account
(d) Posting to wrong account on wrong side
8. A company sells machinery (asset) with book value Rs.50,000 at a profit of Rs.10,000. Based on the rules of debit and credit, the journal entry would involve:
(a) Debit Cash Rs.60,000; Debit Profit & Loss A/c Rs.10,000; Credit Machinery Rs.70,000
(b) Debit Cash Rs.50,000; Credit Machinery Rs.50,000
(c) Debit Profit & Loss A/c Rs.10,000; Debit Cash Rs.50,000; Credit Machinery Rs.60,000
(d) Debit Cash Rs.60,000; Credit Machinery Rs.50,000; Credit Profit & Loss A/c Rs.10,000
9. Which of the following illustrates the Going Concern Concept in accounting?
(a) Assets are recorded at their liquidation value.
(b) The business is assumed to continue operations indefinitely, unless evidence suggests otherwise.
(c) Revenues are recorded only when cash is received.
(d) Depreciation is not charged on fixed assets.
10. When preparing a bank reconciliation, if the Cash Book shows Rs.10,000 higher than bank statement due to Rs.2,000 deposit in transit and Rs.500 bank charges unknown to ledger, the adjusted cash book balance would be:
(a) Rs.11,000
(b) Rs.12,500
(c) Rs.7,500
(d) Rs.9,500
11. Provisions are shown in the balance sheet under:
(a) Current Liabilities
(b) Reserves & Surplus
(c) Either reserves & surplus or current liabilities depending on nature
(d) Contingent Liabilities
12. When is a partner’s loan repaid during the dissolution of a partnership firm?
(a) Before payment of outside creditors and partners’ capital
(b) Along with partners’ capitals
(c) After payment to outside creditors but before returning capital to partners
(d) After payment of outside creditors and partners’ capitals
13. A business concern receives Rs.8,000 out of Rs.10,000 due from Harish. He is unable to pay the balance amount, thus, the remaining amount becomes a bad debts for the business. The compound entry for this transaction will be:
(a) Bank A/c Dr. Rs.10,000 ; To Harish’s A/c Rs.10,000
(b) Bank A/c Dr. Rs.8,000 Bad Debts A/c Dr. Rs.2,000; To Harish’s A/c Rs.10,000
(c) Bank A/c Dr. Rs.8,000; To Harish’s A/c Rs.8,000
(d) Bank A/c Dr. Rs.2,000 Bad Debts A/c Dr. Rs.8,000 ; To Harish’s A/c Rs.10,000
14. Posting in the ledger means:
(a) transferring entries from journal to ledger accounts
(b) recording transactions in the journal
(c) reconciling bank statements
(d) preparing the trial balance
15. What is the primary purpose of a journal in accounting?
(a) To record only cash transactions
(b) To record all financial transactions of a business in chronological order
(c) To calculate tax liabilities
(d) To summarise financial statements
16. The principle that requires recording revenue when it is earned, regardless of cash receipt, is called the:
(a) consistency principle
(b) prudence principle
(c) matching principle
(d) revenue recognition principle
17. According to the double-entry system, in the case of an asset account, a debit entry:
(a) decreases equity
(b) increases liability
(c) increases the asset
(d) decreases the asset
18. If the total debits do not equal the total credits in a trial balance, it indicates that:
(a) all accounts are correct
(b) there is an error in recording or posting transactions
(c) the ledger accounts are balanced
(d) the business made a profit
19. If sales in 2023 are Rs.12,00,000 and in 2024 are Rs.15,00,000, the percentage increase in sales is:
(a) 25%
(b) 20%
(c) 28%
(d) 15%
20. Financial analysis can sometimes be misleading when financial statements ignore:
(a) Common-size comparisons
(b) Non-monetary factors like employee skill or brand goodwill
(c) Window dressing
(d) Accounting ratios
Corporate Accounting
21. Which of the following is true for preference shares?
(a) Preference shareholders are the residual owners of the company
(b) Preference shareholders receive fixed dividends before equity shareholders
(c) Preference shareholders receive dividends only when equity shareholders are paid
(d) Preference shareholders are guaranteed voting rights in all company matter
22. Which account is credited in the books of accounts of a company when the share application money is received by the company?
(a) Equity Share Application A/c
(b) Equity Share Capital A/c
(c) Share Premium A/c
(d) Bank A/c
23. When forfeited shares are reissued at a discount, the discount allowed CANNOT exceed:
(a) the face value of shares
(b) the amount received on such forfeited shares prior to reissue
(d) the original issue price of shares
(d) the nominal value of shares forfeited
24. In relation to Refund of Application Money, if the stated minimum amount has not been subscribed and the sum payable on application is not received within the period specified therein, then the application money shall be repaid within a period of ______ days from the closure of the issue.
(a) fifteen
(b) ten
(c) thirty
(d) twenty
25. If shares are issued for consideration other than cash (e.g. asset in exchange), at Rs.120 each for a payable amount of Rs.5,40,000, how many shares are issued and what amount is credited to Securities Premium Reserve?
(a) 4,500 shares; Rs.90,000 premium
(b) 3,600 shares; Rs.1,80,000 premium
(c) 5,400 shares; Rs.0 premium
(d) 6,000 shares; Rs.1,20,000 premium
26. If shares are issued at a price higher than face value, the excess amount is credited to:
(a) Capital reserve
(b) Securities premium account
(c) Share forfeiture account
(d) Profit and loss account
27. Clark Ltd. forfeited 500 shares of Rs.10 each (Rs.8 called and paid, Rs.2 unpaid on final call). These were reissued to John at Rs.7 per share as fully paid up. What is the amount to be transferred to Capital Reserve after the re-issue?
(a) Rs.1,500
(b) Rs.2,500
(c) Rs.1,000
(d) Rs.500
28. Cash flow analysis differs from other techniques because it:
(a) is based only on ratio computation
(b) considers only comparative statements
(c) ignores profitability and solvency
(d) focuses on actual inflows and outflows of cash
29. Fund Flow Statement mainly explains:
(a) The allocation of overhead costs
(b) The distribution of dividends to shareholders
(c) The movement of funds between sources and uses
(d) The calculation of profit and loss
30. Reviewing a financial item over multiple years to observe whether it rises or falls primarily employs:
(a) Common Size Statements
(b) Trend Analysis
(c) Ratio Analysis
(d) Cash Flow Analysis
31. Which of the following focuses on long-term solvency and survival of a firm?
(a) Trade payables
(b) Labour unions
(c) Customers
(d) Lenders
32. Which of the following is a newly introduced component in the financial statements under Ind AS (compliant with Part II of Schedule III, Companies Act, 2013)?
(a) Statement of Cash Flows only
(b) Statement of Profit and Loss only
(c) Only Notes to Accounts
(d) Statement of Comprehensive Income and Statement of Changes in Equity
33. Horizontal analysis of financial statements involves:
(a) comparing the financial statements of different years
(b) only analysing a single year’s statement
(c) expressing items as a percentage of total assets
(d) comparing the financial statements of different entities
34. A company’s Return on Investment (ROI) is 15%, while the cost of debt is 9%. If the company increases its debt financing, what will happen?
(a) Both EPS and financial risk will decline
(b) EPS will remain constant, and risk will not change
(c) Earnings per share (EPS) will increase, but risk of default will also rise
(d) EPS will decrease, and risk will reduce
35. Under AS 3 (Cash Flow Statement), how is dividend received from a subsidiary classified?
(a) Cash flow from investing activities
(b) Cash flow from extraordinary activities
(c) Cash flow from financing activities
(d) Cash flow from operating activities
36. To arrive at funds from operations, the non-fund items which do not affect current assets or current liabilities and non-trading expenses and losses are added to the net profit disclosed by the profit and loss account at the end of the year. Such items are:
(i) Interest on investments
(ii) Refund of Tax
(iii) Provision for taxes
(iv) Proposed dividend
(v) Transfer to reserves
(a) Point (i), (ii) (iii) & (iv) only.
(b) Point (i), (ii) (iii) & (v) only.
(c) Point (ii), (iii) (iv) & (v) only.
(d) Point (iii), (iv) & (v) only
37. A statement shows each item as a percentage of sales in the income statement or of total assets in the balance sheet. This technique is called:
(a) Trend analysis
(b) Comparative statements
(c) Common-size statements
(d) Ratio analysis
38. Which of the following is NOT an objective of a Cash Flow Statement?
(a) To provide information about cash inflows and outflows
(b) To help in evaluating liquidity and solvency
(c) To assess the ability to generate positive cash flow in future
(d) To show financial position as on a particular date
39. What is the formula to calculate Operating Profit Ratio (OPR)?
(a) Current Assets ÷ Current Liabilities
(b) Gross Profit ÷ Sales × 100
(c) Net Profit ÷ Total Assets × 100
(d) Operating Profit ÷ Sales × 100
40. Which of the following is one of the main benefits of preparing a cash flow statement?
(a) Calculating gross profit
(b) Recording journal entries
(c) Determining par value of shares
(d) Providing information about changes in cash and cash equivalents
41. A Funds Flow Statement highlights basic changes in which aspect(s) of a business?
(a) Only its financial structure
(b) Only its asset structure
(c) Its financial structure, asset structure, and liquidity position
(d) Only its liquidity position
42. Which step is necessary to prepare comparative statements after listing absolute figures?
(a) Subtracting previous year from current year values
(b) Ignoring percentage changes
(c) Only calculating ratios
(d) Preparing only profit and loss account
43. The Cash Flow Statement provides information about:
(a) Only assets and liabilities of the business
(b) Inflows and outflows of cash and cash equivalents
(c) Distribution of dividends to shareholders
(d) Only profit earned by the business
44. When comparing two firms using Common Size Balance Sheets, Firm A reports 60% current assets and 40% non-current assets, while Firm B reports 30% current assets and 70% non-current assets. Which of the following inferences is most accurate?
(a) Firm A is riskier due to a larger portion of current assets.
(b) Firm B is less liquid but potentially more capital-intensive, reflecting higher fixed investments.
(c) Firm A is more efficient in using long-term capital.
(d) Firm B must have lower profitability because of higher non-current assets.
45. To assess financial soundness and profitability, analysts often compute ratios like Current Ratio, Debt-Equity Ratio, and Return on Investment. These are part of which analytical tool?
(a) Trend Analysis
(b) Ratio Analysis
(c) Cash Flow Analysis
(d) Comparative Statement Analysis
46. When combining trend analysis with ratio analysis for liquidity assessment, which pattern is most concerning?
(a) No change in either ratio
(b) Quick ratio trending upward, current ratio stable
(c) Both current and quick ratios trending upward
(d) Current ratio trending upward while quick ratio remains stable or declines
47. From a financial management perspective, why is the preparation of a Fund Flow Statement crucial for long-term decision-making?
(a) It serves as a substitute for the Profit and Loss Account.
(b) It reveals the cost structure and aids in fixing product pricing.
(c) It records daily cash inflows and outflows of a company.
(d) It highlights the movement of working capital and thereby facilitates analysis of long term solvency.
48. What is the main objective of a fund flow statement?
(a) Identify the sources and applications of funds during a period
(b) Record daily cash transactions
(c) Prepare journal entries
(d) Calculate gross profit
49. When evaluating the relationship between profit generated and the equity invested by shareholders, which analytical tool is being used?
(a) Comparative figure
(b) Common-size percentage
(c) Profitability ratio
(d) Trend percentage
50. Which of the following techniques is most commonly used for cross sectional financial analysis?
(a) Vertical analysis
(b) Cash flow reconciliation
(c) Budgetary control
(d) Time-series forecasting
51. While preparing Cash Flow Statements as per Revised AS-3 (ICAI), interest paid by a financial enterprise is classified under which activity?
(a) Operating activity
(b) Investing activity
(c) Discounting activity
(d) Financing activity
52. Comparative statements, also known as ‘horizontal analysis’ are useful for which of the following purposes?
(a) Showing profitability and financial position for different periods in a comparative form.
(b) Studying only the operational results over a series of years by observing absolute changes.
(c) Indicating the relationship of different items to a common base within a single period.
(d) Assessing the solvency and efficiency of an enterprise through ratios.
53. In what way does the preparation of a Cash Flow Statement under AS-3 (Revised) primarily help stakeholders?
(a) Understanding the firm’s liquidity position by analysing actual cash inflows and outflows
(b) Identifying the firm’s long-term solvency by tracking the changes in net worth
(c) Measuring the profitability of the firm over the accounting period
(d) Evaluating the efficiency of utilisation of working capital through funds movement
54. Which of the following is a disadvantage of debentures?
(a) Debenture holders have no claim over company assets.
(b) Interest rate on debentures is usually higher than that on other sources.
(c) Debenture holders have voting rights in company decisions.
(d) Interest is payable even when the company has no profit
Cost & Management Accounting
55. What is the primary objective of cost accounting?
(a) Only to determine profit and loss
(b) To ascertain the cost of a product or service
(c) To prepare the balance sheet
(d) To manage human resources
56. In job costing, the cost unit is:
(a) A process of manufacturing
(b) A product line
(c) A specific work order
(d) A batch of Materials for production
57. Process costing is generally used when:
(a) Production is carried out only once for a specific customer
(b) Each job or order is unique in nature
(c) A product goes through a series of continuous processes or stages
(d) Costs are not required to be recorded at every stage
58. Which cost control technique sets a cost benchmark and measures deviations from it?
(a) Budgetary control
(b) Ratio analysis
(c) Standard costing
(d) Inventory control
59. Which function of cost accounting mainly supports managerial decision making by providing periodic statements and summaries?
(a) Cost comparisons
(b) Cost control
(c) Cost reports
(d) Cost analysis
60. Standard costing is primarily used for:
(a) Estimating sales revenue
(b) Controlling costs through variance analysis
(c) Budget preparation
(d) Determining cost per unit
61. Which of the following statements correctly differentiates Cost Control and Cost Reduction?
(a) Cost Control is permanent, while Cost Reduction is temporary.
(b) Cost Control is a corrective process, while Cost Reduction is preventive.
(c) Cost Control focuses on maintaining costs within standards, while Cost Reduction aims at lowering unit costs without affecting quality.
(d) Cost Control has no visible end, while Cost Reduction ends when targets are achieved.
62. Which of the following is NOT considered a real and permanent cost reduction?
(a) Savings in selling and distribution costs
(b) A reduction in taxes due to a change in government policy
(c) Savings in administrative costs
(d) Savings in manufacturing costs
63. Which of the following best describes the profit at the break-even point?
(a) Maximum profit (b) Minimum profit
(c) Zero profit (d) Negative profit
64. Process costing is most suitable for industries where:
(a) production is continuous and passes through two or more processes
(b) jobs are executed for specific customer orders
(c) each order needs special treatment
(d) products are customised and unique
65. A manufacturing company wants to determine the impact of a change in product mix on its profitability. Which component of CVP analysis should management consider to evaluate which product line contributes most to covering fixed costs?
(a) Contribution margin per limiting factor
(b) Degree of operating leverage
(c) Margin of safety
(d) Break-even point
66. Why is a marginal costing system simpler to operate than an absorption costing system?
(a) It does not involve the problems of overhead apportionment and recovery
(b) It involves more complex overhead calculations
(c) It requires detailed inventory valuations
(d) It is only useful for long-term planning
67. Which budgetary control technique is most suitable for industries with highly fluctuating and seasonal production?
(a) Zero-based budget
(b) Fixed budget
(c) Flexible budget
(d) Performance budget
68. Value analysis as a cost reduction technique focuses on:
(a) Cutting wages
(b) Reducing marketing expenses only
(c) Eliminating unnecessary features or costs without reducing product utility
(d) Increasing selling price
69. Which of the following is NOT a feature of Cost Reduction?
(a) It is a temporary but continuous process.
(b) It explores the possibility of improving cost targets themselves.
(c) It leads to permanent reduction in cost per unit.
(d) It results in economising the unit cost without reducing product quality.
70. Direct costing differs from marginal costing because:
(a) It considers some fixed costs as direct costs in certain cases
(b) It includes indirect costs in product cost
(c) It charges only variable costs to cost units
(d) It ignores all fixed costs completely
71. In process costing, what does the reciprocal method essentially do when service department costs are apportioned to production departments?
(a) Allocates costs in proportion to prime cost of production departments
(b) Ignores mutual services among service departments
(c) Uses repeated distribution until balances reduce to zero
(d) Recognizes inter-service department support by solving simultaneous equations
72. In report designing, what is the significance of ‘user orientation’?
(a) It ensures the information in reports matches the needs of the intended users.
(b) It refers to the layout design of report cover pages.
(c) It focuses on designing reports strictly for auditors.
(d) It prioritises graphical representations over numerical values.
Advance & Miscellaneous Accounting
73. Who bears the loss of goods held by the consignee in consignment?
(a) Consignor (b) Consignee
(c) Bank (d) Buyer
74. Which of the following is an essential characteristic of a bill of exchange?
(a) It must contain an unconditional order to pay a certain sum of money.
(b) It does not need to be dated.
(c) It can be oral or written.
(d) Payment can be in the form of any commodity
75. Read the given statements carefully and select the most appropriate option.
(i) When two or more persons join together to carry out a specific business venture and share the profit on an agreed basis it is called a ‘joint venture’.
(ii) Each one of them who join as a party to the joint venture is called as partner.
(a) Both statements (i) & (ii) are true.
(b) Both statements (i) & (ii) are false.
(c) The statement (i) is true & statement (ii) is false.
(d) The statement (i) is false & statement (ii) is true.
76. An internal auditor is reviewing an NPO’s financial reporting and notes the use of segmented funds by donors – some for education programs, others for general administration. Under fund-based accounting in NPOs, how should such funds be categorised?
(a) Consolidated as unrestricted income under a single column
(b) Classified as temporarily or permanently restricted funds, depending on donor restrictions
(c) Treated as equity in the balance sheet
(d) Reported as loans without repayment obligation
77. In Consignment Accounting, which of the following statements are correct in line with accounting treatment under advanced financial accounting principles?
(i) Non-recurring expenses (like freight, insurance, and customs duty) incurred by the consignor are included in the cost of unsold consignment stock, while recurring expenses (like godown rent and selling expenses) are not capitalized.
(ii) Abnormal loss is valued at proportionate cost plus proportionate non-recurring expenses, and its value is credited to the Consignment Account while insurance claim receivable, if any, is separately recorded.
(iii) Del-credere commission given to consignee protects the consignor from both credit losses and abnormal losses.
(iv) Un sold consignment stock in the books of consignor is valued at cost plus proportionate non-recurring expenses less proportionate abnormal loss, if any.
(a) Only (ii), (iii), and (iv)
(b) Only (i), (iii), and (iv)
(c) All (i), (ii), (iii), and (iv)
(d) Only (i), (ii), and (iv)
78. Which account is maintained to record contributions, sales proceeds, expenses, and final settlement among co-venturers?
(a) Realisation Account
(b) Joint Bank Account
(c) Cash Account
(d) Suspense Account
79. A small shopkeeper maintains only his cash book and a record of debtors and creditors, ignoring detailed ledgers for assets, expenses, or purchases. This method of bookkeeping is best described as: (a) Fund Accounting System
(b) Quasi Single-Entry System
(c) Full Accounting System
(d) Double-Entry System
80. In a Computerised Accounting System (CAS), which of the following is handled automatically?
(a) Estimating future budget figures
(b) Manually posting entries from the journal to the ledger
(c) Processing accounting transactions using specialized software
(d) Verifying accuracy of mathematical calculations manually
81. Which of the following is NOT an advantage of using a DBMS?
(a) Increased hardware and software costs
(b) Sharing of data
(c) Reduction of redundancies
(d) Data security
82. What is an ‘entity’ in an Entity-Relationship (ER) diagram in a Database Management System?
(a) A real-world object distinguishable from other objects
(b) A relationship between two or more objects
(c) A set of attributes that describe a relationship
(d) A property that describes an object
83. If the base year production is 20,000 units and the production in year 4 is 28,000 units, the trend index for year 4 is:
(a) 135 (b) 150
(c) 140 (d) 120
84. Which of the following is NOT a typical feature of a Joint Venture?
(a) Shared control and management
(b) Limited duration or specific purpose
(c) Complete absorption of one company into another
(d) Shared profits and losses
Business Studies
85. Which of the following is NOT a feature of sole proprietorship form of business organisation?
(a) There is a separate law that governs formation and closure for sole proprietorship.
(b) The right to run the business and make all decisions lies absolutely with the sole proprietor.
(c) The risk of failure of business is borne all alone by the sole proprietor.
(d) Sole proprietors have unlimited liability.
86. Which of the following elements is common in both Contractual and Equity based Joint Ventures?
(a) A mutual intention and agreement to work together on a business venture
(b) Both parties exercise no control over the business venture
(c) Creation of a new jointly-owned business entity
(d) Shared ownership by the parties involved
87. Which of the following is a fundamental characteristic of a Joint Stock Company?
(a) No requirement for incorporation
(b) Unlimited liability of members
(c) Separate legal entity and perpetual succession
(d) Personal control by owners
88. _______ generally act as a link between producers and retailers in trade transactions.
(a) Wholesalers (b) Agents
(c) Consumers (d) Distributors
89. Financing Public enterprises requires substantial capital, and different sources may be tapped. Which of the following is the primary source of capital for public enterprises?
(a) Private investors – who may contribute through equity participation and joint ventures.
(b) Public donations – voluntary contributions by citizens or organizations, usually for non-commercial causes.
(c) Government funding – budgetary support from the government in the form of equity capital and grants.
(d) Bank loans only – borrowed capital from financial institutions to meet working capital and project needs
90. Which of the following is an example of a company’s responsibility towards the community?
(a) Filing GST returns on time
(b) Providing funds to local schools
(c) Maintaining inventory records
(d) Providing training to employees
91. The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006, came into effect from which of the following months?
(a) December, 2006 (b) October, 2006
(c) March, 2007 (d) January, 2006
92. Which of the following is an example of unethical practices in corporate governance?
(a) Adopting CSR policies
(b) Insider trading
(c) Independent board committees
(d) Transparent financial disclosures
93. Who manages a Joint Hindu Family business?
(a) Manager (b) Partner
(c) Co-parcener (d) Karta
94. What is the term for the exchange of goods and services between countries across national borders?
(a) Internal trade (b) Barter trade
(c) Domestic trade (d) International trade
95. Organisations that are under government ownership and control are called _____.
(a) public sector units (b) private sector units
(c) residual sector units (d) HUF sector units
96. Which of the following statements accurately reflects both a significant characteristic and a limitation of a sole proprietorship?
(a) The business has a distinct legal identity separate from the owner, ensuring business continuity upon the proprietor’s death.
(b) The sole proprietor bears unlimited liability, meaning personal assets may be used to settle business debts.
(c) It is governed by a separate law, enabling easy continuity of business.
(d) The proprietor shares decision-making and profits equally with others, ensuring diversity of ideas.
97. Read the given statements carefully and select the most appropriate option. (i) The main objective of a cooperative organisation is to maximise profit. (ii) A cooperative organisation is based on the principle of one member, one vote.
(a) Both statements (i) & (ii) are false.
(b) The statement (i) is true & statement (ii) is false.
(c) Both statements (i) & (ii) are true.
(d) The statement (i) is false & statement (ii) is true.
98. Which principle in insurance gives the insurer the legal right to recover the amount of claim paid from a third party responsible for the loss?
(a) Principle of Contribution
(b) Principle of Subrogation
(c) Principle of Insurable Interest
(d) Principle of Proximate Cause
99. Which of the following is the primary responsibility of a franchisee in a franchise agreement?
(a) Licensing the franchisor’s methodology to others
(b) Owning the brand and selling rights
(c) Following the franchisor’s business model and paying royalties
(d) Setting up corporate-owned outlets
100. Which of the following is NOT a reason for businesses to control pollution?
(a) Guarantee of higher short-term profits
(b) Reduction of health hazards
(c) Reduction of liability risk
(d) Improved public image
101. A partnership deed is:
(a) Mandatory
(b) Not required
(c) Only for limited partnerships
(d) Optional
102. Why can profit NOT be regarded as the only objective of a business?
(a) Because profit benefits only owners and not society.
(b) Because profit alone cannot ensure acquisition of resources.
(c) Because ignoring social responsibility may harm goodwill and long-term survival.
(d) Because profit is uncertain due to risks and market fluctuations.
103. Read the given statements about Government Companies and select the most appropriate option.
(a) Its formation is simple and it is governed by the Companies Act, 1966.
(b) It creates unhealthy competition in private sector.
(c) The Government Companies never make delay in taking timely decisions.
(d) A change in Government leads to change in rules, policies and procedure of Government Company.
(a) Statements (a), (b), (c) are false & (d) is true
(b) Statements (a) & (b) are false & (c) & (d) are true
(c) Statements (c) & (d) are false & (a) & (b) are true
(d) Statements (b) & (c) are false & (a) & (d) are true
104. If a company implements a CSR policy primarily to gain an advantage in the competitive graduate talent market, it is leveraging CSR for:
(a) risk mitigation
(b) human resource recruitment and retention
(c) regulatory compliance
(d) market share expansion
105. When a country buys goods from another country, it is called:
(a) import trade (b) internal trade
(c) export trade (d) re-export trade
106. Which ethical theory argues that actions are morally right if they promote the greatest good for the greatest number?
(a) Deontology (b) Virtue Ethics
(c) Utilitarianism (d) Ethical Egoism
107. Which of the following best highlights the impact of technology on business services?
(a) It restricts the speed and accessibility of services.
(b) It ensures services remain completely unaffected by globalisation.
(c) It enables faster, more efficient, and customer-friendly delivery of services like banking, insurance, and communication.
(d) It eliminates the need for businesses to interact with customers.
108. What is the primary objective of a cooperative society as a form of business organisation?
(a) Competing with private companies
(b) Maximising profits for shareholders
(c) Avoiding government control
(d) Providing service to its members
109. Ravi purchased a refrigerator but did not insist on a cash memo. Later, the refrigerator stopped working within the warranty period, and the shopkeeper refused to repair it without proof of purchase. Which responsibility did Ravi fail to follow as a consumer?
(a) Avoid misleading advertisements
(b) Learn about consumer rights
(c) Demand a cash memo on purchase
(d) Use products legally and honestly
110. Which of the following is a key characteristic of a cooperative society?
(a) Membership is compulsory
(b) One member, one vote — democratic control
(c) Unlimited liability of members
(d) Ownership concentrated among a few major members
111. Which of the following is NOT a typical function of consumer organisations?
(a) Initiating government legislation
(b) Organising consumer education programs
(c) Publishing periodicals on consumer awareness
(d) Assisting consumers in court proceedings
112. Which of the following is NOT considered a dimension of the general business environment?
(a) Technological
(b) Social
(c) Economic
(d) Internal structure of the organisation
113. Which of the following best represents the ‘dynamic nature’ of business environment?
(a) It remains stable over time, allowing businesses to plan effectively.
(b) It constantly evolves due to technological, economic, political, and legal changes.
(c) It focuses solely on legal regulations applicable to business.
(d) It includes only economic factors that change every quarter.
114. What does ‘limited liability’ mean in the context of a company?
(a) Shareholders are liable for all debts of the company.
(b) Shareholders have no liability even if shares are unpaid.
(c) Shareholders are liable for the company’s debts in proportion to their profits.
(d) Shareholders’ liability is limited to the amount unpaid on their shares.
115. Business Process Outsourcing (BPO) is best described as:
(a) delegating non-core activities to external agencies
(b) partnering with NGOs for CSR
(c) selling excess inventory online
(d) outsourcing manufacturing to retailers
116. What happens if a partner dies in a partnership firm and the partnership deed is silent on this?
(a) The firm merges with another firm.
(b) The firm is dissolved.
(c) The government appoints a new partner
(d) The partnership continues as usual.
117. Read the given Assertion (A) and Reason (R) carefully and select the correct option.
(A): In a Joint Hindu Family business, only the Karta has unlimited liability, whereas other coparceners’ liability is limited to their share in the family property.
(R): This arrangement exists because the Karta alone legally controls and manages the business, making him solely accountable for all business debts.
(a) A is true, R is true, and R correctly explains A
(b) A is false, R is true
(c) A is true, R is true, but R does not correctly explain A
(d) A is true, R is false
118. Which of the following is NOT a role of Consumer Organisations/NGOs?
(a) To educate consumers about their rights and responsibilities
(b) To publish journals on consumer affairs
(c) To increase the profits of business firms
(d) To organise exhibitions on adulterated products
International Business
119. Multinational Corporations (MNCs) are distinguished by their global presence and centralised decision-making. The role of the headquarters is often debated in terms of autonomy and control. Which of the following statements best captures the function of an MNC headquarters?
(a) It acts merely as a registered office for legal purposes, with no role in strategy.
(b) It functions only as a financial center to minimize tax liabilities in different jurisdictions.
(c) It is replicated in each host country to independently manage local operations without central oversight.
(d) It coordinates global operations, frames strategic policies, and allocates resources across subsidiaries.
120. The World Trade Organization (WTO) officially commenced operations on ____.
(a) January 1, 1996 (b) January 1, 1095
(c) January 31, 1995 (d) January 1, 1995
121. One of the IMF’s core functions is capacity development. Which of the following activities is most closely associated with that function?
(a) Issuing Special Drawing Rights (SDRs) to maintain liquidity
(b) Monitoring currency exchange rates
(c) Lending funds during financial crises
(d) Providing technical assistance and training to member governments
122. An Indian pharma MNC owns IP centrally but books revenue in subsidiaries in favorable tax jurisdictions. Which ownership model best describes this?
(a) Multi-domestic: subsidiaries independently own and exploit IP locally
(b) International: centralises IP and profits entirely in the parent company
(c) Global: subsidiaries implement parent strategy, limited autonomy
(d) Transnational: decentralised control with centralised strategic assets
123. Joint Ventures (JVs) are formed when two or more firms collaborate for a specific project or long-term business purpose. They combine strengths but also share risks. Which of the following is considered a key advantage of a JV?
(a) Pooling of financial, technological, and managerial resources to achieve common objectives.
(b) Restriction on access to skilled manpower, since each partner must depend only on its own
(c) Complete exemption from profit and loss sharing, as each partner retains its own earnings.
(d) Each partner enjoys unlimited liability, which enhances financial credibility.
Finance
124. Which of the following best describes the Repurchase Agreement (Repo) in the Indian money market?
(a) A short-term loan where one party sells securities with an agreement to repurchase them at a predetermined price
(b) A negotiable certificate of deposit issued by financial institutions
(c) An unsecured borrowing tool used by corporations
(d) A long-term debt instrument issued by the Government of India
125. Which of the following was a major limitation of OTCEI that led to its decline in the Indian financial market?
(a) Over-dependence on SEBI approvals for each trade
(b) Lack of liquidity and investor interest due to poor secondary market activity
(c) Strong competition from regional stock exchanges
(d) Excessive participation of institutional investors
126. Short-Term Borrowings will include all loans within a period of _____ months from the date of the loan.
(a) 24 (b) 36
(c) 12 (d) 18
127. Which of the following best describes SEBI’s preamble and core mission, based on its statutory framework?
(a) To grant loans to salaried individuals
(b) To protect investor interests, regulate the securities market, and ensure its growth and efficiency
(c) To draft industrial policies for the Ministry of Finance
(d) To maximise tax collection for the Government of India
128. In what way does obtaining funds from a financial institution differ from a loan from a commercial bank, based on sources of business finance?
(a) Commercial banks offer long-term development finance, while financial institutions focus on overnight credit.
(b) Loans from financial institutions always carry no interest, unlike bank loans.
(c) Financial institutions commonly impose fewer formalities and offer flexible short-term loans.
(d) Financial institutions provide long-term finance and often supply technical and managerial support, while commercial banks are more short- to medium-term and primarily provide just funding.
129. Which of the following statements best explains why issuing preference shares might be more suitable than equity shares for risk-averse investors seeking a steady income?
(a) Preference shares guarantee fixed dividends and receive capital before equity in case of liquidation.
(b) Preference shares dilute ownership and control through equal voting rights.
(c) Equity shares provide predictable dividends regardless of company performance.
(d) Preference shares offer voting rights and participate in residual profits
130. Which of the following combinations correctly pairs each financing option with its primary characteristic?
(a) Credit rating agency – assigns ratings to debenture issues; Trade credit – short-term supplier financing; Micro credit – small loans to individuals or small entrepreneurs.
(b) Trade credit – credit rating needed; Credit rating agencies – no collateral required; Micro-credit – short-term funds from suppliers.
(c) Micro credit – large-scale project funding; Trade credit – used for equity financing; Credit rating agency – issues public deposits.
(d) Credit rating agency – provides micro-loans; Trade credit – involves formal loan contracts from banks; Micro-credit – rates debenture issues.
131. Which of the following is a primary advantage of using borrowed funds over owners’ funds?
(a) Interest on borrowed funds is tax-deductible
(b) No risk of insolvency
(c) Dividend is paid at fixed rates
(d) No fixed repayment obligation
132. Which of the following is a main feature of loans from banks?
(a) Loans carry interest and have to be repaid within a specified time
(b) Does not involve interest payment
(c) Permanent source of capital
(d) No repayment obligation
133. Which of the following accurately distinguishes between Global Depository Receipts (GDRs) and American Depository Receipts (ADRs)?
(a) GDRs and ADRs are both issued in the U.S. and provide equal voting rights to their holders.
(b) GDRs are issued in India and traded only in Indian stock markets, whereas ADRs are traded globally.
(c) GDRs are denominated in Indian Rupees, while ADRs are denominated in Euros.
(d) GDRs are issued by companies to raise funds in international markets outside the U.S., while ADRs are issued and traded in the U.S. financial markets.
134. Which of the following provides the trading platforms for Derivative trading (Futures and Options) in India?
(a) Clearing Corporation of India
(b) Ministry of Finance
(c) RBI
(d) NSE & BSE
135. Read the given statements carefully and select the most appropriate option. (i) Behaviour refers to the response made by an individual. (ii) The individuals are brought up in a particular environment like family, society, culture, etc. These environmental factors influence the behaviour of the individuals.
(a) The statement (i) is true & statement (ii) is false.
(b) The statement (i) is false & statement (ii) is true.
(c) Both statements (i) & (ii) are true.
(d) Both statements (i) & (ii) are false.
136. Which of the following is NOT a main function of financial management?
(a) Marketing of products
(b) Estimation of capital requirements
(c) Investment of funds
(d) Disposal of surplus
137. The abolition of the office of the Controller of Capital Issues (CCI) in 1991, led to which of the following?
(a) Transfer of its functions to the Reserve Bank of India
(b) Grant of statutory recognition to SEBI in 1992
(c) Establishment of National Stock Exchange (NSE)
(d) Merger of primary and secondary markets under SEBI
138. Which of the following is considered the primary objective of financial management?
(a) Minimising operational risks
(b) Maintaining liquidity only
(c) Maximising shareholder wealth
(d) Maximising sales
139. Operating leverage arises due to which of the following?
(a) Variable production costs
(b) Fixed financing costs
(c) Variable financing costs
(d) Fixed operating costs
140. Which of the following statements best explains the structural and operational difference between the National Stock Exchange (NSE) and the Over-The-Counter Exchange of India (OTCEI)?
(a) NSE is an order-driven, anonymous electronic exchange with nationwide connectivity, whereas OTCEI was a dealer-based, screen-driven exchange specifically supporting small and medium enterprises and operated via market makers.
(b) NSE exclusively lists large-cap companies, while OTCEI lists only foreign companies.
(c) OTCEI allows margin trading on all listed securities, unlike NSE.
(d) NSE is the only Indian stock exchange using electronic trading.
141. Which of the following does the money market deal in?
(a) Derivatives only
(b) Long-term debt instruments
(c) Equity securities
(d) Short-term instruments
142. A Global Depository Receipt (GDR) is a:
(a) domestic currency bond issued by a foreign government
(b) negotiable instrument issued in one country representing shares in a foreign company
(c) central bank guarantee
(d) trade credit instrument for foreign trade
Banking
143. The main objective for setting up of the ______ was to provide credit and other facilities, especially to small and marginal farmers, agricultural labourers, artisans and small entrepreneurs in rural areas.
(a) Co-operative Banks
(b) Industrial Banks
(c) Central Bank
(d) Regional Rural Banks
144. Financial management primarily deals with which of the following?
(a) Planning, organising, and controlling financial resources
(b) Managing procurement processes
(c) HR policy formulation
(d) Accounting for past transactions
Business Management
145. Which of the following states that Management is considered a goal-oriented process?
(a) It deals exclusively with financial outcomes.
(b) It ensures that all activities are directed towards achieving predetermined objectives.
(c) It adapts only to the changing environment.
(d) It focuses primarily on employee welfare.
146. sin relation to levels of management, which of the following statements is INCORRECT?
(a) A manager’s level in the organization determines the relative importance of possessing technical, human, and conceptual skills.
(b) Supervisors and team leaders need technical skills to manage employees who make products and serve customers, train employees and help employees solve problems.
(c) All levels of management don’t need human skills to interact and communicate with other people successfully.
(d) Top level managers need conceptual skills that let them view the organization as a whole, and recognize how the company is affected by the community, customers and the competition.
147. Coordination is often referred to as the essence of management. Why is it considered so crucial?
(a) It replaces the need for planning and organising altogether.
(b) It focuses on issuing top-down orders.
(c) It eliminates the need for leadership at lower levels.
(d) It ensures unity of action among interdependent activities and departments within an organisation.
148. Which of the following is the first step in a typical business process reengineering initiative?
(a) Monitoring and evaluation
(b) Identifying processes for redesign
(c) Implementing new IT systems
(d) Benchmarking against competitors
149. Delegation of authority in organising involves:
(a) only transferring responsibility
(b) avoiding communication with subordinates
(c) granting authority and retaining responsibility
(d) transferring accountability permanently
150. Which of the following correctly lists the sequential steps involved in the controlling process?
(a) Take corrective action → Set standards → Measure performance → Compare results
(b) Set standards → Measure performance → Compare results → Take corrective action
(c) Set standards → Take corrective action → Measure performance → Compare results
(d) Measure performance → Set standards → Compare results → Take corrective action
151. Which of the following most accurately describes the role of planning in management?
(a) It serves as the last step in the management process.
(b) It primarily deals with hiring and training employees.
(c) It involves anticipating future business positions and deciding on actions to achieve organisational goals.
(d) It is only about problem-solving as situations arise.
152. According to Porter’s Five Forces Model, which of the following is one of the forces?
(a) Bargaining power of buyers
(b) Legal compliance
(c) Technological change
(d) Economic conditions
153. What is the primary purpose of benchmarking in organisations?
(a) To compare organisational practices and adopt best practices
(b) To develop new products without reference to the market
(c) To eliminate competitors from the market
(d) To increase employee turnover and reduce costs
154. __________ involves issuing orders to subordinates and supervise how these orders are carried out by them, and if necessary, motivate the employees for higher performance and hence to the accomplishment of the organisational objectives effectively.
(a) Coordination (b) Directing
(c) Planning (d) Organising
155. Instead of controlling subordinates, quality leaders focus on:
(a) restricting their decisions
(b) reducing their responsibilities
(c) empowering them
(d) supervising them closely
156. Which of the following best describes the dynamic nature of management?
(a) It resists innovation.
(b) It ignores environmental changes.
(c) It is independent of external influences.
(d) It evolves with socio-economic and technological changes.
157. Which of the following statements best reflects the interactionist approach to personality?
(a) Environment alone determines individual behaviour.
(b) Personality is shaped entirely by inherited traits.
(c) Personality is the result of both inherited traits and environmental factors.
(d) Personality is fixed and unchangeable after childhood.
158. In Business Process Reengineering (BPR), the primary focus is on:
(a) Outsourcing business functions
(b) Only cost-cutting in operations
(c) Fundamental rethinking and radical redesign of processes
(d) Incremental improvements in existing processes.
159. A CEO leads digital transformation by inspiring vision, innovation, and employee development. However, middle managers focus mostly on rewards and punishments for short-term goals. What best describes this leadership scenario?
(a) CEO: Servant leadership; Middle managers: Autocratic, causing leadership conflict
(b) CEO: Transformational leadership; Middle managers: Transactional leadership, causing mixed impact
(c) Both CEO and middle managers: Contingency leadership, adapting to situation demands
(d) CEO: Charismatic leadership; Middle managers: Laissez-faire, showing leadership gap
160. Which of the following statements correctly explains management as a group activity?
(a) Group activity in management means that individual effort is more important than team contribution
(b) Management as a group activity ignores the role of employees and focuses only on top managers
(c) Management as a group activity highlights the importance of collective contribution from managers and employees
(d) Group activity in management succeeds when individuals work in isolation without coordination
161. In relation to objectives of business management, which of the following statements are correct?
(i) The main objective of management is to attain maximum results with minimum efforts and resources.
(ii) Through proper utilization of various factors of production, their efficiency can be increased to a great extent which can be obtained by reducing spoilage, wastages and breakages of all kinds.
(iii) Management ensures smooth and coordinated functioning of the enterprise.
(a) All (i), (ii) and (iii)
(b) Only (i) and (iii)
(c) Only (ii) and (iii)
(d) Only (i) and (ii)
162. What is the correct sequence of steps in the Business Process Reengineering process?
(a) Analysis of Existing Process → Creation of Vision → Selection of Team → Development of New Process → Implementation → Evaluation
(b) Creation of Vision → Analysis of Existing Process → Selection of Team → Development of New Process → Implementation → Evaluation
(c) Selection of Team → Creation of Vision → Development of New Process → Analysis of Existing Process → Implementation → Evaluation
(d) Creation of Vision → Selection of Team → Analysis of Existing Process → Development of New Process → Implementation → Evaluation
163. According to Henri Fayol, what does the principle of ‘Unity of Command’ mean?
(a) Managers must report to subordinates.
(b) Orders should be given only in writing.
(c) A subordinate should receive orders from only one superior.
(d) A subordinate should receive orders from multiple superiors
164. Which of the following is NOT a factor influencing individual behaviour in an organisation?
(a) Perception
(b) Government policies
(c) Personality
(d) Attitude
165. What is the main purpose of Strategic Management?
(a) To manage only financial resources
(b) To handle day-to-day operations of the company
(c) To supervise employee attendance
(d) To formulate and implement plans to achieve long-term organisational goals
166. Select the correct option with respect to the given statements in relation to recruitment and selection in human resource management.
Statement I: Recruitment is a positive process as it seeks to attract as many candidates as possible for a vacancy. Statement II: Selection is also a positive process since it involves rejecting unsuitable candidates to choose the best.
(a) Statement I is correct, but Statement II is incorrect.
(b) Both Statement I and Statement II are incorrect.
(c) Both Statement I and Statement II are correct.
(d) Statement I is incorrect, but Statement II is correct.
Human Resource Management
167. Assigning suitable jobs to employees to maximise their skills falls under which of following functions of human resource management?
(a) Utilisation
(b) Integration
(c) Acquisition
(d) Development
168. Which of the following statements are true for motivation?
1. Motivation is primarily an internal psychological force that drives behaviour towards goals.
2. It is the same as short-term excitement which fades quickly after rewards are received.
3. Motivation can be influenced by both intrinsic factors (like achievement) and extrinsic factors (like pay, recognition).
4. It works only through punishments to correct undesirable behaviour.
(a) 1, 3, and 4 only
(b) 2 and 4 only
(c) 1 and 3 only
(d) 1, 2, and 3 only
169. What is the primary purpose of a Quality Circle?
(a) To increase the workforce size of a company
(b) To monitor employee attendance
(c) To voluntarily form small teams to solve quality or performance-related problems
(d) To implement new company policies
170. TQM focuses on eliminating errors before they occur rather than correcting them afterward. This refers to:
(a) continuous Improvement
(b) organisational excellence
(c) standardisation
(d) prevention of defects
171. When an employee judges a colleague as hardworking because they always arrive early, this illustrates which type of perceptual error?
(a) Stereotyping
(b) Projection
(c) Halo effect
(d) Selective perception
172. The main purpose of establishing a Steering Committee in QC Circles is to:
(a) train circle members directly in technical tasks
(b) provide policy guidance, resources, and promotional support for QC circles
(c) supervise day-to-day operations of circles
(d) replace facilitators in case of absence
173. A multinational corporation’s Balanced Scorecard shows strong financial results but internal process inefficiencies exceeding industry benchmarks. According to advanced control theory, what should management do?
(a) Wait for financial impacts and then apply feedback control for corrections.
(b) Use feed forward control to redesign processes before the inefficiencies hurt financials.
(c) Keep the current strategy since high ROI means overall efficiency.
(d) Focus only on non-financial metrics as financial data lags future performance
174. Human Resource Management is considered both an art and a science. Which of the following situations highlights the “art” aspect of HRM rather than the “science” aspect?
(a) Motivating an underperforming employee through empathy and counseling
(b) Preparing payroll using software
(c) Using data analytics to predict employee turnover
(d) Drafting a step-by-step recruitment process based on research
175. Why is performance appraisal considered an integral part of staffing?
(a) It ensures that promotions are only time-bound.
(b) It helps in assessing training needs and rewarding employees.
(c) It encourages layoffs during low productivity.
(d) It prevents delegation of authority.
176. In TQM’s Deming Cycle (PDCA), which action best represents the ‘Check’ phase?
(a) Conducting employee training on newly established quality procedures
(b) Analysing process performance against planned objectives and identifying causes of deviations
(c) Performing routine inspections to find defects in the output
(d) Implementing corrective actions to eliminate identified defects
177. What is the primary purpose of ISO 9000 certification?
(a) To standardise financial reporting practices
(b) To establish a framework for quality management systems
(c) To promote employee welfare programs
(d) To ensure compliance with environmental regulations
Marketing Management
178. What does ‘Green Marketing’ refer to?
(a) Promoting environmental sustainability through marketing practices
(b) Using only green-coloured packaging
(c) Marketing of agricultural products only
(d) Selling products to only eco-friendly consumers
179. Which marketing function involves the physical movement of goods from producers to consumers?
(a) Distribution
(b) Product planning
(c) Branding
(d) Advertising
180. Identify the marketing model where a business allows customers to try a product (like cosmetics or digital apps) before they decide to purchase:
(a) Selling concept
(b) Free-trial or experiential marketing model
(c) Product concept
(d) Societal marketing model
Pedagogy
181. Dramatisation as a teaching technique is particularly effective for developing:
(a) Skills unrelated to curricular goals
(b) Only physical coordination skills
(c) Emotional intelligence, empathy, and communication skills
(d) Isolated textbook-based knowledge only
182. Which of the following is a formative assessment tool aimed at providing ongoing feedback to students?
(a) Portfolio
(b) Aptitude test
(c) End-term examination
(d) Annual report card
183. According to the gender socialisation, how are gender stereotypes commonly reinforced during childhood?
(a) Equal access to educational resources
(b) Exposure to gender-neutral books and games
(c) Community-based training programs
(d) Exposure to gender-specific toys, books, and television content
184. Which of the following strategies best supports children with learning disabilities in inclusive classrooms?
(a) Providing frequent punishment for incorrect answers
(b) Reducing class participation for CWSN
(c) Assigning them to separate classrooms permanently
(d) Using differentiated instruction, remedial support, and assistive technology
185. Which of the following is NOT a responsibility of the School Head in the development of learning resources?
(a) Planning and initiating processes
(b) Avoiding community support
(c) Executing and following up plans
(d) Soliciting co-operation of colleagues
186. Which cultural elements contribute to the construction of femininity in Indian society, as per Dube’s perspective with reference to gender and socialisation?
(a) Technological advancements and urbanisation
(b) Sports and academic achievements
(c) Government policies and quotas
(d) Language, rituals, ceremonies, and proverbs
187. In art education, the use of open-ended materials and processes primarily supports which pedagogical approach?
(a) Standardised assessment of uniform products
(b) Behaviourist reinforcement of correct answers
(c) Teacher-directed replication of fixed outcomes
(d) Constructivist exploration and meaning-making
188. In the context of formulating learning objectives, which of the following best reflects an advanced application of the revised Bloom’s taxonomy?
(a) Listing different types of nutrition in animals
(b) Identifying the structure of a leaf using diagrams
(c) Explaining the role of chlorophyll in photosynthesis
(d) Creating a working model to illustrate autotrophic nutrition
189. Which Indian policy launched in 2018 merged SSA, RMSA, and Teacher Education to provide integrated and inclusive schooling for all children?
(a) RPwD Act 2016
(b) Samagra Shiksha Abhiyan
(c) RTE Act 2009
(d) NEP 2020
190. In the process of selecting learning resources, which of the following should a teacher emphasise the most?
(a) Alignment with curriculum and learner diversity
(b) Traditional practices only
(c) Preference of other schools
(d) Colour and design of the material
191. How does subject pedagogy help in addressing diverse student needs?
(a) By conducting more exams
(b) By assigning the same tasks to everyone
(c) By ignoring student differences
(d) By planning differentiated instruction and scaffolding
192. Who is regarded as the philosophical founder of Cognitive constructivism?
(a) Jerome Bruner
(b) Jean Piaget
(c) Lev Vygotsky
(d) John Dewey
193. Which of the following best captures the key distinction between behaviourist and constructivist learning theories as described in Educational psychology?
(a) Behaviourism emphasises holistic learning, whereas constructivism emphasises discrete stimulus-response chains.
(b) Behaviourism views the learner as active, while constructivism sees the learner as passive.
(c) Behaviourism focuses on external stimuli and responses, whereas constructivism emphasises internal cognitive construction of knowledge.
(d) Constructivism eliminates the need for teacher guidance, whereas behaviourism promotes learner autonomy.
194. What does ‘equilibrium’ refer to in Piaget’s theory of cognitive development?
(a) A situation where learning is not needed
(b) The balance between mental and physical health
(c) The balance between rewards and punishments
(d) A state of comfort where existing schemas explain new experiences
195. Which of the following is a principle of human development?
(a) Development follows a pattern and is predictable.
(b) Development only occurs in a discontinuous pattern.
(c) Every person grows at the same pace.
(d) After adolescence, development ceases.
196. In the context of individual differences, the term “learning styles” refers to:
(a) Students’ consistent preferences for perceiving and processing information
(b) The number of subjects a student enjoys
(c) The amount of effort a student puts into learning
(d) Fixed, innate ways of learning that do not change over time
197. Why do students from weaker socio-economic backgrounds face greater challenges in academic writing, as per the Language Across the Curriculum?
(a) They struggle with handwriting and classroom behaviour.
(b) They avoid using technology in learning situations.
(c) They are unfamiliar with the specialised language and register of academic subjects.
(d) They do not attend school regularly and lack textbook access.
198. Which of the following best describes the “design” phase in assessment for learning (AFL)?
(a) Providing grades to rank students
(b) Recording and reporting student results
(c) Planning assessment tasks aligned with learning objectives
(d) Analysing past student performance
199. Why is subject content analysis important in instructional planning?
(a) It ensures that content aligns with learning outcomes and student needs.
(b) It helps identify the best seating arrangement.
(c) It reduces the teacher’s workload.
(d) It is useful only for examinations.
200. A school principal wants to determine whether a newly implemented teaching method has improved students’ critical thinking skills. Which evaluation approach will best provide reliable evidence for decision-making?
(a) Using a single standardised test at the end of the semester
(b) Comparing students’ current grades with their grades from the previous year
(c) Asking teachers for informal feedback about students’ engagement
(d) Conducting a summative evaluation using performance-based assessments
Answer Key