(Paper) CA-CPT Previous Year Question Paper "December -
2013"
Session - 2
Part A – General Economics
1. What does “Price mechanism” exists.
a) Capitalist economy
b) Socialist economy
c) Both type of economies
d) None of the above
2. Socialist economy is also known as ____ economy
a) Mixed
b) Planned
c) Capitalist
d) None of the above
3. In a perfectly competitive markets , if MR is greater than MC then a
firm should
a) Increase its production
b) Decrease its production
c) Increase in sales
d) Decrease in sales
4. When total utility is increases at a diminishing rate, then marginal
utility is ______
a) Diminishing
b) Zero
c) Maximum
d) one
5. The cross elasticity of demand between two perfect substitutes will be
a) Zero
b) Infinity
c) Very high
d) Very low
6. The shape of IC for complementary goods is
a) Straight line
b) L- Shaped
c) Convex to the origin
d) Circular
7. Kinked demand curve is related to
a) Oligopoly
b) Monopsony
c) Monopoly
d) Monopolistic competition
8. In long-run a monopolist always earn ___ profits
a) Normal
b) Abnormal
c) Zero profit
d) Loss
9. The concept ‘Returns to scale’ is related with _
a) Very short period
b) Short period
c) Long period
d) None of the above
10. A Higher IC shows ______
a) A Higher level of satisfaction
b) A Higher level of Income
c) A Higher level of production
d) None of the above
11. Positive science only explains _____
a) What it is?
b) What ought to be?
c) What is right or wrong?
d) None of the above
12. In a Cobb – Douglas production function, two inputs are ____
a) Land and Labour
b) Capital and Labour
c) Capital and Entrepreneur
d) Entrepreneur and land
13. From which of the following the concept of consumer’s surplus has been
derived
a) Law of diminishing marginal utility
b) Law of demand
c) Law of supply
d) Indifference curve analysis
14. The Price line / Budget line of a consumer is
a) Parallel to x-axis
b) Parallel to Y- axis
c) Straight line joining two axis
d) None of the above
15. The Demand for factors of production is ___ Demand
a) Fundamental
b) Derived
c) Market
d) Joint
16. Production function is
a) Purely technical relationship between input & output
b) Purely economic relationship between input & out put
c) Both (a) & (b)
d) None of these
17. Which statement among below is correct in reference to AFC?
a) Never becomes zero
b) Curve never touch x-axis
c) Curve never touch y-axis
d) All of these
18. Innovation theory of entrepreneur is propounded by
a) Prof knight
b) Schumpeter
c) Max weber
d) Peter Ducker
19. If a seller obtains Rs.3,000 after selling 50 units and Rs.3,100 after
selling 52 units then MR will be
a) 59.62
b) 50.00
c) 60.00
d) 59.80
20. The Price of a tiffin box is Rs. 100 per unit and the quantity
demanded in a market is 1,25,000 units . Company increased the price to Rs.125
per unit due to this increase in price quantity demanded decreases to 1,00,000
units. what will be price elasticity of demand ______
a) 1.25
b) 0.80
c) 1.00
d) None
21. Economics which is concerned with welfare propositions is called.
a) Socialistic economics
b) Capitalistic economics
c) Positive economics
d) Normative economics
22. Under which of the following forms of market structure does a firm has
very considerable control over the price of its product?
a) Monopoly
b) Perfect competition
c) Monopolistic competition
d) Oligopoly
23. The price of a commodity decreases from 10 to 8 and the quantity
demanded of it increases from 25 to 30 units .Then the coefficient of price
elasticity will be _____
a) 1
b) -1
c) 1.5
d) -1.5
24. In which among the following systems the “Right to property” exists
a) Mixed
b) Capitalist
c) Socialist
d) Traditional
25. Objectives of price discrimination in international market is
a) To capture foreign markets
b) To dispose of surplus stock
c) To earn maximum profit
d) All of the above
26. What is the elasticity between midpoint & upper extreme point of a
straight line continuous demand curve?
a) Infinite
b) Zero
c) >1
d) <1
27. Who is responsible for collecting & presenting statistics in India
a) ISI
b) CSO
c) ICAER
d) NCERT
28. Value added method is used to measure__
a) National Income
b) Domestic Income
c) Gross Income
d) Personal Income
29. Bad and doubtful debts of scheduled commercial banks are known as___
a) Non-performing Assets
b) Withdrawals of assets
c) Non-recoverable Assets
d) None of the above
30. Direct taxes are___ in nature
a) Progressive
b) Regressive
c) Proportionate
d) Digressive
31. The portion of total deposits which a commercial bank has to keep with
itself in liquid assets is known as__
a) CRR
b) SLR
c) Repo Rate
d) Reverse Repo Rate
32. Under strategic sale method disinvestment price is fixed on___
a) Prevailing price
b) Estimated rate
c) Pre-determined rate
d) Market based rate
33. Land development bank provide loans for a period of______
a) One year
b) Two to five years
c) Five to seven years
d) Fifteen to twenty years
34. Censes of population is done in India at an interval of ___
a) 5 years
b) 10 years
c) 15 years
d) None of the above
35. Which of the following is the largest contribution of GDP in India.
a) Agriculture
b) Tourism
c) Industries
d) Service
36. Which index is used to measure inequality of income and wealth?
a) Gini index
b) Price index
c) Both (a) &
(b) d) None of the above
37. Which of the following is not controlled by RBI
a) Cash deposit ratio
b) Cash reserve ratio
c) SLR
d) SCR
38. Which of the following is not a component of demand pull inflation
a) An increase in the government expenditure with no change in tax rate
b) A downward shift of saving function
c) A rise in money wage rate
d) An upward shift of investment function
39. National Income differs from Net National Product at market price by
the amount of
a) Net indirect taxes
b) National debt interest
c) Subsidies
d) Current transfers from the rest of the world
40. The production method of calculating national income is also known as
____
a) Value added method
b) Income method
c) Expenditure method
d) None of the above
41. Which of the following type land tenure system were prevailed in India
at the time independence?
a) Zamindari System
b) Mahalwari System
c) Ryotwari System
d) All of the above
42. Fiscal deficit can be reduced by__
a) Increasing subsidy
b) Restrict privatization
c) Reprioritize planning scheme
d) Reduction of tax revenue
43. The rate at which discounting of bills of first class is done by RBI
is called
a) Repo rate
b) Bank rate
c) Prime lending rate
d) None of the above
44. Convertibility of rupee means ___
a) Determine its own exchange rate in international market
b) Conversion of rupee into various Foreign currencies
c) Transfer of funds in international market
d) None of the above
45. Globalization means__________
a) Creation of global trading blocks
b) Dismantling trade barriers
c) Introducing single currency in the world
d) None of the above
46. Which of the following is a qualitative method of credit control?
a) Bank rate
b) Open market operations
c) Variation in the reserve requirement
d) Regulation of consumer credit
47. When price rise because of growing factor prices then that inflation
is called as
a) Deflation
b) Demand full inflation
c) Stagflation
d) Cost push inflation
48. Fiscal policy means
a) Policy related to money matter
b) Policy related to income and expenditure of the government
c) Policy related to disbursement of funds to state government
d) Policy related to foreign trade matters
49. The term disinvestment is more popularly used
a) Where a holding company sells shares of a subsidiary company
b) Where a investment company off loads its holding
c) Where central / State government sells its holding of public sector companies
d) None of the above
50. One major proposal of new industrial policy (1991) was
a) Impose restriction on technical know-how for one year
b) All types of industries have been made licensed
c) NRI’S will not be allowed for capital investment in India
d) Facility of direct foreign investment up to 51% in high priority industries
Part B - Quantitative Aptitude
54. Of the 200 candidates who were interviewed for a
position at call center, 100 had a two wheeler, 70 had a credit card and 140 had
a mobile phone. 40 of them had both a two wheeler and a credit card, 30 had both
a credit card and mobile phone, 60 had both a two wheeler and a mobile phone and
10 had all the three. How many candidates had none of them?
a) 0
b) 20
c) 10
d) 18
57. An AP has 13 terms whose sum is 143. The third term is 5, then first
term is
