NTA UGC NET/JRF Exam, January 2025 (Commerce)

Total Questions: 100

51. The Capital Adequacy Ratio (CAR) for Indian Public Sector banks set by RBI is:

Correct Answer: D. 12%
Solution:The Capital Adequacy Ratio (CAR) is a measure of a bank's financial stability, ensuring that it has sufficient capital to absorb potential losses.
As per the Reserve Bank of India (RBI) guidelines, Indian Public Sector Banks are required to maintain a CAR of 12% under Basel III norms, which is higher than the minimum 9% set by the Basel Committee.A higher CAR helps banks mitigate risks and ensures financial stability.

52. Identify correct statements from the following regarding Time Value of money.

(a) The interest which may be earned/saved on the money held at present underlines the concept of time value of money.
(b) The money which is receivable at present has less value than the money receivable in future.
(c) The relationship that exists between the value of money receivable at present and the value of money receivable in future is referred as time value of the money.
(d) Value of money receivable at present = Value of money receivable in future - Time value of money
(e) Future value of money is the value of money held presently at some given future time at a given rate of Interest.
Choose the correct answer from the options given below:

Correct Answer: B. (a), (c) and (e) only
Solution:(a) The interest which may be earned/ saved on the money held at present underlines the concept of time value of money → True, as money today has more value than money in the future due to its earning potential.
(c) The relationship that exists between the value of money receivable at present and the value of money receivable in the future is referred to as time value of money → True, as this concept helps in evaluating investments and financial decisions.
(e) Future value of money is the value of money held presently at some given future time at a given rate of interest → True, as future value considers the impact of compounding over time.
(b) Incorrect → Money receivable at present has more value than money receivable in the future due to inflation and opportunity cost.
(d) Incorrect → The formula should be: Present Value = Future Value (1 +r)n Present Value = (1 + r)n Future Value

53. Match the List-I with List-II.

List-I (Section)List-II (TDS)
(a) Section 194 of the Income Tax Act, 1961I. Payment on account of repurchase of units by mutual fund
(b) Section 194C of the Income Tax Act, 1961II. Payment to the non-resident sportsman
(c) Section 194E of the Income Tax Act, 1961III. Payment to contractor and sub-contractor
(d) Section 194F of the Income Tax Act, 1961IV. Dividend

Choose the correct answer from the options given below:

Correct Answer: A.
Solution:(a) Section 194 - IV. Dividend → TDS is deducted on dividends paid to shareholders if the amount exceeds 5,000 in a financial year.
(b) Section 194C - III. Payment to contractor and sub-contractor → TDS is applicable on contract payments exceeding 30,000 per transaction or1,00,000 annually.
(c) Section 194E - II. Payment to the non-resident sportsman *TDS applies to payments made to foreign sportsmen, associations, and entertainers for participating in India.
(d) Section 194F - I. Payment on account of repurchase of units by mutual fund→ TDS is deducted when mutual funds repurchase units from investors.

54. Arrange the following Securities Exchange Board of India (SEBI) regulations in the ascending year of their enactment.

(a) ICDR regulations
(b) Intermediaries regulations
(c) Real estate investment Trusts regulations
(d) Buy- Back of Securities by listed companies regulations
(e) Listing Obligations and Disclosures Requirements Regulations
Choose the correct answer from the options given below:

Correct Answer: A. (d), (b), (a), (c), (e)
Solution:(d) Buy-Back of Securities by Listed Companies Regulations - 1998 → Governs share buybacks by listed companies.
(b) Intermediaries Regulations - 2008 → Covers SEBI-registered market intermediaries like stockbrokers.
(a) ICDR (Issue of Capital and Disclosure Requirements) Regula-tions - 2009 → Regulates the public issue of shares.
(c) Real Estate Investment Trusts (REITs) Regulations - 2014 → Establishes a framework for REITs in India.
(e) Listing Obligations and Disclosure Requirements (LODR) Regulations 2015→ Sets compliance requirements for listed companies.

55. When all the factors of production are changed in same proportion, it is called as:

(a) Long run production function
(b) Law of equal proportion
(c) Law of return to scale
(d) Law of return to a factor
(e) Law of Variable proportion
Choose the correct answer from the options given below:

Correct Answer: A. (a), (b), (c) only
Solution:(a) Long run production function → In the long run, all factors of production (land, labour, capital) are variable.
(b) Law of equal proportion → Refers to changes in all inputs in the same ratio, leading to returns to scale.
(c) Law of return to scale → If all inputs are increased proportionally, output changes accordingly:
Increasing returns to scale → Output increases more than input increase. Constant returns to scale → Output increases in the same proportion as inputs. Decreasing returns to scale → Output increases at a lower rate than inputs.
(d) and (e) Incorrect → These laws apply when only one factor of production is varied, holding others constant (e.g., Law of Variable Proportion).

56. Which of the following statements are true regarding the buying dynamics of individual consumers?

(a) To successfully compete in the market and create customer value, managers must fully understand the reality rather than theory of consumer behaviour.
(b) In marketing, perceptions are more important than reality because they affect consumers actual behaviour.
(c) People emerge with same perceptions of the same object.
(d) Consumers are constructive decision makers and are subject to many contextual influences.
(e) A consumer's buying behaviour is influenced by cultural, social and personal tactics. Of these personal factors exert the broadest and deepest influence on people's perception and desires.
Choose the correct answer from the options given below:

Correct Answer: A. (b), (d) only
Solution:(b) In marketing, perceptions are more important than reality because they affect consumers' actual behaviour True, because consumer decisions are influenced by their perceptions rather than objective reality. A product perceived as high quality will sell more, even if another product is objectively superior.
(d) Consumers are constructive decisionmakers and are subject to many contextual influences → True, as consumer behaviour is affected by psychological, cultural, and environmental factors, making their decisions context-dependent.
(a) Incorrect→ Managers should understand both reality and theory of consumer behaviour, as theory helps predict patterns.
(c) Incorrect → People do not always emerge with the same perceptions of the same object due to personal experiences and biases.
(e) Incorrect → Cultural factors exert the broadest influence, not personal factors.

57. Which one of the following structure of the marketing department will be most suitable for the companies that produce many products for many markets?

Correct Answer: D. Matrix Organization
Solution:A Matrix Organization is the most suitable structure for companies producing multiple products for multiple markets, as it allows for dual reporting relationships where employees have both product-based and market-based responsibilities.
This structure is effective for complex organizations with diverse products and geographic reach.
Other options are incorrect:
• Geographic Organization → Best for companies expanding across different locations.
• Product or Brand Organization → Best when managing a few key product lines.
• Functional Organization → Best when focusing on specialized functions like sales, HR, and finance.

58. Which of the following are the characteristics of a high customer centric Organization?

(a) Market Driven
(b) Process Oriented
(c) Value Driven
(d) Price Driven
(e) Making competitor irrelevant
Choose the correct answer from the options given below:

Correct Answer: B. (a), (c), (e) only
Solution:(a) Market Driven → A high customercentric organization aligns its operations with market demands.
(c) Value Driven → Focuses on creating customer value rather than just reducing costs.
(e) Making competitors irrelevant→ By differentiating through superior value and customer experience, such organizations reduce the impact of competition.
(b) Incorrect → Being process-oriented is important but does not define a customer-centric organization.
(d) Incorrect → A high customer-centric company focuses on value, not just price.

59. Identify which of the following statements are True:

(a) Assessment Year means the period of 12 months commencing on the first day of April every year
(b) Rounding off of total income is defined under section 288B of the Income Tаx Act, 1961
(c) Rounding off of tax is defined under section 288 A of the Income Tax Act. 1961
(d) Assessee is always a person but a person may or may not be an assessed
(e) A person may not have assessable income but may still be an assessed Choose the correct answer from the options given below:

Correct Answer: B. (a), (d), (e) only
Solution:(a) Assessment Year means the period of 12 months commencing on the first day of April every year → True, as per Section 2(9) of the Income Tax Act, 1961.
(d) An assessee is always a person, but a person may or may not be an assessee → True, as a person is only considered an assessee when they have tax obligations.
(e) A person may not have assessable income but may still be an assessee → True, as individuals can file tax returns despite having zero taxable income (e.g., filing for refund purposes).
(b) and (c) Incorrect → Rounding off of total income is under Section 288A, and rounding off of tax is under Section 288B, not vice versa.

60. Match the List-I with List-II.

List-I (Concept)List-II (Explanation)
(a) Higher Indifference CurveI. Higher Satisfaction
(b) Converse Indifference CurveII. Diminishing Marginal Rate of Substitution
(c) Price LineIII. Same satisfaction on the curve
(d) Indifference CurveIV. Constant Price Ratio

Choose the correct answer from the options given below:

Correct Answer: B.
Solution:(a) Higher Indifference Curve - I. Higher Satisfaction → A consumer prefers higher indifference curves as they represent greater utility and higher levels of satisfaction.
(b) Converse Indifference Curve - II. Diminishing Marginal Rate of Substitution → As a consumer moves along the curve, they are willing to give up less of one good for an additional unit of another, showing diminishing marginal rate of substitution.
(c) Price Line - IV. Constant Price Ratio → The price line represents a fixed budget constraint, showing the trade-off between two goods at constant prices.
(d) Indifference Curve - III. Same Satisfaction on the Curve → Every point on an indifference curve represents the same level of satisfaction or utility for the consumer.