UGC NTA NET/JRF Exam, Management, December-2022

Total Questions: 100

11. Which one of the following can be the coping mechanism if the source of resistance to change is the fear of loss of power?

Correct Answer: (d) Role redefinition and re-orientation
Solution:

Role-redefinition and re-orientation can be coping mechanism if the source of resistance to change is the fear of loss of power.

12. If the employers attitude towards trade unions is of acceptance, their behaviour will be.

Correct Answer: (c) Business-like
Solution:

If the employees attitude towards trade union is of acceptance, their behaviour will be business alike because trade union is an association of employees who fight for their rights through joint, well co-ordinates actions. For e.g. economic rights such as better wages, good working conditions etc.

13. Accounting principles are generally based on.

Correct Answer: (a) Practicability
Solution:

Generally Accepted Accounting principles (GAAP) or Accounting principles are general rules and regulations for preparing books of accounts including financial statement. They help in bringing uniformity in accounting and are based on practicability.

14. ABC Ltd. produces two products X and Y in its production unit. Each unit of X and Y takes 5 hours and 10 hours as production time respectively. 1000 units of X and 600 units of Y were produced in a month. Actual man-hours in this production were 10,000. Yearly budgeted hours are 96,000. The activity ratio is.

Correct Answer: (b) 137.50%
Solution:

15. Computation of overhead absorption rates should be based on.

Correct Answer: (d) Normal capacity
Solution:

The amount of indirect costs assigned to goods and services in known as overhead and this process of recovering overheads or any other cost center from its output is called absorption. The computation of overheads absorption rates should be based on normal capacity.

16. Operating budget consists of two parts, called as _________ budget and _________ budget

Correct Answer: (c) Programme, Responsibility
Solution:

Operating budget or functional budget describe the programme and responsibility of one particular department of enterprise. It consists of two parts programme budget and responsibility budget.

17. As per CAPM model, the required rate of return on a security is.

Correct Answer: (a) Return on Treasury Bonds + Market Risk Premium
Solution:

The capital Asset Pricing model (CAPM) is financial metric which measures the risk of investing in security and its expected return.
In this model, the required rate ofreturn on a security is Return on Treasury bonds + Market risk premium.

18. A firm can delay and favourably affect the control of its cash disbursements through the use of.

Correct Answer: (b) Zero balance accounts
Solution:

A firm can delay and favourably affect the control of its cash disbursements through the use of Zero balance accounts.

19. Firm A wants to acquire Firm B and the financial details of the firms are.

Market Price per share    A = ₹50          B = ₹20
Number of shares              1,000,000     500,000
Market value of firm        750 million    10 million
If the merger is expected to bring gains Which have a present value of 710 million and Firm A offers one share for every two shares of Firm B to the shareholders of Firm B, the apparent cost of acquiring firm Bis.

Correct Answer: (d) ₹ 2.500,000
Solution:

Shares Offered in firm A to firm B shareholders
= 500000/2 = 250000
Value of shares = 250000 × 50
= 12500000
Value of firm B = 10000000
Apparent cost of acquiring firm B
= 12500000 - 10000000
= 2500000

20. Which of the following forms of purchasing power parity states that states that changes in spot rates over a period of time reflect the changes in price levels over the same period in the currencies to the concerned economies?/

Correct Answer: (a) Relative form
Solution:

Relative form of purchasing power parity states that changes in spot rates over a period of time reflect the change in price levels over the same period in the currencies concerned economies. In short, it looks at the amount of a goods or service that one unit of currency can buy, which can change over time as inflation alter.