Indian Civil Services Online Test Quiz!

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Indian Civil Services Online Test Quiz! - Quiz

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Questions and Answers
  • 1. 

    The powers that contested for supremacy with rashtrakutas in north India were

    • A.

      Palas & Pratiharas

    • B.

      Pratiharas and Paramaras

    • C.

      Vengi chalukyas & Pallavas

    • D.

      Palas & Pallavas

    Correct Answer
    A. Palas & Pratiharas
    Explanation
    The powers that contested for supremacy with the Rashtrakutas in North India were the Palas and Pratiharas. These two dynasties were prominent during the 8th to 12th centuries and played a significant role in the political landscape of the region. The Palas ruled over Bengal and Bihar, while the Pratiharas held control over parts of present-day Rajasthan and Madhya Pradesh. Both dynasties were known for their military prowess and strategic alliances, and they fiercely competed with the Rashtrakutas for dominance in North India.

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  • 2. 

    The Hoysala kingdom was finally absorbed into the kingdom of?

    • A.

      Bahmani

    • B.

      Pratiharas

    • C.

      Vijayanagar

    • D.

      Pallavas

    Correct Answer
    C. Vijayanagar
    Explanation
    The Hoysala kingdom was finally absorbed into the kingdom of Vijayanagar. The Vijayanagar Empire was a powerful South Indian empire that existed from the 14th to 17th centuries. It was known for its military strength, administrative efficiency, and patronage of arts and culture. The Hoysala kingdom, which was located in present-day Karnataka, came under the control of the Vijayanagar Empire after facing several invasions and conflicts. The absorption of the Hoysala kingdom into the Vijayanagar Empire marked the end of the independent rule of the Hoysala dynasty.

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  • 3. 

    Chola king Kulottunga I earned fame by abolishing:

    • A.

      Sati

    • B.

      Toll tax

    • C.

      Slavery

    • D.

      Forced labour

    Correct Answer
    B. Toll tax
    Explanation
    King Kulottunga I earned fame by abolishing the toll tax. This decision would have been significant as it would have alleviated the burden on the common people and improved trade and commerce within the kingdom. Abolishing the toll tax would have also showcased the king's concern for the welfare of his subjects and his commitment to promoting economic growth and development.

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  • 4. 

    Pala kings were followers of?

    • A.

      Jainism

    • B.

      Buddhism

    • C.

      Hinduism

    • D.

      Islam

    Correct Answer
    B. Buddhism
    Explanation
    The Pala kings were known to be followers of Buddhism. This can be attributed to the fact that Buddhism was widely practiced in the region during the Pala dynasty, which ruled over parts of present-day India and Bangladesh from the 8th to the 12th century. The Pala kings were known for their patronage of Buddhism, supporting the construction of numerous Buddhist monasteries and institutions. This indicates their strong affiliation with the Buddhist faith and their role in promoting its growth and influence during their reign.

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  • 5. 

    'Jazia' was a tax on:

    • A.

      Non Muslims

    • B.

      Muslims

    • C.

      Hindus

    • D.

      Non Hindus

    Correct Answer
    A. Non Muslims
    Explanation
    Jazia was a tax specifically imposed on non-Muslims in certain Islamic states. It was a form of tribute or protection tax paid by non-Muslims in exchange for being allowed to practice their own religion and be protected under Islamic rule. This tax was not applicable to Muslims, Hindus, or non-Hindus, but only to non-Muslim individuals or communities.

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  • 6. 

    Which of these was not a temple architecture style?

    • A.

      Nagara

    • B.

      Dravida

    • C.

      Vasara

    • D.

      Ghatika

    Correct Answer
    D. Ghatika
    Explanation
    The question asks for a temple architecture style that does not exist. "Nagara" and "Dravida" are both well-known temple architecture styles in India. "Vasara" is a lesser-known style but still exists. However, "Ghatika" is not a recognized temple architecture style, making it the correct answer.

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  • 7. 

    Who were samanthas?

    • A.

      King

    • B.

      Small chief

    • C.

      Servant

    • D.

      Rajaputs

    Correct Answer
    B. Small chief
  • 8. 

    What was the main feature of the Cholas administration?

    • A.

      Military Organisation

    • B.

      Town Administration

    • C.

      Rural Administration

    • D.

      Art and Architecture

    Correct Answer
    C. Rural Administration
    Explanation
    The main feature of the Cholas administration was their focus on rural administration. The Cholas established a well-organized system to govern the rural areas, which included the appointment of village assemblies and local officials to ensure effective governance at the grassroots level. This emphasis on rural administration helped in maintaining law and order, collecting taxes, and implementing various welfare measures for the rural population. Additionally, the Cholas also introduced land reforms and irrigation systems to boost agricultural productivity in the rural areas.

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  • 9. 

    A group of villages during the Cholas period were called?

    • A.

      Tan Kurram

    • B.

      Kudavolai

    • C.

      Kottam

    • D.

      Variam

    Correct Answer
    C. Kottam
    Explanation
    During the Cholas period, a group of villages were referred to as "Kottam." This term was used to denote a territorial division or administrative unit comprising several villages. The Cholas had a well-organized administrative system, and the kottam was an important unit in this system. Each kottam was headed by a chief or a local leader who was responsible for the governance and administration of the villages within that kottam. Therefore, "Kottam" is the correct answer as it accurately represents the group of villages during the Cholas period.

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  • 10. 

    Group of Kurrams during the Cholas period were called?

    • A.

      Nadu

    • B.

      Valanadu

    • C.

      Vishaya

    • D.

      Udankuttam

    Correct Answer
    B. Valanadu
    Explanation
    During the Cholas period, the group of Kurrams were referred to as "Valanadu".

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  • 11. 

    The Chola empire was divided into provinces called?

    • A.

      Vishayas

    • B.

      Aharas

    • C.

      Bhukties

    • D.

      Mandalams

    Correct Answer
    D. Mandalams
    Explanation
    The Chola empire was divided into provinces called Mandalams. Mandalams were administrative divisions that helped in the governance and management of the empire. These provinces were headed by governors who were responsible for maintaining law and order, collecting taxes, and implementing the policies of the Chola rulers. The division of the empire into Mandalams allowed for efficient administration and ensured that the empire ran smoothly.

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  • 12. 

    Village assemblies during the Cholas period were functioned through the committees called?

    • A.

      Variams

    • B.

      Kottams

    • C.

      Kurrams

    • D.

      Kadagams

    Correct Answer
    A. Variams
    Explanation
    During the Cholas period, village assemblies were organized and operated through committees known as Variams. These Variams were responsible for managing the affairs of the village, making decisions, and resolving disputes. They played a crucial role in maintaining the social, economic, and political order within the Chola society. The term "Variam" refers to a group of people who came together to collectively govern and administer their village.

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  • 13. 

    Who was the last ruler of the Chola dynasty?

    • A.

      Adhirajendra

    • B.

      Aditaya

    • C.

      Vinayaditya

    • D.

      Vijayaditya

    Correct Answer
    A. Adhirajendra
    Explanation
    Adhirajendra is the correct answer as he was the last ruler of the Chola dynasty. The Chola dynasty was one of the longest-ruling dynasties in the history of southern India, and Adhirajendra was the final ruler of this dynasty. He ruled during the 13th century and his reign marked the end of the Chola dynasty's power and influence in the region.

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  • 14. 

    What would happen if human blood becomes acidic?

    • A.

      Oxygen carrying capacity of haemoglobin is decrease

    • B.

      Oxygen carrying capacity of haemoglobin is increase

    • C.

      Will be Unpredictable

    • D.

      Will remain same

    Correct Answer
    A. Oxygen carrying capacity of haemoglobin is decrease
    Explanation
    If human blood becomes acidic, the oxygen carrying capacity of hemoglobin would decrease. This is because acidity affects the ability of hemoglobin to bind with oxygen, leading to a reduced capacity to transport oxygen to the body's tissues.

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  • 15. 

    The absorption of ink by blotting paper involves:

    • A.

      Capillary action phenomenon

    • B.

      Diffusion of ink through the blotting

    • C.

      Viscosity of ink

    • D.

      Siphon action

    Correct Answer
    A. Capillary action phenomenon
    Explanation
    The absorption of ink by blotting paper involves the capillary action phenomenon. Capillary action is the ability of a liquid to flow in narrow spaces against the force of gravity. In this case, the ink is drawn up into the tiny spaces between the fibers of the blotting paper due to the adhesive forces between the liquid molecules and the paper fibers. This allows the ink to spread and be absorbed by the paper quickly and effectively.

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  • 16. 

    Which of the following parameters does not characterize the thermodynamic state of matter?

    • A.

      Volume

    • B.

      Pressure

    • C.

      Temperature

    • D.

      Work

    Correct Answer
    D. Work
    Explanation
    Work is not a parameter that characterizes the thermodynamic state of matter. Parameters such as volume, pressure, and temperature are used to describe the state of matter, as they directly relate to the physical properties and behavior of the substance. Work, on the other hand, is the transfer of energy that occurs due to a force acting on an object, and it is not an inherent property of the substance itself.

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  • 17. 

    A transformer is used to light a 100 W and 110 V lamp from a 220 V mains. If the main current is 0.5 A, the efficiency of the transformer is approximate:

    • A.

      90%

    • B.

      60%

    • C.

      100%

    • D.

      30%

    Correct Answer
    A. 90%
    Explanation
    The efficiency of a transformer can be calculated by dividing the power output by the power input and multiplying by 100. In this case, the power output is 100 W (the power of the lamp) and the power input is 220 V x 0.5 A = 110 W (the voltage of the mains multiplied by the current). Dividing 100 by 110 and multiplying by 100 gives an efficiency of approximately 90%.

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  • 18. 

    A convex lens of focal length 20 cm placed in contact with a plane mirror acts as a?

    • A.

      Convex mirror of focal length 10 cm

    • B.

      Concave mirror of focal length 40 cm

    • C.

      Concave mirror of focal length 10 cm

    • D.

      Concave mirror of focal length 60 cm

    Correct Answer
    A. Convex mirror of focal length 10 cm
    Explanation
    When a convex lens is placed in contact with a plane mirror, it forms a combination known as a "concavo-convex lens." In this combination, the lens side facing the mirror acts as a concave mirror. The focal length of this concave mirror can be determined using the formula 1/f = 1/v - 1/u, where f is the focal length, v is the image distance, and u is the object distance. Since the lens is in contact with the mirror, the object distance (u) is equal to the focal length of the lens (20 cm). Plugging these values into the formula, we find that the focal length of the concave mirror is 10 cm. Therefore, the correct answer is a convex mirror of focal length 10 cm.

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  • 19. 

    A car moves on a circular road. It describes equal angles about the center in equal intervals of time. Which of the following statements about the velocity of the car is true?

    • A.

      Magnitude of velocity is not constant

    • B.

      Both magnitude and direction of velocity change

    • C.

      Velocity is directed towards the center of the circle.

    • D.

      Magnitude of velocity is constant but direction changes

    Correct Answer
    D. Magnitude of velocity is constant but direction changes
    Explanation
    As the car moves on a circular road, it experiences a change in direction due to the curvature of the road. This change in direction indicates that the velocity of the car is not constant. However, the magnitude of the velocity remains constant because the car covers equal angles about the center of the circle in equal intervals of time. Therefore, the correct statement is that the magnitude of velocity is constant but the direction changes.

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  • 20. 

    Diwali rocket is ejecting 50 g of gases/s at a velocity of 400 m/s. The acceleration force on the rocket will be?

    • A.

      20 N

    • B.

      24 Dyne

    • C.

      20 Dyne

    • D.

      50 N

    Correct Answer
    A. 20 N
    Explanation
    The acceleration force on the rocket can be calculated using Newton's second law, which states that force is equal to mass multiplied by acceleration. In this case, the mass of the gases being ejected per second is 50 g (or 0.05 kg) and the velocity is 400 m/s. By multiplying these values together, we get 20 N, which represents the acceleration force on the rocket.

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  • 21. 

    A ball is thrown up at an angle with the horizontal. Then the total change of momentum by the instant it returns to the ground is?

    • A.

      Weight of the ball × half the time of flight

    • B.

      Acceleration due to gravity × total time of flight

    • C.

      Weight of the ball × total time of flight

    • D.

      Weight of the ball × horizontal range

    Correct Answer
    C. Weight of the ball × total time of flight
    Explanation
    The correct answer is "weight of the ball × total time of flight." This is because the total change in momentum of an object is equal to the product of its mass and the change in velocity. In this case, the change in velocity is equal to the initial velocity when the ball is thrown up, and the final velocity when it returns to the ground. Since the ball returns to the ground with the same magnitude of velocity as it was thrown up with, the change in velocity is zero. Therefore, the total change in momentum is also zero. The weight of the ball is equal to its mass multiplied by the acceleration due to gravity, and the total time of flight is the time taken for the ball to go up and come back down. So, the correct answer is the weight of the ball multiplied by the total time of flight.

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  • 22. 

    When a gas turns into a liquid, the process is known as?

    • A.

      Deposition

    • B.

      Sublimation

    • C.

      Evaporation

    • D.

      Condensation

    Correct Answer
    D. Condensation
    Explanation
    Condensation is the correct answer because it refers to the process in which a gas transforms into a liquid. This occurs when the gas cools down and loses energy, causing its particles to come closer together and form a liquid state. Condensation commonly happens when warm air comes into contact with a cooler surface or when the air is cooled down.

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  • 23. 

    In an item, no two electrons have all the four quantum numbers identical. This is known as

    • A.

      Aufbau principle

    • B.

      Hunds Rule

    • C.

      Paulis exclusion principle

    • D.

      Avogadros law

    Correct Answer
    C. Paulis exclusion principle
    Explanation
    Pauli's exclusion principle states that no two electrons in an atom can have the same set of four quantum numbers. These quantum numbers include the principal quantum number (n), the azimuthal quantum number (l), the magnetic quantum number (ml), and the spin quantum number (ms). This principle helps to explain the arrangement of electrons in an atom's orbitals, ensuring that each electron occupies a unique position. It is a fundamental principle in quantum mechanics and plays a crucial role in understanding the behavior of electrons in atoms.

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  • 24. 

    An eclipse of the sun takes place:  

    • A.

      Once in every year

    • B.

      When the earth comes between the sun and the moon

    • C.

      When the moon passes between the sun and the earth

    • D.

      When the moon is full

    Correct Answer
    C. When the moon passes between the sun and the earth
    Explanation
    During a solar eclipse, the moon passes between the sun and the earth. This alignment causes the moon to cast a shadow on the earth, blocking the sunlight and causing temporary darkness. Solar eclipses do not occur once every year, as they are a relatively rare event. Additionally, a lunar eclipse occurs when the earth comes between the sun and the moon, not a solar eclipse. Lastly, a full moon does not necessarily indicate a solar eclipse, as the alignment of the sun, moon, and earth must be precise for an eclipse to occur.

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  • 25. 

    Assertion: Chairman and members of UPSC are appointed by the president. Reason: The UPSC is a constitutional body.

    • A.

      Both A and R are true and R is the correct explanation of A.

    • B.

      Both A and R are true but R is NOT the correct explanation of A

    • C.

      A is true but R is false

    • D.

      A is false but R is true

    Correct Answer
    A. Both A and R are true and R is the correct explanation of A.
    Explanation
    The assertion states that the Chairman and members of UPSC are appointed by the president, which is true. The reason given is that the UPSC is a constitutional body, which is also true. The UPSC is indeed a constitutional body established under Article 315 of the Constitution of India. As a constitutional body, it is responsible for conducting examinations for appointment to the services of the Union and the States. Therefore, both the assertion and reason are true, and the reason correctly explains the assertion.

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  • 26. 

    Assertion: The Rajymannar committee recommended the abolition of IAS and IPS. Reason: the IAS & IPS violate the principle of federalism and minitrial responsibility at the state level.  

    • A.

      Both A and R are true and R is the correct explanation of A.

    • B.

      Both A and R are true but R is NOT the correct explanation of A.

    • C.

      A is true but R is false

    • D.

      A is false but R is true

    Correct Answer
    A. Both A and R are true and R is the correct explanation of A.
    Explanation
    The assertion states that the Rajymannar committee recommended the abolition of IAS and IPS. The reason given is that these services violate the principle of federalism and minitrial responsibility at the state level. The correct answer is "Both A and R are true and R is the correct explanation of A" because it affirms that both the assertion and the reason are true, and that the reason provided indeed explains why the committee recommended the abolition of IAS and IPS.

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  • 27. 

    Assertion: The UPSC makes recruitment to Group A & Group B services. Reason: The staff selection makes recruitment to Group C services.  

    • A.

      Both A and R are true and R is the correct explanation of A.

    • B.

      Both A and R are true but R is NOT the correct explanation of A.

    • C.

      A is true but R is false.

    • D.

      A is false but R is true.

    Correct Answer
    B. Both A and R are true but R is NOT the correct explanation of A.
    Explanation
    Both the assertion and the reason are true. The UPSC does make recruitment to Group A and Group B services. However, the reason provided, that the staff selection makes recruitment to Group C services, is not a correct explanation for this assertion. The reason does not provide any connection or logical explanation for the assertion. Therefore, both the assertion and the reason are true, but the reason is not the correct explanation for the assertion.

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  • 28. 

    Assertion: The members of all India services can give independent and impartial advice to political executives in the states. Reason: The enjoy constitutions safeguards with regard to security to service.

    • A.

      Both A and R are true and R is the correct explanation of A

    • B.

      Both A and R are true but R is NOT the correct explanation of A

    • C.

      A is true but R is false

    • D.

      A is false but R is true.

    Correct Answer
    A. Both A and R are true and R is the correct explanation of A
    Explanation
    The assertion states that members of all India services can provide independent and impartial advice to political executives in the states. The reason given is that they enjoy constitutional safeguards with regard to service security. This implies that these members have protection and autonomy in their positions, allowing them to provide unbiased advice without fear of repercussions. Therefore, both the assertion and the reason are true, and the reason correctly explains why the assertion is true.

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  • 29. 

    Assertion: The salaries of the members of the UPSC cannot be changed to their disadvantage during their tenure. Reason: The independence of the public service commission has to be maintained.

    • A.

      Both A and R are true and R is the correct explanation of A

    • B.

      Both A and R are true but R is NOT the correct explanation of A.

    • C.

      A is true but R is false

    • D.

      A is false but R is true.

    Correct Answer
    A. Both A and R are true and R is the correct explanation of A
    Explanation
    The assertion states that the salaries of the members of the UPSC cannot be changed to their disadvantage during their tenure. The reason given is that the independence of the public service commission has to be maintained. This means that the salaries are protected to ensure that the members are not influenced or compromised by any external factors. Therefore, both the assertion and the reason are true, and the reason correctly explains why the assertion is true.

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  • 30. 

    Assertion: The salaries and allowances of members of the UPSC are charged on the consolidated funds of India. Reason: Under the provisions of the constitutions additional functions may be conferred on the commission by the president.

    • A.

      Both A and R are true and R is the correct explanation of A.

    • B.

      Both A and R are true but R is NOT the correct explanation of A.

    • C.

      A is true but R is false

    • D.

      A is false but R is true

    Correct Answer
    C. A is true but R is false
    Explanation
    The assertion states that the salaries and allowances of members of the UPSC are charged on the consolidated funds of India, which means that the government is responsible for paying these expenses. However, the reason states that the commission may be conferred with additional functions by the president under the provisions of the constitution. This reason does not explain why the salaries and allowances are charged on the consolidated funds of India. Therefore, while the assertion is true, the reason is false.

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  • 31. 

    Assertion: The constitution has not fixed the number of members of the UPSC. Reason: The chairman and members of the UPSC are appointed by the president.

    • A.

      Both A and R are true and R is the correct explanation of A.

    • B.

      Both A and R are true but R is NOT the correct explanation of A.

    • C.

      A is true but R is false.

    • D.

      A is false but R is true.

    Correct Answer
    B. Both A and R are true but R is NOT the correct explanation of A.
    Explanation
    The assertion states that the constitution has not fixed the number of members of the UPSC, which is true. However, the reason provided states that the chairman and members of the UPSC are appointed by the president, which is also true. While the reason is a true statement, it does not directly explain why the constitution has not fixed the number of members of the UPSC. Therefore, both A and R are true, but R is not the correct explanation of A.

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  • 32. 

    Which if the follwoing statements related to the central administrative tribunal are correct?1. It is a statutory body2. Its members are drwan from administraive background only3. It is not bound by the procedure prescribed in the code of civil procedure4. Its jurisdiction covers the members of all India services as well as central services and central government posts5. It was set up in 1985

    • A.

      2, 3 & 5

    • B.

      1 & 4

    • C.

      1, 3, 4 & 5

    • D.

      2 & 3

    Correct Answer
    C. 1, 3, 4 & 5
    Explanation
    The correct answer is 1, 3, 4 & 5. The explanation for this answer is that the Central Administrative Tribunal is indeed a statutory body, meaning it is established by a law passed by the legislature. It is not bound by the procedure prescribed in the code of civil procedure, allowing it to have its own set of rules and procedures. Its jurisdiction covers the members of all India services as well as central services and central government posts. Lastly, the Central Administrative Tribunal was set up in 1985.

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  • 33. 

    Which of the following statement are correct: 1.  The constitution does not fix the number of members of the UPSC 2. One-half of the members of the UPSC should be the person who has held office under the government of India or of a state at least for 5 years 3. the chairman and members of the UPSC half office for a term of five years or until they attain the age of 60 years 4. the salaries and allowances of the members of the UPSC are determined by the parliament 5. The entire expenses of UPSC are charged on the consolidated funds of India.

    • A.

      2, 4 & 5

    • B.

      1 & 5

    • C.

      2, 3 & 4

    • D.

      1,4 & 5

    Correct Answer
    B. 1 & 5
    Explanation
    Statement 1 is correct because the constitution does not specify the exact number of members of the UPSC, allowing flexibility in its composition. Statement 5 is correct because the expenses of the UPSC are charged on the consolidated funds of India, meaning that the government is responsible for funding the commission. Therefore, the correct answer is 1 & 5.

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  • 34. 

    Assertion: Foreign Investment may affect a country's export performance Reason: Inflow of foreign exchange may cause an appreciation of local currency leading to a rise in the price of export commodities

    • A.

      Both A and R are true and R is the correct explanation of A

    • B.

      Both A and R are true but R is NOT the correct explanation of A

    • C.

      A is true but R is false.

    • D.

      A is false but R is true

    Correct Answer
    A. Both A and R are true and R is the correct explanation of A
    Explanation
    Both A and R are true and R is the correct explanation of A. The assertion states that foreign investment may affect a country's export performance, while the reason explains that the inflow of foreign exchange may cause an appreciation of the local currency, leading to a rise in the price of export commodities. This relationship between foreign investment and currency appreciation provides a logical explanation for how foreign investment can impact a country's export performance.

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  • 35. 

    Discretionary grants are given to states by the center on the recommendation of

    • A.

      Finance commission

    • B.

      National development council

    • C.

      Finance ministry

    • D.

      Planning commission

    Correct Answer
    D. Planning commission
    Explanation
    Discretionary grants are given to states by the center based on the recommendation of a specific organization or body. In this case, the correct answer is the Planning Commission. The Planning Commission plays a crucial role in the allocation of funds and resources to different states based on their developmental needs and priorities. Therefore, it is responsible for recommending the distribution of discretionary grants to states.

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  • 36. 

    Which of the following is not correct about the finance commission?

    • A.

      Constituted at the expiration of every 5th year

    • B.

      Recommends the distribution of proceeds of taxes between center and states

    • C.

      Consists of a chairman & 4 other members

    • D.

      Its advice is biding on the government

    Correct Answer
    D. Its advice is biding on the government
    Explanation
    The correct answer is "Its advice is biding on the government." This statement is not correct about the finance commission. The finance commission's advice is not binding on the government, meaning that the government is not obligated to follow the recommendations made by the finance commission. The government has the discretion to accept or reject the advice given by the finance commission.

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  • 37. 

    Depository services refer to?

    • A.

      A new scheme of fixed deposits

    • B.

      A method of regulating stock exchanges

    • C.

      An agency for safe keeping securities

    • D.

      An advisory service to investors

    Correct Answer
    C. An agency for safe keeping securities
    Explanation
    Depository services refer to an agency that provides safekeeping services for securities. This means that they hold and safeguard securities such as stocks, bonds, and other financial instruments on behalf of investors. The depository acts as a custodian, ensuring the safe storage and maintenance of these securities. This service is essential for investors as it helps to minimize the risk of loss or theft of their valuable assets.

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  • 38. 

    Transfer payments refer to?

    • A.

      Payments made without quid pro quo

    • B.

      Transferring wealth outside the country through fictious payments

    • C.

      Payments of employees at the time of transfer

    • D.

      Money transferred by one sector to another

    Correct Answer
    A. Payments made without quid pro quo
    Explanation
    Transfer payments refer to payments made without quid pro quo, meaning they are made without any expectation of receiving something in return. These payments are typically made by the government or other organizations to individuals or other sectors of the economy, such as welfare payments, social security benefits, or grants. The purpose of transfer payments is to redistribute income or provide assistance to those in need, rather than for the exchange of goods or services.

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  • 39. 

    Which of the following functions is not performed by the RBI?

    • A.

      It acts as banker to central & state government under agreement singed with them

    • B.

      It issues currency and coins of all denominations

    • C.

      It handles the borrowing programme of state

    • D.

      It maintains orderly conditions in the foreign exchange market

    Correct Answer
    B. It issues currency and coins of all denominations
    Explanation
    The RBI performs various functions as the central bank of India. It acts as a banker to the central and state governments, handling their financial transactions. It also manages the borrowing programs of the state governments. Additionally, the RBI maintains orderly conditions in the foreign exchange market, ensuring stability in currency exchange rates. However, the issuance of currency and coins of all denominations is not a function performed by the RBI. This responsibility lies with the Government of India, specifically the Ministry of Finance and the Department of Economic Affairs.

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  • 40. 

    Demand management to control inflation may lead to:

    • A.

      Increase in govt. expenditure

    • B.

      Increase in unemployment due to contraction of the economy

    • C.

      Expansion of credit

    • D.

      Creation of excess liquidity

    Correct Answer
    B. Increase in unemployment due to contraction of the economy
    Explanation
    When demand management is used to control inflation, it typically involves reducing aggregate demand in the economy. This can be done through measures such as increasing interest rates, reducing government spending, or raising taxes. One consequence of this contractionary policy is a decrease in economic activity, which can lead to a decrease in employment opportunities and an increase in unemployment. Therefore, the correct answer is that demand management to control inflation may lead to an increase in unemployment due to the contraction of the economy.

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  • 41. 

    Which of the following is not a function of SEBI?

    • A.

      Supervising the working of stock exchange

    • B.

      Underwriting the new capital issues

    • C.

      Regulating merchant banks & mutual funds

    • D.

      Promoting the development of a healthy capital market

    Correct Answer
    B. Underwriting the new capital issues
    Explanation
    SEBI, the Securities and Exchange Board of India, is responsible for supervising the working of stock exchanges, regulating merchant banks and mutual funds, and promoting the development of a healthy capital market. However, underwriting the new capital issues is not a function of SEBI. Underwriting is the process of guaranteeing the sale of a company's shares or bonds to investors. This function is typically carried out by investment banks or financial institutions, not by SEBI.

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  • 42. 

    Inflation is described as a regressive form of taxation because:

    • A.

      It affects exports & makes imports attractive

    • B.

      It leads to devaluation of currency

    • C.

      It may cause recession

    • D.

      It affects the poor and vulnerable section more

    Correct Answer
    D. It affects the poor and vulnerable section more
    Explanation
    Inflation is described as a regressive form of taxation because it affects the poor and vulnerable section more. When prices rise due to inflation, the purchasing power of individuals with lower incomes is reduced. This means that they have to spend a larger portion of their income on basic necessities, leaving less for other essential expenses. On the other hand, individuals with higher incomes are better able to absorb the impact of inflation. Therefore, inflation disproportionately affects the poor and vulnerable, making it regressive in nature.

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  • 43. 

    The members of a State Commission can be removed by the:

    • A.

      Governor on a report by the Supreme Court

    • B.

      Governor on a resolution passed by Parliament

    • C.

      President on a report by the Supreme Court

    • D.

      President on a resolution passed by Parliament

    Correct Answer
    C. President on a report by the Supreme Court
    Explanation
    The correct answer is "president on a report by the Supreme Court". According to the explanation, the members of a State Commission can be removed by the president based on a report submitted by the Supreme Court. This means that the Supreme Court must conduct an investigation or inquiry into the conduct or performance of the members and submit a report to the president, who then has the authority to remove them from their positions. The governor and Parliament do not have the power to remove the members of a State Commission.

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  • 44. 

    Land development banks form a part of?

    • A.

      Commercial banks

    • B.

      Industrial development bank of India

    • C.

      Food cooperation of India

    • D.

      Cooperative credit structure

    Correct Answer
    D. Cooperative credit structure
    Explanation
    Land development banks form a part of the cooperative credit structure. Cooperative credit structure refers to a network of cooperative institutions that provide financial services to their members, primarily in the agricultural sector. Land development banks specifically focus on providing credit and financial assistance for land development activities, such as irrigation, drainage, and soil conservation. They play a crucial role in supporting agricultural development and improving rural infrastructure.

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  • 45. 

    The member of a State Public Service Commission can be removed on the ground of misbehavior only after an inquiry has been conducted by the

    • A.

      Supreme Court of India

    • B.

      High Court of the state

    • C.

      Committee appointed by the president

    • D.

      None of the above

    Correct Answer
    A. Supreme Court of India
    Explanation
    A member of a State Public Service Commission can only be removed on the ground of misbehavior after an inquiry conducted by the Supreme Court of India. This ensures that the removal process is fair and impartial, as the Supreme Court is the highest judicial authority in the country. The Supreme Court's involvement ensures that the inquiry is conducted in a transparent manner and provides a safeguard against any potential misuse of power or bias in the removal process. Therefore, the Supreme Court of India is the appropriate authority to conduct the inquiry in such cases.

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  • 46. 

    Which of the following are the main causes of slow rate of growth of per capita income in India? I. High capital - output ratio 2. High rate of growth of population 3. High rate of capital formation 4. High level of fiscal deficits

    • A.

      1,2

    • B.

      2,3,4

    • C.

      1,4

    • D.

      All

    Correct Answer
    A. 1,2
    Explanation
    The slow rate of growth of per capita income in India can be attributed to two main causes. Firstly, the high capital-output ratio indicates that a large amount of capital is required to produce a given amount of output, leading to inefficiencies and lower productivity. Secondly, the high rate of population growth puts pressure on resources and leads to a higher dependency ratio, which hinders economic growth. Therefore, options 1 and 2 are the correct answers.

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  • 47. 

    Reserve bank's liquidity adjustment facility refers to?

    • A.

      Auction of treasury bills

    • B.

      Rediscounting of bills of exchange

    • C.

      Use of Repos and Reserve Repos

    • D.

      Variation in the statutory liquidity ratio

    Correct Answer
    C. Use of Repos and Reserve Repos
    Explanation
    The Reserve Bank's liquidity adjustment facility refers to the use of Repos and Reserve Repos. Repos, or repurchase agreements, involve the sale of securities with an agreement to repurchase them at a later date. Reserve Repos are the opposite, involving the purchase of securities with an agreement to sell them back. These tools are used by the Reserve Bank to manage liquidity in the banking system by injecting or absorbing funds as needed.

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  • 48. 

    India's wage policy is based on?

    • A.

      Cost Of Living

    • B.

      Standard of living

    • C.

      Productivity

    • D.

      None of these

    Correct Answer
    A. Cost Of Living
    Explanation
    India's wage policy is based on the cost of living. This means that the wages are determined by considering the expenses required to maintain a basic standard of living in India. The cost of living includes factors such as housing, food, transportation, healthcare, and other essential needs. By taking into account the cost of living, the wage policy aims to ensure that workers are paid a fair and reasonable wage that allows them to meet their basic needs and maintain a decent standard of living.

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  • 49. 

    To know whether the rich are getting richer and the poor getting poorer, it is necessary to compare:

    • A.

      The distribution of income of an identical set of income recipients in different periods of time

    • B.

      The wholesale price index over different periods of time for different regions

    • C.

      The availability of food grains among two sets of people, one rich and the other poor, over different periods of time

    • D.

      The distribution of income of different sets of income recipients at a point of time

    Correct Answer
    A. The distribution of income of an identical set of income recipients in different periods of time
    Explanation
    To determine whether the rich are getting richer and the poor getting poorer, it is important to compare the distribution of income of an identical set of income recipients in different periods of time. This allows us to observe any changes in income inequality over time and analyze whether the gap between the rich and the poor is widening or narrowing. By comparing the distribution of income among the same group of people, we can assess the impact of economic policies, social changes, and other factors on income inequality.

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  • 50. 

    A fresh evaluation of every item of expenditure from the very beginning of each financial year is called?

    • A.

      Fresh Budgeting

    • B.

      Deficit Budgeting

    • C.

      Performance Budgeting

    • D.

      Zero-based Budgeting

    Correct Answer
    A. Fresh Budgeting
    Explanation
    Fresh Budgeting refers to the process of evaluating every item of expenditure from the beginning of each financial year. This means that all expenses are reviewed and analyzed, taking into account the current financial situation and priorities. It allows for a comprehensive and detailed examination of the budget, ensuring that resources are allocated efficiently and effectively. This approach helps in identifying areas of potential savings and reallocating funds to areas that require more funding.

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  • Current Version
  • Mar 21, 2023
    Quiz Edited by
    ProProfs Editorial Team
  • Nov 15, 2014
    Quiz Created by
    Test19
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