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Q:

A milk man has 20 liters of milk. If he mixes 5 liters of water, which is freely available, in 20 liters of pure milk.If the cost of pure milk is Rs.18 per liter,then the profit of the milkman, when he sells all the mixture at cost price is:

A) 20% B) 25%
C) 33.33% D) 18%
 
Answer & Explanation Answer: B) 25%

Explanation:

when the water is freely available and all the water is sold at the price of the milk, then the water gives the profit on the cost of 20 liters of milk.

 Therefore, profit percentage = (5/20) x 100 =25 %       [ Profit %= (Profit/C.P)*100]

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Filed Under: Profit and Loss

Q:

Duty free technology parks where foreign firms can manufacture electronic hardware components are proposed to be established at various places in the country.

 

Courses of Action:

I. Government should immediately implement the proposal to augment the foreign currency reserve by exporting the products.

II. Government should not implement the proposal as it will hinder indigenous production of hardware components.

A) Only I follows B) Only II follows
C) Neither I nor II follows D) Both I and II follow
 
Answer & Explanation Answer: A) Only I follows

Explanation:

The step discussed in the statement would surely give a boost to hardware industry and help our country to stand apart in this field. Thus, only I follows.

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Q:

The Committee has criticized the Institute for its failure to implement a dozen of regular programmes despite an increase in the staff strength and not drawing up a firm action plan for studies and research.

 

Courses of Action:

I.The broad objectives of the Institute should be redefined to implement a practical action plan.

II.The Institute should give a report on reasons for not having implemented the planned programmes.

A) Only I follows B) Only II follows
C) Neither I nor II follows D) Both I and II follow
 
Answer & Explanation Answer: D) Both I and II follow

Explanation:

The problem is that despite an increase in staff strength, the Institute has failed in its objective of implementing its plan. So, either there should be reasons for the lackening or the plans are a failure and must be revised for practical implementation. Thus, both the courses follow.

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Q:

It is reported that though Vitamin E present in fresh fruits and vegetables is beneficial for human body, capsule Vitamin E does not have the same effect on human body.

 

Courses of Action:

I. The sale of capsule Vitamin E should be banned.

II. People should be encouraged to take fresh fruits and vegetables to meet the body's requirement of Vitamin E.

A) Only I follows B) Only II follows
C) Neither I nor II follows D) Both I and II follow
 
Answer & Explanation Answer: B) Only II follows

Explanation:

The statement implies that capsule Vitamin E does not function so effectively as natural Vitamin E. Since no negative effect of capsule Vitamin E is mentioned, so I does not follow. Hence, only II follows.

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Q:

The Finance Minister submits his resignation a month before the new budget is to be presented in the Parliament.

 

Courses of Action:

I. The resignation should be accepted and another person should be appointed as the Finance Minister.

II. The resignation should not be accepted.

A) Only I follows B) Only II follows
C) Neither I nor II follows D) Both I and II follow
 
Answer & Explanation Answer: B) Only II follows

Explanation:

Clearly, an already working Finance Minister shall know better all the plans and resources of the Government and he alone can present a suitable budget. So, course II follows.

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Q:

It is necessary to adopt suitable measures to prevent repetition of bad debts by learning from the past experiences of mounting non-performing assets of banks.

 

Courses of Action:

I. Before granting loan to customers their eligibility for loan should be evaluated strictly.

II.To ensure the payment of instalments of loan, the work, for which loan was granted, should be supervised minutely on regular basis.

A) Only I follows B) Only II follows
C) Neither I nor II follows D) Both I and II follow
 
Answer & Explanation Answer: D) Both I and II follow

Explanation:

To ensure that debts taken are repaid promptly, the customer's requirements and future prospects ought to be studied and their work constantly checked. Thus, both the courses follow.

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Q:

The Government has decided not to provide financial support to voluntary organisations from next Five Year Plan and has communicated that all such organisations should raise funds to meet their financial needs.

 

Courses of Action:

I. Voluntary organisations should collaborate with foreign agencies.

II. They should explore other sources of financial support.

A) Only I follows B) Only II follows
C) Neither I nor II follows D) Both I and II follow
 
Answer & Explanation Answer: B) Only II follows

Explanation:

The problem arising is shortage of funds. So, alternative sources of financial support need to be worked out first. Thus, only course II follows.

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Q:

Should government stop spending huge amounts of money on international sports ? 

Arguments : 

I. Yes. This money can be utilised for poor. 

II. No. Sports-persons will be frustrated and will not get international exposure.

A) Only argument I is strong B) Only argument II is strong
C) Neither I nor II is strong D) Both I and II are strong
 
Answer & Explanation Answer: B) Only argument II is strong

Explanation:

Clearly spending money on sports can not be avoided merely for social economic problems. But Argument II is strong. Be a sports man and then think on this question. 

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