CAT Questions

Q:

If depreciation exceeds gross investment

A) the economy's stock of capital is growing B) the economy's stock of capital may be either growing or shrinking
C) net investment is zero D) the economy's stock of capital is shrinking
 
Answer & Explanation Answer: D) the economy's stock of capital is shrinking

Explanation:
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Q:

Something that saves your money is

A) Cost-effective B) Economical
C) Both A & B D) None of the above
 
Answer & Explanation Answer: C) Both A & B

Explanation:

Something that saves your money is cost-effective and is also called as economical.

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Q:

Which country is the 2nd largest importer of weapons in the world, as per 'Trends in International Arms Transfers 2018?

A) North Korea B) India
C) China D) Pakistan
 
Answer & Explanation Answer: B) India

Explanation:

India is the 2nd largest importer of weapons in the world, as per 'Trends in International Arms Transfers 2018.

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Q:

First generation of computer was based on which technology?

A) Vaccum Tube B) VLSI
C) LSI D) Transistor
 
Answer & Explanation Answer: A) Vaccum Tube

Explanation:

The first computers used vacuum tubes for circuitry and magnetic drums for memory, and were often enormous, taking up entire rooms.

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Q:

In a fractional reserve banking system

A) bank accepts deposits B) bank accepts some loans
C) bank has some cash reserves D) All the above
 
Answer & Explanation Answer: D) All the above

Explanation:

Fractional reserve banking is the practice whereby a bank accepts deposits, makes loans or investments, but is required to hold reserves equal to only a fraction of its deposit liabilities. Fractional reserve banking is a banking system in which only a fraction of bank deposits are backed by actual cash on hand and are available for withdrawal. This is done to expand the economy by freeing up capital that can be loaned out to other parties.

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Q:

Microeconomics is concerned with

A) The electronics industry B) The study of individual
C) The economy as a whole D) None of the above
 
Answer & Explanation Answer: B) The study of individual

Explanation:

Microeconomics is concerned with the study of individual firms, households, etc...

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Q:

What has keys but no locks?

Answer

A Keyboard has keys but no locks.

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Q:

Indus Valley Civilization flourished during

A) 2500-1750 B.C B) 1500-500 B.C
C) 5000-3500 B.C D) 3000-1500 B.C
 
Answer & Explanation Answer: A) 2500-1750 B.C

Explanation:

Indus Valley Civilization flourished during 2500-1750 B.C. Indus Valley Civilization is also called as Bronze age civilization.

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