1. How many of the following statements is/are correct?
1. Dollarisation leads to currency instability.
2. Countries that seek full dollarization tend to be developing or transitional economies.
3. Full dollarization creates positive investor sentiment.
4. De-dollarization describes moving away from the world’s reliance on the U.S. dollar (USD) as the chief reserve currency.
(a) Only one (b) Only two (c) Only three (d) All four
2. How many of the following items are considered while calculating Household savings?
1. Bank Deposits.
2. Insurance.
3. Pension funds.
4. Investment in fixed assets of construction.
5. Gold and silver ornaments.
6. Shares and debentures.
(a) Only three (b) Only four (c) Only five (d) All six
3. How many of the following statements about Ways and Means Advances is/are correct?
1. It is a facility for both the Centre and states to borrow from the RBI.
2. WMA borrowings are to deal with temporary mismatches in government's cash flows.
3. WMA borrowing is to be repaid within 6 months.
(a) Only one (b) Only two (c) All three (d) None
4. How many of the following statements about Preference Shares is/are correct?
1. These shares offer a fixed dividend irrespective of the profit or the share price.
2. Dividends are paid out to preference shareholders before common stock dividends are issued.
3. Preference shareholders do not have voting rights in the company.
(a) Only one (b) Only two (c) All three (d) None
ANSWERS
1. (c) 2. (d) 3. (b) 4. (c)
