All

[administration]

VA : XAT 2009 : Q23 to Q25

• Discuss the solution of the following questions below :
• Please post your solution too with answers
• Problem in reading : Use CTRL + .
  

  ---

Questions 23-25: Go through the questions below and answer them.

23. In this era of global capital flows, so much money is now flowing throughout the world that no
single country can fight the problem of inflation effectively by tightening its monetary policy.
If above is true, which of the following could be most logically concluded?
A. Changes in cash reserve ratio by Reserve Bank of India will control the rate inflation in India.
B. Countries finance ministers have sufficient control over their respective economies.
C. Countries finance ministers have insufficient control over their respective economies.
D. Inflation does not matter as long as incomes increase.
E. Citizens should limit their consumption which will reduce the demand of products, thus
reducing inflation.

---

24. Many entrepreneurs try to control the composition of their boards of directors, but more
experienced entrepreneurs tend to share control, inviting participation from institutional
investors and outside directors.
Which option best summarizes the idea that might be guiding experienced entrepreneurs
behaviour?
A. The experienced entrepreneurs expect experienced directors to monitor the performance of
the enterprise and be a sounding board.
B. The experienced entrepreneurs expect the institutional investors to support the opinion of
entrepreneurs on all major decisions.
C. The experienced entrepreneurs expect the institutional investors and outside directors to agree
to higher remuneration for the board members.
D. Experienced entrepreneurs expect the experienced directors to engage in day-to-day
management of the company.
E. More the number of influential people on board, the easier it is to raise finances.

---

25. “There is nothing so stupid as an educated man, if you can get him off the thing he was
educated in.”
Which of the following, if true, most seriously undermines the authors contention?
A. True education implies a well-rounded exposure to major subjects.
B. An educated man will not discuss things which he does not understand.
C. The cost of a general education has led to the unfortunate fact that a persons education is
confined to one field.
D. Stupidity, like intelligence, is relative and therefore depends on the intelligence of the
persons peers.
E. Education is one of the main causes of people recognizing their capabilities and developing
them further.

[Author]

Posts