3/22/2020----NTA NET Management Higher Questions and Answers & Solutions December 2019 Part 5- Translation in Hindi, Kannada,

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Dr. Manishika Jain- Join online Paper 1 intensive course. Includes tests and expected
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Paper 3 has been removed from NET from 2018 (Notification)- now paper 2 and 3 syllabus is
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NTA NET Management Higher Questions and Answers &

Q53. The Total Asset Turnover Ratio and Total Assets to Net worth Ratio of Kuber Ltd. are 1.75
and, respectively. If the Net Profit Margin Of this company is 8%. What is the Return on Equity
(ROE)?

(1) 0.20

(2) 0.25

(3) 0.22

(4) 0.28

Q54. Net Income approach to valuation is based on which of the following assumption?

(1) There are taxes and cost of debt is less than cost of equity

(2) There are taxes and use of debt does not change the risk perception of investors

(3) There are no taxes and use of debt changes the risk perception of investors

(4) There are no taxes and cost of debt is less than the cost of equity and the use of debt not
change the risk perception or investors.

Q55. Psychological barriers in communication take place due the following reasons:

(i) Premature evaluation, lack of attention

(ii) Organizational facilities, Status relationships

(iii) Poor retention, lack of reliance

(iv) Hierarchy, organization policies

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3/22/2020----NTA NET Management Higher Questions and Answers & Solutions December 2019 Part 5- Translation in Hindi, Kannada, Malayalam,
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Choose the correct option:

1. (i) and (ii)

2. (i) and (iii)

3. (ii) and (iii)

4. (ii) and (iv)

Q56. In Service Quality GAPS model proposed by Parasuraman et.al... Gap 4 refers to

(1) Difference between the service level expected by the customer and the service level received
by customer

(2) Difference between the service delivered and the promise made to the customer

(3) Difference between the service specifications adopted and service quality actually delivered

(4) Difference between the service expectations and specifications given by the customers.

Q57. Which one of the following is NOT correct in case of indifference curves?

(1) Indifference curves slope downward to right

(2) Indifference curves of imperfect substitutes are convex to the origin

(3) Indifference curves neither intersects nor are tangent to one another

(4) Lower indifference curves indicate a higher level of satisfaction.

Q 58. International negotiation is a seven-step process comprising of the following:

a(i) Information exchange and offer

b(ii) Concession

c(iii) Preparation

d(iv) Building a relationship

e(v) Strategy

f(vi) Persuasion

g(vii) Agreement

Which of the following sequence is in the right order?

1. (v), (iii), (i), (vi), (vii) (ii) and (iv)

2. (iii), (v), (vi), (i), (vi), (ii) and (vii)

3. (vii), (iii), (v), (vi), (vi) (i) and (ii)

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3/22/2020----NTA NET Management Higher Questions and Answers & Solutions December 2019 Part 5- Translation in Hindi, Kannada, Malayalam,
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4. (iv), (i), (iii), (v), (vi) (vii) and (ii)

Q 59. Public Relations as a part of promotion in marketing refers to

(1) Management of reputation of the company

(2) Promoting products/brands of the company

(3) Managing an event of the company

(4) Conducting publicity campaigns around relevant issues

Q60. When an activity is not connected to any of intermediate or end event and has no bearing
on the project completion, is known as

1. Dangling

2. Looping

3. Dummy

4. Slack

Q 61. In micro economies which among the following sequence in respect of internal issues of
the business firms is correct?

(1) What to produce, how to how much to produce, how to determine price of product

(2) What to produce, how much to produce, how to produce, to determine price of the product

(3) How much to produce, what to produce, how to produce, how to determine the price of the
product

(4) What to how much to how to determine price of the product, how to produce

Q62. Modern organised retail business has a multitude of formats. These formats can be
classified according to the following:

(1) Merchandise offered only

(2) Size of the store area only

(3) Customer groups only

(4) Merchandise offered and size of the store area

Q63. The System that provides an Organisation with sophisticated planning and control
functionalities, Greater connectivity to its suppliers, business partners and customers is
described as

(1) Customer Relationship Management (CRM)

(2) Manufacturing Resource Planning (MRP)

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(3) Enterprise Resource Planning (ERP)

(4) Economic Order Quantity (EOQ)

Q64. Human Resource selection is concerned with

(1) The activity to select a suitable pool of candidates

(2) Always being simulated by the departure of an employee

(3) Always ascertaining a candidate’s personality to ensure suitability fit

(4) Applying appropriate technique to select a candidate

Q65. The effect of continuous compounding is captured by

(1) Present Value*

(2) Present Value*

(3) Present Value/

(4) Future Value *

Q66. SIP in Market Targeting refers to

(1) Systematic Investment Planning

(2) Short Input Processing

(3) Segment Investing Portfolio

(4) Segment Invasion Plan

Q 67. Direct marketing is carried out in variety of ways. Some of the main forms of direct
marketing are

i) Mail order marketing

ii) Telemarketing

iii) Online marketing

iv) Direct selling

Which of the following option is correct?

1. i, ii and iii only

2. i, ii, iii and iv

3. i, ii, iv

4. i and iii only.

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3/22/2020----NTA NET Management Higher Questions and Answers & Solutions December 2019 Part 5- Translation in Hindi, Kannada, Malayalam,
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Q 68. As RBI guidelines (2008, an MSME is to have reached the Stage of incipient sickness if
the following events are triggered

(i) When there are cost overruns because of delay in commencement of commercial production
by more than 6 months

(ii) The enterprise incurs losses for 2 years or cash loss for one year

(iii) The capacity utilization is less than 50% of the projected levels in terms of sales

(iv) There is erosion in net worth due to accumulated cash losses to the extent of 50 percent of
net worth during the previous accounting year

Which one of the following is correct?

1. i and ii only

2. i, ii and iii only

3. ii and iii only

4. i, ii, iii and iv only

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