List of top Questions asked in CAT- 1993

1. The success of any unit in a competitive environment depends on prudent management sources.
A. In this context it would have been more appropriate if the concept of accelerated depreciation, together with additional incentives towards capital allowances for recouping a portion of the cost of replacements out of the current generations, had been accepted.
B. Added to this are negligible retention of profits because of inadequate capital allowances and artificial disallowance’s of genuine outflows.
C. One significant cause for poor generation of surpluses is the high cost of capital and its servicing cost.
D. The lack of a mechanism in India tax laws for quick recovery of capital costs has not received its due attention.
6. While this may apparently look costly from the point of view of the exchequer, the ultimate cost of the Government and the community in the form of losses suffered through poor viability will be prohibitive.

1. Visual recognition involves storing and retrieving of memories.
A. Psychologists of the Gestalt School maintain that objects are recognised as a whole in a procedure.
B. Neural activity, triggered by the eye, forms an image in the brain’s memory system that constitutes an internal representation of the viewed object.
C. Controversy surrounds the question of whether recognition is a single one-step procedure or a serial step-by-step one.
D. When an object is encountered again, it is matched with its internal recognition and thereby recognised.
6. The internal representation is matched with the retinal image in a single operation.

A. In emission trading, the government fixes the total amount of pollution that is acceptable to maintain a desired level of air quality.
B. Economists argue this approach makes air pollution control more cost – effective than the current practice of fixing air pollution standards and expecting all companies to pollute below these standards.
C. USA uses emission trading to control air pollution.
D. It then distributes emission permits to all companies in the region, which add up to the overall acceptable level of emission.

A. The individual companies vary in size, from the corner grocery to the industrial giant.
B. Policies and management methods within firms range from formal well-planned organization and controls to slipshod day-to-day operations.
C. Various industries offer a wide array of products or services through millions of firms largely independent of each other.
D. Variation in the form of ownership contributes to diversity in capital investment, volume of business, and financial structure.

1. Count Rumford is perhaps best known for his observations on the nature of heat.
A. He undertook several experiments in order to test the theories of the origin of frictional heat.
B. According to the calorists, the heat was produced by the “caloric” squeezed out of he chips in the process of separating them from the larger pieces of metal.
C. Lavoisier had introduced the term “caloric” for the weightless substance heat, and had included it among the chemical elements, along with carbon, nitrogen and oxygen.
D. In the munitions factory in Munich, Rumford noticed that a considerable degree of heat developed in a brass gun while it was being bored.
6. Rumford could not believe that the big amount of heat generated could have come from the small amount of dust created.

1. The history of mammals dates back at least to Triassic time. A. Miocene and Pliocene time was marked by culmination of several groups and continued approach towards modern characters.
B. Development was retarded, however, until the sudden acceleration of evolutional change that occurred in the oldest Paleocene.
C. In the Oligocene Epoch, there was further improvement, with appearance of some new lines and extinction of others.
D. This led in Eocene time to increase in average size, larger mental capacity, and special adaptations for different modes of life.
6. The peak of the career of mammals in variety and average large size was attained in this epoch.

A. All levels of demand, whether individual, aggregate, local, national, or international are subject to change.
B. At the same time, science and technology add new dimensions to products, their uses, and the methods used to market them.
C. Aggregate demand fluctuates with changes in the level of business activity, GNP, and national income.
D. The demands of individuals tend to vary with changing needs and rising income.

1. The necessity for regional integration in South Asia is underlined by the very history of the last 45 years since the liquidation of the British Empire in this part of the world.
A. After the partition of the Indian Subcontinent, Pakistan was formed in that very area which the imperial powers had always marked out as the potential base for operations against the Russian power in Central Asia.
B. Because of the disunity and ill-will among the South Asian neighbours, particular India and Pakistan, great powers from outside the area could meddle into their affairs and thereby keep neighbours apart.
C. It needs to be added that it was the bountiful supply of sophisticated arms that emboldened Pakistan to go for warlike bellicosity towards India.
D. As a part of the cold war strategy of the US, Pakistan was sucked into Washington’s military alliance spreading over the years.
6. Internally too, it was the massive induction of American arms into Pakistan which empowered the military junta of that country to stuff out the civilian government and destroy democracy in Pakistan.

A. Secret persons shall strike with weapons, fire or poison.
B. Clans mutually supporting each other shall be made to strike at the weak points.
C. He shall destroy their caravans, herds, forests and troop reinforcements.
D. The conqueror shall cause enemy kingdom to be destroyed by neighboring kings, jungle tribes, pretenders or unjustly treated princes.

1. What does the state do in a country where tax is very low?
A. It tries to spy upon the taxpayers.
B. It investigates income sources and spending patterns.
C. Exactly what the tax authority tries to do now even if inconsistently.
D. It could also encourage people to denounce to the tax authorities any conspicuously prosperous neighbours who may be suspected of not paying their taxes properly.
6. The ultimate solution would be an Orwellian System.

1. The New Economic Policy comprises the various policy measures and changes introduced since July 1991.
A. There is a common thread running through all these measures.
B. The objective is simple to improve the efficiency of the system.
C. The regulator mechanism involving multitude of controls has fragmented the capacity and reduced competition even in the private sector.
D. The thrust of the new policy is towards creating a more competitive environment as a means to improving the productivity and efficiency of the economy.
6. This is to be achieved by removing the banners and restrictions on the entry and growth of firms.

A. Realists believe that there is an objective reality “out there” independent of ourselves.
B. This reality exists solely by virtue of how the world is, and it is in principle discoverable by application of the methods of science.
C. They believe in the possibility of determining whether or not a theory is indeed really true or false.
D. I think it is fair to say that this is the position to which most working scientists subscribe.

1. The idea of sea-floor spreading actually preceded the theory of plate tectonics.
A. The hypothesis was soon substantiated by the discovery that periodic reversals of the earth’s magnetic field are recorded in the oceanic crust.
B. In its original version, it described the creation and destruction of ocean floor, but it did not specify rigid lithospheric plates.
C. An explanation of this process devised by F.J. Vine and D.H. Mathews of Princeton is now generally accepted.
D. The sea-floor spreading hypothesis was formulated chiefly by Harry H. Hess of Princeton University in the early 1960’s.
6. As magma rises under the mid-ocean, ferromagnetic minerals in the magma become magnetised in the direction of the geomagnetic field.

1. It is significant that one of the most common objections to competition is that it is blind.
A. This is important because in a system of free enterprise based on private property chances are not equal and there is indeed a strong case for reducing the inequality of opportunity.
B. Rather it is a choice between a system where it is the will of few persons that decides who is to get what and one where it depends at least partly, on the ability and the enterprise of the people concerned.
C. Although competition and justice may have little else in common, it is as much a commendation of competition as of justice that it is no respecter of persons.
D. The choice today is not between a system in which everybody will get what he deserves according to some universal standard and one where individuals’ shares are determined by chance of goodwill.
6. The fact that opportunities open to the poor in a competitive society are much more restricted than those open to the rich, does not make it less true that in such a society the poor are more free than a person commanding much greater material comfort in a different type of society.

1. India’s experience of industrialization is characteristic of the difficulties faced by a newly independent developing country.
A. In 1947, India was undoubtedly an under – developed country with one of the lowest per capita incomes in the world.
B. Indian industrialization was the result of a conscious deliberate policy of growth by an indigenous political elite.
C. Today India ranks fifth in the international comity of nations if measured in terms of purchasing power.
D. Even today however, the benefits of Indian industrialization since independence have not reached the masses.
6. Industrialization in India has been a limited success; one more example of growth without development.

1. The death of cinema has been predicted annually.
A. It hasn’t happened.
B. It was said that the television would kill it off and indeed audiences plummeted reaching a low in 1984.
C. Film has enjoyed a renaissance, and audiences are now roughly double of what they were a decade ago.
D. Then the home computer became the projected nemesis, followed by satellite television.
6. Why? Probably because, even in the most atomized of societies, we human beings feel the need to share our fantasies and our excitement.

Four cities are connected by roads as shown. In how many ways can you start at a city and come back to it without travelling the same road more than once?