Hello, here I am providing you the paper of the ARS NET exam as under:

1. Equity schemes managed strong NAV gains, which boost their assets’
was a news in some financial newspapers. What is the full form of the
term NAV as used in above head lines ?
(A) Nil Accounting Variation
(B) Net Accounting Venture
(C) Net Asset Value
(D) New Asset Venture
(D) None of these
Ans : (C)
2. As per reports published in various news papers, mutual fund
companies showed 94 per cent growth in their total profits during
2009-10. This means the profits earned by these companies were 94 per
cent—
(A) Of the total investments they made collectively during the year
(B) More than their profits during previous year
(C) Of the total capital of the company
(D) Less than the total expenditure of the companies
(D) None of these
Ans : (B)
3. As per the news published in various news papers Pakistan has
imposed 15 per cent regulatory duty on exports of cotton yarn. Why
countries are required to impose regulatory duties on exports of some
of their commodities while in the eyes of the layman more exports
means more foreign exchange and more revenue for the Govt. ?
1. It is done to control the exports of a commodity as it may be
needed more in local markets than in foreign countries.
2. It is done to control the general inflation in the country as the
inordinate exports of various commodities create imbalance and also
cost push inflation.
3. It is a good short time measure to collect more revenue from the
exports of the commodity which is in high demand in overseas markets.
(A) Only 1
(B) Only 2
(C) Only 3
(D) All 1, 2 and 3
(E) None of these
Ans : (A)
4. As per the reports published in some major news papers ‘ADAG
companies’ made good profits during the year. ADAG companies are
popularly known as—
(A) Companies owned by Tata Group
(B) Aditya Birla Companies
(C) Reliance companies
(D) Companies owned by Aptech
(E) None of these
Ans : (C)
5. ONGC – Mittal Energy finds hydrocarbons in two blocks OPL-279 & OPL
-285 in Nigerian sea was the news in some major news papers. what is
the full form of the term OPL as used in the above head line ?
(A) Oil Prospecting License
(B) Ownership and Partnership Lease
(C) Overseas Private Line
(D) ONGC Petroleum Ltd.
(E) None of these
Ans : (A)
6. “Mutual Funds reported exceptional performance in 2009-10? was the
news in major financial news papers recently. What is a mutual fund ?
1. A type of collective investment scheme that pools money from many
investors and invest it in stocks, bonds or other money market
instruments.
2. It is a subsidiary of a bank or financial company created specially
to ralse money to be invested in a particular industry i.e. housing or
insurance etc. The money raised thus cannot be invested anywhere else.
3. When several banks and financial companies come together and create
a common pool of money to fund
mega infrastructural project like bridges, roads, power plants etc.
the common pool is known as Mutual Fund.
(A) Only 1
(B) Only 2
(C) Only 3
(D) All 1, 2 and 3
(E) None of these
Ans : (B)
7. As we all know the Bank Rate at present is fixed at 6%. What does
it mean in context to the banking operations ?
(A) No bank will be able to give loan to any party on a rate lower
than the Bank Rate
(B) Bank should give loan to their priority sector customers/borrowers
at the rate of 6% only. They cannot charge less or more than this from
their priority sector clients
(C) Banks are required to invest 6% of their total capital on
financial inclusion and inclusive banking operations
(D) Banks will be required to give 6% of their total deposits to the
Govt. of India for meeting its Balance of Trade requirements
(E) None of these
Ans : (A)
8. As per the reports in various news papers many private companies
are trying to obtain the licences to launch a banking company in
India. Which of the following organizations/agencies issue the licence
for the same ?
(A) Securities & Exchange Board of India (SEBI)
(B) Indian Institute of Banking & Finance (IIBF)
(C) Indian Bank Association
(D) Registrar of Companies
(E) None of these
Ans : (E)
9. We very frequently read about Europe’s Sovereign—debt crisis these
day. Which of the following statement/s is/are true about the same ?
1. In early 2010 the Euro crisis developed in some countries like
Greece, Spain and Portugal.
2. This created a credit default swap between the countries of the
European Union.
3. SAARC countries have offered some assistance to some of severely
affected countries like Portugal, Spain & Greece.
(A) Only 1
(B) Only 2
(C) Only 1 and 2
(D) All 1, 2 and 3
(E) None of these
Ans : (A)
10. As we all know the RBI has raised the Cash Reserve Ratio (CRR) by
25 bps. in April 2010. What action banks will have to take to
implement the same ?
1. They will have to deposit some more money with the RBI as a reserved money.
2. Banks will be required to give some more loan to projects of the
priority sector.
3. Banks will be required to give loan equivalent to the CRR to the
Govt. of India for its day to day expenditure as and when required.
(A) Only 1
(B) Only 2
(C) Only 3
(D) Only 1 and 2
(E) All 1, 2 and 3
Ans : (A)
11. As per estimates given by the RBI the Economic Growth during the
year 2010-11 will be at which of the following levels ?
(A) 6•5%
(B) 7%
(C) 7•5%
(D) 8%
(E) None of these
Ans : (D)
12. Which of the following is/are correct about the RBI’s credit
policy announced in April 2010 ?
1. Repo rate raised by 25 bps.
2. A new reporting platform was introduced for secondary market
transactions in Certificate of Deposits (CDs) and Commercial Papers
(CPs).
3. Core Investment Companies (CICs) having an asset size of Rs. 100
crore are required to register also with the RBI.
(A) Only 1
(B) Only 2
(C) Only 3
(D) All 1, 2 and 3
(E) None of these
Ans : (A)
13. As per the announcement made by the RBI some Stock Exchanges in
India are allowed to introduce Plain Vanilla Currency Options. The
term Plain Vanilla Currency Options is associated with which of the
following activities / operations ?
(A) Dollar – Rupee Exchange Rate
(B) Floating of Commercial Papers
(C) Launch of new mutual funds
(D) Deciding the opening price of a share on a particular business day
(E) None of these
Ans : (A)
14. Which of the following is not a term related to banking/finance operations ?
(A) Provision Coverage Ratio
(B) Securitization
(C) Consolidation
(D) Commodification
(E) Derivatives
Ans : (C)
15. The process of “Artificial Application of Water to the soil
usually for assisting in growing crops”, is technically known as—
(A) water harvesting
(B) irrigation
(C) water recharging
(D) percolation
(E) None of these
Ans : (B)
16. As per the news published in major news papers/journals henceforth
the Credit Card holders will be able to access their credit card
information though automated interactive voice response system over
the phone instead of speaking to the staff. This decision ofthe
banks/credit card companies will provide—
1. an additional hurdle to the customers as people feel comfortable in
talking to the staff instead of talking to a machine.
2. an additional security to the customers as this does not allow any
staff to handle any transaction directly.
3. some comfort to the banks as they will be able to reduce their
staff strength.
(A) Only 1
(B) Only 2
(C) Only 3
(D) All 1, 2 and 3
(E) Only 1 and 3
Ans : (B)
17. The 34th National Game which were postponed several times are
scheduled to be held in which of the following states ?
(A) Gujarat
(B) Kerala
(C) Tamil Nadu
(D) Uttar Pradesh
(E) Jharkhand
Ans : (E)
18. Waste Water generates which of the following gases which is more
powerful and dangerous than CO2 ?
(A) Nitrogen
(B) Sulphur di-oxide
(C) Hydrogen
(D) Methane
(E) None of these
Ans : (D)
19. Which of the following days was observed as World Water Day 2010 ?
(A) 20th June
(B) 22nd July
(C) 22nd March
(D) 20th May
(E) None of these
Ans : (C)
20. Late Vinda Karandikar who died a few months back was a famous—
(A) Author
(B) Cine-Actor
(C) Sportsman
(D) Classical Singer
(E) Social Worker
Ans : (A)