AS you are looking for sample question papers for GK Section of AFCAT Exam, so here I am providing sample question paper:

AFCAT Sample Question Paper for GK Section

Development expenditure of the Central government does not include
A. defence expenditure
B. expenditure on economic services
C. expenditure on social and community services
D. grant to states

Gilt-edged market means
A. bullion market
B. market of government securities
C. market of guns
D. market of pure metals

If all the banks in an economy are nationalized and converted into a monopoly bank, the total deposits
A. will decrease
B. will increase
C. will neither increase nor decrease
D. None of the above

India changed over to the decimal system of coinage in
A. April 1995
B. April 1957
C. April 1958
D. April 1959

States earn maximum revenue through
A. land revenue
B. custom revenue
C. commercial taxes
D. excise duties on intoxicants

Excise duty is a tax levied on the
A. import of goods
B. export of goods
C. production of goods
D. sale of goods

Deficit financing means that the government borrows money from the
A. RBI
B. local bodies
C. big businessmen
D. IMF

Notes on which denomination has the portrait of Mahatma Gandhi printed on them?
A. 1000 rupee
B. 500 rupee
C. 100 rupee
D. All of the above

Reserve Bank of India was nationalized in the year
A. 1935
B. 1945
C. 1949
D. 1969

The annual yield from which of the following Union Government taxes is the highest?
A. Custom duties
B. Corporation tax and income tax
C. Inheritance tax, wealth tax, interest tax and gift tax
D. Excise duties

Subsidies mean
A. payment by government for purchase of goods and services
B. payment made by business enterprises to factors of production
C. payment made by companies to shareholders
D. payment made by the government to business enterprises, without buying any goods and services

Resurgent India Bonds were issued in US dollar, Pound Sterling and
A. Japanese Yen
B. Deutsche Mark
C. Euro
D. French Franc

Which of the following is not an undertaking under the administrative control of Ministry of Railways?
A. Container Corporation of India Limited
B. Konkan Railway Corporation Limited
C. Indian Railways Construction Company Limited
D. Diesel Locomotive Works, Varanasi

Short-term finance is usually for a period ranging up to
A. 5 months
B. 10 months
C. 12 months
D. 15 months

In India, which one among the following formulates the fiscal policy?
A. Planning Commission
B. Ministry of Finance
C. Finance Commission
D. The Reserve Bank of India

Devaluation of currency leads to
A. fall in domestic prices
B. increase in domestic prices
C. no impact on domestic prices
D. erratic fluctuations in domestic prices

Deficit financing implies
A. printing new currency notes
B. replacing new currency with worn out currency
C. public expenditure in excess of public revenue
D. public revenue in excess of public expenditure

In which of the following sequences the change in quantity of money leads to change in price level in the Keynesian models?
A. Change in quantity of money – change in investment – change in employment and output – change in rate of interest – change in price level
B. Change in quantity of money – change in employment and output – change in investment – change in the rate of interest – change in price level
C. Change in quantity of money – change in investment – change in rate of interest – change in employment and output – change in price level
D. Change in quantity of money – change in rate of interest – change in investment – change in employment and output – change in price level