Classical

June 2015 - Paper 2

46:  

In respect of international business, a project is called a turnkey project because:

A.

The licensee agrees to construct an entire plant in his home county and hands over the key.

B.

The licensor starts the operation and hands over the key of the operating plant to the licensee.

C.

The licensor starts the operation and then invites the licensee and hands over the key to complete the remaining work.

D.

The licensor and the licensee jointly carry out the project and agree; to share profit equally.

 
 

Option: B

Explanation :


47:  

Match the items in List-I with the items in List-II:

List-I

(a) Bretton woods conference

(b) Soft loan window

(c) Geneva

(d) Loan to private sector

List-II

(i) WTO

(ii) World Bank

(iii) IFC

(iv) IDA

Codes:

A.

(a)  (b)  (c)  (d)

(i) (iii) (ii) (iv)

B.

(a)  (b)  (c)  (d)

(iv) (iii) (ii) (i)

C.

(a)  (b)  (c)  (d)

(ii) (iv) (i) (iii)

D.

(a)  (b)  (c)  (d)

(iv) (ii) (iii) (i)

 
 

Option: C

Explanation :


48:  

Assertion (A): The member nations, consistently finding balance of payments crisis, may approach the World Bank seeking financial accommodation to mitigate the crisis.

Reasoning (R): The member nations facing balance of payments crisis can approach the IMF seeking redressal of the BOP crisis.

Codes:

A.

(A) is correct and (R) is correct explanation of (A).

 

B.

(A) is correct but (R) is wrong.

C.

(R) is correct and (A) is wrong.

D.

Both (A) and (R) are wrong.

 
 

Option: C

Explanation :


49:  

In computation of balance of payments, overall balance of payments =

A.

Balance of current account + Balance of capital account + Statistical discrepancy

B.

Export of goods and invisibles - Import of goods

C.

Foreign exchange inflow - Foreign exchange outflow

D.

Export of goods and invisibles + Import of goods and invisibles

 
 

Option: A

Explanation :


50:  

The instrument chosen for enhancement of international liquidity is:

A.

Society for World wide Inter bank Financial Telecommunications (SWIFT)

B.

Special Drawing Rights (SDRs)

C.

Multilateral Netting

D.

Netting of Payments

 
 

Option: B

Explanation :




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