PREVIOUS YEAR SOLVED PAPERS MCQ - June 2019

61 Assertion (A) : According to Net Income(NI) approach, capital structure decision is relevant in the valuation of firm.
Reason (R) : A firm can change its total value and its overall cost of capital by change in the degree of leverage in its capital structure.
In the context of the above two statements, which one of the following codes is correct?

62 The arithmetic mean of 10 items is 50. If each item is increased by 5, then new arithmetic mean would be:

If all the items increase by 5, average (arithmetic mean) will also increase by 5.

63 After US dollar, which of the following currencies has largest weightage in determining the value of SDR?

The value of the SDR is the sum of the values of specified amounts of the four currencies that satisfy the following criteria:
(i) they are issued by IMF members, or by monetary unions that include IMF members, that have the largest value of exports of goods and services; and
(ii) they have been deemed by the IMF to be freely usable currencies.
These four currencies currently are the U.S. dolar, the Euro, the Japanese Yen, and the Pound sterling. The SDR value is calculated daily in terms of the U.S. dollar, using the midpoint of the buying and selling spot exchange rates for each currency against the US dollar at noon on the London exchange market as determined by the Bank of England.

Table: Calculation of the SDR Value

Currency	Initial weight (in per cent)
Euro	34
Japanese yen	11
Pound sterling	11
US dollar	44
SDR

64 Credit worthiness score in India ranges between:

The Reserve Bank of India has licensed four major credit information organization to accumulate data and provide credit scores for the people of the country. These four organizations are Credit Information Bureau of India Limited (CIBIL), CRIF High Mark, Equifax and Experian. CIBIL is oldest organization and its scores are deemed to be the most acceptable by lenders. It started its operation in 2000 the rest of the three companies received licenses to operate in 2010.
A CIBIL score ranges between 300 and 900 where 900 is considered to be the best score. The credit score of an individual is built over a period of 18 to 36 months. A credit history which is less than 6 months old will have a CIBIL score of 0 while people with no credit history at all will show a CIBIL score of –1.

65 SUGAM is also known as:

Forms of Return of Income
Forms–These forms are given below:

New ITR Forms	Subject
ITR 1 (i.e. SAHAJ)	For individuals having income from salary, one house property (excluding loss brought forward from previous years) and income from other sources (not being loss and not being winnings from lottery and income from race horses).
ITR 2	For individuals and HUF’s not having business/professional income.
ITR 3	For individuals/HUF’s being partners in firms and not carrying out business or profession under any proprietorship.
ITR 4	For individuals and HUF’s having income from a proprietary business or profession.
ITR 4S (i.e., Sugam)	For individual/HUFs deriving business income and such income is computed in accordance with special provisions referred to in sections 44AD and 44AE
ITR 5	For firms, AOPs and BOIs or any other person (not being individual or HUF or company or to whom ITR-7 is applicable).
ITR 6	For companies other than companies claiming exemption under section 11.
ITR 7	For persons including companies required to furnish return under section 139(4A)/(4B)/(4C)/(4D).
ITR V	Where the data of the return of income/ fringe benefits in Forms ITR-1, ITR-2, ITR-3, ITR-4, ITR-5 and ITR-6 transmitted electronically without digital signature.