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UGC NET Management Previous Year Solved Papers MCQ - July 2018

21 When an employee is willing to go above and beyond what is typically expected in his or her role, it is known as:

22 Indicate the correct code for the following types of decisions to be incorporated within financial decisions.
(a) Investment decisions
(b) Financing decisions
(c) Pricing decisions
(d) Profit distribution decisions

23 In case the profitability index of an investment is equal to one (= 1), the net present value of the investment will be:

The profitability index is the ratio of the total PV of future cash inflows to the initial investment, that is, PV/I. This index is used as a means of ranking projects in descending order of attractiveness.
Decision rule: If the profitability index is greater than 1, then accept the project.

24 For the following two statements of Assertion (A) and Reason (R) select the correct code:
Assertion (A): Risk analysis of capital investment is the most complex and controversial area in finance.
Reason (R): Capital investment decisions are based on estimates of future cash inflows.

25 Acquisition of firms is the same as:
(a) a merger
(b) an amalgamation
(c) a takeover
(d) an absorption
Select the correct code.

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Assertion (A): One of the trends to build a sustainable competitive advantage is innovations and innovations management. Reason (R): Human Resource Management has to be able to connect…

A. Both (A) and (R) are correct and (R) is the right explanation of (A).
B. Both (A) and (R) are correct, but (R) is not the right explanation of (A).
C. (A) is correct, but (R) is incorrect.
D. (R) is correct, but (A) is incorrect.

Correct answer: A

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