Which of the following is the role of Finance Commission ?

• Sharing of net proceeds of taxes between the Centre and States.
• Recommending principles for governing the grants-in-aid to the States by the Centre
• Recommendations on matters referred to it by the President for the interest of finance
• All of the above
Solution
Correct Option: D  [ All of the above ]

Explanation:

Who prints and supplies the currency notes in India:

• State Bank of India
• United Bank of India
• Reserve Bank of India
• United Commercial Bank of India
Solution
Correct Option: C  [ Reserve Bank of India ]

Explanation:

Chairman of the 15th Finance Commission of India-

• NK Singh
• YV Reddy
• Ranghuram Rajan
• Ramesh Chand
Solution
Correct Option: A  [ NK Singh ]

Explanation:

The equilibrium condition for money market is:

• demand for money should be equal to supply of money
• cash in hand should be equal to deposits in bank
• saving is equal to investment
• bank rate is equal to repo rate
Solution
Correct Option: A  [ demand for money should be equal to supply of money ]

Explanation:

What is the 'Repo rate' ?

• It is the rate at which International Aid Agencies lend to RBI
• It is the rate at which the banks lend to RBI
• It is the rate at which RBI borrows from the market
• It is the rate at which RBI lends to banks
Solution
Correct Option: D  [ It is the rate at which RBI lends to banks ]

Explanation:

Which is the following is direct tax ?

• Income tax
• Excise duty
• Sales tax
• None of these
Solution
Correct Option: A  [ Income tax ]

Explanation:

The SEBI was given statutory recognition in 1992 on the recommendation of:

• the Chakraborty Commission
• the Chelliah Committee
• the Tendulkar Committee
• the Narasimham Committee
Solution
Correct Option: D  [ the Narasimham Committee ]

Explanation:

Plan finance creates increase of money supply if there is

• increase in taxes
• increase in loan from the Reserve Bank of India
• increase in loan from commercial Banks
• increase in loan from general public
Solution
Correct Option: A  [ increase in taxes ]

Explanation:

Which one of the following is an indirect tax levied by the Central Government in India ?

• Service tax
• Corporate Income tax
• Profession tax
• Agricultural Income tax
Solution
Correct Option: A  [ Service tax ]

Explanation:

ICDS was first introduced in India in the year

• 1975
• 1977
• 1979
• None of these
Solution
Correct Option: A  [ 1975 ]

Explanation: