1
In the following questions, a sentence or paragraph is broken into fragments
and labelled A, B, C and D. Some of these fragments carry grammatical or
usage errors in the context of the sentence/paragraph. Choose for your
answer the combination that shows all the INCORRECT fragments.
A. Notable among Ramkinkar’s work is Santhal Family,
B. which depicts members of the Santhal tribe spread in eastern India,
C. moving home with its possessions.
D. Ramkinkar was one of a kind, cut off from the material world.
1) A, B and C
2) D only
3) B and C
4) B only
*****************************************************************************
2
In the following question the word given at the top of the question is used in
four different ways. Choose the sentence in which the use of the word is
INAPPROPRIATE.
DUE
1) My wife is due in three weeks.
2) He deserves to be given his due.
3) The island lies due south of the Lighthouse.
4) He was absent due to illness.
**********************************************************************************
3
Choose the most logical sequence for the sentences labelled A, B, C, and D
to form a coherent paragraph.
A. From the Bank’s establishment until today, the unwritten rule has been that the US
government simply designates each new president: all 11 have been Americans, and
not a single one has been an expert in economic development, or had a career in
fighting poverty or promoting environmental sustainability.
B. With the Bank just two blocks away from the White House on Pennsylvania Avenue,
it has been all too easy for the US to dominate the World Bank.
C. Instead, the US has selected Wall Street bankers and politicians, presumably to
ensure that the Bank’s policies are suitably friendly to US commercial and political
interests.
D. Now many members, including Brazil, China, India, and several African countries,
are raising their voices in support of more collegial leadership and an improved
strategy that works for all.
1) ABDC
2) ACBD
3) BDAC
4) BADC
******************************************************************
4
Complete the paragraph most appropriately using the best option.
Censorship is a subtle thing in the sense that it operates out of sight, out of
awareness, and taking things out of our world makes it really easy for any
brief spurts of attention to die natural deaths. Yet there is a paradox in our
perceptions. We imagine censorship as something that would jar us, stop
words abruptly. While possible, it is usually not like this. Ideas going missing
in the world paradoxically enclose us in these tiny cocoons of fantasies: that
we can say what we like. Or that we are hearing a balanced view of
everything. ____________________.
1) We forget that there are things that cannot be said.
2) We are not aware of what is missing.
3) Censorship is a continuous thing.
4) And make no mistake, that view is quite censored.
*****************
5
Akanksha, Bishal, Celine, Diana, Falguni, Gaurav, Hiren and Nilesh plan to
go to a picnic for which they book an 8 seater car. There are 2 seats
(including the driver’s seat) at the front, 2 seats in the middle and 4 seats at
the back of the car. Each group of seats (front, back and middle) is
considered as an independent block. Falguni always wants to sit with Bishal
as they are best friends. Hiren and Celine don’t sit in the same block of
seats. Diana and Akanksha always sit in the same block of seats. If Diana is
driving the car, who amongst the following cannot sit in the second block of
two seats?
1) Nilesh
2) Hiren
3) Celine
4) Bishal
**************************
6
In the following question the word given at the top of the question is used in
four different ways. Choose the sentence in which the use of the word is
INAPPROPRIATE.
END
1) The drugs can't end the disease's progress, may only slow it
down.
2) End markets for an industry can be local or international.
3) The car's front end was damaged.
4) The lecture is scheduled to end at noon.
**************************************************************
7
Four sentences labelled A, B, C, and D are given in random order. Three of
these sentences belong to the same paragraph, and can be arranged
logically to form a coherent paragraph. One of the sentences does not fit into
this paragraph. Choose the ODD sentence for your answer.
A. When people use pirated books, the publisher and the author often are worse off –
they lose earnings from selling the book.
B. And, in any case, we are now a long way from the standard cases of stealing.
C. I am better off, but she is worse off.
D. If I steal someone’s book the old-fashioned way, I have the book, and the original
owner no longer does.
1) A
2) B
3) C
4) D
********************************************
Conventional wisdom holds that financial markets are informationally efficient—that stocks are always priced and traded at the intrinsic value of their underlying assets. Thus, investors cannot expect to achieve returns consistently in excess of average returns, given information that is publicly available at the time, without taking on large economic risks akin to gambling risks. In other words, one can only obtain higher returns by purchasing riskier investments, and not through expert timing or speculative stock selection. There are three major interpretations of this efficient market hypothesis: Weak Efficient Market Hypothesis (EMH), which holds that current prices for assets, such as stocks, bonds, and property, reflect all past prices, Semi-strong EMH, which argues that prices change instantly to reflect all new public information (such as news of a take-over or a change in fiscal policy), and Strong EMH, which claims that prices adjust perpetually to reflect hidden, insider information not yet made public.
Weak EMH holds that technical analysis, the analysis of past stock performance, will not consistently produce excess returns because future price movements are only determined by current share prices and information not contained in historical price data. Under this hypothesis, share prices demonstrate no serial dependencies (recognizable patterns) that can be exploited by investors. However, most financial analysts whose job it is to make recommendations about whether to buy, hold, or sell stocks point to research showing that some markets demonstrate trends, such as cycles, over time and moreover, that the longer the period of study, the higher the degree of trending.
Semi-strong EMH posits that prices adjust proportionally and near-instantaneously to reflect the most current public information. To disprove this hypothesis, analysts have looked for repeated or substantial changes immediately after an initial price change; these changes would indicate that there is some market reaction to the initial change leading to an adjustment period during which the market price of a stock and its true value are not perfectly matched. If it were found, this adjustment period could theoretically be capitalized upon through fundamental analysis—the assessment of market information—and strategic timing. Investors and computer scientists who recognize this possibility have constructed complex algorithms to discover opportunities for arbitrage, the practice of capitalizing on price differences between markets that may occur only for milliseconds.
Strong EMH claims that the market is perfectly efficient in terms of all private and public information. Investors who have consistently gained excess returns are often used as examples to disprove Strong EMH (and to prove that strategy can yield excess returns), though a solid refutation generally follows from proponents of Strong EMH: among thousands of investors, some will succeed based on pure chance, rather than expert stock selection, purchase timing, or discrepancies between the true and market values of stocks. Thus, proponents of Strong EMH claim, the fact that investors sometimes see high returns does not, in and of itself, disprove even the Strong EMH hypothesis
Q 8
According to the passage, someone who believes in the Weak Efficient Market Hypothesis would agree with all of the following statements EXCEPT
[A] One can only obtain higher returns by assuming more risk.
[B] Knowledge of historical price data will not significantly enhance an investor’s capacity to achieve excess returns consistently.
[C] Historical price data does not contain information that would determine future price movements.
[D] Technical analysis is not a productive strategy for gaining excess returns consistently.
[E] New market information concerning an important take-over would be immediately reflected in the current price of a share.
Q 9
It can be inferred from the passage that those who believe in the validity of Semi-Strong EMH would agree with which of the following statements?
(A) Investors who have not consistently gained excess returns should improve their stock selection and timing.
(B) Analysis of historical price data and new market information is the best strategy for consistently gaining excess returns.
(C) In the absence of new information released to the public, stock prices will not adjust substantially immediately following an initial change.
(D) Algorithms that calculate arbitrage opportunities could be effective because the market value of a stock tends toward the intrinsic value of that stock.
(E) Fundamental analysis is likely to yield excess returns on a consistent basis.
***************************
Q 10
In the following question the word given at the top of the question is used in
four different ways. Choose the sentence in which the use of the word is
INAPPROPRIATE.
BREAK
1) For days, she was trying to break the vehicle.
2) A company cannot break its customers’ privacy.
3) The detective took a long time to break the case.
4) My friend just seems to get all the breaks in life.
********************************
In the following questions, a sentence or paragraph is broken into fragments
and labelled A, B, C and D. Some of these fragments carry grammatical or
usage errors in the context of the sentence/paragraph. Choose for your
answer the combination that shows all the INCORRECT fragments.
A. Notable among Ramkinkar’s work is Santhal Family,
B. which depicts members of the Santhal tribe spread in eastern India,
C. moving home with its possessions.
D. Ramkinkar was one of a kind, cut off from the material world.
1) A, B and C
2) D only
3) B and C
4) B only
*****************************************************************************
2
In the following question the word given at the top of the question is used in
four different ways. Choose the sentence in which the use of the word is
INAPPROPRIATE.
DUE
1) My wife is due in three weeks.
2) He deserves to be given his due.
3) The island lies due south of the Lighthouse.
4) He was absent due to illness.
**********************************************************************************
3
Choose the most logical sequence for the sentences labelled A, B, C, and D
to form a coherent paragraph.
A. From the Bank’s establishment until today, the unwritten rule has been that the US
government simply designates each new president: all 11 have been Americans, and
not a single one has been an expert in economic development, or had a career in
fighting poverty or promoting environmental sustainability.
B. With the Bank just two blocks away from the White House on Pennsylvania Avenue,
it has been all too easy for the US to dominate the World Bank.
C. Instead, the US has selected Wall Street bankers and politicians, presumably to
ensure that the Bank’s policies are suitably friendly to US commercial and political
interests.
D. Now many members, including Brazil, China, India, and several African countries,
are raising their voices in support of more collegial leadership and an improved
strategy that works for all.
1) ABDC
2) ACBD
3) BDAC
4) BADC
******************************************************************
4
Complete the paragraph most appropriately using the best option.
Censorship is a subtle thing in the sense that it operates out of sight, out of
awareness, and taking things out of our world makes it really easy for any
brief spurts of attention to die natural deaths. Yet there is a paradox in our
perceptions. We imagine censorship as something that would jar us, stop
words abruptly. While possible, it is usually not like this. Ideas going missing
in the world paradoxically enclose us in these tiny cocoons of fantasies: that
we can say what we like. Or that we are hearing a balanced view of
everything. ____________________.
1) We forget that there are things that cannot be said.
2) We are not aware of what is missing.
3) Censorship is a continuous thing.
4) And make no mistake, that view is quite censored.
*****************
5
Akanksha, Bishal, Celine, Diana, Falguni, Gaurav, Hiren and Nilesh plan to
go to a picnic for which they book an 8 seater car. There are 2 seats
(including the driver’s seat) at the front, 2 seats in the middle and 4 seats at
the back of the car. Each group of seats (front, back and middle) is
considered as an independent block. Falguni always wants to sit with Bishal
as they are best friends. Hiren and Celine don’t sit in the same block of
seats. Diana and Akanksha always sit in the same block of seats. If Diana is
driving the car, who amongst the following cannot sit in the second block of
two seats?
1) Nilesh
2) Hiren
3) Celine
4) Bishal
**************************
6
In the following question the word given at the top of the question is used in
four different ways. Choose the sentence in which the use of the word is
INAPPROPRIATE.
END
1) The drugs can't end the disease's progress, may only slow it
down.
2) End markets for an industry can be local or international.
3) The car's front end was damaged.
4) The lecture is scheduled to end at noon.
**************************************************************
7
Four sentences labelled A, B, C, and D are given in random order. Three of
these sentences belong to the same paragraph, and can be arranged
logically to form a coherent paragraph. One of the sentences does not fit into
this paragraph. Choose the ODD sentence for your answer.
A. When people use pirated books, the publisher and the author often are worse off –
they lose earnings from selling the book.
B. And, in any case, we are now a long way from the standard cases of stealing.
C. I am better off, but she is worse off.
D. If I steal someone’s book the old-fashioned way, I have the book, and the original
owner no longer does.
1) A
2) B
3) C
4) D
********************************************
Conventional wisdom holds that financial markets are informationally efficient—that stocks are always priced and traded at the intrinsic value of their underlying assets. Thus, investors cannot expect to achieve returns consistently in excess of average returns, given information that is publicly available at the time, without taking on large economic risks akin to gambling risks. In other words, one can only obtain higher returns by purchasing riskier investments, and not through expert timing or speculative stock selection. There are three major interpretations of this efficient market hypothesis: Weak Efficient Market Hypothesis (EMH), which holds that current prices for assets, such as stocks, bonds, and property, reflect all past prices, Semi-strong EMH, which argues that prices change instantly to reflect all new public information (such as news of a take-over or a change in fiscal policy), and Strong EMH, which claims that prices adjust perpetually to reflect hidden, insider information not yet made public.
Weak EMH holds that technical analysis, the analysis of past stock performance, will not consistently produce excess returns because future price movements are only determined by current share prices and information not contained in historical price data. Under this hypothesis, share prices demonstrate no serial dependencies (recognizable patterns) that can be exploited by investors. However, most financial analysts whose job it is to make recommendations about whether to buy, hold, or sell stocks point to research showing that some markets demonstrate trends, such as cycles, over time and moreover, that the longer the period of study, the higher the degree of trending.
Semi-strong EMH posits that prices adjust proportionally and near-instantaneously to reflect the most current public information. To disprove this hypothesis, analysts have looked for repeated or substantial changes immediately after an initial price change; these changes would indicate that there is some market reaction to the initial change leading to an adjustment period during which the market price of a stock and its true value are not perfectly matched. If it were found, this adjustment period could theoretically be capitalized upon through fundamental analysis—the assessment of market information—and strategic timing. Investors and computer scientists who recognize this possibility have constructed complex algorithms to discover opportunities for arbitrage, the practice of capitalizing on price differences between markets that may occur only for milliseconds.
Strong EMH claims that the market is perfectly efficient in terms of all private and public information. Investors who have consistently gained excess returns are often used as examples to disprove Strong EMH (and to prove that strategy can yield excess returns), though a solid refutation generally follows from proponents of Strong EMH: among thousands of investors, some will succeed based on pure chance, rather than expert stock selection, purchase timing, or discrepancies between the true and market values of stocks. Thus, proponents of Strong EMH claim, the fact that investors sometimes see high returns does not, in and of itself, disprove even the Strong EMH hypothesis
Q 8
According to the passage, someone who believes in the Weak Efficient Market Hypothesis would agree with all of the following statements EXCEPT
[A] One can only obtain higher returns by assuming more risk.
[B] Knowledge of historical price data will not significantly enhance an investor’s capacity to achieve excess returns consistently.
[C] Historical price data does not contain information that would determine future price movements.
[D] Technical analysis is not a productive strategy for gaining excess returns consistently.
[E] New market information concerning an important take-over would be immediately reflected in the current price of a share.
Q 9
It can be inferred from the passage that those who believe in the validity of Semi-Strong EMH would agree with which of the following statements?
(A) Investors who have not consistently gained excess returns should improve their stock selection and timing.
(B) Analysis of historical price data and new market information is the best strategy for consistently gaining excess returns.
(C) In the absence of new information released to the public, stock prices will not adjust substantially immediately following an initial change.
(D) Algorithms that calculate arbitrage opportunities could be effective because the market value of a stock tends toward the intrinsic value of that stock.
(E) Fundamental analysis is likely to yield excess returns on a consistent basis.
***************************
Q 10
In the following question the word given at the top of the question is used in
four different ways. Choose the sentence in which the use of the word is
INAPPROPRIATE.
BREAK
1) For days, she was trying to break the vehicle.
2) A company cannot break its customers’ privacy.
3) The detective took a long time to break the case.
4) My friend just seems to get all the breaks in life.
********************************