ACET

2017
QUESTION PAPER AND
ANSWER KEY
 Institute of Actuaries of India
ACET APR 2017
Mathematics
1. The value of cos is
A.
B.
C.
D. . 1 mark

2. The values of that satisfy the inequality lie in the set.

A.
B.
C.
D. . 2 marks

3. If = then

A. is perpendicular to

B. is parallel to

C. is equal to

D. and are unit vectors. 2 marks

4. If has equal roots then is equal to is

A.

B.
C.

D. . 1 mark
5. A partial fractions expansion of is

A.

B.

C.

D. . 2 marks

6. The value of is
A.
B.
C.
D. . 1 mark

7. If , then is

A.
B.
C.
D. . 1 mark

8. If , then is

A.

B.

C.

D. . 2 marks
9. The real function is increasing in over the interval
A.
B.
C.
D. . 1 mark

10. The value of is

A.
B.
C.
D. . 1 mark

11. The value of the integral is

A.
B.
C.
D. . 2 marks

12. The value of the integral is

A.
B.
C.
D. . 2 marks

13. If is such that , then the correct statement among the

following is
A.
B.
C.
D. . 1 mark
14. If then the rank of is

A.
B.
C.
D. . 1 mark

15. The inverse of the matrix is

A.

B.

C.

D. . 3 marks

16. It is given that . Then the value of , obtained by linear

interpolation and by utilizing the known value of , is

A.
B.
C.
D. . 1 mark

17. The value of , up to four decimal places, is

A.
B.
C.
D. . 1 mark
 Statistics
18. Five students are to be selected from a group of 10 students to form a team such
that two particular students are always included in the team. The number of ways
the team can be formed is
A.
B.
C.
D. . 1 mark

19. Box contains 3 white and 5 red balls, and box contains 6 white and 4 red
balls. A box is selected based on the outcome of tossing a coin with = .
The box is selected if head appears and otherwise. A ball is then drawn at
random from the selected box. The probability that it is a red ball is

A.
B.
C.
D. None of the above. 1 mark

20. Suppose E and F are two events with and . Which of the
following statements is correct?
A. If and F are independent, then the probability that at least one of them
occurs is
B. If E and F are mutually exclusive, then the probability that at least one of
them occurs is
C. If E and F are independent, then the probability that E occurs but F does not
occur is
D. If E and F are independent, then the probability that neither event occurs is .
2 marks
21. The mean of the following distribution is 6, where is unknown.
Value 3 4 5 6 7 8 9
Frequency 1 4 7 6 p 3 1
The distribution has

A. median 6 and mode 5

B. median 6 and mode 7
C. median 5 and mode 5
D. median 7 and mode 7. 3 marks

22. The incomes of 100 families in a certain region are stored in a computer file. The
income ranges from Rs. 10,000.00 per year to Rs. 42,500.00 per year. By mistake,
the highest income in the data set is recorded as Rs. 4,25,000.00. Which of the
following statements regarding the effect of the mistake is true?
A. The average income is overestimated by Rs. 4250.00
B. The median income is correctly estimated
C. The median income is overestimated
D. The interquartile range is overestimated. 2 marks

23. A random variable takes only two values, 0 and 1, with . Then
the value of is
A.
B.
C.
D. . 1 mark

24. A random variable has binomial distribution with mean 4 and variance 2.4. The
probability that is positive
A. is
B. is
C. is
D. cannot be determined. 1 mark
25. A random variable has Poisson distribution with mean 2. Then the value of
is
A. 4
B. 8
C. 10
D. 16 1 mark

26. The random variable has the cumulative distribution function

The coefficient of variation of is

A.
B.
C.
D. . 2 marks

27. The random variable has the probability density function.

The value for which is minimum is

A.
B.
C.
D. . 1 mark

28. Suppose follows the normal distribution with mean and variance , and

Then is equal to

A.
B.
C.
D. . 1 mark
29. The random variable takes the values and 1, each with probability . The
covariance between and is
A.
B.
C.
D. . 1 mark

30. A simple linear regression line of on is fitted by the least squares method
based on the bivariate data given in the following table.
1 8 10 10 14 17
1 4 6 12 12 7
The regression coefficient of on is found to be . If is a new
variable defined as , which of the following statements is true?

A. The intercept of the regression line of on with the y-axis is .

B. The intercept of the regression line of on with the y-axis is .
C. The slope of the regression line of on is .
D. The slope of the regression line of on is . 3 marks
 Data Interpretation
The following frequency distribution represents the marks of 100 students in a class.
Answer Questions 31 – 35 based on this frequency distribution.

Marks Number of students

10-19 3
20-29 6
30-39 8
40-49 20
50-59 35
60-69 12
70-79 8
80-89 5
90-99 3

31. The number of students scoring less than 50 is

A. 37
B. 38
C. 39
D. 40. 1 mark

32. The number of students scoring less than 80 but not less than 50 is
A. 80
B. 60
C. 55
D. 75. 1 mark

33. Suppose it is known that exactly three students have scored 60 each. Then the
number of students who have scored more than 60 is
A.
B.
C.
D. . 1 mark

34. The number of students scoring less than 45 is

A. less than 17
B. between 17 and 37
C. between 37 and 40
D. between 40 and 45. 1 mark
35. The 75th percentile of the marks lies in between
A. 50-59
B. 80-89
C. 70-79
D. 60-69. 2 marks

36. Suppose 80 candidates appeared for a combined test in English and Mathematics.
Let E and M denote the set of candidates passed in English and Mathematics,
respectively, and is shown in the following Venn-diagram. The numbers 12, 18,
30 and in different parts of the diagram indicate the number of students in those
parts.

E M
18 30 x
12

The number of candidates passed in Mathematics is

A. 32
B. 20
C. 50
D. 38. 1 mark
The sales (in crores of rupees) of a company in ten consecutive years are shown in the
bar chart. Use this information to answer Questions 37-38.

Sales in crores of rupees

180 170

160 150

140 130

120
100
100
80
80
60
60
45
40
40
25
20
20

0
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

37. The percentage rise in sale is maximum during

A. 1998-99
B. 1994-95
C. 1992-93
D. 1996-97. 2 marks

38. The overall change in sales value during 1991-2000 is

A. 750%
B. 850%
C. 88.24%
D. 170%. 1 mark
 English
39. Choos th wor th t c n b us s synonym of “S tisfi ”.
A. Quenched
B. Honoured
C. Adjusted
D. Corrected 1 mark

40. Choos th wor th t c n b us s synonym of “Significant”.

A. Substantial
B. Proper
C. Essential
D. Obscure 1 mark

41. Choose the phrase that can b us s n ntonym of “To mend”.

A. To repair
B. To build
C. To break
D. To prepare 1 mark

42. Choose the word th t c n b us s n ntonym of “Serious”.

A. Sober
B. Grievous
C. Genuine
D. Ridiculous 1 mark

43. One who is indifferent to pains and pleasure of life is called

A. Impregnable
B. Stoic
C. Unassailable
D. Inviolable 1 mark

44. One who has good taste for food is called

A. Taster
B. Gourmet
C. Greedy
D. Chef 1 mark
45. Identify th lt rn tiv which will r pl c ‘?’
Appreciation : Reward :: Disapproval : ?
A. Crime
B. Guilt
C. Allegation
D. Penalty 1 mark

46. Identify th lt rn tiv which will r pl c ‘?’

Heat : Warm :: ? : Pretty
A. Beauty
B. Attractive
C. Pleasure
D. Likeable 1 mark

47. Choose the word/phrase that cannot be used as a meaning of "Up to the mark"
A. Good enough
B. Of required standard
C. Excellent
D. Sufficient 1 mark

48. Choose the word/phrase that cannot be used as a meaning of "Ins and outs"

A. Nuts and bolts

B. Full particulars
C. Full details
D. Hammer and nail 1 mark

49. Rearrange the following parts (1, 2, 3 and 4) in proper sequence to obtain a
correct sentence.
(1) your chickens
(2) have hatched
(3) don't count
(4) before the eggs

A. 1, 2, 3, 4
B. 3, 1, 4, 2
C. 4, 3, 1, 2
D. 1, 3, 4, 2 1 mark
50. Rearrange the following parts (1, 2, 3 and 4) in proper sequence to obtain a
correct sentence.
(1) you do it right
(2) you only live
(3) once is enough
(4) once but if
A. 1, 2, 4, 3
B. 2, 4, 3, 1
C. 1, 3, 4, 2
D. 2, 4, 1, 3 1 mark

51. Fill the blank in the following sentence.

We ____________ the point where the movie was shot.
A. went in
B. went across
C. went about
D. went over 1 mark

52. Fill the blank in the following sentence.

He _________ the railway station in time.
A. reached
B. reached at
C. reached to
D. reached for 1 mark

53. Fill the blank in the following sentence.

He is shy, _____________ he danced at the party.
A. nonetheless
B. rather
C. instead
D. even 1 mark
54. Choose the correct replacement for the underlined part of the following sentence.
He has written extensively on not only major figures in Indian politics like
Mahatma Gandhi, but also on the poetry of Kabeer.
A. on not only major figures in Indian politics like Mahatma Gandhi, and also on
B. not only on major figures in Indian politics like Mahatma Gandhi, but also on
C. on major figures in Indian politics like Mahatma Gandhi, as well as
D. on major figures in Indian politics like Mahatma Gandhi, but also on
2 marks

55. Choose the correct replacement for the underlined part of the following sentence.
An analysis of objects found in the cities of Indus valley civilization show that even
some people owned gold and silver ornaments.
A. show that some people owned gold and silver ornaments
B. show that some people owned even gold and silver ornaments
C. shows that even some people owned gold and silver ornaments
D. shows that some people owned even gold and silver ornaments 2 marks

56. Choose the correct replacement for the underlined part of the following sentence.
While deciding the new policies for rural development, the Government takes into
account life expectancy, education, as well as income per person.
A. life expectancy, education, as well as income per person in its account
B. into account life expectancy and education, as well as income per person
C. into account life expectancy, and education, and income per person
D. life expectancy, education, and income per person in its account 2 marks

57. Select the most logical order of sentences from among the given choices to
construct a coherent paragraph.
P: When I came back from the United States, I wanted to tell my family of
my great triumph.
Q: I was trying hard to give up smoking for long.
R: I really gave it up.
S: And so when I went to the United States for one year training I said to
myself: I really must give it up.
The proper sequence should be
A. PSRQ
B. SPQR
C. QSRP
D. QRSP. 2 marks
58. Select the most logical order of sentences from among the given choices to
construct a coherent paragraph.
P: They were excited, fascinated by the sight of fresh snow on the roads.
Q: Even so, it looked beautiful to tourists of various categories.
R: But some visitors came away with the unforgettable sight of young and
scantily clad labours.
S: The locality is almost a slum and stinks most of the time.
The proper sequence should be
A. QSRP
B. SQRP
C. SRPQ
D. SQPR 2 marks

59. Read the following two paragraphs.

Music is capable of a number of health benefits including lowering stress
levels, raising states of consciousness, changing moods, accessing different
states of mind, developing the brain and is useful in meditation. There isn’t a
single human culture that has lived without music. For example, native
Africans and Americans both used music in the form of chanting for their
rituals and healing ceremonies. In Greece, music was used to ease stress,
soothe pain and help with sleeping patterns. Many have said music heals the
soul, and it appears that they were right.

Research has shown that listening to music in old age can help keep the brain
healthy. Since listening to music is like exercising the brain, one can expect
the benefits of better memory and mental sharpness as they age. Even people
who have some form of brain damage can regain partial or full access to
memories by listening to.

Choose the sentence which summarizes above paragraph best:

A. Listening to music has been traditionally used for its healing effects.
B. Listening to music is beneficial for general well-being and health of the brain.
C. Listening to music is beneficial in old age.
D. Listening to music lowers stress. 2 marks
 60. Read the following paragraph:
The new forms of social media are electronic and let people communicate
with one another using technology such as computers, smart phones and the
internet. Social media can be used to socialise and communicate and help you
in various things, for example, get a message to many people at once, or find
a job. When it was created, the intention was that people would share
thoughts and ideas with likeminded people and keep in touch with distant
family. However, you may not have thought about some of the problems it
may cause for you. When we post on the internet we think we are safe and
secure in our own living rooms or offices. But perhaps, we are not in a safe
and private place. We are actually in a very crowded room surrounded by
hundreds if not thousands of people on all sides. Someone, who is not in our
circle, may be listening to our conversation and may misuse some of our
personal information.

Choose the sentence which summarizes above paragraph best:

A. We should be careful while interacting with a stranger on social media.

B. Social media helps us interacting with people.
C. We should not use social media as it may be dangerous.
D. We should be careful while sharing some information on social media.
2 marks

Read the passage below and answer Question 61:

Solar products are being increasingly used to meet rural needs. By the end of 2015, a
cumulative total of just under 1 million solar lanterns have been sold in the country,
reducing the need for expensive kerosene. In addition, a cumulative total of 30,256 solar
powered pumps had been installed for irrigation and drinking water. During 2015 alone,
118,700 solar home lighting systems were installed, and 46,655 solar street lighting
installations were provided under a national program.
In January 2016, India and France laid the foundation stone for the headquarters of the
International Solar Alliance (ISA) in Gurgaon. The ISA will focus on promoting and
developing solar energy and solar products for countries lying wholly or partially
between the Tropic of Cancer and the Tropic of Capricorn. The alliance of over 120
countries was announced at the Paris COP21 climate summit.
With about 300 clear, sunny days in a year, the theoretically calculated solar energy
incidence on India's land area is about 5000 trillion kilowatt-hours (kWh) per year (or 5
EWh/yr). The solar energy available in a year exceeds the possible energy output of all
fossil fuel energy reserves in India. Grid connected solar electricity generation has
reached 1% of the total utility electricity generation. Presently, solar generation is
serving to meet the peak load during the day time in non-monsoon months when the
electricity spot prices are fetching above the daily average price.
 I. In India, Solar power is being used
i. for lights and pumps
ii. as direct fuel for cooking
iii. both i and ii
iv. neither of i and ii.
II. International Solar Alliance will focus on
i. developing solar energy and solar products for India and France
ii. promoting solar energy in India along with some other countries
iii. both i and ii
iv. neither of i and ii.
III. If all the possibilities of deployment of solar energy plants are exhausted in
the country,
i. solar energy can exceed the possible energy output of fossil fuel energy
reserves in India
ii. price of electricity can come down
iii. both i and ii
iv. neither of i and ii.

61. The correct answers to I, II and III are:

A. iii, iii and iv, respectively
B. iii, i and ii, respectively
C. i, ii and i, respectively
D. iii, iii and ii, respectively. 3 marks

Read the passage below and answer Question 62:

The period of 400 AD to 1600 AD is considered as classical period of Indian
Mathematics, though it emerged in the Indian subcontinent from 1200 BC. The decimal
number system and the concept of zero as a number was first recorded in Indian
mathematics. Indian mathematicians made early contributions to the study of arithmetic,
algebra, and trigonometry. In addition, the modern definitions of sine and cosine were
developed here. Ancient and medieval Indian mathematical works, all composed in
Sanskrit, usually consisted of a section of sutras in which a set of rules or problems were
stated with great economy in verse in order to aid memorization by a student. This was
followed by a second section consisting of a prose commentary (sometimes multiple
commentaries by different scholars) that explained the problem in more detail and
provided justification for the solution. In the prose section, the form was not considered
as important as the ideas involved.
Excavations at Harappa, Mohenjo-daro and other sites of the Indus Valley Civilisation
have uncovered evidence of the use of practical mathematics. They used a standardised
system of weights based on the ratios: 1/20, 1/10, 1/5, 1/2, 1, 2, 5, 10, 20, 50, 100, 200,
and 500, with the unit weight equalling approximately 28 grams, approximately equal to
the English ounce or Greek uncia. They mass-produced weights in regular geometrical
shapes, which included hexahedra, barrels, cones, and cylinders, thereby demonstrating
knowledge of basic geometry. The inhabitants of Indus civilisation also tried to
standardise measurement of length to a high degree of accuracy. They designed a ruler
called as the Mohenjo-daro ruler, whose unit of length (approximately 1.32 inches or 3.4
centimetres) was divided into ten equal parts. Bricks manufactured in ancient Mohenjo-
daro often had dimensions that were integral multiples of this unit of length.

I. The decimal number system was first used by the mathematicians based in
i. Greece
ii. Indian subcontinent
iii. England
iv. elsewhere.
II. In ancient and medieval Indian mathematics,
i. a formula was written in the form of Sanskrit verses
ii. a formula was explained as prose
iii. both i and ii
iv. neither of i and ii.
III. People of Indus Valley Civilisation
i. were good at using basic geometry
ii. developed the system of units for measuring mass and length
iii. both i and ii
iv. neither of i and ii.

62. The correct answers to I, II and III are:

A. ii, iv and iv, respectively
B. iv, i and ii, respectively
C. i, ii and iii, respectively
D. ii, iii and iii, respectively. 3 marks
 Logical Reasoning

63. Given below are two statements followed by two conclusions:

Statement I: Some doctors are fools.
Statement II: Some fools are rich.
Conclusion I: Some doctors are rich.
Conclusion II: Some rich are doctors.
Which of the conclusions follow from the two statements?
A. Only conclusion I follows.
B. Only conclusion II follows.
C. Both the conclusions follow.
D. Neither conclusion follows. 1 mark
64. Re-entry occurs when a person leaves his or her social system for a period of time
and then returns. Which of the situations described below best describes re-entry?
A. When he is offered a better paying position, Ram leaves the restaurant he
manages to manage a new restaurant on the other side of the town.
B. Sheela is spending her first year of college studying abroad in London.
C. Mohan is readjusting to civilian life after five years of service in Indian
Army as an officer.
D. After several miserable months, Neeta decides that she can no longer
share an apartment with her room-mate Mita. 1 mark
65. A shepherd had 17 sheep. All but 9 have died. How many sheep does he have
now?
A. 17
B. 9
C. 8
D. None of the above. 1 mark
66. At a repair workshop, 50 cars were inspected, of which 23 needed new brakes, 34
needed new exhaust systems, and 6 needed neither. How many cars needed new
brakes, but not a new exhaust system?
A. 10
B. 21
C. 13
D. 23. 1 mark
67. Introducing a boy, a girl said, "He is the son of the daughter of the father of my
uncle." How is the boy related to the girl? (Assume no marriage between close
relatives.)
A. Son-in-law
B. Nephew
C. Uncle
D. None of the above. 1 mark
68. Given that 27th February 2003 was a Thursday, what was the day on 27th
February 1603?
A. Monday
B. Thursday
C. Sunday
D. Tuesday. 2 marks
69. A clock loses 1% time during the first week and then gains 2% time during the
next one week. If the clock was set right at 12 noon on a Sunday, what will be the
time that the clock will show exactly 14 days from the time it was set right?
A. 1:36:48
B. 1:40:48
C. 1:41:24
D. 10:19:12. 1 mark

70. A, B, C, D, E, F and G are playing cards sitting around a circular table.

 D is not neighbour of C or E.
 A is neighbour of B and C.
 G is second to the left of D.
 G is the neighbour of E and F.

Which of the following is correct?

A. B is between A and D.
B. D is between F and G.
C. E is to the immediate right of G.
D. F is to the immediate left of G. 2 marks

*****
 Institute of Actuaries of India
Solutions for ACET 2017

Mathematics
1. C. .

2. B. The equation gives .

Hence the inequality gives
either OR .
This gives OR .
This implies OR , that is,

3. A. implies which again implies

Thus we have .
That is, and is perpendicular to .

4. B. If has equal roots, then

Hence, .

5. D. .
This implies .
Putting and on putting we get
Equating the coefficients of we have giving .
Thus , .

6. D. .

7. B. , so

Alternatively, , ie, .

8. C. put By Chain rule,

9. A. , then , which is negative if . Hence,

10. A.

11. A. (where )

12. C. If , then .
Since is an odd function,

13. D. If , then implies , that is,

. This implies

14. B. then Therefore, . The determinant is 0. All

submatrices also have determinant 0. Therefore, the rank is 1.

15. D. If , then

= . Hence, .

16. A. Given that . Also,

We have two points: and
Linear interpolate of

17. D. = + =
.
 Statistics
18. C. = 56.

19. D.

20. C. , , ,
.
21. B. . This implies .

Value 3 4 5 6 7 8 9
Frequency 1 4 7 6 9 3 1
Cum freq 1 5 12 18 27 30 31

Total frequency = 31. Mode = 7, Median = 16th observation = 6.

22. B.

23. D.

24. C. This implies

25. D. .

26. B. CV = .

27. B. .

28. A.

29. B.
30. C. 10,

1 8 10 10 14 17
1 4 6 12 12 7
The regression of on is

Intercept = . Thus,

The regression of on is

which has slope and intercept .

Data Interpretation
31. A. Number of students

32. C. Number of students

33. B. Number of students

34. D. Between and

35. B. There are students with score above 69 and students

th
with score above 59. Since 25 lies in between 16 and 28, the 75 smallest score is in
between 60 and 69.

36. C. Number of candidates passed only in Mathematics .

Number of candidates passed in both English and Mathematics is 30.
Number of candidates passed in Mathematics .

37. C. Sales increase in 1992-1993 is . It can be visually checked that

percentage increases in the other years are smaller.

38. A. .
 English
39. A

40. A

41. C

42. D

43. B

44. …

45. D

46. A

47. C

48. D

49. B

50. D

51. B

52. A

53. A

54. B

55. D

56. B

57. C

58. D

59. B

60. D

61. C

62. D.
 Logical Reasoning
63. D. The doctors who are fools may not be rich; so conclusion I does not hold. On the other
hand, the fools who are rich may not be doctors; so conclusion II does not hold.

64. C. Mohan is the only person returning to a social system that he has been away from for
an extended period of time.

65. B.

66. A. Number of cars that needed new brakes or new exhaust system is .
Number of that needed new exhaust system is 34. Therefore, number of cars that needed
new brakes but no new exhaust system is .

10 13 21
Brakes Exhaust

67. D. The father of the girl's unc e → the randfather f the girl. Daughter of the grandfather
→ either m ther r aunt. Theref re, the b y is the ir ’s br ther r c usin.

68. B. After every 400 years, the same day occurs. Thus, if 27th February 2003 is Thursday,
before 400 years i.e., on 27th February 1603 must have been a Thursday too.

Alternative argument: 365 is . Therefore, in a non-leap year, 27th February

falls on the preceding day of the week as compared to the following year. In other words,
a day of the week is lost in a non-leap year.

An extra day is lost in a leap-year.

Every 4th year is generally a leap-year. There are 100 multiples of four between 1603 and
2003.

Every 100th year is an exception to the leap-year rule. There are 4 multiples of 100
between 1603 and 2003.

Every 400th year is an exception of these exceptions. There is only one multiple of 400
between 1603 and 2003.
 Therefore, the number of days lost is , which is a multiple of
th
7. Hence, no day of the week is lost. 27 February 1603 must have been a Thursday.

69. B. The number of seconds lost in the first week is . The

number of seconds gained in the first week is . Net
gain is 6048 seconds, i.e., 1 hour 40 minutes 48 seconds.

70. A. The fourth clue gives the sequence E G F or F G E. The third clue suggests E G F D
or F G E D, but the first clue rules out F G E D. So we definitely have E G F D.

A, B and C must be to the right of D in some order. The second clue gives the sequence B
A C or C A B, but the first clue rules out the latter sequence to occur to the right of D.

Thus, we have E G F D B A C.

B is between A and D, and none of the other statements is correct.

************************
 Institute of Actuaries of India
ACET JUNE 2017
Mathematics
1. If then is
A.
B.
C.
D. Non-existent. 1 mark

2. If and what is the value of ?

A.
B.
C.
D. . 1 mark

3. If the sum of two unit vectors is a unit vector, the magnitude of their difference is
A.
B.
C.
D. . 2 marks

4. The value of is (assuming is a constant)

A.
B.
C.
D. . 1 mark

5. The angle between the vectors and is

A.
B.
C.
D. . 2 marks
6. The differential coefficient of w.r.t. , where is
A.

B.

C.

D. . 1 mark

7. The definite integral is equal to

A.
B.
C.
D. . 1 mark

8. The rank of the matrix is

A.
B.
C.
D. . 1 mark

9. The value of for which the expression

is true for all is
A.
B.
C.
D. . 1 mark

10. If and , then

A.
B.
C.
D. . 1 mark
11. If and is a scalar such that then the maximum value of
is
A.
B.
C.
D. . 1 marks

12. The range of for real is

A.
B.
C.
D. . 2 marks

13. If be the slope of a tangent to the curve , then

A.
B.
C.
D. . 2 marks

14. is equal to
A.
B.
C.
D. . 2 marks

15. On what sum will the simple interest for years at per annum be Rs. ?

A. Rs.
B. Rs.
C. Rs.
D. Rs. . 1 mark
16. If be a quadratic polynomial such that and ,
then is equal to

A.

B.

C.

D. . 3 marks

17. Let and . Then the number of possible values of , for

which is

A.
B.
C.
D. . 1 mark

18. If , what is the limit of as tends to zero?

A.
B.
C.
D. . 1 mark
 Statistics
19. For a given set of distinct numbers, which one of the following is true?
A. A.M. G.M. H.M.
B. A.M. G.M. H.M.
C. A.M. G.M. H.M.
D. A.M. G.M. H.M. 1 mark

20. What is the mode for the following distribution?

Marks obtained 0 23 65 73 77 81 84 95
Number of students 13 5 12 18 21 8 2 11

A.
B.
C.
D. . 1 mark

21. In a binomial distribution the probability of success is , while the number of

trials is unspecified. Then the variance of the distribution cannot be
A.
B.
C.
D. . 1 mark
22. The regression equation of the volume (in liters) of a balloon on the temperature
(in Centigrade) is given by . What is the slope parameter of the
regression equation if the temperature is measured in Fahrenheit?
A.
B.
C.
D. . 1 mark
23. What is the median number of goals scored in the matches summarized in the
table below?

Number of goals 0 1 2 3 4 5
Number of matches 2 4 7 6 8 3

A.
B.
C.
D. . 1 mark

24. The probability that exactly one of the events or occurs is equal to
A.
B.
C.
D. . 2 marks

25. From all 9 digit numbers, one is selected at random. The probability that the
selected number has distinct digits is
A.

B.

C.

D. . 2 marks

26. A die is thrown twice and the sum of the numbers appearing is observed to be 7.
The conditional probability that the number 2 has appeared at least once is
A.
B.
C.
D. . 2 marks
27. The mean of the numbers obtained on throwing a die having 1 on three faces, 2 on
two faces and 5 on one face is
A.
B.
C.
D. . 2 marks

28. On a multiple choice examination with four possible answers (out of which only
one is correct) for each of the five questions, the probability that a candidate
would get four or more correct answers just by guessing is
A.
B.
C.
D. . 3 marks

29. Which one of the following is not a measure of central tendency?

A. Mean
B. Median
C. Mode
D. Mean absolute deviation. 1 mark

30. If the correlation between and is 0.3, what is the correlation between and
?

A. 0.3
B.
C.
D. None of the above. 1 mark

31. Let be a random variable with mean and standard deviation and
. Then is

A.
B.
C.
D. 1. 1 mark
 Data Interpretation
Answer Questions 32-34 based on the following information.
A survey of movie goers from five cities, P, Q, R, S and T, is summarised below. The
second column gives the percentage of viewers in each city who watch, on the average,
less than one movie a week. The third column gives the total number of viewers who
view, on the average, one or more than one movie per week.

%age of viewers watching Viewers watching 1 or

City less than 1 movie a week more movies a week
(on the average) (on the average)
P 50 2000
Q 20 3000
R 75 1400
S 40 3000
T 60 7000

32. Which city has the highest number of viewers who watch less than one movie a
week?
A. City T
B. City S
C. City Q
D. City R. 1 mark

33. The city with the second lowest number of movie watchers is
A. City T
B. City P
C. City Q
D. City R. 1 mark
34. The total number of all movie goers in the five cities who watch less than one
movie per week is
A. 16450
B. 17450
C. 18450
D. 19450. 2 marks
The sales and cost of goods (in lakhs of rupees) of a manufacturing company in
twelve consecutive months are shown in the following chart. Use this information to
answer Question 35.

Sales and Cost of ABC Co.

1400
1200
Figures in Rs. lakh

1000
800
600
400
200
0
1 2 3 4 5 6 7 8 9 10 11 12
Month

Sales Cost of goods sold

35. Which pair of numbers, among those given below, best represents the average
sales and costs figures for ABC Co. over the period of twelve months?
A. 742, 483
B. 742, 383
C. 642, 483
D. 642, 383. 2 marks
Answer Questions 36-37 based on the following information.
The first pie chart shows distribution of material of Mr. A’s body (as a percentage of his
total body weight). The second pie chart shows the amount of proteins (in percentage) in
different body organs of Mr. A’s body.

Distribution of Material in Amount of Proteins (in %) in

Mr. A's body as a percentage Different Body Organs of Mr.
of total body weight A's body
Other Dry Muscles,
Skin, 10% 10%
Material,
15%

Protein, Bones,
20% Other 30%
Water,
65% parts,
50%

36. What percentage of Mr. A’s weight consists of muscular and skin protein?
A. 40%
B. 20%
C. 4%
D. None of the above. 1 mark

37. What percentage of Mr. A’s body weight is made up of bones?

A. 30%
B. 6%
C. 20%
D. Cannot be determined. 1 mark
Answer Question 38 based on the following information

The cumulative bar chart below gives us the production of four products, A, B, C and D,
for four years. It is known that the total production increases @20% over its value in
every successive year. The difference between the production of C in 2003 and the
production of A in 2001 is 2200 units.

Production of A,B,C and D

100%
20% 20% 20%
40%
80%
20% 20% 20%

60%
20%
40% 40% 40%
40%
30%
20%
20% 20% 20%
10%
0%
2000 2001 2002 2003

A B C D

38. If all the units of B produced in 2001 are sold at a price of Rs. 100 per unit, what
is the sales revenue that year due to sale of B (in Rupees lakhs)?
A. 5
B. 10
C. 15
D. None of these. 3 marks
 English
39. Choose the word that cannot be used as a synonym of “Association”.
A. Organization
B. Connection
C. Link
D. Member 1 mark

40. Choose the word that cannot be used as a synonym of “Branch”.

A. Department
B. Unit
C. Outlet
D. Conjunction 1 mark

41. Choose the word that cannot be used as an antonym of “Voluntary”.

A. Compulsory
B. Required
C. Disdainful
D. Mandatory 1 mark

42. Choose the word that cannot be used as an antonym of “Intentional”.

A. Accidental
B. Designed
C. Inadvertent
D. Incidental 1 mark

43. A story about mythical or supernatural beings or events is called

A. Engraving
B. Legend
C. Chronicle
D. History 1 mark

44. A widespread outbreak of an infectious disease is called

A. Epidemic
B. Malady
C. Plague
D. Calamity 1 mark
45. Identify the alternative which will replace ‘?’
Flowing : River :: Placid : ?
A. Stream
B. Lake
C. Spring
D. Waterfall 1 mark

46. Identify the alternative which will replace ‘?’

Enough : Excess :: Sufficient : ?
A. Adequate
B. Surplus
C. Decent
D. Plenty 1 mark

47. Identify the alternative which will replace ‘?’

Agenda : Meeting :: Programme : ?
A. Party
B. Lecture
C. Function
D. Reading 1 mark

48. Meaning of "Lion's share" is

A. Major share
B. Extortion money
C. Forced share
D. Food that a lion shares with lioness 1 mark

49. Meaning of "By leaps and bounds" is

A. Rapidly
B. By jumping
C. In minute detail
D. By crossing the boundaries 1 mark

50. Meaning of "Bag and baggage" is

A. With all one's memory
B. With all one's possessions
C. With all one's clothes
D. With a hand-bag and a suitcase 1 mark
51. Fill the blank in the following sentence.
Granted that the visibility is not good due to fog, I want to drive the car
____________.
A. all of it
B. all the same
C. all the odds
D. all the way 1 mark

52. Fill the blank in the following sentence.

Mumbai is a safe city ____________ Bengaluru.
A. comparing with
B. comparatively with
C. compared to
D. comparison to 1 mark

53. Fill the blank in the following sentence.

Hey folks! ____________, I have an announcement to make.
A. listen on
B. listen to
C. listen up
D. listen upon 1 mark

54. Choose the proper replacement of the underlined part to correct the following
sentence.
The school attempted to create an authentic style of Indian paper-art based on the
study of the art of ancient India, Indian medieval miniature traditions, as well as
Chinese and Japanese art.
A. the art of ancient India and Indian medieval miniature traditions, as well as
Chinese and Japanese art
B. the art of ancient India, Indian medieval miniature traditions, and Chinese and
Japanese art as well
C. the art of ancient India and Indian medieval miniature traditions, and Chinese
as well as Japanese art
D. the art of ancient India, Indian medieval miniature traditions, Chinese and
Japanese art 2 marks
55. Choose the proper replacement of the underlined part to correct the following
sentence.
Unlike traditional bullet-proof jackets which can prevent serious injury, but which
cannot prevent the wearer being knocked over by the impact, new jacket designs
are being developed in India where bullets bounce off.
A. new jacket designs, where bullets bounce off, are being developed in India
B. India is developing new jackets, designed to make bullets bounce off
C. new jackets, designed to make bullets bounce off, are being developed in
India
D. new jackets, where bullets bounce off, are being developed in India
2 marks

56. Choose the proper replacement of the underlined part to correct the following
sentence.
A school teacher accepted that, despite continuous efforts to improve classroom
performance, an extraordinary high percentage of their students fail to gain
admission to higher education programmes in good institutions.
A. an extraordinary high percentage of its students fails to gain admission to
higher education programmes
B. the percentage of their students failing to gain admission to higher education
programmes is extraordinary high
C. a high percentage of its students, extraordinarily high in fact, fails to gain
admission to higher education programmes
D. an extraordinarily high percentage of its students fail to gain admission to
higher education programmes 2 marks

57. Select the most logical order of sentences from among the given choices to
construct a coherent paragraph.
P: Just a handful of nutrient-rich almonds a day helps promote heart health
and prevent weight gain.
Q: Loaded with minerals, they are also among the healthiest of tree nuts.
R: It may even help fight diseases like diabetes and Alzheimer's.
S: Natural, unsalted almonds are a tasty and nutritious snack with plenty of
health benefits.
The proper sequence should be
A. PQSR
B. PSQR
C. SQPR
D. SPQR. 2 marks
58. Select the most logical order of sentences from among the given choices to
construct a coherent paragraph.
P: Men and women use different areas of the brain for solving tasks.
Q: For example, women use their larger, more organized cerebral cortex to
perform tasks, while men rely on the larger proportion of grey matter in
the left hemisphere of their brains.
R: Men have a larger brain size by about 10%, but women have substantially
more nerve endings and connections (white matter) than men.
S: As a consequence, women are generally better at identifying and
controlling their emotions, while men are more task-focused.
The proper sequence should be PRSQ
A. RPQS
B. PRSQ
C. PQRS
D. RSPQ 2 marks

59. Read the following paragraph:

Smelling floral scents puts us in a good mood and makes us feel less anxious.
Flowers clearly aren’t going to eliminate the need for medication, but they
may take the edge off during exams or before a major presentation. Less
saturated and brighter colours are generally more relaxing, while bold
saturated colours will energize you. A bunch with colours that fall near each
other on the colour wheel will also be more calming; with the opposite effect
ensuing if the colours are opposite each other. Curvy shapes have generally
been shown to be relaxing. Flowers in your home have positive psychological
payback. Think of them as part of your mental health treatment program.
Choose the sentence which summarizes above paragraph best:
A. Flowers have attractive colours and sweet smells.
B. Colourful and fragrant flowers are good for mental well-being.
C. Putting flowers at home is good for mental well-being.
D. Seeing and smelling flowers reduces anxiety. 2 marks
 60. Read the following paragraph:
The gems and jewellery sector contributes around 6-7 per cent of India’s
GDP. Based on its potential for growth and value addition, the Government of
India has declared the Gems and Jewellery sector as a focus area for export
promotion. Low costs and availability of high-skilled labour gives India a
competitive edge. India is the world’s largest cutting and polishing centre for
diamonds, with the cutting and polishing industry being well supported by
government policies. Moreover, India exports 95 per cent of the world’s
diamonds, as per statistics from the Gems and Jewellery Export promotion
Council.
Choose the sentence which summarizes above paragraph best:

A. Gems and jewellery sector is an extremely export oriented sector.

B. Indian Government is promoting gems and jewellery sector as an export
oriented sector.
C. Gems and jewellery sector has potential growth possibilities.
D. India is a major global player in the gems and jewellery sector, which
plays an important role in Indian economy. 2 marks

Read the passage below and answer Question 61:

The basic concepts of Indian classical music include shruti, swara, alankar, raga, and tala.
There are two main traditions of Indian classical music – Carnatic music and Hindustani
music. In Hindustani music traditions, singing was based on tones and it was popular
from the Vedic times where the hymns of Samaveda were sung and not chanted. A strong
and diverse tradition has developed over several centuries. Hindustani music was not
only influenced by ancient Hindu musical traditions, historical Vedic philosophy and
native Indian sounds but also enriched by the Persian performance practices of the
Mughals. Classical genres are dhrupad, dhamar, khyal, tarana and sadra, and there are
also several semi-classical forms. The Carnatic music originated in South India during
the rule of Vijayanagar Empire. Like Hindustani music, it is melodic, with improvised
variations, but tends to have more fixed compositions. It consists of a composition with
improvised embellishments added to the piece in the forms of Raga Alapana,
Kalpanaswaram, Neraval and, in the case of more advanced students, Raga, Tala, Pallavi.
The main emphasis is on the vocals as most compositions are written to be sung, and
even when played on instruments, they are meant to be performed in a singing style
(known as gāyaki). There are about 7.2 million ragas (or scales) in Carnatic Music, with
around 300 still in use today.
 I. Carantic tradition of Indian classical music is
i. influenced by Persian practices
ii. a collection of several semi-classical forms of singing style
iii. both i and ii
iv. neither of i and ii.
II. Hindustani tradition of Indian classical music
i. originated during the rule of Vijayanagar Empire
ii. was influenced by Vedic philosophy
iii. both i and ii
iv. neither of i and ii.
III. Raga and tala are aspects of
i. Carantic tradition of Indian classical music
ii. Hindustani tradition of Indian classical music
iii. both i and ii
iv. neither of i and ii.

61. The correct answers to I, II and III are:

A. iii, iii and iii, respectively
B. iv, ii and iii, respectively
C. i, ii and iii, respectively
D. iv, i and iii, respectively. 3 marks

Read the passage below and answer Question 62:

Despite the truism that every human on this planet needs drinking water to survive and
that water may contain many harmful constituents, there are no universally recognized
and accepted international standards for drinking water. Even where standards do exist,
and are applied, the permitted concentration of individual constituents may vary by as
much as ten times from one set of standards to another. Many developed countries
specify standards to be applied in their own country. In Europe, this includes the
European Drinking Water Directive and in the United States the United States
Environmental Protection Agency (EPA) establishes standards as required by the Safe
Drinking Water Act. For countries without a legislative or administrative framework for
such standards, the World Health Organisation publishes guidelines on the standards that
should be achieved. China adopted its own drinking water standard GB3838-2002 (Type
II) enacted by Ministry of Environmental Protection in 2002.
Where drinking water quality standards do exist, most are expressed as guidelines or
targets rather than requirements, and very few water standards have any legal basis or, are
subject to enforcement. Two exceptions are the European Drinking Water Directive and
the Safe Drinking Water Act in the USA, which require legal compliance with specific
standards. In Europe, this includes a requirement for member states to enact appropriate
local legislation to mandate the directive in each country. Routine inspection and, where
required, enforcement is enacted by means of penalties imposed by the European
Commission on non-compliant nations.
Countries with guideline values as their standards include Canada, which has guideline
values for a relatively small suite of parameters, New Zealand, where there is a legislative
basis, but water providers have to make "best endeavours" to comply with the standards,
and Australia.

I. As far as drinking water quality standards are concerned,

i. Canada has clear laws to enforce.
ii. European commission may impose penalty on non-compliant nations.
iii. both i and ii.
iv. neither of i and ii.
II. As far as drinking water quality standards are concerned,
i. Europe and USA have common standards.
ii. China's standards are more rigorous than that of Europe.
iii. both i and ii.
iv. neither of i and ii.
III. As far as drinking water quality standards are concerned,
i. New Zealand expressed as guidelines or targets rather than
requirements without any legal basis.
ii. there are some common minimum standards.
iii. both i and ii
iv. neither of i and ii.

62. The correct answers to I, II and III are:

A. ii, iv and iv, respectively
B. iv, i and ii, respectively
C. i, ii and iii, respectively
D. iii, iii and ii, respectively. 3 marks
 Logical Reasoning

63. Given below are two statements.

Statement I: Some mangoes are ripe.
Statement II: All bananas are ripe.
Which of the following conclusions is correct?
A. A fruit that is not ripe is not a banana.
B. All ripe fruits are bananas.
C. A fruit that is not ripe is not a mango.
D. All ripe fruits are mangoes. 1 mark
64. There is some relationship between diagrams A and B. The same relationship
persists between diagrams C and D. Find the right diagram for D from the given
alternatives.

A. (1)
B. (2)
C. (3)
D. (4). 1 mark
65. Choose the pair that best matches the pair, Rain: Drizzle.
A. Swim: Dive
B. Weep: Cry
C. Smile: Laugh
D. Run: Walk. 1 mark
66. In a particular year, the first day of the year is Monday and the last day of the year
is Tuesday. How many days are there from 16th January to 15th March of that
year?
A. 58
B. 60
C. 59
D. 61. 1 mark
67. Amit said: "This lady is the wife of the grandson of my mother". Which of the
following options possibly describes how Amit is related to the lady? (Assume no
marriage between close relatives.)
A. Brother
B. Grandfather
C. Husband
D. Father-in-law. 1 mark
68. In a pizza parlour with 100 customers, 80 ordered mushrooms on their pizza, 72
ordered pepperoni and 60 ordered both mushrooms and pepperoni. How many
customers ordered neither of these two toppings?
A. 7
B. 8
C. 9
D. 17. 1 mark

69. A, B, C, D and E are sitting on a bench. A is sitting next to B, C is sitting next to

D, D is not sitting with E who is on the left end of the bench. C is on the second
position from the right. A is to the right of B and E. A and C are sitting together.
In which position is A sitting?

A. Between B and D.
B. Between B and C.
C. Between E and D.
D. Between C and E. 2 marks

70. A watch, which loses time uniformly, was observed to be 5 minutes fast at 8.00
p.m. on Thursday. It was noticed to be 7 minutes slow at 8.00 a.m. on the
subsequent Monday. When did the watch show the correct time?
A. 7 a.m. on Saturday
B. 7 a.m. on Friday
C. 10 a.m. on Sunday
D. 11 a.m. on Friday. 2 marks
*****
 Institute of Actuaries of India
Solutions for ACET June 2017

Mathematics
1. B. or, (y). Thus

2. C. Thus .

3. D. . Thus,
. It follows that and .

4. A. . But Hence the result.

5. B. Let and . So Further,

If is the angle between and , we have . Thus, .

6. D. . Therefore,

7. C. .

8. B. The given matrix contains 3 columns of and Hence rank = 3.

9. C. The expression is an identity if

hold at the same time. Thus

10. C. = Thus

11. D. Note that . Thus maximum value = 20.

12. A. Clearly for any real or, or,

.

13. B. or, as Thus .

14. A. Put so given integral as

15. D. Let the requisite sum be . Hence, , or, , assuming

16. B. Let so and As per given

condition so that
Thus

17. D. Thus =1 and which contradict each

other. Hence is non-existent.

18. C. Limit of as tends to zero is

Statistics
19. A. It is generally known that A.M. G.M. H.M. The three means are equal only when
all the numbers are equal, but they are said to be distinct. Thus, B is not correct.

20. B. As 77 corresponds to the highest frequency 21.

21. C. Variance = Now cannot hold for any integer .

Options A, B and D are possible for different values of .

22. A. Note that . The transformation does not change or but changes by the
multiplying factor Hence the answer.

23. C. total number of matches = 30, even. Median =

=

24. B. Required probability = [

as and are mutually
exclusive events.

25. C. Nine distinct and ordered digits can be chosen from 10 (0 to 9) numbers in
ways, out of which 0 will appear in the first place in ways. Thus the number
of numbers with distinct digits = 10! – 9! = . The total number of 9 digit numbers is
. Therefore, the probability that the selected number has distinct digits is
.
26. B. event that the sum is 7 and : event that 2 appears at least once. So
, and Required probability
=

27. D. Sample space = Clearly,

Mean = = 2.

28. C. The probability of correct answer ; so the probability of wrong answer

Clearly where is the number of correct answers and

Required probability =

29. D

30. B

31. D.

Data Interpretation
32. A. City T contributes the largest summand to the sum in Problem 31. The number is
10500.

33. B. City P has the same second lowest number of movie watchers which is 4000.

4000= 2000/(1-50%)

34. D. The total number is

35. A. The average sales cannot be as small as Rs. 642 lakh, as there are many large values to
offset the few marginally smaller values. For the same reason, Rs. 383 lakh is too small a
value for average cost.

36. C. 4%. 4% = 20% of 20% .

37. D. Cannot be determined. Only percentage or occurrence of proteins in bones is provided

but not the overall percentage of bones in the body.
38. B. 10 lakhs. Let the total production in 2001 be .

English
39. D
40. D
41. C
42. B
43. B
44. A
45. B
46. B
47. C
48. A
49. A
50. B
51. B
52. D
53. C
54. A
55. C
56. D
57. C
58. A
59. B
60. D
61. B
62. A
 Logical Reasoning

63. A

64. A. Diagram A has a black dot inside a triangle, which is inside a circle, which in turn is
inside a rectangle. In diagram B, the black dot is intact, the order of containment between
the second and third items (triangle and circle) is reversed and the outermost rectangle is
missing.

In diagram C, the second and third items, in order of containment, are a square and a
triangle. By reversing their order and dropping the outermost rectangle, we have the
shape given in option (1).

65. D. Drizzle is weaker/slower than rain; walking is slower than running.

66. B. In a normal year the first day and the last day of the year is the same. In a leap year the
last day is one day more than the first day. In this question it is a leap year. So 16(Jan)+
29(Feb) + 15(March) = 60 days.

67. D. The lady is the wife of grandson of Amit's mother i.e., the lady is the wife of son of
Amit. Hence, Amit is the father-in-law of the lady.

68. B. .

20 60 12
M P

69. B. A is sitting next to B, while A and C are sitting together. Therefore, A is sitting in between
B and C.

(The given facts imply that the seated persons from left to right are E B A C D, but this is
not needed to answer the question.)

70. A. The number of hours from 8:00 p.m. on Thursday to 8:00 a.m. on Monday is 84. In 84
hours, the watch lost 12 minutes. But to show the correct time, the watch has to lose 5
minutes. This would happen in hours. 35 hours from 8:00 p.m. on Thursday
is 7:00 a.m. on Saturday.