(d) Ransomware

(Q-1). Most businesses and Web sites that collect (Q-7). Today many automobile and technology related
personal information should have a ___________ that companies are developing the self-driving autonomous
discloses how the personal information provided by vehicles, unmanned drones etc. According to you,
the person will be used. which of the following two technologies have made it
possible?
(a) Piracy Policy
(b) Identity Policy (a) Cloud Computing, Grid Computing
(c) Privacy Policy (b) Data Mining, Data Warehousing
(d) Security Policy (c) Artificial Intelligence, Machine Learning
(d) Internet of Things (IoT), Mobile Computing
(Q-2). ______________ is the use of video cameras to
monitor activities of individuals, such as employees or (Q-8). ______________ focuses on the development of
individuals in public locations, for work-related or computer programs that can change when exposed to
crime-prevention purposes. new data.

(a) Machine Learning (a) Machine Learning

(b) Encryption Technique (b) Mobile Computing
(c) Logical Access Control (c) Internet of Things (IoT)
(d) Video surveillance (d) Machine Computing

(Q-3). The data on the _________ USB flash drive (Q-9). A huge oil spill from an oil well run by British
cannot be accessed until the user enters the Petroleum, one of largest oil companies in world,
appropriate PIN or password. resulted in an assessed environmental damage of
about USD 20 Billion. The company expanded an
(a) Encrypted amount of USD 2 Billion on promotional ads informing
(b) Registered the world that it is an environmentally friendly
(c) Controlled company. The promotional ads were done to prevent
(d) Indexed company from which damage?
(Q-4). Users who want their desktop computers to (a) Strategic
remain powered up when the electricity goes off (b) Operational
should use ___________. (c) Financial
(a) Voltage controller (d) Reputational
(b) Surge suppressor (Q-10). A store supplies goods only on receipt of
(c) Voltage meter advance payment. Once payment is received, an
(d) UPS intimation to customer is sent for receipt of payment.
(Q-5). ____________ are small programs that take care This is a good example of ____________.
of software-specific problems, or bugs, such as security (a) Supply Chain Management
holes. (b) Customer Relationship Management
(a) Backups (c) Order to Cash Cycle
(b) Coding (d) Enterprise Management System
(c) Beta release (Q-11). An amount of ₹100 is to be written off as same
(d) Patches is not recovered from customer since last three years.
(Q-6). ____________ is a generic term that refers to Which voucher is best suited for this?
any type of malicious software. (a) Journal
(a) Spamware (b) Sales
(b) Spyware (c) Purchases
(c) Malware (d) Contra
(Q-12). Enterprise Resource Planning (ERP) systems (c) Resilience
shall have the following controls, except __________. (d) Contention

(a) General Controls (Q-19). Saving bank interest of ₹2,345.28 is credited as

(b) Application Controls ₹2,345.20 to customer account, the balance ₹0.08
(c) Management Controls being credited to a fraudster account. This technique is
(d) Business Continuity Controls best called as ______________.

(Q-13). In flowchart, the decision symbol is denoted by (a) Salami

____________. (b) Spoofing
(c) Bomb
(a) Diamond
(d) Christmas Card
(b) Circle
(c) Rectangle Box (Q-20). Concurrent Auditor of a bank felt that some
(d) Square changes have been made to advance master data. He
uses an audit technique to identify such suspicious
(Q-14). While making online payments, use of virtual
transactions. This technique shall be defined as:
keyboard saves a person from the risk of _________.
(a) Continuous and Intermittent Simulation (CIS)
(a) Web Defacement
(b) System Control Audit Review File (SCARF)
(b) Hacking
(c) Audit Hook
(c) Credit card fraud
(d) Integrated Test Facility (ITF)
(d) Phishing
(Q-21). Present day E-commerce revolution, WWW
(Q-15). Material Management module of ERP system
and emerging technologies have one key common
handles material handling. Which module of ERP
factor. Tick it.
system, shall deal with Inventory Valuation as per AS-2
on "Inventory Valuation"? (a) Hard work
(b) Government
(a) Financial
(c) User
(b) Controlling
(d) Internet
(c) Production
(d) Human Resources

(Q-16). A report indicating increasing cash sales over a

period of time can be best classified as ______.

(a) Management Information Systems (MIS)

(b) Receipt and payment
(c) Cash and fund flow
(d) Balance Sheet and Profit/Loss Account

(Q-17). Which Database Model has inverted tree like

structure?

(a) Hierarchical Database Model

(b) Networth Database Model
(c) Relationship Database Model
(d) Object oriented Database Model

(Q-18). The capability of a computer network to

recover from a conflict for some common resource is
called as ___________.

(a) Routing
(b) Bandwidth
(Q-22). Which is not a common services model (a) AS - 2
Network as a Service (NaaS)? (b) AS - 1
(c) AS - 9
(a) Virtual Private Network (VPN)
(d) AS - 28
(b) Bandwidth on Demand (BOD)
(c) Mobile Virtual Network (MVN) (Q-29). Under which IT Offence, punishment is given
(d) VoIP for statement given below: "Whoever fraudulently or
dishonestly make use of electronic signature, password
(Q-23). For an organisation that is subject to changing
or any other unique identification feature of any other
business needs, which network architecture would be
person."
preferred?
(a) Section 66- B
(a) Two Tier
(b) Section 66- C
(b) Three Tier
(c) Section 66- D
(c) Any of Two
(d) Section 66- E
(d) None of the Two
(Q-30). Inadequate Security leads to __________.
(Q-24). Which of the following is a modern method of
Digital payment? (a) Vulnerability
(b) Threats
(a) Mobile Wallet
(c) Risk
(b) E-Wallet
(d) Impact
(c) Net Banking
(d) Cards (Q-31). Where in a CBS architecture does ATM / POS
switch reside?
(Q-25). Which technology solution is provided by the
banks to a company that is paying dividend to its (a) Client
shareholders? (b) Channel Server
(c) Application Server
(a) ECS Credit
(d) Host Database Server
(b) ECS Debit
(c) MICR (Q-32). You have recently taken on a Travel agency as
(d) CBS your client. You are familiarizing yourself with the
agency & its operations. You are told that they use
(Q-26). Which server offers a computer network
network of computers which are designed as per Bus
services to allow clients to make indirect network
topology. You realize then that the agency's computer
connections to another network connection?
system involves ____________.
(a) Web Server
(a) A single hub connecting all nodes
(b) Database Server
(b) Connection of computers in a way where two
(c) Application Server
immediate nodes connected with each other
(d) Proxy server
(c) Connection of all the computers on a single
(Q-27). While defining Risk, the person is not likely to backbone cable
refer to which terms in its definition. (d) Connection of every node to every other node

(a) Vulnerability (Q-33). An enterprise is configuring its accounting and

(b) Threats financial system software for fixing its monthly budgets
(c) Impact for expenses. A heated argument is going on among
(d) Asset the functional executives regarding the issue about
when to fix the budget for any head. Help management
(Q-28). In case of disaster, an entity not having a proper in deciding on when to create budgets.
back-up of data is faced with huge business risk. The
same risk is dealt in which accounting standard issued (a) After 6 months from today based on the
by ICAI. average expenses
 (b) Today itself based on past years’ experience Trial Balance, (6) Closing Entries, (7) Journal and (8)
and future projected increase Trial Balance. What should be the answer?
(c) Cannot be fixed today as future is uncertain
(a) (1)-(2)-(3)-(4)-(5)-(6)-(7)-(8)
(d) Today itself based on future projections for
(b) (4)-(3)-(7)-(6)-(1)-(2)-(8)-(5)
expenses of the organisation
(c) (1)-(7)-(4)-(8)-(3)-(5)-(6)-(2)
(Q-34). A very renowned model is features in an (d) (8)-(5)-(3)-(1)-(2)-(4)-(6)-(7)
advertisement of a Washing Machine of Everyday
(Q-39). Which of the following statements shows the
Electronics Pvt. Ltd. where she emphasizes that this
contrast between data & information in consideration
Washing Machine can be operated and controlled from
of financial and accounting system?
anywhere through an app which the user can
download and install from the play store in his mobile (a) Data is the output of a financial and accounting
phone. This is perfect example of _____________ system
technology. (b) Information is the primary output of a financial
and accounting system
(a) Cloud Computing
(c) Financial and accounting system mainly uses
(b) Internet of Things (IoT)
semi-processed or processed data as input
(c) Artificial Intelligence
(d) Data and information stand at equal footing in
(d) Grid Computing
financial and accounting system
(Q-35). Any message that is being converted into
(Q-40). Pick the ODD one out.
unintelligible form is considered to be in the _______.
(a) PayU Money
(a) Ciphertext form
(b) Razorpay
(b) Plaintext form
(c) Instamojo
(c) Understandable form
(d) Neverpay
(d) Coded form
(Q-41). Identify which of the following is not a source
(Q-36). Considering the Business Process Automation
of concern with regards to the use of public cloud
concept, __________ ensures that data is only
computing service.
available to persons who have right to see the same
while _____________ ensures that no un-authorized (a) Confidentiality
amendments can be made in the data. (b) Privacy
(c) Efficiency
(a) Confidentiality, Availability
(d) Availability
(b) Confidentiality, Integrity
(c) Integrity, Confidentiality (Q-42). Name, Name of Parents, Address, Blood Group,
(d) Integrity, Availability Gender, Date of Birth, etc. is the personal data of the
user and not expected to change very frequently.
(Q-37). The accuracy of source document like
_____________ is generally not typed by the user and
___________ can be improved if it is __________ &
it is selected from the available list. On the other hand,
______________?
____________ is typed by the user and not selected
(a) Sales invoice, Purchase order, Serially numbered from available list.
(b) Purchase order, serially numbered, Properly
(a) Configuration Data, Master Data
designed
(b) Configuration Data, Transaction Data
(c) Purchase order, Properly designed, Sales invoice
(c) Master Data, Transaction Data
(d) Sales invoice, properly designed, Purchase order
(d) Transaction Data, Master Data
(Q-38). An aspiring CA in his interview was asked to
(Q-43). A materials requisition order document is to be
provide correct sequence of the following sub-
prepared for purchase department from inventory file
processes that represent Accounting Process Flow. The
and the materials file, both of which are stored on a
sub processes are - (1) Source Document, (2) Financial
hard drive of the computer system. Which of the
Statement, (3) Adjustments (4) Ledger, (5) Adjusted
following diagrams represents this activity?
 resource or file. Cryptography technology plays a very
important role in network security. A cryptographic
technique encrypts data into cryptograms. A
Cryptographic algorithm _____________.

(a) Must be difficult to use but easy to crack

(b) Must be easy both to use and crack
(c) Must be easy to use but difficult to crack
(d) Must be difficult to use as well as to crack

(Q-47). In today’s competitive world, employees have

become one of the most important strategic assets of
the organisation. Happy employees, Lower IT budget,
Increased employee efficiency etc. could be the
advantage attributed to ____________________.

(a) Artificial Intelligence (AI)

(b) Mobile Computing
(c) Internet of Things (IoT)
(d) Bring Your Own Device (BYOD)

(Q-48). SCARF stands for _____________ and VoIP

stands for _______________.

(a) System Control Audit Report File, Voice Over

Internet Programme
(Q-44). Mr. Ankur Tyagi is a consistent topper in his (b) System Control Audit Review File, Voice Over
school as well as college. After completing his Internet Programme
graduation from a science stream college, he got (c) System Control Audit Review File, Voice Over
immediate placement with one of the India’s largest IT Internet Protocol
company on a very attractive salary and other benefits. (d) System Control Audit Review Format, Voice
The main job responsibility of Mr. Ankur is to develop Over Internet Protocol
the logical and physical designs of data models for the
(Q-49). The main job responsibility of Mr. Anil Sharma
applications used by the company. Mr. Ankur must be
is to design of security controls and systems such as
a _____________ in the company.
authentication, audit logging, intrusion detection
(a) Database Administrator systems, intrusion prevention systems, and firewalls.
(b) Database Analyst Mr. Anil Sharma must be a _____________ in the
(c) Database Architect company.
(d) Software Tester
(a) Security Architect
(Q-45). Bills of Materials (BoM) is an important feature (b) Security Engineer
for any Enterprise Resource Planning or ERP software. (c) Database Architect
The sub-system where a BoM is located is _________. (d) Controls Analyst

(a) Manufacturing (Q-50). To enhance automation, a company defines re-

(b) Financials order levels for regular consumption of raw material
(c) Projects items in their ERP system. Once an item hits Re-order
(d) Human Resource Management Level, the system creates a purchase requisition for
Economic Order Quantity (EOQ) / Re-Order Quantity
(Q-46). Cryptography technology deals with programs
(ROQ) and emails the same to selected vendors asking
for transforming data into cipher text that are
them to send quotations. This method of doing
meaningless to anyone, who does not possess the
business can be best defined as ______________.
authentication to access the respective system
 (a) Business Process Automation company, financial institution and intermediary is
(b) Business Process Integration required to maintain a record of transactions as may be
(c) Business Process Upgrade prescribed by rules and furnish information to the
(d) Business Process Module Director within such time as may be prescribed.

(Q-51). There are various types of memories used in (a) Section 13, Rule 4
the computer system some of which are permanent in (b) Section 12, Rule 3
nature while some of them are temporary or (c) Section 12, Rule 4
fluctuating. There is also a memory known as cache (d) Section 12, Section 18
memory which is very expensive but found in most of
(Q-55). In computer network, a vulnerability is best
the modern computing devices like desktop, laptop
defined as _______________.
computers etc. Secondary memory ____________.
(a) Risk to system
(a) Is a large, slow memory which is no longer used
(b) Weakness of controls
in computers
(c) Value of risk
(b) Random Access Memory (RAM) is an example
(d) Possible Threat
of Secondary Storage device
(c) Is a greater capacity memory which is volatile (Q-56). You have signed on for an audit of an Internet
in nature service provider (ISP) which advertises itself as the
(d) Is a greater capacity memory which is non- most reliable service provider. What kind of network
volatile in nature topology do you think the ISP have?
(Q-52). Indian fertilizer industry depends on subsidies. (a) Ring topology
The Government has evolved a complicated (b) Star topology
mechanism for deciding the subsidy level for each type (c) Mesh topology
of fertilizer depending upon various factors like price of (d) Bus topology
the raw material, exchange rate, conversion costs, etc.
The industry association are considering some kind of (Q-57). A new system has been developed that ensures
cloud computing facility but as the cost involved is very that as soon as inventory level goes below re-order
high, they have finally decided to establish a cloud level in Inventory System, a purchase requisition is
where each participant can share the computing generated from Purchase System. Which testing
resources. Such a cloud facility would be most likely to method shall be best suited to check whether the two
be a ___________ and it would be safer than systems are working properly?
_____________. (a) Unit Testing
(a) Public Cloud, Private Cloud (b) Program Testing
(b) Private Cloud, Public Cloud (c) Integration Testing
(c) Community Cloud, Public Cloud (d) Whole-of-Program Testing
(d) Hybrid Cloud, Public Cloud (Q-58). Which of the following given combination is not
(Q-53). As per _________, if any person, dishonestly, a violation of maker - Checker Rule for the Internal
or fraudulently, does any act referred to in ________, Control in the organisation?
he shall be punishable with imprisonment for a term (a) Cashier is also a Ledger Writer
which may extend to _____________ or with fine (b) Auditor acting as Implementation Consultant
which may extend to ₹5 Lakh or with both. (c) System Developer acting as a System Quality
(a) Section 43, Section 66, 2 Years Control Personnel
(b) Section 66, Section 18, 5 Years (d) Auditor Suggesting Controls
(c) Section 66, Section 43, 3 Years (Q-59). Pick the odd one out.
(d) Section 65, Section 43, 5 Years
(a) Amazon Alexa
(Q-54). Under __________ & _____________ of (b) Boss Speakers
Prevention of Money Laundering Act, every banking (c) Apple Siri
 (d) Google Talk (c) Law is not able to meet the requirements of
technology
(Q-60). Which objective of the Business Process
(d) No one is responsible
Automation (BPA) is achieved using Passwords in
Information Systems? (Q-65). Pick the ODD one out.

(a) Confidentiality (a) Accounting Information System

(b) Integrity (b) Input
(c) Timeliness (c) Output
(d) Availability (d) Process

(Q-61). ____________ of ____________ defines (Q-66). An element that has contributed to e-

‘money laundering’ as: “whosoever directly or commerce success is payment gateways. One that
indirectly attempts to indulge or knowingly assists or does not fall in the definition is _________.
knowingly is a party or is actually involved in any
(a) SBI Buddy
process or activity connected with the proceeds of
(b) HDFC Zapp
crime and projecting it as untainted property shall be
(c) Paytm
guilty of the offence of money-laundering”.
(d) Cash On Delivery
(a) Section 2, FEMA Act, 1999
(Q-67). Entity-Relationship (ER) Diagram, Data Flow
(b) Section 3, PML Act, 2002
Diagram, Flowcharts all use graphical symbols. All
(c) Section 12, RBI Act, 1934
symbols given are used in all three except one.
(d) Section 12, PML Act, 2002

(Q-62). A Bank has updated its existing Corer Banking

Systems (CBS) system to a new version. It is found that
the new system is not automatically sending monthly
Bank Statements to its customers. The same feature
was available in the previous system. This error is result
(Q-68). Under the Asynchronous attacks in a
of mistake in which step?
telecommunication network system, __________
(a) Design involves spying on information being transmitted over
(b) Planning communication network.
(c) Implementation
(a) Wire-tapping
(d) Maintenance
(b) Data Leakage
(Q-63). Database is a collection of Data. Various (c) Subversive Attacks
database models are used. The database models (d) Piggybacking
having using a primary key is ___________.
(Q-69). A Bank ABC gave an undertaking to the third
(a) OODBMS party, supplier of goods to pay amount of ₹2 crore to
(b) RDBMS him on behalf of a businessman Mr. X provided the
(c) Network Database Model terms and conditions of the undertaking are complied
(d) Hierarchical Database Model with. This service of banks is known ___________.

(Q-64). Driverless cars are the future of personal (a) Issuing letter of Guarantee
transportation. Many companies have been testing (b) Issuing letter of Comfort
these cars on roads across the world. Few fatalities (c) Issuing letter of Credit
have been caused by these driverless cars. The culprits (d) Issuing letter of Understanding
are not yet booked. This reflects which risk of AI as a
(Q-70). Which among the following is not a feature of
technology being used in driverless cars.
secondary memory?
(a) The police investigations are poor
(a) Non-volatile in nature
(b) AI is not human
(b) Slowest memory compared to others
 (c) Has the largest storage capacity (d) Secondary Memory
(d) Costs more compared to others
(Q-78). Which of the following is in-correct?
(Q-71). Which of the following memory is usually
(a) Hardware is tangible portion of the computer
measured in Tera Bytes?
systems
(a) Random Access Memory (b) Input devices are devices through which we
(b) Cache Memory interact with the systems
(c) Register (c) CPU consists of two functional units
(d) Secondary Memory (d) Registers are high speed memory within CPU

(Q-72). Which among the following is not a type of (Q-79). Which of following statement is incorrect?
Read Only Memory?
(a) Storage Registers temporarily stores data
(a) PROM being sent to or coming from system memory
(b) EPROM (b) Internal memory includes Processer Registers
(c) EEPROM and Cache Memory
(d) EROM (c) RAM is volatile in nature where Information is
lost as soon as power is turned off
(Q-73). ____________ provides capabilities required
(d) Modifying the contents of RAM is difficult
to support enterprise software systems.
(Q-80). Which of the following is incorrect?
(a) Information Worker Software
(b) Enterprise Infrastructure Software (a) Each computer system must have a system
(c) Content Access Software software to function
(d) Media Development Software (b) Application software are optional & user might
need them as per his requirements
(Q-74). ________ is the application software where
(c) ROM is volatile in nature where Information is
multiple applications are bundled together and sold.
lost as soon as power is turned off
(a) Application Suits (d) Modifying the contents of RAM is not difficult
(b) Enterprise Infrastructure Software
(Q-81). ________ can function without _________.
(c) Content Access Software
(d) Media Development Software (a) Application software, System software
(b) System software, Application software
(Q-75). Enterprise Resource Planning software is most
(c) Operating system, System software
likely to be classified into:
(d) Application software, operating system
(a) Application Suits
(Q-82). __________ needs _________ to operate.
(b) Enterprise Infrastructure Software
(c) Enterprise Software (a) Application software, System software
(d) Media Development Software (b) System software, Application software
(c) Operating system, Application software
(Q-76). Video editing software is most likely to be
(d) System software, operating system
classified into:
(Q-83). EPROM stands for ____________________.
(a) Application Suits
(b) Enterprise Infrastructure Software (a) Erasable Programmable Read-Only Memory
(c) Enterprise Software (b) Electronically Programed Read-Only Memory
(d) Media Development Software (c) Erasable Programmed Read-Only Memory
(d) Easily Programmable Read-Only Memory
(Q-77). A memory of the size of 4 Mega Byte is most
likely to be a _____________. (Q-84). _______ is independent of ____________.

(a) Random Access Memory (a) Software, Hardware

(b) Cache Memory (b) Hardware, Software
(c) Register (c) Hardware, Application software
 (d) Application software, Hardware (b) It increases congestion & slows up the network
(c) It is a special type of hub with additional layer
(Q-85). Which of following statement is in-correct?
of intelligence which reads the MAC address
(a) Primary memory devices are faster than (d) It is a alternative of network interface card
secondary memory devices
(Q-92). Mathematical function used for encryption &
(b) RAM is an example of Volatile memory
decryption is ______________.
(c) RAM can be static or dynamic
(d) ROM is an example of volatile memory (a) Binomial analysis
(b) Cryptographic Algorithm
(Q-86). Which of the following statement is in-correct?
(c) Transcription Algorithm
(a) Public cloud is a shared cloud computing (d) Exponential function
service which can be accessed by any one on
(Q-93). A school system send a SMS to parent's of
the pay per usages basis
student if attendance has not been marked on school's
(b) Amazon Web Services is a Public Cloud
bio‐metric attendance system. This is a good example
(c) Cache memory is a type of primary memory
of ___________.
(d) Private cloud is established and used by the
company itself (a) Enterprise Information System
(b) Biometric System
(Q-87). Which of the following is incorrect?
(c) Business Process Automation
(a) Public cloud services are very scalable (d) Business Process
(b) Private cloud services are used on pay-per-
(Q-94). All but one can be used as an input as well as
usages basis
an output device.
(c) Community cloud option is cheaper and secure
(d) Private cloud is used by the company itself (a) Keyboard
(b) Printer
(Q-88). Which of the following is incorrect?
(c) ATM Monitor
(a) Hierarchical database model implements one (d) Scanner
to one & one to many relationship
(Q-95). A hacker Mr. C duplicates the login procedure
(b) Network database Model permits many to
of an employee of an organization ABC Ltd.; captures
many relationship also
the user's password and attempts for the system's
(c) Private cloud is very secure
crash. Name the type of the attack.
(d) Public cloud don’t have any security risks
(a) Subversive Threat
(Q-89). Ignorance of end users can cause _________ in
(b) Wire Tapping
the system.
(c) Sabotage
(a) Threat (d) Spoofing
(b) Vulnerability
(Q-96). Mr. A is an employee of XYZ company. He sends
(c) Difficulties
an email through his laptop to the client and pretends
(d) Technical glitches
to be the Managing Director of the company. He
(Q-90). What is a Hub? informs the client to pay future payments in the
employee Mr. A's account. Under which section will A
(a) Hardware device with multiport connectivity be punished?
(b) Have intelligence in interpreting data received
(c) Expensive device for transportation of data (a) Section 66A
between devices (b) Section 66B
(d) Connects LANs and amplifies data (c) Section 66C
(d) Section 66D
(Q-91). What is a Switch?
(Q-97). Among the emerging technologies, the ones
(a) It does not offer intelligence in interpreting which are environmentally sustainable are the ones
data received by it
which will survive the test of time. Such technologies (d) casting responsibility on body corporates to
are being designated by a key term called _________. protect sensitive personal information

(a) Cloud Computing (Q-102). Which of the following cloud provides a

(b) Green Computing highest level of security and privacy to the user?
(c) Mobile Computing
(a) Private Cloud
(d) Hybrid Computing
(b) Public Cloud
(Q-98). In an accounting system, an accountant has (c) Hybrid Cloud
rights to create as well as modify vouchers. This feature (d) Community Cloud
raises the risk assessment by auditor to higher level. As
(Q-103). Which of the following statement is not true
an auditor, you need to define which principle has not
for Computer based Information Systems?
been followed?
(a) System work for predetermined objectives &
(a) Confidentiality
system is designed & developed accordingly
(b) Segregation of Duty (SoD)
(b) System has several interrelated and
(c) Availability
interdependent subsystems or components
(d) Integrity
(c) The goal of individual subsystem is of highest
(Q-99). Auditor, to check whether the control in an priority than the goal of the entire system
accounting application restricting payment in excess of (d) The way a subsystem works with another
₹10,000 in cash is working or not, creates a dummy subsystem is called interaction
voucher. This act of auditor would classify as which
(Q-104). Business Continuity Planning by nature is a
concurrent audit technique?
type of ______________.
(a) Snapshot
(a) Compensatory Control
(b) Integrated Test Facility (ITF)
(b) Detective Control
(c) SCARF
(c) Corrective Control
(d) Continuous and Intermittent Simulation (CIS)
(d) Preventive Control
(Q-100). An MNC based in Japan acquired an Indian
(Q-105). ABC Ltd. is Digital Signature issuing company
company. The day acquisition was implemented the
based in Dehradun. It has outsourced its Core
MNC replaces all systems in the Indian Company with
Infrastructure of Digital Signature Infrastructure
a brand B systems whereas Indian Company was using
repository to PQR Ltd. which provides IT Infrastructure
brand A systems. Above scenarios show that replacing
Hosting services to its customers. PQR Ltd. has
systems can be a huge cost. In today's competitive
provided separate space and servers within its office
environment it may not be possible for all companies
premises for ABC's application, database and network
to bear such expenses, so they allow employees to use
hosting and no other company is sharing that
their own systems rather than changing the same with
infrastructure. Which type of cloud service is used by
a specific brand. This way of working is called as
ABC Ltd.?
________________.
(a) On-Premise Private Cloud
(a) Cloud Computing
(b) Outsourced Private Cloud
(b) Mobile Computing
(c) Public Cloud
(c) Bring Your Own Device (BYOD)
(d) Hybrid Cloud
(d) Grid Computing
(Q-106). _________ is the act of following an
(Q-101). IT Act 2000 was amended in 2008 to introduce
authorized person through a secured door or
Section 43 A which pertains to ______.
electronically attaching to an authorized
(a) casting responsibility on government telecommunication link that intercepts and alters
(b) casting responsibility on body corporates transmissions.
(c) casting responsibility to protect sensitive
(a) Piggybacking
personal information
(b) Denial of Service
 (c) Data Leakage (a) This can be controlled and monitored by
(d) Wire Tapping having proper and updated backup of data as
well as alternate hardware arrangements.
(Q-107). Is the statement “Public cloud are highly
(b) This can be controlled by removing redundant
scalable and affordable but less secure” true?
data, using techniques like data warehousing
(a) No, less scalable that private cloud and updating hardware on a continuous basis.
(b) No, more secure than private cloud (c) Access rights need to be defined carefully and
(c) Yes, but require stringent SLAs to be given on "Need to know" and "Need to
(d) No, there is very limited number of users of the do" basis only.
entity who can participate in public cloud (d) This can be controlled and minimized with the
help of proper staff training system, having
(Q-108). Which of the following is not an example of help manuals, having backup plans for staff
Detective Controls? turnover etc.
(a) Hash Totals (Q-112). Today more and more companies are using
(b) Duplicate checking of calculations BCP. A Business Continuity Plan (BCP) is an example of
(c) Cash counts and bank reconciliation ______________ control.
(d) Backup procedure
(a) Managerial
(Q-109). Under Application Controls, ________ are (b) Application
responsible for computing, sorting, classifying and (c) Preventive
summarizing the data. (d) None of the above
(a) Boundary Controls (Q-113). In telecommunication network, ________ is
(b) Communication Controls the act of following an authorized person through a
(c) Output Controls secured door or electronically attaching to an
(d) Processing Controls authorized telecommunication link that intercepts and
(Q-110). Suggest the control required to address the alters transmissions. This involves intercepting
concerns raised with the following risk ‐ "As everybody communication between the operating system and the
is connected to a single system and central database, user & modifying them or substituting new messages.
in case of failure of system, the whole business may (a) Wire tapping
come to stand still & may get affected." (b) Piggybacking
(a) This can be controlled and monitored by (c) Subversive attacks
having proper and updated backup of data as (d) Data Leakage
well as alternate hardware arrangements. (Q-114). As a telecommunication network operator,
(b) This can be controlled by removing redundant which internetworking device will you suggest to your
data, using techniques like data warehousing client for regenerating the signal over the same
and updating hardware on a continuous basis. network before the signal becomes too weak or
(c) Access rights need to be defined carefully and corrupted?
to be given on "Need to know" and "Need to
do" basis only. (a) Bridge
(d) This can be controlled and minimized with the (b) Router
help of proper staff training system, having (c) Hub
help manuals, having backup plans for staff (d) Repeater
turnover etc.
(Q-115). One amongst the list is a not a threat.
(Q-111). Suggest the control required to address the
(a) Virus
concerns raised with the following risk ‐ "As entire data
(b) Trojan
is maintained centrally, gradually the data size
(c) Worm
becomes more and more and it may reduce the speed
(d) Firewall
of entire operation."
(Q-116). In a three‐tier architecture, which layer is (a) Delivery Note
responsible for performing certain validations like, if (b) Receipt Note
user is authorised to request the transaction or not? (c) Sales
(d) Purchase
(a) Application Layer
(b) Presentation Layer (Q-122). In a 3-Tier Architecture, name the layer that is
(c) Database Layer responsible of receiving the inputs from the users and
(d) Session Layer perform certain validations.

(Q-117). Mr. X entered into a contract with Mr. Y for (a) Application Layer
purchase of house hold products via online stores on (b) Database Layer
Cash on Delivery (CoD). As per the terms, it was to be (c) Operating System Layer
delivered within 3 days of the order placed. Due to (d) Network Layer
delivery on the fourth day, Mr. X denied for the
(Q-123). Which feature of Operating Systems helps in
performance of the contract. This can be said to be a
allocating resources to make optimum utilization of
____________.
resources?
(a) Risk associated with controls
(a) User Interface
(b) Risk associated with security
(b) Memory Management
(c) Risk associated with transaction
(c) File Management
(d) Risk associated with e-Commerce
(d) Task Management
(Q-118). Under Data Resource Management Controls,
(Q-124). Installation of the Firewalls by a company in
__________ controls are designed to prevent
the telecommunication network is a classic example of
unauthorized individual from viewing, retrieving,
_______________ controls under Information
computing or destroying the entity's data in any
Systems' Controls.
organization.
(a) Managerial
(a) Access
(b) Application
(b) Backup
(c) Preventive
(c) Concurrency
(d) Corrective
(d) Quality
(Q-125). Provide the correct sequence of phases of
(Q-119). Name the Module in ERP - Business Process
Program Development Life Cycle. (1) Operations and
Modules that includes the software designed
Maintenance, (2) Coding, (3) Control, (4) Design, (5)
specifically for production planning & management.
Testing and (6) Planning
(a) Production Planning
(a) (4)-(6)-(2)-(3)-(1)-(5)
(b) Material Management
(b) (6)-(3)-(4)-(2)-(5)-(1)
(c) Sales and Distribution Module
(c) (1)-(6)-(3)-(5)-(4)-(2)
(d) Supply Chain Module
(d) (3)-(5)-(2)-(1)-(6)-(4)
(Q-120). Which of the following does not form part of
(Q-126). In ABC, financial institution, the authorised
Human Resource (HR) Management?
officials identified existence of numerous accounts
(a) Training and Development numbers of inactive accounts in their usage data of
(b) Career Development active customers. Complaint was reported to their IT
(c) Leadership Management team. Which type of controls can be exercised by the
(d) Invoicing IT Team in the given case?

(Q-121). In his work place, an employee Mr. X wants to (a) Corrective Controls
maintain a record of physical receipts of goods (b) Preventive Controls
purchased from a vendor Mr. G in his Accounting (c) Detective Controls
System. Which Voucher type shall he use? (d) Compensatory Controls
(Q-127). An organisation ABC used to make payment of (c) Assists compliance with applicable laws and
the salaries to its employees by transferring of funds to regulations
their saving accounts. This mode of transfer made by (d) Ensure reliability of only Internal Financial
an ABC is ___________. Reporting & not External Financial Reporting

(a) Remittances (Q-132). Which of the following is not a technique of

(b) ECS Credit Cryptography?
(c) ECS Debit
(a) Transposition
(d) Deposits
(b) Substitution
(Q-128). Mr. Mysterious used to chat on Internet under (c) Product Cipher
the name of Ms. Ritu Kumari. He also gave her landline (d) Transcription
telephone number for further chatting. Ms. Ritu was a
(Q-133). In an ERP System, which of the following is not
senior executive of the credit rating information
true about integration of Modules with Financial and
sources of India Ltd. Mr. Mysterious was employed as
Accounting System?
financial analyst but had been forced to terminate the
job earlier. Ritu started receiving mischievous calls. In (a) Master data across all modules must be same
the light of the given facts, state the liability of Mr. (b) Common transaction data must be shared with
Mysterious within the purview of the Information other modules wherever required
Technology Act, 2000. (c) Common Voucher types to be used for each
module for easy integration of department
(a) Punishable for offence of web defacement
recording it
(b) Punishable for phishing and email scam
(d) Separate Voucher types to be used for each
(c) Theft of confidential information
module for easy identification of department
(d) Harassment via fake public profile on social
recording it
networking site
(Q-134). Tick the incorrect statement.
(Q-129). X through his computer steals the data saved
in Y’s computer of valuable customers of ABC Ltd. X (a) In Relational Database model, the named
sold this data to the competitor of ABC Ltd. This act of columns of the relation are called Domain
X is _________. (b) In Relational Database model, a Relation is a
table with rows and columns
(a) Source code theft
(c) In Relational Database model, the named
(b) Theft of confidential information
columns of the relation are called Attributes
(c) Credit Card Fraud
(d) In Relational Database model, the Domain is
(d) Web Defacement
the set of the values an attribute can take
(Q-130). Which of the following is not a rule to be
(Q-135). In the computer network, the packet
followed while Voucher Numbering?
switching refers to:
(a) Voucher number must be unique
(a) all packets pass through a common path.
(b) A voucher number may either have prefix or
(b) all packets arrive at the destination out of
suffix or both
order.
(c) Voucher numbers may be numbered randomly
(c) the receiving device restores the packets in the
as per the discretion of the company
same order it receives them.
(d) Every voucher type shall have a separate
(d) all packets arrive at the destination in order.
numbering series
(Q-136). Which of the following is not a type of Data
(Q-131). Which of the following statement is not true
Resource Management Controls under Managerial
for Internal Control System?
Controls?
(a) Facilitates the effectiveness and efficiency of
(a) Existence Controls
operations
(b) Concurrency Controls
(b) Helps safeguarding the assets of the entity
(c) Production Controls
 (d) Quality Controls (d) Batch Controls

(Q-137). Which of the following does not fit into best (Q-143). Mr. A visited an e-commerce website and
practices while dealing with passwords in order to placed an order for a pair of shoes. He made his
avoid system failures? payment of ₹2,000 through credit card and received a
confirmation mail on his registered email-id. With
(a) Periodic change of passwords
respect to e-commerce architecture, which layer of the
(b) Unlimited number of entry attempts
software is he working on?
(c) Minimum password length
(d) Hashing of passwords (a) Database Layer
(b) Application Layer
(Q-138). Under emerging BYOD (Bring your Own
(c) Presentation Layer
Device) Threats, _______________ risk refers to the
(d) Client Layer
data lost from stolen or lost devices.
(Q-144). Identify the incorrect statement.
(a) Network
(b) Application (a) A Proxy Server is a computer that offers a
(c) Device computer network service to allow clients to
(d) Implementation make indirect network connections to other
network services
(Q-139). Which activity is not incorporated during audit
(b) Information Security implies Confidentiality,
of Environmental Controls?
Integrity and Availability of information
(a) Backup Power (c) Any Application Software has primarily four
(b) Water Detection gateways through which enterprise can
(c) Fire detection and Suppression control functioning, access and use various
(d) Guards and Dogs menus & function of software. Configuration,
Masters, Transactions, Reports
(Q-140). As an Information Systems Auditor, mention (d) Section 66-C of Information Technology Act,
the activity that does not form part of audit of Logical 2000 provides for punishment for cheating by
Access Controls? personation by using computer resource
(a) Access Violations (Q-145). An amount of ₹650 is to be written off as same
(b) Intrusion Detection and Prevention is not recovered from customer since last so many
(c) Backup Power years. Which voucher is best suited for the transaction?
(d) Shared Accounts
(a) Journal
(Q-141). During an audit of financial transactions in an (b) Sales
enterprise XYZ, it was found that simple errors of data (c) Purchase
entry were occurring when two digits that were either (d) Contra
individual or part of larger sequence of numbers were
reversed when posting a transaction. Which type of (Q-146). When the risk for procure to pay (P2P) process
error is this? flow is the inaccurate changes to the supplier master
file, what should be the most appropriate control
(a) Addition Error objective?
(b) Truncation Error
(c) Substitution Error (a) All valid changes to the supplier master file are
(d) Transposition Error input and processed
(b) Changes to supplier master file are accurate
(Q-142). While Auditing the Input Controls in an (c) Changes to the supplier master file are
enterprise ABC, which of the following controls will not processed in a timely manner
fall under the purview of Input Controls? (d) Supplier master file data remain up to date
(a) Source Document Controls (Q-147). Orange Ltd. has developed a mobile phone
(b) Data Coding Controls which is unique for its simplicity and ease of use.
(c) Boundary Controls
During tests, it finds that the product is really robust
and rarely fails. The industry norm is that mobile phone
manufacturers offer customers the reliable after sales
service and including repair. After a lot of
introspection, the company decides that the
probability of failure of their product was so low and it
would not be worthwhile to invest in a network of
servicing facilities. They decided, instead to offer a free
replacement in the event of failure of their product and
they used this as a marketing strategy for their product
and it turned out to be a roaring success. What type of
risk management strategy has the company adopted in
this case?
(a) Avoid the risk
(b) Share the risk
(c) Accept the risk
(d) Reduce the risk
(Q-148). Agro India Ltd. markets agro chemicals which
is used by farmers when they perceive a pest attack
and would like to act immediately to save their crop.
Hence, prompt and speedy availability is the main
driver for sales of this product. The company, which
had its manufacturing facility located in South India,
found that it is unable to meet the demand from the
Northern States owing to their inability to reach their
product in time. Since the market size being lost out
was substantial as compared to the cost of setting up a
new plant, they ultimately decide to set up a new
manufacturing facility in Punjab which could ensure
timely availability of product so to meet some of the
demand. What type of risk management strategy has
the company adopted in this case?
(a) Avoid the risk
(b) Share the risk
(c) Accept the risk
(d) Reduce the risk
(Q-149). Which of the following statement is most
closely relates to XBRL?
(a) A technology tool that is becoming outdated
(b) An international standard business reporting
language that has streamlined the business
reporting task both across the organisation
and across the globe
(c) An international standard business reporting
language with a vast taxonomy but limited
corporate usages
(d) An international standard business reporting
language having cross-currency constraints
(Q-150). Consider the following statements about
General Compliances:
(i) These are the compliances applicable across
entities
(ii) Tax related laws are most likely to be general
compliances in nature
(iii) Non-compliance with general compliances
doesn’t involve any monetary penalties
(iv) Over the years, the number of general
compliances is either stagnant or falling
Which of the above statements are correct?
(a) (i), (ii) & (iii) Only
(b) (i) & (ii) Only
(c) (ii), (iii) & (iv) Only
(d) (ii) & (iv) Only
(Q-151). Consider the following statements about
Specific Compliances:
(i) These are not applicable across all entities but
applicable to specific entities only
(ii) Direct Tax related laws are most likely to be
specific compliances in nature
(iii) Non-compliance with specific compliances is
usually less serious concern than the non-
compliance with the general compliances
(iv) Usually the same department of the entity
handles the matter of general and specific
compliances
Which of the above statements are correct?
(a) (i), (ii) & (iii) Only
(b) (i) & (ii) Only
(c) (ii), (iii) & (iv) Only
(d) (i) & (iv) Only
(Q-152). If Cash ledger is grouped under Indirect (c) Network access control
income, __________________. (d) User access management

(a) It shall be displayed in profit and loss account (Q-159). Consider the following statements about the
(b) It shall still be considered in balance sheet as it Asynchronous Attacks:
is a cash ledger
(i) Wiretapping is one of asynchronous attack
(c) Software shall show error message
which involves following an authorized person
(d) None of above
through a secured door
(Q-153). Identify the ODD among the following? (ii) Trap door is not a type of asynchronous attacks
(iii) Subversive attacks can provide intruders with
(a) Spoofing
important information about messages being
(b) Logic Bomb
transmitted
(c) Trap doors
(iv) Data that is waiting to be transmitted are liable
(d) Data leakage
to the unauthorized access called Synchronous
(Q-154). ___________ occur in the environment where Attack
data can be moved asynchronously across the
Which of the above statements are correct?
telecommunication line.
(a) (i), (ii) & (iii) Only
(a) Asynchronous attack
(b) (i) & (iv) Only
(b) Synchronous attack
(c) (ii), (iii) & (iv) Only
(c) Malware attack
(d) (ii) & (iii) Only
(d) Data feeding attack
(Q-160). Under Application Controls, __________
(Q-155). Which of the following attack involves leaking
maintains chronology of events that occur when a user
of information from computers by dumping files to
attempts to gain access to and employ systems
paper or stealing information?
resources.
(a) Data leakage
(a) Boundary Controls
(b) Subversive attacks
(b) Input Controls
(c) Wire tapping
(c) Communication Controls
(d) Piggybacking
(d) Processing Controls
(Q-156). ___________ can provide intruders with the
(Q-161). Under Application Controls, __________
important information about the messages being
maintains the chronology of events that occur either to
transmitted.
the database definition or the database itself.
(a) Data leakage
(a) Output Controls
(b) Subversive attacks
(b) Input Controls
(c) Wire tapping
(c) Database Controls
(d) Piggybacking
(d) Processing Controls
(Q-157). __________ involves spying on information
(Q-162). Under the Application Controls, __________
being transmitted over communication network.
maintains the chronology of events that occur from the
(a) Data leakage time the content of the output is determined until the
(b) Subversive attacks time users complete their disposal of the output.
(c) Wire tapping
(a) Output Controls
(d) Piggybacking
(b) Input Controls
(Q-158). Which of the following is not a type of logical (c) Database Controls
access control? (d) Processing Controls

(a) Firepaths controls (Q-163). Under the Application Controls, __________

(b) Operating system access control maintains the chronology of events from the time data
is received from the input or communication (c) Chief Information Officer
subsystem to the time data is dispatched to the (d) Chief Intellectual Officer
database, communication, or output subsystems.
(Q-169). In the context of organisational structure, CSO
(a) Output Controls stands for ______________.
(b) Input Controls
(a) Chief Software Officer
(c) Database Controls
(b) Chief Security Officer
(d) Processing Controls
(c) Chief System Officer
(Q-164). To function properly, organisation needs a (d) Chief Storage Officer
proper mechanism to distribute the rights and
responsibilities among the various users. This is called (Q-170). In the context of organisational structure, CTO
________________. stands for ______________.

(a) Organisational policies (a) Chief Telecom Officer

(b) Organisational culture (b) Chief Technical Officer
(c) Organisational leadership (c) Chief Transmission Officer
(d) Organisational structure (d) Chief Tele-communication Officer

(Q-165). Organisational structure once established (Q-171). In the context of organisational structure,
may have to be changed due to several factors. Which CISO stands for ______________.
of the following is not a factor that may cause the (a) Chief Information System Officer
organisational structure to get changed? (b) Chief Intelligence Security Officer
(a) Short- and long-term objectives (c) Chief Information Security Officer
(b) Market conditions (d) Chief Information Software Officer
(c) Regulation (Q-172). Which of the following job position is not
(d) Career advancement covered under the Executive Management team of
(Q-166). Which of the following statement is incorrect organisational IT structure?
about the organisational structure? (a) Chief Information Officer
(a) To function properly, organisation needs a (b) Chief Technical Officer
proper organisational structure (c) Chief Security Officer
(b) Organisational structure is a living structure (d) Chief Media Librarian
that is established once in the lifetime (Q-173). Positions in the _____________ in the
(c) Available talent is one of the reasons that may organisational IT structure are involved in design,
cause the changes in the organisational development, and testing of the software applications
structure of the entity of the organisation.
(d) New regulations may cause the entity to make
changes in its organisational structure (a) Network Management
(b) Data Management
(Q-167). In the context of organisational structure, CPO (c) Software Development
stands for ______________. (d) Systems Management
(a) Chief Policy Officer (Q-174). Positions in the ___________ in the
(b) Chief Protection Officer organisational IT structure are involved in developing
(c) Chief Privacy Officer & implementing database design and databases
(d) Chief Programming Officer maintenance.
(Q-168). In the context of organisational structure, CIO (a) Network Management
stands for ______________. (b) Data Management
(a) Chief Intelligence Officer (c) Software Development
(b) Chief Investigation Officer (d) Systems Management
(Q-175). Positions in the ___________ in the (b) Security Engineer
organisational IT structure are involved in designing, (c) Security Auditor
building, monitoring, and maintaining voice and data (d) Systems Operator
communications networks.
(Q-181). Which of the following job position is not
(a) Network Management covered under the Systems Management team of
(b) General Operations organisational IT structure?
(c) Software Development
(a) Systems Architect
(d) Systems Management
(b) Systems Engineer
(Q-176). Positions in the ___________ in the (c) Systems Operator
organisational IT structure are responsible for (d) Storage Engineer
architecture, design, building, and maintenance of
(Q-182). Which of the following job position is not
servers and operating systems.
covered under the Network Management team of
(a) General Operations organisational IT structure?
(b) Data Management
(a) Network Architect
(c) Software Development
(b) Network Engineer
(d) Systems Management
(c) Network Administrator
(Q-177). Positions in the ___________ in the (d) Network Auditor
organisational IT structure are responsible for day-to-
(Q-183). Positions in the ____________ in the
day operational tasks related to networks, servers,
organisational IT structure are responsible for
databases, and applications.
providing front line support services.
(a) General Operations
(a) Security Desk
(b) Security Operations
(b) Help Desk
(c) Software Development
(c) Service Desk
(d) Systems Management
(d) Systems Desk
(Q-178). Positions in the ___________ in the
(Q-184). ___________ position is responsible for
organisational IT structure are responsible for
providing front line user support services to personnel
designing, building, and monitoring security systems
in the organization.
and security controls, to ensure the confidentiality,
integrity, and availability of information systems. (a) Security Desk Analyst
(b) Help Desk Analyst
(a) General Operations
(c) Technical Support Analyst
(b) Security Operations
(d) Systems Desk Analyst
(c) Software Development
(d) Systems Management (Q-185). ___________ position is responsible for
providing technical support services to other IT
(Q-179). Which of the following job position is not
personnel and customers.
covered under the General Operations team of
organisational IT structure? (a) Security Desk Analyst
(b) Help Desk Analyst
(a) Operations Manager
(c) Technical Support Analyst
(b) Media Librarian
(d) Systems Desk Analyst
(c) Systems Operator
(d) Systems Administrator (Q-186). ___________ position is responsible for
performing internal audits of IT controls to ensure that
(Q-180). Which of the following job position is not
they are operating properly.
covered under the Security Operations team of
organisational IT structure? (a) Security Auditor
(b) System Auditor
(a) Security Architect
(c) Support Auditor
 (d) Information Systems Auditor (Q-193). ______________ position is responsible for
designing, building & maintaining the storage
(Q-187). ___________ position is responsible for the
subsystems.
design of security controls and systems such as
authentication, audit logging, intrusion detection (a) Storage Engineer
systems, intrusion prevention systems, and firewalls. (b) Data Engineer
(c) System Engineer
(a) Security Architect
(d) Database Engineer
(b) Systems Architect
(c) Network Architect (Q-194). ___________ position works with different
(d) Database Architect telecommunications technologies such as data circuits,
phone systems etc.
(Q-188). ___________ position is responsible for the
overall architecture of systems (servers) both in terms (a) Network Engineer
of the internal architecture of a system, as well as the (b) Telecom Engineer
relationship between systems. (c) System Engineer
(d) Database Engineer
(a) Security Architect
(b) Systems Architect (Q-195). ___________ position performs tasks that are
(c) Network Architect junior to the database administrator like carrying out
(d) Database Architect routine data maintenance and monitoring tasks.

(Q-189). ___________ position designs data and voice (a) Database Architect
networks and designs changes and upgrades to the (b) Database Analyst
network as needed. (c) Database Administrator
(d) Database Engineer
(a) Security Architect
(b) Systems Architect (Q-196). ___________ builds and maintains databases
(c) Network Architect designed by database architect. They also monitors
(d) Database Architect databases performance & troubleshoots problems.

(Q-190). ___________ position is responsible for (a) Database Architect

developing the logical and physical designs of data (b) Database Analyst
models for the applications. (c) Database Administrator
(d) Database Engineer
(a) Security Architect
(b) Systems Architect (Q-197). ___________ position is responsible for
(c) Network Architect monitoring batch jobs, data entry work, and other
(d) Database Architect tasks to make sure that they are operating correctly.

(Q-191). Job titles in the IT field should be consistent (a) Control Architect
across the organizations. Which of the following is not (b) Control Analyst
a reason for the same? (c) Control Administrator
(d) Control Engineer
(a) Recruiting
(b) Compensation baselining (Q-198). ___________ position may be responsible for
(c) System Analysis examining the health of networks, systems, and
(d) Career advancement databases and for this, he develops operational
procedures, sets and monitors the operations schedule
(Q-192). ___________ position is responsible for
and maintains operations records.
maintaining & tracking backup tape and other media.
(a) Operations Architect
(a) Data Librarian
(b) Operations Analyst
(b) Media Librarian
(c) Operations Administrator
(c) System Librarian
(d) Operations Engineer
(d) Database Librarian
(Q-199). ___________ conduct tests to ensure the (a) Users Management
software created by developers is fit for purpose. (b) Segregation of Duty
(c) Identity Separation
(a) Data Tester
(d) Reduce access privileges
(b) Software Tester
(c) System Tester (Q-206). Which of the following is not a SOD control?
(d) Operations Tester
(a) Transaction Authorization
(Q-200). ___________ position is responsible for the (b) Split custody of high-value assets
protection and use of personal information and mostly (c) Periodic reviews
found in the companies that collect & store sensitive (d) Reduce access privileges
information for large numbers of persons.
(Q-207). Segregation of Duties helps to reduce the
(a) Chief Security Officer possibility of a person being both the __________ and
(b) Chief Protection Officer the ___________ of the frauds committed.
(c) Chief Privacy Officer
(a) Creator, Originator
(d) Chief Publication Officer
(b) Preparator, Manager
(Q-201). ___________ is responsible for all aspects of (c) Preparator, Identifier
security, including information security, physical (d) Preparator, Concealer
security etc.
(Q-208). For mitigating SOD issue, management can:
(a) Chief Security Officer
(a) Reduce access privileges:
(b) Chief Technical Officer
(b) Introduce a new mitigating control
(c) Chief Privacy Officer
(c) Have periodic reviews
(d) Chief Information Security Officer
(d) Both (a) & (b)
(Q-202). ___________ is position is responsible for all
(Q-209). Consider the following statements about the
aspects of data-related security. It includes incident
segregation of duties:
management, disaster recovery, vulnerability
management etc. (i) Segregation of duty plays an important role in
the internal control mechanism
(a) Chief Security Officer
(ii) Having the split custody of high-value assets
(b) Chief Technical Officer
has no role in segregation of duties
(c) Chief Privacy Officer
(iii) Transaction authorization is an important
(d) Chief Information Security Officer
segregation of duty control
(Q-203). ___________ is position is responsible for an (iv) When segregation of duties issue arises in the
organization‘s overall technology strategy. company, management can introduce a new
mitigating control
(a) Chief Security Officer
(b) Chief Technical Officer Which of the above statements are correct?
(c) Chief Privacy Officer
(a) (i), (ii) & (iii) Only
(d) Chief Information Security Officer
(b) (ii) & (iv) Only
(Q-204). SOD stands for ________________. (c) (i), (iii) & (iv) Only
(d) (i) & (iii) Only
(a) Seclusion of Duty
(b) Segregation of Duty (Q-210). __________ is a form of banking that can be
(c) Selection of Duties done with the help of normal feature phone even
(d) System of Duty without internet connection.

(Q-205). The concept of ____________ ensures that (a) AEPS

single individuals do not possess excess privileges that (b) BHIM UPI
could result in unauthorized activities. (c) USSD
(d) UDSS
(Q-211). In an inter-university competition on Artificial
Intelligence, four students develop software which
perform the following different functions. Which of the
following is most likely to be an Artificial Intelligence
software?
(a) Calculation software which arrives at the
arithmetic total of figures keyed in
(b) A password system which allows access based
upon entry of the correct password
(c) Predictive & self-learning word-processor
(d) A software which accepts dates only in
numeric format dates
(Q-212). Online virtual assistants like Siri or Alexa are
capable of executing commands given through natural
voice because of __________ technology.
(a) Putting your intelligence into Computer
(b) Programming with your own intelligence
(c) Making a Machine intelligent
(d) Using an intelligent software
(Q-217). Consider the following statements about
artificial intelligence (AI) & machine learning:
(i) Artificial intelligence and machine learning are
related technologies
(ii) Search engines like Google search, online
assistant like Apple Siri, Amazon Alexa etc. also
uses these technologies
(iii) With the passage of time, these technologies
are getting irrelevant
(iv) Though very useful, both AI and machine
learning have their security concerns

(a) Structured Query Language Which of the above statements are correct?
(b) Mobile Computing
(a) (i), (ii) & (iv) Only
(c) Artificial Intelligence
(b) (ii) & (iv) Only
(d) Internet of Things (IoT)
(c) (ii), (iii) & (iv) Only
(Q-213). In the large organisations, AI generally means (d) (i) & (iii) Only
_________ & BI means ________________.
(Q-218). Consumer Protection Act, ___________.
(a) Advanced Intelligence, Basic Intelligence
(a) 2000
(b) Advanced Intelligence, Business Intelligence (b) 1999
(c) Artificial Intelligence, Business Intelligence (c) 1986
(d) Artificial Intelligence, Basic Intelligence (d) 1992
(Q-214). Today many automobile and technology (Q-219). Foreign Trade (Development and Regulation)
related companies are developing the self-driving Act, ___________.
autonomous vehicles, unmanned drones etc.
According to you, which of the following two (a) 1993
technologies have made it possible? (b) 1994
(c) 1986
(e) Cloud Computing, Grid Computing (d) 1992
(f) Data Mining, Data Warehousing
(g) Artificial Intelligence, Machine Learning (Q-220). The Competition Act, ___________.
(h) Internet of Things (IoT), Mobile Computing
(a) 2000
(Q-215). ______________ focuses on the development (b) 2005
of computer programs that can change itself when (c) 2002
exposed to new data or circumstances without being (d) 1992
explicitly programmed.
(Q-221). Web 3.0 is also known as _____________.
(e)
(a) Machine Learning (a) The social web
(f)
(b) Mobile Computing (b) The systematic web
(g)
(c) Internet of Things (IoT) (c) The semantic web
(h)
(d) Machine Computing (d) The sensitive web
(Q-216). Which of the following is the closest (Q-222). __________ is considered as next logical
description of Artificial intelligence? evolution of internet and web technologies.
 (a) Web 2.0 (i) It is the second generation of web which works
(b) Web 3.0 on read, write and execute concept
(c) Web Next (ii) Two of the components of web 3.0 are
(d) Web 2.1 semantic web and web services
(iii) It is considered as next logical evolution of
(Q-223). CRT stands for ___________ & LCD stands for
internet and web technologies
____________.
(iv) It works on user behaviour and providing web
(a) Crystal Ray Tube, Liquid Crystal Display content depending upon the interest of
(b) Cathode Ray Tube, Liquid Crystal Display individual users
(c) Cathode Ray Tube, Light Crystal Display
Which of the above statements are correct?
(d) Cathode Ray Tube, Liquid Cathode Display
(a) (i), (ii) & (iv) Only
(Q-224). Web 3.0 is a ____________________.
(b) (ii) & (iv) Only
(a) Read only web (c) (ii), (iii) & (iv) Only
(b) Read and write web (d) (i) & (iii) Only
(c) Read and execute web
(Q-230). There is one-to-one marketing in case of
(d) Read, write and execute web
____________.
(Q-225). The component of Web 3.0 are ___________
(a) Traditional commerce
and _____________.
(b) Physical commerce
(a) Semantic web, Systematic web (c) E-commerce
(b) Semantic web, Context web (d) Retail commerce
(c) Semantic web, Web services
(d) Context web, Web services

(Q-226). The websites like Facebook, Twitter, YouTube

etc. are based on _________ technology.

(a) Web 2.0

(b) Web 3.0
(c) Web Evolved
(d) Web 2.1

(Q-227). There is __________ user interaction in case

of web 3.0 websites.

(a) Almost nil

(b) Moderate
(c) Very high
(d) Very basic

(Q-228). Pick the incorrect statement about Web 3.0?

(a) It works on semantic web technology

(b) Web 3.0 is more connected and intelligent web
using machine learning, AI etc.
(c) It is also called the social web
(d) Main programing language of web 3.0 are RDF,
OWL etc.

(Q-229). Consider the following statements about Web

3.0:
1 (c) 31 (b) 61 (b) 106 (a)
2 (d) 32 (c) 62 (a) 107 (c)
3 (a) 33 (b) 63 (b) 108 (d)
4 (d) 34 (b) 64 (c) 109 (d)
5 (d) 35 (a) 65 (a) 110 (a)
6 (c) 36 (b) 66 (d) 111 (b)
7 (c) 37 (b) 67 (b) 112 (d)
8 (a) 38 (c) 68 (a) 113 (b)
9 (d) 39 (b) 69 (c) 114 (d)
10 (b) 40 (d) 70 (d) 115 (d)
11 (a) 41 (c) 71 (d) 116 (a)
12 (d) 42 (c) 72 (d) 117 (d)
13 (a) 43 (d) 73 (b) 118 (a)
14 (c) 44 (c) 74 (a) 119 (a)
15 (b) 45 (a) 75 (c) 120 (d)
16 (a) 46 (c) 76 (d) 121 (b)
17 (a) 47 (d) 77 (b) 122 (a)
18 (d) 48 (c) 78 (c) 123 (d)
19 (a) 49 (a) 79 (d) 124 (c)
20 (c) 50 (a) 80 (c) 125 (b)
21 (d) 51 (d) 81 (b) 126 (c)
22 (d) 52 (c) 82 (a) 127 (c)
23 (b) 53 (c) 83 (c) 128 (d)
24 (a) 54 (b) 84 (b) 129 (b)
25 (b) 55 (b) 85 (d) 130 (c)
26 (d) 56 (c) 86 (c) 131 (d)
27 (c) 57 (c) 87 (b) 132 (d)
28 (b) 58 (d) 88 (d) 133 (c)
29 (b) 59 (b) 89 (b) 134 (a)
30 (a) 60 (a) 90 (a) 135 (b)
91 (c) 136 (c)
92 (b) 137 (b)
93 (c) 138 (c)
94 (c) 139 (d)
95 (d) 140 (c)
96 (d) 141 (d)
97 (b) 142 (c)
98 (b) 143 (b)
99 (b) 144 (d)
100 (c) 145 (a)
101 (d) 146 (b)
102 (a) 147 (c)
103 (c) 148 (d)
104 (c) 149 (b)
105 (b) 150 (b)
151 (d) 196 (c)
152 (a) 197 (b)
153 (a) 198 (b)
154 (a) 199 (b)
155 (a) 200 (c)
156 (b) 201 (a)
157 (c) 202 (d)
158 (a) 203 (b)
159 (d) 204 (b)
160 (a) 205 (b)
161 (c) 206 (d)
162 (a) 207 (d)
163 (d) 208 (d)
164 (d) 209 (c)
165 (d) 210 (c)
166 (b) 211 (c)
167 (c) 212 (c)
168 (c) 213 (c)
169 (b) 214 (c)
170 (b) 215 (a)
171 (c) 216 (c)
172 (d) 217 (a)
173 (c) 218 (c)
174 (b) 219 (d)
175 (a) 220 (c)
176 (d) 221 (c)
177 (a) 222 (b)
178 (b) 223 (b)
179 (d) 224 (d)
180 (d) 225 (c)
181 (c) 226 (b)
182 (d) 227 (c)
183 (c) 228 (c)
184 (b) 229 (c)
185 (c) 230 (c)
186 (a)
187 (a)
188 (b)
189 (c)
190 (d)
191 (c)
192 (b)
193 (a)
194 (b)
195 (b)
 (d) Unrelated Diversification

(Q-7). Which of the following is not an example of

(Q-1). Which strategy seeks to increase market share
when an organization should adopt an unrelated
of present products or services in present markets
diversification strategy?
through greater marketing efforts?
(a) When revenues derived from organization’s
(a) Market Penetration
current products or services would increase
(b) Market Development
significantly by adding the new unrelated
(c) Backward Integration
products or services
(d) Product Development
(b) When organization’s present channels of
(Q-2). When a domestic company first begins to export distribution can be used to market the new and
to Japan, it is an example of ___________. unrelated products to the customers
(c) When new products is going to have positive
(a) Horizontal Integration effect on the organization’s present products
(b) Backward Integration (d) When organization has weak and ineffective
(c) Concentric Diversification management team
(d) Market Development
(Q-8). Indus Mart, a country wide retail chain store is
(Q-3). Which strategy generally entails large research closing one-third of its stores and eliminating 30,000
and development expenditures on the existing product jobs in an attempt to avert liquidation. It would be an
so to refine it or upgrade it but for the existing example of __________.
customers and market?
(a) Stability
(a) Market Penetration (b) Backward integration
(b) Retrenchment (c) Retrenchment
(c) Product Development (d) Forward integration
(d) Market Development
(Q-9). What kind of strategy is retrenchment?
(Q-4). All of the following situations are conducive to
market development except: (a) A turnaround strategy
(b) An expansion strategy
(a) When new untapped markets exist (c) A diversification strategy
(b) Organization has excess production capacity (d) An offensive strategy
(c) When an organization’s domestic industry is
becoming rapidly global in scope (Q-10). Retrenchment would be an effective strategy
(d) When organization operates in high-growth when an organization ___________.
industry
(a) Has grown so quickly that it need to spend
(Q-5). Which strategy is appropriate when organization some time in consolidating its business
competes in an industry characterized by rapid (b) Is one of the strongest competitors in the
technological developments? industry it operates in
(c) Is plagued by inefficiency, low profitability, low
(a) Market Penetration employee morale, external pressure etc.
(b) Retrenchment (d) Has decided to capitalize on opportunities by
(c) Product Development taking advantages of its strengths
(d) Liquidation
(Q-11). Which strategy should be implemented when a
(Q-6). Which strategy should an organization adopt if it division is responsible for organization’s consistently
competes in an industry having no growth or very slow- overall poor performance?
growth for a very long time?
(a) Liquidation Strategy
(a) Forward Integration (b) Divestment Strategy
(b) Related Diversification (c) Integration Strategy
(c) Liquidation (d) Cost Leadership Strategy
(Q-12). Selling off the entire assets of a company in (c) Alliances
parts is called ____________. (d) Both (b) & (c)

(a) Turnaround
(b) Divestment
(c) Diversification
(d) Liquidation
(Q-13). According to Michael Porter, which strategy
offers products or services to a small range of
customers at the lowest possible price available on the
market?
(a) Broad Low-Cost
(b) Low-Cost Focus
(c) Best-Value Focus
(d) Focused Differentiation
(Q-14). Under which of the following situation would a
cost leadership strategy be effective?
(a) When there are many ways to differentiate the
product or service and many buyers perceive
these differences as having value
(b) When buyer needs and uses are diverse
(c) When technological change is fast paced and
market competition revolves around the
rapidly evolving product features
(d) When the products of rival sellers are
essentially identical and supplies are readily
available from any sellers
(Q-15). Under which of the following situation would a
differentiation strategy be especially effective?
(a) When the target market is composed of buyers
who do not consider differentiating features as
of much value
(b) When the products of rival sellers are
essentially identical and supplies are readily
available from any available seller
(c) When technological change is fast paced and
competition in the market revolves around
rapidly evolving product features
(d) When industry do not offer much scope for the
differentiating features and attributes
(Q-16). When two or more companies enters into a
temporary partnership or consortium for the purpose
of capitalizing some opportunity, it is known as
_______________.
(a) Retrenchment
(b) Joint venture
(Q-17). All of the following falls under the scope of joint
venture or strategic alliances except:
(a) R&D partnerships
(b) Cross-branding agreements
(c) Cross-manufacturing agreements
(d) Developing proprietary patents
(Q-18). Which of the following is not a reason of the
failure of joint ventures?
(a) Managers who must collaborate in operating the
venture successfully are not involved in
managing the venture
(b) The venture may not be supported equally by
both the partners
(c) The venture may benefit the partnering
companies but not benefiting the customers who
then complain about poor service or criticize the
companies in social media
(d) Stakeholders of both the partner companies are
equally satisfied
(Q-19). When two organizations of about equal size
unite to form one enterprise, which of these occurs?
(a) Takeover
(b) Merger
(c) Acquisition
(d) Leveraged Buyout
(Q-20). Mergers and acquisitions are created for all of
the following reasons except to __________.
(a) Gain new technology
(b) Reduce overall tax obligations
(c) Gain economies of scale
(d) Increase the total number of employees
(Q-21). Which of the following statement best
describes a company's competitive strategy?
(a) What its strategy should be in the functional
areas as R&D, production, sales, human
resource, finance etc.
(b) Its efforts to change its position on the industry's
strategic group map
(c) .Become cost leader in the market by offering the
low-cost products to a broad range of customers
(d) Management's game plan for competing
successfully in the competitive marketplace
(Q-22). Which of the following is the situation that
leads to competitive advantage to the entity?
(a) It is the acknowledged leader in the industry in
terms of market share
(b) It has more financial resources than its rivals
(c) It has a strong balance sheet and low debt
(d) It has some type of edge over rivals in terms of
attracting customers
(Q-23). Which of the following is not one of the generic
competitive strategies recommended by Michael
Porter?
(a) Low-cost provider strategy
(b) Broad differentiation strategy
(c) Focused low-cost provider strategy
(d) Market share dominator strategy
(Q-24). Which one of the following strategy is typically
the best strategy for a company to employ?
(a) Low-cost leadership strategy
(b) Broad differentiation strategy
(c) Focused low-cost provider strategy
(d) There is no such thing as a best strategy and it
will depend upon competitive conditions and
company's own strength & weaknesses
(Q-25). You are considering to acquire a company
named Ben Ltd. It has not grown much in recent years
probably because the industry it operates in is flat for
a quite long time. However due to very low debt and a
strong market share, it generates a huge amount of
cash. According to BCG Matrix, Ben Ltd. would be
considered a ____________.
(a) Cash Cow
(b) Star
(c) Question Mark
(d) Dog
(Q-26). Recently, you acquired a company that
manufactures transmission satellites used in the cable
television market. The transmission satellites industry
is profitable and growing at a rapid pace, however
currently the company you acquired has a very limited
market share. As per the BGC Matrix, the company you
purchased will be considered as a ___________.
(a) Cash Cow
(b) Star
(c) Question Mark
(d) Dog
(Q-27). B Ltd., a large FMCG group is considering to
diversify in the fast food and beverages industry. This
industry is already having many large players with
thousands of fast food and beverages outlets. B Ltd. is
considering to acquire a local coffee-shop chain with 25
outlets in the city. B Ltd. don’t see the growing very
much, but the deal could be obtained at a very
attractive price. As per BCG matrix, the coffee chain will
be labelled as a _____________.
(a) Cash Cow
(b) Star
(c) Question Mark
(d) Dog
(Q-28). You are the owner of InstaRock Ltd. that
manufactures and sells consumer electronics items.
Your oldest supplier, Apple Co. is a family-owned firm.
Recently, the firm’s president, Mohan Das made the
decision to retire. To his disappointment, none of his
two children stepped forward to take his place in the
company. Mr. Mohan is concerned that if he sells his
company to a larger entity, many of his employees will
lose their jobs. You approach him to buy Apple Co. and
continue its current operations. Should your offer be
accepted, InstaRock Ltd. would be undertaking a
___________ strategy.
(a) Concentric Diversification
(b) Horizontally Integration
(c) Forward vertical integration
(d) Backward vertical integration
(Q-29). You are the owner of KKC Restaurants, a large
fast food chain having nation-wide operations. You’ve
decided to purchase the controlling interest in the
Oriental fast-food restaurants having a restaurant
chain of over 500 restaurants. This move by KKC
Restaurants represents _________ strategy.
(a) Unrelated Diversification
(b) Horizontally Integration
(c) Forward vertical integration
(d) Backward vertical integration
(Q-30). You are the owner of Delicious Food Plaza, a
large fast food chain having nation-wide operations.
You decide to purchase a small hardware company as
it represents a good investment opportunity due to the
growing real-estate development activities. This is an
example of _____________.
(a) Unrelated Diversification
 (b) Horizontally Integration (Q-35). Which of the following statement best refers
(c) Forward vertical integration the Strategic mission?
(d) Backward vertical integration
(a) is a statement of a firm's unique purpose and
(Q-31). Akashay Kumar runs a successful company that scope of operations
sells home gardening tools and equipment’s. He is (b) is an internally focused statement of the
approached by a competitor who is nearing retirement organization's societal and ethical goals
age. The competitor is interested in selling his business (c) specifies the industry in which the firm intends to
to Akashay. For Akashay, this would be a __________ compete
strategy. (d) is developed by a firm before the firm develops
its strategic intent
(a) Unrelated diversification
(b) Horizontal integration (Q-36). Switching costs refer to the ___________.
(c) Vertical integration
(a) Cost to a producer to exchange equipment in a
(d) Concentric diversification
facility when a new technologies emerge
(Q-32). Mukesh Kumar runs a successful company that (b) Cost of changing the firm's strategic group
sells home gardening tools and equipment’s. He is (c) Costs suppliers incur when selling to a different
approached by a company that sells the seeds and customer
fertilizers for the home garden plants and flowers. If (d) Readjustments related costs customers incur
Akashay acquires that company, this would be a when buying from a different supplier
__________ strategy.
(Q-37). Suppliers are powerful when:
(a) Unrelated diversification
(a) Substitutes are readily available
(b) Horizontal integration
(b) Nature of product sold is not crucial to the
(c) Vertical integration
buyer’s needs
(d) Concentric diversification
(c) They represents a credible threat of forward
(Q-33). Once a company has assessed all the five forces integration
of competitive pressure and determined the threats (d) They are highly fragmented in nature
and opportunities that exist in the current
(Q-38). Buyers are powerful when:
environment, then it should select an appropriate
competitive strategy. Porter outlines three “generic” (a) There is not a threat of backward integration
strategies namely cost leadership, differentiation, and (b) They are not a significant purchaser of the
____________. supplier's output
(c) There are no switching costs
(a) Niche
(d) The buyers are fragmented in nature
(b) Differentiation
(c) Focus (Q-39). Upper limits on the prices a firm can charge are
(d) Stuck in the middle impacted by _____________
(Q-34). The strategic management process is a: (a) Total costs of production
(b) The cost of related substitute products
(a) Set of activities, steps, plans, procedures and
(c) Variable costs of production
methods that guarantees to prevent the
(d) Customer’s switching costs
organizational failure
(b) Process concerned with a firm's resources, (Q-40). Tangible resources of organisation include:
capabilities, and competencies, but not the
conditions in its external environment (a) Assets such as know-how
(c) Set of activities that to date have not been used (b) Assets that can be seen and quantified
successfully in the not-for-profit sector (c) Organizational culture
(d) Dynamic process involving set of planning, (d) Firm's reputation
commitments, decisions, and actions related to (Q-41). Firm adopting cost leadership strategy should
the firm provide the goods or services with features that are:
 (a) Acceptable to customers
(b) Unique in the market
(c) Highly valued by the customer
(d) Able to meet unique needs of the customer
(Q-42). When the costs of supplies increase in the
industry, the low-cost leader may __________.
(a) Continue competing with rivals on the basis of
product’s unique features and attributes
(b) Lose customers as a result of price increases
(c) Make find it difficult to survive in the market
(d) Be able to bear the higher input prices and
continue to earn the average returns
(Q-43). The risks of a cost leadership strategy includes
____________.
(a) Competitors may imitate the successful cost
leadership strategy
(b) Technology breakthroughs may make cost-
leadership strategy ineffective
(c) Customers may not value the differentiating
features and pay the premium prices
(d) Both (a) and (b)
(Q-44). A differentiation strategy provides products
that customers perceive as having ___________.
(a) Acceptable features
(b) Features of little value relative
(c) Features for which customer will pay low price
(d) Features that are unique for the customers
and for which they are willing to pay a
premium price
(Q-45). The differentiation strategy can be effective in
dealing with the existing competitors in an industry
because ___________.
(a) Customers will seek out the lowest price
product available in the market
(b) Customers of differentiated products are
sensitive to price increases
(c) Customers are loyal to the brands that are
differentiated in meaningful ways
(d) Differentiation strategy may be copied by the
competitors if it proves successful
(Q-46). When implementing a focus strategy, the firm
seeks ______________.
(a) To be the lowest cost producer in an industry
(b) To offer products with unique features or
attributes for which customers will be willing
to pay a premium price
(c) To undercut the competitor in terms of price
(d) To serve the specialized needs of a specific
market segment
(Q-47). Which of the following statement is best
associated with the nine-cell matrix?
(a) Indicates which businesses are the cash cows
or dogs
(b) Indicates what strategic alternative entity
should opt based on industry life cycle and
firms competitive position in the market
(c) Useful for deciding which businesses should
have high, medium or low priorities in
allocating the corporate resources
(d) Indicates what should be growth strategy
based on the product market combination of
the entity
(Q-48). Which of the following statement best
describes a "cash cow" type of business?
(a) Generates high returns on investment and
operates in a high growth industry
(b) Is very profitable with low no long-term debt
but operates with low market share
(c) Generates positive cash flows over and above
its requirements, thus can be used for
financing new acquisitions, investments
(d) Struggles to generate enough cash flow in the
high growth market
(Q-49). Conglomerate diversification is another name
for which of the following?
 (a) Related diversification (Q-55). Question mark in the BCG Matrix refers an
(b) Unrelated diversification investment, which ___________.
(c) Portfolio diversification
(a) Yields low current income but has bright
(d) Integrated diversification
growth prospects
(Q-50). Under which of the following strategies entity (b) Yields high current income and has bright
sells its existing products with no modifications to growth prospects
existing customers with new marketing strategies? (c) Yields high current income and has bleak
growth prospects
(a) Market development
(d) Yields low current income and has bleak
(b) Market penetration
growth prospects
(c) Horizontal integration
(d) Product development (Q-56). Which of the following statement describes
Benchmarking the best?
(Q-51). An example of _____________ strategy is to
establish website to sell directly to consumers. (a) The analytical tool to identify high cost
activities in the organisation
(a) Backward Integration
(b) The search for industries best practices that
(b) Conglomerate Diversification
lead to superior performance
(c) Concentric Diversification
(c) The cost reduction schemes that helps the
(d) Forward Integration
entity to become cost leader in the market
(Q-52). Which of the following is not an appropriate (d) The framework that creates a linkage of the
situation for pursuing liquidation? organisation with its suppliers & customers

(a) When divestment strategy adopted but (Q-57). The essential ingredients of Business Process
proved to unsuccessful Re-engineering are:
(b) When organization's only remaining feasible
(a) Continuous improvements of products,
alternative is bankruptcy
processes and technologies
(c) When stockholders of the firm can minimize
(b) Planning in the areas of technologies, research
their losses by selling the firm's assets
and development etc.
(d) When the organization has successfully
(c) Fundamental rethinking and radical redesign
implemented retrenchment strategy
of processes to achieve dramatic results
(Q-53). A strategy that occurs when two or more (d) Adopting industries best practices that lead to
companies form a temporary partnership or superior performance
association for capitalizing on some opportunity is
(Q-58). A company’s actual strategy is _________.
called ____________.
(a) Mostly hidden to outside view and is known
(a) Merger
.only to the corporate-level managers
(b) Joint Venture
(b) Planned well in advance and deviates little
(c) Acquisition
.from the planned set of actions
(d) Takeover
(c) Mostly a function of the strategies being used
(Q-54). _________ includes increasing the number of by rival companies particularly those
salespersons, increasing advertising expenditures, companies that are industry leaders
offering extensive sales promotion items or increasing (d) Partly proactive and partly reactive to the
publicity efforts so to increase the market share of the .changing circumstances
organisation’s products or services.
(Q-59). The strategy of the TATA Group in India could
(a) Market Development be viewed as a good example of ____________.
(b) Product development
(a) Conglomerate Diversification
(c) Horizontal integration
(b) Market Development
(d) Market penetration
(c) Cost Leadership
 (d) Concentric Diversification (Q-66). Which of the following cannot be the treated
as a strength of an organization?
(Q-60). The Product Market matrix comprising of
Strategies of Penetration, Market Development, (a) Good Industrial relations
Product Development and Diversification was first (b) Incentives from State Government
formulated by _____________. (c) Financially very sound
(d) Raw materials source at a distance
(a) Igor Ansoff
(b) Peter Drucker (Q-67). Amul Ltd. produces a popular flavored milk
(c) Michael Porter called Amul Cool Milk. Amul has launched new
(d) Ramen Andrews advertisement campaign that says, ‘Have Amul Cool
Milk with tea and coffee too’. Amul Ltd. is most
(Q-61). If an organisation acquires its supplier to get
probably pursuing _______________ strategy.
the better control over its supply chain, it is an example
of ____________. (a) Market Development
(b) Product Development
(a) Horizontal integration
(c) Market Penetration
(b) Forwards vertical integration
(d) Diversification
(c) Backwards vertical integration
(d) Concentric integration (Q-68). Consider the following statements:

(Q-62). In product life cycle, ‘cash cows’ indicates:
(a) High share, high growth, negative cash flow
(b) Low share, low growth, negative cash flow
(c) High share, low growth, positive cash flow
(c) Low share, high growth, positive cash flow
(Q-63). The ADL Portfolio Matrix suggested by Arthur
D. Little consists of __________ cells.
(i) Competitive strategy is designed to help firms
achieve competitive advantage
(ii) Growth share matrix is popularly used for
resource allocation
(iii) Core competence is a unique strength of
organization which is also shared by others
(iv) Liquidation is the last resort option for a
business

(a) Nine Which of the above statements are correct?

(b) Six
(a) (i), (ii), (iii), (iv)
(c) Eighteen
(b) (i), (ii), (iii), only
(d) Twenty
(c) (i), (ii), (iv) only
(Q-64). As per __________, ‘Dominant’ position (d) (i), (iv) only
denotes a situation where the Business enjoys a
(Q-69). Mr. Amar is the manager of a small sports retail
monopoly position or has very strong position.
chain Reebee. Reebee is trying hard to better position
(a) BCG Matrix itself in the sports industry and get profitable. He has
(b) GE Nine Cell Matrix investigated the company's internal resources and
(c) Michael Porter Five Forces Model situational factors, as well as factors and trends in the
(d) ADL Matrix competitive sports retail chain market. Which of the
following has Amar completed?
(Q-65). The existence of price-wars in the airline
industry in indicates __________. (a) SWOT Analysis
(b) Business Portfolio Analysis
(a) Customers are relatively weak because of the (c) Business Life Cycle Analysis
high switching costs (d) Marketing Mix Analysis
(b) Industry is moving towards decline phase
(c) Competitive rivalry in the industry is intense (Q-70). When the four Ps are compared to the four Cs,
(d) Economy is moving towards recession and it is product and place are called _________ and
an early warning signal of it _________, respectively.

(a) Convenience; Customer Solution

 (b) Customer Cost; Convenience
(c) Communication; Customer Solution
(d) Customer Solution; Convenience
(Q-71). Ms. Sunita is the director of marketing for Surya
Ltd., a company that sells industrial vehicles and heavy
construction machines. She is developing a marketing
plan to cover the next five to seven years of the
company. Which of the following is an uncontrollable
factor that Ms. Sunita must consider in her marketing
plan?
(a) Distribution factors
(b) Economic factors
(c) Promotional factors
(d) Warranty and after sales services factors
(Q-72). Family Mega Mart is facing a tough time and is
planning to lower prices in an effort to encourage
customers to visit more often, spend more time and
spend more money during each visit. What type of
strategy is Family Mega Mart planning?
(a) Market Penetration
(b) Market Development
(c) Product Development
(d) Customer Development
(Q-73). Amarpreet Manufacturing’s is a fast-growing
iron tools and equipment maker based in Andhra
Pradesh. It has five manufacturing facilities and
currently operating in twenty-six states of the country.
Its main product segment includes industrial tools,
home tools, industrial electronic and home electronics
division. Till now Amarpreet Manufacturing’s has
appointed four different managers who have managed
the different product groups of the company.
Considering the further growth opportunity,
Amarpreet Manufacturing’s is considering to
reorganize itself based on the areas it serves and
decided to curtail the managers from existing four to
three to head the North, East and Central divisions of
the company. Amarpreet Manufacturing is currently
using _______________ organisational structure and is
evaluating _______________ organisational structure.
(a) Functional, Division by Product
(b) Division by Product, Division by Geography
(c) Division by Geography, Division by Customer
(d) Division by Product, Functional
(Q-74). Fun & Family Ltd. began as a small amusement
park in 1988. With nothing more than few basic water
games, fun-rides, and an ice cream stand, Fun & Family
grew into a very popular family attraction with a theme
park, variety of water shows, variety of amazing rides,
a multi-cuisine restaurant, and an outdoor performing
arts theater. Today, thousands of families and children
of all ages, and even senior citizens enjoy visiting Fun &
Family. Apart from the ever-growing number of family
visitors, hundreds of companies hold their annual
company picnics for employees here. Fun & Family Ltd.
is also getting huge number of advance booking for the
corporate annual general meetings as well as a
wedding destination. Considering the huge growth
opportunity, the company is planning aggressive
expansion strategy with at least 4 to 5 new theme
parks and is considering to commit the investment of
₹8 Thousand to ₹10 Thousand crores. Into which of the
following quadrant of the BCG matrix does Fun &
Family fall?
(a) Star
(b) Question mark
(c) Cash-cow
(d) Dog
(Q-75). Through SWOT analysis organisations identify
their strengths, weaknesses, opportunities and
threats. While conducting the SWOT Analysis
managers are often not able to come to terms with the
strategic choices that the outcomes demand. In these
situations, TOWS matrix plays an important role and
helps the entity in selecting a suitable strategy. As per
TOWS Matrix, a company is in the best strategic
position if it in in ________________ position?
(a) SO
(b) ST
(c) WT
(d) WO
(Q-76). Family, Fun & You Ltd. began as a small
amusement park in 1990. With nothing more than few
basic water games, fun-rides, and an ice cream stand,
Family, Fun & You grew into a very popular family
attraction with a theme park, variety of water shows,
variety of amazing rides, a multi-cuisine restaurant,
and an outdoor arts theater. Today, thousands of
families and children of all ages, and enjoy visiting
Family, Fun & You. Apart from the ever-growing
number of family visitors, hundreds of companies hold
their annual company picnics for employees here.
Family, Fun & You Ltd. is also getting huge number of
advance booking for the corporate annual general
meetings as well as a wedding destination. The (a) Functional Strategy
company is planning aggressive expansion strategy (b) Business Strategy
with at least 4 to 5 new theme parks and is considering (c) Corporate Strategy
to commit the investment ranging from ₹5,000 Crores (d) All of the Above
to ₹7,000 crores. Which of the following would be
(Q-81). Which of the following bases of competitive
classified as an opportunity in a SWOT analysis of
advantage is more sustainable:
Family, Fun & You Ltd.?
(a) A customer perceived benefit based
(a) A rival amusement park announces plans to
competitive advantage
expand itself significantly
(b) Price-based competitive advantage
(b) A new luxury hotel is being constructed in the
(c) Cost-based competitive advantage
area where Family, Fun & You servers, with
(d) Revenue based competitive advantage
the aim of luring more high-spending families
on vacation (Q-82). Entering into a ‘project contract’ by MNCs is an
(c) Its employees are enthusiastic, young & very example of _____________.
customer friendly
(d) Family, Fun & You plans to further diversify its (a) Partial Ownership Alliance
offerings by beginning a three-week summer (b) Joint Venture Alliance
camp for primary school students (c) Equity Alliance
(d) Joint Ownership Alliance
(Q-77). The pharmaceuticals division of Lifelong
Healthcare Ltd. holds a low market share but operates (Q-83). Which of the following is true of a transnational
in high-growth market. Lifelong Healthcare Ltd. is Corporation?
exploring the ways it could increase the market share (a) They have subsidiaries but do not have
of its pharmaceuticals division. Currently as per BCG centralized management system
Matrix, the pharmaceuticals division is most likely to be (b) They have no subsidiaries but have centralized
classified as __________. In order to increase market management system
share, managers would be most likely to decide which (c) They do not have subsidiaries and do not have
of the following course of action? centralized management system
(a) Dog, Hold pharmaceuticals division's share (d) They have subsidiaries and have centralized
(b) Question Mark, Implement harvest strategy management system
(c) Question Mark, Use money from a cash cow (Q-84). Which of these basic questions should a vision
division to invest in pharmaceuticals division statement answer?
(d) Question Mark, Divest the SBU
(a) What is our business?
(Q-78). ‘Determinants Analysis’ falls in the purview of (b) Who are our competitors?
______________. (c) Where we are to go?
(a) External competitive strategy analysis (d) Why do we exist?
(b) Internal competitive strategy analysis (Q-85). The competencies or skills that a firm employs
(c) Strategic risk to transform inputs into outputs are:
(d) Competitive landscape
(a) Tangible resources
(Q-79). ‘Customer Analysis’ and ‘Market Analysis’ are (b) Intangible resources
the part of ______________. (c) Organizational capabilities
(a) Internal analysis (d) Reputational resources
(b) Strategy identification and selection (Q-86). The most probable time to pursue a harvest
(c) External Analysis strategy is in a situation of ____________.
(d) None of the above
(a) High growth
(Q-80). Geographical Diversification, Product (b) Decline in the market life cycle
diversification and Entry Mode are the domains of: (c) Strong competitive advantage
 (d) Mergers and acquisitions (Q-92). Best-cost provider strategy is related to
providing customers more value for money by:
(Q-87). A narrow market focus is to a differentiation-
based strategy as a ___________. (a) Highlighting on the low cost & low-quality
difference
(a) Broadly-defined target market is to a cost
(b) Emphasizing on the low cost & better-quality
leadership strategy
difference
(b) Growth market is to a cost-based strategy
(c) Producing high cost & low-quality difference
(c) Technological innovation is to a cost-based
(d) Managing high cost & low-quality difference
strategy
(d) Growth is to a differentiation strategy (Q-93). Arrange divestment, liquidation, stability and
turnaround strategies in order of preference for
(Q-88). Vertical integration may be beneficial when:
adoption by a typical organisation.
(a) Lower transaction costs and improved
(a) Turnaround, stability, liquidation & divestment
coordination are vital and achievable through
(b) Divestment, liquidation, stability & turnaround
vertical integration
(c) Stability, turnaround, liquidation & divestment
(b) Flexibility is reduced, providing a more
(d) Stability, turnaround, divestment & liquidation
stationary position in the competitive
environment (Q-94). Which of the following is not true for the core
(c) Various specializations will be lost competency?
(d) The minimum efficient scales of two
(a) It distinguishes a company competitively
corporations are different
(b) It is a source of competitive advantage
(Q-89). Individual investors are reliant on upon the (c) It is an individual skill and separate technique
organisation's managers to ___________. (d) It is often visible in the form of organizational
functions
(a) Maximize short-term returns in the form of
dividends (Q-95). Consider the following statements about
(b) Add value to their investments in a way that strategic management?
the stockholders could not accomplish on
(i) Strategic management provides framework for
their own
major decisions
(c) Achieve risk reduction at a lower cost than
(ii) Strategic management helps to enhance the
stockholders could obtain on their own
longevity of the business
(d) Diversify the stockholder's investments in
(iii) Strategic management is inexpensive process
order to reduce risk
(iv) Strategic management helps organisation to
(Q-90). When to organisations combine to increase be more reactive than proactive
their strength and financial gains along with breaking
Which of the following statements are correct?
the trade barriers is called ___________.
(a) (i) and (ii)
(a) Hostile takeover
(b) (i), (ii) and (iii)
(b) Liquidation
(c) (i), (ii) and (iv)
(c) Merger
(d) (i), (iii) and (iv)
(d) Acquisition
(Q-96). Which of the following statement is not true
(Q-91). Which of the following is not true for SBUs?
with regards to strategy?
(a) It is relevant for multi-product, multi-business
(a) Strategy reduces uncertainty
enterprises
(b) Strategy is long range blueprint of desired
(b) It provides for more control at enterprise level
position
with centralized strategic planning
(c) Strategy relates organisations to the external
(c) SBU has its own set of competitors
environment
(d) SBUs can be created for units at distant
(d) Strategy is perfect and flawless
geographical locations
(Q-97). The strategic management process is: (c) Consonance
(d) Feasibility
(a) a solution that guarantees prevention of
organizational failure (Q-103). According to Porter, which of the following is
(b) concerned with a resources, capabilities, and important to achieve competitive advantage?
competencies, but not the conditions in its
(a) Differentiation and cost advantage
external environment
(b) Outsourcing activities
(c) not to be used in not-for-profit organisations
(c) Strong relationship with buyer & sellers
(d) full set of commitments, decisions, and actions
(d) Focus on most competitive businesses
related to the firm
(Q-104). Which of the following statement is false?
(Q-98). Identify the incorrect statement:
(a) Strategic environment is complex
(a) In the organisation, processes involving
(b) Strategic environment is turbulent
interface with customers like manufacturing,
(c) High cost of strategy makes them useless for
research, design, etc. may require redesign
charitable organization
(b) Entity may redesign the processes to take . .
(d) Public sector units should implement strategy
.. the advantage of emerging technologies
(c) Today information technology is a critical . . (Q-105). Objectives should be:
. factor in the success of reengineering the .
business processes (i) Concrete and specific
(d) Milestone reviews is one of the type of .. (ii) Related to time frame
. . .implementation control (iii) Standards for performance appraisal

(Q-99). Which of the following statement is not true Which of the above statements are true?
about strategic decisions? (a) (i) & (ii)
(a) They need top-management involvement (b) (ii) & (iii)
(b) Involve commitment of large amount of (c) (i) & (iii)
organisational resources (d) (i), (ii) and (iii)
(c) They are based on external environment
(d) They have insignificant impact on the long-
term prosperity

(Q-100). Strategic decision making can take place at

three common levels of an organisation as follows:

(a) Divisional, group and individua.

(b) Executive, leader and manager
(c) Corporate, business and functional
(d) Strategic, tactical and operational

(Q-101). Which of the following is not a type of

diversification strategy?

(a) Vertical diversification

(b) Concentric diversification
(c) Conglomerate diversification
(d) Co-generic diversification

(Q-102). Which of the following does not form part of

Richard Rumelt’s criteria for strategy audit?

(a) Adaptation
(b) Consistency
(Q-106). Acquisition of a company producing (b) Industry Attractiveness
readymade garments by a company manufacturing (c) Business strength
yarn is an example of ___________. (d) Market Growth Rate

(a) Horizontal integration (Q-113). In GE 9 cell matrix, what is the label of the
(b) Horizontal Diversification vertical axis?
(c) Forward integration
(a) Relative Market share
(d) Backward integration
(b) Market Attractiveness
(Q-107). Which of the following can be used in (c) Business strength
retrenchment strategy? (d) Market Growth Rate

(a) Reducing assets (Q-114). As per 9 cell matrix, which of the following
(b) Operational improvement factor is not associated with market attractiveness?
(c) Cutting cost
(a) Size of the market
(d) All of the above
(b) Brand image
(Q-108). Decisions with regards to marketing mix are (c) Market growth rate
related to _______________. (d) Competitive intensity

(a) Growth Strategy (Q-115). As per GE 9 cell matrix, which of the following
(b) Business level strategy factor is not associated with business strength of the
(c) Functional strategy organisation?
(d) Corporate decisions
(a) Customer loyalty
(Q-109). The purpose of logistics management is (b) Brand image
(c) Production capacity
(a) Provide customer satisfaction
(d) Competitive intensity
(b) Create automation
(c) Procure better quality raw material (Q-116). Which of the following representative color is
(d) Manage inward and outward movement . . not used in the GE 9 cell matrix?
of goods
(a) Green
(Q-110). Who is a transformational leader? (b) Yellow
(a) Who brings organizational change (c) While
(b) A leader, who provides new ways of (d) Red
carrying out management (Q-117). As per the GE 9 cell matrix, retrenchment,
(c) A leader who inspires workers to new divestment or liquidation are the best strategic options
levels by offering them a vision of a better for a company to consider if the product falls in the
future ________ section?
(d) A leader who tries to transform their staff
by giving them rewards for what they do (a) Green
(b) Yellow
(Q-111). Which of the following is not a feature of the (c) While
government undertakings and departments? (d) Red
(a) Stakeholder issues are often conflicting (Q-118). As per GE 9 cell matrix, holding the position
(b) Job security is relatively high i.e. neither invest nor divest are the strategic options if
(c) The culture is highly political the product falls in the ________ section?
(d) Performance related rewards are common
(a) Green
(Q-112). In GE 9 cell matrix, what is the label of the (b) Yellow
horizontal axis? (c) While
(a) Relative Market share (d) Red
(Q-119). As per GE 9 cell matrix, expand, invest, grow (i) It can be single business or collection of related
etc. are the strategic options if the product falls in the businesses
________ section? (ii) It has its own set of competitors
(iii) It has a manager who is responsible for
(a) Green
strategic planning and profit
(b) Yellow
(iv) It can be planned for separately than the rest
(c) While
of the business
(d) Red
Which of the above statements are correct?
(Q-120). The GE 9 cell model is based on:
(a) Point (ii), (iii) & (iv) only
(a) Industry attractiveness & Business Strength
(b) Point (i), (iii) & (iv) only
(b) Industry Growth rate & Business strength
(c) Point (i), (ii) & (iii) only
(c) Industry attractiveness & market share
(d) Point (i), (ii), (iii), (iv)
(d) Industry growth & Relative market share
(Q-126). ___________ can be defined as a set of
(Q-121). GE 9 cell matrix is developed by __________
techniques that help strategists in taking strategic
with the help of _____________.
decisions with regard to individual products or
(a) General Electric, PWC businesses in a firm’s portfolio.
(b) General Electric, McKinsey & Company
(a) Product Analysis
(c) General Electric, Boston Consulting Group
(b) Portfolio Analysis
(d) German Electric, McKinsey & Company
(c) Product Life Cycle Analysis
(Q-122). Which of the following portfolio analysis (d) SBU Analysis
method uses business strength and market
(Q-127). Consider the following statements about the
attractiveness as factors to decide about the strategic
portfolio and portfolio analysis:
options to be taken?
(i) Portfolio is combination of businesses and
(a) ADL Matrix
products that makes up the company
(b) General Electric Model
(ii) Strategic Business Unit is one of the methods
(c) Ansoff’s Product Market Growth Matrix
of portfolio analysis
(d) BCG Growth-Share Matrix
(iii) Through portfolio analysis, resources could be
(Q-123). Which of the following portfolio analysis channelized to those businesses or products
method uses the market growth rate and the relative that possess the greatest potential
market share of the organisation in the industry as its (iv) Through portfolio analysis, strategic decisions
determining factors? with regard to individual products or
businesses can be taken
(a) ADL Matrix
(b) General Electric Model Which of the above statements are correct?
(c) Ansoff’s Product Market Growth Matrix
(a) Point (ii), (iii) & (iv) only
(d) BCG Growth-Share Matrix
(b) Point (i), (iii) & (iv) only
(Q-124). ___________ portfolio analysis method (c) Point (i), (ii) & (iii) only
identifies five competitive positions an organisation (d) Point (i), (ii), (iii), (iv)
can have in the marketplace.
(Q-128). Unless the organisation is in deep financial
(a) ADL Matrix crisis, it should focus on both strategic as well as
(b) General Electric Model financial objective. This has been stated by ________
(c) Ansoff’s Product Market Growth Matrix mechanism.
(d) BCG Growth-Share Matrix
(a) Balanced Scorecard Analysis
(Q-125). Consider the following statements about the (b) Portfolio Analysis
Strategic Business Unit: (c) Product Life Cycle Analysis
(d) SBU Analysis
(Q-129). Product Life Cycle is an _________ curve. (d) Production long cycle

(a) L-shaped (Q-135). Which of the following is not a characteristic

(b) S-shaped of “Market Introduction Stage” in PLC?
(c) Z-shaped
(a) Demands has to be created
(d) Inverted C-shaped
(b) Costs are negligible
(Q-130). _____________ exhibits the relationship of (c) Slow sales volume to start
sales with respect of time. (d) There is little or no competition

(a) Balanced Scorecard (Q-136). Rising competition causes price decrease,

(b) Portfolio Analysis increasing public awareness, sales increase rapidly are
(c) Product Life Cycle the characteristics of ___________ in PLC.
(d) SBU Analysis
(a) Maturity stage
(Q-131). In the __________ of the product life cycle, (b) Decline stage
competition is negligible and prices are high. (c) Growth stage
(d) Introduction stage
(a) Introduction Stage
(b) Growth Stage (Q-137). Profits related to new product in its
(c) Maturity Stage introductory stage are ________.
(d) Decline Stage
(a) Very less or negative
(Q-132). In the __________ of the product life cycle, (b) Continuously rising
the competition gets tough, profit comes down and (c) Higher
there is no visible growth in the sales. (d) Declining

(a) Introduction Stage (Q-138). In which of the following stages of the product
(b) Growth Stage life cycle do profits peak?
(c) Maturity Stage
(a) Introduction
(d) Decline Stage
(b) Growth
(Q-133). Consider the following statements about the (c) Maturity
experience curve: (d) Decline

(i) Being very technical area, experience curve is (Q-139). In the Boston Consulting Group matrix, stars
not relevant in the strategic management do which of the following?
(ii) It is also known as learning curve
(a) Achieve high market growth in the future but
(iii) It is based on the phenomenon that unit costs
currently have low market share
increases as cumulative volume of production
(b) Hold a sizeable portion of a growing market
increases due to learning effect
(c) Hold high market share in a mature market
(iv) Experience curve is considered a barrier for
(d) Hold a low market share in a mature market
new firms contemplating entry in an industry
(Q-140). A tool by which management identifies and
Which of the above statements are correct?
evaluates the various businesses that make up a
(a) Point (ii), (iii) & (iv) only company is termed as ___________.
(b) Point (ii) & (iv) only
(a) Value Chain Analysis
(c) Point (i), (ii) & (iii) only
(b) Portfolio Analysis
(d) Point (i), (ii), (iii), (iv)
(c) Competition Analysis
(Q-134). What does the term PLC stand for? (d) Strategic Analysis

(a) Product life cycle (Q-141). ‘Build,’ ‘Hold,’ ‘Harvest,’ and ‘Divest’ are the
(b) Production life cycle strategies explained by:
(c) Product long cycle
(a) Boston Consulting Group Matrix
 (b) Value chain Analysis (iii) Capital requirement is a important economic
(c) Managerial Grid Matrix feature to be considered in industry analysis
(d) Ansoff’s Product Matrix Growth Matrix (iv) It is important to have proper understanding of
the competitive pressure in the industry
(Q-142). Which of the following given statement is
incorrect? Which of the above statements are correct?

(a) Growth share matrix is popularly used for (a) Point (ii), (iii) & (iv) only
resource allocation (b) Point (i), (iii) & (iv) only
(b) A core competence is a unique strength of an (c) Point (i), (ii) & (iii) only
entity which may not be shared by others (d) Point (ii) & (iii) only
(c) Strength is inherent capacity of an entity
(Q-148). Strategic group is a group that consists of:
(d) 'B" in BCG Matrix stands for balance
(a) Top executives make strategies for company
(Q-143). In India, there is increasing trend towards IPL
(b) Firms within an industry that follows similar
like cricket tournaments. Which of the following
competitive strategies
industry is usually not affected by this development?
(c) CEO’s from different companies of industry
(a) Real Estate Industry makes decisions on industry standards
(b) Sports Industry (d) Firms within an industry decides to co-operate
(c) Sports Channels, Advertisement Industry than compete with each other
(d) Hotel industry
(Q-149). Strategic groups are clusters of firms that
(Q-144). ___________ enterprise is a substantially share __________ competitive strategies.
non-political worldwide enterprise such as WTO, IMF,
(a) Different
World Bank etc.
(b) Similar
(a) International (c) Same
(b) Transnational (d) Competitive
(c) Super national
(Q-150). Given below is the steps involved in the
(d) Multi-national
strategic group mapping process:
(Q-145). In long run, when the growth rate slows down
(i) Assign firms that fall in about the same
stars become ___________.
strategy to same strategic group
(a) Cash Cows (ii) Draw circles around each strategic group
(b) Tortoise (iii) Identify the competitive characteristics that
(c) Dogs differentiate firms in the industry
(d) Question Marks (iv) Plot the firms on a two-variable map using
pairs of these differentiating characteristics
(Q-146). There are three important concepts to be
understood before beginning the portfolio analysis. Arrange the steps involved in the correct order.
These are ________, _________ & __________.
(a) (i)-(ii)-(iii)-(iv)
(a) PLC, SBU, Experience curve (b) (ii)-(i)-(iii)-(iv)
(b) SBU, KSF, PLC (c) (iii)-(ii)-(i)-(iv)
(c) SBU, KSF, GE Model (d) (iii)-(iv)-(i)-(ii)
(d) BCG, SBU, ADL Matrix
(Q-151). Consider the following statements about
(Q-147). Consider the following statements about the strategic group mapping:
Industry and Competitive Analysis:
(i) A strategic group consists of those rival firms
(i) Different industries usually have more or less with similar competitive approaches and
similar competitive nature positions in the market
(ii) Industry is a group of firms operating in the (ii) There can be only one strategic group in the
same business line industry
 (iii) At least two competitive characteristics are
needed to draw the strategic group
(iv) Companies like Audi, Mercedes, BMW etc. can
fall in the same strategic group of an
automobile industry
Which of the above statements are correct?
(b) Identifying weakest rival companies
(c) Identifying the weakest and strongest rival
companies
(d) None of the above
(Q-157). ‘Attractiveness of firms’ while conducting
industry analysis should be seen in ________.

(a) Point (ii), (iii) & (iv) only (a) Relative terms
(b) Point (i), (iii) & (iv) only (b) Absolute terms
(c) Point (i), (ii) & (iii) only (c) Comparative terms
(d) Point (ii) & (iii) only (d) All of the above

(Q-152). The last step involved in the Industry & (Q-158). Which of the following is not a question to be
Competitive Analysis is: considered in the determination of industry key
success factor?
(a) Identifying Companies in the Strongest or
Weakest Positions (a) On what basis do customers choose between
(b) Likely Strategic Moves of Rivals the sellers?
(c) Prospects and Financial Attractiveness of (b) What resources & competitive capabilities
Industry seller need to be competitively successful?
(d) Key Factors for Competitive Success (c) What does it take for sellers to achieve a
sustainable competitive advantage?
(Q-153). Given below is the first four steps involved in
(d) Technological structure of the industry
the industry and competitive analysis:
(Q-159). Audi introduced the Q3 SUV at a price of
(i) Nature & Strength of Competition
$32,500 and BMW, with its 1-series, is another well-
(ii) Triggers of Change
known example. Such cars, priced around $30,000s
(iii) Dominant Economic Features of the Industry
and compete directly with Ford, Toyota etc. Which of
(iv) Identifying Companies in Strongest/Weakest
the following statement is correct in this regard?
Positions
(a) Members belonging to one strategic group will
Arrange the steps involved in the correct order?
always remain in that strategic group
(a) (i)-(ii)-(iii)-(iv) (b) There can be only one strategic group in the
(b) (ii)-(i)-(iii)-(iv) industry
(c) (iii)-(i)-(ii)-(iv) (c) Member of one strategic group can migrate to
(d) (iii)-(iv)-(i)-(ii) different strategic group
(d) Members belonging to one strategic group will
(Q-154). Which of the following is not a driving force always be same
which can trigger a change in the industry?
(Q-160). According to strategic management model,
(a) Internet and e-commerce which step needs to be completed immediately
(b) Globalization following the establishment of long-term objectives?
(c) Mobilization of resources
(d) Strategic Group Mapping (a) Developing vision and mission statements
(b) Generating, evaluating & selecting strategies
(Q-155). KSFs stand for:
(c) Measuring and evaluating performance
(a) Key strategic factors (d) Implementation of strategies
(b) Key supervisory factors
(Q-161). Diversification primarily helps to:
(c) Key success factors
(d) Key sufficient factors (a) Reduce competition
(b) Reduce risk
(Q-156). ‘Strategic group mapping’ helps in:
(c) Reduce taxes
(a) Identifying the strongest rival companies (d) Reduce costs
(Q-162). If suppliers are unreliable or too costly, which (a) (i) and (ii)
of these strategies may be appropriate? (b) (i) and (iii)
(c) (ii), (iii) and (iv)
(a) Horizontal integration
(d) (i), (ii) and (iii)
(b) Backward integration
(c) Market penetration (Q-167). A campaign advocating the message of ‘SAVE
(d) Forward integration WATER’ is:

(Q-163). Which of the following is not the major reason (a) Services Marketing
for expansion strategy? (b) Holistic marketing
(c) Social Marketing
(a) Environment is relatively stable with decrease
(d) Direct Marketing
in the economic activities
(b) Greater control over the market is required to (Q-168). The Niche strategy is the best way to enter a
get competitive advantage ____________.
(c) Environment is dynamic and economic
(a) New market
activities are growing at rapid pace
(b) Growing market
(d) Greater control over the market is required to
(c) Matured market
get competitive advantage
(d) None of the above
(e) Huge benefits may occur from increased scale
of operation and experience curve (Q-169). Supply chain refers to the linkages between:
(Q-164). When firm is entering in business lines that (a) Suppliers
use existing products & also when firm enters into (b) Customers
business of distribution channels. (c) Manufacturers
(d) All the above
(a) Forward Integration
(b) Backward Integration (Q-170). The process of creating, maintaining, and
(c) Concentric enhancing strong, value- laden relationships with
(d) Conglomerate customers and other stakeholder is _________.
(Q-165). Which of these is a type of merger? (a) Social marketing
(b) Augmented marketing
(a) Co-generic
(c) Direct marketing
(b) Co-operational
(d) Relationship marketing
(c) Concentric
(d) Co-genetic

(Q-166). Consider the following statements about the

strategic alliance:

(i) Through strategic alliances, member firm loses

their separate existence
(ii) Strategic alliances are also made as it helps the
organisation to learn the necessary skills and
obtain new capabilities from strategic the
partners
(iii) Strategic alliances may involve sharing of
resources, knowledge and skills which may
create a confidentiality issue
(iv) An ally from the strategic alliance may become
a competitor in future

From the combinations given below select a correct

alternative:
 Answers 88 (a) 134 (a)
89 (b) 135 (b)
1 (a) 44 (d) 90 (c) 136 (c)
2 (d) 45 (c) 91 (b) 137 (a)
3 (c) 46 (d) 92 (b) 138 (c)
4 (d) 47 (c) 93 (d) 139 (b)
5 (c) 48 (c) 94 (c) 140 (b)
6 (d) 49 (b) 95 (a) 141 (a)
7 (d) 50 (b) 96 (d) 142 (d)
8 (c) 51 (d) 97 (d) 143 (a)
9 (a) 52 (d) 98 (a) 144 (c)
10 (c) 53 (b) 99 (d) 145 (a)
11 (b) 54 (d) 100 (c) 146 (a)
12 (d) 55 (a) 101 (d) 147 (a)
13 (b) 56 (b) 102 (a) 148 (b)
14 (d) 57 (c) 103 (a) 149 (b)
15 (c) 58 (d) 104 (c) 150 (d)
16 (d) 59 (a) 105 (d) 151 (b)
17 (d) 60 (a) 106 (c) 152 (c)
18 (d) 61 (c) 107 (d) 153 (c)
19 (b) 62 (c) 108 (c) 154 (d)
20 (d) 63 (d) 109 (d) 155 (c)
21 (d) 64 (d) 110 (c) 156 (c)
22 (d) 65 (c) 111 (d) 157 (a)
23 (d) 66 (d) 112 (c) 158 (d)
24 (d) 67 (c) 113 (b) 159 (c)
25 (a) 68 (c) 114 (b) 160 (b)
26 (c) 69 (a) 115 (d) 161 (b)
27 (d) 70 (d) 116 (c) 162 (b)
28 (d) 71 (b) 117 (d) 163 (a)
29 (b) 72 (a) 118 (b) 164 (a)
30 (a) 73 (b) 119 (a) 165 (a)
31 (b) 74 (a) 120 (a) 166 (c)
32 (d) 75 (a) 121 (b) 167 (c)
33 (c) 76 (b) 122 (b) 168 (c)
34 (d) 77 (c) 123 (d) 169 (d)
35 (a) 78 (b) 124 (a) 170 (d)
36 (d) 79 (c) 125 (d)
37 (c) 80 (c) 126 (b)
38 (c) 81 (a) 127 (b)
39 (b) 82 (b) 128 (a)
40 (b) 83 (c) 129 (b)
41 (a) 84 (c) 130 (c)
42 (d) 85 (c) 131 (a)
43 (d) 86 (b) 132 (c)

87 (a) 133 (b)