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1774. For each component of capital, a required rate of return is considered as

component cost

evaluating cost

asset cost

asset depreciation value

✅ The correct answer is A.
For each component of capital, a required rate of return is considered as component cost. Cost components are the most granular representation of item costs.

1775. Which is a bonus?

Simple reversionary bonus

Compound reversionary bonus

Terminal bonus

Any of the above

✅ The correct answer is D.
Simple reversionary bonus, Compound reversionary bonus and Terminal bonus, all this are bonus.
Simple reversionary bonus is a with profits life assurance bonus, normally declared annually, which is based on the profits of the life company’s investment and is payable at the maturity of the policy or prior death.
Simple Reversionary bonus (SRB) This type of bonus is calculated on the sum assured only. This bonus is declared annually and is accrued to be paid out at the time of a claim or maturity.
Terminal Bonus is also known as persistency bonus which is paid once, i.e. at the time of maturity of the policy.

1776. Rate charged by bank 12.5% on credit loans and 3% semi-annually on instalment loans is considered as

periodic rate

perpetuity rate of return

annual rate

annuity rate of return

✅ The correct answer is A.
Rate charged by bank 12.5% on credit loans and 3% semi-annually on instalment loans is considered as periodic rate. A periodic interest rate can be charged on a loan or realized on an investment over a specific period of time.

1777. In retention growth model, percent of net income firms usually pay out as shareholders dividends is classified as

payout ratio

payback ratio

growth retention ratio

present value of ratio

✅ The correct answer is A.
In retention growth model, percent of net income firms usually pay out as shareholders dividends is classified as payout ratio. The dividend payout ratio is the ratio of the total amount of dividends paid out to shareholders relative to the net income of the company.

1778. Investment in ULIPs is related to which section of the Income Tax Act?

58C

65B

78A

80C

✅ The correct answer is D.
Investment in ULIPs is eligible for tax benefit up to a maximum of Rs A. 5 lacs under Section 80C of the Income Tax Act.

1780. Of late, changing lifestyles of people lead to more _________

Savings

Investments

Insurance

Borrowings

✅ The correct answer is D.
Of late, changing lifestyles of people lead to more borrowings. A debt cycle is continual borrowing that leads to increased debt, increasing costs, and eventual default.

1782. In asset portfolio, number of stocks are increased to

reduce return

reduce average

reduce risk

increase prices

✅ The correct answer is C.
In asset portfolio, number of stocks are increased to reduce risk. A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds.

1784. _________ refers to a hospital/health care provider enlisted by an insurer to provide medical services to an insured on payment by a cashless facility

Day care centre

Network provider

Third Party Administrator

Domiciliary

✅ The correct answer is B.
Network provider refers to a hospital/health care provider enlisted by an insurer to provide medical services to an insured on payment by a cashless facility.

1765. Systematic flow of services, goods or information from buying material for product delivery to customers is known as

supply chain

value chain

material flow chain

manufacturing flow chain

✅ The correct answer is A.
Systematic flow of services, goods or information from buying material for product delivery to customers is known as supply chain. A supply chain is a network between a company and its suppliers to produce and distribute a specific product to the final buyer. This network includes different activities, people, entities, information, and resources.

1766. Reorder level = ________.

maximum level – minimum level

maximum consumption X maximum reorder period

minimum consumption x minimum reorder period

normal consumption X normal reorder period

✅ The correct answer is B.
Reorder level = maximum consumption X maximum reorder period.

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