Indian Economy Quiz 5

Consider the following statements about Capital Gains Tax:

1. Capital gains tax is levied on profits made out of assets.

2. It is applicable only when the asset is realised.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2

Consider the following statements about GSTN:

1. GSTN is an interface for the taxpayer, central and state governments

2. It is a not for profit, private entity.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2

Consider the following statements about Base Erosion Profit Shifting (BEPS)

1. BEPS is a tax avoidance strategy used by Corporates.

2. The profits are shifted to countries with low taxation.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2

Consider the following statements about Venture Capital Funds:

1. VCEs manage the funds of investors interested in start-ups.

2. The investors seek to gain private equity in the start-ups.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2

Consider the following statements:

1. An IPO sells securities in the secondary market.

2. Secondary market is made up of equities and debts.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2

Consider the following statements:

1. Public issue is an offer to the public to subscribe to the share capital of a company.

2. The Shares are issued according to SEBI regulations.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2

Consider the following statements about Disinvestment:

1. The process of Government selling its stakes in PSUs is known as Disinvestment.

2. This process helps the government in meeting the fiscal deficits.

3. It is performed by the Department for Investment and Public asset Management under Ministry of Finance

Which of the above statements are correct?

• 1 and 3 only

• 1 and 2 only

• 2 and 3 only

• All of the above

The objective of Medium Term Expenditure Framework statement is:

1. To provide closer integration between Annual Budget and FRBM statements.

2. To Provide medium term perspective to fiscal management and enhance Government's commitment to fiscal consolidation

3. To set 3 years target for Government expenditure.

Which of the above statements are correct?

• 1 and 3 only

• 1 and 2 only

• 2 and 3 only

• All of the above

Consider the following statements about Convertible Notes:

1. A convertible note is a short-term debt.

2. It is eventually converted into an equity in the company.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2

Consider the following statements:

1. Primary Market is a type of Capital Market.

2. Primary Market issues the sale of new securities in domestic market only.

Which of the above statements are correct?

• 1 only

• 2 only

• Both 1 and 2

• Neither 1 nor 2