Comprehension passages and grammar - Online Test
Q1.
Direction: Read the following passage carefully and answer the question that follow. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
What is the basic difference between Corporate Social Responsibility and Corporate Governance?
Answer : Option C
Explaination / Solution:
This can be interpreted from the given lines, “Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders.” It means that the CSR prioritises social good above the interest of an organization and hence sometimes there may be some conflict of interest between internal stakeholders and external shareholder i.e the society while the ultimate goal of Corporate Governance is “…. of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.” There is no such contradiction or conflict in it.
Q2.
Direction: Read the following passage carefully and answer the question given below it. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
How do banks and financial institutions play a crucial role in the economic development of emerging economies?
(i) By channelizing capital in productive sectors of the economy
(ii) By helping in capital formation
(iii) By creating conducive environment for investment and trade
(i) By channelizing capital in productive sectors of the economy
(ii) By helping in capital formation
(iii) By creating conducive environment for investment and trade
Answer : Option D
Explaination / Solution:
It can be interpreted from these lines of the passage, “The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions.”
Q3.
Direction: Read the following passage carefully and answer the question given below it. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
In the context of the given passage, a successful company can be defined as a company that-
Answer : Option D
Explaination / Solution:
This can be interpreted from the initial lines of the passage, “Such an organization should be able to fulfill its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole.”
Q4.
Direction: Read the following passage carefully and answer the question given below it. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
Why are CSR practices considered essential for banks and other financial institutions?
(i) Because these institutions are essential for the economic development of a country
(ii) Because their primary motive is to serve the society
(iii) Because CSR helps in improving the image of these institutions
(i) Because these institutions are essential for the economic development of a country
(ii) Because their primary motive is to serve the society
(iii) Because CSR helps in improving the image of these institutions
Answer : Option C
Explaination / Solution:
The first two options can be interpreted from these lines of the passage, “The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance.” The third option can be interpreted from the last lines of the passage i.e “The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.” Hence, all of the above options are correct.
Q5.
Direction: Read the following passage carefully and answer the question given below it. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
Which of the following statements can be inferred from the given passage?
(i) Banks and financial institutions are capable to exert pressure on the corporations to practice good CSR
(ii) CSR practices erodes the profitability of the corporations
(iii) CSR is a mutually benefitting concept for corporations and the society
(i) Banks and financial institutions are capable to exert pressure on the corporations to practice good CSR
(ii) CSR practices erodes the profitability of the corporations
(iii) CSR is a mutually benefitting concept for corporations and the society
Answer : Option E
Explaination / Solution:
Option (i) can be inferred from these lines of the passage, “On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.”
Option (ii) cannot be inferred from the given passage.
Option (iii) can be inferred from these lines of the passage, “Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole.”
Q6.
Direction: Read the following passage carefully and answer the question given below it. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
Which of the following is most similar in meaning to the word 'onus' given in bold as used in the passage?
Answer : Option D
Explaination / Solution:
Onus stands for “one’s duty or responsibility”. Therefore, “obligation” is the most similar word to “Onus”.
Q7.
Direction: Read the following passage carefully and answer the question given below it. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
Which of the following is most opposite in meaning to the word 'ethical' given in bold as used in the passage?
Answer : Option B
Explaination / Solution:
“Ethical” stands for “moral”. Hence, “iniquitous” which means “morally wrong” is the correct answer.
Equitable means fair and impartial.
Altruistic means showing a disinterested and selfless concern for the well-being of others; unselfish.
Q8.
Direction: Read the following passage carefully and answer the question given below it. Certain words are printed in bold to help you locate them while answering some of the questions.
The concept of ‘Corporate Governance’ and ‘Corporate Social Responsibility’ are two concepts that have been developed by western economies. A company which is well managed and governed is successful in the sense that it fulfils the aims of all its stakeholders and grows with sustainability. Such an organization should be able to fulfil its obligation towards the society at large and in the process be able to help in sustaining its progress as well as progress of the economy as a whole. These concepts have become all the more relevant in developing and emerging economies and have spread across all sectors. Financial institutions and banks are spear headers of economic development in emerging economies. The onus of capital accumulation, in view of a low savings rate, along with mobilization of capital into productive and priority sectors of the economy, lies on the banks and financial institutions. These institutions thus play a dual role in prevalence of good governance norms and ensuring that the society gets its due. On one hand, banks and financial institutions must practice good governance norms as well as fulfil their obligations towards society by practicing good CSR, whilst they should ensure that the large corporations do the same by virtue of being large investors in these corporations.
The issue of relationship or complementarity of Corporate Governance and Corporate Social Responsibility has been often discussed. The concept of ‘Corporate Governance’ essentially points towards ethical functioning of a corporation whereby in the process of achievement of the goal of profit maximization, the rights and interests of all the stakeholders of the corporation should be protected.
Corporate Social responsibility essentially consists of or refers to actions of a corporation which benefits the society in general, an external stake holder of the corporation and it may contradict with the interests of one or more internal stakeholders. However, it is not essential that the interests may necessarily contradict. It has been widely observed that successful corporations generally give it back to the society as they continue to benefit from it.
The practice of good governance norms in banks is essential as it directs and leads economic growth as well as economic development in an economy. The banks and other financial institutions, basically function for the benefit of the society, hence the practice of CSR activities by banks assumes added significance. CSR practices are not only for external stake holders of an organization, but it embodies many aspects like employee relations, diversity, human right activities, non-practice of harmful policies, compensation policies practiced by organization etc. The CSR activities also help in brand building of organizations, which is an important aspect for banks and financial institutions as well in view of increasing competition in this sector.
Which of the following is most similar in meaning to the word ‘prevalence’ given in bold as used in the passage?
Answer : Option A
Explaination / Solution:
Prevalence means the condition of being prevalent i.e widespread. The word “preponderance” means “the quality or fact of being greater in number, quantity, or importance.” Hence, the most similar word to ‘prevalence’ is ‘preponderance’.
Dissemination means the act of spreading something, especially information, widely; circulation.
Q9. Direction: Read each sentence to find out whether there is any grammatical error in it. The error, if any, will be in one part of the sentence. If there is no error, the answer is (E), ie ‘No error’. (Ignore the errors of punctuation, if any.)
He was offered a part-time job,/ but he turned it over saying that/ he would rather finish his education/ and apply for a full-time job./ No error
Answer : Option B
Explaination / Solution:
The correct phrase which should be used in the above sentence is “turned it down" which means declining an offer or proposal.
Q10. Directions: Given below are five statements out of which only one is grammatically correct. Identify the correct statement.
Answer : Option E
Explaination / Solution:
In option A, and B ,instead of ‘type’, it will be ‘types’ because after demonstrative adjectives like these, those, certain, other, etc. Noun always comes as a plural number. Also, in option A, ‘is’ should be replaced by ‘are’. Option c has multiple errors.
In option D, ‘are’ should be replaced by ‘is’ as ‘this’ denotes singular noun. Websites should be replaced by website.
