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CAT Practice Test: (October 6) - CAT MCQ


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30 Questions MCQ Test Daily Test for CAT Preparation - CAT Practice Test: (October 6)

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CAT Practice Test: (October 6) - Question 1

In a class, there are 15 boys and 10 girls. Three students are selected at random. Find the probability that 1 girl and 2 boys are selected.

Detailed Solution for CAT Practice Test: (October 6) - Question 1

Number of ways of choosing 1 girl out of 10 = 10C1
Number of ways of choosing 2 boys out of 15 = 15C2
Total number of ways of choosing 3 students out of 25 (15 + 10) = 25C3

CAT Practice Test: (October 6) - Question 2

The probability that in a group of 3 people, at least two will have the same birthday is

Detailed Solution for CAT Practice Test: (October 6) - Question 2

Let A be the event that at least two people have the same birthday.
Then,

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CAT Practice Test: (October 6) - Question 3

The chances of winning of two race horses are 1/3 and 1/6. What is the probability that at least one will win, if the horses are running in different races? 

Detailed Solution for CAT Practice Test: (October 6) - Question 3

Probability that at least one horse will win = 1 - Probability that neither horse will win

CAT Practice Test: (October 6) - Question 4

From a pack of 52 cards, two are drawn at random. Find the chance that one is a knave and the other a queen.

Detailed Solution for CAT Practice Test: (October 6) - Question 4

Knave and queen or Queen and Knave → 4/52 × 4/51 + 4/52 × 4/51 = 8/663 

CAT Practice Test: (October 6) - Question 5

Two dice are thrown. Find the probability that the product of two numbers received is even.

Detailed Solution for CAT Practice Test: (October 6) - Question 5


Total cases = 62 
Both odd numbers
 

CAT Practice Test: (October 6) - Question 6

A bag contains 6 white and 9 black balls. If three balls are drawn at random, then find the probability that all of them are black.

Detailed Solution for CAT Practice Test: (October 6) - Question 6

Total number of outcomes = 15C3
Number of favourable outcomes = 9C3

CAT Practice Test: (October 6) - Question 7

The letters of the word 'LEADING' are placed at random in a row. What is the probability that three vowels come together?

Detailed Solution for CAT Practice Test: (October 6) - Question 7

Total number of sample spaces = 7!
Total number of favourable outcomes = 3! × 5!
Required probability = (3! × 5!)/7!
= 1/7

CAT Practice Test: (October 6) - Question 8

The result of an exam is given below.
Out of 1000 students who appeared- 
(i) 658 failed in Physics
(ii) 166 failed in Physics and Chemistry
(iii) 372 failed in Chemistry and 434 failed in Physics and Maths
(iv) 590 failed in Maths and 126 failed in Maths and Chemistry

Find the number of students who failed in Physics but not in Chemistry or Maths.

Detailed Solution for CAT Practice Test: (October 6) - Question 8


Let number of students who failed in all the subjects be x.
1000 = 658 + 372 + 590 - 166 - 126 - 434 + x
x = 106
Number of students who failed in Physics but not in Chemistry or Maths = 658 - 60 - 106 - 328 = 164

CAT Practice Test: (October 6) - Question 9

Every student of a certain school must take one and only one elective course. Last year, 1/2 of the students took biology as an elective subject, 1/3 of the students took chemistry, and the rest took physics. This year, 1/3 of the students who took biology and 1/4 of the students who took chemistry left school. No other student left and no fresh student was admitted. What fraction of all students took biology and chemistry?

Detailed Solution for CAT Practice Test: (October 6) - Question 9

If total = 1, then:
Last year
B = 1/2
C = 1/3
P = 1/6
This year
B = (1/2) x (2/3) = 1/3
C = (1/3) x (3/4) = 1/4
Total = (1/3) + (1/4) = 7/12

Students left this year:
B = (1/2) x (1/3) = (1/6)
C = (1/3) x (1/4) = (1/12)
Total = (1/6 + 1/12) = (1/4)

Students at the school this year
= Number of students last year - Number of students left this year
= 1 - (1/4)
= (3/4)
Fraction of all students who took biology and chemistry = (7/12) ÷ (3/4) = 7/9

CAT Practice Test: (October 6) - Question 10

In a survey, 500 people were asked two questions. They were simply to answer 'yes' or 'no'. Of these, 410 people said yes to the first question and 220 people said yes to the second. What is the least number that said yes to both?

Detailed Solution for CAT Practice Test: (October 6) - Question 10


n(A ∩ B) = n(A) + n(B) - n(A ∪ B)
= 410 + 220 - n(A ∪ B)
To minimise intersection, we need to maximise union, which could be most 500. Putting the value,
We get n(A ∩ B) = 410 + 220 - 500 = 130

CAT Practice Test: (October 6) - Question 11

In a survey of population of 450 people, it is found that 205 people can speak English, 210 people can speak Hindi and 120 people can speak Tamil. If 100 people can speak both English and Hindi, 80 people can speak both English and Tamil, 35 people can speak Hindi and Tamil, and 20 people can speak all the three languages, then find the number of people who cannot speak English, Hindi, or Tamil.  

Detailed Solution for CAT Practice Test: (October 6) - Question 11

n(E ∪ H ∪ T) = n(E) + n(H) + n(T) - n(E ∩ H) - n(E ∩ T) - n(H ∩ T) + n(E ∩ H ∩ T)
= 205 + 210 + 120 - 100 - 80 - 35 + 20
= 340
Number of people who cannot speak English, Hindi, or Tamil = 450 - 340 = 110

CAT Practice Test: (October 6) - Question 12

In a group of 1000 people, 750 people can speak Hindi and 400 people can speak English. In the group, all the people speak at least one out of the two languages. How many people can speak only Hindi?  

Detailed Solution for CAT Practice Test: (October 6) - Question 12


The Venn diagram for the situation is as shown above.
In the Venn diagram, H denotes the set of people who speak Hindi and E denotes the set of people who speak English.
So, a + x = 750 ... (i)
x + b = 400 ... (ii)
Adding equations (i) and (ii), we get a + x + b + x = 1150 ... (iii)
But a + x + b = 1000 ... (iv)
Putting this value of a + x + b from equation (iv) into equation (iii), we get
1000 + x = 1150
Or x = 150 ... (v)
Putting this value of x from equation (v) into equation (i) and solving for a, we get

CAT Practice Test: (October 6) - Question 13

In each question below is given a statement followed by two assumptions numbered I and II. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.

Statement: "Fly X airways whenever you decide to go places. Our fares are less than train fares."- An advertisement.

Assumptions:
I. People prefer to travel by air when the fares are reasonable.
II. The fares of other airlines are costlier than those of X airways.

Detailed Solution for CAT Practice Test: (October 6) - Question 13

The advertisement highlights the fact that fares of X airways are less than train fares. This implies that people would prefer to travel by air rather than by train if they do not have to pay extra for it. So I is implicit. Besides, this feature also reveals that fares of X airways are lower than those of other airlines. So, II is also implicit.

CAT Practice Test: (October 6) - Question 14

In each question below is given a statement followed by two assumptions numbered I and II. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.

Statement: "Get rid of your past for future, get our new generation fridge at a discount in exchange of old"- An advertisement.

Assumptions:
I. The sales of the new fridge may increase in the coming months.
II. People prefer to exchange future with past.

Detailed Solution for CAT Practice Test: (October 6) - Question 14

Clearly, the scheme would encourage those owning an old fridge to go for a new one at a reasonable price without the hassles of disposing off the old one. So, I is implicit. Besides, an advertisement highlights that which appeals to masses and which customers crave for. So, II is also implicit.

CAT Practice Test: (October 6) - Question 15

In each question below is given a statement followed by two assumptions numbered I and II. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.

Statement: The government has decided to reduce its subsidy on LPG; however the subsidy on kerosene remains unchanged.

Assumptions:
I. Those people who buy LPG can afford to purchase LPG for a higher price.
II. Many people may stop buying LPG and instead use kerosene.

Detailed Solution for CAT Practice Test: (October 6) - Question 15

Clearly, the decision has been taken keeping in mind that the section of people using LPG can afford to pay a slightly higher price. The government does not want to affect the weakest sections who still use kerosene. So, only I is implicit, while II is not.

CAT Practice Test: (October 6) - Question 16

In each question below is given a statement followed by two assumptions numbered I and II. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.

Statement: The higher echelons of any organization are expected to be models of observational learning and should not be considered as merely sources of reward and punishments.

Assumptions:
I. Employees are likely to be sensitive enough to learn by observing the behaviour of their bosses.
II. Normally bosses are considered as sources of reward and punishment.

Detailed Solution for CAT Practice Test: (October 6) - Question 16

The statement advises people not to consider their bosses as mere 'supervisors' to control and assess their acts, but as 'models' to imitate in their working. So, both I and II are implicit.

CAT Practice Test: (October 6) - Question 17

In each question below is given a statement followed by two assumptions numbered I and II. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.

Statement: To investigate the murder of the lone resident of a flat, the police interrogated the domestic servant, the watchman of the multi-storeyed buildings and the liftman.

Assumptions:
I. The domestic servant, watchman and the liftman can give a clue about the suspected murder.
II. Generally in such cases the persons known to the resident are directly or indirectly involved in the murder.

Detailed Solution for CAT Practice Test: (October 6) - Question 17

Clearly, in such cases, the police interrogates the domestic servant, watchman and liftman to work out the sequence of events just before the murder by tracing the persons who had come to meet the victim. So, I is implicit However, it is erroneous to assume that persons known to the victim are generally involved in the murder. So, II is not implicit.

CAT Practice Test: (October 6) - Question 18

In each question below is given a statement followed by two assumptions numbered I and II. You have to consider the statement and the following assumptions and decide which of the assumptions is implicit in the statement.

Statement: Sachin's mother instructed him to return home by train if it rains heavily.

Assumptions:
I. Sachin may not be able to decide himself if it rains heavily.
II. The trains may ply even if it rains heavily.

Detailed Solution for CAT Practice Test: (October 6) - Question 18

Sachin's mother has instructed him as a matter of caution and out of care for her child, and not because Sachin himself would not be able to decide. So, I is not implicit. Besides, Sachin's mother instructs him to take to train journey in case it rains heavily. So, II is implicit.

CAT Practice Test: (October 6) - Question 19

Directions: The passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.

Passage

The vast collection of interconnected networks that all use the TCP/IP protocols and that evolved from the ARPANET of the late 60's and early 70's, an "intranet" (lower case i), are computers connected to each other (a network), and are not part of the Internet unless the use TCP/IP protocols. An "intranet" is a private network inside a company or organization that uses the same kinds of software that you would find on the public Internet, but that is only for internal use. An intranet may be on the Internet or may simply be a network.
The world has come a long way since Xerox Corporation first built a new machine called the personal computer (PC) and Steve Jobs introduced the Mac as the friendly alternative to the forbidding mainframes of the 1960s and 1970s. The coming together of IBM, Intel and Microsoft in the early 1980s has set off a revolution that has brought the power of computing to the fingertips of every user across the world. From the departmental PC to the Local Area Network to the development of the Internet-the ubiquitous network of networks-the progress in computer and communications technology has been tremendous. Most people, organizations and countries have been influenced in one way or the other by the rapid spread of the Internet.
There are over 70 million Internet users worldwide, and the World Wide Web now unites entire universities, shopping centres, entertainment sites and business transactions facilities into virtual communities. But there is still a fair bit of skepticism and cynicism in the approach of many CEOs, marketing strategists and even some systems managers when it comes to going beyond the hype and developing an Internet strategy for their companies. Many organizations, particularly in India are still sitting on the fence. They prefer to wait for their overseas collaborators to take the first step, or go through the motions of setting up a company home page as their token offering to the Internet God-something everybody talks about but few seem to fully understand.
The truth is that the Internet is not just a faster communication medium for - mail or an on-line information gathering facility, two activities that account for a large proportion of the time users spend on the Net. Correctly understood and used, it can be the new paradigm for marketing and corporate communications that can change the way businessmen and professionals perceive and transact business in the next century. But that will only happen if corporate planners and marketing strategists take off their blinkers and look beyond traditional marketing and selling techniques. The ground is shifting from under their feet and it's time they made the Internet move. The formation of virtual communities will mean that the role of traditional selling media like newspapers, television, movie theatres and even the average salesperson will be eroded. As we begin to depend on the web for information, education and entertainment, marketing will truly become buyer-centric, and would depend less on sales promotion budgets. Most successful organizations will be those that predict customer psychology and enable or sponsor the development of virtual communities, thereby ensuring access into as many communities as possible to spread their specific product messages.
Among the earliest to adopt of this approach was Apple, whose famous E-World site has been one of the early successes in setting up a loyal community. Many early Indian web surfers, including movie thespian Shammi Kapoor will vouch for the impact of this site. Many pioneering marketers-from bookstores to travel agents to package delivery companies have already begun to develop a new breed of loyalists and are offering services ranging from browsing to information gathering, to order placement and consignment tracking through the Internet. These are the firms who are really establishing what Prahlad and Hamel called "Opportunity Share".
Internet is primarily an information rather than visual-driven environment, and that understanding this reality has fundamental implications for organizations who want to develop successful Internet applications. They ask, "Why not accept that the Internet is a wonderful environment to deliver deep, rich and timely information on products, services, event, developments? That it is a wonderful environment for allowing people to communicate (email) with each other, for allowing business to trade with business, and for marketers to understand consumer needs better and develop closer relationships with these consumers."
The IDC report says that about 50 percent of all US companies have set up sites on the Web. The companies connected to their customers are finding cost savings of 50 percent to 90 percent in sales, customer support, distribution, and other areas. 80 percent of companies using Intranet applications have seen a positive return on investment, with an average annualized return of 38 percent.
A recent global survey shows that over two-thirds of the world's marketing planners have the Internet as a key ingredient of their marketing mix for the year. To make this possible, an Internet strategy must be regarded as a thread running through the entire business strategy of the firms. From customer and market research to marketing, materials planning, procurement, manufacturing, distribution, logistics and customer service, every process can be enriched through the use of Internets, Intranets and Extranets. Of course it will require some business and technological savvy to leverage the immense potential of this new technology to attain sustainable competitive advantage. CEOs will have to build up this competence within their firms to survive and build market dominance in the new millennium.

Q. What is meant by the Internet God?

Detailed Solution for CAT Practice Test: (October 6) - Question 19

The answer to this question is in the line "Internet God- something everybody talks about but few seem to fully understand" by which author implies that not many people understand the working or proper use of Internet, so it is God for them. Thus correct answer is option (1).

CAT Practice Test: (October 6) - Question 20

Directions: The passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.

Passage

Scientists might be very clever but there are still some things they can't expect to achieve. When they have used up all the easily available sources of energy that nature has scattered carelessly over the surface of our planet, they will have to resort to more laborious processes, and these will involve a gradual lowering of the standard of living. Modern industrialists are like men who have come for the first time fecund land, and can live for a little while in great comfort with only a mode of labour. It would be irrational to hope that the present heyday of industrialism will not develop far beyond its present level, but sooner or later, owing to the exhaustion of raw material, its capacity to supply human needs will diminish, not suddenly, but gradually. This could of course, be prevented if men exercised any restraint or foresight in their present frenzied exploitation. Perhaps before it is too late they will learn to do so. How long will it be before the accessible oil in the world is exhausted? Will all the arable land be turned into dust-bowls as it has been in large parts of the United States? Will the population increase to the point where men again, like their remote ancestors, have no leisure to think of any thing but the food supply? Such questions are not to be decided by general philosophical reflections. Communists think that there will be plenty of oil: if there are no capitalists. Capitalists feel work is the answer. Some religious people think that there will be plenty of food if we trust in Providence. Such ideas are superficial, even when they are called scientific, as they are by the communists.
We all know that the price of food goes up, but most of us attribute this to the wickedness of the Government. If we live under a progressive Government, it makes us reactionary; if we live under a reactionary Government, it turns us into Socialists. Both these reactions are superficial ephemeral, transitory and frivolous. All Governments, whatever their political complexion, are at present willy–nilly in the grip of natural forces which can only be dealt with by a degree of intelligence of which mankind hitherto has shown little evidence.
I do not think any reasonable person can doubt that in India. China and Japan, if the knowledge of birth control existed, the birth rate would fall very rapidly. In Africa the process might take longer, but there also it could be fairly easily achieved if Negro doctors, trained in the West, were given the funds to establish medical clinics in which every kind of medical information would be given. I do not suppose that America would contribute to this beneficent work, because if either party favoured it, that party would lose the Catholic vote in New York State, and therefore the Presidency.
Some opponents of Communism are attempting to produce an ideology for the Atlantic Powers, and for this purpose they have invented what they call 'Western Values'. These are supposed to consist of toleration, respect for individual liberty, and brotherly love. I am afraid this view is grossly unhistorical. If we compare Europe with other continents, it is marked out as the persecuting continent. Persecution only ceased after long and bitter experience of its futility; it continued as long as either Protestants or Catholics had any hope of exterminating the opposite party. The European record in this respect is far blacker than that of the Mohammedans, the Indians or the Chinese. No, if the West can claim superiority in anything, it is not in moral values but in science and scientific technique.
Everything done by European administrators to improve the lot of Africans is, at present, totally and utterly futile because of the growth of population. The Africans, not unnaturally, though now mistakenly, attribute their destitution to their exploitation by the white man.
If two hitherto rival football teams, under the influence of brotherly love, decide to cooperate in placing the football first beyond one goal and then beyond the other, no one's happiness would be increased. There is no reason why the zest derived from competition should be confined to athletics. Emulation between teams or localities or organisations can be a useful incentive. But if competition is not to become ruthless and harmful, the penalty for failure must not be disaster, as in war, or starvation, as in unregulated economic competition, but only loss of glory. Football would not be a desirable sport if defeated teams were put to death or left to starve.
The savage, in spite of his membership of a small community, lived a life in which his initiative was not too much hampered by the community. The things that he wanted to do, usually hunting and war, were also the things that his neighbours wanted to do, and if he felt an inclination to become a medicine man he only had to ingratiate himself with some individual already eminent in that profession, and so, in due course, to succeed to his powers of magic. If he was a man of exceptional talent, he might invent some improvement in weapons, or a new skill in hunting. These would not put him into any opposition to the community, but on the contrary, would be welcomed. The modern man lives a very different life. If he sings in the street he will be thought to be drunk and if he dances a policeman will reprove him for impeding the traffic.
Two great religions - Buddhism and Christianity - have sought to extend to the whole human race the cooperative feeling that is spontaneous towards fellow beings. They have preached the brotherhood of man, showing by the use of the word 'brotherhood' that they are attempting to extend beyond its natural bounds an emotional attitude which, in its origin, is biological. If we are all children of God, then we are all a family. But in practice those who, in theory, adopted this creed have always felt that those who did not adopt it were not children of God but children of Satan, and the old mechanism of hatred of those outside the tribe has returned, giving added vigour to the creed, but in a direction which diverted it from its original purpose. Religion, morality, economic self-interest, the mere pursuit of biological survival, all supply to our intelligence unanswerable arguments in favour of world-wide cooperation, but the old instincts that have come down to us from our tribal ancestors rise up in indignation, feeling that life would lose its savor if there were no one to hate, that anyone who could love such a scoundrel as so-and-so would be a worm, that struggle is the law of life, and that in a world where we all loved one another there would be nothing to live for.

Q. The overall tone of the passage can best be categorised as

Detailed Solution for CAT Practice Test: (October 6) - Question 20

The author is giving examples from real life and has a very practical approach towards the idea.
His tone is 'matter of fact' i.e. choice (1).

CAT Practice Test: (October 6) - Question 21

Directions: The passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.

Passage

Bangladesh, a country numbering almost 140 million, whose population is 90 percent Muslim, is a prime example of a nation under siege from a deluge of NGOs. Since 1981, foreign NGOs have created an indigenous mercenary army and set up a parallel government of their own in the country. Given handsome salaries, bribes, awards, vehicles, machinery and huge funds, the nouveau riche mercenaries pretending to be writers, lawyers, teachers, artists and human-right activists, among others, have set up factories, printing presses, and publishing houses.
Bangladesh is probably the world leader in non-governmental organisations, NGOs, perhaps because economically it is near the bottom of the heap. The 20,000 or so NGOs there operate mainly in the country's 86,000 villages, providing education, health, small loans and agricultural development far more efficiently than the corrupt and inefficient government. Yet, while outsiders have lavished praise on the NGOs, Bangladeshis themselves are ambivalent.
Some fear the organisations are becoming a parallel State, financed by foreigners and accountable to nobody.
Most of the foreign money (around $250m a year) goes to a handful of famous NGOs such as the Grameen Bank, the Bangladesh Rural Advancement Committee (BRAC), Proshika and the Association for Social Advancement. These are among the biggest rural-development organisations in the world, and they have an awesome reach.
BRAC alone has 19,000 full-time employees, 34,000 part-time teachers, and 2.3m members (96% female) in 66,000 villages. Its schools admit only those who do not attend or have dropped out of government schools, and at least 70% of these must be girls. It hires teachers from each village, of whom 96% are women without teaching qualifications. They run schools in rented thatched huts, set neither exams nor homework, and have flexible school hours that enable children to work in the fields with their parents, reducing the incentive to drop out.
Teachers are paid 600 taka ($12) a month and teach children that government teachers (paid six times as much) cannot.
The Grameen Bank has pioneered small loans to the poor. Commercial banks say it is too risky to make loans of around $100 to people without assets. But, Grameen organises borrowers into groups which guarantee a loan to any member (exerting peer pressure for repayment). Its repayment rate is over 95%. Other NGOs have followed this route, and now more than poor people (almost all women) have obtained small loans for shops, sewing machines, chicken farming and the like.
Micro-credit is one reason for the fall in poverty in Bangladesh, from 59% of the population in 1991-92 to 53% in 1995-96. A more important reason is the attention to women that NGOs have given. By directing education, jobs and credit at women, the NGOs have created a social revolution in a conservative Muslim society. This is mainly why the fertility rate in Bangladesh has crashed from 6.1 births per woman in 1960 to 3.4 births today. It is expected to decline to 2.5 births by 2010. The mullahs hate NGOs for eroding the traditional male-dominated structure, and occasionally attack their offices.
Resentment also comes from politicians, bureaucrats and leftists, all of whose shortcomings have been exposed by the success of NGOs. Leftwing critics accuse NGOs of exploitative rates of interest: BRAC charges 15%, Grameen up to 22%. Yet the high rate of repayment is the best evidence of affordability. In fact, in labour-intensive work, interest charges are a small proportion of total costs.
Grameen Bank has a policy of only giving its loans to women. This has led to calls that its effects are weakening the institution of the family. It is interested in pursuing a policy that will lead Bangladesh to a situation to that we see in the West where the institution of marriage is on the retreat (marriage break down is at an all time high). When one examines who the patrons of the Grameen Bank are things become much clearer. The World Bank, ADB together with the UN, sets the whole agenda of the Grameen Bank. The World Bank is of course the best example of an NGO, whose abject failures at alleviating poverty are all too well documented.
Politicians complain that NGOs have money and power without accountability, embezzle foreign funds and cook their books. The NGOs reply that their accounts are audited, and sometimes not just in Bangladesh, but also to satisfy donors, by auditors abroad. They say they are accountable both to donors and the villagers they serve. The easy availability of donor funds h as encouraged some crooks to set themselves up as NGOs. But, corruption among NGOs is a trickle compared to the rivers in government.

Q. Why is Bangladesh probably the world leader in NGOs?

Detailed Solution for CAT Practice Test: (October 6) - Question 21

The answer to this question is in the second paragraph where Bangladesh has been described as “near the bottom of the heap” economically and this is the reason for it being world leader in NGOs. Thus correct answer is option (1).

CAT Practice Test: (October 6) - Question 22

Directions: The passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.

Passage

Scientists might be very clever but there are still some things they can't expect to achieve. When they have used up all the easily available sources of energy that nature has scattered carelessly over the surface of our planet, they will have to resort to more laborious processes, and these will involve a gradual lowering of the standard of living. Modern industrialists are like men who have come for the first time fecund land, and can live for a little while in great comfort with only a mode of labour. It would be irrational to hope that the present heyday of industrialism will not develop far beyond its present level, but sooner or later, owing to the exhaustion of raw material, its capacity to supply human needs will diminish, not suddenly, but gradually. This could of course, be prevented if men exercised any restraint or foresight in their present frenzied exploitation. Perhaps before it is too late they will learn to do so. How long will it be before the accessible oil in the world is exhausted? Will all the arable land be turned into dust-bowls as it has been in large parts of the United States? Will the population increase to the point where men again, like their remote ancestors, have no leisure to think of any thing but the food supply? Such questions are not to be decided by general philosophical reflections. Communists think that there will be plenty of oil: if there are no capitalists. Capitalists feel work is the answer. Some religious people think that there will be plenty of food if we trust in Providence. Such ideas are superficial, even when they are called scientific, as they are by the communists.
We all know that the price of food goes up, but most of us attribute this to the wickedness of the Government. If we live under a progressive Government, it makes us reactionary; if we live under a reactionary Government, it turns us into Socialists. Both these reactions are superficial ephemeral, transitory and frivolous. All Governments, whatever their political complexion, are at present willy–nilly in the grip of natural forces which can only be dealt with by a degree of intelligence of which mankind hitherto has shown little evidence.
I do not think any reasonable person can doubt that in India. China and Japan, if the knowledge of birth control existed, the birth rate would fall very rapidly. In Africa the process might take longer, but there also it could be fairly easily achieved if Negro doctors, trained in the West, were given the funds to establish medical clinics in which every kind of medical information would be given. I do not suppose that America would contribute to this beneficent work, because if either party favoured it, that party would lose the Catholic vote in New York State, and therefore the Presidency.
Some opponents of Communism are attempting to produce an ideology for the Atlantic Powers, and for this purpose they have invented what they call 'Western Values'. These are supposed to consist of toleration, respect for individual liberty, and brotherly love. I am afraid this view is grossly unhistorical. If we compare Europe with other continents, it is marked out as the persecuting continent. Persecution only ceased after long and bitter experience of its futility; it continued as long as either Protestants or Catholics had any hope of exterminating the opposite party. The European record in this respect is far blacker than that of the Mohammedans, the Indians or the Chinese. No, if the West can claim superiority in anything, it is not in moral values but in science and scientific technique.
Everything done by European administrators to improve the lot of Africans is, at present, totally and utterly futile because of the growth of population. The Africans, not unnaturally, though now mistakenly, attribute their destitution to their exploitation by the white man.
If two hitherto rival football teams, under the influence of brotherly love, decide to cooperate in placing the football first beyond one goal and then beyond the other, no one's happiness would be increased. There is no reason why the zest derived from competition should be confined to athletics. Emulation between teams or localities or organisations can be a useful incentive. But if competition is not to become ruthless and harmful, the penalty for failure must not be disaster, as in war, or starvation, as in unregulated economic competition, but only loss of glory. Football would not be a desirable sport if defeated teams were put to death or left to starve.
The savage, in spite of his membership of a small community, lived a life in which his initiative was not too much hampered by the community. The things that he wanted to do, usually hunting and war, were also the things that his neighbours wanted to do, and if he felt an inclination to become a medicine man he only had to ingratiate himself with some individual already eminent in that profession, and so, in due course, to succeed to his powers of magic. If he was a man of exceptional talent, he might invent some improvement in weapons, or a new skill in hunting. These would not put him into any opposition to the community, but on the contrary, would be welcomed. The modern man lives a very different life. If he sings in the street he will be thought to be drunk and if he dances a policeman will reprove him for impeding the traffic.
Two great religions - Buddhism and Christianity - have sought to extend to the whole human race the cooperative feeling that is spontaneous towards fellow beings. They have preached the brotherhood of man, showing by the use of the word 'brotherhood' that they are attempting to extend beyond its natural bounds an emotional attitude which, in its origin, is biological. If we are all children of God, then we are all a family. But in practice those who, in theory, adopted this creed have always felt that those who did not adopt it were not children of God but children of Satan, and the old mechanism of hatred of those outside the tribe has returned, giving added vigour to the creed, but in a direction which diverted it from its original purpose. Religion, morality, economic self-interest, the mere pursuit of biological survival, all supply to our intelligence unanswerable arguments in favour of world-wide cooperation, but the old instincts that have come down to us from our tribal ancestors rise up in indignation, feeling that life would lose its savor if there were no one to hate, that anyone who could love such a scoundrel as so-and-so would be a worm, that struggle is the law of life, and that in a world where we all loved one another there would be nothing to live for.

Q. The author does not agree with the fact that the Europeans have a right to preach to others on the human rights issue. This statement is

Detailed Solution for CAT Practice Test: (October 6) - Question 22

Although the author is critical about the values of the Europeans, he talks about the violations in paragraph 4. Nowhere does he suggest that Europeans do or don’t have a right to preach others on human rights. So the answer is (3).

CAT Practice Test: (October 6) - Question 23

Directions: The passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.

Passage

Bangladesh, a country numbering almost 140 million, whose population is 90 percent Muslim, is a prime example of a nation under siege from a deluge of NGOs. Since 1981, foreign NGOs have created an indigenous mercenary army and set up a parallel government of their own in the country. Given handsome salaries, bribes, awards, vehicles, machinery and huge funds, the nouveau riche mercenaries pretending to be writers, lawyers, teachers, artists and human-right activists, among others, have set up factories, printing presses, and publishing houses.
Bangladesh is probably the world leader in non-governmental organisations, NGOs, perhaps because economically it is near the bottom of the heap. The 20,000 or so NGOs there operate mainly in the country's 86,000 villages, providing education, health, small loans and agricultural development far more efficiently than the corrupt and inefficient government. Yet, while outsiders have lavished praise on the NGOs, Bangladeshis themselves are ambivalent.
Some fear the organisations are becoming a parallel State, financed by foreigners and accountable to nobody.
Most of the foreign money (around $250m a year) goes to a handful of famous NGOs such as the Grameen Bank, the Bangladesh Rural Advancement Committee (BRAC), Proshika and the Association for Social Advancement. These are among the biggest rural-development organisations in the world, and they have an awesome reach.
BRAC alone has 19,000 full-time employees, 34,000 part-time teachers, and 2.3m members (96% female) in 66,000 villages. Its schools admit only those who do not attend or have dropped out of government schools, and at least 70% of these must be girls. It hires teachers from each village, of whom 96% are women without teaching qualifications. They run schools in rented thatched huts, set neither exams nor homework, and have flexible school hours that enable children to work in the fields with their parents, reducing the incentive to drop out.
Teachers are paid 600 taka ($12) a month and teach children that government teachers (paid six times as much) cannot.
The Grameen Bank has pioneered small loans to the poor. Commercial banks say it is too risky to make loans of around $100 to people without assets. But, Grameen organises borrowers into groups which guarantee a loan to any member (exerting peer pressure for repayment). Its repayment rate is over 95%. Other NGOs have followed this route, and now more than poor people (almost all women) have obtained small loans for shops, sewing machines, chicken farming and the like.
Micro-credit is one reason for the fall in poverty in Bangladesh, from 59% of the population in 1991-92 to 53% in 1995-96. A more important reason is the attention to women that NGOs have given. By directing education, jobs and credit at women, the NGOs have created a social revolution in a conservative Muslim society. This is mainly why the fertility rate in Bangladesh has crashed from 6.1 births per woman in 1960 to 3.4 births today. It is expected to decline to 2.5 births by 2010. The mullahs hate NGOs for eroding the traditional male-dominated structure, and occasionally attack their offices.
Resentment also comes from politicians, bureaucrats and leftists, all of whose shortcomings have been exposed by the success of NGOs. Leftwing critics accuse NGOs of exploitative rates of interest: BRAC charges 15%, Grameen up to 22%. Yet the high rate of repayment is the best evidence of affordability. In fact, in labour-intensive work, interest charges are a small proportion of total costs.
Grameen Bank has a policy of only giving its loans to women. This has led to calls that its effects are weakening the institution of the family. It is interested in pursuing a policy that will lead Bangladesh to a situation to that we see in the West where the institution of marriage is on the retreat (marriage break down is at an all time high). When one examines who the patrons of the Grameen Bank are things become much clearer. The World Bank, ADB together with the UN, sets the whole agenda of the Grameen Bank. The World Bank is of course the best example of an NGO, whose abject failures at alleviating poverty are all too well documented.
Politicians complain that NGOs have money and power without accountability, embezzle foreign funds and cook their books. The NGOs reply that their accounts are audited, and sometimes not just in Bangladesh, but also to satisfy donors, by auditors abroad. They say they are accountable both to donors and the villagers they serve. The easy availability of donor funds h as encouraged some crooks to set themselves up as NGOs. But, corruption among NGOs is a trickle compared to the rivers in government.

Q. The success of BRAC can be attributed to the fact that

Detailed Solution for CAT Practice Test: (October 6) - Question 23

The actual reason for success of any organisation is measured in terms of its reach. It is mentioned, "BRAC alone has 1900 full-time employees, 34,000 part-time teachers, and 2.3m members (96% female) in 66,000 villages." The information in options (1), (2), (3) & (5) is factually and statistically correct as per the achievements of the organisation but it is the reach of organisation which prevails over all other factors that determines the success of BRAC. Thus option (4) is correct.

CAT Practice Test: (October 6) - Question 24

Directions: The passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.

Passage

The vast collection of interconnected networks that all use the TCP/IP protocols and that evolved from the ARPANET of the late 60's and early 70's, an "intranet" (lower case i), are computers connected to each other (a network), and are not part of the Internet unless the use TCP/IP protocols. An "intranet" is a private network inside a company or organization that uses the same kinds of software that you would find on the public Internet, but that is only for internal use. An intranet may be on the Internet or may simply be a network.
The world has come a long way since Xerox Corporation first built a new machine called the personal computer (PC) and Steve Jobs introduced the Mac as the friendly alternative to the forbidding mainframes of the 1960s and 1970s. The coming together of IBM, Intel and Microsoft in the early 1980s has set off a revolution that has brought the power of computing to the fingertips of every user across the world. From the departmental PC to the Local Area Network to the development of the Internet-the ubiquitous network of networks-the progress in computer and communications technology has been tremendous. Most people, organizations and countries have been influenced in one way or the other by the rapid spread of the Internet.
There are over 70 million Internet users worldwide, and the World Wide Web now unites entire universities, shopping centres, entertainment sites and business transactions facilities into virtual communities. But there is still a fair bit of skepticism and cynicism in the approach of many CEOs, marketing strategists and even some systems managers when it comes to going beyond the hype and developing an Internet strategy for their companies. Many organizations, particularly in India are still sitting on the fence. They prefer to wait for their overseas collaborators to take the first step, or go through the motions of setting up a company home page as their token offering to the Internet God-something everybody talks about but few seem to fully understand.
The truth is that the Internet is not just a faster communication medium for - mail or an on-line information gathering facility, two activities that account for a large proportion of the time users spend on the Net. Correctly understood and used, it can be the new paradigm for marketing and corporate communications that can change the way businessmen and professionals perceive and transact business in the next century. But that will only happen if corporate planners and marketing strategists take off their blinkers and look beyond traditional marketing and selling techniques. The ground is shifting from under their feet and it's time they made the Internet move. The formation of virtual communities will mean that the role of traditional selling media like newspapers, television, movie theatres and even the average salesperson will be eroded. As we begin to depend on the web for information, education and entertainment, marketing will truly become buyer-centric, and would depend less on sales promotion budgets. Most successful organizations will be those that predict customer psychology and enable or sponsor the development of virtual communities, thereby ensuring access into as many communities as possible to spread their specific product messages.
Among the earliest to adopt of this approach was Apple, whose famous E-World site has been one of the early successes in setting up a loyal community. Many early Indian web surfers, including movie thespian Shammi Kapoor will vouch for the impact of this site. Many pioneering marketers-from bookstores to travel agents to package delivery companies have already begun to develop a new breed of loyalists and are offering services ranging from browsing to information gathering, to order placement and consignment tracking through the Internet. These are the firms who are really establishing what Prahlad and Hamel called "Opportunity Share".
Internet is primarily an information rather than visual-driven environment, and that understanding this reality has fundamental implications for organizations who want to develop successful Internet applications. They ask, "Why not accept that the Internet is a wonderful environment to deliver deep, rich and timely information on products, services, event, developments? That it is a wonderful environment for allowing people to communicate (email) with each other, for allowing business to trade with business, and for marketers to understand consumer needs better and develop closer relationships with these consumers."
The IDC report says that about 50 percent of all US companies have set up sites on the Web. The companies connected to their customers are finding cost savings of 50 percent to 90 percent in sales, customer support, distribution, and other areas. 80 percent of companies using Intranet applications have seen a positive return on investment, with an average annualized return of 38 percent.
A recent global survey shows that over two-thirds of the world's marketing planners have the Internet as a key ingredient of their marketing mix for the year. To make this possible, an Internet strategy must be regarded as a thread running through the entire business strategy of the firms. From customer and market research to marketing, materials planning, procurement, manufacturing, distribution, logistics and customer service, every process can be enriched through the use of Internets, Intranets and Extranets. Of course it will require some business and technological savvy to leverage the immense potential of this new technology to attain sustainable competitive advantage. CEOs will have to build up this competence within their firms to survive and build market dominance in the new millennium.

Q. Which of the following is not an example of the term "opportunity share"?

Detailed Solution for CAT Practice Test: (October 6) - Question 24

The term "opportunity share" finds mention in the last line of paragraph 5 but its definition can be traced back to paragraph 4 where the following line "…look beyond traditional marketing and selling techniques" defines the term and later on the strategies and ways by which it has been achieved are discussed. Options (1), (2) and (4) cannot be deemed as correct answers because they are examples of the opportunity share. Thus best answer for this question is option (3).

CAT Practice Test: (October 6) - Question 25

Directions: Passage is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.
We are entering the Age of the Terrific Deal, where choices are almost limitless and it's easy to switch to something better. This is the first principle of the new economy. Understanding it is the first step towards understanding what is happening to the rest of our lives. All else follows. And who doesn't want a better deal? Only the indolent, insane, or congenitally complacent would pass up a product that's obviously better (and costs no more) or cheaper (and of the same quality), an investment with a higher return, a more rewarding job, a more comfortable community. You owe it to yourself, your family. You owe it to capitalism. The insistence on a better deal didn't begin in America. It's just more extreme here. For most of history, humankind lived in villages surrounded by dense forests, deserts, or otherwise dangerous and mysterious terrain.
What is the theme of the passage?

Detailed Solution for CAT Practice Test: (October 6) - Question 25

Mankind has progressed because it always looked for better deals. This option provides the answer. Hence, (3) is the answer. It can be inferred from the line 'You owe it to yourself, your family. You owe it to capitalism.'

CAT Practice Test: (October 6) - Question 26

Directions: The short passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.
The significance of life is living. Do we really live? Is life worth living when there is fear, when our whole life is trained in imitation, in copying? In following authority, is there living? Are you living when you follow somebody, even if he is the greatest saint or the greatest politician or the greatest scholar? If you observe your own ways, you will see that you do nothing but follow somebody or another. It is very difficult to put away authority. What is freedom from authority? You can break a law. That is not the freedom from authority. But there is freedom in understanding the whole process, how the mind creates authority, how each one of us is confused and therefore wants to be assured that he is living the right kind of life. Because we want to be told what to do, we are exploited by gurus, spiritual as well as scientific.
What is the theme of the passage?

Detailed Solution for CAT Practice Test: (October 6) - Question 26

Options (1) and (2) are pretty close, but a closer scrutiny reveals that (1) emphasizes only on the need to avoid imitation, not on self realization; living and learning through your experiences. Hence, (1) should be eliminated. Note that the passage emphasizes 'living' the experiences instead of imitating the experiences.

CAT Practice Test: (October 6) - Question 27

Directions: The short passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.
The greatest hunger in life is not for food, money, success, status, security, or even love from the opposite sex. The deepest hunger in life is a secret that is revealed only when a person is willing to unlock a hidden part of the self. In the ancient traditions of wisdom, this quest has been likened to diving for the most-precious pearl in existence, a poetic way of saying that you have to swim far out beyond shallow waters, plunge deep into yourself, and search patiently until the pearl beyond price is found. The pearl is also called essence, the water of life, holy nectar - labels for what we, in our more prosaic scientific age, would simply call transformation. Transformation means radical change of form, the way a caterpillar transforms into a butterfly. In human terms, it means turning fear, aggression, doubt, insecurity, hatred, and emptiness into their opposites. It comes down to the age old choice of separation or unity.
What is the theme of the passage?

Detailed Solution for CAT Practice Test: (October 6) - Question 27

The latter part of this option highlights the theme of the passage - “unlock a hidden part of the self. In the ancient traditions of wisdom … (dive below the surface) for the most-precious pearl”. Hence, (3) is the answer.

CAT Practice Test: (October 6) - Question 28

Directions: The short passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.
Ask an American schoolchild what he or she is learning in school these days and you might even get a reply, provided you ask it in Spanish. But don't bother, here's the answer: Americans nowadays are not learning any of the things that we learned in our day, like reading and writing. Apparently these are considered fusty old subjects, invented by white males to oppress women and minorities. No one ever spent a moment building my self-esteem when I was in school. In fact, from the day I first stepped inside a classroom my self-esteem was one big demolition site. All that mattered was "the subject," be it geography, history, or mathematics. I was praised when I remembered that "near", "fit", "friendly", "pleasing", "like" and their opposites took the dative case in Latin. I was reviled when I forgot what a cosine was good for. Generally I lived my school years beneath a torrent of castigation so consistent I eventually ceased to hear it, as people who live near the sea eventually stop hearing the waves.
What is the theme of the passage?

Detailed Solution for CAT Practice Test: (October 6) - Question 28

The underlying idea of the passage is that American school teaching today is more about rote learning of abstract subjects, than about the basics needed. The answer is provided in the second line of the passage, which states "Americans nowadays are not learning any of the things that we learned in our day, like reading and writing." Thus, option (1) is correct.

CAT Practice Test: (October 6) - Question 29

Directions: The short passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.
When you take a fish out of the ocean and throw it on the bank – the misery and the suffering and the torture, and the hankering and the effort to reach back to the ocean is because that is where the fish belongs. Any suffering is simply indicative that you are not in communion with existence that the fish is not in the ocean. When a dewdrop slips from a lotus leaf into the ocean, it does not find that it is part of the ocean, it finds it is the ocean. And to find it is the ultimate goal, the ultimate realisation. There is nothing beyond it. I don’t want anybody to stand between an individual and existence. You are here, every individual is here, and the whole existence is available.
What is the theme of the passage?

Detailed Solution for CAT Practice Test: (October 6) - Question 29

Both the instances given, that of the fish and that of the dew drop, point towards the smallness and the suffering of anything separated from its existence. Therefore, when we are separated from our existence, we suffer.

CAT Practice Test: (October 6) - Question 30

Directions: The short passage below is followed by a question based on its content. Answer the question on the basis of what is stated or implied in the passage.
Separateness is an illusion. That's what we learn through the spiritual practice of connections. Everything is interrelated in time, space, and our very being. Both religion and science reveal this truth: the experiences of the mystics, the teachings of ecology and physics, even the Internet. One definition of spirituality is "the art of making connections." There are certain givens: The one is made up of many. One thing always leads to another. Everything is related to everything else. You practice connections, then, by consciously tracing the links connecting you with other beings. Any point is a good starting place – your family line, your work, your back yard. Watch for the moments when the separations disappear. And don't be shy about naming mystical experiences as such when you experience them.
The practice of connections reinforces holistic thinking and awareness of how the spiritual, emotional, and mental aspects of our being interpenetrate and nourish each other.
What is the theme of the passage?

Detailed Solution for CAT Practice Test: (October 6) - Question 30

This can be derived from "One thing always leads to another. Everything is related to everything else. You practice connections, then, by consciously tracing the links connecting you with other beings. Any point is a good starting". Hence, (4) is the answer. The passage has spiritual connotations, which all other options fail to catch.

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