Pharm. D. (Doctor of Pharmacy)

The Union Ministry of Health and the Pharmacy Council of India (PCI) have introduced a six-year Doctor of Pharmacy (Pharma D) course. 5 years will be academic session and final year is completely bound to internship in hospital. It provides intensive training in pharmacy practice & clinical pharmacy services. Students can enrol for this course after 10 + 2, or Post – Baccalaureate, in which case the duration of the course would be reduced to 3 years. Only institutions running B. Pharm programs, approved under Section 12 of the Pharmacy Act will be running Pharm. D. programs.

Eligibility: Students who have passed Intermediate with Bipc/MPC or D. Pharma are eligible for admission to the new course.

Entrance Exam: EAMCET

ROLE OF PHARM D
Pharm D is mainly hospital oriented, as evident from the fact that it's a compulsion that the colleges offering the course must have an adjoined hospital

Duration of the course:

• Pharm.D: The duration of the course shall be six academic years (five years of study and one year of internship or residency) full time with each academic year spread over a period of not less than two hundred working days. The period of six years duration is divided into two phases –
  Phase I – consisting of First, Second, Third, Fourth and Fifth academic year.
  
  Phase II – consisting of internship or residency training during sixth year involving posting in speciality units. It is a phase of training wherein a student is exposed to actual pharmacy practice or clinical pharmacy services and acquires skill under supervision so that he or she may become capable of functioning independently.
  
• Pharm.D. (Post Baccalaureate): The duration of the course shall be for three academic years (two years of study and one year internship or residency) full time with each academic year spread over a period of not less than two hundred working days. The period of three years duration is divided into two phases –
  
  Phase I – consisting of First and Second academic year.
  Phase II – consisting of Internship or residency training during third year involving posting in speciality units. It is a phase of training wherein a student is exposed to actual pharmacy practice or clinical pharmacy services, and acquires skill under supervision so that he or she may become capable of functioning independently.

Subjects in each year:

First year Pharm. D:
• Human Anatomy and Physiology
• Pharmaceutics
• Medicinal Biochemistry
• Pharmaceutical Organic Chemistry
• Pharmaceutical Inorganic Chemistry
• Remedial Mathematics/ Biology.
  
  Second Year Pharm. D:
  
• Pathophysiology
• Pharmaceutical Microbiology
• Pharmacognosy & Phytopharmaceuticals
• Pharmacology-I
• Community Pharmacy
• Pharmacotherapeutics-I.
  
  Third Year Pharm. D:
  
• Pharmacology-II
• Pharmaceutical Analysis
• Pharmacotherapeutics-II
• Pharmaceutical Jurisprudence
• Medicinal Chemistry
• Pharmaceutical Formulations.
  
  Fourth Year Pharm. D:
  
• Pharmacotherapeutics-III
• Hospital Pharmacy
• Clinical Pharmacy
• Biostatistics & Research Methodology
• Biopharmaceutics & Pharmacokinetics
• Clinical Toxicology
  
  Fifth Year Pharm. D:
  
• Clinical Research
• Pharmacoepidemiology and Pharmacoeconomics
• Clinical Pharmacokinetics & Pharmacotherapeutic Drug Monitoring
• Clerkship
• Project work (Six Months).
  
  Sixth Year Pharm. D:
  Internship or residency training including postings in speciality units. Student should independently provide the clinical pharmacy services to the allotted wards.
  
  1. Six months in General Medicine department,
  2. Two months each in three other speciality departments

In Andhra Pradesh 15 colleges are offering Pharm D courses

• Smt. Sarojini Ramulamma College of Pharmacy, Seshadrinagar, Mahabubnagar
• Raghavendra Institute of Pharmaceutical Education & Research (RIPER), KR Palli Cross, Cheyyedu, Anantapur
• Deccan School of Pharmacy, Zafargarh, P.O. Kanchanbagh,Hyderabad
• Talla Padmavathi College of Pharmacy, Orus-Kareemabad, Warangal
• Bharat Institute of Technology, Mangalpalli Village Ibrahimpatnam (Mandal), Distt.RANGA REDDY
• St. Peter’s Institute of Pharmaceutical Sciences, # 2-4-1211, Vidyanagar,HANAMKONDA
• Sri Venkateshwara College of Pharmacy, 86, Hitech City Road, Madhapur,Hyderabad
• GIET School of Pharmacy NH-5, Chaitanya Nagar, Rajahmundry
• Malla Reddy College of Pharmacy, Maisammaguda, Dhullapally (Post Via Hakimpet), Secunderabad
• Shri Vishnu College of Pharmacy Vishnupur, Bhimavaram, West Godavari
• Vaagdevi College of Pharmacy, H.No. 2-2-457/3, Ramnagar, Hanmakonda,Warangal
• P. Rami Reddy Memorial College of Pharmacy, 1-35, Prakruthi Nagar, Utukur, Kadapa
• Chalapathi Institute of Pharmaceutical Science, Chalapathi Nagar, Lam, Guntur
• Annamacharya College of Pharmacy, New Boyanpalli, Rajampet
• KVSR Siddhartha College of Pharmaceutical Sciences, Siddhartha Nagar,Vijayawada.
• MESCO College of Pharmay, Mustaidpura, Karwan Road, Hyderabad

For list of colleges in other states please visit: http://www.pci.nic.in/

IMPORTANT NOTE:

Eligibility for promotion to next year: All students who have appeared for all the subjects and passed the first year annual examination are eligible for promotion to the second year and, so on. However, failure in more than two subjects shall debar him or her from promotion to the next year classes.

Internship: Internship is a phase of training wherein a student is expected to conduct actual practice of pharmacy and health care and acquires skills under the supervision so that he or she may become capable of functioning independently.

Objectives of Pharm D Program:

1. To Provide patient care in cooperation with patients, prescribers, and other members of an interprofessional health care team based upon sound therapeutic principles and evidence-based data, taking into account relevant legal, ethical, social cultural, economic, and professional issues, emerging technologies, and evolving biomedical, pharmaceutical, social or behavioral or administrative, and clinical sciences that may impact therapeutic outcomes.
2. To manage and use resources of the health care system, in cooperation with patients, prescribers, other health care providers, and administrative and supportive personnel, to promote health; to provide, assess, and coordinate safe, accurate, and time-sensitive medication distribution; and to improve therapeutic outcomes of medication use.
3. To promote health improvement, wellness, and disease prevention in co-operation with patients, communities, at-risk population, and other members of an interprofessional team of health care providers.
4. To demonstrate skills in monitoring of the National Health Programmes and schemes, oriented to provide preventive and promotive health care services to the community.
5. To develop leadership qualities to function effectively as a member of the health care team organised to deliver the health and family welfare services in existing socio-economic, political and cultural environment.
6. To communicate effectively with patients and the community.
   
   CAREER OPPORTUNITIES
   The role of a pharmacist has changed drastically over the years with the constant expansion of health care programmes and the increasing need for quality pharmaceutical care. The growth of this sectors has thrown up diverse career options that include Community Pharmacy, Geriatric Pharmacy, Home Health Care, Hospital Pharmacy, Governmental agencies, Managed care, Pharmacoeconomics, Pharmacy education apart from Pharmaceutical industry.
   
   The following are some of the numerous and diverse career options available to Pharm.D. graduates:
   
   • Community Pharmacy
   • Geriatric Pharmacy
   • Governmental Agencies
   • Home Health Care
   • Hospital Pharmacy
   • Managed Care
   • Pharmaceutical Industry
   • Pharmacoeconomics
   • Pharmacy Education
   • Specialized Area Opportunities
   
   Certificate of passing examination:Every student who has passed the examinations for the Pharm.D. (Doctor of Pharmacy) or Pharm.D. (Post Baccalaureate) (Doctor of Pharmacy) as the case may be, shall be granted a certificate by the examining authority.

IBPS CLERKS BANKING AWARENESS MCQs

1. Which of the following statements is true?
a) The licence to open branches of bank is granted by Board of Directors of that Bank
b) There is no need of licenses to open branch of a bank
c) A licence to open a branch is issued by the Central Government
d) A licence to open a branch is issued by the Reserve Bank of India under the provisions of Banking Regulation Act, 1949

2. The important condition for granting licence of banking companies is?
a) Banking company need not plan to pay for future depositors
b) Banking company can plan for its capital structure once the licence is granted
c) The business undertaken by the banking company should not frustrate the interest of public
d) The banking company can undertake business other than banking with the permission of annual general body

3. Who of the following is not a party to the IPO?
a) Registrar of Issue
b) Investment Banker
c) Advertisement Agency
d) Registrar of Companies

4. Which of the following is not shown as an asset in the balance sheet of a Bank?
a) Investments
b) Advances
c) Cash Balances with other banks
d) Borrowings

5. The credit policy of a bank does not consists of?
a) Lending policies
b) Quality control
c) Loan product mix
d) Advertising of loan products

6. Which of the following is a function of the agent bank relating to flow of money in the process of loan syndication?
a) Receiving notices relating to cancellation of any part of the loan
b) Calling of loans in the event of default
c) Receiving the fee from the borrower and distributing among the participating banks
d) Receiving notices relating to transfers of banks

7. Which of the following is the parameter to recognize the SSI unit as sick unit?
a) The erosion in the net-worth due to accumulated losses is up to 25% of its net worth during the previous account year
b) The erosion in the net-worth due to accumulated losses is up to 50% of its net worth during the previous account year.
c) The unit should have been in commercial production for at least five years
d) Lack of updations in technological development

8. Which of the following is not the service provided by the Small Industries Service Institute?
a) Providing entrepreneurship development programs
b) Developmental efforts
c) Export promotion and liaison activities
d) Financial support

9. Service Area Approach (SAA) is associated with?
a) Rural and Semi-urban branches of commercial banks
b) Urban branches of commercial banks
c) Branches of commercial banks situated in metro cities
d) Development banks

10. Which of the following cannot be securitized?
a) Future rentals of a fishing boat
b) Hire purchase receivables
c) Demand drafts received by the banker during clearing
d) Future billings for an airline

11. Which of the following statements is true?
a) The special purpose vehicle (SPV) purchases the assets from the borrower directly during the securitization
b) The originator and obligor are the same persons in securitization process
c) Administrator collects the payments due from the obligor and passes it to the SPV and follows with defaulters
d) Mortgage based securitization provides high yields to the investor


12. The important feature of an anticipatory letter of credit is that?
a) The letter of credit can be used as back- to- back letters of credit
b) The beneficiary under the letter of credit may receive payment even at the pre-shipment stage
c) The beneficiary under the letter of credit may receive payment even at the post-shipment stage
d) The cash advance is not permitted against such letter of credits

13. The Shipping guarantee is a?
a) Type of a letter of credit
b) Guarantee issued by the ship captain to the purchaser
c) Guarantee issued to the borrower towards the loan granted by the shipping company
d) Deferred payment guarantee issued by a banker at the request of the consignee when the documents are not received and goods are received, for facilitating the delivery of goods.

14. Which of the following statements is true?
a) The charge card is a credit instrument
b) Under this facility the cardholders need to pay amount within ten installments
c) Cardholder has to pay the 100% of the purchase amount within 30 days of purchase
d) The charge card shall have revolving credit

15. Which of the following is not augmented feature of a credit card?
a) Personal accident insurance
b) Cash withdrawals
c) Add-on facility
d) Issue of deferred guarantee

16. Which of the following is the disadvantage of going for public issue?
a) Liquidity to existing shares
b) Increase in visibility and reputation to the company
c) Better pricing and placement with new investors
d) Need to make continuous disclosures

17. Which of the following is not a criterion to select the Investment Bankers?
a) No professional memberships or incorporations are required
b) General reputation in the market
c) Good rapport with market intermediaries
d) Distribution net work of the organization

18. Which of the following is not an asset of a bank?
a) Notes and small coins
b) Overdue recurring deposits
c) Short term loans
d) Staff advances

19. The banking company has restriction to sanction loan to?
a) Directors of the bank
b) Staff working in the bank
c) Students going abroad
d) Professionals

20. Which of the following is a non-depository institution?
a) Credit unions
b) Commercial banks
c) Mutual funds
d) Regional rural banks

21. The disadvantage associated with leasing company is?
a) Low costs
b) Flexibility in payments
c) Eliminates the risk of obsolescence
d) High competitions because of entry to all financial institutions

22. Which of the following theory is associated with the financial system in the economic growth?
a) Retributive theory
b) Reformative theory
c) Financial repression theory
d) Jurisdictional theory

23.Which of the following is not a financial intermediary in the financial markets?
a) Pension funds
b) Credit unions
c) Life insurance companies
d) Small scale service institute.

24 Which of the following is not a function of a commercial bank?
a) Registration of charges and mortgages
b) Transactions services
c) Asset transaction
d) Real-time Gross Settlement

25. Which of the following is one of the three pillars of new Basel Capital Award?
a) Market competitions
b) Market rapport
c) Market discipline
d) International market relations

26. The interest in savings bank accounts of a bank is calculated on?
a) Minimum amount of balance that is maintained in the account in between 10th and the last day of month
b) Maximum amount of balance that is maintained in the account in between 10th and the last of month
c) Minimum amount of balance that is maintained in the account in between 1st and the last day of month
d) Maximum amount of balance that is maintained in the account in between 1st and the last of month

27. The credit policy of a bank does not deal with?
a) Credit risk management
b) Documentation standards
c) Review and renewal of advances
d) Outstanding balances in deposit accounts

28. Issuing credit cards is a component of ?
a) Corporate banking
b) Rural banking
c) Retail banking
d) Micro finance

29. The origin of bank instruments can be traced to?
a) The priests and worship places of public deposits
b) Goldsmith receipts
c) Bonds issued by the British Government in India
d) Bank notes issued by Bank of Venice

30. Which of the following is not the function of commercial banks?
a) Providing transaction services
b) Intermediation in financial services
c) Providing transformation services
d) Regulating the issue of bank notes.

31 Which of the following is the most important challenge before the commercial bank?
a) Maintenance of foreign currency
b) Evaluating the need of the customers
c) Maintenance of SLR and CRR
d) Meet the technological revolution

32. The asset's side of balance sheet consists of ?
a) Cash balances with other banks
b) Fixed deposits of customers
c) Savings deposits
d) Recurring deposits

33. Which of the following is an income for a bank?
a) Depreciation on bank's property
b) Interest on inter bank borrowings
c) Profit on revaluation of investments
d) Provisions made on account of write-offs

34. Saving Bank Account can be opened in the name of ?
a) State text book printing corporations
b) District level housing cooperative societies
c) Communist Party of India
d) Aravind Samuel, Anurag Deepak and Amarish Sugandhi Jointly

35. The interest on recurring deposit is paid on the basis of ?
a) Simple interest calculated monthly basis
b) Simple interest on monthly products basis
c) Quarterly compounding
d) Interest calculated on daily products basis

36. Which of the following statements is true?
i. Term deposits are non-transaction deposits
ii. Cheques can be issued on short-term deposits
iii. All term deposits are interest bearing deposits
a) (i) only
b) (ii) only
c) (iii) only
d) (i) and (iii)

37. The credit policy laid down by the top management of a bank does not deal with?
a) Credit risk management
b) Pricing of the credit products
c) Appraisal of time and demand deposits
d) Documentation standards.

38. Which of the following factors is not required to be considered to analyze the repayment capacity of a borrower?
a) Working capital management
b) Personal educational qualifications
c) Financial leverage
d) Interest rate risk management

39. Which of the following is a facilitating service of core loan products of retail banking services?
a) Current or savings accounts
b) Legal services for documentation
c) Delivery of loan at promised time period
d) Flexibility in prepayment of loan

40. Which of the following is an most important advantage of retail banking on the resource side?
a) Consumer loans are low risk products
b) Innovative product development and disbursal
c) Increases the subsidiary business of a bank
d) Requires less efforts to market retail loan products

41. Lenders may not provide trade-offs to the borrowers on the basic term of consumer installment credit relating to?
a) Interest rate
b) Maturity of the loan
c) Maturity of the deposit
d) Quantum of finance

42. Which of the following is the risk associated with the retail banking?
a) Strong recovery strategy
b) Definite lending limits
c) Effective credit process and proposals
d) Inadequate risk pricing

43 The advantage of consortium finance is?
i. Speedy transactions and individual approach
ii. Involvement of huge amounts
iii. Use of expertise of all the banks
a) (i) only
b) (ii) only
c) (iii) only
d) (i), (ii) and (iii)

44 Which of the following is not a function of the agent bank in loan syndication?
a) Ensuring the compliance of conditions precedent under the loan agreement
b) Determining the LIBOR interest rate for each interest rate
c) Planning for future syndication of loans
d) Receiving notices relating to cancellation of any part of the loan

45. Which of the following is not a phase/step in the formation of loan syndication?
a) Finalization of supply agreement
b) Identify the needs of the borrower
c) Preparation of information memorandum
d) Invite other banks to participate

46. Which of the following statements is true?
a) SSI is an undertaking in which the investments in fixed assets in plant and machinery does not exceed one million
b) Small and medium enterprises both in size and shape are not homogenous in nature
c) The small and medium enterprises contribution towards the GDP is nominal
d) Small and medium enterprises do not support the large industries.

47. The Nayak Committee has suggested the turnover method for assessing the working capital and pegged it at?
a) 15% of the projected annual turnover, as working capital limit
b) 20% of the projected annual turnover, as working capital limit
c) 25% of the projected annual turnover, as working capital limit
d) 30% of the projected annual turnover, as working capital limit

48. Which of the following is not a part of the rehabilitation package granted for revival of sick industry?
a) Waiver of penal interests
b) Funding by sanctioning of term loans towards the unpaid installments of loans
c) Grant of additional working capital loans
d) Not demanding the promoters contribution towards the rehabilitation package

49. Service Area Approach is associated with?
a) Industrial finance
b) Microfinance
c) Rural finance
d) Consortium finance

50. Which of the following resources cannot be securitized?
a) Credit balances outstanding in cash credit accounts
b) Credit Card receivables
c) Hire purchase receivable
d) Mortgage in lieu of future payments

51. Which of the following is a type of anticipatory letter of credit?
a) Green clause letter of credit
b) Yellow clause letter of credit
c) Back to back letters of credit
d) Revolving letter of credit

52. Performance guarantee is issued?
a) In lieu of earnest money
b) In lieu of retention money
c) In lieu of indemnity bonds
d) For successful competition of Turnkey projects

53. Which of the following is not a transfer of funds by using the electronic media?
a) Mail transfer of funds
b) Telegraphic transfer of funds
c) Electronic credit transfers
d) Electronic clearing transfers

54. Which of the following is not an augmenting feature of credit cards?
a) Personal accident insurance
b) Cash withdrawal facility
c) Add-On facility
d) Automatic recovery of interest on term loans

55 Which of the following is a disadvantage of going public issue?
a) Provides liquidity to existing shares
b) Commands better pricing than placement with few investors
c) Increased regulatory norms
d) Enables valuation of the company

56 Which of the following is not a reason for regulating the banking operations?
a) Banks hold a major portion of the public savings
b) Banks intermediate between the savings and investments
c) Banks hold a large part of the money supply
d) Banks earn profit from non-fund services

57. Which of the following statements is true?
a) Resave Bank of India empowers the banks to open branches according to their will and pleasure
b) Reserve Bank of India is a central bank which monitors only lending activities pertaining to export credit
c) Banks have authority to establish the ATMs at their convenience
d) Rural banks of commercial banks do not have freedom to issue credit cards

58. When the customer withdraws cash from ATM, the banker and customer relation ship is?
a) Debtor and Creditor
b) Creditor and Debtor
c) Lessor and Lessee
d) Agent and principal

59. Which of the following is a public sector Bank?
a) IDBI
b) ICICI
c) AXIS
d) HDFC

60. Trade control in India is regulated by?
a) RBI
b) SEBI
c) EXIM Bank
d) DGFT

61 Which of the following businesses is prohibited as per Sec 8 of B.R Act 1949?
a) Executing the trusts
b) Leasing
c) Retail trading
d) Underwriting

62. Which of the following is not one of the essential elements of internal audit?
a) Totality
b) Expertise
c) Independence
d) Subjectivity

63. The letter of credit, which facilitates the exporter to get pre- shipment finance (from the stage of purchase of raw material until the warehousing of the finished goods) from advising bank is called?
a) Red Clause LC
b) Lines of credit
c) Packing credit loan
d) Green Clause LC

64. A term loan is classified as a non-performing asset, if interest or installment is overdue for period exceeding how many days?
a) 90
b) 91
c) 180
d) 182

65. Which of the following is an interest bearing demand deposit?
a) Time Deposit
b) Re-investment deposits
c) Cash Certificates
d) Savings Bank account

66. Debt Recovery Tribunals accept petitions from Banks and financial institutions, only when the amount of suit is for Rs?
a) 1 00 000 and above
b) 5 00 000 and above
c) 7 50 000 and above
d) 10 00 000 and above

67. An endorsement is deemed as an instruction to?
a) Collecting Bank
b) Paying Bank
c) Drawer
d) Payee

68. Ideal Credit deposit ratio for a bank is?
a) 60%
b) 40%
c) 90%
d) 30%

69. The rate at which RBI rediscounts the bills of commercial banks is called as?
a) Bank Rate
b) Prime Lending rate
c) Repo rate
d) BPLR

70. Which of the following is not one of the RBI directives on clean note policy?
a) Currency note packets are not to be stapled and secured with paper bands
b) Soiled notes are to be stapled before they are remitted to Currency Chest.
c) Water mark window of bank notes shall not contain any writings
d) Currency notes are to be sorted in to Issuable and non-issuable notes.

71. Which of the following committees are related to 'Micro financing'?
a) Nayak Committee
b) Tandon committee
c) Vyas Committee
d) Narasimham committee

72. The relation ship between RBI and the Bank maintaining the currency chest is that of?
a) Debtor and Creditor
b) Principal and Agent
c) Bailor and Bailee
d) Creditor and Debtor

73. Normally, the number of members in a self Help Group shall not exceed?
a) 10
b) 20
c) 50
d) 15

74. Short fall in fulfilling the targets of Priority sector and agricultural finance by domestic commercial banks shall be deposited with/in?
a) RIDF
b) SIDBI
c) RBI
d) IDBI

75. The maturity value of a Recurring deposit with a monthly contribution of Rs 500 kept for a period of 12 months, at 9% interest rate compounded quarterly would be Rs.?
a) 6, 265
b) 6, 625
c) 7, 255
d) 7, 555

76. Which of the following is not an imperfect note?
a) Washed note
b) Bleached note
c) Mutilated note
d) Oiled note

77. Credit rating helps in measuring the credit risk and facilitates?
a) Considering higher credit limits
b) Making loan provisioning at an early stage
c) Accurately calculate the probable loan losses
d) Pricing of a loan

78. The Reverse Repo has the following characteristic?
a) Borrowing by RBI from banks
b) Borrowing with government security as collateral
c) Short term borrowing
d) All of these

79. Under the Nayak Committee recommendations, the quantum of working capital limits from the bank is minimum percentage of the projected annual sales?
a) 5%
b) 15%
c) 20%
d) 25%

80. Banks insist on providing finance for those projects or activities only which they consider to be viable. What is meant by viability of project?
a) Capacity to generate cash, adequate to service debt and surplus for borrower's personal requirement.
b) Generation of cash to meet debt liability
c) Generation of profits.
d) Generation of gross profits

81. Letter of negative lien obtained from borrower by a bank contains?
a) An undertaking that the property mortgaged to the bank is his own
b) A confirmation that the borrower had earlier deposited title deeds to create mortgage on the property.
c) An undertaking not to create any encumbrance/lien on the property which he owns but not yet mortgaged to the bank
d) A declaration that he is the joint owner of the property furnishing the details of his share and valuation thereof.

82. Which of the following statement is CORRECT?
a) Consortium advances to be treated as NPA on the basis of recovery by individual banks
b) If one facility of a borrower is treated as NPA other facilities to him also to be treated as NPA even if there are no irregularities in that account.
c) Consortium must be formed if the total exposure of fund based limit exceeds Rs 100 crore.
d) Both (a) and (b)

83. If an IPO is under-priced, which of the following can be considered as consequences/implications of the same?
I. The company looses the opportunity to raise more funds
II. Under pricing would give less returns to the investor
III. Under pricing results in lower net worth on an increased equity.
a) Only (II) above
b) Only (III) above
c) Both (I) and (III) above
d) Both (II) and (III) above all.

84. Corporate Bank files suit for recovery of its loan against the guarantor only and not the borrower. Guarantor pleads in the court that before filing suit against him, money should be recovered from the borrower. In such circumstances, the bank can seek recourse in the court against?
a) All the liable parties together only
b) Any one of them at a time
c) All separately
d) At its discretion it can proceed against any one

85. A letter of credit (LC) wherein the credit available to the customer gets reinstated after the bill is paid is known as?
a) Back to back LC
b) Red clause LC
c) Back to front LC
d) Revolving LC

86. Regional Rural Banks are?
a) Private Sector scheduled commercial banks
b) Cooperative banks
c) Foreign banks
d) Public sector scheduled commercial banks

87. Large corporate customers demand?
a) Short term products from their banks irrespective of the cost at their times of need.
b) Increasingly sophisticated products from their banks at the lowest possible cost.
c) Disintegrated financial products from their banks at the lowest possible cost.
d) Basic banking products from their banks but with speed and efficiency.

88. Funded Services under corporate banking does not include?
a) Working Capital Finance
b) Bill Discounting
c) Export Credit
d) Letters of Credit

89. Which of the following is not directly involved in rural lending?
a) Cooperatives
b) RRBs
c) Commercial banks
d) SIDBI

90. PACSs provide?
a) Mainly long term credit
b) Mainly short term credit
c) Both long term and short term credit
d) Do not provide any credit

91. The purpose of which is to make credit of available to essential sectors of the economy according to national priorities?
a) Selective Credit Control (SCC)
b) Maintenance of cash reserve
c) Reserve fund
d) Comprehensive Credit Control

92. The system of note issue followed by the RBI is?
a) Proportional reserve system
b) Minimum reserve system
c) Minimum fiduciary system
d) Maximum fiduciary system

93. The rate at which the Reserve Bank of India lends to the commercial banks in very short term against the backing of the Government securities is known as?
a) Bank rate
b) Repo rate
c) Reverse Repo
d) Discount rate

94. Scheduled banks are those?
a) Includued in the 2nd schedule of the Banking Regulation Act-1949
b) Includued in the 2nd schedule of the Companies Act-1956
c) Includued in the 2nd schedule of the Reserve Bank of India Act -1934
d) Bank Nationalization Act -1969

95. The following is classified as a public sector bank?
a) ICICI Bank
b) IDBI Bank Ltd
c) Axis Bank
d) Local area bank

96. The banker-customer relationship in credit card payment is?
a) Creditor-debtor
b) Debtor-creditor
c) Agent principal
d) Principal-agent

97. The base rate is set by?
a) Individual banks
b) RBI
c) Government of India
d)RBI in consultation with Government

98. State Bank of India's new floating rate of deposit is directly linked to?
a) Inflation Rate
b) BPLR
c) Base Rate
d) BankRate

99. Six private sector banks were nationalised on April 15, 1980, whose reserves were more than?
a) 100 Crores
b) Rs. 200 crores
c) 300 crores
d) 400 crores

100. Security printing press was established in 1982 at?
a) Kolkata
b) New Delhi
c) Bombay
d) Hyderabad

Answers

1) d      2) c  3) d     4) d        5) d   6) c    7) b   8) d    9) a  10) c
11) c 12) b 13) d 14) c 15) d 16) d 17) a 18) b 19) a 20) c
21) d 22) c 23) d 24) a 25) c 26) a 27) d 28) c 29) b 30) d
31) d 32) a 33) c 34) d 35) c 36) d 37) c 38) b 39) a 40) c
41) c 42) d 43) d 44) c 45) a 46) b 47) b 48) d 49) c 50) a
51) a 52) d 53) a 54) d 55) c 56) d 57) c 58) a 59) a 60) d
61) c 62) d 63) d 64) a 65) d 66) d 67) b 68) a 69) a 70) b
71) c 72) b 73) b 74) a 75) a 76) c 77) d 78) d 79) c 80) a
81) c 82) a 83) c 84) d 85) d 86) d 87) b 88) d 89) d 90) b
91) a 92) b 93) b 94) c 95) b 96) b 97) a 98) c 99) b 100) d

The Fundamentals of English

The common admission test (CAT) for admission to IIMs and several other top business schools will have two sections this year of 70 minutes duration each. The second section, Verbal Ability and Logical Reasoning is expected to have 30 questions – 20 on verbal ability and 10 on logical reasoning. Good command over English can help you crack the exam.
Verbal ability & reading comprehensionThe vastness of any language makes it difficult to exact the scope of questions. But the right approach can definitely help you get a clear picture of what could be expected in the exam. Verbal Ability usually consists of questions on the following: reading comprehension, verbal reasoning, analogies, antonyms, fill in the blanks, word usage, foreign language, jumbled paragraphs, sentence correction, idioms, one word substitution, different usages of same word, incorrect verbs, punctuation, proverbs etc. The kind of questions that will appear is difficult to say but what is sure is that practicing and perfecting reading comprehension, para-jumbling, para completion, sentence correction as well as sentence structuring and fill in the blanks can help you secure the cut off marks.
Three to four passages can be expected for reading comprehension with about 8 questions. Remaining questions could be from other parts of the syllabus. Fill in the blanks usually test your knowledge of homonyms. As all the questions are objective type, it is important to keep track of the time spent on each question.
The right approach for reading comprehensionReading comprehension does not come easy to anyone who does not practice reading paragraphs and write ups laden with meaning. Start reading English national dailies, especially the edit pages. While solving this section first read the passage carefully, underline important points and then apply reference and contact method. This section requires high level of concentration as even the wrong options are designed in a way so as to confuse the aspirant. Paragraphs are usually based on philosophy, social issues as well as national and international business developments.
How to achieve perfectionHigh percentile in English requires a fascination for the language as well as hard work. The trick is to read as much as possible. Read business newspapers that will help you develop language skills in English and your knowledge of the markets and economy. Also, you can tune in to English television news channels for mastering the language.


Points to remember
•        The more you practice, better the results.
•        Time management is crucial for questions on English.
•        Solve the previous year question papers at home.
•        35-40 minutes must be enough to solve English questions.
•        Reading e-papers will help evolve speed.

Practice Data Interpretation (DI) for success in CAT

The first section of CAT 2011 will have 20 questions on quantitative ability and 10 questions on data interpretation. DI is usually considered a tough section but an effective strategy can increase chances of your success manifold. Try and become comfortable with calculations and practice a lot of questions for this segment. Also, go through the previous year question papers and strategise for every type of question carefully.
Data interpretation (DI)
Questions in DI include: bar diagrams, pie charts, line graph and tabulation. An analysis of recent year CAT question papers reveals that DI gets considerable weightage and the pattern is expected to continue in CAT 2011. Questions on tables, 3d charts, pie charts, reasoning, network, bars, games and tournaments, maxima and minima have been asked in the recent years. So it is advisable to practice these questions in a computer based format.

Reasoning based questions are important
DI also has questions on reasoning. So do not ignore these questions. Try to gain command over all kinds of questions. Questions on deduction and logical connectivity are not easy to solve. Questions on cubes can surprise you as imagining a three dimensional cube can be a difficult exercise for the brain. It is important to focus on questions you cannot solve without an eye on time limit and analyse the difficult areas. This will help you increase accuracy and speed at a later stage. Also, clear your basics which will give you a strong foundation.

How to prepare for DI of CAT 2011
There is little chance of success in CAT without a proper strategy in place. Experts suggest that DI section should be divided into two. First practice charts, tables and graphs while deal with analytical reasoning as a second part of DI. Learn tables from 1-20, squares and cubes of numbers from 1-30. Also try and remember square roots and cube roots to the extent possible.
First understand the nature of the question. Interpret the interlink of the data while solving the questions on tables. This helps in finding the growth value and percentage. It should be noted that the data is usually presented using more than one form of diagrams.

Get a grip on your calculations
It is not necessary that you solve the DI questions in serial order. First attempt the questions that could be solved with an observation and then move on to the lengthy questions. DI requires high degree of calculations and you should become comfortable with numbers to clear this section.

Quants funda in three simple steps

Quantitative Aptitude holds significant importance in the CAT paper. Director TIME Mumbai, Sai Kumar summarises the strategy for Quantitative Aptitude in 3 simple steps:
First step: Analyse
An analysis of previous CAT papers will help you get an idea of the general type of the questions that appear in CAT. Also, you will get to know what topics are important. Furthermore, it will help develop an understanding of the basics for more than 50 per cent questions of this sections.

Second step: An eye on the fundamentals
Try and understand the basics of the subject as it will help solve most questions. Do not think about short cuts. No concept is easy or difficult. It is the application of the concept that sets the level of the question.

Third step: Test yourself
Solve as many mock papers as possible. Do not set any time limit initially and solve the paper. Learn about the questions that you could not answer and find out what limited you from reaching to the answer. If speed is the problem then solve as many papers as possible and if lack of accuracy is an issue then go back to your basics. 

Tips to crack Quantitative Aptitude

Quantitative Aptitude will play a significant role in CAT 2011. Familiarity with Mathematics will be crucial in deciding your selection. The level of Mathematics will be that of Standard X and logic similar to National Talent Search Examination. Pay attention to geometry, number system, algebra and questions related to speed and distance. There are different angles to each problem and it is important to understand the question before answering it.
Quantitative Ability
It is not possible to precisely tell the nature of questions but an analysis of previous papers reflects that questions are usually based on the following topics: number system, arithmetic, algebra and geometry, time-speed-distance, work and time. Furthermore, ratio and proportion, profit and loss, average, percentage, partnership, mensuration, simple and compound interest, set theory, venn diagrams, permutations and combinations are also important topics.
Important chapters
The CAT questions are not direct. They are designed to trick you in a way that is confusing. That said, these are the important chapters that should be paid attention to while preparing for QA section of CAT:
Number system
About 30 per cent questions are based on this topic in this section of CAT. 8 of the 20 probable questions can be expected this year from the number system. Application of logic will decide your success.
Geometry
It is important to understand the theorem that will be applied for solving the question. 3-4 questions are expected from geometry in CAT 2011.
Algebra
Pay attention to the basics for this topic. Log, arithmetic progression, geometric progression are important. A lot of practice and ability to deal with numbers is desired.
Arithmetic
Do not be scared of calculations. Practice previous question papers.

How to prepare
Practice mock papers and seriously solve and analyse real CAT question papers of the previous years. It is worthwhile to understand the pattern of questions. The more the practice, the better the chances of succeeding in this section. Also try to master the art of solving questions in computer based format.

80 per cent questions do not require any formula
Most questions in CAT are not formula based and have a story format. It is required that you create an image of the data in your mind and relate everything before actually solving the question.

Tips

• Try to first understand the basic level of Mathematics.
• Develop the ability to evaluate several combinations in less time.
• Read the questions carefully as they are tricky.
• Use diagrams to solve tricky questions.

CAREER IN THE DEFENCE FORCES

A career in the Defence Forces as an officer has always had a place of dignity and respect amongst the youth, though not very high on the popularity graph as a career option these days. Not withstanding the exponential growth in white collar jobs in the last two decades, the reason to a large extent also depends upon unawareness among the youth regarding the options available, service conditions and quality of life.

A student finishing plus two examination can now opt for an engineering career in the Army or Navy through Technical Entry Scheme, which enables him to become an engineer at Army expense before getting commissioned as an officer. No UPSC examination is required for this entry. Besides this the entry through National Defence Academy , Khadakvasla after a UPSC written exam is still quiet popular. NDA provides world class training facilities which include a graduation in science/humanities stream from JNU. It gives one innumerable opportunities to develop one’s personality and cultivate new interests. In fact one can choose from over thirty different extra-curricular activities like aero-modeling, golf, gliding, sailing, wind surfing astronomy and many more.

A graduate can join through the Combined Defence Services examination as a regular/short service commissioned officer. Training for regular commissioned officers is carried out at Indian Military Academy , Dehradun, known as the cradle of Military leadership. Those desirous of joining the Short Service Commission get trained at Officer’s Training Academy at Chennai and serve for a period of five years. On completion of this term he can either resign or opt for an extension for five years or a permanent commission.

 

Engineering graduates can join in the pre-final or that final year through the University Entry Scheme or after completion of graduation through Technical Graduate Scheme without any written examination, by appearing before the Service Selection Board. In both the cases the candidate gets an ante-date seniority of two years and gets commissioned as a captain.

Women’s entry at graduate, post graduate or an engineering graduate level has been very popular and competitive. A woman officer now gets to serve up to fourteen years after being trained at OTA, Chennai. Entry is based on selection by the Services Selection Board. Women officers have performed well in all spheres with their male counterparts even under field conditions.

The Armed Forces have, over the time systematically focused on making the services more attractive, which include faster promotions, improved accommodation availability and quality schooling for children. The modernistic equipment profile in the services is highly challenging as well as exciting.

Above all it is the rich quality of life tempered by good discipline offered by the services which cannot find comparison. The glamour of large compensation in the private sector attracts a lot of young people. While some do make a pretty success out of it but in a majority of cases the pressure of prolonged working hours, often against the biological rhythm brings in a lot of dysfunction in their life. This leads to a quick burn out and avoidable stress related medical problems. It is time the new generation realized life is not about being in a hurry but to step back and enjoy the journey of life.

Indian Navy Artificer Apprentice (Sailors)

Indian Navy Artificer Apprentice (Sailors) Selection Procedure: Indian Navy recruiting Sailors for Artificer Apprentice (AA), only unmarried male candidates are eligible. The selection can be done, by qualifying in written test, physical fitness test and medical examination.
selection procedure: Indian Navy invites applications, by ORDINARY post only; the eligible candidates may apply for this course based on educational qualification. The candidates will be short-listed, on higher education and percentage of marks. Written test Exam results will be announced at the same day. Those candidates who qualify in written test, they are eligible for physical Fitness test and medical examination. The candidates who are, declared as Temporary Medically Unfit, they have Special review from the Special military Hospital (duration 21 days). The candidates who are, declared as Permanent Unfit, they have specialist opinion in a military hospital on payment of RS.40/- (duration 21 days). Candidates who are declared as UNFIT they don’t have any review. A candidate who qualifies in all stages, they will be short-listed depending upon the vacancies, based on All India Merit. For final Medical Examination, candidates who are short-listed, they will send to Police Verification with call-letter. Candidates without Police Verification report, they will not eligible for this course.

Indian Navy Artificer Apprentice Eligibility Details
Indian Navy Artificer Apprentice Exam Pattern Details
Indian Navy Artificer Apprentice Exam Syllabus

INDIAN SCHOOL CERTIFICATE BOARD EXAMINATION

INDIAN SCHOOL CERTIFICATE BOARD EXAMINATION
ISC 2009 Class XII Question Paper
ENGLISH
Paper 1
(Two and a half hours)
Question 1
Write a composition (in approximately 450-500 words) on any one of the following:subjects:
(You are reminded that you will be rewarded for orderly and coherent presentation of material, use of appropriate style and general accuracy of spelling, punctuation and grammar.) [30]
(a) “We humans are a peaceful species at heart.” Explore this statement, giving your views.
(b) Rains, which bring the much needed relief from the sweltering heat, can also cause havoc in our lives. Describe how two days of incessant rain caused unlimited problems for the people in your town/city.
(c) Charity.
(d) Children today have become so engrossed in the ‘virtual’ world that they have lost touch with reality. Express your views on this topic.
(e) ‘First impressions are not always the best’. Write for or against this proposition.
(f) Write an original short story which has for its beginning one of the following:
(i) At first glance he seemed a friendly sort of person, yet there was something….
(ii) As soon as I saw his face, I could tell that he had important news. Without pausing to greet me, he…..
Question 2 [20]
Your school had organized an inter-school cultural or literary festival. As one of the organizers of the festival, write a report for your school magazine in not more than 200 words, using the notes given below as a guideline. You may include other relevant details:
Date and venue – purpose of the festival – schools invited – budget – events – chief guest – inauguration – standard of performances – awards won – closing ceremony – experiences gained.
Question 3
(a) In each of the following items, sentence A is complete, while B is not. Complete sentence B, making it as similar in meaning as possible to sentence A. Write down sentence B in each case. [5]
Example : (0)(A) My daughter is too naughty to be taken on the picnic.
(B) My daughter is so …………………
(1) (A) : As soon as the vacation begins, Mr. Chips leaves for the hills.
(B) : No sooner …………………
No sooner does the vacation begin than Mr.Chips leaves for the hills.
(2) (A) : He has his faults, all the same he is a likeable man.
(B) : Notwithstanding …………………
(3) (A) : The Headmaster said to me, “I will deal with you tomorrow.”
(B) : The Headmaster told …………………
(4) (A) : Maya’s attitude to her sister has always puzzled me.
(B) : I have …………………
(5) (A) : I don’t believe he intends to do any more business with your firm.
(B) : It is my …………………
(b) Fill in each blank with a suitable word. (Do not write the sentence): [5]
(1) Can she take _______ the additional responsibility?
(2) I have every confidence _______ him.
(3) She had a good reason _______ being angry.
(4) He fell a victim _______ his own greed.
(5) He never seems to be satisfied _______ what is done for him.
(6) That excuse won’t go _______ well with the teacher.
(7) My mother is a good cook, but she won’t give _______ her trade secrets.
(8) We were astonished _______ what he told us.
(9) He took a long time to recover _______ his illness.
(10) The audience showed their approval _______ his speech by prolonged applause.
(c) Fill in each blank with the appropriate form of the word given in brackets. (Do not write the sentence): [10]
(1) My teacher never _______ (give) me a chance to speak.
(2) His voice gradually _______ (sink) to a whisper.
(3) My family and I _______ (suffer) a great deal lately.
(4) I would not tell her about the matter if I _______ (be) you.
(5) I _______ (know) him since we were at school together.
(6) She swam across the river as fast as she _______ (can).
(7) By this time next year, you _______ (forget) all your present troubles.
(8) I _______ (start) my homework before he came.
(9) I _______ (stand) in the rain and waited for the bus.
(10) They _______ (beat) us at football for the last five years.
Question 4
Read carefully the passage given below and answer the questions (a), (b) and (c) that follow:
(1) The night of 14th April 1912, was very cold. There was no moon, and hardly any
wind. The Titanic was in the part of the Atlantic in which icebergs cause trouble. Ice
is hard enough to cut holes in steel, and cannot easily be seen at night.
(2) The wireless officer of the Titanic, J.G. Phillips, had received several signals telling
him that ice was not far away. Most of these important signals were passed on to the officers, but one was not. It was a signal from another ship, the Mesaba, reporting
icebergs in front of the Titanic.
(3) When it arrived, Phillips was hard at work. Many of the travellers had sent news or
information or orders by wireless during the day to their friends in England or
America. Phillips was now doing his best to finish off all this work. He was so busy that he did not report the ice immediately. The signal lay on his table, half forgotten.
(4) The two men who were watching for icebergs, Fleet and Lee, suddenly saw
something dark just in front of the ship. They immediately rang the ship’s bell, and
Lee telephoned to the officer of the watch to report the iceberg.
(5) The necessary orders were given at once, though it is impossible to stop a great ship
immediately, especially if it is moving at about twenty-five miles an hour. But the
officer did his best. The engines were stopped and then started again to pull the ship
backwards. The steel doors were closed. The ship was turned away from its straight
course. But it was all too late. Too late!
(6) The ship struck the iceberg with its side while it was still moving forwards. It struck the ice again with another part of its side. In a few moments six great holes were
made in the steel. Water rushed in, not in one place, but in separate places covering
three hundred feet. The steel doors were therefore useless.
(7) Captain Smith soon understood that nothing could save his ship. At a quarter past
twelve in the early morning he ordered the wireless officer to send out the ship’s position and the letters CQD, which is the call for help. It told the world that the
Titanic was sinking. The impossible was happening.
(8) At first the people on board did not believe that the ship was sinking. They had been
told that it could not sink, but they understood the truth when the captain gave the
order to prepare the boats. Women and children were ordered into the boats first, but
some wives would not leave their husbands and did not go.
(9) Some women had to be pushed into the boats and some, had to be thrown in. It was
hard to leave the big lighted ship, and to go in a small boat on the dark icy sea.
Many brave acts were done that night, but 1,503 people lost their lives. And so the
Titanic went down beside the huge iceberg that destroyed it.
(10) When day came, another ship, the Carpathia, arrived and picked up all those that
could be found. It took to New York only 705 men and women. The wireless officer
Mr. Phillips, and Captain Smith were not among them.
Adapted from “Behind the Headlines”
By G.C. Thornley
(a)
(i) Use each of the following words, as used in the passage, in a sentence of your own construction so as to bring out its meaning very clearly. Using the word in a context very similar to the passage will be penalized.
(1) report (line 14)
(2) course (line 19)
(3) moments (line 21)
(ii) For each of the words given below write a sentence of at least 10 words, using the same word unchanged in form, but with a different meaning from that which it carries in the passage:
(1) watch (line 14)
(2) sink (line 29)
(3) acts (line 34)
(iii) Explain, in the context of the passage, in not more than two sentences of your own, the meaning of each of the following expressions taken from the passage. (Merely using phrases will not do).
(1) …on his table, half forgotten. (line 11)
(2) Many brave acts were done that night. (line 34)
(b) Answer the following questions briefly in your own words:
(i) How did the officers of the Titanic know that there were icebergs in the area? [2]
. (ii) Why was the signal from the Mesaba particularly important?
. (iii) Why was this signal not passed on to the officers?
. (iv) Why were the steel doors useless?
(c) In not more than 60 words and with close reference to the last three paragraphs, give an account of The Sinking of the Titanic.

Reserve Bank of India

It is the Central Bank of the country. The Reserve Bank of India was established in 1935 with a capital of Rs. 5 crore. This capital of Rs. 5 crore was divided into 5 lakh equity shares of 100 each. In the beginning the ownership of almost all the share capital was with the non-government share holders. In order to prevent the centralisation of equity shares in hand of a few people The Reserve Bank of India was nationalised on January 1, 1949.

The general administration and direction of RBI is managed by a Central Board of Directors consiting of 20 members which includes one Governor, four Deputy Governors, one Government Official appointed by the Union Government of India to give representation to important strata in economic life of the country besides four directors are nominated by the Union Government to represent local boards. Apart from the central board there are four local boards also and their head offices are situated in Mumbai, Chennai, Kolkata and New Delhi. Five members of local boards are appointed by the Union Government for a period of four years. The local boards work according to the instructions and orders given by Board of Directors, and from time to time they also tender useful advice on important matter. The office of RBI is in Mumbai. At present Dr. D. Subbarao is the Governor of Reserve Bank of India.

Functions of Reserve Bank of India

1. Issue of Notes - The Reserve Bank has the monopoly of note issue in the country it has the sole right to issue currency notes of various denominations except one rupees notes. The Reserve Bank act as a only source of legal tender money because the one rupee note issued by the Ministry of Finance are also circulated through it. The Reserve Bank has adopted the Minimum Reserve System for note issue. Since 1957, it maintains the gold and foreign reserve of Rs. 200 crore, of which at least Rs. 115 crore should be in gold.
2. Banker to the Government - The second important function of the Reserve Bank of India is to act as the banker, agent, and adviser to the Government. It performs all the banking functions of the State and the Central Government and it also tenders useful advice to the Government on matters related to economic and monetary policy. It also manages the public debt for the Government.
3. Bankers' Bank - The Reserve Bank performs the same function for the other banks ordinarily perform for their customers. It is not only banker to the commercial bank, but it is the lender of the last resort.
4. Controller of Credit - The Reserve Bank undertakes the responsibility of controlling credit created by the commercial banks. To achieve this objective it makes extensive use of quantitative and qualitative techniques to control and regulate the credit effectively in the country.
5. Custodian of Foreign Reserves - For the purpose of keeping the foreign exchange rates stable the Reserve Bank buy and sells the foreign currencies and also protect the country's foreign exchange funds.
6. Other Functions - The bank performs a number of other developmental works. These works include the function of clearing house arranging  credit for agriculture (which has been transferred to NABARD), collecting and publishing the economic data, buying and selling of Government Securities and Trade Bill, giving loans to the Government, buying and selling of valuable commodities etc. It also act as representative of Government in IMF and represents the membership of India.

Finance Commission

Financial Commission is constituted to define financial relations between the Center and the States. Under the provision of Article 280 of the constitution, the President appoints a Financial Commission for the specific purpose of devolution of non-plan revenues resources. The functions of the commission are to make recommendations to the President in respect of:

1. The distribution of net proceeds of taxes to be shared between the Union and the States and the allocation of share of such proceeds among the States.
2. The principles which should govern the payment of grant-in-aid by the Center to the States.
3. Any other matter concerning financial relations between the Center and the States.

In above context so far 11 Financial Commissions have been appointed which are as follows:

Finance Commission	Year of Establishment	Chairman	Operational Duration	Year of Submitting Report
I	1951	K.C.Niyogi	1952-1957	1952
II	1956	K. Santhanam	1957-1962	1956* and 1957
III	1960	A. K. Chanda	1962-1966	1961
IV	1964	P. V. Rajamannar	1966-1969	1965
V	1968	Mahavir Tyagi	1969-1974	1968* and 1969
VI	1972	Brahma Nand Reddy	1974-1979	1973
VII	1977	J. M. Shellet	1979-1984	1978
VIII	1983	Y.V. Chawan	1984-1989	1983* and 1984
IX	1987	N.K.P. Salve	1989-1995	1989
X	1992	K.C. Pant	1995-2000	Nov 26, 1994
XI	1998	A.M. Khusro	2000-2005	Jan 15, 2000*; July 7, 2000 and Aug 31, 2000
XII	2003	C. Rangarajan	2005-2010	Nov 30, 2004
XIII	2007	Vijay L. Kelkar	2010-2015	Constitued in Nov 2007

* Interim Report

All the above 11 Commissions have submitted their report in the year mentioned above. The recommendation of the various commissions can be divided in three heads

A. Division and distribution of income tax and other taxes.

B. Grants-in-aids

C. Loans to the state by the center

Financial Relations Between Union and States

Indian possesses a federal structure in which a clear distinction is made between the union and the state functions and sources of revenue. Our Constitution provides residual power to the Center. Article 264 and 293 explain the financial relations between the Union and State Government.

Although the states have been assigned certain taxes which are levied and collected by them, they also share in the revenue of certain union taxes which are levied and collected by the Central Government but whole proceeds are transferred to the states.

The Constitution makes a clear division of fiscal powers between the Center and the State Governments.

A. The List I of Seventh Schedule of Indian Constitution enlists the union taxes which are as follows:

1. Taxes on income other then agricultural income
2. Corporation tax
3. Custom duties
4. Excise duties except on alcoholic liquor and narcotics not obtained in medical or toilet preparation.
5. Estate and succession duties other than on agricultural land of individuals and companies.
6. Taxes on the capital value of assets except agricultural land of individuals and companies.
7. Rate of stamp duties on financial documents.
8. Taxes other than stamp duties on transaction of stock exchanges and future markets.
9. Taxes on sales or purchase of newspapers and on advertisement therein.
10. Thaxes on railway freight and fares.
11. Terminal taxes on goods or passengers carrier by railways, sea or air.
12. Taxes on sale or purchase of goods in the course of inter-state trade.

(B) List II of Seventh Schedule enlists the taxes which are within the jurisdiction of the states:

1. Land revenue
2. Taxes on the sale and purchase of goods, except newspapers
3. Taxes on agricultural income
4. Taxes on land and buildings
5. Succession and estate duties on agricultural land
6. Exercise on alcoholic liquors and narcotics
7. Taxes on the entry of goods into a local area
8. Taxes on the consumption and sale of electricity
9. Taxes on mineral rights (subject to any limitations imposed by the parliament)
10. Taxes on vehicles, animals and boats
11. Stamp duties except those on financial documents
12. Taxes on good and passengers carried by bond or inland waterways
13. Taxes on luxuries including entertainment, betting, and gambling
14. Tolls
15. Taxes on professions, trades, callings, and employment
16. Capitation taxation
17. Taxes on advertisements other than those contained in newspapers

(C) Apart from taxes levied and collected by states, the constitution has provided for the revenue of certain taxes on the union list to be allotted, partly or wholly to the state. These provisions fall into various catagories:

1. Duties which are levied by the union government but are collected and appropriated by by the states. These includes stamp duties, excise duties on medical preparations containing alcohol and narcotics.
2. Taxes which are levied and colleted by the union, but the entire proceeds of which are assigned to the States, in proportion determined by the Parliament. These taxes include:
   i) Succession and Estate duty.
   ii) Terminal taxes on goods and passengers
   iii) Taxes on railway freight and fares
   iv) Taxes on transactions in stock exchanges and future markets
   v) Taxes on sale and purchase of newspapers and advertisement therein.
3. Central taxes on income and union excise duties are levied and collected by the union but are shared by it with the states in a prescribed manner.
4. Proceeds of additional excise duty on mill made textile, sugar and tobacco which are levied by the union since 1957 in replacement of state sales taxes on these commodities, are wholly distributed among the states in a manner as to guarantee their former incomes from the displaced sales taxes.

National Income of India

According to National Income Committee (1945), "A national income estimates measures and volume of commodities and services turned out during a given period counted without duplication." Thus national income measures the net value of goods and services produced in a country during a year and it also includes net earned foreign income. In other words, a total of national income measures the flow of goods and services in economy. National income is a flow not a stock. As contrasted with national wealth which measures the stock of commodities held by nationals of a country at a point of time, national income measures the productivity power of an economy in a given period to turn out goods and services to final consumption.

In India, National income estimates are related with the financial year (April 1 - March 31).

Concept of National Income

The various concepts of national income are as follows -

1. Gross National Product (GNP) -  Gross National Product refers to the money value of total output or production of the final goods and services produced by the nationals of a country during a given period of time, generally a year.
   As we include all final goods and services, produced by nationals of the country during a year, in the calculations of GNP, we include money value of goods and services produced by nationals outside of country in calculating GNP. Hence, income produced and received by nationals of a country within the boundaries of foreign countries should be added in Gross Domestic Product (GDP) of the country. Similarly income received by foreign nationals within the boundary of country should be excluded from GDP.
   In equation form:
   GNP = GDP + X - M
   where,
   X = Income earned and received by the nationals within the boundaries of foreign country.
   M= Income received by the foreign nationals within the country.
   If X = M then GDP = GNP
   Similarly in closed economy X = M = 0 then also GDP = GNP
   Gross Domestic Product is the total money value of all final goods and services within the geographical boundaries of the country during a given period of time. As a conclusion it must be understood, while domestic product emphasises the total output which is raised within the geographical boundaries of the country, national product focuses attention not only on goods and services produced out side the boundaries of nation. Besides, any part of GDP which is produced by nationals of a country should be included in GNP.
2. Net National Product - NNP is obtained by subtracting depreciation value (i.e. capital stock consumption) from GNP.
   In equation form: NNP = GNP - Depreciation
3. National Income - GNP, explained above, is based on market prices of produced goods which includes indirect taxes and subsidies. NNP can be calculated in two ways -
   i) at market prices of goods and services
   ii) at factor cost
   When NNP is obtained at factor cost, it is known as National Income. National Income is calculated by subtracting net indirect taxes (i.e. total indirect tax-subsidy) from NNP at market prices. The obtained value is known as NNP at factor cost or National Income.
   In equation form: 
   National Income or NNP at factor cost = NNP at Market Price - (Indirect Taxes - Subsidy)
   National Income = NNPMP - Indirect Tax + Subsidy
4. Personal Income - Personal income is that income which is actually obtained by subtracting corporate taxes and payments made for social securities provisions from national income and adding to it government transfer payment and net interest paid by the government.
   In equation form:
   Personal Income = National Income - undistributed profit of corporation - payment for social security provisions - corporate taxes + Government transfer payments + Business transfer payments + Net interest paid by Government
   It should always be kept in mind that National Income is a Flow Concept
5. Disposable Personal Income - When personal direct taxes are subtracted from personal income, the obtained value is called disposable personal income (DPI)
   In equation form: DPI = Personal Income - Direct Taxes

World Trade Organisation

The Uruguay round of GATT (1986-93) gave birth to World Trade Organisation. The members of the GATT signed on an agreement of Uruguay round in April 1994 in Morocco for establishing a new organisation named WTO. It was officially constituted on January 1, 1995 which took the place of GATT as an effective formal organisation. GATT was an informal organisation which regulated world trade since 1948. Like GATT, the headquarter of WTO is also in Geneva.

Contrary to the temporary nature of GATT, WTO is a permanent organisation which has been established on the basis of an international treaty approved by participating countries. It achieved the international status like IMF and IBRD but it is not an agency of UNO.

WTO has a General Council for its administration which includes one permanent representative of each member nation. Generally, it has one meeting per month which is held in Geneva.

The highest authority of policy making is WTO's Ministerial Conference which is held after every two years.

The present strength of WTO membership is 151. this includes China and Nepal whose accession was approved by the WTO Ministerial  Conference held in Doha and Cancun in November 2001 and September 2003 respectively. There are presently 30 countries in the process of accession to the WTO. Vietnam joined WTO as 150th member. Tonga is the 151st member of WTO.

There are number of important committees for administration of WTO, out of which two committees play the pivotal role in WTO. They are :

1. Dispute Settlement Body (DSB)
2. Trade Policy Review Body (TRRB)

DSP considers the complaints of member countries against violation of rules by any member country. This body appoints a group of experts to investigate into such complaints. This body meets twice a month for such cases.
TPRB reviews the trade policy of member countries. The trade policy of all big trade powers of the world are reviewed after every 2 years. All the members of WTO are the members of TRPB.
Other important bodies of WTO are:

1. Council for Trade in Goods
2. Council for Trade in Services
3. Council for Trade related aspects of Intellectual Property Rights

Objectives of WTO

1. To improve standard of living of people in the member countries.
2. To ensure full employment and broad increase in effective demand.
3. To enlarge production and trade of goods.
   The above three objectives were also included in GATT, but WTO also included some other objectives which are :
4. To enlarge production and trade of services.
5. To ensure optimum utilisation of world resources.
6. To accept the concept of sustainable development.
7. To protect environment.

Functions of WTO

1. To provide facilities for implementation, administration and operation of multilateral and bilateral agreements of the world trade.
2. To provide a platform to member countries to decide future strategies related to trade and tariff.
3. To administer the rules and processes related to dispute settlement.
4. To implement rules and provisions related to trade policy review mechanism.
5. To assist IMF and IBRD for establishment coherence in universal economic policy determination.

International Monetary Fund

IMF is an international monetary organisation. It was established on December 27, 1945 in Washington on the recommendations of Bretton Woods Conference. But it started it's operation on March 1, 1947. At present 184 nations are members of the IMF. East Timor became the newest member in July 2002.

In place of Dominique Strauss-Kahn, Christine Lagard has been made as new Managing Director of IMF on July 5, 2011. She is serving as 11th MD of IMF.

Objective of IMF

According to Article of Agreement of the IMF, its main objectives are as follows:

1. To promote international monetary co-operation
2. To ensure balanced international trade
3. To ensure exchange rate stability
4. To eliminate or to minimize exchange restrictions by promoting the system of multilateral payments
5. To grant economic assistance to member countries for eliminating the adverse imbalance in balance payments.
6. To minimize imbalance in quantum and duration of international trade

Constitution, Membership and Capital of IMF

IMF is controlled and managed by a board of Governors. Each member country nominates a Governor. All the nominated Governors make a board of governors. Each country also nominates an alternate Governor who casts his vote in absence of the Governor. Each Governor is allotted a number of votes which is determined by the quota allotted to respective country in the capital of IMF. Each Governor has got the right of 250 votes on the basis of membership and one additional vote for each SDR 1,00,000 of quota. The additional of these two types of votes becomes the actual voting right of the member country. For example, India's voting right is 250 + 30555 = 30805 because India's quota is SDR 30555 lakh. It clearly indicates that the voting right depends on the quantum of quota of a particular country with IMF. This is the reason why the rich and industrialised countries got the higher voting rights due to their higher quotas. with the IMF.

The main source of IMF resources is the quota allotted to the member countries. Till 1971, all the amounts of quotas and the assistance provided were denominated in US dollar, but since December 1971, all the quotas and transactions are expressed in SDR (Special Drawing Right) which is also known as Paper Gold. In 1971, one SDR was assumed equivalent to 1 dollar but due to subsequent decline in dollar value  SDR 1 became equivalent to $1.585 by the end of April 1995. Since January 1, 1981 the value of SDR is being determined by the basket  of currency of 5 largest exporting member countries: US dollar, Deutsche Mark, Yen, Franc, and Pound Sterling.
In 1991, the weight to these 5 currencies in SDR price determination was as follows:

American Dollar	40 %
German Franc	21 %
Japanese Yen	17 %
British Pound	11 %
French Franc	11 %

The currency value of SDR is determined by the IMF each day by summarising the value in US dollars, based on the market exchange rates of a basket of fine currencies.

The IMF's financial year is from 1 May to 30 April. IMF lends to various member countries in the form of various facilities (Extended Fund Facility, Standby Facility, Contingent Credit Lines, Compensatory Facility etc.) designed to serve specific purpose, but essentially aimed at balance of payments stabilisation or meeting the emergent foreign exchange needs. The poor countries are also helped by funding from Poverty Reduction and Growth Facility. As on June 2004, the IMF was lending to 13 members in the from of standby facility, to two members under Extended Arrangements and 38 poor countries under poverty Reduction and Growth Facility.

The quota allotted by the IMF to each member has to be deposited partly in their own currency and remainder in form of foreign exchange.

India's 11th Place in IMF General Quota

After the review of IMF's General Quota, India's quota has been raised to 582.15 crore SDR from the existing level of 415.82 crore SDR. (at the time of increase time 1 SDR = $ 1.54 = Rs 69.48). This quota hike has raised India's vote share from 1.91% to 2.44%.

India has been placed at 11th place in IMF's General Quota. USA remains in biggest quota holder despite its quota share coming down to 17.09%.

Country Quota USA 17.09% Japan 6.13% Germany 5.99% UK 4.94% France 4.94% China 3.72%

Country Quota Italy 3.25% Saudi Arabia 3.21% Canada 2.93% Russia 2.74% India 2.44% - -

India and IMF

IMF has played an important role in Indian economy. IMF has provided economic assistance from time to time to India and has also provided appropriate consultancy in determination of various policies in the country. India is the founder member of IMF. The finance minster is ex-officio governor in IMF board of Governors. Till 1970, India was among the first five nation highest quota with IMF and due to this status India was allotted a permanent Place in executive Board of Directors.

India participate in FTP of the IMF from 2002. 43 countries, including India now participate in FTP. By participation in FTP India is allowing IMF to encash its rupee holding as a part of our quota contribution for hard currency which is then lent to other member countries who are debtors to the IMF. From 2002 to Feb 2006, India has made purchases transactions of SDRs 493.23 million and four repurchase transaction amounting to SDRs 466.474 million.

In July India and IMF joint training program at the National Institution of Bank Management, Pune was established. The training program will provide policy oriented training in economics and related operational fields to Indian officials and officials of countries in South Asia and East Africa. The first training program was held during July 2006. The RBI is a nodal body to co-ordinate the training program with the IMF.

Enhanced Structural Adjustment Facility (ESAF) was established in 1987 with an amount of SDR 6 billion to help the low income countries with heavy debt burdens in difficult external environment and implement comprehensive  macro-economic and structural policy program aiming at strengthening their balance of payments position and fostering growth. India contributes as donations to Subsidy Account and made a commitment to provide grant contribution to the extent of US $ 1 million per year over 15 years for a total of US $ 15 million.

Securities and Exchange Board of India

Securities and Exchange Board of India (SEBI) was initially constituted on April 12, 1988 as a non-statutory body through a resolution of Government for dealing with all matters relating to development and regulation of securities market and investor protection and to advice the Government on all these matters. SEBI was given statutory status and powers through an ordinance promulgated on January 30, 1992.

The statutory powers and functions of SEBI were strengthened through the promulgation of the Securities Laws (Amendment) ordinance on January 25, 1995 which was subsequently replaced by an Act of Parliament. In terms of this Act, SEBI has been vested with regulatory powers over corporate in the issuance of capital, the transfer of securities, and other related matters. Besides, SEBI has also been empowered to impose monetary penalties on capital market intermediaries and other participants for a range of violation.

SEBI is managed by six members ~ one chairman (nominated by Central Government), two members (Officials of central ministries), one member from RBI, and remaining two members are also nominated by Central Government. The office of SEBI is situated in Mumbai with its regional offices in Kolkata, Delhi and Channai. In 1988 the initial capital of SEBI was 7.5 crore which was provided by its promoters (IDBI, ICICI, and IFCI). This amount was invested and its its interest amount day-to-day expenses of SEBI are met.

All statutory powers for regulating Indian capital market are vested with SEBI itself.

Functions of SEBI

1. To safeguard the interests of investors and to regulate capital market with suitable measures.
2. To regulate the business of stock exchanges and other securities market.
3. To regulate the working Stock Brokers, Sub-brokers, Share Transfer Agents, Trustees, Merchant Bankers, Underwriters, Portfolio Managers etc and also to make their registration.
4. To register and regulate collective investment plans of mutual funds.
5. To encourage self-regulatory organisation.
6. To eliminate malpractices of security markets.
7. To train the persons associated with security markets and also to encourage investors' education.
8. To check inside trading of securities.
9. To supervise the working of various organisations trading in security market and also to ensure systematic dealing.
10. To promote research and investigations for ensuring the attainment of above objectives.