INDIAN HISTORY – 25 MCQs with Explanations

1. The first discovered site of the Indus Valley Civilization was —

a) Mohenjo-daro
b) Harappa
c) Kalibangan
d) Lothal

Answer: b) Harappa
Explanation: The Indus Valley Civilization was first discovered in 1921 at Harappa (Punjab,
Pakistan) by Dayaram Sahni. This marked the beginning of the realization that India had
one of the world’s oldest urban cultures. Mohenjo-daro was found in 1922, but Harappa
came first.

2. The Rigveda is mainly a collection of —

a) Rituals
b) Chants
c) Hymns
d) Magical charms

Answer: c) Hymns
Explanation: The Rig Veda (c.1500–1200 BCE) is the oldest text in the world and a
collection of 1028 hymns (suktas) dedicated to natural forces like Agni, Indra, Varuna. It
reflects the early Vedic period society, economy, and religion.

• Rigveda: The oldest of the four Vedas, primarily containing hymns and prayers
dedicated to various deities.

• Samaveda: Focuses on melodies and chants, drawing heavily from the Rigveda.

• Yajurveda: Contains formulas and sacrificial prayers used in rituals.

• Atharvaveda: Includes hymns, charms, and spells, dealing with everyday life and
healing.
3. The doctrine of “Saptanga theory of State” (Seven limbs of State) is mentioned in —

a) Rigveda
b) Arthashastra
c) Manusmriti
d) Mahabharata

Answer: b) Arthashastra
Explanation: Kautilya (Chanakya) in Arthashastra explains that a state is like a living
organism, made of seven limbs: Swami (King), Amatya (Ministers), Janapada (Territory &
Population), Durg (Fort), Kosa (Treasury), Bala (Army), Mitra (Allies).

4. Udayin, son of Ajatashatru, is remembered for —

a) Convening the First Buddhist Council

b) Laying the foundation of Pataliputra
c) Composing Arthashastra
d) Defeating Alexander

Answer: b) Laying the foundation of Pataliputra

Explanation: Udayin shifted the capital of Magadha from Rajagriha to
Pataliputra (modern Patna). Later, Pataliputra became the center of Mauryan
administration.

5. The first Greek ambassador to the Mauryan Court was —

a) Seleucus Nicator
b) Megasthenes
c) Pliny
d) Strabo

Answer: b) Megasthenes
Explanation: Sent by Seleucus Nicator, Megasthenes resided at Chandragupta Maurya’s
court in Pataliputra as ambassador. His accounts compiled in Indica describe the
Mauryan empire’s administration, society, and urban planning.

6. The famous Kalinga War was fought in —

a) 326 BCE
b) 261 BCE
c) 1526 CE
d) 1192 CE

Answer: b) 261 BCE

Explanation: The war fought by Ashoka against Kalinga was devastating, with
over 1,00,000 killed and 1,50,000 deported. Ashoka was deeply moved and
adopted Buddhism & Dhamma Policy afterwards.

7. The last ruler of the Mauryan dynasty was —

a) Ashoka
b) Bindusara
c) Brihadratha
d) Dasharatha

Answer: c) Brihadratha
Explanation: He was killed by his commander-in-chief Pushyamitra Shunga, who founded
the Shunga dynasty. Thus, he marked the end of Mauryan rule (c.185 BCE).

8. The founder of the Gupta dynasty was —

a) Samudragupta
b) Chandragupta I
c) Shrigupta
d) Chandragupta II

Answer: c) Shrigupta
Explanation: Shrigupta laid the foundation. However, Chandragupta I is considered the
first important ruler who assumed the title Maharajadhiraja.

9. Who is called the ‘Napoleon of India’?

a) Chandragupta Maurya
b) Ashoka
c) Samudragupta
d) Skandagupta
Answer: c) Samudragupta
Explanation: Historian V.A. Smith called him the "Napoleon of India" for his successful
military campaigns across India, consolidating the Gupta empire.

10. Which Chinese pilgrim visited India during the reign of Chandragupta II?

a) Hiuen Tsang
b) Fa-Hien (Faxian)
c) I-tsing
d) Al-Biruni

Answer: b) Fa-Hien
Explanation: Faxian visited India during Chandragupta II’s time (405–411 CE). He mainly
came in search of Buddhist texts and monasteries. His accounts highlight social, cultural,
and administrative practices.

11. The famous Khajuraho temples were built by which dynasty?

a) Cholas
b) Chalukyas
c) Rajputs (Chandellas)
d) Pallavas

Answer: c) Chandellas
Explanation: The Chandella rulers of Bundelkhand built the magnificent Khajuraho group
of temples (10th–12th century). They are known for exquisite Nagara-style
architecture and erotic sculptures.

12. The founder of the Delhi Sultanate was —

a) Iltutmish
b) Balban
c) Qutb-ud-din Aibak
d) Ghiyasuddin Tughlaq

Answer: c) Qutb-ud-din Aibak

Explanation: After the death of Mohammad Ghori (1206), his slave Qutb-ud-din
Aibak established the Slave Dynasty (Mamluk Dynasty), becoming the first ruler of Delhi
Sultanate. He started Qutub Minar, completed by Iltutmish.

13. The Sultan who introduced the policy of “Blood and Iron” was —

a) Iltutmish
b) Balban
c) Alauddin Khilji
d) Mohammed-bin Tughlaq

Answer: b) Balban
Explanation: Balban (1266-87 CE) adopted the harsh policy of “Blood and Iron” to
strengthen monarchy, crush nobles (Turkan-i-Chahalgani) and maintain law and order.

14. Alauddin Khilji’s famous revenue and military reforms included —

a) Permanent Settlement
b) Bandobast system
c) Dagh and Chehra system
d) Iqtadari system

Answer: c) Dagh and Chehra system

Explanation: To prevent corruption, Alauddin Khilji introduced branding of horses
(Dagh) and descriptive rolls of soldiers (Chehra). This system checked false enlistments in
the army.

15. Ibn Battuta came to India during the reign of —

a) Balban
b) Alauddin Khilji
c) Muhammed-bin Tughlaq
d) Firoz Shah Tughlaq

Answer: c) Muhammed-bin Tughlaq

Explanation: Moroccan traveler Ibn Battuta visited during the reign of Mohammed-bin
Tughlaq (1325–51). He served as Qazi of Delhi for a time and left detailed accounts of India
in Rihla.
16. The ‘Battle of Talikota’ (1565) marked the end of which empire?

a) Vijayanagar
b) Bahmani
c) Mughal
d) Maratha

Answer: a) Vijayanagar
Explanation: The decisive defeat of Vijayanagar by Deccan Sultanates (Bahmani
successors) occurred in 1565 CE at Talikota. Krishnadevaraya’s successors suffered
decline thereafter.

17. The first Mughal emperor who used cannon on Indian soil was —

a) Humayun
b) Akbar
c) Babur
d) Shah Jahan

Answer: c) Babur
Explanation: Babur in the First Battle of Panipat (1526) used field artillery and
cannons under Turkish officer Ustad Ali. This ensured victory against Ibrahim Lodi.

18. Akbar devised the new religion “Din-i-Ilahi” in —

a) 1526
b) 1556
c) 1570
d) 1582

Answer: d) 1582
Explanation: Akbar sought religious synthesis through Din-i-Ilahi (Religion of God).
However, it had few followers (Birbal was the only Hindu) and faded after Akbar’s death.

19. The battle of Haldighati (1576) was fought between —

a) Akbar and Rana Sanga

b) Akbar and Rana Pratap
c) Jahangir and Rana Amar Singh
d) Babur and Rana Pratap

Answer: b) Akbar and Rana Pratap

Explanation: Akbar’s forces under Raja Man Singh fought against Maharana Pratap of
Mewar at Haldighati. Though a tough resistance, ultimately Pratap had to retreat.

20. The Peacock Throne was built during the reign of —

a) Akbar
b) Jahangir
c) Shah Jahan
d) Aurangzeb

Answer: c) Shah Jahan

Explanation: The famous Peacock Throne, decorated with jewels including Kohinoor
diamond, was built by Shah Jahan. Later taken away by Nadir Shah in 1739.

21. “Zinda Pir” was the title given to —

a) Babur
b) Akbar
c) Aurangzeb
d) Bahadur Shah I

Answer: c) Aurangzeb
Explanation: Due to his austere lifestyle, devotion to Islam and strict enforcement of
Sharia, Aurangzeb was called Zinda Pir (Living Saint).

22. The Maratha administration’s ‘Ashtapradhan’ was —

a) Group of eight temples

b) Council of Eight Ministers
c) Eight forts of Shivaji
d) Eight Maratha clans

Answer: b) Council of Eight Ministers

Explanation: Shivaji established Ashtapradhan Mandal, an 8-minister council for
administration. Included Peshwa, Amatya, Sarnobat, Dabir, Nyayadhish, Sumant etc.
23. The Treaty of Purandar (1665) was signed between —

a) Shivaji and Aurangzeb

b) Shivaji and Raja Jai Singh (Mughal General)
c) Shivaji and Bahadur Shah I
d) Peshwa Bajirao and Portuguese

Answer: b) Shivaji and Raja Jai Singh (Mughal General)

Explanation: After Aurangzeb sent Raja Jai Singh, Shivaji signed the Treaty of
Purandar (1665), ceding some forts to Mughals but was later imprisoned and escaped.

24. The Battle of Plassey (1757) was fought between —

a) Dutch and English

b) French and English
c) Siraj-ud-Daulah and British East India Company
d) Marathas and British

Answer: c) Siraj-ud-Daulah and British East India Company

Explanation: Robert Clive defeated Nawab Siraj-ud-Daulah at Plassey (Bengal, 1757).
The betrayal of Mir Jafar was crucial. This marked the beginning of British political
dominance in India.

25. The Indian National Congress was founded in —

a) 1875
b) 1885
c) 1895
d) 1905

Answer: b) 1885
Explanation: A.O. Hume, a retired British civil servant, organized the Congress to create a
platform for dialogue. The first session at Bombay (Gokuldas Tejpal Sanskrit
College) was presided over by W.C. Bonnerjee.
Geogarphy

Geography MCQs

1. The study of Universe is known as –

a) Astrology
b) Astronomy
c) Cosmology
d) Geomorphology
Answer: c) Cosmology

2. The Milky Way Galaxy is also known as –

a) Andromeda
b) Akash Ganga
c) Orion Belt
d) Spiral Belt
Answer: b) Akash Ganga

3. Which is the nearest galaxy to Milky Way?

a) Nebula
b) Black Eye Galaxy
c) Andromeda
d) Sombrero Galaxy
Answer: c) Andromeda

4. Which planet is nearest to the Sun?

a) Earth
b) Venus
c) Mercury
d) Mars
Answer: c) Mercury

5. Dwarf planet Pluto was excluded from planets in –

a) 2004
b) 2006
c) 2008
d) 2010
Answer: b) 2006

6. The largest planet of the Solar System is –

a) Earth
b) Jupiter
c) Saturn
d) Neptune
Answer: b) Jupiter

7. The planet known as “Red Planet” is –

a) Venus
b) Mars
c) Mercury
d) Jupiter
Answer: b) Mars

8. Titan is the largest moon of –

a) Mars
b) Jupiter
c) Saturn
d) Neptune
Answer: c) Saturn

9. Which is the largest satellite of the solar system?

a) Titan
b) Ganymede
c) Triton
d) Europa
Answer: b) Ganymede
10. Which ocean is the largest in the world?
a) Atlantic
b) Indian
c) Pacific
d) Arctic
Answer: c) Pacific

11. The deepest ocean trench is –

a) Mariana Trench
b) Java Trench
c) Puerto Rico Trench
d) Tonga Trench
Answer: a) Mariana Trench

12. The smallest ocean of the world is –

a) Atlantic Ocean
b) Arctic Ocean
c) Indian Ocean
d) Southern Ocean
Answer: b) Arctic Ocean

13. Which ocean is busiest in terms of trade & commerce?

a) Pacific
b) Atlantic
c) Indian
d) Arctic
Answer: b) Atlantic

14. The Tropic of Cancer passes through how many states of India?
a) 6
b) 7
c) 8
d) 9
Answer: c) 8
15. The highest rainfall place in India (and world) is –
a) Cherrapunji
b) Mawsynram
c) Agumbe
d) Mahabaleshwar
Answer: b) Mawsynram

Mawsynram

Mawsynram receives the highest rainfall in India. It is reportedly the wettest place on
Earth,.

16. Which is the largest delta in the world?

a) Amazon Delta
b) Mekong Delta
c) Sundarbans Delta
d) Brahmaputra Delta
Answer: c) Sundarbans Delta
17. Maize is a –
a) Kharif crop
b) Rabi crop
c) Zaid crop
d) Plantation crop
Answer: a) Kharif crop

18. Bhakra Nangal Dam is built on which river?

a) Beas
b) Sutlej
c) Ravi
d) Chenab
Answer: b) Sutlej

19. Hirakud Dam is built on which river?

a) Mahanadi
b) Godavari
c) Krishna
d) Damodar
Answer: a) Mahanadi

20. Which is the largest port in India?

a) Paradeep
b) Jawaharlal Nehru Port
c) Chennai Port
d) Mumbai Port
Answer: b) Jawaharlal Nehru Port (JNPT, Mumbai)

21. Which is the largest natural harbour in India?

a) Kandla
b) Haldia
c) Visakhapatnam
d) Kochi
Answer: c) Visakhapatnam
22. Which is the first Green Port of India?
a) Tuticorin
b) Kandla
c) Haldia
d) Paradip
Answer: c) Haldia Port

23. Sundarbans delta is formed by –

a) Ganga & Brahmaputra
b) Godavari & Krishna
c) Cauveri & Krishna
d) Mahanadi & Godavari
Answer: a) Ganga & Brahmaputra

24. Which soil is formed from lava (basalt) and is ideal for cotton?
a) Alluvial Soil
b) Red Soil
c) Regur Soil/Black Cotton Soil
d) Laterite Soil
Answer: c) Regur Soil

25. How many time zones are there in India?

a) 1
b) 2
c) 3
d) 4
Answer: a) 1 (IST = UTC + 5:30)
25 Polity Questions with Detailed Answers

Q1. The Regulating Act of 1773 made which provision?

a) Established Supreme Court at Calcutta
b) Made Bengal Governor as Governor General of Bengal
c) Both a & b
d) None of these

Answer: c) Both a & b

The Regulating Act (1773) was the first step to regulate East India Company’s affairs. It
established the first Supreme Court at Calcutta and converted Governor of Bengal into
Governor-General (first Warren Hastings).

Q2. Pitt’s India Act was passed in –

a) 1781
b) 1784
c) 1793
d) 1833

Answer: b) 1784
Pitt’s India Act established Board of Control in Britain and made Company affairs
subject to Parliament. It drew the line between "Commercial" and "Political" functions.

Q3. The Government of India Act, 1858 provided for –

a) Abolition of East India Company
b) Transfer of power to British Crown
c) Appointment of Secretary of State for India
d) All of the above

Answer: d) All of the above

After 1857 Revolt, East India Company rule ended and the British Crown directly took
over administration.

Q4. The Indian Councils Act, 1909 is also known as –

a) Morley-Minto Reforms
b) Montagu-Chelmsford Reforms
c) Government of India Act, 1919
d) None

Answer: a) Morley-Minto Reforms

It introduced the system of communal representation — separate electorates for
Muslims.

Q5. The Montagu-Chelmsford Reforms (1919 Act) introduced –

a) Dyarchy at provinces
b) Bicameral legislature at centre
c) Both of the above
d) None

Answer: c) Both of the above

Introduced "Dyarchy" in Provincial subjects (reserved & transferred) and
created Central Legislature with Council of States & Legislative Assembly.

Q6. Who described the Govt of India Act 1935 as "blueprint of Indian Constitution"?
a) Nehru
b) Ambedkar
c) Granville Austin
d) None

Answer: b) Ambedkar
Many features like Federal system, Governor’s office, Public Service Commissions,
emergency provisions were borrowed from this Act into Indian Constitution.

Q7. How many days were taken to draft the Indian Constitution?
a) 2 years 5 months 1 day
b) 2 years 11 months 18 days
c) 3 years 1 month 15 days
d) 4 years 6 months 3 days

Answer: b) 2 years 11 months 18 days

From 9th Dec 1946 (first meeting) to 26th Nov 1949 (Draft adopted).
Q8. Which Committee prepared the Draft Constitution?
a) Advisory Committee
b) Drafting Committee
c) Rules Committee
d) Steering Committee

Answer: b) Drafting Committee

Chaired by Dr. B.R. Ambedkar; included 7 members.

Q9. The Constitution of India borrowed the concept of Fundamental Rights from –
a) USA
b) UK
c) Canada
d) France

Answer: a) USA
Bill of Rights in US Constitution inspired India’s Fundamental Rights.

Q10. Directive Principles of State Policy came from –

a) UK
b) Ireland
c) France
d) Australia

Answer: b) Ireland
They are ideals for Govt. (non-justiciable) to create welfare state.

Q11. Fundamental Duties were added by –

a) 42nd Amendment (1976)
b) 44th Amendment (1978)
c) 61st Amendment (1988)
d) 86th Amendment (2002)
 Answer: a) 42nd Amendment (1976)
10 duties were added. Later, 11th (on education for children up to 14 years) was added
by 86th Amendment, 2002.

Q12. Which Article is called the "Soul of the Constitution" by Ambedkar?

a) Article 19
b) Article 21
c) Article 32
d) Article 368

Answer: c) Article 32
Provides Right to Constitutional Remedies → allows citizens to approach SC directly for
enforcement of Fundamental Rights.

Q13. Right to Property was removed from Fundamental Rights by which amendment?
a) 42nd
b) 44th
c) 61st
d) 86th

Answer: b) 44th Amendment, 1978

It was shifted to Article 300A (Legal Right).

Q14. Which part of the Constitution deals with Citizenship?

a) Part I
b) Part II
c) Part III
d) Part IV

Answer: b) Part II (Articles 5–11)

Q15. What is the minimum age for the President of India?

a) 30 years
b) 35 years
c) 40 years
d) 25 years

Answer: b) 35 years

Q16. Who appoints the Chief Justice of India?

a) Prime Minister
b) President
c) Parliament
d) Vice-President

Answer: b) President

Q17. Tenure of Rajya Sabha is –

a) 3 years
b) 4 years
c) 5 years
d) Permanent body

Answer: d) Permanent body

Not subject to dissolution; one-third members retire every 2 years.

Q18. Maximum membership of Lok Sabha is –

a) 500
b) 552
c) 540
d) 545

Answer: b) 552
530 (States) + 20 (UTs) + 2 Anglo-Indians (nominated till 2020).

Q19. Money Bill can be introduced only in –

a) Lok Sabha
b) Rajya Sabha
c) Either House
d) President’s Office

Answer: a) Lok Sabha

Certified by Speaker. Rajya Sabha can only suggest changes.

Q20. Zero Hour in Parliament starts at –

a) 9 am
b) 10 am
c) 12 noon
d) 2 pm

Answer: c) 12 noon
Not mentioned in Constitution or rules – it is an Indian innovation.

Q21. Which Article deals with State Emergency?

a) 352
b) 356
c) 360
d) 365

Answer: b) Article 356

Q22. Which Article provides for Financial Emergency?

a) Article 352
b) Article 356
c) Article 360
d) Article 365

Answer: c) Article 360

Q23. Voting age reduced from 21 to 18 years by –

a) 42nd Amendment 1976
b) 44th Amendment 1978
c) 61st Amendment 1988
d) 86th Amendment 2002

Answer: c) 61st Amendment Act, 1988

Q24. Who was the first Chief Election Commissioner of India?

a) Sukumar Sen
b) T.N. Seshan
c) H.S. Brahma
d) S.L. Shakdhar

Answer: a) Sukumar Sen

Conducted India’s first General Election (1951-52).

Q25. Which Schedule of the Constitution contains Anti-Defection Law?

a) 8th Schedule
b) 9th Schedule
c) 10th Schedule
d) 12th Schedule

Answer: c) 10th Schedule

Added by 52nd Amendment (1985). Provides disqualification of legislators for
defection.
Q1. Inflation refers to–

(A) Increase in employment

(B) Increase in production
(C) Increase in demand without increase in supply
(D) Rise in prices of goods and services

Solution:
Inflation reduces the purchasing power of money. It occurs when prices of commodities
and services increase continuously.

Answer: (D) Rise in prices of goods and services

Detail: Inflation is measured in India by WPI (Wholesale Price Index) and CPI (Consumer
Price Index).

Q2. Which of the following is used to measure inflation in India?

(A) Wholesale Price Index (WPI)

(B) Consumer Price Index (CPI)
(C) Both (A) and (B)
(D) GDP Deflator

Solution:
India uses both WPI and CPI for measuring inflation. CPI relates to retail prices while WPI
shows wholesale price movement.

Answer: (C) Both (A) and (B)

Detail: Base year is 2011–12 for both indices. CPI is more significant because it directly
impacts people’s daily life.

Q3. Who is known as the ‘Father of Indian Green Revolution’?

(A) Verghese Kurien

(B) M. S. Swaminathan
(C) Norman Borlaug
(D) C. Subramanian
Solution:
M. S. Swaminathan introduced high-yielding variety (HYV) seeds of wheat & rice, with
irrigation, fertilizers and pesticides in the 1960s.

Answer: (B) M. S. Swaminathan

Detail: He initiated the Green Revolution in Punjab, Haryana and Western UP, making
India self-sufficient in food grains.

Q4. Which Five-Year Plan introduced the concept of ‘Rolling Plan’?

(A) 4th Plan

(B) 5th Plan
(C) 6th Plan
(D) 8th Plan

Solution:
The idea of Rolling Plan was introduced by the Janata Government in 1978 replacing the
Fifth Plan.

Answer: (B) 5th Plan

Detail: It allowed flexibility by revising targets annually, unlike fixed 5-year goals. Concept
by Gunnar Myrdal.

Q5. First bank established in India was–

(A) Bank of Bengal

(B) Bank of Hindustan
(C) Punjab National Bank
(D) State Bank of India

Solution:
The first bank in India was Bank of Hindustan, established in 1770.

Answer: (B) Bank of Hindustan

Detail: Later Presidency Banks (Bank of Bengal, Madras, Bombay) were established. They
merged to form the Imperial Bank of India (1921), which became SBI in 1955.
Q6. Paper currency in India was first issued during–

(A) Lord Curzon

(B) Lord Canning
(C) Lord Dalhousie
(D) Warren Hastings

Solution:
Paper Currency Act was passed in 1861 under Lord Canning, giving RBI's predecessor the
monopoly to issue currency.

Answer: (B) Lord Canning

Detail: Before this, private banks also issued notes. RBI started printing notes in 1935.

Q7. Reserve Bank of India was established in–

(A) 1930
(B) 1934
(C) 1935
(D) 1949

Solution:
RBI was established on 1 April 1935 under RBI Act, 1934.

Answer: (C) 1935

Detail: The central bank manages monetary policy, currency issuance, CRR, SLR,
Repo/Reverse Repo. Nationalised in 1949.

Q8. Which of the following controls credit in India?

(A) SEBI
(B) NITI Aayog
(C) RBI
(D) Ministry of Finance

Solution:
RBI is the central bank that uses monetary policy tools like Repo Rate, CRR, SLR to control
credit.
Answer: (C) RBI

Detail: RBI controls inflation by controlling liquidity in the economy using monetary policy.

Q9. Which instrument is NOT controlled by RBI monetary policy?

(A) Repo Rate

(B) SLR
(C) CRR
(D) Fiscal Deficit

Solution:
Fiscal Deficit is related to government budget (fiscal policy), not RBI’s monetary control.

Answer: (D) Fiscal Deficit

Detail: Fiscal policy is managed by Government of India/Finance Ministry, while RBI

handles monetary.

Q10. When was the Planning Commission replaced by NITI Aayog?

(A) 2012
(B) 2014
(C) 2015
(D) 2019

Solution:
On 1 January 2015, Planning Commission was replaced by NITI Aayog.

Answer: (C) 2015

Detail: NITI Aayog = National Institution for Transforming India. It works as a think tank.

Q11. What is the ‘Repo Rate’?

(A) Rate at which commercial banks borrow from RBI

(B) Rate at which RBI borrows from banks
(C) Rate of exchange of foreign currency
(D) Rate at which government borrows from abroad
Solution:
Repo (Repurchase Agreement) is the short-term rate at which banks borrow funds from
RBI.

Answer: (A) Rate at which commercial banks borrow from RBI

Detail: High Repo → Costly loans → Inflation control. Lower Repo → Cheaper loans → Growth
support.

Q12. Which institution regulates the Capital Market in India?

(A) RBI
(B) SEBI
(C) NABARD
(D) NITI Aayog

Solution:
The Securities and Exchange Board of India (SEBI) regulates stock markets and capital
investment.

Answer: (B) SEBI

Detail: Established in 1988, got statutory powers with SEBI Act, 1992.

Q13. Which is the oldest stock exchange in Asia?

(A) NSE
(B) BSE
(C) London Stock Exchange
(D) Singapore Stock Exchange

Solution:
Bombay Stock Exchange (BSE) founded in 1875, is the oldest in Asia.

Answer: (B) Bombay Stock Exchange (BSE)

Detail: NSE started in 1992 as a modern electronic exchange.

Q14. What is the meaning of ‘Cheap Money Policy’?

(A) High interest rate by RBI
(B) Low interest rate of credit in the market
(C) High taxation by Government
(D) High liquidity tightening

Solution:
Cheap Money means loans are available at low rates of interest, encouraging investment.

Answer: (B) Low interest rate of credit in the market

Detail: Helps economic growth, but if prolonged can create inflation.

Q15. The first Special Economic Zone (SEZ) in Asia was established in–

(A) Singapore
(B) Hong Kong
(C) Kandla (India)
(D) Colombo (Sri Lanka)

Solution:
Asia's first SEZ was established at Kandla, Gujarat in 1965.

Answer: (C) Kandla (India)

Detail: SEZ promotes exports by providing tax relaxation, world-class infrastructure &
easier regulations.