The Institute of Company Secretaries of India CS foundation exam question papers free

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PART — A
1. (a) Write an essay of about 300 words on any one of the following :
(i) Black money and Indian economy
(ii) Role of computers in business
(iii) Environmental pollution.
(10 marks)
(b) Make a précis of the following passage in about one-third of its length and suggest a
suitable title (Use précis-sheet given at the end of the answer book) :
Speaking in public is most people’s least favourite thing. The reason is that we are all
afraid of making fools of ourselves. The more important the speech, the more frightened
we become.
Your audience is going to come away with one or two of your main ideas. One or two,
not ten or twenty. If you can’t express in a sentence or two what you intend to get across,
then your speech is not focused well enough. And if you do not have a clear idea of what
you want to say, there is no way your audience will.
No matter how long or short your speech is, you have got to organise it — how you are
going to open, what major points you want to make and how you are going to close.
When I do a radio or TV piece, I often write the last sentence first. When you know where
you are headed, you can choose any route to get there. A strong conclusion is critical :
the last thing you say is what your audience will most likely remember.
The first few moments of your speech establish the relationship between you and your
audience. Smile. Acknowledge your introducer with a nod and a thank you. Then wait.
Don’t begin until you have everybody’s attention. Each member of the audience will
quickly get the idea that he is being spoken to and will turn on his brain. You should use
notes instead of scripted speech.
(248 words)
(8+2 marks)

2. (a) Attempt the following as directed against each :
(i) Mobile phone should not be used while driving. (Change into active voice.)
(ii) he asked me whats your name (Punctuate the sentence.)
(iii) Bring me ______ apple. (Fill-in the blank space using an indefinite article.)
(iv) He is wiser than _____ (me/I). (Fill-in the blank space using the correct word.)
(v) This is an useful book. (Correct the sentence.)
(vi) Dinesh is the cleverest boy in the locality. (Re-write using comparative degree.)
(vii) No one is immortal. (Change into affirmative sentence.)
(viii) One expects proper behaviour from a college student. (Change into passive voice.)
(ix) The Principal said to him, “Call the boy.” (Change into indirect speech.)
(x) This is the cleanest hospital of the two hospitals in the city. (Correct the
sentence.)
(1 mark each)
(b) Write the most appropriate answer from the given options in respect of the following :
(i) The expression ‘to formally put an end to’ means —
(a) Abolish
(b) Abandon
(c) Excerpt
(d) Surrender.
(ii) A remedy for all diseases or difficulties is called —
(a) Panacea
(b) Concrete
(c) Numismatics
(d) Philistine.
(iii) The antonym of the word humble is ––
(a) Smart
(b) Wise
(c) Proud
(d) Rich.
(iv) Opportune means ––
(a) Coming at the right time
(b) Opportunity
(c) Celebration
(d) Occasion.
1/2012/EBC P.T.O.

(v) The place where an aeroplane is housed is known as ––
(a) Shed
(b) Yard
(c) Cold Storage
(d) Hangar.
(1 mark each)
3. (a) Make sentences of your own using the following pair of words to bring out their meanings :
(i) Check — Cheque
(ii) Lose — Loose
(iii) Storey — Story.
(2 marks each)
(b) Make sentences of your own using the following phrases/idioms to bring out their meanings :
(i) Hard nut to crack
(ii) Gift of the gab
(iii) Round the clock
(iv) To get the wind of.
(1 mark each)
(c) Write full form of the following :
(i) VIP
(ii) IOU
(iii) E&OE
(iv) A/c
(v) e.g.
(1 mark each)
PART — B
4. (a) State, with reasons in brief, whether the following statements are true or false. Attempt
any five :
(i) An office order carries a stamp of authority with it and has to be accepted.
(ii) Hearing is synonymous to listening.
(iii) Communication varies in the culture and cultural background.
(iv) Gestures make communication more effective.
(v) Research studies show that at the work-place on an average employees spend
about two-third time of their working time in listening.
1/2012/EBC Contd ........

(vi) Anger is the worst enemy of communication.
(vii) If the seller has undercharged the buyer, he may send a ‘credit note’ to the
buyer.
(viii) Cluster chain communication is the most popular kind of formal communication.
(2 marks each)
(b) What are the barriers to communication ? How do they hamper communication ?
(5 marks)
(c) Explain essential characteristics of a good ‘public notice’.
(5 marks)
5. Attempt any three of the following :
(i) “Organising the writing is the key to clarity.” Comment.
(5 marks)
(ii) As a Company Secretary, write a letter to a shareholder who has informed about
non-receipt of dividend warrant. (Only body of the letter.)
(5 marks)
(iii) You have recently opened your new office and are eager to have the latest equipments
and appliances for the office within the least possible time. Write a letter to the supplier
of office equipments and appliances to provide the latest catalogue and price list. (Only
body of the letter.)
(5 marks)
(iv) What do you mean by ‘AIDAS’ ? Explain.
(5 marks)
6. Attempt any three of the following :
(i) Write a letter congratulating your friend on his success in the examination.
(5 marks)
(ii) List out the etiquettes to be followed while using the mobile phone.
(5 marks)
(iii) Draft an advertisement for the post of Lady Receptionist in a multinational company
trading in health care products.
(5 marks)
(iv) What do you mean by ‘postscript’ in letter writing ?
(5 marks)

1/2012/E&S P.T.O.

PART –– A
1. (a) State, with reasons in brief, whether the following statements are true or false :
(i) The term ‘production’ in economics includes only those activities which generate
income.
(ii) The law of variable proportions is a short-term phenomenon.
(iii) In a capitalist economy, all means of production are exclusively owned by the
government.
(iv) An item cannot have liquidity unless it can be sold or exchanged in the market.
(v) ‘Free entry and exit’ is one of the important features of competitive markets.
(2 marks each)
(b) Write the most appropriate answer from the given options in respect of the following :
(i) An example of ‘positive economics’ analysis would be —
(a) An analysis of the relation between the price of food and the quantity
purchased
(b) Determining how much income each person should be guaranteed
(c) Determining fair price for food
(d) Deciding how to distribute the output of the economy.
(ii) When demand and supply both increase in the same proportion —
(a) Equilibrium quantity remains unchanged
(b) Price increases
(c) Equilibrium price remains same
(d) Quantity decreases.
(iii) The study of the theory of a firm is an example of —
(a) Macro economics
(b) Micro economics
(c) Non-economic activity
(d) Business activity.

(iv) In ordinal utility theory, utility is —
(a) Not expressed in absolute units
(b) Expressed in absolute units
(c) Expressed as elasticity of price
(d) Expressed as elasticity of supply.
(v) In long run, equilibrium of a firm in perfect competition would be —
(a) AC>AR>MC>MR
(b) AC (c) AC=AR=MC=MR
(d) AC=AR and MC>MR.
(vi) Sector which includes agriculture and activities like forestry, poultry farming,
animal husbandry, etc., is known as —
(a) Primary sector
(b) Secondary sector
(c) Tertiary sector
(d) Organised sector.
(vii) Balance of payments is a —
(a) Systematic records of all trade transactions between two countries
(b) Systematic record of all monetary transactions between residents of one
country and the residents of the rest of the world in a year
(c) Systematic record of all debts to and from other countries
(d) None of the above.
(viii) The transaction version of the quantity theory of money was put forward by —
(a) Pigou
(b) Marshall
(c) Keynes
(d) Fisher.
1/2012/E&S P.T.O.

(ix) If M1=Currency; M2=Banks’ money; P=Average price; T=Aggregate volume of
all items sold and V1 and V2 are their velocities respectively, then according to
quantity theory of money (Fisher’s equation) —
(a) M1V1 = M2V2 = PT
(b) M1V1 + M2V2 = PT
(c) M1V1 < M2V2 < PT
(d) M1V1 > M2V2 > PT.
(x) World Trade Organisation (WTO) is a system of rules dedicated to open, fair
and —
(a) Promote competition for most-favoured nation (MFN)
(b) Undistorted competition
(c) Check trade barriers by General Council of WTO
(d) Periodical review of trade policy by General Council of WTO.
(1 mark each)
2. (a) Distinguish between any three of the following :
(i) ‘Average variable cost’ and ‘marginal cost’.
(ii) ‘Arc elasticity’ and ‘point elasticity’.
(iii) ‘Demand deposit’ and ‘time deposit’.
(iv) ‘Factor cost’ and ‘market price’.
(3 marks each)
(b) Re-write the following sentences after filling-in the blank spaces with appropriate
word(s)/figure(s) :
(i) In _______ market, product differentiation is the key feature.
(ii) _________ can be defined as the addition to total revenue when the quantity
sold is increased by one unit.
(iii) According to the Micro, Small and Medium Enterprises Development Act, 2006,
enterprises have been divided broadly into two categories — one as enterprises
engaged in the manufacture or production of goods and the other as the
enterprises engaged in providing or rendering of ___________.

(iv) _________ imply the sale or purchase of approved securities by the Central
Bank in the open market.
(v) An item like milk has _____________ price elasticity of demand.
(vi) The nature of unemployment in India sharply differs from one that prevails in
developed countries, as most of it is in the form of __________ unemployment.
(1 mark each)
3. Attempt any three of the following :
(i) Discuss the relationship between demand and leading determinants of demand.
(ii) Explain ‘monopoly’ and its salient features.
(iii) State the objectives of monetary policy and its role in India.
(iv) What do you understand by the term ‘globalisation’ ? Elaborate its gains both in general
and in particular to India.
(5 marks each)
4. Attempt any three of the following :
(i) Why does the supply curve slope upward from left to right ?
(ii) Why do consumers suffer in the monopolistic competition ?
(iii) Discuss the salient features of India’s tax system.
(iv) Explain the measures taken to tackle the supply side management in Indian economy
since 1991.
(5 marks each)

PART — B
(Answer Question No.5 which is compulsory
and any two of the rest from this part.)
5. (a) State, with reasons in brief, whether the following statements are true or false :
(i) Statistics have no limitations.
(ii) Mode is affected by extreme observations.
(iii) Value of standard deviation is only positive.


(iv) Secular trend variations are of regular nature and repeat after a fixed interval of
time.
(v) Same weight is given to all commodities in a weighted index number.
(2 marks each)
(b) Write the most appropriate answer from the given options in respect of the following :
(i) “Statistics may be defined as the science of collection, presentation, analysis and
interpretation of numerical data.” This definition of statistics was given by —
(a) Lovin
(b) Croxton and Cowden
(c) A. L. Bowley
(d) King.
(ii) Frequency of a class per unit width that indicates concentration of frequency in
the class is known as —
(a) Frequency distribution
(b) Frequency density
(c) Class width
(d) Class interval.
(iii) Index numbers that measure the changes in total money worth during some
period compared with other period are known as —
(a) Quantity index numbers
(b) Value index numbers
(c) Wholesale price index numbers
(d) Retail price index numbers.
(iv) In case of a symmetrical distribution —
(a) Mean = median = mode
(b) Mode = 3 median – 2 mean
(c) Mode/median = mean
(d) Mode – mean = median.
(v) Harmonic mean of 400, 100, 300, 200 is —
(a) 250
(b) 1000
(c) 192
(d) (250)2.
1/2012/E&S Contd ........

(vi) The organisations such as Reserve Bank of India (RBI) and National Sample
Survey Office (NSSO) collect and publish ––
(a) Derivative data
(b) Mixed data
(c) Secondary data
(d) Primary data.
(vii) The correlation co-efficient lies between —
(a) –1 and +1
(b) 0 and +1
(c) 0 and –1
(d) +1 and +2.
(viii) Seasonal variations are absent if the time interval between successive observations
is —
(a) Less than or equal to one year
(b) Equal to one year
(c) More than one year
(d) None of the above.
(ix) In any pie-chart, the sum of central angle is ––
(a) 90 degree
(b) 180 degree
(c) 270 degree
(d) 360 degree.
(x) Which one of the following is a positional average —
(a) Arithmetic mean
(b) Geometric mean
(c) Median
(d) Harmonic mean.
(1 mark each)
6. (a) Distinguish between any three of the following :
(i) ‘Harmonic mean’ and ‘geometric mean’.
(ii) ‘Primary data’ and ‘secondary data’.
(iii) ‘Census investigation’ and ‘sample investigation’.
(iv) ‘Dorbish and Bowley’s index number’ and ‘Fisher’s ideal index number’.
(3 marks each)

(b) Re-write the following sentences after filling-in the blank spaces with appropriate
word(s)/figure(s) :
(i) The word ‘statistics’ is used in two senses, i.e., statistical data and ____________.
(ii) In __________ classification, data are classified on the basis of certain
characteristics or presence and absence of attributes like intelligence, honesty,
occupation, etc.
(iii) ________of a distribution divides a series of observations into 100 equal parts.
(iv) In an approximate normal distribution   2 x covers about __________ of the
distribution.
(v) The study of association between two characteristics can be divided into two
broad categories, i.e., correlation and ____________.
(vi) _____________ of data implies the removal of the effect of seasonal variations.
(1 mark each)
7. Attempt any three of the following :
(i) “The two ogives intersect at median.” Define ‘ogive’ and elaborate the statement with
the help of an example.
(ii) Explain Spearman’s rank correlation method.
(iii) “Forecasting can be done on the basis of collection of data or obtaining opinion of
the experts.” Explain.
(iv) From the following, find seasonal indices (upto two decimal places) by using moving
average method :
Year Quarter 1 Quarter 2 Quarter 3 Quarter 4
2005 30 20 25 27
2006 23 25 30 20
2007 24 23 29 21
2008 21 45 26 19
2009 25 35 40 25
(5 marks each)


8. Attempt any three of the following :
(i) Represent the following data by histogram :
Class interval 0-50 50-100 100-150 150-200 200-250 250-300
Frequency 12 5 22 3 15 7
(ii) Find the co-efficient of correlation between the marks obtained by 12 students of a
post-graduate course in two papers of Economics and Statistics of 100 marks each from
the following by using the method of calculating co-efficient of correlation by assuming
mean. Also comment upon the co-efficient of correlation so arrived :
Marks in
Economics 75 80 75 83 78 84 85 60 79 74 81 77
Marks in
Statistics 79 85 70 80 80 90 88 63 87 73 82 76
(iii) The mean of a certain number of observations is 50. If three numbers 70, 60 and
65 are added to this data, the mean rises to 55. Find the number of items in the original
data ?
(iv) The following is the distribution of aggregate percentage of marks of students in a class :
Aggregate
marks (%) 30-40 40-50 50-60 60-70 70-80 80-90 90-100
Number of
students 1 3 10 20 15 6 5
Calculate the percentage of students having the range   x .

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Contact Details:
The Institute Of Company Secretaries Of India
ICSI House, Plot No.22,
Lodi Road,
Institutional Area,
New Delhi,
Delhi 110003
011 4150 4444
India

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