XAT General Knowledge Syllabus

What does CRR (Cash Reserve Ratio) mean in Indian banking?

CRR is the minimum percentage of a bank's total deposits that it must keep as reserves with the RBI in cash; it is a tool to control liquidity in the economy.

What is the difference between direct tax and indirect tax with examples?

Direct tax is levied directly on income or wealth and cannot be shifted (e.g., income tax, corporate tax); indirect tax is levied on goods and services and can be passed to the consumer (e.g., GST, customs duty).

In which year was GST (Goods and Services Tax) implemented in India and what did it primarily replace?

GST was implemented on 1 July 2017; it replaced a range of indirect taxes such as VAT, service tax, and excise duty under a 'One Nation, One Tax' framework.

What is a bull market versus a bear market in stock exchange terminology?

A bull market is a period of rising stock prices and investor optimism; a bear market is a period of falling prices (typically a 20%+ decline) and investor pessimism.

What are the two main benchmark stock indices of India and which exchanges do they represent?

The Sensex is the benchmark index of the BSE (Bombay Stock Exchange) tracking 30 companies; the Nifty 50 is the benchmark index of the NSE (National Stock Exchange) tracking 50 companies.

What is the difference between an IPO and an FPO?

An IPO (Initial Public Offering) is the first sale of shares by a company to the public; an FPO (Follow-on Public Offering) is a subsequent issue of shares by an already listed company.

What is SEBI and what is its primary role?

SEBI (Securities and Exchange Board of India) is the regulatory body for the securities and capital markets in India; its primary role is to protect investors and regulate the stock market.

What is the difference between fiscal deficit and revenue deficit?

Fiscal deficit is the excess of total government expenditure over total receipts excluding borrowings; revenue deficit is the excess of revenue expenditure over revenue receipts.

What is the United Nations Security Council, and how many permanent members does it have?

The UN Security Council is the UN organ responsible for maintaining international peace and security; it has 5 permanent members (USA, UK, France, Russia, China) with veto power and 10 non-permanent members.

Where are the headquarters of the World Trade Organization (WTO) located and what is its main function?

The WTO is headquartered in Geneva, Switzerland; it regulates and facilitates international trade between nations and resolves trade disputes.

What is the difference between the World Bank and the International Monetary Fund (IMF)?

The World Bank provides long-term loans for development projects and poverty reduction; the IMF provides short-term financial assistance to stabilize economies and ensure global monetary cooperation. Both are headquartered in Washington, D.C.

Which organisation publishes the Human Development Index (HDI) and what three dimensions does it measure?

The UNDP (United Nations Development Programme) publishes the HDI; it measures health (life expectancy), education (schooling), and standard of living (per capita income).

What does BRICS stand for and which country joined later to add the 'S'?

BRICS stands for Brazil, Russia, India, China, and South Africa; South Africa joined the original BRIC grouping in 2010, adding the 'S'.

What is OPEC and what is its primary purpose?

OPEC (Organization of the Petroleum Exporting Countries), headquartered in Vienna, coordinates the petroleum policies of member oil-producing nations to stabilize oil prices and markets.

What is the difference between the WHO and the World Economic Forum (WEF)?

The WHO (World Health Organization, Geneva) is a UN agency directing international public health; the WEF (Davos) is an independent non-profit foundation that engages business, political and academic leaders on global economic issues.

Which award is considered India's highest civilian honour, and which is the highest military honour?

The Bharat Ratna is India's highest civilian honour; the Param Vir Chakra is the highest military honour, awarded for valour during wartime.

In what fields is the Nobel Prize awarded, and which field was added later than the original five?

The Nobel Prize is awarded in Physics, Chemistry, Physiology or Medicine, Literature, and Peace (established 1901); the Prize in Economic Sciences was added in 1969, funded by Sweden's central bank.

What is the Jnanpith Award given for?

The Jnanpith Award is India's highest literary honour, given for outstanding contribution to literature in any of the languages recognized by the Indian Constitution.

Which award is known as the 'Asian Nobel Prize'?

The Ramon Magsaysay Award, named after a former Philippine president, is regarded as Asia's highest honour and is often called the 'Nobel Prize of Asia'.

What is the highest sporting honour given by the Government of India, and what is it currently named?

It is the Major Dhyan Chand Khel Ratna Award (renamed in 2021 from the Rajiv Gandhi Khel Ratna Award), given for the most outstanding sporting performance.

Who heads the Reserve Bank of India and what is the title of that post?

The Reserve Bank of India is headed by the Governor of the RBI, who is the chief executive and chairs the Monetary Policy Committee.

Who is the constitutional head and supreme commander of the Indian Armed Forces?

The President of India is the constitutional head of state and the Supreme Commander of the Indian Armed Forces.

What is the term of office of the Comptroller and Auditor General (CAG) of India?

The CAG of India holds office for a term of 6 years or until the age of 65, whichever is earlier; the CAG audits government accounts.

Who appoints the Chief Justice of India and the other judges of the Supreme Court?

The President of India appoints the Chief Justice of India and the other Supreme Court judges, with appointments made on the recommendation of the Collegium system.

What is the difference between the CEO and the Chairman of a company?

The CEO (Chief Executive Officer) manages the day-to-day operations and executes strategy; the Chairman heads the Board of Directors and oversees governance and the board's functioning.

Which company owns the brands Google, YouTube, and Android, and what is its parent holding company?

Google owns YouTube and Android; its parent holding company is Alphabet Inc., created in 2015 to restructure Google.

What is the difference between a brand's tagline and its logo?

A tagline is a short memorable phrase that conveys a brand's message or promise (e.g., 'Just Do It'); a logo is a visual symbol or design that identifies the brand.

Which Indian conglomerate owns the Jio telecom brand, and who is its chairman?

Reliance Industries Limited owns Jio (Reliance Jio Infocomm); its chairman is Mukesh Ambani.

What is meant by an FMCG company, and give two examples of major FMCG firms in India.

FMCG (Fast-Moving Consumer Goods) refers to low-cost products sold quickly with high turnover such as food, toiletries and household items; major Indian examples are Hindustan Unilever Limited (HUL) and ITC Limited.

What is a 'unicorn' in the startup ecosystem?

A unicorn is a privately held startup company valued at over 1 billion US dollars; the term was coined by venture capitalist Aileen Lee in 2013.