[Solution] – 10 PM Daily Quiz – 7 April, 2016

We posted 7 questions in 10 PM Daily Quiz on 7th April, 2016. Thanks for the amazing response. These questions will help you polish concepts based on current affairs. In case you have not attempted them, please attempt them by clicking below.

• 10 PM Daily Quiz –  7 April, 2016

Q.1) Consider the following statements regarding guidelines given by the Supreme Court in the S.R.Bommai case

1. Article 356 is justified when there is a breakdown of constitutional machinery and administrative machinery.
2. The court cannot question the advice tendered by the CoMs to the President but it can question the material behind the satisfaction of the President.
3. The majority enjoyed by the Council of Ministers shall be tested on the floor of the House.

Select the correct answer using the codes given below:

a) 1, 2 and 3
b) 1 and 2
c) 1 and 3
d) 2 and 3

Answer-d

Explanation:- The SC laid down certain guidelines so as to prevent the misuse of A356 of the constitution.

1. The majority enjoyed by the Council of Ministers shall be tested on the floor of the House.
2. Centre should give a warning to the state and a time period of one week to reply.
3. The court cannot question the advice tendered by the CoMs to the President but it can question the material behind the satisfaction of the President. Hence, Judicial Review will involve three questions only:
4. Is there any material behind the proclamation
5. Is the material relevant.
6. Was there any mala fide use of power.
7. If there is improper use of A356 then the court will provide remedy.
8. Under Article 356(3) it is the limitation on the powers of the President. Hence, the president shall not take any irreversible action until the proclamation is approved by the Parliament i.e. he shall not dissolve the assembly.
9. A356 is justified only when there is a breakdown of constitutional machinery and not administrative machinery.

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Q.2) Consider the following statements regarding Mahatma Gandhi National Rural Employment Guarantee Fund

1. It  is partially financed through National Investment Fund.
2. It is fully financed through National Employment Guarantee Fund.

Select the correct answer using the codes given below:

a) 1 only
b) 2 only
c) Both are true
d) Neither is true

Answer-c

Explanation:- Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is a flagship programme of Government of India implemented by Ministry of Rural Development w.e.f 02.02.2006. The main objective of the programme is to provide for the enhancement of livelihood security of the rural households by ensuring a legal right for atleast 100 days of unskilled wage employment to willing adult members.

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Q.3) Consider the following statements regarding ‘Financial Action Task Force (FATF)’

1. The FATF’s decision making body, the FATF Plenary, meets twice a year.  
2.  The FATF was created at the behest of the G20.
3. It is headquartered in Paris.

Select the correct answer using the codes given below:

a) 1 and 2
b) 2 and 3
c) 1 only
d) 3 only

Answer- d

Explanation:- The Financial Action Task Force (FATF) is an inter-governmental body established in 1989 by the Ministers of its Member jurisdictions.  The objectives of the FATF are to set standards and promote effective implementation of legal, regulatory and operational measures for combating money laundering, terrorist financing and other related threats to the integrity of the international financial system.  The FATF is therefore a “policy-making body” which works to generate the necessary political will to bring about national legislative and regulatory reforms in these areas.

The FATF has developed a series of Recommendations that are recognised as the international standard for combating of money laundering and the financing of terrorism and proliferation of weapons of mass destruction.  They form the basis for a co-ordinated response to these threats to the integrity of the financial system and help ensure a level playing field.

The FATF’s decision making body, the FATF Plenary, meets three times per year.  

The FATF was created in 1989 at the behest of the G7, and is headquartered In Paris.

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Q.4) Consider the following statements regarding National Food Security Act, 2013

1. Central Government will provide assistance to States in meeting the expenditure incurred by them on transportation of foodgrains within the State.
2. Eldest woman of the household of age 18 years or above will be the head of the household for the purpose of issuing of ration cards.
3. Upto 75% of the rural population and 50% of the urban population will be covered under TPDS, with uniform entitlement of 5 kg per person per month.

Select the correct answer using the codes given below:

a) 1 and 2
b) 2 and 3
c) 1 and 3
d) 1, 2 and 3

Answer-d

Explanation:- Salient features of the National Food Security Act, 2013

• Coverage and entitlement under Targeted Public Distribution System (TPDS) : Upto 75% of the rural population and 50% of the urban population will be covered under TPDS, with uniform entitlement of 5 kg per person per month. However, since Antyodaya Anna Yojana (AAY) households constitute poorest of the poor, and are presently entitled to 35 kg per household per month, entitlement of existing AAY households will be protected at 35 kg per household per month.
• State-wise coverage : Corresponding to the all India coverage of 75% and 50% in the rural and urban areas, State-wise coverage will be determined by the Central Government. Planning Commission has determined the State-wise coverage by using the NSS Household Consumption Survey data for 2011-12.
• Subsidised prices under TPDS and their revision : Foodgrains under TPDS will be made available at subsidised prices of Rs. 3/2/1 per kg for rice, wheat and coarse grains for a period of three years from the date of commencement of the Act. Thereafter prices will be suitably linked to Minimum Support Price (MSP).
• In case, any State’s allocation under the Act is lower than their current allocation, it will be protected upto the level of average offtake under normal TPDS during last three years, at prices to be determined by the Central Government. Existing prices for APL households i.e. Rs. 6.10 per kg for wheat and Rs 8.30 per kg for rice has been determined as issue prices for the additional allocation to protect the average offtake during last three years.
• Identification of Households : Within the coverage under TPDS determined for each State, the work of identification of eligible households is to be done by States/UTs.
• Nutritional Support to women and children : Pregnant women and lactating mothers and children in the age group of 6 months to 14 years will be entitled to meals as per prescribed nutritional norms under Integrated Child Development Services (ICDS) and Mid-Day Meal (MDM) schemes. Higher nutritional norms have been prescribed for malnourished children upto 6 years of age.
• Maternity Benefit : Pregnant women and lactating mothers will also be entitled to receive maternity benefit of not less than Rs. 6,000.
• Women Empowerment : Eldest woman of the household of age 18 years or above to be the head of the household for the purpose of issuing of ration cards.
• Grievance Redressal Mechanism : Grievance redressal mechanism at the District and State levels. States will have the flexibility to use the existing machinery or set up separate mechanism.
• Cost of intra-State transportation & handling of foodgrains and FPS Dealers’ margin : Central Government will provide assistance to States in meeting the expenditure incurred by them on transportation of foodgrains within the State, its handling and FPS dealers’ margin as per norms to be devised for this purpose.
• Transparency and Accountability : Provisions have been made for disclosure of records relating to PDS, social audits and setting up of Vigilance Committees in order to ensure transparency and accountability.
• Food Security Allowance : Provision for food security allowance to entitled beneficiaries in case of non-supply of entitled foodgrains or meals.
• Penalty : Provision for penalty on public servant or authority, to be imposed by the State Food Commission, in case of failure to comply with the relief recommended by the District Grievance Redressal Officer.

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Q.5)  Govt. has increased the FDI in Ecommerce to 100%. How does a 100% FDI in Ecommerce will affect business entities?

1. It will simplify the complex structures of e-commerce companies when the ownership of the company has to be decided based on FDI caps.
2. It will complicate business contracts between the e commerce entities

Select the correct answer using the codes given below

a) 1 only
b) 2 only
c) Both are true
d) Neither are true

Answer – a

Explanation

What 100% FDI in ecommerce clarifies

• It simplifies the artificially complex structures of e-commerce companies-because now a company can be partially, largely or wholly owned without being bothered about the percentage of ownership and also in distribution of different areas
• It keeps the bureaucratic trouble makers away
• It simplifies business contracts between entities, because now the other service areas can be divided among according to investment or specification of the work and the hassle of making contracts while having an FDI cap laws is avoided.
• It levels the playing field for retailers
• It diffuses the potentially controversial political rhetoric

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Q.6) Consider the following statements related liberalised remittances scheme:

1. Under the Liberalised Remittance Scheme, all resident individuals, excluding minors, are allowed
2. allowed to freely remit up to USD 2,50,000 per financial year (April – March)
3. to freely remit for any permissible current or capital account transaction or a combination of both.

Select the correct statement using the codes given below:

a)1 only
b)2 and 3 only
c)1 and 2 only
d)All of the above

Answer: b

Explanation

Under the Liberalised Remittance Scheme, all resident individuals, including minors, are allowed to freely remit up to USD 2,50,000 per financial year (April – March) for any permissible current or capital account transaction or a combination of both.

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Q.7) Which of the following are direct taxes?
1. Fringe benefit tax
2. Anti-dumping duties
3.Banking tax transaction tax

Select the correct statement using the codes given below:

a) 1 and 3
b) 1 and 2
c) 2 and 3
d) 1, 2 and 3

Answer- a

Explanation:-

Direct Taxes: As the name suggests Direct tax means the tax which is directly paid to the government by individuals and the companies. Ex: Corporate Tax, Personal Income Tax, Securities Transaction Tax, Banking Cash Transaction Tax, and the Fringe Benefit Tax

Indirect Taxes: As the name suggests Indirect Taxes are those taxes which are paid indirectly to government by the individuals or the companies. Ex: Sales Tax, Service Tax, Custom and Excise Duties, VAT and Anti-Dumping Duties

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