[Solution] – The 10 PM Daily Quiz – 20 July, 2016

We posted 6 questions in 10 PM Daily Quiz on 20 July, 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 – 20 July, 2016

Q.1) Consider the following statements regarding Sovereign Gold Bonds (SGB) scheme

1. The bond can be purchased from the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE).
2. In fourth tranche of the Sovereign Gold Bonds (SGB) scheme, minimum subscription has been reduced to 1 gram and maximum at 500 gram per person or institution.

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:-

• The fourth tranche of the Sovereign Gold Bonds (SGB) scheme opened for subscription.
• SGB is government securities denominated in grams of gold.
• It offers an alternative to holding gold in physical form. The scheme was launched by the Union Government in October 2015.
• The bond can be purchased from the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). Besides, all Bank branches and select Post Offices and Stock Holding Corporation of India Limited will also issue it.
• In this tranche minimum subscription has been reduced to 1 gram and maximum at 500 gram per person or institution. Earlier, the minimum denomination was 5 gram.
• The SGB bonds can be converted into demat form and can be used as collateral for availing loans. Redemption of SGB bonds by an individual is exempted from capital gains tax.
• SGB gives an interest of 2.75 per cent per annum and is payable every six months on initial investment. Government will use the funds raised through these bonds as part of its market borrowing programme.

Q.2)  Saudi Arabia’s Islamic Development Bank (IDB) has decided to open its first branch in India at
a) Lucknow
b) Kolkatta
c) New Delhi
d) Ahmedabad

Answer-d

Explanation:-

•         Saudi Arabia’s Islamic Development Bank (IDB) has decided to open its first branch in India at Ahmedabad, Gujarat.
•         The IDB is a multilateral development financing institution based in in Jeddah, Saudi Arabia. Presently, it has 56 Islamic countries as its members.
•         It was founded in 1973 by the Finance Ministers at the first Organisation of the Islamic Conference (now Organisation of Islamic Cooperation).
•         IDB’s objective is to foster the economic development and social progress of member countries as well as the Muslim community in accordance with principles of Islamic (Shariah) law.

Q.3) Consider the following statements regarding Participatory Notes

1. Participatory Notes are offshore/overseas derivative instruments (ODIs) issued by registered foreign institutional investors (FII) to overseas investors.
2.  P-Notes are not used within the country but are mainly used outside India for making investments in shares listed in the Indian stock market.

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:-

•         Participatory Notes are offshore/overseas derivative instruments (ODIs) issued by registered foreign institutional investors (FII) to overseas investors.
•         They are commonly known as P-Notes. P-Notes are issued to overseas investors who wish to invest in the Indian stock markets without registering themselves with the market regulator SEBI.
•         Investing through P-Notes is very simple and is very popular amongst FIIs. SEBI had permitted FIIS to participate and register in the Indian stock market in 1992.
•         P-Notes are not used within the country but are mainly used outside India for making investments in shares listed in the Indian stock market.
•         For example, India-based brokerages buy securities from the Indian stock and then issue P-Notes to foreign investors for the securities. Any capital gains or dividends collected from the underlying securities go back to the investors.
•         Advantages Ease of Trading: Trading through P-Notes is easy because they are like contract notes transferable by endorsement and delivery.
•         Tax Saving: Some of the entities route their investment through P-Notes to take advantage of the tax laws of certain preferred countries.
•         Disadvantages Anonymity: Any entity investing in P-Notes is not required to register with SEBI. It enables large hedge funds to carry out their operations without revealing their identity. Money Laundering: P-Notes are used by money launderers. They first take funds out of country through hawala and then get it back using P-Notes.

Q.4) Consider the following statements regarding mahseer fish.

1.  International Union of Conservation of Natural Resources (IUCN) has declared it vulnerable.
2. It is also known as the tiger of Indian rivers and belongs to the genus Tor.

Select the correct answer using the codes given below:
a) 1 only
b) 2 only
c) Both are true
d) Neither is true

Answer-b

Explanation:-

Himachal Pradesh launches artificial propagation programme of mahseer fish for conservation

•         Golden mahseer is the longest-living freshwater fish.
•         It is also known as the tiger of Indian rivers and belongs to the genus Tor.
•         It is native to mountain and sub-mountain regions and is found at altitudes of up to 2,000 metres above sea level.
•         During the southwest floods it migrates upstream for spawning and after spawning, it returns to the original feeding grounds.

International Union of Conservation of Natural Resources (IUCN) has declared it endangered.

Q.5) Cyclonic Storm Roanu, an active tropical cyclone in the Bay of Bengal had hit the eastern coast of India. It originated from
a) Myanmar
b) Bangladesh
c) Sri Lanka
d) Indonesia

Answer-c

Explanation:-

Cyclonic storm ROANU hits eastern coast of India

•         Cyclonic Storm Roanu, an active tropical cyclone in the Bay of Bengal has hit the eastern coast of India. It is the first tropical cyclone of the annual cyclone season.
•         Roanu originated from a deep depression (low pressure) area that formed south of Sri Lanka and later gradually drifted north and intensified into a cyclonic storm.

Q.6) Consider the following statements regarding Man Booker International Prize

1. South Korean author, Han Kang, has won the 2016 Man Booker International Prize for her novel ‘The Vegetarian’.
2.  The Man Booker International Prize is sponsored by Man Group plc, which also sponsors the Man Booker Prize for Fiction.

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:-

South Korean author Han Kang wins 2016 Man Booker International Prize

•         South Korean author, Han Kang, has won the 2016 Man Booker International Prize for her novel ‘The Vegetarian’. With this Han becomes the first South Korean to win this prestigious literary prize.
•         Man Booker International Prize is an international literary award. The award given to a living author of any nationality for a body of work published in English or generally available in English translation.
•         The Man Booker International Prize is sponsored by Man Group plc, which also sponsors the Man Booker Prize for Fiction.