Prelims Mantra (Practice Questions) (03/02/2026)
Quiz-summary
0 of 8 questions completed
Questions:
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
Information
Prelims Mantra (Practice Questions) (03/02/2026)
You have already completed the quiz before. Hence you can not start it again.
Quiz is loading...
You must sign in or sign up to start the quiz.
You have to finish following quiz, to start this quiz:
Results
0 of 8 questions answered correctly
Your time:
Time has elapsed
You have reached 0 of 0 points, (0)
Categories
- Not categorized 0%
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- Answered
- Review
-
Question 1 of 8
1. Question
Which of the following minerals are correctly classified as “critical minerals” for India?
1. Lithium
2. Cobalt
3. Uranium
4. Rare earth elements
Select the correct answer using the code below:
Correct
Answer: A
Explanation:
Uranium is a strategic nuclear mineral, not part of the critical-minerals list used for clean-energy transition.
Incorrect
Answer: A
Explanation:
Uranium is a strategic nuclear mineral, not part of the critical-minerals list used for clean-energy transition.
-
Question 2 of 8
2. Question
Temperature inversion occurs when:
Correct
Answer: B
Explanation:
Temperature inversion is a reversal of the normal behavior of temperature in the troposphere. Under normal conditions, temperature decreases with height, but during an inversion, a layer of warm air sits on top of a layer of cooler air near the ground.
Incorrect
Answer: B
Explanation:
Temperature inversion is a reversal of the normal behavior of temperature in the troposphere. Under normal conditions, temperature decreases with height, but during an inversion, a layer of warm air sits on top of a layer of cooler air near the ground.
-
Question 3 of 8
3. Question
Which of the following statements about India’s Digital Rupee (e₹) are correct?
1. It is issued by the Reserve Bank of India and is legal tender.
2. It can be used with interoperable UPI QR codes at merchant points.
3. The pilot operates only in the wholesale sector, not in the retail sector.
Select the correct answer using the code below:
Correct
Answer: A
Explanation:
The Digital Rupee is issued by the RBI and is legal tender. It is interoperable with UPI QR codes for payments at merchant points. The pilot operates in both retail and wholesale segments, so Statement 3 is incorrect.
Incorrect
Answer: A
Explanation:
The Digital Rupee is issued by the RBI and is legal tender. It is interoperable with UPI QR codes for payments at merchant points. The pilot operates in both retail and wholesale segments, so Statement 3 is incorrect.
-
Question 4 of 8
4. Question
Central Bank Digital Currencies (CBDCs) differ from traditional bank deposits primarily because:
Correct
Answer: B
Explanation:
CBDCs are issued and guaranteed by the central bank and are its direct liability. In contrast, bank deposits are liabilities of commercial banks. This structural distinction defines central banking and money creation.
Incorrect
Answer: B
Explanation:
CBDCs are issued and guaranteed by the central bank and are its direct liability. In contrast, bank deposits are liabilities of commercial banks. This structural distinction defines central banking and money creation.
-
Question 5 of 8
5. Question
Which of the following are correct regarding the Union Budget 2026-27?
1. New Income Tax Act, 2025 is to be effective from April 2026.
2. Fiscal deficit target is lowered to 3.8 % of GDP.
3. Capital expenditure is increased to ₹12.2 lakh crore.
Select the correct answer using the code below:
Correct
Answer: C
Explanation:
Statements 1 and 3 are correct: the new Income Tax Act is to be implemented from April 2026, and capital expenditure has been raised to ₹12.2 lakh crore. The fiscal deficit target was 4.3 % of GDP, not 3.8 %.
Incorrect
Answer: C
Explanation:
Statements 1 and 3 are correct: the new Income Tax Act is to be implemented from April 2026, and capital expenditure has been raised to ₹12.2 lakh crore. The fiscal deficit target was 4.3 % of GDP, not 3.8 %.
-
Question 6 of 8
6. Question
Consider the following measures announced in the Union Budget 2026-27:
1. Tax holiday till 2047 for foreign cloud/AI service providers from India
2. Integrated assessment and penalty order under direct taxes
3. Import duty hike across all consumer goods to protect domestic industry
Which of these reflect policy direction in the budget?
Correct
Answer: A
Explanation:
The budget proposes a long-term tax holiday for cloud/AI service providers and rationalization of penalty and assessment orders. It did not focus on broad import duty hikes on all consumer goods.
Incorrect
Answer: A
Explanation:
The budget proposes a long-term tax holiday for cloud/AI service providers and rationalization of penalty and assessment orders. It did not focus on broad import duty hikes on all consumer goods.
-
Question 7 of 8
7. Question
Which of the following is a likely direct benefit to India from reducing U.S. tariffs on Indian goods?
Correct
Answer: B
Explanation:
Lower tariffs improve Indian goods’ price competitiveness in the U.S. market, potentially boosting exports and market share.
Incorrect
Answer: B
Explanation:
Lower tariffs improve Indian goods’ price competitiveness in the U.S. market, potentially boosting exports and market share.
-
Question 8 of 8
8. Question
The 16th Finance Commission increased the weightage of which criterion in horizontal devolution?
Correct
Answer: B
Explanation:
Horizontal devolution was revised to give greater weight to states’ contribution to GDP over simple tax effort.
Incorrect
Answer: B
Explanation:
Horizontal devolution was revised to give greater weight to states’ contribution to GDP over simple tax effort.
