GRE Reading Comprehension Practice Test 5

Question – 1



1. Which of the following best describes the main difference between Wal-Mart and Intel?

  • A. Unlike Intel, Wal-Mart gives no importance to the quality of products

  • B. Wal-Mart gives high precedence to customer satisfaction, but Intel does not

  • C. Intel is a strong believer of developing new products through innovation

  • D. Unlike Wal-Mart, Intel focuses on the quality of the product with total disregard to Its price

  • E. Wal-Mart and Intel follow different strategies for product marketing

  • Answer:D

  • Answer Explanation:Wal-Mart and Intel belong to the first and the second value discipline respectively. The first value discipline advocates ‘low price and hassle-free service’. There is no indication of the fact that such companies do not give due importance to the quality of the products being marketed by them and so A is clearly incorrect. Intel belongs to the second value discipline and it is a product leader that believes in innovation continuously through the years. There is no indication of the fact mentioned at B and so it is incorrect. C is factually correct, but it does not explain how Intel is different from Wal-Mart and so it is incorrect. On comparing D and E, it can be seen that D is the correct answer as it gives a precise description of the difference between Wal-Mart and Intel.


Question – 2



2. Which of the following has not been used as a description of a company following the second value discipline?

  • A. Offers products that excel in performance

  • B. Offers its customers the best after going through a deep understanding of their requirements

  • C. Spends time in researching upon and developing the best products for its customers

  • D. Goes through a continuous sequence of initiating the design and manufacture of new products with special emphasis on their quality

  • E. Manufacturers of the best products in their field

  • Answer:B

  • Answer Explanation:The second value discipline has been described as product leadership wherein products are offered after a continuous cycle of innovation. For them, the price of the product is not as important as the quality of the product’s performance. In view of the above, it is evident that A, D and E are factually correct as they all refer to some or the other aspect of the second value discipline and are therefore, incorrect answer options to the question asked. On comparing D and B, it can be seen that D is factually correct whereas B is factually incorrect as it has not been indicated anywhere that deep understanding of the customer’s requirements is carried out in the second value discipline and hence, B is the correct answer.


Question – 3



3. The author implies that the customer-company relationship will not be ignored if the company which markets the products

  • A. follows both the first and the third value disciplines

  • B. promises to offer the best products with no compromise on cost

  • C. offers new and improved products every year

  • D. follows the third value discipline, but not the first value discipline

  • E. takes care to provide products that are low cost and are easily available

  • Answer:D

  • Answer Explanation:The correct answer to this question would be the one that refers to a company which is described by the third value discipline as that is the only discipline that advocates a deep and close customer-company relationship. The first value discipline does not ‘cultivate deep, one-to-one relationships with their customers’ and therefore, A and E are both incorrect. B and C are also incorrect as they both refer to the second value discipline and the author has given no indication of a close customer-company relationship for companies that follow the second value discipline. In view of the above, it is evident that D is the correct answer.


Question – 4



4. It has been implied that the economic conditions in India during the British period were such that

  • A. industrial and agriculture sectors saw progressive atrophy

  • B. the common man was no longer unemployed

  • C. agriculture and industrial development saw aggrandizement

  • D. there were numerous lucrative job options to choose from

  • E. the country was riddled with problems

  • Answer:C

  • Answer Explanation:D and E refer to conclusions that cannot be drawn solely based on the information provided in the passage and therefore, they both are incorrect. It has been explicitly brought out in the passage that the agricultural and industrial sectors saw a high degree of development. Therefore, A is clearly incorrect, but C is correct. B could be a correct conclusion but it has not been explicitly implied in the passage. On comparing B and C it can be seen that C is the correct answer as it has been clearly brought out in the passage.


Question – 5



5. Which of the following has not been used to substantiate the claim that the country had a predominant agrarian character during the British rule?

  • A. A large number of men were dependant on land as a source of income

  • B. Trade and transport sectors were not as developed as the agriculture sector

  • C. Agriculture was a major subsidiary occupation

  • D. More than half of the adult male population consisted of agriculturists

  • E. The agriculture sector was one of the most well developed sectors

  • Answer:B

  • Answer Explanation:The latter part of the passage concentrates on illustrating the importance of agriculture and substantiating the claim that India had a predominant agrarian character during the British rule. A, C, D and E have been explicitly brought out as evidence in support of this claim and hence, they all are incorrect answer options to the question asked. The fact mentioned at B does not necessarily mean that India had a predominant agrarian character since it has also been brought out that the industrial sector was as developed as the agriculture sector. Therefore, B is the correct answer to the question asked.


Question – 6



6. Based on the information provided in the passage, it would be unjust to conclude that the Indian economy

  • A. is facing problems in the present times

  • B. can be predicted by taking lessons from its conditions in the past

  • C. is not bound by its status in the past

  • D. and its future can be determined by studying its history

  • E. today is comparable to what existed during the British rule

  • Answer:E

  • Answer Explanation:The passage starts on the note that a study of the past of the economy is of great help for understanding its present state and likely future. Also, it has been brought out that ‘With the knowledge and experience that it offers, one can perceive the emergence and evolution of the present problems. No doubt, events of the past do not mercilessly bind us’. This implies that the present economy has certain problems but it is not bound by its past even though the past needs to be studied for determining the future of the present economy and understanding it better. Therefore, A, B, C and D are all valid conclusions based on the contents of the passage and are therefore, incorrect answer options. There is no indication of the fact that the economy during the British rule also had problems similar to the ones that exist today and therefore, the conclusion at E is unjustified and hence, E is the correct answer.


Question – 7



7. How has the author described the Indian farmers?

  • A. Financially crippled, but highly skilled

  • B. diligent and assiduous but not apathetic

  • C. assiduous and indolent

  • D. Financially stable but lackadaisical

  • E. Ingenious and inept

  • Answer:B

  • Answer Explanation:The Indian farmers have been referred to as ‘the industrious peasantry which was highly skilled’ and so they could not have been lackadaisical and therefore, D is incorrect. The farmers cannot be assiduous and indolent or ingenious and inept at the same time. Therefore, C and E are also incorrect. On comparing the remaining options, A and B it can be seen that B is the correct answer as it has not been implied anywhere in the passage that the farmers were financially crippled.


Question – 8



8. The claim that Indian agriculture was seeing an upward trend in areas of profitability has been substantiated by

  • A. ‘Indians cultivated wheat centuries before the English did’

  • B. ‘cotton was cultivated in this country from very early times’

  • C. ‘industrious peasantry’

  • D. ‘Good agricultural practices’

  • E. ‘techniques used were much advanced’

  • Answer:D

  • Answer Explanation:The correct answer would be the one that has been used to support the fact that Indian agriculture was proving to be profitable. This has not been directly brought out in the passage and so the option that implies a similar meaning will be the correct answer option. Out of all the given answer options, D is the only option that refers to a profitable aspect of Indian agriculture. This is because the agriculture practices that are being referred to at D have been labelled as rewarding practices by the author. Therefore, D is the correct answer.


Question – 9



9. Which of the following has not been cited as a reason for the ‘the advanced agrarian scene’?

  • A. Experience in growing varied crops

  • B. Hardworking and skilled farmers

  • C. Counterproductive agricultural practices

  • D. The status of the agricultural and irrigational techniques

  • E. Knowledge and skills in cultivating crops from early times

  • Answer:C

  • Answer Explanation:It has been brought out in the beginning of the passage that A and E played an important role in helping the development of Indian agriculture and therefore, A and E are incorrect answer options to the question asked. The industrious farmers or the peasantry is also responsible for the advancements in agriculture and so B is also an incorrect answer option. The agricultural practices and irrigational techniques have been brought out to be highly developed and they definitely assisted in developing Indian agriculture further. This implies that D is an incorrect answer option, but C is factually incorrect and therefore C is the correct answer.


Question – 10



10. Which of the following has been provided as evidence in support of the assertion that India outranked other countries in the sphere of industrial development?

  • A. ‘As far as the level of India’s industrial development is concerned, it was fairly high’

  • B. ‘The country was also reputed for high manufacturing skills’

  • C. ‘The quality and cheapness of Indian textile was such that it threatened the woolen and silk manufacturers of England’

  • D. ‘The degree of technical skill of the Indians was unsurpassed in many lines’

  • E. ‘When merchant adventurers from the West made their first appearance in India’

  • Answer:E

  • Answer Explanation:The entire passage deals with the level of India’s industrial development which was quite high. It has been compared with that in the other countries as well. Options A, B and D simply refer to facts that the industrial development was fairly high. None of them provide the evidence in support of the claim that India outranked other countries in the sphere of industrial development. Therefore, options A, B and D are all incorrect. On comparing C and E, it can be seen that E is the correct answer as C does not specifically indicate that the industrial development in India was better than that in England and other countries as well. E refers to an event, the result of which was that it was proved that India outranked other countries in the sphere of industrial development because of the statement, ‘it was found that the industrial progress of this country transcended that of their own nations’. Therefore, E is the correct answer.


Question – 11



11. The fact that the Mummies in Egyptian tombs were wrapped in Indian muslin has been presented to substantiate the claim that

  • A. the muslin was used because it was not only of good quality but it was cheap as well

  • B. Indian muslin was so well known that it was exported far and wide

  • C. the muslin was of the finest quality

  • D. the use of Indian muslin and cotton was banned in England, so the muslin was exported to other countries

  • E. India was known for its expertise in preparing the finest muslin

  • Answer:B

  • Answer Explanation:The fact in question has been presented at the beginning of the passage, but one requires going through the entire passage to identify the claim which is being supported by this fact. The Mummies were wrapped in Egyptian tombs in the year 2000BC whereas Indian cotton was banned in England in the 17th century. Therefore, D is incorrect. A careful study of the remaining options brings out that A, C and E are all referring to the same aspect of the quality of Indian muslin and its manufacture. After studying B, it is apparent that A, C and E are all incorrect because B gives out the precise claim which can be substantiated by the fact that the Mummies in Egyptian tombs were wrapped in Indian muslin. Therefore, B is the correct answer.


Question – 12



12. Why was internal trade restricted to light and valuable products?

  • A. There was less trade in bulky and cheap products

  • B. India’s internal trade was not large or flourishing

  • C. Transportation costs were less and profit margins were more

  • D. There were restrictions on the types of goods that could be traded

  • E. Transportation was inadequate and so was communication

  • Answer:C

  • Answer Explanation:It has been clearly brought out in the passage that both the external and the internal trade of the country were not large due to inadequacy of transport and communication, and restrictions on the types of goods that could that be traded. This does not specifically indicate why internal trade was restricted to light and valuable products and so D and E are both incorrect. B is factually correct, but it does not explain why light and valuable products were traded more and so B is incorrect. The reason why internal trade was restricted to light and valuable products was that transportation costs were high and so trade of bulky and cheap products was not profitable whereas trade of light and valuable products proved to be profitable since it is obvious that transportation costs would have gone down and the profits would have increased. Therefore, on comparing A and C, it can be seen that A is incorrect and C is the correct answer.


Question – 13



13. The author asserts that India was in a better position than its contemporaries when it came to

  • A. banking

  • B. shipping

  • C. economic growth

  • D. means of transportation

  • E. economic conditions

  • Answer:C

  • Answer Explanation:The passage starts on the note that India’s position in the sphere of transportation and communication was not satisfactory. This clearly implies that D is incorrect as this could not have been better than that of the other countries. There is no mention of the status of banking in other countries and so it cannot be compared with that in India and hence, A is incorrect. It has been mentioned that shipping in India had high standards but it has not been mentioned that it was better than that in Britain or in any other country. Therefore, B is also incorrect. The end of the passage brings out that the economic conditions of India were comparable to those in other countries, but this does not imply that these conditions were better. However, it has also been brought out that in certain respects India was in a better position for development or growth in this field and therefore, C is the correct answer.


Question – 14



14. Which of the following does not describe the functioning of the banking houses as described in the passage?

  • A. All of them were not necessarily run by banking firms and companies

  • B. Transaction of funds was carried out by ‘Hundi’

  • C. They provided credit and loans but not interest-free

  • D. Some of them received government revenues and also provided interest-free loans

  • E. Families and individuals run banking as a business under different names

  • Answer:D

  • Answer Explanation:Banking in India has been discussed by the author at length. He has clearly brought out that ‘There were individuals and families who functioned as banks. They had come to be known by different names in different parts of the country.’ This implies that A and E are factually correct and so they both are incorrect answer options to the question asked. B has been explicitly brought out in the passage and hence it is incorrect. It has been brought out that ‘The capital of these banking houses was accumulated from several sources such as interest from loans’ which implies that the loans given by the banks were not interest-free. Therefore, C is factually correct, but D is factually incorrect and it does not describe the functioning of the banks. Therefore, D is the correct answer.


Question – 15



15. Which of the following best describes the economic conditions in India as discussed by the author?

  • A. Development in banking was intensifying and that in shipping was abating

  • B. Shipping and banking were seeing steady amelioration but not transportation

  • C. Means of communication were highly assuaging

  • D. Transportation was in a state of amelioration unlike shipping and banking

  • E. Except for transportation every other economic aspect was better than that of other countries

  • Answer:B

  • Answer Explanation:The economic conditions in India as discussed by the author were such that transportation and communication were not satisfactory and shipping and banking had attained high standards. Therefore, transportation and communication were neither assuaging nor ameliorating. Hence, C and D are incorrect. Also, development in shipping was not abating and so A is also incorrect. The passage ends on the note that ‘In some respects India, in fact, was better placed for faster development in this field’ which does not imply that the economic conditions were better than that of other countries in all respects barring transportation. There is no indication of the fact that the shipping industry of India was better than that of other countries. Therefore, in view of the above, it is evident that E is incorrect and B is the correct answer.


Score: 0/10

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