Comprehension

Study the table given below and answer these questions.                                                                               MAJOR INDICATORS OF INDIA'S FOREIGN TRADE
YearExportsBalanceImport GDP Ratio %Trade GDP Ratio %Exports Imports
19989-901661321219-46066.17.7
1990-911814524073-59286.18.1
1991-921786519411-15467.17.8
1992-931853721882-33457.69
1993-942223823306-106888.3
1994-952633128654-232388.7
1995-963179536675-48808.710.1
1996-973347039132-56628.499
1997-983500641485-64798.39.9
1998-993365941858-81998.110

Question: 1

In which period, did we have the most adverse trade balancefor India ?

Updated On: Oct 4, 2024
  • 1996-97
  • 1989-90
  • 1998-99
  • 1990-91
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The Correct Option is C

Solution and Explanation

From the table we can see that, 1998-99 was the year with the most adverse trade balance for India with the lowest trade balance which is -8199.

The correct option is (C): 1998-99

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Question: 2

What was the average % growth rate of exports during the entire period ?

Updated On: Oct 4, 2024
  • 6.5
  • 9.56
  • 5.06
  • 10.26
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The Correct Option is D

Solution and Explanation

The growth percentage of exports during the entire period = \(\frac{33659 - 16613}{16613}\)

≈ 102.60%

The average growth percentage of exports will be = \(\frac{102.60}{10}\) = 10.26%

The correct option is (D): 10.26

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Question: 3

In which period was the trade balance the best ?

Updated On: Oct 4, 2024
  • 1998-99
  • 1991-92
  • 1994-95
  • 1993-94
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The Correct Option is D

Solution and Explanation

We can see from the table that, the year 1993-94 has the best e trade balance with -1068 which is the highest among all.

The correct option is (D): 1993-94

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Question: 4

In which period the growth rate of exports was the highest?

Updated On: Oct 4, 2024
  • 1995-96
  • 1993-94
  • 1989-90
  • None of these
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The Correct Option is A

Solution and Explanation

From the table, we can see that the year 1995-96 has the highest growth rate of exports with 8.7 

The correct option is (A): 1995-96

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Question: 5

During which period the Export/Import ratio was the highest ?

Updated On: Oct 7, 2024
  • 1994-95
  • 1993-94
  • 1991-92
  • 1995-96
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The Correct Option is B

Solution and Explanation

The Export/Import ratio in year 1991-92 = \(\frac{7.1}{7.8}\) = 0.91

The Export/Import ratio in year 1993-94 = \(\frac{8}{8.3}\) = 0.96

The Export/Import ratio in year 1994-95 = \(\frac{8}{8.7}\) = 0.91

 The Export/Import ratio in year 1995-96 = \(\frac{8.7}{10.1}\) = 0.86

So, the highest Export/Import ratio was in year 1993-94

The correct option is (B): 1993-94

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Question: 6

What is the average growth rate of exports for the period 1992-93 to 1995-96?

Updated On: Oct 7, 2024
  • 15
  • 15.75
  • 14
  • 17.88
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The Correct Option is D

Solution and Explanation

First we will find the total percentage growth of exports from year 1992-93 to 1995-96,

percentage growth of exports = \(\frac{31795 - 18537}{18537} \times 100\) = 71.52%

Average percentage growth of exports = \(\frac{71.52}{4}\) (as this is 4 years interval)

≈ 17.88%

The correct option is (D): 17.88

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Question: 7

What is the average Export/ Import ratio for the period 1992-93 to 1998-99?

Updated On: Oct 7, 2024
  • 83.4
  • 86.3
  • 65.1
  • 87.0
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The Correct Option is B

Solution and Explanation

First we will find out the Export and Import Ratio of year 1992-93 to 1998-99

Export and Import Ratio = \(\frac{Export}{Import} \times 100\)

The Export and Import Ratio of year 1992-93 = \(\frac{18537}{21882} \times 100\) ≈ 84.7

The Export and Import Ratio of year 1993-94 = \(\frac{22238}{23306} \times 100\) ≈ 95.4

The Export and Import Ratio of year 1994-95 = \(\frac{26331}{28654} \times 100\) ≈ 91.9

The Export and Import Ratio of year 1995-96 = \(\frac{31795}{36675} \times 100\) ≈ 86.7

The Export and Import Ratio of year 1996-97 = \(\frac{33470}{39132} \times 100\) ≈ 85.5

The Export and Import Ratio of year 1997-98 = \(\frac{35006}{41485} \times 100\) ≈ 84.3

The Export and Import Ratio of year 1998-99 = \(\frac{33659}{41858} \times 100\) ≈ 80.4

Average Export and Import Ratio = \(\frac{84.7 + 95.4 + 91.9 + 86.7 + 85.5 + 84.3 + 80.4}{7}\) = 86.5

≈ 86.3

The correct option is (B): 86.3

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Question: 8

Using Exports GDP ratio for the period 1989-90, find the GDP for the same period.

Updated On: Oct 7, 2024
  • 272344
  • 275571
  • 273345
  • 275572
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The Correct Option is A

Solution and Explanation

GDP = \(\frac{\text{Exports}}{\text{Export to GDP ratio}} \times 100\)

The GDP of the year 1989-90 = \(\frac{16613}{6.1} \times 100\)

The GDP of the year 1989-90 ≈ 272344

The correct option is (A): 272344

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