Correct Answer: Both enable companies to raise funds in international markets

Solution : The correct answer is (d) Both enable companies to raise funds in international markets

GDRs (Global Depositary Receipts) and ADRs (American Depositary Receipts) serve similar functions in that they both allow companies to raise funds in international markets. GDRs are negotiable financial instruments issued by a depositary bank, typically in a country other than where the issuing company is based. They represent a claim to shares in a foreign company and are traded on international stock exchanges. GDRs enable companies to raise capital from investors in international markets.

ADRs are a specific type of GDR that represents shares of non-U.S. companies traded on U.S. stock exchanges. They make it easier for non-U.S. companies to attract investment from American investors by facilitating trading of their shares in the U.S. financial markets.

Both GDRs and ADRs play a crucial role in allowing companies to access international capital markets and attract investment from a broader investor base outside their home countries.

Correct Answer: Initiative

Solution : The correct answer is (b) Initiative.

Initiative is a management principle that encourages employees to actively seek opportunities for improvement, propose innovative ideas, and take ownership of their work. Organizations that value and foster initiative often see increased employee engagement, creativity, and a proactive approach to problem-solving.

Correct Answer: Ownership without dilution
 

Solution : The correct answer is (b) Ownership without dilution

Equity shares represent ownership in the company, allowing shareholders to have a stake in the business without the obligation of fixed dividend payments. By issuing equity shares, UVW Industries can raise capital and fund its operations without taking on debt. Additionally, it does not have the obligation to make fixed interest or dividend payments, providing greater financial flexibility. However, it's important to note that issuing equity shares may dilute the ownership stake of existing shareholders, but it does not involve a fixed payment obligation as with debt instruments like debentures.

Correct Answer: Assertion is true, but the reason is false.

Solution : The correct answer is (c) Assertion is true, but the reason is false.

The assertion that privatization of public enterprises aimed to improve efficiency and accountability is true. Privatization is often pursued with the expectation that private ownership and management can bring about greater efficiency, innovation, and accountability in the operation of previously public enterprises.

However, the reason provided, stating that private ownership allows for better management and reduces political interference, is not entirely accurate. While private ownership can potentially lead to better management practices, it does not necessarily guarantee it in all cases. Additionally, the reduction of political interference is not the only factor contributing to improved efficiency and accountability in privatized enterprises. Other factors such as increased competition, market discipline, and access to private capital and expertise can also play significant roles.

Therefore, the assertion is true, but the reason is not a correct explanation for the assertion.

Correct Answer: Social movements

Solution : The rise of OBCs in North Indian politics has been attributed to social movements that advocated for their rights and representation, leading to increased political mobilization.

Correct Answer: Debentures pay fixed dividends
   

Solution : The correct answer is (b) Debentures pay fixed interest

Debentures pay fixed interest to the debenture holders, as they are a form of debt and represent a loan from the debenture holder to the issuing company. In contrast, equity shares represent ownership in the company and do not guarantee fixed dividend payments; the dividends paid to equity shareholders are typically based on the company's profitability and decisions made by the board of directors.

Correct Answer: Ownership in the company

Solution : The correct answer is (c) Ownership in the company

Equity shares represent ownership or equity ownership in a company. Shareholders who hold equity shares have ownership rights in the company, which typically includes voting rights, the right to share in the company's profits (through dividends), and the right to participate in decision-making processes related to the company's operations and policies. Unlike debt securities (e.g., debentures), equity shares do not guarantee fixed dividend payments or redemption; instead, the dividend payments to equity shareholders are variable and based on the company's profitability and the decisions of the board of directors.

Correct Answer: Ownership in the company
 

Solution : The correct answer is (b) Ownership in the company

Equity shares represent ownership in a company, conferring the shareholder with ownership rights and an ownership stake in the company. Equity shareholders have a claim on the company's assets and earnings and typically have voting rights, allowing them to participate in key decisions and the governance of the company. Unlike debt instruments such as debentures, equity shares do not entail fixed dividend payments or guaranteed redemption. Instead, dividends to equity shareholders are subject to profitability and the decisions of the company's board of directors.

Correct Answer: Land reforms 
 

Solution : In post-independent India, equity in agriculture called for land reforms which primarily refer to change in the ownership of landholdings. Land reform refers to institutional measures directed towards altering the existing pattern of ownership, tenancy and management of land.
Hence option A is correct.

Correct Answer: Debentures provide ownership rights
 

Solution : The correct answer is (a) Debentures provide ownership rights

Debentures represent a form of debt where the holders (debenture holders) are creditors to the company and do not possess ownership rights in the company. They are entitled to receive a fixed rate of interest and the repayment of the principal amount at maturity.

On the other hand, equity shares represent ownership in the company and provide shareholders with ownership rights, including voting rights and the right to share in the company's profits (through dividends). Unlike debentures, equity shares do not involve fixed interest payments or repayment at maturity.