Self Studies

Dicision Making Test - 12

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Dicision Making Test - 12
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  • Question 1
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    The new Government of India (GOI henceforth in the question) has envisaged an aggressive development strategy for the country, and under this strategy, it plans to push the 'Make in India' policy. For this, it plans to set up a 100 special economic zones in the country that will offer special tax benefits to companies and promote manufacturing in the style China does. These special economic zones will have special provisions for energy (one of the most significant factors in industrial development), will keep in mind the housing requirements for the workers and manpower required to run these zones, and will be well connected with major cities and ports.

    The plan envisaged by the GOI is an extremely aggressive one and it wishes to develop these 100 zones in the next 10 years. Even though the intentions behind the project are extremely good, the implementation of the project involves a number of significant hurdlers.

    The first and foremost hurdle is the land requirement for such zones. Not only huge pieces of land are required but the location of these pieces is extremely vital as well. Considering the current shortage of land in the country, the only option that the government has is the conversion of some of the agricultural land for industrial use. This in itself poses two problems: one is impact on agricultural productivity in the country and the second is the resettlement of farmers who are earning their livelihood from their current practices.

    The second challenge to the development of SEZs is the power shortage in the country. Currently, more than 75% of the power supplied to the industrial sector is manufactured using coal. This in itself poses a huge challenge as coal is a non-renewable source of energy and going by current estimates, its supply is estimated to last another 50 years only. Considering this, the establishment of SEZs not only implies the creation of these zones and acquisition of land but also requires extensive development of the power sector.

    The third challenge to the development of SEZs is the requirement of the transport facilities for these zones. The government will effectively need to create a new set of national highways and extensive transport facilities in order to ensure that these zones function effectively. This is again a complete project in itself and has huge implications for GOI.

    ...view full instructions

    The following problems are listed by passage

    I. Land acquisition and resettlement

    II. Power shortage

    III. Transportation facilities

    The most significant problem for the GOI from the above three is (according to the information provided in the passage):

    Solution

    In the given case, the author of the passage lists these three problems for GOI in a particular order. The order of listing does not provide us an idea with respect to which is toughest problem and which is the easiest one. The author simply rates these three as the most significant issues that the GOI faces and that is why we select option 4.

  • Question 2
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    The new Government of India (GOI henceforth in the question) has envisaged an aggressive development strategy for the country, and under this strategy, it plans to push the 'Make in India' policy. For this, it plans to set up a 100 special economic zones in the country that will offer special tax benefits to companies and promote manufacturing in the style China does. These special economic zones will have special provisions for energy (one of the most significant factors in industrial development), will keep in mind the housing requirements for the workers and manpower required to run these zones, and will be well connected with major cities and ports.

    The plan envisaged by the GOI is an extremely aggressive one and it wishes to develop these 100 zones in the next 10 years. Even though the intentions behind the project are extremely good, the implementation of the project involves a number of significant hurdlers.

    The first and foremost hurdle is the land requirement for such zones. Not only huge pieces of land are required but the location of these pieces is extremely vital as well. Considering the current shortage of land in the country, the only option that the government has is the conversion of some of the agricultural land for industrial use. This in itself poses two problems: one is impact on agricultural productivity in the country and the second is the resettlement of farmers who are earning their livelihood from their current practices.

    The second challenge to the development of SEZs is the power shortage in the country. Currently, more than 75% of the power supplied to the industrial sector is manufactured using coal. This in itself poses a huge challenge as coal is a non-renewable source of energy and going by current estimates, its supply is estimated to last another 50 years only. Considering this, the establishment of SEZs not only implies the creation of these zones and acquisition of land but also requires extensive development of the power sector.

    The third challenge to the development of SEZs is the requirement of the transport facilities for these zones. The government will effectively need to create a new set of national highways and extensive transport facilities in order to ensure that these zones function effectively. This is again a complete project in itself and has huge implications for GOI.

    ...view full instructions

    In terms of the humanitarian angle, the chief challenge faced by the GOI is:

    Solution

    This is a tricky question. In terms of evaluating the option from the standpoint that which ones effect the quality of life of humans, all have a certain impact and in fact, the options about environment and pollution control are fairly significant in terms of quality of life. But this is where the trick of this question is. You need to answer the question from the context of the passage, and sadly, the passage does not talk about environment at any given juncture in the passage, and this helps us rule out options 1, 3, 4 and 5. Only option 2 finds a mention in the passage and hence is the correct answer.

  • Question 3
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    The new Government of India (GOI henceforth in the question) has envisaged an aggressive development strategy for the country, and under this strategy, it plans to push the 'Make in India' policy. For this, it plans to set up a 100 special economic zones in the country that will offer special tax benefits to companies and promote manufacturing in the style China does. These special economic zones will have special provisions for energy (one of the most significant factors in industrial development), will keep in mind the housing requirements for the workers and manpower required to run these zones, and will be well connected with major cities and ports.

    The plan envisaged by the GOI is an extremely aggressive one and it wishes to develop these 100 zones in the next 10 years. Even though the intentions behind the project are extremely good, the implementation of the project involves a number of significant hurdlers.

    The first and foremost hurdle is the land requirement for such zones. Not only huge pieces of land are required but the location of these pieces is extremely vital as well. Considering the current shortage of land in the country, the only option that the government has is the conversion of some of the agricultural land for industrial use. This in itself poses two problems: one is impact on agricultural productivity in the country and the second is the resettlement of farmers who are earning their livelihood from their current practices.

    The second challenge to the development of SEZs is the power shortage in the country. Currently, more than 75% of the power supplied to the industrial sector is manufactured using coal. This in itself poses a huge challenge as coal is a non-renewable source of energy and going by current estimates, its supply is estimated to last another 50 years only. Considering this, the establishment of SEZs not only implies the creation of these zones and acquisition of land but also requires extensive development of the power sector.

    The third challenge to the development of SEZs is the requirement of the transport facilities for these zones. The government will effectively need to create a new set of national highways and extensive transport facilities in order to ensure that these zones function effectively. This is again a complete project in itself and has huge implications for GOI.

    ...view full instructions

    Which is the best course of action that the GOI should adopt in order to acquire land for SEZs?

    Solution

    In this question, we need a solution that solves two problems:

    (1) land needs to be acquired

    (2) affected farmers should not be left high and dry. The government cannot adopt a policy which neglects these farmers.

    This is only accomplished by option 5. Options 1 and 4 do not keep the farmers in mind, option 2 is illogical and option 3 does not solve the problem of the farmers (loss of livelihood). Thus, the only option that fits is option 5.

  • Question 4
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    The new Government of India (GOI henceforth in the question) has envisaged an aggressive development strategy for the country, and under this strategy, it plans to push the 'Make in India' policy. For this, it plans to set up a 100 special economic zones in the country that will offer special tax benefits to companies and promote manufacturing in the style China does. These special economic zones will have special provisions for energy (one of the most significant factors in industrial development), will keep in mind the housing requirements for the workers and manpower required to run these zones, and will be well connected with major cities and ports.

    The plan envisaged by the GOI is an extremely aggressive one and it wishes to develop these 100 zones in the next 10 years. Even though the intentions behind the project are extremely good, the implementation of the project involves a number of significant hurdlers.

    The first and foremost hurdle is the land requirement for such zones. Not only huge pieces of land are required but the location of these pieces is extremely vital as well. Considering the current shortage of land in the country, the only option that the government has is the conversion of some of the agricultural land for industrial use. This in itself poses two problems: one is impact on agricultural productivity in the country and the second is the resettlement of farmers who are earning their livelihood from their current practices.

    The second challenge to the development of SEZs is the power shortage in the country. Currently, more than 75% of the power supplied to the industrial sector is manufactured using coal. This in itself poses a huge challenge as coal is a non-renewable source of energy and going by current estimates, its supply is estimated to last another 50 years only. Considering this, the establishment of SEZs not only implies the creation of these zones and acquisition of land but also requires extensive development of the power sector.

    The third challenge to the development of SEZs is the requirement of the transport facilities for these zones. The government will effectively need to create a new set of national highways and extensive transport facilities in order to ensure that these zones function effectively. This is again a complete project in itself and has huge implications for GOI.

    ...view full instructions

    The most learning that the GOI needs to imbibe from the passage above is:

    Solution

    In the given case, two options come close: 1 and 5. Which is the most significant aspect keeping in mind the development needs of the country? If the country has adequate infrastructure in place, then it can easily take up ambitious projects such as the SEZ one. Laws can be enacted to help oversee the development but without basic infrastructure in place, these laws are not of much help. Thus, the correct answer in this case is option 5.

  • Question 5
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    Bokia, the world leader in mobile handset development from the year 1996 to 2008, slowly lost its market relevance in the last 5 years. By the end of 2013, the company had to sell off its primary division of mobile handset development to Bicrosoft and had lost its most coveted position in the market. The company was once the beacon of development in the mobile industry and was the first manufacturer to make cost-effective handsets available to the masses. These handsets were light, sturdy, impact-resistant and extremely durable. In fact, because of their durability, the average life of a Bokia handset was 3 years, a significantly higher number than the current average life of 1.5 years for a smartphone.

    Over the years, with the development of the smartphone (Bapple phones running its proprietary software and other devices running the most popular mobile and tablet operating system, android), Bokia lost its market position. It continued to reject android-based devices, citing the problems with the operating system, and wanted to challenge the ecosystem with its own operating system. Since Bokia smart-devices were the only ones running its Symbian operating system, the devices could not gain widespread acceptance as the other android devices. Also, since android development took place with the backing of Google, the operating system developed it a rapid manner and soon began to dominate the entire handset market and gradually ensured that companies not using android either adopted it or vanished out of existence. In such a scenario, Bokia adopted android in late 2012 but by then, it was too late as companies such as Bangsung had deeply established themselves as leading android-phone makers and did not leave room for Bokia in the market. In such a scenario, Bokia ultimately was virtually eliminated from the high and middle spectrums of the market, and was virtually left as only a supplier of low end budget phones. This ultimately lead to the sale of the mobile division of the company.

    In the last 6 months, Bokia has again entered the field of electronic goods and has introduced a tablet in the market, Bokia B. The tablet boosts of the same hardware quality as was the case with Bokia phones, and claims to be a significantly better build than most of the tablets in the market. With an aggressive pricing strategy, Bokia wishes to be again a part of the consumer electronic market. Since it cannot enter the market of mobiles again (the buyer of Bokia has stipulated in the sales agreement that Bokia will not enter the mobile market for the next 10 years), Bokia wishes to capture other products in the consumer electronics market. It plans to use its hardware expertise in developing products that offer significantly better hardware quality than the existing products in the market.

    Please Note: The usage of the term 'smart' in the context of the passage is strictly in co-relation with the smart phone technology that is in use in the current times, and reflects the technological trends of the time.

    ...view full instructions

    Considering the fate of the Bokia mobile handsets, which is the most aspect that Bokia needs to keep in mind in its second coming?

    Solution

    In order to answer this question, keep in mind the central mistake committed by Bokia: its non-adoption of android. Which option provides a solution for this issue? Only option 3 provides a solution to the biggest mistake committed by Bokia in the first instance. Options 1 and 2 are irrelevant in nature, and options 4 and 5 place emphasis on the competitors, whereas Bokia needs to get its own house in order first.

  • Question 6
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    Bokia, the world leader in mobile handset development from the year 1996 to 2008, slowly lost its market relevance in the last 5 years. By the end of 2013, the company had to sell off its primary division of mobile handset development to Bicrosoft and had lost its most coveted position in the market. The company was once the beacon of development in the mobile industry and was the first manufacturer to make cost-effective handsets available to the masses. These handsets were light, sturdy, impact-resistant and extremely durable. In fact, because of their durability, the average life of a Bokia handset was 3 years, a significantly higher number than the current average life of 1.5 years for a smartphone.

    Over the years, with the development of the smartphone (Bapple phones running its proprietary software and other devices running the most popular mobile and tablet operating system, android), Bokia lost its market position. It continued to reject android-based devices, citing the problems with the operating system, and wanted to challenge the ecosystem with its own operating system. Since Bokia smart-devices were the only ones running its Symbian operating system, the devices could not gain widespread acceptance as the other android devices. Also, since android development took place with the backing of Google, the operating system developed it a rapid manner and soon began to dominate the entire handset market and gradually ensured that companies not using android either adopted it or vanished out of existence. In such a scenario, Bokia adopted android in late 2012 but by then, it was too late as companies such as Bangsung had deeply established themselves as leading android-phone makers and did not leave room for Bokia in the market. In such a scenario, Bokia ultimately was virtually eliminated from the high and middle spectrums of the market, and was virtually left as only a supplier of low end budget phones. This ultimately lead to the sale of the mobile division of the company.

    In the last 6 months, Bokia has again entered the field of electronic goods and has introduced a tablet in the market, Bokia B. The tablet boosts of the same hardware quality as was the case with Bokia phones, and claims to be a significantly better build than most of the tablets in the market. With an aggressive pricing strategy, Bokia wishes to be again a part of the consumer electronic market. Since it cannot enter the market of mobiles again (the buyer of Bokia has stipulated in the sales agreement that Bokia will not enter the mobile market for the next 10 years), Bokia wishes to capture other products in the consumer electronics market. It plans to use its hardware expertise in developing products that offer significantly better hardware quality than the existing products in the market.

    Please Note: The usage of the term 'smart' in the context of the passage is strictly in co-relation with the smart phone technology that is in use in the current times, and reflects the technological trends of the time.

    ...view full instructions

    According to the information given in the passage, the most likely operating system for Bokia tablets should be:

    Solution

    This question is a sitter. The passage clearly states Android as the most popular mobile and tablet operating system and that is the one that Bokia should run. It has already failed with Symbian (ruling our 3) and should not develop another operating system (ruling out 4). Also, the one run by Bapple is given in the passage to be proprietary, that is it is protected in its usage and thus cannot be used by Bokia. Thus, the correct answer is option 2.

  • Question 7
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    Bokia, the world leader in mobile handset development from the year 1996 to 2008, slowly lost its market relevance in the last 5 years. By the end of 2013, the company had to sell off its primary division of mobile handset development to Bicrosoft and had lost its most coveted position in the market. The company was once the beacon of development in the mobile industry and was the first manufacturer to make cost-effective handsets available to the masses. These handsets were light, sturdy, impact-resistant and extremely durable. In fact, because of their durability, the average life of a Bokia handset was 3 years, a significantly higher number than the current average life of 1.5 years for a smartphone.

    Over the years, with the development of the smartphone (Bapple phones running its proprietary software and other devices running the most popular mobile and tablet operating system, android), Bokia lost its market position. It continued to reject android-based devices, citing the problems with the operating system, and wanted to challenge the ecosystem with its own operating system. Since Bokia smart-devices were the only ones running its Symbian operating system, the devices could not gain widespread acceptance as the other android devices. Also, since android development took place with the backing of Google, the operating system developed it a rapid manner and soon began to dominate the entire handset market and gradually ensured that companies not using android either adopted it or vanished out of existence. In such a scenario, Bokia adopted android in late 2012 but by then, it was too late as companies such as Bangsung had deeply established themselves as leading android-phone makers and did not leave room for Bokia in the market. In such a scenario, Bokia ultimately was virtually eliminated from the high and middle spectrums of the market, and was virtually left as only a supplier of low end budget phones. This ultimately lead to the sale of the mobile division of the company.

    In the last 6 months, Bokia has again entered the field of electronic goods and has introduced a tablet in the market, Bokia B. The tablet boosts of the same hardware quality as was the case with Bokia phones, and claims to be a significantly better build than most of the tablets in the market. With an aggressive pricing strategy, Bokia wishes to be again a part of the consumer electronic market. Since it cannot enter the market of mobiles again (the buyer of Bokia has stipulated in the sales agreement that Bokia will not enter the mobile market for the next 10 years), Bokia wishes to capture other products in the consumer electronics market. It plans to use its hardware expertise in developing products that offer significantly better hardware quality than the existing products in the market.

    Please Note: The usage of the term 'smart' in the context of the passage is strictly in co-relation with the smart phone technology that is in use in the current times, and reflects the technological trends of the time.

    ...view full instructions

    The central learning for Bokia for the mobile handset market is:

    Solution

    In the given case, Bokia committed one central mistake: it went against the tide (which was of Smartphones and Android phones) and did not do a great job. In future, it needs to keep this in mind and ensure that it does not commit the same mistakes again. This sentiment is best reflected by option 1. The other options are ruled out as follows:

    Option 2 is something that Bokia did and failed.

    Option 3 does not make sense in the given context (what is the inner voice of Bokia).

    Option 4 again does not gel with the thoughts of the passage.

    Option 5, though tempting, is incorrect as the passage does not suggest that companies have to be aped, all Bokia needs to do is keep itself in line with the way the market operates.

  • Question 8
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    Bokia, the world leader in mobile handset development from the year 1996 to 2008, slowly lost its market relevance in the last 5 years. By the end of 2013, the company had to sell off its primary division of mobile handset development to Bicrosoft and had lost its most coveted position in the market. The company was once the beacon of development in the mobile industry and was the first manufacturer to make cost-effective handsets available to the masses. These handsets were light, sturdy, impact-resistant and extremely durable. In fact, because of their durability, the average life of a Bokia handset was 3 years, a significantly higher number than the current average life of 1.5 years for a smartphone.

    Over the years, with the development of the smartphone (Bapple phones running its proprietary software and other devices running the most popular mobile and tablet operating system, android), Bokia lost its market position. It continued to reject android-based devices, citing the problems with the operating system, and wanted to challenge the ecosystem with its own operating system. Since Bokia smart-devices were the only ones running its Symbian operating system, the devices could not gain widespread acceptance as the other android devices. Also, since android development took place with the backing of Google, the operating system developed it a rapid manner and soon began to dominate the entire handset market and gradually ensured that companies not using android either adopted it or vanished out of existence. In such a scenario, Bokia adopted android in late 2012 but by then, it was too late as companies such as Bangsung had deeply established themselves as leading android-phone makers and did not leave room for Bokia in the market. In such a scenario, Bokia ultimately was virtually eliminated from the high and middle spectrums of the market, and was virtually left as only a supplier of low end budget phones. This ultimately lead to the sale of the mobile division of the company.

    In the last 6 months, Bokia has again entered the field of electronic goods and has introduced a tablet in the market, Bokia B. The tablet boosts of the same hardware quality as was the case with Bokia phones, and claims to be a significantly better build than most of the tablets in the market. With an aggressive pricing strategy, Bokia wishes to be again a part of the consumer electronic market. Since it cannot enter the market of mobiles again (the buyer of Bokia has stipulated in the sales agreement that Bokia will not enter the mobile market for the next 10 years), Bokia wishes to capture other products in the consumer electronics market. It plans to use its hardware expertise in developing products that offer significantly better hardware quality than the existing products in the market.

    Please Note: The usage of the term 'smart' in the context of the passage is strictly in co-relation with the smart phone technology that is in use in the current times, and reflects the technological trends of the time.

    ...view full instructions

    Which of the following could be possibly adopted by Bokia to capture the consumer electronic market again?

    I. It can enter multiple consumer electronic goods segments like smart-TVs to capture a foothold.

    II. It can enter the market with the help of upcoming smart-products such as online streaming devices.

    III. It can create a market for itself by using its hardware superiority for existing consumer electronic items such as laptops and printers.

    Solution

    In the given case, Bokia can adopt all of the following to capture a foothold in the consumer electronic market. It already is committed to an action plan suggested by I (enter market for smart-electronic items). Also, II is an extension of I. III focuses on a core strength of Bokia that it can use.

    Remember, there is only one restriction on Bokia: it cannot enter the mobile segment again. Keeping this in mind, we identify option 4 as the correct answer.

  • Question 9
    4 / -1

    Directions For Questions

    Direction: Read the following and select the appropriate answers.

    Bokia, the world leader in mobile handset development from the year 1996 to 2008, slowly lost its market relevance in the last 5 years. By the end of 2013, the company had to sell off its primary division of mobile handset development to Bicrosoft and had lost its most coveted position in the market. The company was once the beacon of development in the mobile industry and was the first manufacturer to make cost-effective handsets available to the masses. These handsets were light, sturdy, impact-resistant and extremely durable. In fact, because of their durability, the average life of a Bokia handset was 3 years, a significantly higher number than the current average life of 1.5 years for a smartphone.

    Over the years, with the development of the smartphone (Bapple phones running its proprietary software and other devices running the most popular mobile and tablet operating system, android), Bokia lost its market position. It continued to reject android-based devices, citing the problems with the operating system, and wanted to challenge the ecosystem with its own operating system. Since Bokia smart-devices were the only ones running its Symbian operating system, the devices could not gain widespread acceptance as the other android devices. Also, since android development took place with the backing of Google, the operating system developed it a rapid manner and soon began to dominate the entire handset market and gradually ensured that companies not using android either adopted it or vanished out of existence. In such a scenario, Bokia adopted android in late 2012 but by then, it was too late as companies such as Bangsung had deeply established themselves as leading android-phone makers and did not leave room for Bokia in the market. In such a scenario, Bokia ultimately was virtually eliminated from the high and middle spectrums of the market, and was virtually left as only a supplier of low end budget phones. This ultimately lead to the sale of the mobile division of the company.

    In the last 6 months, Bokia has again entered the field of electronic goods and has introduced a tablet in the market, Bokia B. The tablet boosts of the same hardware quality as was the case with Bokia phones, and claims to be a significantly better build than most of the tablets in the market. With an aggressive pricing strategy, Bokia wishes to be again a part of the consumer electronic market. Since it cannot enter the market of mobiles again (the buyer of Bokia has stipulated in the sales agreement that Bokia will not enter the mobile market for the next 10 years), Bokia wishes to capture other products in the consumer electronics market. It plans to use its hardware expertise in developing products that offer significantly better hardware quality than the existing products in the market.

    Please Note: The usage of the term 'smart' in the context of the passage is strictly in co-relation with the smart phone technology that is in use in the current times, and reflects the technological trends of the time.

    ...view full instructions

    According to the information given in the passage, it can be inferred which of the following strengths of Bokia actually turns out to be practical disadvantage hurting its business:

    Solution

    Read the question closely: strength of Bokia actually turns out to be practical disadvantage hurting its business.

    Which strength of Bokia would actually impact its business and profit making? Option 4 is the answer here as it explains how the phones last a lot longer in comparison to smartphones, thereby subtly implying that the number of smartphones sold would be double the number of Bokia phones sold in a given time frame (for the same number of users). This makes option 4 the correct answer in the given case.

    Also, options 2 and 3 are weaknesses of Bokia and hence are ruled out.

    Option 1 is a strength that actually does not have a negative impact.

  • Question 10
    4 / -1

    Directions For Questions

    Direction: Read the information below and answer the questions that follow.

    Sant Dharmapal has been in the news all the wrong reasons in the last two weeks. The self proclaimed god-man was undergoing a trial in a land-grab case and was summoned on numerous occasions to appear before the court. The Sant refused to do so. The High Court of the state finally issues non-bailable warrants against the Sant and ordered the state machinery to bring the god-man to court using all possible state machinery at hand (police included). The Sant, in response to the court, accumulated around 10000 of his followers at his ashram and challenged the state government to enter the premises with the use of force. The state government is in a fix as on the one side, it has to obey the orders of the court and on the other hand, it has to be judicious with the use of force as the Sant has effectively built a human shield around himself.

    ...view full instructions

    What should the state administration do on an immediate basis?

    Solution

    In the given case, there are two major concerns:

    a. The safety of the followers has to be kept in mind.

    b. The orders of the court need to be respected.

    Now considering the huge number of followers and the damage that could be suffered if force is used, the state government needs to tread cautiously, and this is done by adopting an approach that is suggested in option 3. The other options only keep one of the above two concerns in mind, whereas option 3 keeps both in mind and adopts an approach that balances the two considerations in the given case.

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