Daily Quiz 13th August 2024

Answer: A
Explanation:
• Statement 1 is correct: Any profit or gain that arises from the sale of a ‘capital asset’ is known as ‘income from capital gains’. Such capital gains are taxable in the year in which the transfer of the capital asset takes place. This is called capital gains tax. There are two types of Capital Gains: short-term capital gains(STCG) and long-term capital gains(LTCG).
• Statement 2 is incorrect:Land, building, house property, vehicles, patents, trademarks, leasehold rights, machinery, and jewellery are a few examples of capital assets. This includes having rights in or in relation to an Indian company. It also includes the rights of management or control or any other legal right. Any stock, consumables or raw material, held for the purpose of business or profession. Personal goods such as clothes and furniture held for personal use, Agricultural land in rural India etc donot come under the category of Capital gains.
• Statement 3 is incorrect: Indexation is the process of adjusting the original purchase price of an asset or investment in order to neutralise the impact of inflation on it. It involves revising upward the cost of the acquisition of an asset based on the inflation over the period for which it was held. By increasing the cost basis of an asset, indexation lowers the capital gain, thus reducing the tax liability.

Answer: B

Explanation:

Option (b) is correct: A predicate offence is a crime that forms part of a broader criminal activity, often linked to money laundering or organised crime. This term is usually used to describe terrorist financing activities. A predicate offence is a crime that is a component of a more serious crime. eg. Producing unlawful funds is the primary offence, and money laundering is the predicate offence. An indictable offence is an offence which can only be tried on an indictment after a preliminary hearing to determine whether there is a prima facie case to answer or by a grand jury. Scheduled offences are those offences that are mentioned in Parts A, B and C of the Schedule to the Prevention of Money Laundering Act. A Cognizable offence or case is defined as the one which an officer in-charge of a police station may investigate without the order of a magistrate and effect arrest without warrant.

Answer: C

Explanation: The Indian government is planning to team up with the private sector to study and test small modular reactors (SMRs).

• Statement 1 is correct: Small modular reactors (SMRs) are advanced nuclear reactors that have a power capacity of up to 300 MW(e) per unit, which is about one-third of the generating capacity of traditional nuclear power reactors. SMRs are designed to operate for 40-60 years with capacity factors exceeding 90%.
• Statement 2 is incorrect: They can produce a large amount of low-carbon electricity. They can be manufactured off-site – significantly saving construction time. This results in reduced build and running costs (designed to require lesser fuel and fewer staff for location assembly, maintenance and operation) and increased efficiency.

Statement 3 is correct: SMRs can generate less electricity when demand is down and are particularly useful for power generation in remote locations. SMRs can be installed in decommissioned thermal power plant sites by repurposing existing infrastructure.

Answer: D

Explanation:

• Statement 1 is correct: The Union Budget 2024 announced the launch of 3 schemes to boost employment and hiring in the formal sector, known as ‘Employment Linked Incentive’ schemes. These schemes provide benefits to employers and first-time employees who have enrolled in the EPFO (Employees Provident Fund Organisation).
• Statement 2 is incorrect while Statement 3 is correct:

• Scheme A – First-time Employment

Under this scheme, all newly joined employees in the formal sector will receive a direct benefit transfer of one month’s salary in 3 instalments of up to Rs.15,000 . Eligibility is enrolment in the EPFO and a salary of up to 1 lakh per month. The employees have to mandatorily undergo a Financial Literacy course to receive the second instalment.

• Scheme B – Job Creation in Manufacturing

An incentive will be provided at a specified scale directly both to the employee and the employer with respect to their EPFO contribution in the first 4 years of employment.

• Scheme C – Support to Employers

The government will reimburse EPFO contributions paid by the applicable employers for the additional employees hired in the previous year up to 3,000 per month for 2 years. This employer-focussed scheme will cover additional employment in all sectors.

Answer: C

Explanation:

• Statement 1 is correct: The “State of Rural Youth Employment Report 2024” prepared by the Development Intelligence Unit (DIU) was released. High Job Dissatisfaction has been observed as between 70-85% of currently employed rural youth are looking to change their jobs.
• Statement 2 is incorrect: Declining Interest in Traditional Sectors is observed. Agriculture and self-employment are no longer seen as desirable career paths by many rural youths. Shift Toward Salaried and Business Roles is observed. The majority of those wanting to change jobs prefer small businesses or salaried positions in both public and private sectors.A majority of respondents view current agriculture as non-aspirational due to low productivity and insufficient profits.

Statement 3 is correct:Over 60% of male and 70% of female respondents preferred to find work in or close to their villages, even if the income was 20-30% lower than what could be earned farther away. There is a clear preference among young people to stay within or close to their villages, despite lower income potential.