RBI Assistant Prelims 26 Mar 2022 Shift 2 Paper

Question Numbers: 13-17 Direction: The passage given contains blanks, choose the best choice in each case from the words in the options and mark your answer accordingly.Suppose you put $100 in a savings account that earns 10\% interest each year, after five years how much will you have? This was a question posed in a multiple-choice quiz by Standard and Poor's, a rating agency. The answers \_\_\_(1)\_\_\_ were "less than"$150", "exactly $150" and "more than$150". The intention was to test whether respondents ____(2)___ compound interest, in addition to basic mathematics. Alas, not that many did: just one‐third of them answered three out of five similar multiple‐choice questions ____(3)___. Scandinavians are the most financially literate: 70% were able to answer three questions; the corresponding figure for Angolans and Albanians was 15%. While education plays a large role in ____(4)___ financial literacy, the link with GDP per person is also remarkably strong. Research shows that in developed countries, knowledge ____(5)___ a U shaped curve with middle-aged adults performing best while in developing countries financial literacy is best among the young. But worryingly many countries remain in a 1960s time warp.