TANCET MBA key terms

A conclusion drawn from evidence in a passage even though the author never states it directly. Readers combine stated facts with general knowledge to reach a reasonable, defensible interpretation rather than a guess.

The central point a passage is built to convey, usually expressed in a single sentence that covers all the supporting details. Distractors often describe a supporting detail or an overgeneralised version of it.

The attitude an author conveys through word choice, such as critical, sympathetic, ironic, or neutral. Tone questions ask you to identify that attitude, not to summarise the content of the passage.

The reason a writer produced the text, for example to persuade, to explain, to describe, or to entertain. Identifying purpose helps you reject options that are accurate statements but irrelevant to the writer's aim.

A question type in which sentences of a paragraph are given in scrambled order and must be rearranged into a coherent sequence. Opening sentences usually introduce a topic without pronouns or connectors that point backwards.

A word or phrase such as however, therefore, or moreover that signals the logical relationship between ideas. Connectors reveal contrast, cause, addition, or sequence, and are strong clues when ordering sentences or choosing fillers.

The noun or noun phrase that a pronoun refers back to in a sentence or passage. Locating the antecedent correctly is essential for pronoun-reference questions and for judging whether a sentence fits a paragraph.

A verbal reasoning task where several sentences form a coherent paragraph but one does not belong. The odd sentence introduces an unrelated idea, contradicts the paragraph, or lacks the linking words the others share.

A fixed expression whose meaning cannot be worked out from its individual words, such as 'to bite the bullet'. Idiom questions test recognition of established usage rather than literal interpretation.

A verb combined with a preposition or adverb that together carry a new meaning, such as 'put off' meaning postpone. The particle changes the sense, so the base verb alone is not a reliable guide.

A word that shares a similar meaning with another word in a given context. Correct answers must fit the sentence's shade of meaning, so near-synonyms with different connotations can be wrong.

A word with an opposite meaning to another word. In exams the pair is usually judged within a specific context, so a word with several senses may have different opposites depending on usage.

A question presenting a pair of words with a specific relationship and asking you to find another pair sharing the same relationship. The relationship must be identified precisely, including its direction and category.

The grammatical rule that a verb must match its subject in number and person. Intervening phrases, collective nouns, and indefinite pronouns such as 'each' or 'none' are common traps in error-spotting questions.

A word, phrase, or clause that describes another element in the sentence. A dangling or misplaced modifier attaches to the wrong word, producing confusion or unintended meaning in error-detection questions.

The principle that items in a list or comparison should share the same grammatical form. Mismatched structures, such as mixing a noun with a clause, are frequent errors in sentence correction items.

A fraction expressed out of one hundred, used to compare quantities on a common scale. Percentage change is calculated on the original base value, and successive percentage changes do not simply add together.

A comparison of two or more quantities by division, showing how many times one contains another. Ratios can be scaled by multiplying all parts by the same non-zero number without changing the relationship.

An equation stating that two ratios are equal. In direct proportion both quantities grow together; in inverse proportion one rises as the other falls, and the product stays constant.

The sum of a set of values divided by the number of values, also called the arithmetic mean. A weighted average gives different values different importance, which changes the result from a simple mean.

Commercial calculations where profit or loss is the difference between selling price and cost price. Profit percentage is normally taken on cost price unless the problem states that it is calculated on selling price.

Interest calculated only on the original principal for the whole period, using the formula principal times rate times time divided by one hundred. It does not earn interest on previously accrued interest.

Interest calculated on the principal plus accumulated interest, so the amount grows geometrically over time. For the same rate and period it always exceeds simple interest when interest is added annually.

The relationship that distance equals speed multiplied by time, used to solve problems on travel, trains, and relative motion. When two bodies move in opposite directions their relative speed is the sum of their speeds.

Counting techniques where permutation counts arrangements with order important and combination counts selections where order is irrelevant. Recognising whether order matters is the key decision in such problems.

A number between zero and one expressing how likely an event is, found by dividing favourable outcomes by total equally likely outcomes. Independent events multiply, while mutually exclusive events add.

The skill of reading tables, bar charts, line graphs, and pie charts to extract values and compute derived figures. It combines quick arithmetic with careful attention to units, scales, and footnotes.

A circular diagram where each sector's angle is proportional to its share of the total. The whole circle represents 360 degrees or 100 percent, so each degree equals roughly 0.278 percent.

A chart plotting data points connected by lines to show trends over time or across categories. Reading the axis scale and the spacing of intervals is essential before comparing two points.

A diagram using rectangular bars whose lengths or heights represent values for different categories. Bars may be grouped or stacked, and stacked segments usually represent parts of a total.

A formal reasoning problem with two or more premises and a conclusion to be judged as valid. A conclusion follows only if it must be true whenever the premises are true, regardless of real-world knowledge.

A diagram of overlapping circles used to represent sets and their relationships. It is the standard tool for checking whether a syllogistic conclusion is possible, certain, or impossible.

An unstated belief the author must hold for the argument to work. An assumption is necessary to the reasoning, unlike an inference, which is a conclusion the reader draws from the given statements.

The claim an argument tries to establish, supported by premises or evidence. In critical reasoning questions, the conclusion is the statement the rest of the passage is designed to justify.

A question asking you to choose the option that makes an argument more convincing. The correct answer typically supplies extra evidence or closes a gap between premise and conclusion.

A question asking for the option that undermines an argument. Effective answers attack the link between evidence and conclusion, offer an alternative cause, or show the sample is unrepresentative.

A puzzle requiring you to place people around a circle or in a row using clues about relative positions. Drawing a rough diagram and marking fixed positions first makes the deductions manageable.

A sustained rise in the general price level, which reduces the purchasing power of money. Central banks often raise policy interest rates to control demand-driven inflation.

Gross Domestic Product, the total market value of final goods and services produced within a country's borders in a period. Nominal GDP uses current prices, while real GDP adjusts for inflation.

The rate at which a central bank lends short-term funds to commercial banks against securities. Raising it makes borrowing costlier and is a tool for tightening money supply.

Actions by a central bank to manage money supply and credit to achieve price stability and growth. Its main instruments include policy rates, cash reserve ratios, and open market operations.

The gap between a government's total expenditure and its total receipts excluding borrowings. It indicates how much the government must borrow, and persistent high deficits can pressure interest rates.