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048 - Gold Metal

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Question:

1. What is 916 Pure Gold?
A 18 carat gold
B 22 carat gold
C 24 carat gold
D 28 carat gold

Feedback:

A carat scale is used to measure the proportion of gold. 100% gold is designated as 24 carat. 22 carat would mean 22/24 = 91.67 % gold and hence 916 indicates 22 carat. Since gold in its purest state (99.99%) is very soft and brittle, it is alloyed with other metals to make it more durable.
Correct Answer: B
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Question:

2. Other than making jewellery, gold is also used in:
A glassmaking
B electronics and computers
C dentistry
D medical field

Feedback:

glassmaking - helps reflect solar radiation outward;
electronics and computers - is a highly efficient conductor of tiny currents at low voltages and doesn't get corroded;
dentistry - used for filling, crowns etc as it is chemically inert, non-allergenic and easy for the dentist to work;
medical field - e.g. gold weight implantation treatment.
Correct Answer: A,B,C,D
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Question:

3. The U.S. dollar is backed by gold. i.e. a piece of paper currency represents a real amount of gold held in a vault by the government.
A True
B False

Feedback:

The U.S. dollar is no longer backed by gold as the gold exchange standard was taken off by President Richard Nixon in 1971 due to inflation of the dollar. Most of the countries, including India, which had based the value of their currencies on the U.S. dollar after World War II were forced to abandon the gold standard. What it means is that now the value of dollar and gold are determined by market forces.
Correct Answer: B
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Question:

4. Arrange the rings, having the same dimensions, in the increasing order of weight:
A Silver ring, Platinum ring, Gold ring
B Gold ring, Silver ring, Platinum ring
C Platinum ring, Gold ring, Silver ring
D Silver ring, Gold ring, Platinum ring

Feedback:

Gold is almost twice as heavy as Silver whereas Platinum is slightly heavier than gold. Gold is 19.3 times heavier than water of the same volume.
Correct Answer: D
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Question:

5. In Jan 2008, the price of gold crossed 850 $ / ounce and set a new record. When was the last time gold price had reached this level?
A Jan 1980
B Jan 1990
C Jan 1995
D Jan 2000

Feedback:

In Jan 1980, the gold price hit a record of $850 per ounce against a background of an international crisis arising from the Soviet invasion of Afghanistan and the Islamic Revolution in Iran. The prices soon came down and remained steady in the $300-400 range for the following years before starting to climb again and reaching the current price of about $1,250 per ounce.
Correct Answer: A
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