XAT 2026

XAT Decision Making & GK Guide

With PYQs for XAT 2026 Preparation by Quantifiers CAT Academy

XAT Decision Making is a unique, high-impact section that tests ethical reasoning, stakeholder balance, and practical judgment through case-based scenarios, while XAT GK supports XLRI selection and interviews. To score well, aspirants must follow fairness-driven logic in DM, avoid extreme or rule-breaking options, and prepare GK through consistent current affairs and static revision. Together, DM (21–22 questions) and GK (25 questions) can significantly influence XAT 2026 outcomes when managed with the right strategy and time allocation.

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The XAT exam is unique because no other MBA entrance test includes a Decision Making (DM) section. This section alone can change your overall percentile drastically. Along with DM, the General Knowledge (GK) section plays a key role in final selection, especially for XLRI Jamshedpur.

This detailed guide will help you understand:

    • XAT Decision Making structure
    • How to answer ethical and business scenarios
    • GK syllabus and scoring tips
    • PYQ-style DM sets
    • PYQ-style GK questions
    • Preparation rules and time management strategies

The content is beginner-friendly and follows a simple explanation style.

What is XAT Decision Making

📌 TL;DR - XAT Exam Pattern & Strategy

  • XAT DM is unique → No formulas, only logic + ethics + balance

  • 21–22 DM questions → Case-based, moderate–high difficulty

  • Best DM rule → Fair, ethical, long-term, stakeholder-friendly

  • Avoid extremes → No shortcuts, no emotional bias

  • GK doesn’t affect percentile → But crucial for XLRI & GDPI

  • GK split → Static GK + Current Affairs (business-heavy)

  • DM time → 40–45 minutes | GK time → 10–12 minutes

  • Practice target → 50–70 DM case sets + PYQs

  • GK strategy → Light, consistent, no blind guessing

  • Final tip → DM accuracy > attempts, GK clarity > quantity

What is XAT Decision Making?

The Decision Making section tests your:

    • Ethical thinking
    • Business judgment
    • People management
    • Problem-solving
    • Ability to choose the most logical and fair option

You are given real-life situations from:

    • Offices
    • Teams
    • Corporate conflicts
    • Marketing issues
    • HR dilemmas
    • Student committees
    • Resource distribution
    • Financial decisions

You must choose the fairest, most balanced, ethical option — not the smartest shortcut.

XAT Decision Making Structure

    • Number of Questions: 21–22
    • Time Taken (recommended): 40–45 minutes
    • No negative marking for unattempted questions after 8 skipped
    • Difficulty: Moderate to High
    • Question types: Case-based sets, 3–5 questions each

Unlike QA and VARC, DM is not a formula-based section. It’s about logic + ethics + balance.

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Types of Questions in XAT DM

XAT usually asks scenarios from:

  1. Business Decision Making
    Profit vs ethics, cost-cutting vs employee well-being.
  1. Ethical Dilemmas
    Rules vs compassion, long-term vs short-term impact.
  1. Team Conflicts
    Manager vs employee, peer disagreements, leadership choices.
  1. HR Problems
    Recruitment, promotions, handling harassment or bias.
  1. Resource Allocation
    Budget issues, limited resources, prioritization.
  1. Student/Academic Cases
    Committees, organising events, exam issues.

How to Solve DM Questions

Choose fairness over favoritism
Do not break rules unless absolutely necessary
Protect long-term interests
Consider all stakeholders, not just one group
Avoid extreme decisions
Ethical > profitable
Practical > emotional
Avoid assumptions not mentioned in case

These rules alone can boost your accuracy.

How to Solve DM Questions (Golden Rules)

PYQ Decision Making Questions

Here are XAT-level sets written in original style but inspired by real exam tone.

Case Set 1: Ethical Workplace Issue

A senior employee, Raghav, manipulates monthly performance numbers to secure a promotion. His junior, Ankit, accidentally discovers the manipulation through shared files. Ankit respects Raghav but also feels the company is being misled. Reporting may damage Raghav’s career. Ignoring it may harm the company’s integrity.

Q. What should Ankit do?

    1. Confront Raghav privately and ask him to correct the numbers.
    2. Report directly to HR with evidence.
    3. Delete the evidence to maintain harmony.
    4. Discuss the matter with his manager objectively.
    5. Inform the team anonymously.

Correct Approach

XAT prefers ethical + balanced + process-driven decisions → Option D.

Correct Approach

XAT prefers ethical + balanced + process-driven decisions → Option D.

Case Set 2: Resource Allocation

A hospital has limited oxygen cylinders. Demand is rising. Two patients need immediate support:

    • A 70-year-old senior citizen
    • A 22-year-old accident victim with high survival chance

Q. What should the doctor do?

    1. Allocate the cylinder to the younger patient (higher survival).
    2. Allocate to the older patient out of respect.
    3. Ask families to arrange cylinders externally.
    4. Prioritize the patient with the highest survival probability.
    5. Split oxygen between both patients.

Correct Approach

Life-saving decisions must prioritize higher survivalOption D.

Correct Approach

Life-saving decisions must prioritize higher survivalOption D.

Case Set 3: HR Promotion Dilemma

A high-performing employee is rude to teammates. Another moderate performer maintains excellent team harmony.

Q. Who should be promoted?

    1. High performer
    2. Moderate performer
    3. No one
    4. Promote both
    5. Give feedback and review after 3 months

Correct Approach

E (Balanced + development-focused)

Correct Approach

E (Balanced + development-focused)

XAT GK Section Overview

GK is not included in percentile but is crucial for:

    • XLRI selection
    • GDPI shortlisting
    • Overall profile score

XAT GK Syllabus

Static GK

    • Geography
    • Polity
    • History
    • Economy basics
    • Important awards
    • National parks
    • Capitals & currencies

Current Affairs

    • Business news
    • Government schemes
    • International events
    • Sports
    • Appointments
    • Summits
    • Reports & indices
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PYQ GK Questions

    1. Who won the 2024 Nobel Peace Prize? (Current Affairs)
    1. “Operation Polo” is related to which historical event? (Static GK – Polity & history)
    1. Headquarters of World Bank? (Washington D.C.)
    1. India’s rank in Global Innovation Index? (Varies yearly)
    1. National Income in India is calculated by? (CS0 earlier, now NSO)

These questions follow XAT’s factual + news blend.

How to Prepare for XAT Decision Making

Practice 50–70 DM case sets
Analyze explanations deeply
Improve ethical reasoning
Study corporate examples
Practice with time limits
Avoid emotional bias

Important Note: XAT has a penalty for leaving more than 8 consecutive questions unattempted, so plan your attempts strategically and avoid long gaps during the exam.

How to Prepare for XAT GK

Read news 20 minutes daily
Revise monthly current affairs PDFs
Learn static GK from Lucent / Manorama
Revise important indexes & reports
Focus on business & economy

GK preparation should be light and consistent.

Time Management for XAT DM + GK

Best Time Allocation Strategy

    • DM: 40–45 minutes
    • GK: 10–12 minutes
    • Essay: 10 minutes notes + 12 minutes writing

This structure ensures accuracy without panic.

Pro Tip: Always read all options in Decision Making carefully—often the best XAT answer is the most balanced, not the most obvious.

Tips for XAT Decision Making & GK

    1. Stay calm during ethical dilemmas
    2. Read DM case sets twice
    3. Select options that help ALL stakeholders
    4. Don’t guess too much in GK
    5. Revise weekly
    6. Follow ethical + practical logic
    7. Don’t jump to extreme decisions
    8. Use elimination method
    9. Practice year-wise papers
    10. Attempt GK at the end

🔗 Ready to Start?

FAQs - XAT Decision Making & GK

XAT DM is usually moderate to difficult because the questions involve real-world scenarios where all options seem correct. Your task is to pick the most ethical and balanced one.

You can expect 21–22 Decision Making questions divided into 6–8 caselets.

Yes, DM is extremely important. It contributes directly to your overall percentile and has a high weightage in XLRI shortlisting.

No. The GK section does not count towards your XAT percentile.

There are usually 25 GK questions covering static GK and current affairs.

No need. There is no negative marking, but attempt only what you are confident about. Random guesses do not help in interviews.

Not exactly. The themes repeat (ethics, business, HR, conflicts), but the scenarios change every year.

A mix of business news, economy, awards, geography, politics, international events, and static facts.

Absolutely. DM does not require corporate experience. It only needs ethical reasoning, common sense, and practice.

Read case studies, understand stakeholder impact, and follow principles like fairness, transparency, long-term benefit, and rule compliance.

Spend 40–45 minutes on DM.
Read cases slowly and attempt confidently.

XAT does not require books. The best preparation is:

  • Past XAT papers
  • Coaching institute material
  • Ethical case studies
  • Mock tests

Yes, if you follow current affairs regularly.
GK has no negative marking, so it’s a scoring section.

Yes. If a set looks confusing or lengthy, skip it initially and return later.

Eliminate options that are:
Too extreme
One-sided
Violate ethics
Then pick the most balanced choice.

Avoid it. Wrong answers reduce percentile. Use logic + elimination instead.

Yes, to some extent. Cases are slightly long, so reading efficiently helps.
Practice improves speed.

Both are important, but current affairs carry slightly more weight in recent papers.

At least 8–10 XAT mocks, with special focus on DM-heavy papers.

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