Home » XAT Decision Making & GK Guide with PYQs for 2026 Prep
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:
The content is beginner-friendly and follows a simple explanation style.
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
The Decision Making section tests your:
You are given real-life situations from:
You must choose the fairest, most balanced, ethical option — not the smartest shortcut.
Unlike QA and VARC, DM is not a formula-based section. It’s about logic + ethics + balance.
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XAT usually asks scenarios from:
✔ 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.
Here are XAT-level sets written in original style but inspired by real exam tone.
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?
Correct Approach
XAT prefers ethical + balanced + process-driven decisions → Option D.
Correct Approach
XAT prefers ethical + balanced + process-driven decisions → Option D.
A hospital has limited oxygen cylinders. Demand is rising. Two patients need immediate support:
Q. What should the doctor do?
Correct Approach
Life-saving decisions must prioritize higher survival → Option D.
Correct Approach
Life-saving decisions must prioritize higher survival → Option D.
Q. Who should be promoted?
Correct Approach
E (Balanced + development-focused)
Correct Approach
E (Balanced + development-focused)
GK is not included in percentile but is crucial for:
These questions follow XAT’s factual + news blend.
✔ 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.
✔ 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.
Best Time Allocation Strategy
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.
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:
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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