This quiz works best with JavaScript enabled. Home > Economics > Business Economics > Business Economics – Quiz 20 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 20 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Opportunity cost means A) The accounting cost minus the marginal benefit. B) The highest-valued alternative forgone. C) The monetary costs of an activity. D) The accounting cost minus the marginal cost. Show Answer Correct Answer: B) The highest-valued alternative forgone. 2. Incremental concept refers to A) Unitary change in variables. B) No change in variables. C) Marginal change in variables. D) Overall change in variables. Show Answer Correct Answer: D) Overall change in variables. 3. Which question does not directly refer to the basic economic problem? A) What goods and services should a firm produce?. B) What price should a firm charge?. C) What production methods should a firm use?. D) Who should receive the goods and services that a firm produces?. Show Answer Correct Answer: B) What price should a firm charge?. 4. ..... gain in inflation. A) Pensioners. B) Investors in Shares. C) Salaried people. D) Creditors. Show Answer Correct Answer: B) Investors in Shares. 5. Shape of AFC A) Horizontal Straight line. B) RECTANGULAR HYPERBOLA. C) Vertical straight line. D) U Shaped. Show Answer Correct Answer: B) RECTANGULAR HYPERBOLA. 6. What type of economy does the United States have? A) Traditional. B) Command. C) Market. D) Mixed. Show Answer Correct Answer: D) Mixed. 7. The law of diminishing marginal utility A) Refers to the decrease in total satisfaction as more units of the good are consumed. B) Refers to the fall in additional satisfaction created by consumption of more and more units of a good. C) Refers to the idea that total utility is negative. D) All the above. Show Answer Correct Answer: B) Refers to the fall in additional satisfaction created by consumption of more and more units of a good. 8. The most fundamental economic problems is A) Scarcity. B) Health. C) Security. D) Selling. Show Answer Correct Answer: A) Scarcity. 9. Terms of trade are expressed as a ..... A) Ratio of foreign exchange receipts and payments. B) Ratio of price index of exports and imports. C) Ratio of foreign direct investment and portfolio investment. D) Ratio of changes indirectly. Show Answer Correct Answer: C) Ratio of foreign direct investment and portfolio investment. 10. When Total cost is maximum, marginal cost is ..... A) Highest. B) Lowest. C) Zero. D) None of above. Show Answer Correct Answer: C) Zero. 11. Spyware authors can use stolen information to create their own intellectual property. A) True. B) False. Show Answer Correct Answer: A) True. 12. Opportunity cost for a resource that does not have any alternate use will be A) High. B) Minimum. C) Zero. D) None of above. Show Answer Correct Answer: C) Zero. 13. Inflation measures ..... A) The value of all final goods and services produced. B) An increase in the general price level. C) The percentage of people looking for work that can't find it. D) The economic freedom an economy offers. Show Answer Correct Answer: B) An increase in the general price level. 14. IMPS refers to A) India's Import Price System. B) India's Import Payment Service. C) India's Immediate Payment Service. D) India's Important Payment Service. Show Answer Correct Answer: C) India's Immediate Payment Service. 15. Congress A) A plan of government. B) The lawmaking branch of the American government. Show Answer Correct Answer: B) The lawmaking branch of the American government. 16. Micro economics deals with A) Inflation in the country. B) The economic behaviour of an individual unit. C) The per-capita income. D) The problems of poverty and unemployment in the country. Show Answer Correct Answer: B) The economic behaviour of an individual unit. 17. The expansion of micro economics into other social sciences has caused economics to be called as the A) Imperialist social science. B) Queen of social science. C) Traditional social science. D) Inter disciplinary social science. Show Answer Correct Answer: A) Imperialist social science. 18. Wealth definition of economics is given by A) J B Say. B) Lionel Robbins. C) Adam Smith. D) Alfred Marshall. Show Answer Correct Answer: C) Adam Smith. 19. ..... are the contractual cash payments made by the firm for purchasing or hiring the various factors. A) Implicit Cost. B) Explicit Cost. Show Answer Correct Answer: B) Explicit Cost. 20. An item in its natural or semi-processed state used as an input to make into a finished good. A) Builders. B) Raw goods. C) Producer. D) Need. Show Answer Correct Answer: B) Raw goods. ← PreviousNext →Related QuizzesEconomics QuizzesBusiness Economics Quiz 1Business Economics Quiz 2Business Economics Quiz 3Business Economics Quiz 4Business Economics Quiz 5Business Economics Quiz 6Business Economics Quiz 7Business Economics Quiz 8Business Economics Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books