Business Economics Quiz 55 (20 MCQs)

Quiz Instructions

Select an option to see the correct answer instantly.

1. Which of the following falls under microeconomics?

Correct Answer: C) Factor pricing.

2. Human Development Index is not related to .....

Correct Answer: C) Gross Domestic Product.

3. A CAD system could help a sales manager learn what sales levels will likely result from various levels of advertising expenditures.

Correct Answer: B) False.

4. The product differentiation is also known as .....

Correct Answer: B) Non-price competition.

5. "Earlier one receives the better it is" , it defines:

Correct Answer: C) Time value of Money.

6. If there is more supply than there is demand ..... what can happen?

Correct Answer: D) The product can become cheaper/less expensive.

7. In increasing returns to factor total production

Correct Answer: D) Increases with increasing rate.

8. Any general business activity or commercial enterprise that can be isolated from others, such at tourist industry

Correct Answer: D) Trade Industries.

9. Economies of scale mean increasing production with ..... per unit.

Correct Answer: B) Decrease in average cost.

10. Fixed costs + variable costs =

Correct Answer: C) Total Cost.

11. The demand of a commodity which is backed by purchasing power and willingness tospend money:

Correct Answer: A) Effective Demand.

12. The law of diminishing returns only applies in cases where:

Correct Answer: C) There is at least one fixed factor of production.

13. India is which type of Economy?

Correct Answer: C) Developing.

14. One of the main functions of a country's monetary policy is to

Correct Answer: D) Regulate the economy.

15. Price Mechanism is the main feature of which economy?

Correct Answer: A) Capitalistic Economy.

16. When price rises, quantity supplied

Correct Answer: A) Expands.

17. Which of the following is a normative economic statement?

Correct Answer: C) The minimum wage should be raised to ' 200/-per day.

18. When demand increases, the equilibrium price and quantity supplied will both

Correct Answer: A) Increase.

19. More than anything else, what did most Amerian settlers want from American Indians?

Correct Answer: D) Their land.

20. Define economics

Correct Answer: C) A study of human and group related to work the use of resources to achieve sastification.