This quiz works best with JavaScript enabled. Home > Finance > Economics > Business Economics > Business Economics – Quiz 10 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 10 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The choice to acknowledge or dismiss a capital planning project relies upon A) An investigation of the incomes produced by the venture. B) Cost of capital puts resources into business/ project. C) Both A and B. D) Neither A and B. Show Answer Correct Answer: C) Both A and B. 2. How is the size of firm measured? A) TURNANTOR. B) Quality of staff. C) Innovation. D) Economies of scale. Show Answer Correct Answer: A) TURNANTOR. 3. The demand for necessities is usually A) Highly elastic. B) Relatively inelastic. C) Highly inelastic. D) Unit elasticity. Show Answer Correct Answer: C) Highly inelastic. 4. Nelson Mandela was the former president of ..... A) South America. B) India. C) South Africa. D) USA. Show Answer Correct Answer: C) South Africa. 5. If two goods are complementary to each other, cross elasticity demand is said to be " ..... " A) Negative. B) Positive. C) Neutral. D) Unitary. Show Answer Correct Answer: A) Negative. 6. In the long-run all costs are: A) Fixed Costs. B) Marginal Cost. C) Total Cost. D) Variable Costs. Show Answer Correct Answer: D) Variable Costs. 7. Which of the following is an internal factor that could influence a consumer's buying decision? A) Internet marketing. B) Price. C) Finance (availability and cost). D) Social and cultural. Show Answer Correct Answer: D) Social and cultural. 8. Insurance is an example of A) Fixed Cost. B) Sunk Cost. C) Finance Cost. D) None of above. Show Answer Correct Answer: B) Sunk Cost. 9. An economic problem faced by all is: A) Unlimited needs and wants and limited resources to satisfy those needs and wants. B) Excess resources which can bring about wastage. C) Scarce resources which can be used in many different ways so it is essential that the nation maximises opportunity cost. D) Limited needs and wants and unlimited resources to satisfy those needs and wants. Show Answer Correct Answer: A) Unlimited needs and wants and limited resources to satisfy those needs and wants. 10. In which among the following systems the 'right to property' exists A) Capitalist economy. B) Traditional economy. C) Socialist economy. D) Mixed economy. Show Answer Correct Answer: A) Capitalist economy. 11. Till 19th century Economics was known as A) Political Economy. B) Social Economy. C) Both (1) and (2). D) Neither (1) Nor (2). Show Answer Correct Answer: A) Political Economy. 12. ..... an addition to the total production by the employment of an extra unit of a factor. A) Output. B) Total Product. C) Average Product. D) Marginal Product. Show Answer Correct Answer: D) Marginal Product. 13. What are the six elements of PESTLE? A) Peace, Elements, Search, Tape, Legal, and Environment. B) Power, Environment, Science, Teaching, Legal, and Education. C) Paper, Element, Savings, Trust, Labels, and Entry. D) Political, Economic, Social, Technological, Legal, and Environmental. Show Answer Correct Answer: D) Political, Economic, Social, Technological, Legal, and Environmental. 14. Economic conditions greatly influence marketing plans for product offerings. A) False. B) True. Show Answer Correct Answer: B) True. 15. BEP is a point where there, s no ..... no ..... A) Fixed cost, variable cost. B) Profit, loss. C) Sales, contribution. D) None of the above. Show Answer Correct Answer: B) Profit, loss. 16. For a company a strategic factor of the environment is a threat if it expects to have ..... A) A negative impact on its results. B) A negative and relevant impact on its results. C) A relevant impact on its results. D) None of the answers are correct. Show Answer Correct Answer: B) A negative and relevant impact on its results. 17. Match List I and II and choose the correct answer using the codes given below List I (Economist) List II (Definition) A. Adam Smith 1. Welfare B. Marshall 2. Wealth C. Robbins 3. Growth D. Samuelson 4. Scarcity A) A-2, B-3, C-1, D-4. B) A-4, B-3, C-2, D-1. C) A-1, B-2, C-3, D-4. D) A-2, B-1, C-4, D-3. Show Answer Correct Answer: D) A-2, B-1, C-4, D-3. 18. Availability of a good or service means there ..... A) Is not enough to meet demand. B) Is enough to meet the demand. C) It will be here soon. D) It is here now. Show Answer Correct Answer: B) Is enough to meet the demand. 19. The most attractive alternative given up when a choice is made, is the A) Opportunity cost. B) Favorite choice. C) Economics cost. D) Scarcity choice. Show Answer Correct Answer: A) Opportunity cost. 20. Which utility approach suggests that utility can be measured and quantified? A) Ordinal. B) Cardinal. C) Both a &b. D) Diminishing marginal utility. Show Answer Correct Answer: B) Cardinal. 21. Funded debt is a long term debt A) False. B) True. Show Answer Correct Answer: B) True. 22. Which of the following industries is an example of a monopoly? A) Commercial airlines. B) Utilities/water. C) Auto industry. D) Department stores. Show Answer Correct Answer: B) Utilities/water. 23. Fixed costs are also referred to as A) Average fixed costs. B) Total Fixed Costs. C) Total Costs. D) Sales Costs. Show Answer Correct Answer: B) Total Fixed Costs. 24. Two goods that are used jointly to provide satisfaction are called A) Substitute goods. B) Complementary goods. C) Normal goods. D) Inferior goods. Show Answer Correct Answer: B) Complementary goods. 25. ..... is the quantity of a product that producers are willing and able to offer for sale. A) Change in supply. B) Demand. C) Supply. D) Elasticity. Show Answer Correct Answer: C) Supply. 26. One of the assumptions of monopolistic competition is that it is made of a ..... number of firms A) Large. B) Small. C) Moderate. D) None of above. Show Answer Correct Answer: A) Large. 27. Business economics is ..... in nature A) Normative. B) Positive. C) Complicated. D) None of above. Show Answer Correct Answer: A) Normative. 28. The introduction of a minimum wage in a labour market will: A) Raise employment and lower the wage rate. B) Raise the wage rate and increase employment. C) Raise the wage rate and decrease employment. D) Reduce the wage rate but boost employment. Show Answer Correct Answer: C) Raise the wage rate and decrease employment. 29. Partnership is only two owners. A) True. B) False. Show Answer Correct Answer: B) False. 30. Short-run losses encourage firms to ..... A) Enter the industry. B) Leave the industry. C) Stay in the industry. D) None of above. Show Answer Correct Answer: B) Leave the industry. ← PreviousNext →Related QuizzesEconomics QuizzesFinance QuizzesBusiness Economics Quiz 1Business Economics Quiz 2Business Economics Quiz 3Business Economics Quiz 4Business Economics Quiz 5Business Economics Quiz 6Business Economics Quiz 7Business Economics Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books