This quiz works best with JavaScript enabled. Home > Finance > Economics > Business Economics > Business Economics – Quiz 12 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 12 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following is not a feature of a Multi-National Company? A) It organises production in complex ways. B) It sets up factories where it is close to the marke. C) It owns/controls production in more than one nation. D) It employs labour only from its own country. Show Answer Correct Answer: D) It employs labour only from its own country. 2. The discriminating monopoly can be categorized as ..... A) Personal. B) Place. C) Use. D) All of the above. Show Answer Correct Answer: D) All of the above. 3. Demand Forecasting is also known as ..... Forecasting A) Sales. B) Production. C) Quantity. D) None of above. Show Answer Correct Answer: A) Sales. 4. Which of the following is not a benefit of green revolution? A) Self-sufficiency. B) Increase in price of food grains. C) Increase in marketed surplus. D) Buffer stock. Show Answer Correct Answer: B) Increase in price of food grains. 5. Cross elasticity of demand for complementary goods is A) One. B) Negative. C) Zero. D) Positive. Show Answer Correct Answer: B) Negative. 6. The company's environment is understood as the framework where it develops its activity A) False. B) True. Show Answer Correct Answer: B) True. 7. Rational decison making requires that: A) One's choices be arrived at logically and without error. B) One's choices be consistent with one's goals. C) One's choices never vary. D) One make choices that do not involve trade-offs. Show Answer Correct Answer: B) One's choices be consistent with one's goals. 8. The central problem of an economy is A) Assigning limited resources in a way that unlimited desires and needs of the society are satisfied. B) Ensuring a minimum income for each citizen. C) Assuring that production happens in the most effective way. D) Analyzing the demand with market economies. Show Answer Correct Answer: A) Assigning limited resources in a way that unlimited desires and needs of the society are satisfied. 9. Issue Price is at which government supplies foodgrains ..... A) In the open market. B) To the middlemen. C) To ration shops. D) None of above. Show Answer Correct Answer: C) To ration shops. 10. ..... has been given the responsibility of coordinating the SDGS in India: A) Private Sector. B) Central Government. C) NITI Aayog. D) Finance Ministry. Show Answer Correct Answer: C) NITI Aayog. 11. The process of changing an industry from public to private ownership. A) Socialization. B) Economic change. C) Public marketing. D) Privatization. Show Answer Correct Answer: D) Privatization. 12. In Economics terms, what is the "opportunity cost" of choosing when you are faced with a decision? A) All the possible alternatives other than what you chose. B) It is the cost of choosing-what you had to "give up" in order to get the thing you chose. C) The price of the item. D) What you earn when you take a chance. Show Answer Correct Answer: B) It is the cost of choosing-what you had to "give up" in order to get the thing you chose. 13. Nicole is trying to decide where to shop for jeans. She wants to get the lowest price. Where should Nicole shop? A) A designer store. B) A discount store. C) A department store. D) A grocery store. Show Answer Correct Answer: B) A discount store. 14. Mr. Manish hired a business consultant to guide him for growth of his business. The consultant visited his factory and suggested some changes with respect to staff appointment, loan availability and so on. Which approach is that consultant using? A) Micro economics. B) Macro economics. C) Both a and b. D) None of the above. Show Answer Correct Answer: A) Micro economics. 15. The most liquid asset for a firm are marketable securities that can be sold very quickly. A) False. B) True. Show Answer Correct Answer: A) False. 16. A normal good can be defined as one which consumers purchase more of as A) Prices fall. B) Prices rises. C) Incomes fall. D) Incomes. Show Answer Correct Answer: A) Prices fall. 17. The responsiveness of demand to the change in income is known as A) Price elasticity of demand. B) Cross elasticity of demand. C) Income elasticity of demand. D) None of these. Show Answer Correct Answer: C) Income elasticity of demand. 18. When the quantity demanded remains the same whatever be the change then Price elasticity is A) Perfectly Inelastic. B) Perfectly Elastic. C) Relatively Inelastic. D) Relatively Elastic. Show Answer Correct Answer: A) Perfectly Inelastic. 19. The slope of the demand curve for butter shows that an increase in the price of butterleads to A) A decline in the amount of butter available. B) An increase in demand for butter. C) An expected decline in the price of butter. D) A decrease in demand for butter. Show Answer Correct Answer: D) A decrease in demand for butter. 20. Large number of firms all produce same product A) Monopoly. B) Perfect Competition. C) Imperfect Competition. D) Oligopoly. Show Answer Correct Answer: B) Perfect Competition. 21. The Law of Supply states: A) As price increases, supply increases. B) As prices decrease, supply increases. C) Price increases, quantity demanded decreases. D) As price decreases, quantity demanded decreases. Show Answer Correct Answer: A) As price increases, supply increases. 22. Which of the following does not suggest a macro approach for India? A) Analyse the causes of failure of industry in providing large scale employment. B) Finding the causes of failure of ABC Ltd. C) Determining the GNP of India. D) Identifying the causes of inflation in India. Show Answer Correct Answer: B) Finding the causes of failure of ABC Ltd. 23. The marginal is closely related with A) Explicit cost. B) Fixed cost. C) Variable cost. D) Opportunity cost. Show Answer Correct Answer: C) Variable cost. 24. Opportunity cost can be defined as ..... A) Having fewer resources than needed to fill human wants and needs. B) A time or set of circumstances that makes it possible to do something. C) Anxiety that an exciting or interesting event may currently be happening elsewhere, often aroused by posts seen on social media. D) The loss of other alternatives when one alternative is chosen. Show Answer Correct Answer: D) The loss of other alternatives when one alternative is chosen. 25. From the data in the table, find the value B A) 0. B) 6. C) 4. D) 2. Show Answer Correct Answer: A) 0. 26. The GFC was caused by ..... A) Consumer confidence was low due to the war in Iraq. B) Banks and other lenders were willing to make increasingly large volumes of risky loans. C) The American government was in debt to the IMF and interest rates were increased significantly. D) Baked beans. Show Answer Correct Answer: B) Banks and other lenders were willing to make increasingly large volumes of risky loans. 27. What is Pure Market Economy A) An economy organized with some free market elements and some socialistic elements. B) There is no private sector. C) The free exchange of goods and services and private ownership of property. D) An economy where customs, traditions and believes prescribe the principles of economic organization for production of goods and services. Show Answer Correct Answer: C) The free exchange of goods and services and private ownership of property. 28. Daniel owns a bakery. On Monday he needs to buy flour at the supermarket. This is a ..... A) Revenue. B) Expense. C) Profit. D) None of above. Show Answer Correct Answer: B) Expense. 29. The credit for setting up mutual funds in India is attributed to ..... A) SEBI. B) RBI. C) UTl. D) IFCI. Show Answer Correct Answer: C) UTl. 30. Which of the following is not an economic activity? A) A CS doing his own practice. B) Manufacturing of garments at subsidized rate. C) Housewife doing household duties. D) Medical facility rendered by charitable trust. Show Answer Correct Answer: C) Housewife doing household duties. ← 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