This quiz works best with JavaScript enabled. Home > Finance > Economics > Business Economics > Business Economics – Quiz 13 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 13 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. In perfect competition a firm increases profit when ..... exceeds ..... A) TC, TR. B) MC, MR. C) On, and. D) TR, TFC. Show Answer Correct Answer: C) On, and. 2. How do you calculate the absenteeism rate over 1 year of an organization A) Total hours missed year multiplied by total hours worked in the year. B) Total hours missed year divided by total hours worked in the year. C) Total hours missed in a year by employee multiplied by total hourse worked in the year by employee. D) Total hours missed in a year by employee divided by total hourse worked in the year by employee. Show Answer Correct Answer: B) Total hours missed year divided by total hours worked in the year. 3. ..... is absence of competition. A) Monopoly. B) Duopoly. C) Monopolistic. D) Oligopoly. Show Answer Correct Answer: A) Monopoly. 4. What is our biggest economic problem? A) Internet fees. B) Limited resources. C) Labor surplus. D) Unlimited resources. Show Answer Correct Answer: B) Limited resources. 5. In India, inflation target is based on A) Consumer profit index. B) Consumer loss index. C) Consumer price index. D) Customer price index. Show Answer Correct Answer: C) Consumer price index. 6. The three fundamental questions of economic organization are: A) When, for whom, and how. B) How, what, and for whom. C) Who, how, and when. D) What, who, and why. Show Answer Correct Answer: B) How, what, and for whom. 7. AN ENTREPRENEUR IS A PERSON WHO ..... A) Owns their own business. B) Uses goods and services to produce labor, land, and capital. C) Uses land, labor, and capital to produce good and services. D) Loves nature and runs a business. Show Answer Correct Answer: C) Uses land, labor, and capital to produce good and services. 8. Deductive and Inductive methods are complementary to each other. It is: A) Absolutely correct. B) Absolutely incorrect. C) Partially incorrect. D) None of the above. Show Answer Correct Answer: A) Absolutely correct. 9. A new portal launched by SIDBI to improve credit availability to MSME sector is ..... A) Mudra Scheme. B) Kisan Credit. C) Entrepreneur friend. D) None of the Above. Show Answer Correct Answer: C) Entrepreneur friend. 10. Wealth definition by A) Marshall. B) Samuelson. C) Adam smith. D) Lionel Robbin. Show Answer Correct Answer: C) Adam smith. 11. What is meant by 'labour' in economics? A) Hard physical work used to produce manufactured goods. B) Human mental and physical effort used for producing goods and services. C) Natural resources used in the productive process. D) Risk taking and organising the factors of production. Show Answer Correct Answer: B) Human mental and physical effort used for producing goods and services. 12. Positive statements concern what is Normative statements concern A) What ought to be. B) What will be. C) What is the normal situation. D) What was. Show Answer Correct Answer: A) What ought to be. 13. The process of capital formation includes A) Capital of savings. B) , Mobilization of savings. C) Investment of savings. D) All of the above. Show Answer Correct Answer: D) All of the above. 14. WHAT ARE THE 4 FACTORS OF PRODUCTION? A) Land, Capital, Need & Want. B) Land, Labor, Capital, Entrepreneurs. C) Water, Air, Food & Shelter. D) Land, Capital, Good & Service. Show Answer Correct Answer: B) Land, Labor, Capital, Entrepreneurs. 15. Opportunity cost means A) The accounting cost minus the marginal benefit. B) The monetary costs of an activity. C) The accounting cost minus the marginal cost. D) The highest-valued alternative forgone. Show Answer Correct Answer: D) The highest-valued alternative forgone. 16. 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. 17. 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?. 18. ..... gain in inflation. A) Creditors. B) Salaried people. C) Investors in Shares. D) Pensioners. Show Answer Correct Answer: C) Investors in Shares. 19. What type of economy does the United States have? A) Traditional. B) Command. C) Market. D) Mixed. Show Answer Correct Answer: D) Mixed. 20. 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. 21. The most fundamental economic problems is A) Selling. B) Scarcity. C) Security. D) Health. Show Answer Correct Answer: B) Scarcity. 22. 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. 23. When Total cost is maximum, marginal cost is ..... A) Highest. B) Lowest. C) Zero. D) None of above. Show Answer Correct Answer: C) Zero. 24. Spyware authors can use stolen information to create their own intellectual property. A) True. B) False. Show Answer Correct Answer: A) True. 25. 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. 26. 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. 27. 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. 28. 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) Inter disciplinary social science. D) Traditional social science. Show Answer Correct Answer: A) Imperialist social science. 29. 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. 30. ..... 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. ← 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