This quiz works best with JavaScript enabled. Home > Finance > Economics > Business Economics > Business Economics – Quiz 26 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 26 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. The practice of examining the costs and the expected benefits of a choice as an aid to decision making. A) Cost-Benefit Analysis. B) Marginal Cost. C) Trade-off. D) Opportunity Cost. Show Answer Correct Answer: A) Cost-Benefit Analysis. 2. Which one of the following Indian industries has been hit hard by globalisation? A) Electronics. B) Automobiles. C) Toy. D) Soft drinks. Show Answer Correct Answer: C) Toy. 3. In long-run equilibrium in a monopolistically competitive market, firms typically: A) Earn a normal profit. B) Charge a price equal to marginal cost. C) Earn an above-normal profit. D) Charge a price equal to marginal revenue. Show Answer Correct Answer: A) Earn a normal profit. 4. Deal with the question of "what ought to be" . Involve opinions, judgement, assumption about what the economy should be or what policy should be used to achieve economic goals. A) Positive analysis. B) Normative analysis. Show Answer Correct Answer: B) Normative analysis. 5. The internal diseconomies is A) High salary of firm. B) High tax for industry. C) Low tax for industry. D) Labour and management disputes in firm. Show Answer Correct Answer: D) Labour and management disputes in firm. 6. Does increasing the money supply cause inflation or deflation? A) Inflation. B) Deflation. Show Answer Correct Answer: A) Inflation. 7. Which of the following statement is not correct? A) Business Economics refers to the integration of economic theory th business practice. B) Business Economics is not only valuable to business decision makers, but also useful for managers of 'not-for-profit' organisations. C) Theories of Economics provide the tools which explain various concepts such as demand, supply, costs, price, competition etc. D) Business Economics is concerned only with Micro Economics. Show Answer Correct Answer: D) Business Economics is concerned only with Micro Economics. 8. Doctors treats her mother is a economic activity. A) TRUE. B) FALSE. C) CANNOT SAY. D) None of above. Show Answer Correct Answer: B) FALSE. 9. Dr Mohan Kumar is working against the post of a senior doctor in a government hospital. He does not discriminate between the rich and poor while treating his patients medically. When he returns home from the hospital, he attends to the poor patients at home free of cost between 6:00 p.m. to 8:00 p.m. Besides, he gives them the information about the employment opportunities. 1. What type of activities does Dr Mohan Kumar perform at home? A) Economic. B) Non-Economic. C) Business. D) Profession. Show Answer Correct Answer: B) Non-Economic. 10. Which of the following is not correct? A) Micro and macro economics are complementary to each other. B) Every macro economic problem required micro economic analysis for its proper understanding. C) Micro economic behaviour can be added up to derive macro economic behaviour. D) What is macro from national angle is micro from world angle. Show Answer Correct Answer: C) Micro economic behaviour can be added up to derive macro economic behaviour. 11. ..... analyses cause and effect relationship but does not pass any value judgment. A) Positive or pure science. B) Normative science. C) None of the above. D) All of above. Show Answer Correct Answer: A) Positive or pure science. 12. ..... is the base of marketing planning A) Demand Estimation. B) Demand analysis. C) Demand function. D) Demand forecasting. Show Answer Correct Answer: D) Demand forecasting. 13. Monopolistically competitive firms are considered inefficient in allocating society's resources for which of the following reasons? A) In long-run equilibrium, the price is greater than the marginal cost. B) In long-run equilibrium, the marginal benefit exceeds the price charged by the firms. C) In long-run equilibrium, the firm is earning economic profits. D) In long-run equilibrium, average total costs are minimized. Show Answer Correct Answer: A) In long-run equilibrium, the price is greater than the marginal cost. 14. Packaging milk into smaller containers to meet the demand of people who live alone is an example of A) Form utility. B) Place utility. C) Possession utility. D) Time utility. Show Answer Correct Answer: A) Form utility. 15. To ..... means to change from private ownership to government or public ownership; To ..... means to change from government or public ownership to private ownership A) Privatize; Nationalize. B) Nationalize; Privatize. C) Regulate; De-Institutionalize. D) Regulate; Release. Show Answer Correct Answer: B) Nationalize; Privatize. 16. If ice cream and Ping Soo (ice) can be a substitute productWhat will the cross-efficiency of 2 types of products be? A) Is an infinity. B) Zero. C) Negatively. D) Positive. Show Answer Correct Answer: D) Positive. 17. In economics, human wants are considered to be: A) Unlimited. B) Limited. C) Diverse. D) Scarce. Show Answer Correct Answer: A) Unlimited. 18. Find out the correct statement A) Higher the prices, lower the quality demanded of a product is a normative statement. B) Micro and macro-economics are interdependent. C) In a capitalist economy, the economic problems are solved by planning commission. D) In deductive method logic proceeds from particular to the general. Show Answer Correct Answer: B) Micro and macro-economics are interdependent. 19. How to intervene in the government price according to any measures with the objectiveSo farmers can sell products that are fair A) Minimum price determination. B) Customs tax rate increase. C) Buying all kinds of agricultural products. D) Manufacturing quota. Show Answer Correct Answer: A) Minimum price determination. 20. Netflix is an example of this type of business model. A) Subscription. B) Freemium. C) Franchise. D) None of above. Show Answer Correct Answer: A) Subscription. 21. NPA's are also called ..... A) Corruption. B) Good Loans. C) Poor Banking. D) Bad Loans. Show Answer Correct Answer: D) Bad Loans. 22. The term "derived demand" means ..... A) Demand for secondary products only. B) Demand that is dependent on government supplying the product. C) Demand that arises because the supply of the good is reduced. D) Demand that arises because there is demand for another good. Show Answer Correct Answer: D) Demand that arises because there is demand for another good. 23. A country with a strong business activity that includes advanced technology and a highly educated population. A) Developing country. B) Less-developed country. C) Industrialized country. D) None of above. Show Answer Correct Answer: C) Industrialized country. 24. Which of these is a part of microeconomics? A) Factor pricing. B) National Income. C) Balance of payment. D) None. Show Answer Correct Answer: A) Factor pricing. 25. An increase in the general level of prices paid for goods and services over a certain period of time is known as ..... ? A) Unemployment. B) Inflation. C) Economic growth tagsEconomics. D) GDP. Show Answer Correct Answer: B) Inflation. 26. Which of the following statements best describe the IRR? A) The rate of return on the investment calculated based on cash inflows and outflows. B) The rate of return on the investment calculated based on investment capital and profit generate. C) The minimum rate of return required for the business to be profitable. D) The maximum rate of return that business could generate. Show Answer Correct Answer: A) The rate of return on the investment calculated based on cash inflows and outflows. 27. Who is known as the father of green revolution in India? A) Dr.Verghese Kurian. B) Dr. M S Ahluwalia. C) Dr. Manmohan Singh. D) Dr. M S Swaminathan. Show Answer Correct Answer: D) Dr. M S Swaminathan. 28. Which stage represents the range of rational production decision? A) Stage III. B) Stage I. C) Stage II. D) None of above. Show Answer Correct Answer: C) Stage II. 29. Demand refers to A) Desire to buy. B) Ability to buy. C) Willingness to buy. D) All of the above. Show Answer Correct Answer: D) All of the above. 30. Economics is derived from two Greek words "eco" & "nomos, " meaning ..... & ..... respectively A) Society & accounts. B) Home & transaction. C) Home & accounts. D) Society & transaction. Show Answer Correct Answer: C) Home & accounts. ← 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