This quiz works best with JavaScript enabled. Home > Finance > Economics > Business Economics > Business Economics – Quiz 6 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Business Economics Quiz 6 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Land refers to ..... A) All the raw materials that mined and used in difference resources to create goods and services for the consumer. B) All the raw materials and other natural resources that go into the production of goods and services. C) All the raw materials that are offered to producers as goods and services for the consumer. D) All the raw materials that are mined in minecraft. Show Answer Correct Answer: B) All the raw materials and other natural resources that go into the production of goods and services. 2. Under the new economic policy import licensing was abolished except in case of ..... A) Textile Industries. B) IT Industries. C) Hazardous chemicals industries. D) Consumer's goods industries. Show Answer Correct Answer: C) Hazardous chemicals industries. 3. Which of the following is always true with regard to the net present value (NPV) approach? A) The NPV and the IRR approaches will always rank projects in the same order. B) The NPV and Payback approaches will always rank projects in the same approaches. C) If a project is found to be acceptable under the NPV approach, it would also be acceptable under the internal rate of return (IRR) approach. D) If a project is found to be acceptable under the NPV approach, it would also be acceptable under the payback approach. Show Answer Correct Answer: C) If a project is found to be acceptable under the NPV approach, it would also be acceptable under the internal rate of return (IRR) approach. 4. The difference between positive and normative Economics is A) Positive Economics describes the facts of the economy while normative Economics involves evaluating whether some of these are good or bad for the welfare of the people. B) Normative Economics describes the facts of the economy while positive Economics involves evaluating whether some of these are good or bad for the welfare of the people. C) Positive Economics prescribes while normative Economics describes. D) Positive Economics explains the performance of the economy while normative Economics finds out the reasons for poor performance. Show Answer Correct Answer: A) Positive Economics describes the facts of the economy while normative Economics involves evaluating whether some of these are good or bad for the welfare of the people. 5. Impact of one unit change in one variable on another is measured using A) Opportunity cost. B) Fixed cost. C) Incremental concept. D) Marginal concept. Show Answer Correct Answer: D) Marginal concept. 6. Which is the primary objective of economic planning in India? A) Growth with social justice. B) Reducing Inequalities of income. C) Abolition of poverty. D) Removing unemployment. Show Answer Correct Answer: A) Growth with social justice. 7. Which of there is not a SDG for India? A) Building Infrastructure. B) Ending Poverty. C) Ending Hunger. D) Economic Prosperity. Show Answer Correct Answer: D) Economic Prosperity. 8. Decision making and ..... are two important functions performed by a business executive A) Purchasing. B) Studying Economics. C) Forward Planning. D) None of above. Show Answer Correct Answer: C) Forward Planning. 9. An oligopoly is a market structure in which many firms sell products that are similar but not identical A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 10. What are the factors affecting productivity for labour? A) Irrigation. B) Reclamation. C) Migration. D) Drainage. Show Answer Correct Answer: C) Migration. 11. Business Economics is A) Abstract and applies the tools of Microeconomics. B) Involves practical application of economic theory in business decision making. C) Incorporates tools from multiple disciplines. D) (b) and (c) above. Show Answer Correct Answer: D) (b) and (c) above. 12. The Industrial Policy Resolution was adopted in ..... A) 1958. B) 1952. C) 1956. D) 1954. Show Answer Correct Answer: C) 1956. 13. The difference between what a consumer is ready to pay and what he actually pays is: A) Consumer Surplus. B) Consumer deficit. C) Both. D) None. Show Answer Correct Answer: A) Consumer Surplus. 14. The difference between positive and normative Economics A) Positive Economics describes the facts of the economy while positive Economicsinvolves evaluating whether some of these are good or bad for the welfare of thepeople. B) Positive Economics describes the facts of the economy while normative Economicsinvolves evaluating whether some of these are good or bad for the welfare of thepeople. C) Positive economics prescribes while normative Economics describes. D) Positive Economics explains the performance of the economy while normativeEconomics finds out the reasons for poor performance. Show Answer Correct Answer: B) Positive Economics describes the facts of the economy while normative Economicsinvolves evaluating whether some of these are good or bad for the welfare of thepeople. 15. Which of the following factors affects consumers' decisions to buy goods or services: A) Labor costs. B) Buying power. C) Competition. D) Production costs. Show Answer Correct Answer: B) Buying power. 16. Which of the elements below could be additions cost elements when considering the topic of employee separation? A) Wage and benefits saved due to vacancy. B) The cost of reduced productivity while the new employee is learning on the job. C) The cost of additional overtime to cover vacancy. D) All three answers are correct. Show Answer Correct Answer: D) All three answers are correct. 17. Convenience stores open 24 hours a day usually provide both time and place utility. A) True. B) False. Show Answer Correct Answer: A) True. 18. Increase and decrease in demand is also know as Variation in demand A) True. B) False. Show Answer Correct Answer: B) False. 19. Economic goods are considered as scarce resources because ..... A) Inadequate quantity to satisfy the needs of the society. B) Not possible to increase the quantity. C) Limited hands to make goods. D) Primary importance in satisfying social requirements. Show Answer Correct Answer: A) Inadequate quantity to satisfy the needs of the society. 20. What would be the value of elasticity of demand, if the demand for the good is perfectly inelastic? A) 0. B) Less than Zero. C) Infinity. D) 1. Show Answer Correct Answer: A) 0. 21. Which of the following is not one of the four central questions that the study ofeconomics is supported to answer? A) Who produce what?. B) Who consume what?. C) When are goods produced?. D) How are goods produced?. Show Answer Correct Answer: C) When are goods produced?. 22. Which of the following is NOT a macroeconomic issue? A) Unemployment. B) Inflation. C) The wages paid to footballers. D) Economic growth. Show Answer Correct Answer: C) The wages paid to footballers. 23. In economics, desire backed by purchasing power is known as A) Utility. B) Demand. C) Consumption. D) Scarcity. Show Answer Correct Answer: B) Demand. 24. Knight's principle of profit is based on A) Insurable risk. B) Uninsurable risk. C) Due to uncertainty. D) Both B and C. Show Answer Correct Answer: D) Both B and C. 25. The application of electronic technologies for searching, sifting, and reorganizing pools of data to uncover useful information is called data warehousing. A) False. B) True. Show Answer Correct Answer: A) False. 26. Which of the following describes assets such as patents and trademarks? A) Fixed assets. B) Current assets. C) Intangible assets. D) Liquid assets. Show Answer Correct Answer: C) Intangible assets. 27. The central problem relating to allocation of resources A) What to produce. B) How to produce. C) For whom to produce. D) All the above. Show Answer Correct Answer: D) All the above. 28. What is the followingCan only occur in short-term production A) The rules can be reduced. B) The reduction rules of additional productivity. C) The savings occur due to production expansion. D) The rules can increase the size. Show Answer Correct Answer: B) The reduction rules of additional productivity. 29. A situation in which the number of competing firms are relatively small A) Monopoly. B) Perfect competition. C) Oligopoly. D) Monopsons. Show Answer Correct Answer: C) Oligopoly. 30. Farmer Jones has picked more strawberries from his patch than ever. He needs to sell them quickly before the strawberries rot. What does Farmer Jones need to do? A) He needs to sell the strawberries for a cheaper price. B) He will be able to charge a higher price for his strawberries. C) He will need to throw away his strawberries. D) None of above. Show Answer Correct Answer: A) He needs to sell the strawberries for a cheaper price. ← PreviousNext →Related QuizzesEconomics QuizzesFinance QuizzesBusiness Economics Quiz 1Business Economics Quiz 2Business Economics Quiz 3Business Economics Quiz 4Business Economics Quiz 5Business Economics Quiz 7Business Economics Quiz 8Business Economics Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books