SCDL Business Law

LIST OF ATTEMPTED QUESTIONS AND ANSWERS



Select The Blank
Question
Partnership is based on ________.
Correct Answer
Faith
Your Answer
Faith

Select The Blank
Question
A Company subject to the provisions of section 32 of the companies act as unlimited may register under this Act as a ________.
Correct Answer
Limited company
Your Answer
Limited company

Multiple Choice Multiple Answer
Question
Complaint under the Consumer Protection Act, 1986 relates to :-
Correct Answer
Unfair Trade Practices , Restrictive Trade Practices , Charging of higher prices
Your Answer
Unfair Trade Practices , Restrictive Trade Practices , Charging of higher prices

Multiple Choice Single Answer
Question
The monetary jurisdiction is based upon the :-
Correct Answer
Amount of relief claimed by the complainant
Your Answer
The value of goods or services

Select The Blank
Question
Unpaid seller's Right to stop the goods in transit arises only when the buyer is ________
Correct Answer
Bankrupt
Your Answer
Bankrupt

Select The Blank
Question
Special resolution and confirmation by ________ is required for alteration of Memorandum.
Correct Answer
Company Law Board
Your Answer
Company Law Board

Multiple Choice Multiple Answer
Question
According to the Consumer Protection Act, 1986, a person includes :-
Correct Answer
Hindu undivided family , Co-operative society , Individual as well as juristic person
Your Answer
Hindu undivided family , Co-operative society , Individual as well as juristic person

Multiple Choice Single Answer
Question
Company based on ownership is :-
Correct Answer
Public company
Your Answer
Public company

Multiple Choice Single Answer
Question
The National Commission has the power to entertain appeals against the orders of any :-
Correct Answer
State Commission
Your Answer
State Commission

Multiple Choice Single Answer
Question
Non-registration of a partnership firm does not make the partnership agreement :-
Correct Answer
Void
Your Answer
Legal

Multiple Choice Multiple Answer
Question
Agent has duties towards principal in addition to :-
Correct Answer
Conducting principal's business , Rendering accounts to principal , Communicating with the principal
Your Answer
Conducting principal's business , Rendering accounts to principal , Communicating with the principal

Multiple Choice Single Answer
Question
In the Bill of Exchange, the person to whom the bill is made payable is called as :-
Correct Answer
Payee
Your Answer
Payee

Multiple Choice Single Answer
Question
Where the partners agree to carry on the business for a definite period of time, the partnership is said to be :-
Correct Answer
For a fixed period
Your Answer
At will

Multiple Choice Multiple Answer
Question
The Exception to the rule of "buyer beware" are
Correct Answer
quality of goods are not merchantable , presence of patent defect in goods
Your Answer
fitness for buyer's purpose , quality of goods are not merchantable , presence of patent defect in goods

Multiple Choice Single Answer
Question
A company which has a control over a subsidiary company is a :-
Correct Answer
Holding company
Your Answer
Holding company

Multiple Choice Multiple Answer
Question
Following are the conditions needed to prove an act of a partner is an act of a partnership firm
Correct Answer
such a act be done in a ordinary course of a partnership firm , it must be related to the business of the firm , act must have been done in the name and on behalf of the firm
Your Answer
such a act be done in a ordinary course of a partnership firm , it must be related to the business of the firm , act must have been done in the name and on behalf of the firm

True/False
Question
There are two types or kinds of capital of a company, i.e. owned capital and borrowed capital.
Correct Answer
True
Your Answer
False

Multiple Choice Multiple Answer
Question
Classification of companies based on the jurisdiction of functioning is :-
Correct Answer
A National Company , Multinational Company , Foreign Company
Your Answer
A National Company , Multinational Company , Foreign Company

Multiple Choice Multiple Answer
Question
A company is :-
Correct Answer
Voluntary Association of persons , An artificial legal person , A separate legal entity
Your Answer
Voluntary Association of persons , An artificial legal person , A separate legal entity

Match The Following
Question
Correct Answer
Your Answer
Presentation of Negotiable Instrument
For payment
For payment
When an endorser signs the instrument and adds a direction to pay the amount mentioned therein
Endorsement in full
Endorsement in full
Default in payment of amount of cheque
Dishonour of cheque
Dishonour of cheque
Notice of dishonour of cheque
Mandatory provision
Mandatory provision

Multiple Choice Multiple Answer
Question
The object of the contract should be :-
Correct Answer
Legal one , Lawful
Your Answer
Legal one , Lawful

Select The Blank
Question
The Indian Contract Act, 1872, does not cover all those duties which are not ________ in nature.
Correct Answer
Contractual
Your Answer
Contractual

Multiple Choice Multiple Answer
Question
Following persons can not be called partners
Correct Answer
minors , insolvents , co-owners without the agreement to carry on the business
Your Answer
minors , insolvents , co-owners without the agreement to carry on the business

Multiple Choice Multiple Answer
Question
There can not be any partnership where a business is carried on
Correct Answer
with a benevolent purpose , where any one of the partners is entitled to total profit earned
Your Answer
with a benevolent purpose , to earn profitto earn profit , where any one of the partners is entitled to total profit earned

True/False
Question
Partnership is nothing but a psychological relationship existing between the partners.
Correct Answer
False
Your Answer
False

True/False
Question
Loss of profits is an example of liquidated damages.
Correct Answer
False
Your Answer
True

Multiple Choice Multiple Answer
Question
An unregistered firm can bring an action in any court of Law against
Correct Answer
a partner who steals the property of the partnership firm , a partner who purposely damages the property of the partnership firm
Your Answer
a partner who steals the property of the partnership firm , a partner who purposely damages the property of the partnership firm , a partner who wrongfully deals with the assets of the firm

True/False
Question
The company law board confirms the change of registered office of the company within a state.
Correct Answer
False
Your Answer
False

Select The Blank
Question
Ratification is one of the ways of ________ agency.
Correct Answer
Creating
Your Answer
Creating

True/False
Question
A company can become a partner or can enter into a partnership agreement.
Correct Answer
False
Your Answer
False

Multiple Choice Multiple Answer
Question
Following are the characteristics of the partnership at will :-
Correct Answer
Partners are always free to break their relationship at their will , It is for indefinite period , No provision for determination or termination of the partnership
Your Answer
Partners are always free to break their relationship at their will , It is for indefinite period , No provision for determination or termination of the partnership

Multiple Choice Multiple Answer
Question
The liability of companies on the basis of liability are :-
Correct Answer
Unlimited companies , Limited by guarantee , Limited by shares
Your Answer
Unlimited companies , Limited by guarantee , Limited by shares

Select The Blank
Question
The person who buys the goods for trading purposes is not a ________ under the Consumer Protection Act, 1986.
Correct Answer
Consumer
Your Answer
Consumer

Multiple Choice Single Answer
Question
An agreement with a minor is not voidable but :-
Correct Answer
Void ab initio
Your Answer
Void ab initio

True/False
Question
An agreement to sell takes place in the case of existing goods or specific goods.
Correct Answer
False
Your Answer
False

True/False
Question
An insolvent person can accept or endorse a bill.
Correct Answer
False
Your Answer
False

Multiple Choice Single Answer
Question
A stipulation in a contract of sale with reference to goods which are subject there of may be :-
Correct Answer
A condition or warranty
Your Answer
A condition or warranty

Multiple Choice Multiple Answer
Question
The State Council consists of the following members :-
Correct Answer
Minister in-charge of consumer affairs in the State Govt. , Members representing such interests as may be prescribed by the State Govt.
Your Answer
Minister in-charge of consumer affairs in the State Govt. , Members representing such interests as may be prescribed by the State Govt.

True/False
Question
Subsidiary company can hold shares and can acquire membership of the holding company.
Correct Answer
False
Your Answer
False

Match The Following
Question
Correct Answer
Your Answer
Minor Partner
Admitted for profits only
Admitted for profits only
Dissolution of a Partnership
Death or Insanity of the partners
Death or Insanity of the partners
Firm
Partners
Partners
Partner
Agents of the firm
Agents of the firm
Partnership
Can be formed at Will
Can be formed at Will

Multiple Choice Multiple Answer
Question
Following are the elements which constitute a partnership
Correct Answer
there must be a contract regarding a partnership , there must be an association of two or more persons
Your Answer
there must be a contract regarding a partnership , there must be an association of two or more persons

Select The Blank
Question
There should be a ________ and real necessity for creating an agency.
Correct Answer
Definite
Your Answer
Congenital

Multiple Choice Single Answer
Question
For obtaining recognition as an 'Appropriate Laboratory", the applicant shall send an application in the proforma prescribed by the :-
Correct Answer
Bureau of Indian Standard
Your Answer
Bureau of Indian Standard

Multiple Choice Single Answer
Question
The object of carrying on a business must be :-
Correct Answer
Sharing of profits
Your Answer
Sharing of profits

True/False
Question
Company is treated as a legal person distinct from its members.
Correct Answer
True
Your Answer
True

Select The Blank
Question
An offer must create ________ relationship.
Correct Answer
Legal
Your Answer
Legal

Multiple Choice Multiple Answer
Question
A person is considered the holder of Negotiable Instruments if :-
Correct Answer
His name appear on an instrument , He is in possession of bearer instrument , He is the endorsee of a cheque
Your Answer
His name appear on an instrument , He is in possession of bearer instrument , He is contracting an instrument.

Managerial Economics

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

Multiple Choice Single Answer
Question
Managerial economics generally refers to the integration of economic theory with business
Correct Answer
Practice
Your Answer
Practice

Multiple Choice Single Answer
Question
Every nation’s resources which are used to produce the quantities of goods and services that would be required to satisfy all its citizen’s wants are
Correct Answer
insufficient
Your Answer
insufficient

Multiple Choice Single Answer
Question
Managerial economics is also understood to refer to
Correct Answer
applied economics
Your Answer
applied economics

Multiple Choice Single Answer
Question
The type economic problem is
Correct Answer
universal
Your Answer
universal

Multiple Choice Single Answer
Question
The act of making goods and services is called
Correct Answer
production
Your Answer
production

Multiple Choice Single Answer
Question
The act of using goods and services to satisfy wants is called
Correct Answer
consumption
Your Answer
consumption

Multiple Choice Single Answer
Question
The concept of just distribution of national product is a
Correct Answer
normative
Your Answer
objective

True/False
Question
Resources are said to be involuntarily un employed when their wastage occur.
Correct Answer
True
Your Answer
True

Match The Following
Question
Correct Answer
Your Answer
Managerial economics
Decision making and forward planning
Decision making and forward planning
Resources
scarce
scarce
Commodities
goods and services
goods and services
Human wants
unlimited
unlimited
General Theory of Employment, Interest and Money
J. M. Keynes
J. M. Keynes

Multiple Choice Single Answer
Question
In cost - benefit analysis, after the step of appraisal and selection of the project is the step of
Correct Answer
comparison of the cash flow
Your Answer
comparison of the cash flow

True/False
Question
Social costs cannot be included in a firm's account book.
Correct Answer
True
Your Answer
False






Multiple Choice Multiple Answer
Question
Steps in cost benefit analysis
Correct Answer
Identification of a project , Formulation of the project , Appraisal and selection of the project
Your Answer
Identification of a project , Formulation of the project , Appraisal and selection of the project

Multiple Choice Multiple Answer
Question
The advantage of cost-benefit analysis are
Correct Answer
Maximization of social welfare , Objective measurement of the trade-off , Maximization of difference between total benefits & total costs
Your Answer
Maximization of social welfare , Objective measurement of the trade-off , Maximization of difference between total benefits & total costs

Select The Blank
Question
Cost-Benefit analysis aims at ________ of social wealth.
Correct Answer
maximization
Your Answer
maximization

Select The Blank
Question
Modern economists treat social cost and benefits as ________ of private investment and production decisions.
Correct Answer
externalities
Your Answer
externalities

Multiple Choice Single Answer
Question
According to many economists, the root cause of economic problem is
Correct Answer
scarcity
Your Answer
scarcity

Multiple Choice Single Answer
Question
Managerial economics aims at providing guidance to the firms for
Correct Answer
decision making
Your Answer
decision making

Multiple Choice Single Answer
Question
In case of a Joint-Stock Company, the liability of share holders is
Correct Answer
limited
Your Answer
limited

Multiple Choice Single Answer
Question
For an economist, Tata Eng & Locomotive Company Ltd is a
Correct Answer
firm
Your Answer
firm

Multiple Choice Multiple Answer
Question
Preference Shares can be classified as
Correct Answer
Simple Shares , Cumulative Shares , Redeemable Shares
Your Answer
Simple Shares , Cumulative Shares , Redeemable Shares

Multiple Choice Multiple Answer
Question
The promoters of a company can get incorporated by filing with the registrarof companies various documents such as
Correct Answer
Memorandum of Association , Articles of Association , Prospectus
Your Answer
Memorandum of Association , Articles of Association

Multiple Choice Multiple Answer
Question
Forms of Public Enterprises
Correct Answer
departmental management , company management or management by boards , public corporations
Your Answer
departmental management , public corporations , non-profit organization

Select The Blank
Question
Baumol has suggested as an alternative objective for profit maximization , the maximization of ________
Correct Answer
sales
Your Answer
sales

Select The Blank
Question
The partnership between private sector & government is called ________
Correct Answer
Joint sector enterprise
Your Answer
Joint sector enterprise

Select The Blank
Question
The minimum number of directors which public limited should have is ________.
Correct Answer
3
Your Answer
3

Multiple Choice Single Answer
Question
The profit which is surplus of revenue over and above all paid out cost is
Correct Answer
Accounting Profit
Your Answer
Gross Profit

True/False
Question
Measurement of profit becomes difficult because of the difficulty involved in the calculation of depreciation.
Correct Answer
True
Your Answer
True

Multiple Choice Single Answer
Question
In economics, demand means desire backed by adequate
Correct Answer
purchasing power
Your Answer
purchasing power

Multiple Choice Single Answer
Question
When more units of a commodity are purchased in response to decline in price of that commodity, it is called as expansion of
Correct Answer
demand
Your Answer
demand

Multiple Choice Single Answer
Question
Demand for products like tea, betel, tobacoo, sigaratte is a matter of
Correct Answer
habit
Your Answer
habit

Multiple Choice Single Answer
Question
If the substitutes are relatively cheaper then the demand for the commodity in question will be
Correct Answer
less
Your Answer
less

True/False
Question
A shift in the demand curve to the left shows increase in demand.
Correct Answer
False
Your Answer
False

True/False
Question
Demand for luxgery good is inelastic
Correct Answer
False
Your Answer
False

True/False
Question
The demand for life saving drugs is elastic.
Correct Answer
False
Your Answer
False

Select The Blank
Question
A normal demand curve has ________+B299
Correct Answer
negative slope
Your Answer
negative slope

Multiple Choice Multiple Answer
Question
Cost function denotes
Correct Answer
The prices of such inputs as labour and capital material , The rate of output , The size of the plant
Your Answer
The prices of such inputs as labour and capital material , The rate of output , The size of the plant , The cost of technology

Select The Blank
Question
The law of constant returns to scale is depicted by the marginal output curve which is ________.
Correct Answer
horizontal
Your Answer
upward sloping

Select The Blank
Question
In the 3rd stage of operation of the law of variable proportions, the marginal product becomes ________.
Correct Answer
negative
Your Answer
negative

Select The Blank
Question
The costs which cover the cost of advertising is ________.
Correct Answer
Selling cost
Your Answer
Selling cost

Multiple Choice Multiple Answer
Question
Features of Oligopoly Market are
Correct Answer
Few sellers , Restriction to entry of new firms , Price leadership
Your Answer
Few sellers , Restriction to entry of new firms , No Advertisement cost

Multiple Choice Single Answer
Question
Saving is a
Correct Answer
private virtue
Your Answer
social virtue

True/False
Question
During periods of inflation, the income of farmers as a class decreases.
Correct Answer
True
Your Answer
False

True/False
Question
To solve the unemployment problem , the level of effective demand must decrease.
Correct Answer
False
Your Answer
False

Match The Following
Question
Correct Answer
Your Answer
Prosperity
Expansion of credit
Contraction of credit
The general theory of employment, Interest and money
J.M. Keynes
J.M. Keynes
Trade cycle
Wave like movement
Wave like movement
Statutory reserve ratio
Quantitative credit control measure
Quantitative credit control measure

Multiple Choice Multiple Answer
Question
The characteristics of Inflation are
Correct Answer
Excess of demand , Sustained rise in prices , Cannot be anticipated
Your Answer
Sustained rise in prices , Cannot be anticipated , It is limited to some geographical areas

True/False
Question
Market system or market economy suffers from time to time from economic depressions.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
Main aims of the New Industrial Policy (1991) are
Correct Answer
To unshackle the indian industrial economy from the cobwebs of unnecessary bureaucratic control , To introduce liberalization with a view to integrate the indian economy with the world economy , To remove restrictions on direct foreign investment as also to free the domestic entrepreneur from the restriction of MRTP act
Your Answer
To unshackle the indian industrial economy from the cobwebs of unnecessary bureaucratic control , To introduce liberalization with a view to integrate the indian economy with the world economy , To remove restrictions on direct foreign investment as also to free the domestic entrepreneur from the restriction of MRTP act

SCDL Managerial Economics

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

Multiple Choice Single Answer
Question
In economics the question related to the selection of methods with which commodities are produced is a subject matter of
Correct Answer
theory of production
Your Answer
theory of production

Multiple Choice Single Answer
Question
In economics the questions related to the division of society’s output of goods and services among its members are topics in
Correct Answer
theory of distribution
Your Answer
theory of distribution

Multiple Choice Single Answer
Question
In economics the questions related to the dynamic or static ( otherwise) capacity of the economy to produce goods and services are topics in the
Correct Answer
theory of economic growth
Your Answer
theory of production

Multiple Choice Single Answer
Question
All the free gifts of nature which are commonly called natural resources are known to economists as
Correct Answer
Land
Your Answer
capital

Multiple Choice Single Answer
Question
All the man made resources which are used in the process of making other goods and services are called
Correct Answer
capital
Your Answer
labor

Multiple Choice Single Answer
Question
Managerial economics aims at providing help in the firms is
Correct Answer
decision making
Your Answer
decision making

True/False
Question
Economic problem is faced by poor countrys only.
Correct Answer
False
Your Answer
False

Multiple Choice Single Answer
Question
An industry is a group of firms dealing in the same line of
Correct Answer
business
Your Answer
business

True/False
Question
Micro-economics is primarily concerned with the problem of what, how and for whom to produce
Correct Answer
True
Your Answer
True

True/False
Question
Pure public goods must be in the hands of public sector only.
Correct Answer
True
Your Answer
False

Select The Blank
Question
The goods become ________ only when each individual has an access to the entire amount of it and its use by the individual does not reduce its availability to others.
Correct Answer
indivisible
Your Answer
public

Select The Blank
Question
The externality which causes an economic gain or an economic loss to other economic units is also referred to as ________ externality.
Correct Answer
Pecuniary
Your Answer
Economic

Select The Blank
Question
In a market economy ________ is the best judge of personal interest.
Correct Answer
individual
Your Answer
firm

Match The Following
Question
Correct Answer
Your Answer
Managerial economics
Decision making and forward planning
Decision making and forward planning
Resources
Scarce
Scarce
Commodities
Goods and services
Goods and services
Human wants
Unlimited
Unlimited

Match The Following
Question
Correct Answer
Your Answer
General theory of employment, interest and money
J. M. Keynes
J. M. Keynes
Inflation
Reduction in purchasing power
Reduction in purchasing power
Services
Intangible goods
Intangible goods
Methods of production of commodities
Theory of production
Theory of production

Multiple Choice Multiple Answer
Question
The characteristics of a sole proprietorship firm is
Correct Answer
Unlimited Capital , Ownership by a single person , Easy to form
Your Answer
Ownership by a single person , Easy to form

Multiple Choice Multiple Answer
Question
Different types of business organizations are
Correct Answer
private sector , public sector , joint sector
Your Answer
private sector , public sector , joint sector

Select The Blank
Question
Reasonable profit target as an alternative to the objective of profit maximization was suggested by ________.
Correct Answer
Joel Dean
Your Answer
Joel Dean

Select The Blank
Question
The form of organization which is best for self employment is ________.
Correct Answer
Sole trader
Your Answer
Sole trader

Multiple Choice Single Answer
Question
Economic Profit takes in to account the
Correct Answer
implicit cost
Your Answer
implicit cost

True/False
Question
In any business, while formulating a profit policy, the possibility of emergence of rival firms must be taken in to account
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
The payments made out of the Gross Profit are
Correct Answer
Remuneration to factors of production , Depreciation , Maintenance Charges
Your Answer
Remuneration to factors of production , Depreciation , Maintenance Charges

Multiple Choice Multiple Answer
Question
reasonable profit' are
Correct Answer
Capital Attraction , Plough Back , Normal earnings
Your Answer
Capital Attraction , Plough Back , Normal earnings

Multiple Choice Single Answer
Question
Complementary goods are demanded
Correct Answer
jointly
Your Answer
separately

Multiple Choice Single Answer
Question
Emergence of close substitutes to the commodity in question may bring about demand to
Correct Answer
decrease
Your Answer
decrease

Multiple Choice Single Answer
Question
The demand for a commodity depends on the prices of its substitutes which are
Correct Answer
relative
Your Answer
relative

True/False
Question
Demand curve slopes downwards from left to right.
Correct Answer
True
Your Answer
True

Select The Blank
Question
The index numbers which measure the changes in the general price level of a country refers to ________
Correct Answer
Wholesale prices index
Your Answer
Wholesale prices index

Multiple Choice Multiple Answer
Question
Different types of Elasticity of Demand are
Correct Answer
Price elasticity of demand , Income elasticity of demand , Cross elasticity of demand
Your Answer
Price elasticity of demand , Income elasticity of demand , Cross elasticity of demand

Multiple Choice Single Answer
Question
If the increase in all factors leads to a less than proportionate increase in output, then the returns to scale are
Correct Answer
decreasing
Your Answer
decreasing

True/False
Question
The supply of factory made goods of daily consumption is inelastic.
Correct Answer
False
Your Answer
True

Multiple Choice Multiple Answer
Question
Major types of costs are
Correct Answer
Accounting costs , Economic costs , Opportunity costs
Your Answer
Accounting costs , Economic costs , Opportunity costs

Select The Blank
Question
Output rises in a lesser proportion to that of the increase in input, under the case of ________.
Correct Answer
decreasing returns to scale
Your Answer
decreasing returns to scale

Select The Blank
Question
If the output rises in the greater proportion than that of the increase in factor inputs, it is referred to as ________.
Correct Answer
increasing returns to scale.
Your Answer
increasing returns to scale.

Multiple Choice Single Answer
Question
Under monopoly the demand curve slopes
Correct Answer
downward
Your Answer
downward

Multiple Choice Single Answer
Question
Dalal Street in Bombay is known as
Correct Answer
Bombay Stock Exchange
Your Answer
Bombay Stock Exchange

Multiple Choice Single Answer
Question
The city of Banaras has specialized in the manufacture of
Correct Answer
silk
Your Answer
silk

True/False
Question
A firm under perfect competition is a price maker.
Correct Answer
False
Your Answer
False

True/False
Question
Long period supply is relatively inelastic.
Correct Answer
False
Your Answer
True

Multiple Choice Multiple Answer
Question
Features of the firm are
Correct Answer
It is a business unit organized under one ownership , It is a sole proprietorship , It is a partnership or joint stock company
Your Answer
It is a business unit organized under one ownership , It is a sole proprietorship , It is a partnership or joint stock company

Multiple Choice Multiple Answer
Question
Equilibrium is the stage of
Correct Answer
maximum satisfaction , balance , stationary
Your Answer
maximum satisfaction , balance , stationary

True/False
Question
The Keynesian theory emphasizes effective supply as a crucial factor in determining the level of income and employment.
Correct Answer
False
Your Answer
True

Multiple Choice Single Answer
Question
According to the Government, the buildup of inflationary pressure during the Nineties was attributed to
Correct Answer
Higher Fiscal deficit
Your Answer
Higher Fiscal deficit

True/False
Question
The government also fixes minimum procurement prices for major crops on the recommendation of the Agricultural Prices Commission (APC).
Correct Answer
True
Your Answer
True

True/False
Question
There is considerable slush money with politicians & Government servants.
Correct Answer
True
Your Answer
True

Multiple Choice Multiple Answer
Question
Government intervention is needed in free market mechanism to
Correct Answer
To provide employment to all who willing to work at prevailing wage rate , Factors of production are optimally allocated between the various industries , All will get sufficient income to meet their basic needs
Your Answer
To provide employment to all who willing to work at prevailing wage rate , Factors of production are optimally allocated between the various industries , All will get sufficient income to meet their basic needs

Multiple Choice Multiple Answer
Question
Defects of Market System
Correct Answer
Inequalities of income and wealth , Emergence of monopolies , Failure to provide full employment
Your Answer
Inequalities of income and wealth , Emergence of monopolies , Failure to provide full employment

SCDL Managerial Economics

Select The Blank
Question The sum of all individual demands constitutes________
Correct Answer market demand
Your Answer market demand

True/False
Question Under perfect competition, price is determined by the interaction of total demand and total supply in the market.
Correct Answer False
Your Answer True

Multiple Choice Single Answer
Question Price of a product under perfect competition is determined by the interaction of total supply and
Correct Answer total demand
Your Answer total demand

Select The Blank
Question The cost which enter the accounts book of the firm are referred as ________.
Correct Answer Accounting cost
Your Answer Accounting cost

Multiple Choice Multiple Answer
Question Keynes’s theory of employment explains
Correct Answer Effective demand , Aggregate Supply Aggregate demand
Your Answer Effective demand , Aggregate supply , Aggregate demand

Multiple Choice Single Answer
Question The type economic problem is
Correct Answer universal
Your Answer universal

Multiple Choice Single Answer
Question An individual consumer or particular market for a given commodity are the subject matter of
Correct Answer Micro Economics
Your Answer Micro Economics

Multiple Choice Multiple Answer
Question Features of the firm are
Correct Answer It is a business unit organized under one ownership , It is a sole proprietorship , It is a partnership or joint stock company
Your Answer It is a business unit organized under one ownership , It is a sole proprietorship , It is a partnership or joint stock company

Multiple Choice Single Answer
Question Whether the economy's capacity to produce goods and services is growing from year to year or remaining static is studied under the
Correct Answer Theory of economic growth
Your Answer Theory of economic growth

Multiple Choice Multiple Answer
Question Co-operative organizations is
Correct Answer voluntary organization , managed by democratic principle , organization, which performs its business within the members
Your Answer voluntary organization , managed by democratic principle , non profit motive organization

Multiple Choice Multiple Answer
Question Assumptions underlying the law of Supply are
Correct Answer The cost of production is unchanged , No change in technique of production , Government policies are unchanged
Your Answer The cost of production is unchanged , No change in technique of production , Government policies are unchanged

True/False
Question Macro-economies is a policy oriented science.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question Expansion of supply is shown by the movement in the supply curve which is
Correct Answer upward
Your Answer upward

Multiple Choice Single Answer
Question Liability of a sole trader is
Correct Answer unlimited
Your Answer unlimited

Select The Blank
Question If the out put risesin the greater proportion than that of the increase in factor inputs, it is referred to as ________.
Correct Answer increasing returns to scale.
Your Answer increasing returns to scale.

Select The Blank
Question An upward sloping demand curve is called ________
Correct Answer exceptional demand curve
Your Answer exceptional demand curve

Multiple Choice Single Answer
Question Every nation’s resources which are used to produce the quantities of goods and services that would be required to satisfy all its citizen’s wants are
Correct Answer insufficient
Your Answer insufficient

Multiple Choice Single Answer
Question The act of making goods and services is called
Correct Answer production
Your Answer production

Multiple Choice Single Answer
Question Question related to the efficient production and allocation belong to the branch of economic theory called
Correct Answer Welfare Economics
Your Answer Welfare Economics

Multiple Choice Single Answer
Question The act of using goods and services to satisfy wants is called
Correct Answer consumption
Your Answer consumption

Multiple Choice Multiple Answer
Question Explicit costs are
Correct Answer Out of pocket costs , These are firms accounting expenses , Expenditure costs
Your Answer Out of pocket costs , These are firms accounting expenses , Expenditure costs

Select The Blank
Question In the 3rd stage of operation of the law of variable proportions, the marginal product becomes ________.
Correct Answer negative
Your Answer negative

True/False
Question The Keynesian theory emphasizes effective supply as a crucial factor in determining the level of income and employment.
Correct Answer False
Your Answer False

Multiple Choice Single Answer
Question The things that are produced by factors of production are called
Correct Answer commodities
Your Answer commodities

Select The Blank
Question By ' profits', the accountant means total revenue minus________.
Correct Answer Explicit costs
Your Answer Explicit costs

Multiple Choice Single Answer
Question All the buyers and sellers operating under perfect competition have knowledge which is
Correct Answer perfect
Your Answer perfect

Match The Following
Question Correct Answer Your Answer

Resource allocation decisions in free market economy Theory of price Theory of price
Economic problem Universal Universal
Managerial Economics Applied branch of knowledge Applied branch of knowledge
Inflation Reduction in purchasing power Theory of price
Waste of resources Involuntary unemployment Involuntary unemployment


Multiple Choice Multiple Answer
Question 16. The phase of recovery denotes
Correct Answer More employment opportunities , Increase in profitability , Wage rate increase
Your Answer More employment opportunities , Increase in profitability , Wage rate increase

Select The Blank
Question Supply is predominantly determined by ________.
Correct Answer stock
Your Answer demand

Select The Blank
Question The form of organization which is best for self employment is ________.
Correct Answer Sole trader
Your Answer Sole trader

Multiple Choice Single Answer
Question The suggestion of maximization of balanced growth rate as another alternative objective of a firm's profit is suggested by
Correct Answer Prof. Morris
Your Answer Baumol

True/False
Question Under perfect competition,firms are free to enter and exit in the market.
Correct Answer True
Your Answer True

Multiple Choice Single Answer
Question J.M. Keynes, on the basis of a fundamental psychological law of consumption, observed that as income increases, consumption also increases, but proportionately
Correct Answer less
Your Answer less

Multiple Choice Single Answer
Question The Risk theory of profit was developed by
Correct Answer Hawley
Your Answer Hawley

True/False
Question The congress government led by Narsimha Rao announced the New Industrial Policy in July 1991.
Correct Answer True
Your Answer True

Select The Blank
Question Perfectly elastic demand curve is ________
Correct Answer horizontal
Your Answer horizontal

True/False
Question The distinction between fixed costs and variable costs is relevant in the short period only.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question The term externalities may also be referred as:
Correct Answer Spill-over effects , Neighborhood effects , Third party effects
Your Answer Spill-over effects , Neighborhood effects , Third party effects

Multiple Choice Multiple Answer
Question Methods of forecasting demand for new products are
Correct Answer Product life cycle analysis,Test Marketting, Evolutionary approach
Your Answer Evolutionary approach

Multiple Choice Single Answer
Question Often monopolies purposely keep certain factors of production idle creating artificial scarcities of their products as a result the prices
Correct Answer rise
Your Answer rise

Multiple Choice Multiple Answer
Question The methods of calculating depreciation is
Correct Answer Diminishing Balance Method , Annuity Method , Service Unit Method
Your Answer Diminishing Balance Method , Annuity Method , Service Unit Method

Match The Following
Question Correct Answer Your Answer

Human wants unlimited unlimited
General Theory of Employment, Interest and Money J. M. Keynes J. M. Keynes
Managerial economics Decision making and forward planning Decision making and forward planning
Resources scarce scarce
Commodities goods and services goods and services


Select The Blank
Question In the context of formulating an investment project, ________ feasibility means the availability of supervisors for implementing and running the project smoothly and professionally.
Correct Answer management
Your Answer management

True/False
Question The sum of total fixed costs and total variable costs is the total cost.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer
Question Features of Market are
Correct Answer Place where buyers and sellers meet each other , A building where a number of shops dealing in a particular commodity exist , A place where transaction of goods and services is undertaken
Your Answer Place where buyers and sellers meet each other , A building where a number of shops dealing in a particular commodity exist , A place where transaction of goods and services is undertaken

Multiple Choice Single Answer
Question Managerial economics is also understood to refer to
Correct Answer applied economics
Your Answer applied economics

True/False
Question Private profit motive is an essential feature of Capitalism.
Correct Answer True
Your Answer True