ECONOMICS AND BUSINESS ENVIRONMENT - CSEET MCQ SERIES 9

1. is an online procurement platform for government ministries and departments, and the most widely used channel for public procurement in India.

a. Government e Manufacturing Plan

b. Government e Model place

c. Government e Marketplace

d. Government e Manufacturing place

2. The Law of Demand governs the relationship between the and the .

a. Desire and Price.

b. Desire and Ability.

c. Quantity demanded and Desire.

d. Quantity demanded and Price.

3. In which of the following case / cases, the law of demand is not applicable?

a. Giffen goods

b. Articles of snob appeal

c. Speculation

d. All of the above

4. is Gross Domestic Product (GDP) plus net factor income from abroad

a. Net Domestic Product

b. Gross National Product

c. Net National Product

d. Gross Domestic Product

5. If Cross Elasticity of Demand is equal to Infinity for commodities X and Y, then it implies:

a. Commodities X and Y are not related.

b. Commodity X is nearly a perfect substitute for commodity Y.

c. Commodities X and Y are complementary

d. Commodities X and Y are inferior goods.

6. Expenditure incurred for adding to the stock of inventories is covered under which of the following under the Expenditure Method of computing National Income?

a. Consumption Expenditure

b. Investment Expenditure

c. Government Expenditure

d. Net Exports

7. Under Non-Banking Finance Company a / an means any company which is a financial institution carrying on as its principal business the acquisition of securities

a. Investment Company

b. Asset Finance Company

c. Infrastructure Finance Company

d. Loan Company

8. The refers to the amount of a good producers are willing to supply when receiving a certain price

a. Quantity Procured

b. Quantity Stored

c. Quantity Produced

d. Quantity Supplied

9. is income obtained by private individuals from any source, productive or otherwise, and the retained income of corporations

a. Personal income

b. National income

c. Private income

d. Personal Disposable income.

10. is expenditure incurred on by business firms on a) new plants,

b) adding to the stock of inventories and c) on newly constructed houses

a. Investment expenditure

b. None of the above

c. Consumption expenditure

d. Net exports

11. If the demand for a commodity rises more than in proportion to rise in income then the income elasticity of demand will be .

a. Unity

b. Less than zero

c. Greater than unity

d. Greater than zero but less than one

12. Loans obtained from Reserve Bank of India (RBI) by the Central Government will be covered under which of the following budgets?

a. Revenue Budget

b. Capital Budget

c. Sales Budget

d. Cash Budget

13. The primary objective of was to meet the challenge of skilling at scale with speed, standard and sustainability

a. National Policy for Skill Development and Earning Capacity

b. National Policy for Skill Determination and Entrepreneurship

c. New Policy for Skill Development and Earning Capacity

d. National Policy for Skill Development and Entrepreneurship

14. Which of the following is not covered under commercial banks?

a. Public sector Banks

b. Private sector Banks

c. Regional Rural Banks

d. Cooperative Banks

15. The latin phrase ‘Ceteris Paribus’ means:

a. Other things are beyond imagination

b. Other things remaining the same

c. No presence of any factors

d. Other things being changeable

16. The Revenue Budget records all _ and

a. Revenue receipts and Revenue expenditures

b. Revenue receipts and Capital expenditure

c. Revenue expenditure and Capital expenditure

d. Revenue receipts and Capital receipts

17. Which of the following banks cannot provide loans or involve in lending activities?

a. Public sector banks

b. Foreign banks

c. Private sector banks

d. Payments banks

18. Commercial banks are regulated under the

a. Negotiable Instruments Act, 1881

b. Indian Companies Act, 2013

c. Indian Contract Act, 1872

d. Banking Regulation Act, 1949

19. “The products in the market are homogenous, i.e. they are completely identical”, is the assumption of which form of market competition?

a. Duopoly

b. Monopoly

c. Monopolistic Competition

d. Perfect Competition

20. National Skill Development Corporation was set up by

a. Ministry of Finance

b. Ministry of Statistics and Programme Implementation

c. Ministry of Agriculture

d. Ministry of Human Resource Development

21. ‘No change in consumers’ income’, is the assumption of which of the following laws of Economics?

a. Law of Supply

b. Law of Increasing Returns to Scale

c. Law of Diminishing Returns to Scale

d. Law of Demand

22. If ep = 0, then it signifies:

a. Perfectly Elastic Demand

b. Perfectly Inelastic Demand

c. Relatively Inelastic Demand

d. Unitary Elastic Demand

23. Jammu and Kashmir Bank is which form of bank?

a. Public Sector Bank

b. Foreign Bank

c. Payments Bank

d. Private Sector Bank

24. From the following information calculate Gross National Product at Market Price.

GDP at Factor Cost = INR 1000 Crore GDP at Market Price = INR 3000 Crore Net Income from Abroad = INR 200 Crore

a. INR 4000 Crore

b. INR 3200 Crore

c. INR 4200 Crore

d. INR 3200 Crore

25. Salaries, subsidies and interest payments are part of in union budget.

a. Revenue Expenditure

b. Indirect Expenditure

c. Direct Expenditure

d. Capital Expenditure

26. Consumer spending less on luxury items like car due to recession will fall under which of the following business environment?

a. Political Environment

b. Social Environment

c. Technological Environment

d. Economic Environment

27. if any, must be deducted from the value added while

calculating national income as per the Product Method, as it does not result into real increase in output.

a. Stock Depreciation

b. Stock Loss due to theft

c. Stock Appreciation

d. Stock Insured

28. are issued to exceptional employees or directors of the

company for their exceptional job in terms of providing know-how or intellectual property rights to the company.

a. Sweat equity shares.

b. Sweat preference shares.

c. Sweat convertible debentures.

d. Sweat redeemable preference shares.

29. From the following information compute Gross National Product according to Expenditure Method.

Private Consumption Expenditure (C) = INR 1000 crore Gross Domestic Private Investment (I) = INR 2000 crore

Government Expenditure on Goods and Services (G) = INR 3000 crore Net Exports = INR 500 crore

Transfer Payments = INR 500 crore Depreciation = INR 1000 crore

a. INR 4,500 crore

b. INR 4,000 crore

c. INR 5,000 crore

d. INR 6,500 crore

30. refers to market value of the final goods and services produced within the domestic territory of a country during a financial year, as estimated using the current year prices.

a. Real National Product

b. Net Domestic Product

c. Nominal Gross Domestic Product

d. Real Gross Domestic Product

31. Personal income is never equal to the national income, because the former includes the whereas they are not included in the national income.

a. Factor payments

b. Income payments

c. Transfer payments

d. Foreign payments

32. The proposals of the government for levy of new taxes, modification of the existing tax structure or continuance of the existing tax structure beyond the period approved by Parliament are submitted to Parliament through

.

a. Finance Bill

b. Ordinary Bill

c. Appropriation Bill

d. Expenditure Bill

33. If the entrepreneur wants to have global appeal, there is a need to attend conferences and reach out internationally to learn how to move into other markets. The entrepreneur must become relevant to the world.

The above mentioned para is an advisory to overcome which of the following bottlenecks in entrepreneurial growth?

a. Inefficient time management.

b. Lack of money.

c. A small (or non-existent) network.

d. Growing too much too soon.

34. Disinvestment receipts is covered under which of the following?

a. Master Budget

b. Capital Budget

c. Revenue Budget

d. Exports Budget

35. If a company invests heavily in adopting Artificial Intelligence to improve its production efficiency, then this initiative will be covered under which of the following factors influencing the business environment?

a. Technological

b. Political

c. Social

d. Legal

11 c 31 c

12 b 32 a

13 d 33 c

14 d 34 b

15 b 35 a

16 a

17 d

18 d

19 d

20 a

21 d

22 b

23 d

24 d

1 c

2 d

3 d

4 b

5 b

25 a

6 b 26 d

7 a 27 c

8 d 28 a

9 c 29 d

10 a 30 c