MCQ ON b Usiness e Nvironment PDF

Preview

Summary

Business Environment ...

Description

1. Which of the following is not a feature of Business environment (a) Interrelated Elements (b) Dynamics (c) Complexity (d) Continuous Answer d 2. Identification of opportunities to get first more advantage is one of the importance of business environment (a) True (b) False (c) Cannot say Answer a 3. Which of the following does not explain the impact of government policy changes on business & industry (a) Increasing competition (b) More demanding market customers (c) Market orientations (d) Change in agricultural prices Answer d 4. ________ refers to negative and unfavourable external factors that are likely to create hurdles for a firm:(a) Opportunities (b) Warning (c) Threats (d) None of these Answer c 5. Which of the following are the dimensions of the business environment:(a) Economic & Social (b) Technological & Economic (c) Legal & Social (d) All of the above Answer d 6. By which act does the government check restrictive trade? A. MRTP Act B. FEMA act C. Industrial Policy Act 1991 D. None of these Answer: A 7. Globalization is the term used to describe process of removal of restriction on A. Investment B. Foreign Trade C. Both (A) and (B) D. None of the above Answer: C 8. Which one is not the main objective of Fiscal Policy in India? A. To promote employment opportunities B. To minimize the inequalities of income and wealth C. To promote price stability D. To increase liquidity in economy Answer: D

9.

The Industrial policy resolution was passed first in A. 1947 B. 1956 C. 1931 D.1999 Answer: B

10. Reasons for adopting globalization A.Profit advantage B.Growth Opportunity C. Domestic Market Constraints D.Spin off benefits Answer: D 11. In which of the following basic categories can business environment be divided? A. Local and Regional B. Regional and National. C. Internal and External. D. Financial and Nonfinancial. ANSWER: C 12. Economic environment refers to all forces which have a _____. A. political. B. natural C. economic. D. social. ANSWER: C 13. Factors that create opportunities and threats to business units is known as_______. A. internal environment. B. external environment. C. micro environment. D. macro environment. ANSWER: D 14. Internal factors affecting a business environment also are referred to ____factors. A. controllable. B. uncontrollable factors. C. relevant. D. global. ANSWER: A 15. What are the elements of business ethics? A. Values rights and duties. B. attitudes pressure and environment. C. value environment and attitude. D. Responsibilities. ANSWER: A

16.The economic system in which business units or factors of production are privately owned and governed is called as______. A. capitalism. B. socialism. C. democratic. D. republic. ANSWER: A 17.The economic system in which both public and private sectors co exist is known as ___economy. A. capitalism. B. socialism. C. democratic. D. republic. ANSWER: B 18. Fiscal policy refers to the policy of government regarding taxation public expenditure and ____. A. public debt. B. budgets. C. policies. D. deposits. ANSWER: B 19.Industrial policy of 1948 aimed at ______. A. industrialization B. growth of agriculture. C. development of infrastructure . D. development of service sector. ANSWER: A 20. India is good example for ________economy. A. socialist. B. mixed . C. capitalist. D. communist. ANSWER: B 21. Business includes _____. A. non-economic activities. B. economic activities. C. social activities. D. production activities. ANSWER: B 22. Micro environment is also called as ________. A. general environment. B. operating environment. C. economics environment. D. political environment. ANSWER: B

23.What are the main concepts concerning about business goals or objectives? A. Mission, objectives. B. Mission , targets. C. Mission, objectives, target. D. Target, objectives. ANSWER: C 24.A valid definition of a business purpose is to _______. A. create a customer. B. maximize profits. C. serve the society. D. increase the wealth in the firm. ANSWER: A 25. _______is the primary motive for a business enterprise. A. Profit. B. Maximize customers. C. Human objective. D. Maximize suppliers. ANSWER: A 26. What is the nature of business environment? A. Aggression. B. Relative. C. Uncertain. D. Aggression, Relative and Uncertain. ANSWER: D 27. What is the significance of business environment? A. First Mover Advantage. B. Competition. C. Information. D. Globalization. ANSWER: A 28. Economic growth can be measured by ___________. A. the CPI. B. the CBI. C. GDP. D. MPC. ANSWER: C 29. Capitalism stresses the philosophy of individualism believing in private Ownership comes under ____. A. legal planning. B. soviet planning. C. government planning. D. agricultural planning. ANSWER: A

30. In which year socialism the tools production are not managed by government? A. 1952. B. 1950. C. 1951. D. 1953. ANSWER: B 31. In capitalism ____ losses assumed by the customers. A. economics. B. technological. C. natural. D. social. ANSWER: B 32. Depreciation is permitted in communism ________. A. legal planning. B. soviet planning. C. government planning D. agricultural planning ANSWER: A 33. In communism the state determines one s employer and employment ____. A. socialism. B. economics. C. communism. D. capitalism. ANSWER: A 34. The _____ socialism seems to fall between capitalism and communism ____. A. increased. B. decreased. C. lowlevel. D. medium. ANSWER: A 35. Governments policy towards industries is called as ________. A. economic policy. B. industrial policy. C. monetary policy. D. work policy ANSWER: B 36. Industrial policy was set up in the year _______. A. 1955. B. 1956. C. 1957. D. 1958. ANSWER: B 37. The liberalization of the rules relating to FDI permitting _______% equity in wide range of Industries. A. 50. B. 51. C. 52. D. 53. ANSWER: B 38. The major responsibility of RBI is __________. A. healthy regulation. B. monetary regulation. C. work regulation . D. industrial regulation. ANSWER: B

39. Special Economic Zones are A. situated outside India, but subject to RBI control B. treated as foreign territory and not Indian laws C. governed by international and not Indian laws D. prohibited from buying from Domestic Tariff Area ANSWER: B 40. Excise duty exemption on exports is available for duty paid on A. finished products only B. components only C. finished products and components D. imported items ANSWER: C 41. The foreign Trade (Regulation) Rules was passed in the year A. 1991 B. 1992 C. 1993 D. 1994 ANSWER: C 42. The process of acquiring technology from other country is called A. Licensing B. Franchising C. Technology Transfer. D. Joint Venture ANSWER: C 43. The EXIM policy 2002-2007 coincides with the A. 7th Five year plan B. 8th Five year plan C. 9th Five year plan D. 10th Five year plan ANSWER: D 44. The WTO Agreement related to investment measures is. A. TRIPS B. TRIMS. C. GATS D. TCA. ANSWER: B 45. Fiscal Policy of India is formulated by A. the Finance Ministry B. the Reserve Bank of India C. the Securities and Exchange Board of India D. the Planning Commission Ans: A 46. Which of the following is an indirect tax A. Excise tax B. Capital gains tax C. Wealth tax D. Corporation tax Answer B 47. What is the underlying characteristic of the WTO?  (a) It facilitates economic co-operation between different countries  (b) It resolves disputes between economic trade blocks  (c) It facilitates the development of less developed countries  (d) It acts as an umbrella institution that regulates the agreements concluded at the Uruguay round, the organization’s ultimate goal being the promotion of free international trade ANSWER D...