MCQOPTIONS
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MCQOPTIONS
This section includes 452 Mcqs, each offering curated multiple-choice questions to sharpen your Bachelor of Business Administration (BBA) knowledge and support exam preparation. Choose a topic below to get started.
| 401. |
Which of the following is not true about final goods ? |
| A. | final gods satisfy wants of ultimate consumers and producers. |
| B. | final goods have direct demand as they satisfy the wants directly. |
| C. | final goods are subject to further transformation in the process of production. |
| D. | final goods are neither used up as raw-material nor for resale in the same year. |
| Answer» D. final goods are neither used up as raw-material nor for resale in the same year. | |
| 402. |
An Indian farmer produces wheat without incurring cost of inputs alll sells for Rs. 1,000 to a miller who grinds wheat into flour and sells for Rs 1,200 to baker. The baker sells bread to consumers for Rs. 1,600. Total added is Rs. |
| A. | 1,600 |
| B. | 2,200 |
| C. | 1,000 |
| D. | 1,400 |
| Answer» B. 2,200 | |
| 403. |
If factor cost is greater than marker price, it means that |
| A. | indirect taxes < subsidies (subsidy> indirect taxes) |
| B. | indirect taxes > subsidies |
| C. | i.t = subsidies |
| D. | none |
| Answer» B. indirect taxes > subsidies | |
| 404. |
Which of the following is not a component of domestic income? |
| A. | operating surplus |
| B. | compensation of employees |
| C. | net factor income from abroad |
| D. | mixed income |
| Answer» D. mixed income | |
| 405. |
Output means. ……………unless stated otherwise |
| A. | gross output at mp (gdpmp) |
| B. | net output at mp |
| C. | gross output at fc |
| D. | none |
| Answer» B. net output at mp | |
| 406. |
Which sector contributes the most to India's economy? |
| A. | service sector |
| B. | manufacturing sector |
| C. | agricultural sector |
| D. | small scale industries |
| Answer» B. manufacturing sector | |
| 407. |
If the contribution of the agricultural sector is decreasing in a country's economy, then what conclusion can be drawn? |
| A. | the country is growing in the direction of being a developed nation |
| B. | the country is moving towards becoming developing nation |
| C. | the country is moving towards becoming less developed nation |
| D. | the economic growth rate of the country has stopped |
| Answer» B. the country is moving towards becoming developing nation | |
| 408. |
How much does the primary sector contribute to India's GDP? |
| A. | 26% |
| B. | 20% |
| C. | 53% |
| D. | 14% |
| Answer» C. 53% | |
| 409. |
Which state of India currently has the highest Per Capita Income? |
| A. | goa |
| B. | delhi |
| C. | maharashtra |
| D. | punjab |
| Answer» B. delhi | |
| 410. |
Which Ministry is responsible for calculating GDP in India? |
| A. | ministry of finance |
| B. | ministry of commerce and industry |
| C. | ministry of central statistical and program implementation |
| D. | ministry of consumer affairs |
| Answer» D. ministry of consumer affairs | |
| 411. |
If savings exceed investment then: |
| A. | national income rises |
| B. | national income falls |
| C. | national income is not affected |
| D. | none of the above |
| Answer» C. national income is not affected | |
| 412. |
This statement is true |
| A. | ni = rent + interest + wages + profit |
| B. | ni = rent + interest + wages + taxes |
| C. | ni = govt. expenditure + interest + wages + profit |
| D. | ni = rent + interest + wages + pensions |
| Answer» B. ni = rent + interest + wages + taxes | |
| 413. |
Personal income includes: |
| A. | direct taxes |
| B. | indirect taxes |
| C. | depreciation |
| D. | none of these |
| Answer» B. indirect taxes | |
| 414. |
Which is a flow concept: |
| A. | number of my shirts |
| B. | my total wealth |
| C. | my monthly income |
| D. | money supply |
| Answer» D. money supply | |
| 415. |
To avoid double counting when GDP is estimated, economists: |
| A. | use gdp deflator |
| B. | calculate value added at each stage of production |
| C. | use retail prices |
| D. | use price of only intermediate goods |
| Answer» C. use retail prices | |
| 416. |
Which is the largest figure: |
| A. | nnp |
| B. | gnp |
| C. | pi (disposable personal income) |
| D. | pi (personal income) |
| Answer» C. pi (disposable personal income) | |
| 417. |
Select the correct statement: |
| A. | transfer payment are included in national income |
| B. | depreciation allowance is a part of gnp |
| C. | taxes are not included in nnp |
| D. | gdp means gross direct production |
| Answer» C. taxes are not included in nnp | |
| 418. |
There are methods of measuring national income: |
| A. | 5 |
| B. | 2 |
| C. | 1 |
| D. | 3 |
| Answer» E. | |
| 419. |
Which sector contributes the most to India's economy in terms of GDP? |
| A. | service sector |
| B. | manufacturing sector |
| C. | agricultural sector |
| D. | small scale industries |
| Answer» B. manufacturing sector | |
| 420. |
Which statement is true? |
| A. | national expenditure = national income |
| B. | national expenditure = national income + national savings |
| C. | national expenditure = national income + taxes |
| D. | national expenditure = national income – taxes |
| Answer» B. national expenditure = national income + national savings | |
| 421. |
If we compare GDP and GNP, then: |
| A. | gnp = gdp - net income from abroad |
| B. | gnp = gdp + net income from abroad (r-p) ……. gdp+(r-p) |
| C. | gnp = nnp - net income from abroad |
| D. | gnp = nnp + net income from abroad |
| Answer» C. gnp = nnp - net income from abroad | |
| 422. |
Which is not added in the calculation of national income of India? |
| A. | the value of goods and services |
| B. | the sold value of the old fridge |
| C. | services rendered by the housewives |
| D. | both [b] & [c] |
| Answer» E. | |
| 423. |
Which of the following is considered as financial year in India? |
| A. | april 1 to march 31 |
| B. | january 1 to december 31 |
| C. | march 1 to april 30 |
| D. | march 16 to march 15 |
| Answer» B. january 1 to december 31 | |
| 424. |
Consider the following statements and identify the right ones. i. National income is the monetary value of all final goods and services produced. ii. Depreciation is deducted from gross value to get the net value |
| A. | i only |
| B. | ii only |
| C. | both |
| D. | none |
| Answer» D. none | |
| 425. |
What is the net value of GDP after deducting depreciation from GDP(Gross domestic product)? |
| A. | net national product |
| B. | net domestic product |
| C. | gross national product |
| D. | disposable income |
| Answer» C. gross national product | |
| 426. |
When depreciation is deducted from GNP, the net value is |
| A. | net national product (nnp) |
| B. | net domestic product |
| C. | gross national product |
| D. | disposable income |
| Answer» B. net domestic product | |
| 427. |
The value of NNP at consumer point is called the |
| A. | nnp at factor cost |
| B. | nnp at market price |
| C. | gnp at market price |
| D. | gnp at factor cost |
| Answer» C. gnp at market price | |
| 428. |
The average income of a country is called |
| A. | per capita income |
| B. | disposable income |
| C. | inflation rate |
| D. | real national income |
| Answer» B. disposable income | |
| 429. |
Which of the following is/are the goals of macroeconomics-----------? |
| A. | to achieve higher level of gdp |
| B. | to achieve higher level of employment |
| C. | stability of prices |
| D. | all the above |
| Answer» E. | |
| 430. |
The value of NNP at production point is called |
| A. | nnp at factor cost |
| B. | nnp at market price |
| C. | gnp at market price |
| D. | gnp at factor cost |
| Answer» B. nnp at market price | |
| 431. |
In macroeconomics, we study about ------------------ |
| A. | theory of national income & employment |
| B. | theory of money supply & price level |
| C. | theory of international trade & eco growth |
| D. | all of the above. |
| Answer» E. | |
| 432. |
The term ‘macro’ has been derived from-------------- |
| A. | greek word ‘makros’ which means large |
| B. | english word ‘makros’ which means large |
| C. | greek word ‘makros’ which means small |
| D. | french word ‘makros’ which means large |
| Answer» B. english word ‘makros’ which means large | |
| 433. |
Macroeconomics became popular after------------- |
| A. | great depression of 1929- 33 |
| B. | 1972-73 |
| C. | 1996- 97 |
| D. | 2006- 07 |
| Answer» B. 1972-73 | |
| 434. |
The basic factors of production are land, labour, capital and, |
| A. | enterprise |
| B. | investment |
| C. | machinery |
| D. | resources |
| Answer» B. investment | |
| 435. |
In Economics, a good is something which, |
| A. | is a service |
| B. | can be a service |
| C. | appears appealing |
| D. | satisfies wants and needs |
| Answer» E. | |
| 436. |
What do you mean by a mixed economy? |
| A. | modern and traditional industries |
| B. | public and private sectors |
| C. | foreign and domestic investments |
| D. | commercial and subsistence farming |
| Answer» C. foreign and domestic investments | |
| 437. |
Statistics such as GDP, the unemployment rate, the rate of inflation and the trade balance are: |
| A. | macro, since they tell us something about the entire economy |
| B. | neither macro nor micro, but properly in the realm of political science |
| C. | both micro and macro |
| D. | micro, since they affect individual households and firms |
| Answer» B. neither macro nor micro, but properly in the realm of political science | |
| 438. |
In a market economy: |
| A. | households decide which firms to work for and what to buy with their incomes |
| B. | profit and self-interest guide the decisions of firms and households |
| C. | firms decide whom to hire and what to produced. |
| D. | all of the above are true |
| Answer» E. | |
| 439. |
_________ is the subject matter of Macroeconomics. |
| A. | growth theory |
| B. | factory pricing |
| C. | market structure |
| D. | individual incomes |
| Answer» B. factory pricing | |
| 440. |
For economists, statements about the world are of two types: |
| A. | assumptions and theories |
| B. | positive statements and negative statements |
| C. | positive statements and normative statements |
| D. | specific statements and general statements |
| Answer» D. specific statements and general statements | |
| 441. |
Micro and Macro approaches are ________. |
| A. | competitive |
| B. | alternative |
| C. | substitutes |
| D. | complementary |
| Answer» E. | |
| 442. |
Macroeconomics does not study _________. |
| A. | whole economy |
| B. | national income |
| C. | aggregate supply |
| D. | product pricing) |
| Answer» E. | |
| 443. |
The credit of development of macroeconomic approach must go to ________. |
| A. | dr. marshall |
| B. | prof. pigou |
| C. | lord keynes |
| D. | mrs. joan robinson) |
| Answer» D. mrs. joan robinson) | |
| 444. |
___________economics can study the problem of Inflation in the country. |
| A. | micro |
| B. | macro |
| C. | static |
| D. | dynamic |
| Answer» C. static | |
| 445. |
What does the term free-market denote in terms of economy? |
| A. | minimal government intervention in trade and minimum regulations |
| B. | maximum government intervention in trade and maximum regulations |
| C. | means of production owned by the state |
| D. | none of the above |
| Answer» B. maximum government intervention in trade and maximum regulations | |
| 446. |
What does the term Gross investment mean while denoting a nation's economy? |
| A. | gross investment= net investment + depreciation |
| B. | gross investment= net investment - depreciation |
| C. | gross investment= depreciation - net investment |
| D. | none of the above |
| Answer» B. gross investment= net investment - depreciation | |
| 447. |
What are Capital goods? |
| A. | goods used for consumption in the production process |
| B. | goods such as tools, machinery, etc which are used to create final consumer goods |
| C. | goods and services that are consumed fully when purchased by the consumers |
| D. | none of the above |
| Answer» C. goods and services that are consumed fully when purchased by the consumers | |
| 448. |
Macroeconomics is a study of economics that deals with which 4 major factors: |
| A. | households, firms, government, and demand-supply |
| B. | households, firms, government and external sector |
| C. | firms, government, free-market, and regulations |
| D. | none of the above |
| Answer» C. firms, government, free-market, and regulations | |
| 449. |
What are consumption goods? |
| A. | goods used for consumption in the production process |
| B. | goods such as tools, machinery, etc which are used to create final consumption goods |
| C. | goods and services that are consumed fully when purchased by the consumers |
| D. | none of the above |
| Answer» D. none of the above | |
| 450. |
When did the Great Depression hit the United States? |
| A. | 2007 |
| B. | 1929 |
| C. | 1936 |
| D. | 2001 |
| Answer» C. 1936 | |