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MCQOPTIONS
This section includes 657 Mcqs, each offering curated multiple-choice questions to sharpen your Testing Subject knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
From the statements given below, choose the correct answer:Statement I: To become a global corporation, a firm passes through different stages, via, capturing markets abroad, establishing joint venture/subsidiaries abroad, developing into MNCs and moving towards global mode of operation.Statement II: Government support is not a pre-requisite for the successful globalization of the business. |
| A. | Statement I is correct and II is wrong. |
| B. | Statements I and II are correct. |
| C. | Statements I and II are wrong. |
| D. | Statement I is wrong, but II is correct. |
| Answer» B. Statements I and II are correct. | |
| 2. |
Which of the following is the rate at which a banker is willing to buy foreign currency? |
| A. | Ask rate |
| B. | Offer rate |
| C. | Bid rate |
| D. | Spread rate |
| Answer» D. Spread rate | |
| 3. |
The main function(s) of WTO is/are: |
| A. | To handle trade disputes constructively. |
| B. | To help promote peace among business community. |
| C. | To provide rules that make life easier for all people involved in foreign trade. |
| D. | All of the above. |
| Answer» E. | |
| 4. |
Match List-I (authors) with List-II (definitions of history) and select the correct answer with the help of the codes given below:List - I (Authors) (a) Oakshott (b) Travelyan (c) Collingwood (d) Bury List - II(Definitions of History)(i) All history is history of thought.(ii) History is herself simply a science, no less and no more.(iii) The fact is … that the past in history varies with the present.(iv) The value of history is not scientific. Its true value is educational.Codes: (a) (b) (c) (d) |
| A. | (iii) (iv) (i) (ii) |
| B. | (ii) (iii) (iv) (i) |
| C. | (iv) (ii) (iii) (i) |
| D. | (iv) (iii) (i) (ii) |
| Answer» B. (ii) (iii) (iv) (i) | |
| 5. |
When an Indian exporter avails post shipment credit in foreign currency, what is taken as the bench mark for the interest rate? |
| A. | Bench mark lending rate |
| B. | MIBOR |
| C. | LIBOR |
| D. | Indian Bank rate |
| Answer» D. Indian Bank rate | |
| 6. |
Euro dollars are |
| A. | Currency |
| B. | Deposits |
| C. | Bonds |
| D. | Equity |
| Answer» C. Bonds | |
| 7. |
Which of the following transactions reflect economic exposure but not transaction exposure? |
| A. | A firm's imports/exports denominated in local currency. |
| B. | A firm's imports/exports denominated in foreign currency. |
| C. | Interest received from foreign investments. |
| D. | Interest owed on foreign funds borrowed. |
| Answer» B. A firm's imports/exports denominated in foreign currency. | |
| 8. |
Assertion (AS): The poor compliance to environmental regulations is attributed to tax enforcement despite regulatory framework.Reasoning (R): The Government is not capable of enforcing full compliance. |
| A. | (AS) is correct and (R) is the right explanation of (AS). |
| B. | (AS) and (R) both are correct, but (R) is not the right explanation of (AS). |
| C. | (AS) is correct, but (R) is not correct. |
| D. | Both (AS) and (R) are incorrect. |
| Answer» E. | |
| 9. |
The Board of Directors can appoint(i) Additional Director(ii) Causal Director(iii) Alternative Director(iv) Nominee Director |
| A. | (i), (ii) and (iii) |
| B. | (ii), (iii) and (iv) |
| C. | (iii), (iv) and (i) |
| D. | (iv), (i) and (ii) |
| Answer» B. (ii), (iii) and (iv) | |
| 10. |
Lawrence Kohlberg, in his six stage model of cognitive development, explains: |
| A. | Why people make different decisions in similar ethical situations? |
| B. | How people make decisions based on the stage of cognitive moral development? |
| C. | Both of the above. |
| D. | None of the above. |
| Answer» C. Both of the above. | |
| 11. |
SIDBI has been entrusted with the responsibility of |
| A. | Providing financial assistance to all sectors. |
| B. | Developing medium and large scale industry. |
| C. | Providing incentives to medium scale industry. |
| D. | Developing and supporting small business. |
| Answer» E. | |
| 12. |
An industrial unit, according to RBI, is sick if |
| A. | Incurred cash loss in the previous accounting year. |
| B. | Likely to incur loss in the following year. |
| C. | Current ratio is less than 1: 1 with weak debt: equity ratio. |
| D. | All of the above. |
| Answer» E. | |
| 13. |
Which of the following is not a product technology transfer? |
| A. | Collaboration in R and D. |
| B. | Transfer of product designs and technical specifications. |
| C. | Feedback on product performance. |
| D. | Provision of machinery and equipment to suppliers. |
| Answer» E. | |
| 14. |
Forward Premium or Discount can be computed by which of the following formulae? |
| A. | (Spot rate - Forward rate) / Spot rate × 360 / Future point in time |
| B. | (Spot rate - Forward rate) / forward rate × 360 / Future point in time |
| C. | (Forward rate - Spot rate) / Forward rate × 360 / Future point in time |
| D. | (Forward rate - Spot rate) / Spot rate × 360 / Future point in time |
| Answer» C. (Forward rate - Spot rate) / Forward rate × 360 / Future point in time | |
| 15. |
The main function of venture capitalist is to |
| A. | Provide funds to the steps necessary to establish the commercial viability of a new product, process or service. |
| B. | Provide funds at all stages of marketing of new product, process or service. |
| C. | Provide funds at all stages of production of a new product, process or a service. |
| D. | Provide funds at all stages of Research of a new product, process or a service. |
| Answer» B. Provide funds at all stages of marketing of new product, process or service. | |
| 16. |
Statement 1: SWOT involves specifying the objectives of the business venture or project and identifying the internal and external factors that are favourable and unfavourable to achieve that objective.Statement 2: Setting the objectives should be done after the SWOT analysis has been performed. |
| A. | Both the statements are correct. |
| B. | Statement 1 is correct, but statement 2 is incorrect. |
| C. | Statement 1 is incorrect, but statement 2 is correct. |
| D. | Both the statements are incorrect. |
| Answer» B. Statement 1 is correct, but statement 2 is incorrect. | |
| 17. |
Arrange the Entrepreneurial motivation factors on the basis of proper sequences. |
| A. | Need for achievement, Locus of control, vision, desire for independence, passion and drive. |
| B. | Locus of control, vision, desire for independence, passion, drives and need for achievement. |
| C. | Vision, desire for independence, passion, drive, locus of control and need for achievement. |
| D. | Desire for independence, need for achievement, and locus of control, vision, passion and drive. |
| Answer» B. Locus of control, vision, desire for independence, passion, drives and need for achievement. | |
| 18. |
Statement 1: The IE Matrix is similar to the BCG Matrix in that both tools involve plotting organisation divisions in a schematic diagram.Statement 2: The BCG Matrix requires more information about the divisions than the IE matrix. |
| A. | Statements 1 and 2 both are correct. |
| B. | Statements 1 and 2 both are incorrect. |
| C. | Statement 1 is correct, but statement 2 is incorrect. |
| D. | Statement 1 is incorrect, but statement 2 is correct. |
| Answer» D. Statement 1 is incorrect, but statement 2 is correct. | |
| 19. |
If a = 0.05 and ß = 0.10, the power of that hypothesis test is |
| A. | 0.15 |
| B. | 0.90 |
| C. | 0.85 |
| D. | 0.95 |
| Answer» C. 0.85 | |
| 20. |
Match the following:a. Individual within (Psychological) 1) Interpretations that third parties make regarding contractual terms.b. Group within (Normative) 2) Broad beliefs and obligations associated with society's culture.c. Individual outside (implied) 3) Beliefs that individuals hold, regarding promises made, accepted and relied on between and another themselves.d. Group outside (Social) 4) The shared psychological contract that emerges when members of a social group/organization/ work unit hold.Codes: a b c d |
| A. | 1 2 3 4 |
| B. | 3 4 1 2 |
| C. | 2 3 4 1 |
| D. | 4 3 2 1 |
| Answer» C. 2 3 4 1 | |
| 21. |
Variable which has a strong contingent effect on the independent dependent variable relationship is referred to as |
| A. | Extraneous variable |
| B. | Intervening variable |
| C. | Moderating variable |
| D. | None of the above |
| Answer» D. None of the above | |
| 22. |
Arrange the following stages in the industrial buying process in the sequential order:1) General need description2) Supplier search3) Problem recognition4) Performance review5) Order route specification6) Product specification7) Proposal solicitation8) Supplier selection |
| A. | 3-1-2-6-7-8-5-4 |
| B. | 3-2-1-7-6-5-8-4 |
| C. | 3-1-6-2-7-5-8-4 |
| D. | 3-1-6-2-7-8-5-4 |
| Answer» E. | |
| 23. |
Which one is not a part of control charts for variables? |
| A. | X-chart |
| B. | R-chart |
| C. | s-chart |
| D. | C-chart |
| Answer» E. | |
| 24. |
Statement I: One of the key factors impacting on Production Managers is that the country's borders no longer provide protection from foreign imports due to globalization.Statement II: To succeed in global competition, Production Management of Companies must make a commitment to innovate products and services with high quality at low prices. |
| A. | Both the statements are incorrect. |
| B. | Statement I is correct, but II is incorrect. |
| C. | Statement I is incorrect, but II is correct. |
| D. | Both statements are correct. |
| Answer» E. | |
| 25. |
Coefficient of determination (R2) indicates |
| A. | Percentage of variation in the dependent variable that can be explained by independent variable. |
| B. | Percentage of variation in the dependent variable that cannot be explained by independent variable. |
| C. | Percentage variation in the independent variable that can be explained by dependent variable. |
| D. | Percentage variation in the independent variable that cannot be explained by the dependent variable. |
| Answer» B. Percentage of variation in the dependent variable that cannot be explained by independent variable. | |
| 26. |
Positioning the production system means |
| A. | Selecting the type of product design. |
| B. | Selecting the type of production processing system. |
| C. | Selecting the type of finished goods inventory policy for each product group. |
| D. | All of the above. |
| Answer» E. | |
| 27. |
Edwards Deming, one of the Quality Gurus, introduced a concept of cycle for continuous improvement of quality. The cycle consists of(i) Act(ii) Plan(iii) Do(iv) CheckThe correct order of this cycle of activities is |
| A. | (i), (iii), (iv), (ii) |
| B. | (ii), (iv), (iii), (i) |
| C. | (ii), (iii), (iv), (i) |
| D. | (i), (ii), (iii), (iv) |
| Answer» D. (i), (ii), (iii), (iv) | |
| 28. |
A method for deriving the utility values that consumers attach to varying levels of a product attribute is called |
| A. | Product analysis |
| B. | Conjunctive analysis |
| C. | Conjoint analysis |
| D. | Market price analysis |
| Answer» D. Market price analysis | |
| 29. |
Two statements are given below relating to the consumer brand selection model.Statement I: As per disjunctive decision rule consumers set a minimum acceptable cut off level for each attribute and choose the first alternative that meets the minimum standard for all selected attributes.Statement II: As per lexicographic decision rule consumers choose the best brand on the basis of its perceived most important attribute.Choose the correct option about the statements from the options given below: |
| A. | Statement I alone is correct. |
| B. | Statement II alone is correct. |
| C. | Both statements are correct. |
| D. | Both statements are wrong. |
| Answer» C. Both statements are correct. | |
| 30. |
Two statements are given below:Statement I: Opinion leaders who provide product related information to the buyer and assist him or her in buying is called market mover.Statement II: Opinion leaders who understand the buyer's personal needs and use situations and aid the buyer is called purchase pal.Choose the correct option about the statements from the options given below: |
| A. | Statement I alone is correct. |
| B. | Statement II alone is correct. |
| C. | Both statements are wrong. |
| D. | Both statements are correct. |
| Answer» E. | |
| 31. |
Delphi method of estimating future demand for a product or service is associated with |
| A. | Past sales analysis |
| B. | Expert opinion method |
| C. | Market test method |
| D. | Composite of sales force opinion |
| Answer» C. Market test method | |
| 32. |
When a firm has diversified in unrelated products, it is called |
| A. | Scramble diversification |
| B. | Related diversification |
| C. | Product mix |
| D. | Product line simplification |
| Answer» B. Related diversification | |
| 33. |
Which of the following condition is true about determinants and strengths of positioning strategy? |
| A. | There should be competition warranting positioning. |
| B. | The market segment to be served should be sizeable and profitable. |
| C. | The market segment should be able to effectively receive communication messages transmitted by the company. |
| D. | All of these. |
| Answer» E. | |
| 34. |
Projected cash flows change with changes in projected demand, price, cost of production, cost of capital, etc. All these changes are accommodated in a random manner by |
| A. | Sensitivity Analysis |
| B. | Simulation Technique |
| C. | Decision - Tree |
| D. | None of the above |
| Answer» C. Decision - Tree | |
| 35. |
A high debtor's turnover ratio indicates |
| A. | Low amount tied upon debtors |
| B. | Increase in sales turnover |
| C. | Efficient conversion of debtors into cash |
| D. | A u0026 C |
| Answer» E. | |
| 36. |
Financial Break-even Level of EBIT is one at which |
| A. | EPS is one |
| B. | EPS is infinite |
| C. | EPS is zero |
| D. | EPS is negative |
| Answer» D. EPS is negative | |
| 37. |
Vertical merger represents merger of firms |
| A. | Engaged in the same line of business. |
| B. | At different stages of production in an industry. |
| C. | Engaged in unrelated line of activities. |
| D. | All of the above. |
| Answer» C. Engaged in unrelated line of activities. | |
| 38. |
If the minimum stock level and average stock level of material A are 4000 and 9000 units respectively, what is the Reorder quantity? |
| A. | 8000 units |
| B. | 10,000 units |
| C. | 11,000 units |
| D. | 9,000 units |
| Answer» E. | |
| 39. |
Which of the below features is not wealth maximization objective of Financial Management? |
| A. | Considers both quantity and quality dimensions of benefits. |
| B. | Based on the concept of cash flows generated by the decision rather than accounting profit. |
| C. | Decision should be oriented to the maximization of profits. |
| D. | Focus is on the value to the owners or suppliers of equity capital. |
| Answer» D. Focus is on the value to the owners or suppliers of equity capital. | |
| 40. |
Given the sales volume, which of the following would lead to an increase in contribution margin? |
| A. | Variable cost remains same. |
| B. | Variable cost per unit decreases. |
| C. | Variable cost per unit increases. |
| D. | Fixed cost increase. |
| Answer» C. Variable cost per unit increases. | |
| 41. |
According to Lintner Model, factors affecting dividend of current year are |
| A. | DPS of previous year, EPS, target pay-out ratio and adjustment rate. |
| B. | EBIT, interest rate and retention ratio. |
| C. | P/E ratio, retention ratio and pay-out ratio. |
| D. | E/P ratio, pay-out ratio and rate of interest on it. |
| Answer» B. EBIT, interest rate and retention ratio. | |
| 42. |
Match the following:a. Balancing Equity 1) The perceived fairness of the pay structure within a firm.b. Internal Equity 2) The perceived fairness in pay relative to what other employers are paying for the same type of labour.c. Individual Equity 3) The perceived fairness in establishment of internal and external pay equity.d. External Equity 4)The perceived fairness of individual pay decisions.Codes: a b c d |
| A. | 3 4 2 1 |
| B. | 1 2 3 4 |
| C. | 2 4 1 3 |
| D. | 4 1 3 2 |
| Answer» E. | |
| 43. |
Whistle Blowing is the situation wherein an employee |
| A. | Causes indiscipline in the organization. |
| B. | Discloses other employees' illegal immoral or illegitimate activities. |
| C. | Discloses the employer's illegal immoral or illegitimate activities. |
| D. | All of the above. |
| Answer» D. All of the above. | |
| 44. |
Match the following:List - I List - II(Items of HRM) (Features)a. Human Resource Planning 1) Forecast man power needs based strategies of the trend.b. Selection 2) Use the criteria and measures developed to match individual skills in the job requirements.c. Advancement 3) Promotion.d. Industrial relations 4) Amicable and harmonious working in the organization.Codes: a b c d |
| A. | 1 2 3 4 |
| B. | 1 4 3 2 |
| C. | 3 1 4 2 |
| D. | 4 1 3 2 |
| Answer» B. 1 4 3 2 | |
| 45. |
Statement I: The slope of an indifference curve is the Marginal Rate of Substitution in the consumption (MRSc), which is increasing.Statement II: The slope of the budget line is ratio of the prices of two goods and is the Marginal Rate of Substitution in exchange (MRSe) |
| A. | Statement I and II are correct. |
| B. | Statement I is correct, but II is incorrect. |
| C. | Statements I and II are incorrect. |
| D. | Statement I is not correct, but II is correct. |
| Answer» E. | |
| 46. |
Match the following:a. Stability 1) Number of subordinates that report to one supervisor.b. Strategy 2) The whole is greater than the sum of its parts.c. Synergy 3) Plans for the allocation of firm's scarce resources to reach identified goals in time.d. Span of control 4) Employees should not be moved frequently from one job to anotherCodes: a b c d |
| A. | 4 3 2 1 |
| B. | 3 4 1 2 |
| C. | 2 3 4 1 |
| D. | 1 2 3 4 |
| Answer» B. 3 4 1 2 | |
| 47. |
Forming a fixed opinion or attitude towards a single person or object is termed as |
| A. | Perceptual defense |
| B. | Stereo typing |
| C. | The Halo effect |
| D. | The perceptual set |
| Answer» D. The perceptual set | |
| 48. |
GDP includes which of the following measures? |
| A. | The size of a population that must share a given output within one year. |
| B. | The negative externalities of the production process of a nation within one year. |
| C. | The total monetary value of all final goods and services produced within a nation within one year. |
| D. | The total monetary value of goods and services including barter transactions within a nation in one year. |
| Answer» D. The total monetary value of goods and services including barter transactions within a nation in one year. | |
| 49. |
If the equation y = 5 + 0.6x was graphed, the |
| A. | Slope would be - 5 |
| B. | Vertical intercept would be + 0.6 |
| C. | Slope would be + 5 |
| D. | Slope would be + 0.6 |
| Answer» E. | |
| 50. |
Which of the following best describes the theory X? |
| A. | People are committed to their responsibilities. |
| B. | Motivation is a result of rational behaviour towards attaining goals. |
| C. | The perceived relationship between a given level of efforts and an expected performance. |
| D. | None of the above. |
| Answer» E. | |