Business Studies Questions and Answers

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Business Studies Questions and Answers

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MCQ Objective Questions and Answers on Business Studies

1. Co-ordination is—
A. Function of management
B. The essence of management
C. An objective of management
D. None of these

2. Marketing manager belongs to—
A. Top level management
B. Middle level management
C. Lower-level management
D. None of these

3. As a result of liberalization, Indian economy is now—
A. Closed economy
B. Capitalistic economy
C. Feudal economy
D. Open market economy

4. Management is—
A. Pure science
B. Medical science
C. Environmental Science
D. Social science

5. Foremen and Supervisors comprise—
A. Top level of management
B. Middle level of management
C. Operational management
D. None of these

6. Principles of management are not—
A. Behavioural
B. Universal
C. Absolute
D. Flexible

7. Resistance to change is a ___________ barrier of communication;
A. Semantic
B. Psychological
C. Organizational
D. Personal

8. Only increase in labour cost beyond 2% should be brought to the notice of management. Which principle of control is this?
A. Critical point action
B. Control by exception
C. Budgetary control
D. None of these

9. Which of the following is a ‘financial incentive’?
A. Status
B. Job security
C. Employee participation
D. Allotment of shares under Employees Stock Option Plan

10. Which one of the following is an internal source of recruitment?
A. Transfer
B. Employee recommendations
C. Campus recruitment
D. Personal contacts

11. Function of KPO and BPO industries are mostly affected by—
A. Social environment
B. Climatic environment
C. Global environment
D. Cultural environment

12. Which of the following is not an element of planning?
A. Programme
B. Procedure
C. Policy
D. Information

13. T-bill is a—
A. Commercial Bill
B. Transferable Bill
C. Zero Coupon Bond
D. Accommodation Bill

14. In money market, the lenders and borrowers exchange—
A. Long term securities
B. Medium-term securities
C. Short-term securities
D. Both medium and long-terms securities

15. Dividend decision is influenced by —
A. Cash inflow position
B. Net profit position
C. Profitable investment opportunity
D. All of these

16. Higher debt capital in the capital structure indicates—
A. Higher operating risk
B. Higher financial risk
C. Lower operating risk
D. Lower financial risk

17. Fixed assets of a company should be financed through—
A. Short-term capital
B. Medium-term capital
C. Long-term capital
D. None of these

18. Which one of the following is included in Modern Marketing concept?
A. Product-oriented
B. Sales-oriented
C. Production-oriented
D. Customer-oriented

19. Customer’s sales promotion technique does not include—
A. Free samples
B. After sales service
C. Premium offer
D. Demonstration to dealers

20. 4 P stands for—
A. Product, price, profit, place
B. Product, price, place, promotion
C. Product, price, publicity, profit
D. Product, packaging, place, price

21. The District Forum has the jurisdiction to entertain complaints where the compensation does not exceed—
A. 30 lakhs
B. Rs. 50 lakhs
C. Rs. 20 lakhs
D. Rs. 25 lakhs

22. How many rights of consumers are provided under the Consumer Protections Act 1986?
A. 4
B. 6
C. 7
D. 8

23. Consumer court does not include—
A. District Forum
B. State Commission
C. National Commission
D. Supreme Court

24. The father of Scientific Management —
A. Henry Fayol
B. F.W. Taylor
C. Lawrence A. Appley
D. John F. Mee

25. The principle of management according to Henry Fayol—
A. 8
B. 10
C. 14
D. None of these

26. Liberalisation policy is introduced in India—
A. 1988
B. 1991
C. 1995
D. None of these

27. No. of steps in planning —
A. 5
B. 8
C. 10
D. None of these

28. Functional organisation is introduced by—
A. Henry Fayol
B. Winslow Taylor
C. Elton Mayo
D. None of these.

29. Which is not an element of planning?
A. Policy
B. Forecasting
C. Coordination
D. Fore sight

30. Which of the following resources can be increased?
A. Physical
B. Human
C. Both
D. None

31. Which of the following is not included in selection procedure?
A. Acceptance of Application Form
B. Written Test
C. Interview
D. Training

32. The most important principle of management in the world —
A. Leadership
B. Motivation
C. Direction
D. None

33. Which of the following is included in the personal motivation of the employee —
A. Prestige
B. Promotion
C. Recognition of the work
D. All of these

34. Which of the following is considered as the advantage of planning -?
A. Time Consuming
B. Rigid
C. Reduction of Enthusiasm
D. Economy

35. Which is not considered as the advantage of Functional organisation-
A. Complexities
B. Specialisation
C. Skill
D. None

36. Which one of the following is the parameter of economic efficiency of the business?
A. Profit
B. Dividend
C. Interest
D. Liquidity

37. Which one of the following is considered as the reward of risk bearing -?
A. Income
B. Profit
C. Fixed
D. Assets
E. Investment

38. For which fixed capital is used—
A. Building
B. Machinery
C. Land
D. All of these

39. Financial Market is formed with —
A. Capital Market
B. Foreign Market
C. Money Market
D. Capital Market and Money Market

40. SEBI was formed in —
A. 1980
B. 1985
C. 1988
D. 1990

41. National Stock Exchange was formed in—
A. 1985 in Mumbai
B. 1985 in Chennai
C. 1992 in Mumbai
D. 1992 in Kolkata

42. What is the time validity of Bill of Exchange—
A. 30 days
B. 60 days
C. 90 days
D. 120 days

43. Which one of the following is not included in Sales Promotion technique—
A. Rebate
B. Price Pack
C. Free gift
D. Coupon

44. Which are the main features of Publicity—
A. Oral advertisement
B. Not related with profit
C. Increase of Sale
D. Economical

45. Which one of the following is not related with the related work of marketing —
A. Transportation
B. Financing for marketing
C. Risk taking
D. Collection of data

46. Which one of the following is not considered as the Consumers’ Society —
A. Department of Consumer Protection
B. Voice
C. Common Cause
D. Consumer Guidance Society of India

47. How many chapters we find in the Consumer Protection Act—
A. 2
B. 3
C. 4
D. 7