MCQ Questions on Business Environment: Below, You will find a list of Commerce MCQ Questions as per the latest prescribed syllabus. Ace up your preparation with the Objective Questions available on Business Environment and enhance your subject knowledge. Understand the concept clearly by consistently practicing the Multiple Choice Questions and score well in your exams.
MCQ Questions on Business Environment
1. Liberalization means
(a) Free determination of interest rates
(b) Liberating the industry, trade and economy from unwanted restrictions
(c) Opening up of economy to the world by attaining international competitiveness
(d) Reducing number of reserved industries from 17 to 8
Answer
Answer: (b)
2. When a company taken over another one and clearly becomes the new owner, the action is called
(a) Acquisition
(b) Merger
(c) Strategic Alliance
(d) None of the above
Answer
Answer: (a)
3. 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
Answer: (a)
4. Which among the following is not opened for private sector participation
(a) Railways
(b) Telecommunication sector
(c) Education sector
(d) Power sector
Answer
Answer: (a)
5. Which among these can be the condition for the success of privatisation?
(a) Measurability of performance
(b) Alternative institutional arrangements
(c) Barriers to enter the market
(d) All of the above
Answer
Answer: (c)
6. Which among these is monopolistic trade practice?
(a) Manufacturing only one product
(b) Selling only one product
(c) Limiting technical Development
(d) Unreasonably limiting competition
Answer
Answer: (a)
7. The Industrial policy resolution was passed first in
(a) 1947
(b) 1956
(c) 1931
(d) 1999
Answer
Answer: (b)
8. Globalisation 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
Answer: (c)
9. Laissez Faire policy is adopted in
(a) Socialist Economic system
(b) Capitalist Economic system
(c) Communist Economic System
(d) Mixed Economic System
Answer
Answer: (b)
10. 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
Answer: (d)