Business Economics
International Trade MCQs for CA Foundation Q1. What is the main purpose of international trade?a) To restrict importsb) To increase domestic production onlyc) To exchange goods and services across countriesd) To increase taxes on exports Answer: c) To exchange goods and services across countries Q2. Which theory explains that countries should specialize in producing goods […]
MONEY MARKET QUESTIONS AND ANSWES 1. The money market deals in: A. Long-term fundsB. Medium-term fundsC. Short-term fundsD. All types of fundsAnswer: C. Short-term funds 2. Which of the following is not a money market instrument?A. Treasury billsB. Commercial paperC. SharesD. Certificates of depositAnswer: C. Shares 3. The major participant in the money market is: […]
Business Cycles CA Foundation MCQ Economics Chapter 5 1. The term business cycle refers to _________.(a) The ups and downs in production of commodities.(b) The fluctuating levels of economic activity over a period of time.(c) Decline in economic activities over prolonged period of time.(d) Increasing unemployment rate and diminishing rate of savings.Answer:(b) The fluctuating levels […]
Price Determination in Different Markets CA Foundation MCQ Economics Chapter 5 1. In Economics, the term ‘market’ refers to a:(a) place where buyer and seller bargain a product or service for a price(b) place where buyer does not bargain(c) place where seller does not bargain(d) none of the aboveAnswer:(a) place where buyer and seller bargain […]
Theory of Production and Cost CA Foundation MCQ Economics Chapter 3 1. What is Production is Economics:(a) Creating/Addition of Utility(b) Production of food grains(c) Creation of services(d) Manufacturing of goodsAnswer:(a) Creating/Addition of Utility 2. Which of the following is considered as production in economics?(a) Helping a blind person in crossing the road(b) Group dance […]
Theory of Demand and Supply CA Foundation MCQ Economics Chapter 2 1. Demand for a commodity refers to:(a) Desire backed by ability to pay for the commodity.(b) Need for the commodity and willingness to pay for it.(c) The quantity demanded of that commodity at a certain price.(d) The quantity of the commodity demanded at a […]
Nature and Scope of Business Economics CA Foundation MCQ Economics Chapter 1 1. The term ‘Economics’ owes its origin to the Greek word.(a) Aikonomia(b) Wikonornia(c) Oikonomia(d) None of the aboveAnswer:(c) Oikonomia 2. Adam Smith published his master piece “An enquiry into the nature and causes of wealth of nations” in the year __________.(a) 1776(b) 1786 […]