Managerial Economics - 30

	LIST OF ATTEMPTED QUESTIONS AND ANSWERS
	Multiple Choice Single Answer   Question   In case of a pure public good, its marginal cost is   Correct Answer   zero   Your Answer   high    True/False   Question   During the period of depression, a large part of a country’s resources lie involuntarily idle.   Correct Answer   True   Your Answer   True    Select The Blank   Question   Goods which are paradoxical to the law of demand are ________   Correct Answer   Giffen goods, ,   Your Answer   Giffen goods, ,    True/False   Question   In contrast to the normative concept of justice, efficiency and inefficiency are positive concepts.   Correct Answer   True   Your Answer   False    True/False   Question   Pure private goods are completely divisible and to them the principle of exclusion applies in full measure.   Correct Answer   True   Your Answer   False    True/False   Question   Macro-economies is a policy oriented science.   Correct Answer   True   Your Answer   True    Select The Blank   Question   On the ________ level, the summation of maximum individual welfare does not automatically lead to maximum social welfare.   Correct Answer   macro   Your Answer   macro    Multiple Choice Multiple Answer   Question   Equilibrium is the stage of   Correct Answer   maximum satisfaction , balance , stationary   Your Answer   maximum satisfaction , balance , stationary    Select The Blank   Question   In the context of formulating an investment project, ________ feasibility means the availability of supervisors for implementing and running the project smoothly and professionally.   Correct Answer   management   Your Answer   management    Multiple Choice Multiple Answer   Question   The subject matter of Micro economics includes the study of   Correct Answer   an individual consumer , particular market for a given commodity , operation of a firm   Your Answer   an individual consumer , particular market for a given commodity , operation of a firm    Multiple Choice Single Answer   Question   Economic problem does not recognize the boundaries of caste,creed,culture Thus economic problem is always considered as the   Correct Answer   universal problem   Your Answer   universal problem    Select The Blank   Question   Demand for safety pins is ________   Correct Answer   inelastic   Your Answer   perfectly elastic    Multiple Choice Single Answer   Question   Supply curve shifts to the right side of the original supply curve when, the supply   Correct Answer   increases   Your Answer   increases    Multiple Choice Multiple Answer   Question   The consumer protection Act includes   Correct Answer   Protection from hazardous commodities , Right to a competitive price , Right to information regarding protection   Your Answer   Protection from hazardous commodities , Right to a competitive price , Right to information regarding protection    Match The Following Question Correct Answer Your Answer Resource allocation optimum combination of inputs Land Natural Resources Land Scarcity Economic problem Scarcity Micro Economics Managerial Economics inventory management inventory management Elasticity of demand Micro Economics optimum combination of inputs    Select The Blank   Question   In a market system of an economy, producers are guided by ________ motive.   Correct Answer   profit   Your Answer   price    Multiple Choice Multiple Answer   Question   Features of the firm are   Correct Answer   It is a business unit organized under one ownership , It is a sole proprietorship , It is a partnership or joint stock company   Your Answer   It is a business unit organized under one ownership , It is a sole proprietorship    Select The Blank   Question   The chemical effluents recklessly released by a chemical factory in the river causing water pollution, is an example of ________ cost.   Correct Answer   social   Your Answer   environmental    Multiple Choice Multiple Answer   Question   Investment is significant because   Correct Answer   Addition to the real capital assets , It leads to increase in level of income , Increases accumulated wealth of the society   Your Answer   Addition to the real capital assets , It leads to increase in level of income    True/False   Question   Price discrimination is possible in perfect competition   Correct Answer   False   Your Answer   False    Select The Blank   Question   The index numbers which are compiled to measure the changes in retail prices of various commodities refers to ________   Correct Answer   Retail prices index   Your Answer   Retail prices index    Select The Blank   Question   In the context of formulation of an investment project, ________ feasibility means the availability of land, plant, machinery, raw materials and technical know how etc.   Correct Answer   technical   Your Answer   technical    Multiple Choice Single Answer   Question   Managerial economics is also understood to refer to   Correct Answer   applied economics   Your Answer   applied economics    Multiple Choice Single Answer   Question   The type economic problem is   Correct Answer   universal   Your Answer   universal    True/False   Question   When price of a commodity falls, the supply of that commodity increases.   Correct Answer   False   Your Answer   True    Multiple Choice Single Answer   Question   The act of making goods and services is called   Correct Answer   production   Your Answer   production    Multiple Choice Single Answer   Question   If supply of goods and services can be increased to correspond with every increase in demand, price level will tend to   Correct Answer   be stable   Your Answer   rise    Multiple Choice Single Answer   Question   Complementary goods are demanded   Correct Answer   jointly   Your Answer   jointly    Match The Following Question Correct Answer Your Answer Human wants unlimited unlimited General Theory of Employment, Interest and Money J. M. Keynes J. M. Keynes Managerial economics Decision making and forward planning Decision making and forward planning Resources scarce scarce Commodities goods and services goods and services    Multiple Choice Multiple Answer   Question   Quantitative credit control measures are   Correct Answer   open market operations , changes in bank rates , changes in statutory reserve ratio   Your Answer   open market operations , changes in bank rates , changes in statutory reserve ratio    True/False   Question   Inflation is characterized by excess of demand.   Correct Answer   True   Your Answer   True    Select The Blank   Question   The good becomes ________ so far as its use is concerned only when it is priced in the market and the principle of exclusion is applied to it.   Correct Answer   divisible   Your Answer   profitable    True/False   Question   Institution of private property is not an essential feature of Capitalism.   Correct Answer   False   Your Answer   False    Multiple Choice Single Answer   Question   Firm is an   Correct Answer   economic unit   Your Answer   economic unit    Multiple Choice Single Answer   Question   The city of Ahmedabad has specialized in the manufacture of   Correct Answer   textiles   Your Answer   textiles    Multiple Choice Single Answer   Question   When more units of a commodity are purchased in response to decline in price of that commodity, it is called as expansion of   Correct Answer   demand   Your Answer   demand    Multiple Choice Multiple Answer   Question   Different types of Elasticity of Demand are   Correct Answer   Price elasticity of demand , Income elasticity of demand , Cross elasticity of demand   Your Answer   Perfectly elastic demand    Multiple Choice Single Answer   Question   According to Prof. F.H. Knight, profit is a reward for   Correct Answer   uncertainty bearing   Your Answer   uncertainty bearing    Multiple Choice Multiple Answer   Question   The disinvestments of industries is needed for   Correct Answer   Phased privatization , Reducing deficit , Capital support to plans   Your Answer   Phased privatization , Reducing deficit , Capital support to plans    Multiple Choice Multiple Answer   Question   Types of Share capital of Joint-Stock Company are   Correct Answer   registered or authorized capital , issued capital , paid-up capital   Your Answer   registered or authorized capital , issued capital , paid-up capital    Select The Blank   Question   The form of organization which is best for self employment is ________.   Correct Answer   Sole trader   Your Answer   Sole trader    Multiple Choice Single Answer   Question   Managerial economics refers to the integration of economic theory with business   Correct Answer   practices   Your Answer   practices    Select The Blank   Question   The cost which enter the accounts book of the firm are referred as ________.   Correct Answer   Accounting cost   Your Answer   Accounting cost    True/False   Question   The most significant feature of perfect competition is the existence of an automatic price mechanism.   Correct Answer   True   Your Answer   True    Multiple Choice Single Answer   Question   Managerial economics generally refers to the integration of economic theory with business   Correct Answer   Practice   Your Answer   Practice    Multiple Choice Single Answer   Question   Every nation’s resources which are used to produce the quantities of goods and services that would be required to satisfy all its citizen’s wants are   Correct Answer   insufficient   Your Answer   insufficient    True/False   Question   Under the liberalization policy, Government added another list of nine industries for which automatic approval upto 74 % would be allowed   Correct Answer   True   Your Answer   True