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TYBCOM - SEMESTER VI
BCOM
SUBJECT: MHRM/COMMERCE
1. Human Resource Management is a dynamic and multi-disciplinary approach which does
not include .
a. Management science
b. Sociology
c. Psychology
d. Marketing
2. Human Resource Planning does not involve the following:
a. Comparison of HR requirements and supply
b. Corrective action, if there is a shortage or surplus
c. Conducting training need analysis
d. Forecasting human resource supply
3. Development of employees’ potentials and capabilities cannot be done through .
a. Effective training and development programmes
b. Counselling and motivation
c. Career planning and development
d. Demotivating employees
4. Employees’ Welfare include .
a. Promotion
b. Counselling
c. Motivation
d. Crèche facility
5. In human resource planning, means to check the available existing
manpower within the company.
a. HR supply forecast
b. Human resource development
c. HR requirement forecast
d. Recruitment
6. is not an approach or technique of job design.
a. Traditional
b. Motivational
c. Modern
d. International
7. Transfers, retirees, internal ads are sources of recruitment.
a. Internal
b. External
c. Flexible
d. Modern
8. Efficiency is the ratio of returns to .
a. Output
b. Price
c. Cost
d. Income
9. refers to the learning opportunities designed to help employees grow.
a. Training
b. Development
c. Education
d. Succession
10. A is a senior employee who sponsors and supports a less-experienced employee.
a. Mentor
b. Facilitator
c. Leader
d. Teacher
11. leadership style is characterized by contingent reward and management by
exception.
a. Transactional
b. Transformational
c. Charismatic
d. Direct
12. is not a morale indicator.
a. Accidents Rate
b. Suggestion Boxes
c. Discipline
d. Absenteeism and Employee Turnover
13. Employee morale relates to overall .
a. Productivity
b. Attitude
c. Empathy
d. Skills
14. involves the degree of self-confidence, risk taking ability, resilience to
overcome stress and to handle tough situations.
a. Morale
b. Intelligence Quotient
c. Emotional Quotient
d. Motivation
15. Under Grievance Handling procedure, the subordinate should first approach the
.
a. Top level Management
b. Chief Labour Officer
c. Immediate Superior
d. Arbitrator
16. The Welfare schemes are differ from organisation to organisation and
from industry to industry.
a. Statutory
b. Non-statutory
c. Personal
d. Professional
17. of workers would mean better output and more profits for the employer.
a. Good Health
b. Grievance
c. Attrition
d. Job design
18. Which among the following is not included in Business Competencies?
a. Customer service
b. Accountability
c. Communication
d. Negative attitude
19. The support from the team members and cross-functional departments lead to greater
in the organisation.
a. Confusion
b. Harmony
c. Misunderstanding
d. Disputes
20. In any organisation there is a need to have relations between the management and
the employees.
a. Unhealthy
b. Friendly
c. Healthy
d. Casual
21. Empowered employees are more and actively engaged at work.
a. Satisfied
b. Dissatisfied
c. Stressed
d. Depressed
22. is an off-the-job training method.
a. Job rotation
b. Internship
c. Apprenticeship
d. Lectures
23. is a performance appraisal method.
a. 90 degree approach
b. 120 degree approach
c. 360 degree approach
d. 270 degree approach
24. Human resource management is a process.
a. Product Oriented
b. People oriented
c. Market Oriented
d. Consumer Oriented
25. The purpose of job rotation is to .
a. Reduce monotony
b. Provide Refresher-cum-job training
c. Provide information about the organization
d. Update information
SUBJECT: EXPORT MARKETING
1. is often a challenge to globalizing brands.
Geography
Climate
Language
NGOs
2. If a company uses the corporate brand name for its diverse product categories it is
using the approach.
Individual brand name
Hybrid brand name
Blanket corporate name
Different brand name
3. A brand must have usage/appeal.
Local
National
Universal
Several
4. Transfer pricing is followed among the subsidiaries of an .
Organisation
MNC
Export house
Export Firm
5. is legal and indicates ownership of the product.
Branding
Marking
Trademark
Packaging
6. C.I.F means Cost, Insurance and .
Food
Free
Freight
Fare
7. In direct exporting, the exports are undertaken directly by .
Manufacturer
Agent
Intermediaries
Export houses
8. An exporter who wants to exports goods from Mumbai to Thailand in very large
numbers of containers may select mode of transport
Air
Sea
Road
Rail
9. means putting packages, usually made up of several unitized loads into a
form that is relatively easy to transfer
Logical Packaging
Packaging
Containerization
Unitization
10. is concerned with maintaining the right level of inventory to meet
the customer requirement.
Customer relationship management
Customer Order processing
Inventory Management
Warehousing
11. Sales Promotion Techniques can be , trade oriented and salesforce
oriented
Seller oriented
Government oriented
Customer oriented
Bank oriented
12. Merchant exporter, State corporations, Export consortium are the channel links
for:
Importing
Indirect exporting
Direct exporting
Domestic selling
13. Personal Selling enables the exporter to identify
Competitors’ target market
Government policies related to export
Company’s prospective buyers
Competitors’ strength and weakness
14. Payment is made only when the goods are ultimately in the
market.
Promoted
Exhibited
Sold
Supplied
15. Pre shipment finance is also called
Packing credit
Letter of credit
Opening credit
Deferred credit
16. Post shipment finance is available to the those who have actually shipped
the goods.
Indian Exporters
Indian importers
Foreign Importers
Foreign exporters
17. Advance Payment Guarantee is issued by the commercial bank to the
who normally makes certain advance payment to Indian exporter.
Overseas importer
Overseas exporter
Competitor’s firm
Domestic manufacturer
18. Services like Pre-shipment finance, Consultancy & Technology services, Facilities
for export oriented units, Overseas investment financing are provided by EXIM
bank to:
Indian Commercial bank
Indian exporter
Overseas Banks
Foreign buyer
19. ECGC stands for
Export Credit Governance Corporation Of India Ltd.
Export Credit Guarantee Corporation Of India Ltd.
Export Cooperation and Governance Corporation Of India Ltd.
Export Corporation Guarantee Credit Of India Ltd.
20. A status holder exporter obtains from Federation of Indian Export
Organizations (FIEO). It helps the exporter to receive various benefits under
Foreign Trade Policy.
Registration Cum Membership Certificate (RCMC)
Shipping bill
Consular invoice
Bill of Lading
21. A status holder exporter obtains from FIEO.
Shipping bill
Mate’s receipt
IEC
RCMC
22. The is the acknowledgement that certain number of packages is loaded on
the ship in certain conditions.
Bill of Lading
Letter of Credit
Let Export Order
Mate Receipt
23. Export houses and Trading House can realize payment within days
364
100
360
120
24. is issued by Chamber of Commerce, EIA/DGFT or some Officer of High
Commissioner of India
Certificate of bills
Bill of lading
Certificate of origin
Mates receipt
25. IEC number is granted by .
EIC
DGFT
EPC
EXIM
TYBCOM/ Sem 6 / Computer Application
1. The public key differs from the private key due to .
a. It being used only for encryption
b. It being used only for decryption
c. It being shorter in length
d. It being greater in length
2. Generally most people are familiar with form of e commerce.
a. B2B
b. C2B
c. B2C
d. C2C
3. The full form of WAP in e-commerce is Wireless Protocol.
a. And
b. App
c. Application
d. Area
4. In e-commerce the consumers deal with each other.
a. B2B
b. C2C
c. C2B
d. B2C
5. The maximum number of transactions done in e-commerce are of type.
a. B2B
b. C2B
c. B2C
d. C2C
6. Which of the following is not related to the security mechanism?
a. Encryption
b. Decryption
c. E-cash
d. Firewall
7. Which type of products are less purchased using e-commerce.
a. Automobiles.
b. Books
c. Software
d. Clothes
8. Excel can dynamically a workbook to data in another workbook so that any
changes we make in one workbook are immediately reflected in the other
workbook.
a. Connect
b. link
c. Change
d. bring together
9. Excel templates have the filename extension
a. .temp
b. .xlts
c. .xtemp
d. .xls
10. Template worksheet does not contains the following information
a. font and layout information
b. Conditional formatting
c. Labels
d. Actual data
11. Consider the formula =[Monthlyinc.xlsx]monthinc!$F$5. In this formula
a. Monthlyinc.xlsx is the external reference
b. [Monthlyinc.xlsx] is the external reference
c. [Monthlyinc.xlsx]monthinc is the external reference
d. [Monthlyinc.xlsx]monthinc!$F$5 is the external reference
12. If cell A3 contains 10 and cell A4 contains 15 then what is the return value of the
formula =AND (A3>9, A4<20)?
a. True (1)
b. False (0)
c. 25
d. -5
13. is a reference to another Excel workbook cell, cell range order find name
a. internal reference
b. external reference
c. Internal link
d. External link
14. Which type of charts can Excel produce
a. line graph and Pie Charts only
b. only line charts
c. bar chart line chart and pie chart
d. bar charts and line graphs only
15. Which of the following tool you will use in Excel to see what must be the value of a
cell to get required result
a. Formula auditing
b. Research
c. track change
d. goal seek
16. A control named “cmdExit” is most likely a .
a. Label
b. Image
c. Form
d. Command Button
17. In a VB project, the form design is carried out in the window.
a. Properties
b. Tool Box
c. Project Explorer
d. Form Window
18. Standard prefix for option button is .
a. Obt
b. Opt
c. Obu
d. ppt
19. The standard prefix for command button is .
a. comd
b. cmd
c. Com
d. CBO
20. is an event driven language.
a. C
b. C ++
c. Basic
d. Visual Basic
21. An action that is recognized by a form or a control is called as .
a. Property
b. Method
c. Event
d. Procedure
22. The chart wizard
a. can place a chart on a new chart sheet or any sheet in the workbook
b. Can only place a chart on new chart sheet
c. can only place a chart on a new blank worksheet
d. Can only be used to create embedded charts
23. What chart object is horizontal or vertical line that extends across the plot area to make
it easier to read and follow the values
a. Category axis
b. data marker
c. data point
d. grid line
24. Using the F11 shortcut key to create a chart on chart sheet creates
a. A default chart
b. a two dimensional column chart
c. a two dimensional bar chart
d. a three dimensional line chart
25. When two or more values have to be determined which data analysis tool is used
a. Solver
b. goal seek
c. bar chart
d. data table
TYBCOM SEM VI INDIRECT TAX GST
1
------------------- Petroleum products have been temporarily been kept out of
GST
a)
One
b)
Two
c)
Three
d)
Five
2
.---------------- is levied on Inter-State supply of goods and / or Services.
a)
CGST
b)
SGST
c)
IGST
d)
GSTN
3
GST was introduced in India on ---------------
a)
1-04-2017
b)
1-05-2017
c)
1-06-2017
d)
1-07-2017
4
Alcoholic Liquor for Human Consumption is subject to ---------------
a)
CGST
b)
SGST
c)
IGST
d)
NO GST
5
GST is a comprehensive tax -----------------
a)
Goods
b)
Services
c)
Goods + Services
d)
Income
6
GST aims at -----------------
a)
One Nation One Tax
b)
One Nation Two Tax
c)
One Nation No Tax
d)
One Nation Many Tax
7
Decision is taken by ------------------ majority in GST Council Meeting
a)
0.25
b)
0.5
c)
0.75
d)
0.95
8
Which of the following is a non-taxable supply under the CGST Act,2017
------------
a)
Supply of goods not leviable to tax under the CGST Act,2017
b)
Supply of services not leviable to tax under the CGST Act,2017
c)
Supply which is neither a supply of goods nor a supply of service
d)
Supply of goods services not leviable to tax under the CGST Act,2017
9
What is the threshold limit of turnover in the preceding financial year for
opting to pay tax under composition scheme for States other than special
category States?
a)
Rs. 20 lacs
b)
Rs. 10 lacs
c)
Rs. 50 lacs
d)
Rs. 1.5 crore
10
What is the threshold limit of turnover in the preceding financial year for
opting to pay tax under composition scheme for a trader in Mumbai?
a)
Rs. 30 lacs
b)
Rs. 10 lacs
c)
Rs. 150 lacs
d)
Rs. 75 lacs
11
taxable supplies of goods or services or both, or any
combination thereof, which are naturally bundled and supplied in
conjunction with each other in the ordinary course of business, of which is
a principal supply.
a)
Composite Supply
b)
Principal Supply
c)
Mixed Supply
d)
Inward Supply
12
Supply of two or more taxable supplies naturally bundled and supplied is
called
a)
Mixed supply
b)
Composite supply
c)
Common supply
d)
Continuous supply
13
Mr. Vinay manufactured 1200 litre of finished products, sold at price of ₹
10 per liter as follows Goods sold within State 200 litre ,Goods sold in inter-
State sale - . 1000 liter. Further, CGST and SGST rate on the finished
product of dealer is 6% and 6% respectively. Further IGST rate is 12%.
Calculate tax liability of IGST to be paid after tax credit.
a) IGST ₹ 1440
b) IGST ₹ 1220
c) IGST ₹ 1200
d) IGST ₹ 2160
14
.
Input tax for the purpose of ITC IGST payable under reverse charge
mechanism
a)
Includes
b)
Excludes
c)
Added
d)
Transferred
15
.
To avail ITC, the invoice value including the tax should be paid to the
supplier within days of the date of invoice
a)
30 days
b)
60 days
c)
180 days
d)
90 days
16
What is the date for applicability of TDS provisions?
a)
42917
b)
43101
c)
43344
d)
43374
17
Can a supplier take credit of the TCS?
a)
Yes
b)
No
c)
Yes, on the basis of the valid return filed
d)
Yes, on the basis of a valid return filled by the e-commerce operator and
there is no discrepancy in the returns
18
The place of supply of services to a registered person by way of
transportation of goods, including by mail or courier, shallbe
a)
The location of such person
b)
Location of transporting agency
c)
Place of payment
d)
The location of service provider.
19
The date on which the supplier receives the payment shall be
a)
the date on which the payment is entered in his books of account
b)
the date on which the payment is credited to his bank account
c)
the date on which the payment is entered in his books of account or the date
on which the payment is credited to his bank account whichever is earlier
d)
the date on which the payment is entered in his books of account or the date
on which the payment is credited to his bank account whichever is later
20
Placeofsupplyofservicesinrelationtolodgingaccommodationshallbethe
a)
Location of the supplier
b)
Location of the recipient
c)
Location at which the lodging accommodation is located
d)
Any place can be treated as place of supply
21
is the amount on which tax is levied
a)
Value of supply
b)
Aggregate turnover
c)
Tax Liability
d)
Place of supply
22
Mr. Ajinkya has started supply of goods and services in Gujarat. He is
required to obtain registration, if his aggregate turnover exceeds
during a financial year.
a)
Rs. 10 lakh
b)
Rs. 30 lakh
c)
Rs. 20 lakh
d)
Rs. 50 lakh
23
In case of second hand goods value of supply will be
a)
Selling price
b)
difference between selling price & purchase price
c)
Purchase price
d)
Current market value
24
Rule deals with the Value of supply of goods made or received
through an agent
a)
28
b)
29
c)
31
d)
15
25
Persons shall be deemed to be “related persons” if any person directly or
indirectly owns, controls or holds or more of the outstanding voting
stock or shares of both of them.
a)
0.25
b)
0.26
c)
0.51
d)
0
SUBJECT: FINANCIAL ACCOUNTING
1. If the XYZ Limited and ABC Limited are taken over by a new company
IBSLimited
a) it is calledabsorption
b) it is calledamalgamation
c) it is called external reconstruction
d) it is called internalreconstruction
2. If the business of an existing company ABC Limited is taken over by an existing
company PQR Limited, it iscalled
a) externalreconstruction
b) internalreconstruction
c) absorption
d) amalgamation
3. Accounting for amalgamation is governed by
a) Accounting Standard 1
b) Accounting Standard13
c) Accounting Standard14
d) Accounting Standard11
4. If the business of ABC Limited, a loss-making company, is taken over by a new
company ABC (New) Limited, it iscalled
(a)Internalreconstruction (b)absorption
(c)Externalreconstruction (d)amalgamation
5. If the business of ABC Limited, a loss-making company, is taken over by a new
company ABC (New)Limited,
(a)
ABCLtd.isknownasthe“VendorCompany”;andABC(New)Ltd.isknownasthe
“Purchasing Company”
(b) ABC Ltd. and ABC (New) Ltd.are known as the “Purchasing Companies”
(c)
ABC(New)Ltd.isknownasthe“VendorCompany”;andABCLtd.isknownasthe“
Purchasing Company”
(d) ABCLtd.andABC(New)Ltd.areknownasthe“VendorCompanies”
6. Which of the following statements isfalse?
a) AS 11 should be applied in accounting for transactions in foreigncurrencies
b) AS 11 deals with accounting for foreign currency transaction in the
nature of forward exchangecontracts
c) AS 11 specifies the currency in which an enterprise should present its
financial statements
d) The principal issues in accounting for foreign currency transactions are to
decide which exchange rate to use and how to recognize in the financial
statements the financial effect of changes in exchangerates
7. Averagerate
a) is the exchange rate at the balance sheetdate
b) is the mean of the exchange rates in force during aperiod
c) is the ratio for exchange of twocurrencies
d) is the rate at which an asset could be exchanged between knowledgeable,
willing parties in an arm's lengthtransaction
8. Closing rate
a) is the exchange rate at the balance sheetdate
b) is the mean of the exchange rates in force during aperiod
c) is the ratio for exchange of twocurrencies
d) is the rate at which an asset could be exchanged between knowledgeable,
willing parties in an arm's lengthtransaction
9. Exchange rate
a) is the exchange rate at the balance sheetdate
b) is the mean of the exchange rates in force during aperiod
c) is the ratio for exchange of twocurrencies
d) is the rate at which an asset could be exchanged between knowledgeable,
willing parties in an arm's lengthtransaction
10. Currency other than the reporting currency of anenterprise
a) Non-Reportingcurrency
b) U.S.Dollars
c) Foreign Currency
d) IndianRupees
11. A company can be liquidated in any of following ways under the Companies Act,
2013 after 1-4-2017
a) Compulsory winding-up by the Tribunal
b) Voluntary winding-up by the Members or Creditors
c) Winding-up under the supervision of the Court
d) No winding up procedures.
12. List H shows Account.
a) Deficiency or Surplus
b) Preferential Creditors
c) Fixed Assets Account
d) 'A' List of Contributories
13. When a company is wound-up, all persons who ceased to be the shareholders within a year before the winding-up are placed in the
a) 'A' List of Contributories
b) 'B' List of Contributories
c) 'C' List of Contributories
d) 'D' List of Contributories
14. If default is made in delivering the annual return to the Registrar, the company is
likely to face
a) compulsory winding up by the tribunal
b) voluntary winding up by members
c) voluntarily winding up by creditors
d) Winding-up under the supervision of the Court
15. Following is treated as over-riding preferential creditor
a) Retirement benefits of employees
b) Retirement benefits to workers
c) Salary due to employees exceeding ` 20,000
d) Remuneration to investigator
16. The underwriting commission in case of debentures as per the Companies Act
shall not exceed
a) 5 percent of issue price
b) 10 percent of the issue price
c) 2.5 percent of the issue price
d) 2 per cent of the issue price
17. As per SEBI guidelines, the underwriting commission on equity shares
a)10 per cent of the issue price
b) 5 per cent of the issue price
c) 2.5 per cent of the issue price
d) 2 per cent of the issue price
18. The underwriting commission in case of ` 4 lakh preference shares capital subscribed
to by the public, under Ministry of Finance guidelines, should not exceed
a) 2.5 per cent
b) 1 per cent
c) 2.00 per cent
d) 1.5 per cent
19. According to the Companies Act the underwriting commission on shares should not
exceed
a) 5 per cent
b) 2.5 per cent
c)10 per cent
d )1 per cent
20. The underwriting commission is calculated on
a)net liability of the share value
b) firm underwriting value of the shares
c) marked application of the share value
d) issue price of the shares underwritten
21. LLP is created by………….
a) Law
b) Contract
c) Proposal
d) Agreement
22. Registration of LLP is……..
a) Optional
b) Mandatory
c) Only compulsory in Maharashtra State
d) Only Compulsory out of Maharashtra State
23. Suffix used by Limited Liability Partnership is ……….
a) PVT
b) LTD
c) LLP
d) Public Ltd
24. Cost of formation of LLP is .............. As compare to partnership firm.
a) More
b) Less
c) Equal
d) Negligible
25. Common seal of LLP is………..
a) Compulsory
b) Optional
c) Depend upon terms of agreement
d) Depends upon the state
COST ACCOUNTING
1. Materials Requisition Note
a) Authorizes and records the issue of materials for use
b) Records the return of unused materials
c) Records the transfer of materials from one store to another
d) A classified record of materials, issues, returns and transfers
2. Materials Transfer Note
a) Authorizes and records the issue of materials for use
b) Records the return of unused materials
c) Records the shifting of materials from one store to another
d) A classified record of materials, issues, returns and transfers
3. A document which is a classified record of material issues, returns and
transfers
a) Materials Requisition Note
b) Materials Return Note
c) Materials Transfer Note
d) Materials Issue Analysis Sheet
4. This is essential to make the cost ledger 'self-balancing'.
a) General Ledger Adjustment Account
b) Stores Ledger Control Account
c) Work-in-Progress Ledger
d) Finished Goods Control Account
5. This is debited with all purchases of materials for the stores and credited with all issues
of materials
a) General Ledger Adjustment Account
b) Stores Ledger Control Account
c) Work-in-Progress Ledger
d) Finished Goods Control Account
6. A contract is a separate
a) Unit of cost
b) Account
c) Cost Centre
d) Service centre
7. Material supplied to site is debited to
a) Contract A/c
b) Contractee A/c
c) Contractor’s A/c
d) Material Control A/c
8. Cost of Plant issued to site is debited to
a) Machinery A/c
b) Contract A/c
c) Profit and loss A/c
d) Contractee’s A/c
9. WDV of plant destroyed by accident is credited to
a) Plant A/c
b) Contractee/s A/c
c) Contractor/s A/c
d) Contract A/c
10. Under cost plus Contract profit is calculated at a certain % of
a) Cost of contract
b) Work certified
c) Contract price
d) W.I.P
11. Normal loss is calculated as
a) Percentage of Input Quantity
b) Percentage of Input Value
c) Percentage of Output Quantity
d) Percentage of Sales
12. In case actual loss is greater than normal loss then it is a situation of
a) Normal Gains
b) Abnormal Gains
c) Abnormal Loss
d) Normal Loss
13. In process type of production, the output of the earlier process becomes the
of the following process.
a) Output
b) Input
c) Scrap
d) Purchases
14. Process type of production is applicable in which of the following industries?
a) Transport
b) Paper
c) Bridge Construction
d) Building Construction
15. Crushing, Refining, Finishing and Packaging are stages of production in
production.
a) Paper
b) Oil
c) Paint
d) Cardboard
16. The costs which tend to vary with volume of output is
a) Fixed Cost
b) Variable Cost
c) Period cost
d) Historic cost
17. Which among the following is a technique of costing?
a) Job Costing
b) Process Costing
c) Operating Cost
d) Marginal Costing
18. Contribution is
a) Fixed cost + Variable cost
b) Sales – Variable cost
c) Fixed Cost – Profit
d) Sales – Total cost
19. Compute contribution if sales is Rs. 4,00,000, fixed cost is Rs. 1,00,000 and
Variable cost is Rs. 2,00,000.
a) Rs.3,00,000
b) Rs.2,00,000
c) Rs. 1,00,000
d) Rs.5,00,000
20. The practice of charging both fixed and variable costs to products or services is
called
a) Marginal Costing
b) Process Costing
c) Differential Costing
d) Absorption Costing
21. Difference between Standard Cost and Actual Cost is called as
a) Variance
b) Profit
c) Loss
d) Wastage
22. Excess of actual cost over standard cost is a
a) Favourable variance
b) Unfavourable variance
c) Abnormal Gain
d) Normal Loss
23. Excess of standard cost over actual cost is a
a) Favourable variance
b) Unfavourable variance
c) Abnormal Gain
d) Normal Loss
24. Labour cost variance is a difference between
a) Standard Labour Rate – Actual Labour Rate
b) Standard Labour Rate + Actual Labour Rate
c) Standard Labour Cost and Actual Labour Cost
d) Standard Labour Hours – Actual Labour Hours
25. Favourablelabour efficiency variance indicates
a) Improvement in labour efficiency
b) Improvement in quality
c) Cost reduction
d) Overtime
SUBJECT: BUSINESS ECONOMICS VI
1) The classical theory of international trade was given --------
(a) Heckscher
(b) David Ricardo
(c) Adam Smith
(d) Marshall
2) Ricardian theory assumes perfect mobility of labor -------------
(a) Within the country
(b) Between the countries
(c) Both within and between the countries
(d) Between the districts
3) The classical theory of international trade is based on assumptions of
(a) Money cost differences
(b) Law of returns
(c) Elasticity of demand
4) Ohlin theory of international trade is also known as ------------
(a) Traditional theory of international trade
(b) Opportunity cost theory of international trade
(c) Modern theory of international trade
(d) Inter regional theory of international trade
5) According to J.S. Mill, equilibrium terms of trade is determined by
the condition of-----------
(a) Market demand
(b) Aggregate demand
(c) Reciprocal demand
(d) Aggregate supply
6) Reciprocal demand is-----------
(a) Mutual demand of two countries to each other’s goods
(b) Mutual supply
(c) Price of exports and imports
7) Which one of the following is not an objective of commercial trade
policy?
a) To preserve foreign exchange reserve
b) To determine the rate of interest
c) To protect domestic industries from foreign competition
d) To maintain favorable balance of payments
8)Which one of the following is an argument for free trade?
e) Protect domestic industries
f) Promotes self-sufficiency
g) Helps diversification of industries
h) Promotes the efficient allocation of world resources
9)Which of the following is an argument against the policy of free
trade?
i) Does not allows benefits less developed countries
j) Protects inefficient industries
k) Causes and employment in the export sector
l) Harms domestic consumers.
10)Free Trade policy
m) Promotes efficiency
n) Does not help in economic growth
o) Increases prices of goods
p) Makes export costlier
11)Commercial trade policies are not implemented through
q) Tariffs imposed by nation
r) Availability of Natural resources
s) Import quotas
t) Policies towards foreign investment
12)Protectionist policy
u) Encourages international specialization
v) Promotes global production
w) Helps to prevent dumping
x) Reduces government intervention in trade.
13) In balance of payment account, all goods are exported and
imported
are recorded in ----------
a. Capital account
b. Invisible account
c. Merchandise account
d. Gift Account
14) Gifts and charities account are also known as
a. Export
b. Import
c. Unilateral transfer
d. Long term borrowing
15) In BOP, total receipts must be equal to total ------
a. Payments
b. Deficit
c. Income
d. Surplus
16) Reducing the value of domestic currency in terms of foreign
currency
is known as
a. Deflation
b. Tariff
c. Exchange control
d. Devaluation
17) Non-monetary measures of balance of payments include:
a. Export promotion
b. Devaluation
c. Depreciation
d. Exchange control
18) Under IMF, the exchange rate system was
a. currency board system
b. dollarization
c. copper standard
d. gold standard
19) Under flexible exchange rate system, the exchange rate is
determined
by
a. central bank,
b. market forces,
c. commercial banks,
d. RBI
20) Under managed float, the central bank of a nation intervenes
to foreign currency.
a. only purchase,
b. only sale,
c. purchase and sell,
d. none of the above
21) There is a relationship between demand for foreign currency
_and the exchange rate
a. positive
b. direct,
c. straight,
d. inverse
22) Critics of Purchasing Power Parity theory state that it has
limited
application for countries
a. Large,
b. small,
c. medium-sized,
d. identical
23) LERMS was introduced in India in
a. 1992,
b. 2000,
c. 2002,
d. 2012
24) PPP Theory considers that goods in different countries are
.
a. differential,
b. Identical,
c. superior,
d. inferior
25) There is a relationship between supply of foreign
currency
and the exchange rate
a. inverse,
b. direct,
c. negative
d. indirect
