Business Environment MCQ pdf Download | MCQ on Business Environment class 12 examination preparation of various schools and colleges.
Business Environment MCQ
1. An economic activity is the task of adjusting resources to the targets. Economic activity may be in the form of ___ and production.
a. Ecological
b. Consumption
c. Location
d. Human Resources
Ans: B
2. Business involves making a choice among a set of alternative courses of action which is the essence of all ___ problems.
a. Social
b. Internal
c. External
d. Economic
Ans: D
3. Economic policies refer to the monetary and ___ that affect the growth rate of the economy and the attained price stability in the economy.
a. Government policy
b. Monetary policy
c. Fiscal policies
d. Instruments of monetary policy
Ans: C
4. A free market is a market in which there is no ___ and regulation by the state, except to enforce taxes, private contracts, and the ownership of property.
a. Purchasing power
b. Capital receipts
c. Economic intervention
d. Inflation
Ans: C
5. ___ refers to the system of moral principles and rules of conduct applied to business.
a. Human Resource
b. Information System
c. Business Ethics
d. Organisation Behaviour
Ans: C
6. ___ refers to the extent that an organization’s activities are known to persons outside the organization.
a. Cultural adaptation
b. Business ethics
c. Technological change
d. Public Visibility
Ans: D
7. The socio-economic objectives are clearly enshrined in the preamble to the constitution, ___ and directive principles of state policy.
a. Political justice
b. Cultural
c. Fundamental Rights
d. Economic powers
Ans: C
8. ___based on checks and balances and the power to effect Constitutional change through consensus.
a. Representative democracy
b. Political environment
c. Autocracy
d. Open economy
Ans: A
9. A ___ is an economy which combines the elements of both the capitalist and the socialist economies.
a. Mixed economy
b. Unemployment
c. Production activities
d. Rural planning
Ans: A
10. The government has ___ of production of all types of goods in a socialist economy; there is no scope of competition among different production units.
a. guidelines
b. Regulation
c. Methodology
d. Monopoly
Ans: D
11. The main concerns of a ____ are finance, money, and credit.
a. Ecological System
b. Political System
c. Fiscal System
d. Financial System
Ans: D
12. ____ acts as the medium of exchange or transaction.
a. Money
b. Credit
c. Goods
d. Services
Ans: A
13. The main function of the financial system is to act as a ___ between widely dispersed savers and seekers of funds.
a. Legal intermediary
b. Financial intermediary
c. Government Intermediary
d. Cooperative Institution
Ans: B
14. The word Law is a general term that implies varied purposes. In terms of the legal system, it denotes the rules and regulations that have been enacted by the ____ to govern various aspects of public and personal life.
a. Legislature
b. Citizens forum
c. Judiciary
d. Central Industrial Relations Machinery
Ans: A
15. ____can be defined as the habitual course of conduct observed uniformly and voluntarily by the people concerned.
a. Culture
b. Society
c. Customs
d. Code
Ans: C
16. A government’s ___ is to provide social, political, legal and economic stability to the people.
a. Basic function
b. Fundamental right
c. Political agenda
d. Judicial process
Ans: A
17. Direct involvement of the government in business is an important feature of ___.
a. Single rule
b. Socialist Economy
c. Military government
d. Monarch
Ans: A
18. The root of the problem in 1991 ___ was the large and growing fiscal imbalance.
a. Political crisis
b. Economic crisis
c. Environmental crisis
d. Agricultural expenditure
Ans: B
19. The first ____paved the way for a mixed socialist economy.
a. Foreign policy
b. Industrial policy
c. Internal policy
d. External policy
Ans: B
20. Which among the following are not categorised as monopoly industry under state.
a. Arms and Ammunition
b. Atomic Energy
c. Rail Transport
d. Aviation
Ans: B
21. Janata government put more emphasis on ___to curb unemployment and poverty.
a. Adult Education
b. Large scale industries
c. Small scale industries
d. Defense Establishment
Ans: D
22. ___ refers to transfer of ownership of public sector enterprises from the government to the private sector.
a. Nationalization
b. Privatization
c. Public Ownership
d. Autonomous body
Ans: C
23. ___ is the license to market a company’s goods and services in a designated geographical area.
a. Franchising
b. Joint Venture
c. Consignee Agent
d. Distribution
Ans: B
24. The important argument in favour of disinvestment in India is the contribution it can make to improve the ___ of the enterprise.
a. Quality
b. Efficiency
c. Sales
d. Production
Ans: A
25. ___ is the integration of national economies into the international economy.
a. Economic Globalization
b. Human Resources
c. Natural Resources
d. Regional integration
Ans: B
26. Specifically by a ____, we mean that in each complete trial or replicate of the experiment all possible combinations of the levels of the factors are investigated.
a. Design of experiment
b. acceptance sampling
c. hypothesis testing
d. factorial experiment
Ans: A
27. Which among the following are not essentials for the Globalization?
a. Government Support
b. Import restrictions
c. Competitiveness
d. Orientation
Ans: B
28. Which of the following are the objectives of the International Monetary Fund?
a. Lending funds for purchasing military equipment
b. Assistance individual trader
c. Assistance to Non-member countries
d. The elimination or reduction of existing exchange controls
Ans: D
29. The first half of the 20th century was marked by a major ___.
a. Famine & floods
b. Rivalry among nations
c. Worldwide depression
d. Cross-border terrorism
Ans: C
30. Privatization offers both ___ and ___ to the economy.
a. financial, moral
b. Capital, profit
c. Opportunities, threats
d. Strength, weakness
Ans: C
31. The single currency in EU came into effect from 1998, but except in three countries – Britain, ____ and Sweden.
a. Denmark
b. Ukraine
c. Bosnia
d. Georgia
Ans: A
32. To establish a good corporate image, business organizations include social responsibility as a ___.
a. Commercial Objective
b. Expansion Objective
c. Strategic Alliance
d. Corporate objective
Ans: D
33. ___ very often exploit a business organization by draining out its profit and sometime even the capital.
a. Trade Unions
b. Markets
c. Banks
d. Social groups
Ans: A
34. The ____ programme of HUL meant for the rural women for earning extra income is highly commendable.
a. Business for poor
b. Shakti
c. Empowerment
d. Adult Education
Ans: B
35. The Government owns major portion of the capital stock or ____ or more in PSU.
a. 48%
b. 46%
c. 51%
d. 47%
Ans: C
36. The Public Corporation has been the common form of organization for public enterprises in most of the ____ countries.
a. Socialistic
b. Democratic
c. Military ruled
d. Autocratic
Ans: B
37. The main job of the committee on public undertakings (CPU) is to examine the autonomy and ___ of Public Enterprises.
a. Efficiency
b. Recruitment
c. Training
d. Transfer
Ans: A
38. India is now a chosen destination for outsourcing projects and offers a big ___.
a. Industrial sector
b. Textile sector
c. Literate base
d. Consumer base
Ans: D
39. In Higher Education, about ____ are taught by 3.31 lakh teachers in 15,000 colleges.
a. 71 lakh students
b. 51 lakh students
c. 59 lakh students
d. 41 lakh students
Ans: A
40. The ___ growth in India has fallen sharply in the last seven years as compared to the first seven years, post reforms.
a. Capital goods
b. Automobiles
c. Manufacturing sector
d. Telecom sector
Ans: C
41. Which of the following are Not important decisions for a successful business?
a. Who are my target customers?
b. Financial sources
c. Security Operation
d. Expansion of business
Ans: C
42. Which among is not directly affect on the Business Environment?
a. Family
b. Financial Status
c. Educational institutions
d. Religion
Ans: B
43. Which among the following is not important for a mixed economy?
a. Price mechanism
b. Promotion of welfare
c. Profit motive
d. Controls the private sector
Ans: B
44. Which among the following has Positive effects of New Economic Policy?
a. Focus has shifted from agriculture to industry
b. MNC’s focus only on urban areas
c. FDI preference over high-profit areas instead of priority areas
d. India has been recognized as an emerging superpower
Ans: D
45. What are the features of WTO?
a. It is a temporary institution. It settles the political related disputes
b. It is not global in its membership
c. It is the main organ of implementing the Multilateral Trade Agreement
d. The membership restricted to super powers
Ans: C
46. Which among the following is not part of main objective of Mercosuris?
a. Establishment of free trade zone
b. Mercosuris free from external trade barriers
c. A common external tariff (a customs union).
d. Free movement of capital, labour and services
Ans: B
47. In India 8 hours shift was first introduced by Tisco in ___.
A. 1911
B. 1912
C. 1934
D. 1937
Ans: B
48. In a free Trade Area the focus is usually on eliminating ___ only.
A. Tariffs
B. Tardy
C. Tax
D. None of the above
Ans: A
49. Members of the economic union work as a single nation, as far as ___ policy is concerned.
A. Social
B. Economic
C. Environmental
D. None of the above
Ans: B
50. ___ refers to the selling of public sector units equity in the market.
A. Globalization
B. Liberalization
C. Privatization
D. Disinvestment
Ans: D
Conclusion
These are the few MCQs we provide here you can download more study materials from learncbse.in and other websites. By combining these resources and practicing consistently, you’ll gain a strong grasp of Business Environment concepts and be well-prepared for your Class 12 exams.
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