Business Environment and International Business MCQs

Question 1

Main objectives of CRR and SLR is to ensure (i) Liquidity position of Bank (ii) Financial position of Bank (iii) Profit position of Bank

Accepted Answer

Only (i) is correct

Answer

Only (ii) is correct

Answer

Only (iii) is correct

Answer

All are correct

Question 2

Which of the following statements determine the automatic borrowing rights of a member of IMF?

Accepted Answer

It's subscribed quota in fund

Answer

The serious ness of its balance of payments disequilibrium

Answer

The size of its holding of reserve currencies

Answer

The value of its currency in term of gold

Question 3

Which conference gave birth to the IMF?

Accepted Answer

Bretton Woods Conference

Answer

Agency of United Nations

Answer

Uruguay Round Conference

Answer

None of the above

Question 4

Which of the following statement/s is true about a Multi-National Corporation (MNC)?

Accepted Answer

All of the above

Answer

An MNC is one which owns or controls production or service facilities in more than one country

Answer

MNCs can be ranked according to the amount of foreign assets they control

Answer

MNCs can be ranked according to a transnationality index

Question 5

There is a view that reduced rates on income tax would lead to a significant rise in income tax revenue. This view has been attributed to:

Accepted Answer

Arthur Laffer

Answer

Herbert Simon

Answer

Robert Lucas

Answer

J. B. Say

Question 6

Which of the following best describes the term 'import cover', sometimes seen in the news?

Accepted Answer

It is the number of months of import that could be paid for by a country's international reserves

Answer

It is the ratio of value of imports to the Gross Domestic Product of a country

Answer

It is the total value of imports of a country in a year

Answer

It is the ratio between the value of exports and that of imports between two countries

Question 7

India is a net exporter of hand-made carpets and an importer of high-tech product like computer memory chips and printers. This pattern of India trade is explained by the

Accepted Answer

Heckscher-Ohlin

Answer

Ricardian theory

Answer

Labour theory of value

Answer

Purchasing power parity theory

Question 8

The World Bank began its operation in

Accepted Answer

June, 1946

Answer

June, 1950

Answer

July, 1944

Answer

August, 1950

Question 9

Which of the following is a WTO procedure to promote globalization?

Accepted Answer

Promotion of free trade

Answer

Reduction of budgetary subsidies

Answer

Reduction in shipping costs

Answer

Promotion of foreign portfolio investment