Business and Commerce MCQs

Question 1

Which of the following is the advantage of sole proprietorship?

Accepted Answer

All of the above

Answer

Ease in formation

Answer

Flexibility in operations

Answer

Minimum regulations

Question 2

The enterprise which is financed by annual appropriation from the Treasury and its estimates of expenditure and revenue are shown in the national budget is called:

Accepted Answer

Departmental undertakings

Answer

Public corporation

Answer

Government company

Answer

Mixed ownership corporation

Question 3

The organization in which of Authority runs in straight line is called:

Accepted Answer

Military Organization

Answer

Committee Organization

Answer

Function Organization

Answer

Lateral Organization

Question 4

The Business Organization is

Accepted Answer

Both Art and Science

Answer

Art

Answer

Science

Answer

None of these

Question 5

The liability of a sole proprietor is limited to the extent of:

Accepted Answer

The value of his business assets and his all private assets

Answer

His capital invested in the business

Answer

The value of his business assets

Answer

None of these

Question 6

The members of a private company:

Accepted Answer

are entitled to transfer their shares within the restrictions imposed by Articles

Answer

have a right to transfer their shares freely to any one

Answer

cannot transfer their shares at all

Answer

can transfer their shares by obtaining prior permission of the Company Law Board

Question 7

The social responsibility of business is-

Accepted Answer

to all of them

Answer

to the customers

Answer

to the government

Answer

to the shareholders

Question 8

Balance of trade is related to:

Accepted Answer

Both A and B

Answer

Export trade

Answer

Import trade

Answer

Internal trade

Question 9

The first Director of a Company is appointed by:

Accepted Answer

Promoters

Answer

Registrar of Companies

Answer

Shareholders

Answer

None of these