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This section includes 1419 Mcqs, each offering curated multiple-choice questions to sharpen your General Management knowledge and support exam preparation. Choose a topic below to get started.
| 101. |
Investments would grade uppermost with regard to protection is |
| A. | overnment bonds |
| B. | ommon stock |
| C. | referred stock |
| D. | eal estate |
| Answer» B. ommon stock | |
| 102. |
Who concern with relations between security returns |
| A. | arkowitz diversification |
| B. | andom diversification |
| C. | riedman diversification |
| D. | orrelating diversification |
| Answer» B. andom diversification | |
| 103. |
Dollar-cost averaging allows investors to stay away from trouble of buying high and selling |
| A. | east |
| B. | igh |
| C. | ow |
| D. | ighest |
| Answer» D. ighest | |
| 104. |
Markowitz model presumed generally investors are |
| A. | isk averse |
| B. | isk natural |
| C. | isk seekers |
| D. | isk moderate |
| Answer» B. isk natural | |
| 105. |
Choice of correlation coefficient is between |
| A. | to 1 |
| B. | to 2 |
| C. | inus 1 to +1 |
| D. | inus 1 to 3 |
| Answer» D. inus 1 to 3 | |
| 106. |
Full fledged money changers are authorized to undertake |
| A. | nly sale transactions |
| B. | nly purchase transactions |
| C. | ll types of foreign exchange transactions |
| D. | urchase and sale of foreign currency notes, coins and travellers cheques |
| Answer» E. | |
| 107. |
Non-resident bank accounts are maintained in |
| A. | he permitted currencies |
| B. | he currency of the country of the bank maintaining the account |
| C. | he currencies in which FCNR accounts are permitted to be maintained |
| D. | ndian rupee |
| Answer» E. | |
| 108. |
The number of nostro accounts that can be maintained by a bank in a particular currency is |
| A. | ne |
| B. | ot exceeding three |
| C. | inimum two |
| D. | o such limit |
| Answer» E. | |
| 109. |
The Bretton Woods System called for: |
| A. | he IMF to promote development |
| B. | loating exchange rates against the Japanese Yen |
| C. | ixed exchange rates against the US Dollar |
| D. | loating exchange rates against US Dollar |
| Answer» D. loating exchange rates against US Dollar | |
| 110. |
Export control refers to restrictions on. |
| A. | omestic firms from engaging in exports |
| B. | tems that can be exported from the country |
| C. | rom firms exporting to the country |
| D. | uantitative restrictions |
| Answer» D. uantitative restrictions | |
| 111. |
The penalty for the contravention of foreign trade rules is decided by. |
| A. | he Appellate authority |
| B. | he Adjudicating authority |
| C. | he Competing authority |
| D. | he Regional Licensing Authority |
| Answer» C. he Competing authority | |
| 112. |
The insurance policy that covers exporters against commercial and political risk is. |
| A. | eneral insurance |
| B. | CGC |
| C. | arine insurance |
| D. | ire insurance |
| Answer» E. | |
| 113. |
The common types of Intellectual property include. |
| A. | opyrights and trademarks |
| B. | atents and industrial design rights |
| C. | rade Secrets |
| D. | ll of the above |
| Answer» C. rade Secrets | |
| 114. |
The nodal agency of the Government of India for promoting the country's external trade is. |
| A. | ndian Trade Promotion Organisation |
| B. | ndian Institute of Foreign Trade |
| C. | ederation of Indian Exports |
| D. | rade Development Authority of India |
| Answer» C. ederation of Indian Exports | |
| 115. |
What is the IMF's primary objective? |
| A. | he overall promotion of world trade |
| B. | he fixation of the value of world currencies |
| C. | he promotion of free trade |
| D. | he promotion of its policies in certain countries around the world |
| Answer» B. he fixation of the value of world currencies | |
| 116. |
The exports made by an exporter or manufacturer on behalf of another exporters are called |
| A. | egistered Exporter |
| B. | anufacturer Exporter |
| C. | erchant Exporter |
| D. | hird Party Exporter |
| Answer» B. anufacturer Exporter | |
| 117. |
The certificate issued for the registration under Export Promotion Council is called. |
| A. | egistration Cum Membership Certificate |
| B. | ermanent Account Number |
| C. | mporter Exporter Code |
| D. | TC number |
| Answer» E. | |
| 118. |
Derivatives are so called because |
| A. | hey are subsidiary products in the market |
| B. | hey are derived from combination of different assets |
| C. | heir value is dependent on the value of some other fundamental variable |
| D. | hey are traded on derivative exchanges |
| Answer» C. heir value is dependent on the value of some other fundamental variable | |
| 119. |
Derivatives can be used by an exporter for managing. |
| A. | urrency risk |
| B. | argo risk |
| C. | redit risk |
| D. | usiness risk |
| Answer» D. usiness risk | |
| 120. |
The major players in the foreign exchange market are. |
| A. | ommercial banks |
| B. | orporates |
| C. | xchange brokers |
| D. | entral bank of the country and the Central Government |
| Answer» D. entral bank of the country and the Central Government | |
| 121. |
Which exchange commenced trading in currency in 1982 |
| A. | hiladelphia |
| B. | exican peso |
| C. | imsetallism |
| D. | mithsonian |
| Answer» B. exican peso | |
| 122. |
Markets in which funds are transferred from those who have excess funds available to those who have a shortage of available funds are called. |
| A. | ommodity markets |
| B. | und-available markets |
| C. | erivative exchange markets |
| D. | inancial markets |
| Answer» E. | |
| 123. |
The balance of payments always has a zero balance. This is caused by. |
| A. | he working of the foreign exchange market |
| B. | y including errors and omissions |
| C. | he system of double entry bookkeeping |
| D. | y including reserves and related items |
| Answer» D. y including reserves and related items | |
| 124. |
What basis the exchange rates are determined |
| A. | upply |
| B. | emand |
| C. | emand and supply |
| D. | orex |
| Answer» D. orex | |
| 125. |
The euro is the name for |
| A. | currency deposited outside its country of origin |
| B. | bond sold internationally outside of the country in whose currency the bond is denominated |
| C. | common European currency |
| D. | oreign currencies deposited in home country |
| Answer» D. oreign currencies deposited in home country | |
| 126. |
Which of the following is not considered a unilateral transfer? |
| A. | oreign aid from one government to another |
| B. | ncome earned from foreign investments |
| C. | ersonal gifts to friends in foreign countries |
| D. | onations to foreign countries from non-government |
| Answer» C. ersonal gifts to friends in foreign countries | |
| 127. |
Net exports refers to. |
| A. | otal exports minus total imports |
| B. | otal imports minus total exports |
| C. | xports of merchandise minus imports of merchandised |
| D. | otal exports of capital minus depreciation |
| Answer» B. otal imports minus total exports | |
| 128. |
The exchange rate is the. |
| A. | otal yearly amount of money changed from one country’s currency to another country’s currency |
| B. | otal monetary value of exports minus imports |
| C. | xchange value of one country currency in terms of another country currency |
| D. | rice of one country currency in terms of another country currency |
| Answer» E. | |
| 129. |
Increasing interest rates. |
| A. | iscourage corporate investments |
| B. | iscourage individuals from saving |
| C. | ncourage corporate expansion |
| D. | ncourage corporate borrowing |
| Answer» B. iscourage individuals from saving | |
| 130. |
Pegging the value of a currency can be done by |
| A. | egging to a major currency |
| B. | egging to a basket of currencies |
| C. | egging to SDR |
| D. | ny of the above |
| Answer» E. | |
| 131. |
At present the role of IMF in the exchange rate policies of its members is to |
| A. | rohibit floating rate |
| B. | ave surveillance and express opinion on policies |
| C. | estrict the exchange fluctuations within a band |
| D. | rohibit fixed rate |
| Answer» C. estrict the exchange fluctuations within a band | |
| 132. |
Under the original scheme IMF, a member country had to obtain the permission of IMF for |
| A. | ny devaluation of its currency |
| B. | ny devaluation or revaluation of its currency |
| C. | evaluation of its currency at a time exceeding 10% |
| D. | evaluation of its currency exceeding cumulatively 10% |
| Answer» B. ny devaluation or revaluation of its currency | |
| 133. |
Under fixed exchange rate system, fall in the value of domestic currency due to deficit in balance of payments resulted in |
| A. | epreciation of the currency |
| B. | evaluation of the currency |
| C. | ppreciation of the currency |
| D. | o change in the exchange rate normally |
| Answer» E. | |
| 134. |
The abbreviations SDR stands for |
| A. | pecial Drawing Rights |
| B. | pecific Drawing Rights |
| C. | pecial Depository Rules |
| D. | pecific Depository Rules |
| Answer» B. pecific Drawing Rights | |
| 135. |
What is the role of IMF |
| A. | t controls the budgets of national government |
| B. | t acts as a forum for international economics |
| C. | t Observes world exchange rates, balance of payments and multilateral payments |
| D. | t seeks to promote free international trade |
| Answer» D. t seeks to promote free international trade | |
| 136. |
IMF augments its resources by borrowing under |
| A. | eneral arrangements to borrow |
| B. | ew arrangements to borrow |
| C. | rust funds |
| D. | ll the above |
| Answer» E. | |
| 137. |
The role if IMF does not include |
| A. | onitoring the proper conduct of the international monetary system |
| B. | ending to socially oriented projects |
| C. | inancing temporary balance of payments deficits of member countries |
| D. | roviding source of liquidity to member countries |
| Answer» C. inancing temporary balance of payments deficits of member countries | |
| 138. |
The activities of ADB include |
| A. | roject financing |
| B. | uaranteeing loans |
| C. | oth a and b |
| D. | isk management products |
| Answer» D. isk management products | |
| 139. |
MIGA stands for |
| A. | ultilateral Investment Guarantee Agency |
| B. | ultilateral Institutional and Government Agencies |
| C. | utual Interest Guaranteeing Agencies |
| D. | utual Institutional and Government Agencies |
| Answer» B. ultilateral Institutional and Government Agencies | |
| 140. |
Financial products of IFC does not include |
| A. | oans |
| B. | quity participation |
| C. | isk management products |
| D. | one of the above |
| Answer» E. | |
| 141. |
The eligibility to borrow from IDA is based on |
| A. | elative poverty |
| B. | ack of creditworthiness to borrow on market terms |
| C. | ood policy performance |
| D. | ll the above |
| Answer» E. | |
| 142. |
The apex body of the Foreign Trade is |
| A. | he Central Government |
| B. | he State Government |
| C. | he Ministry of Commerce |
| D. | ll the above |
| Answer» D. ll the above | |
| 143. |
ADR/GDR can be issued |
| A. | nly by listed companies |
| B. | y listed or unlisted companies |
| C. | nly by companies listed on BSE |
| D. | one of the above |
| Answer» B. y listed or unlisted companies | |
| 144. |
Money received for purchase of shares in Indian company by a foreign investor will be treated as foreign direct investment if |
| A. | he investment is in equity shares |
| B. | he shares are allotted directly to him by the company |
| C. | he investor has an intention to take active role in the management of the company |
| D. | he shares are acquired other than through stock exchange |
| Answer» E. | |
| 145. |
Country A imports gold worth USD 100 million for commercial purposes. The transaction will affect |
| A. | urrent account only |
| B. | apital account only |
| C. | fficial reserves account only |
| D. | oth current account and capital account |
| Answer» E. | |
| 146. |
The current account of balance of payments does not include |
| A. | rade in goods |
| B. | rade in services |
| C. | ncome on investments |
| D. | one of the above |
| Answer» B. rade in services | |
| 147. |
A country has a negative balance of trade it means the balance of payments on current account |
| A. | hould also be negative |
| B. | hould be positive |
| C. | ay be positive or negative |
| D. | hould be same as balance of trade |
| Answer» E. | |
| 148. |
The current account of balance of payments includes |
| A. | nilateral payments |
| B. | ortfolio investments |
| C. | hort term borrowings |
| D. | ong term borrowings |
| Answer» C. hort term borrowings | |
| 149. |
A debit in balance of payments does not indicate |
| A. | mport of goods and services |
| B. | oreign tourists enchasing travellers’ cheque in the country |
| C. | nvestments made abroad |
| D. | xport of goods and services |
| Answer» E. | |
| 150. |
The Imports and Exports (Control. Act was passed in the year: |
| A. | 955 |
| B. | 947 |
| C. | 977 |
| D. | 996 |
| Answer» C. 977 | |