3CE1-03: MANAGERAIL ECONOMICS AND FINANCIAL ACCOUNTING

Basic economic concepts-Meaning, nature and scope of economics, deductive vs inductive

methods, static and dynamics, Economic problems: scarcity and choice, circular flow of
economic activity, national income concepts and measurement.

1. Macro Economics is the study of-

(a) Problems such as the rates of inflation, the balance of payments etc
(b) The aggregate behavior of the economy
(c) The behavior of economic agents
(d) All of the above

Ans- d

2. Indicate below what is NOT a factor of production.

(a) Land (b) Labour (c) A bank loan (d) Capital

Ans- c

3. Macroeconomics deals with

(a )The behavior of firms.
(b) Economic aggregates.
(c) The activities of individual units.
(d) The behavior of the electronics industry.
Ans- b