RB CAGMAT REVIEW CENTER

The Professional Review Center for Agriculture

Review for Licensure Examination for Agriculturist

PREVIOUS BOARD EXAM QUESTIONS IN AGRICULTURAL

ECONOMICS AND MARKETING
(2003- 2018)

Compiled by
Ruel Roy B. Cagmat, RB Cagmat Review Center

1. If Mang Ka Knor wants to market his new product with

superior quality, what should he do to gain a bigger
slice of the market?
a. Branding
b. Pricing strategy
c. Promotion
d. Research

2. Who owns a corporation?

a. Top level management
b. Owner of the corporation
c. Stockholder
d. Bond holder
e. Capitalist

3. If an economy comprised 10% of rich people and the rest

are poor. It is called______
a. Pluralist
b. Purist
c. Dualist
d. Bourgeois

4. What case can be filed against Food Poisoning?

a. Consumer protection
b. Product liability
c. Product sanitation
d. Consumer rights

5. Something that is very popular for a short period of

time.
a. Trend
b. Sensation
c. Fad
d. Craze

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 6. What do you call a farm enterprise in which the farm is
owned by a family?
a. Econmienda
b. Hacienda
c. Family farm
d. Principales

7. What do you call the market with few large buyers?

a. Oligopsony
b. Oligopoly
c. Monopoly
d. Monopsony

8. What is a jobber?
a. Banker
b. Stock analyst
c. Wholesaler
d. Job seeker

9. A market is___________
a. A group of buyers and sellers with a particular
product
b. A group of buyers and sellers
c. A group of buyers and sellers in a place
d. A group of buyers and sellers interacting
e. All of the above

10. The payment made by the bank to the money lender?

a. Real interest rate
b. Premium
c. Interest rate
d. Interest
e. Bank rate

11. What do you call the graphical representation of

distribution of Income and or wealth?
a. Smith Curve
b. David Curve
c. Lorenz Curve
d. Keynesian Graph

12. What type of market structure in which there are

equal number of sellers and buyers?
a. Perfect competition
b. Monopoly
c. Oligopoly
d. Monopolistic competition

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 13. Who among the ff is first to be paid upon
dissolving a corporation?
a. Creditors
b. Investors
c. Top Level Management
d. Rank and File

14. In marketing, the 4P’s include product, place,

promotion, and price. In the 1990’s 4C’s of marketing was
introduced to be more customer oriented. What are the
4C’s of marketing?
a. Creativity, Collaboration, cost and communication
b. Customer value, cost, character and communication
c. Communication, creativity, cost and convenience
d. Customer value, cost, convenience and communication.

15. If the National Government revenues exceed its

spending, there is_____
a. Budget surplus
b. Budget deficit
c. Balance budget
d. Debt service

16. Which of the following is the least economic good?

a. Air
b. Electric fan
c. Water
d. Toothpick

17. What is variable cost known as?

a. Direct cost
b. Marginal cost
c. Service cost
d. Production cost

18. Cooperative Movement started in

a. Cambridge
b. United States
c. Rochdale Institute
d. Bangladesh

19. The Law of Comparative Advantage was developed

by________
a. Adam Smith
b. David Ricardo
c. John Maynard Kaynes
d. Thomas Malthus

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 20. Concept of “ Invisible Hand”
a. David Ricardo
b. Adam Smith
c. John Keynes
d. Thomas Malthus

21. Trademark is a__________protection

a. Right
b. Artistic
c. Legal
d. Patent

22. What is CEPT?

a. Common Effective Preferential Tariff
b. Center for Economic Planning and Technology
c. Conference on Economic and Planned Tariff
d. Common and Economic Preferential Tariff

23. The exclusive right of an inventor for the control

of his invention for a period of 17 years.
a. Patent
b. Royalty
c. Intellectual Property
d. Trademark

24. Who is the author of the classic book in economics

“ The Wealth of Nations” ?
a. David Ricardo
b. John Maynard Kaynes
c. Adam Smith
d. Marshall Galbraith

25. An economic agreement between 2 countries say Japan

and the Philippines is an example of _____
a. Bilateral Trade Agreement
b. Multilateral Trade Agreement
c. Economic Union
d. Economic Cooperation

26. Person who is in charge in all points of entry in a

country to regulate the entry of goods.
a. Customs officer
b. Pest officer
c. Security guard
d. Immigration officer

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 27. It is a tax imposed on goods when transported across
international borders
a. Quota
b. Treasury bonds
c. Customs duty
d. Import duty

28. It is a profitability measure that evaluates the

performance of a business by dividing net profit by net
worth.
a. Profit
b. Return of Investments
c. Capitalizations
d. Stocks

29. Who is the influential author of the book Das

Kapital?
a. Thomas Malthus
b. Karl Max
c. Ricardo David
d. Adam Smith

30. A couple in Davao City ordered a specialty cake in

Manila. They demanded that the cake be delivered in an
efficient, fast and the most economical way. What mode of
transportation does the owner of the bakeshoppe choose?
a. Bus
b. Boat
c. Train
d. Airplane

31. The increase of employment within the economy is

termed as________
a. Unemployment
b. Underemployment
c. Overemployment
d. Employment

32. A country’s spending goods and services that are

produced in other countries
a. Export
b. Import
c. Tariff
d. Quota

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 33. What do you call a farm enterprise in which the farm
is owned by a family?
a. Econmienda
b. Hacienda
c. Family farm
d. Principales

34. The rapid increase in price in the market

a. Superinflation
b. Inflation
c. Deflation
d. Hyperinflation

35. A Term created to describe a situation of

simulatenous economic stagnation, high unemployment and
inflation is _____
a. Deflation
b. Inflation
c. Depression
d. Stagnation

36. What theory that states that extrinsic factors such

as rainfall does affect the purchasing power of the
consumer?
a. Sunspot
b. Keynesian
c. Ricardian
d. Leibniz

37. If there is a drought, the supply curve will_____

a. Shift to the left
b. Shift to the right
c. Stays the same
d. Will be erratic

38. What is the difference between TR and TC?

a. Profit
b. Marginal Cost
c. Variable Cost
d. Mark-Up

39. Which theory that refers to an extrinsic random

variable, that is, a random variable that does not
directly affect economic fundamentals (such as
preferences, or technology).
a. Development Economics Theory
b. Ergonomics and Econometric Theory
c. Sunspot Theory
d. Love Generation Theory

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 40. A situation in which an abnormal amount of
depositors withdraw their deposits, normally caused by a
lack of confidence in the bank
a. Foreclosure
b. Bank holiday
c. Bank run
d. Receivership

41. Inflation caused by the deficiency of the aggregate

supply is called______
a. Demand pull
b. Excess inflation
c. Bottleneck inflation
d. Cost-push inflation

42. Is looking on the effect of a particular activities

of outcome
a. Positive effect
b. Normative effect
c. Positive economics
d. Normative economics

43. The measure of the responsiveness of quantity

demanded or supplied to changes in price, income or other
related goods?
a. Consumer price index
b. Elasticity
c. Price policy
d. Utility

44. The Law of Comparative Advantage was developed

by________
a. Adam Smith
b. David Ricardo
c. John Maynard Kaynes
d. Thomas Malthus

45. When a percentage change is quantity demanded is

greater the percentage change in price, the demand is
relatively sensitive to small price change, the demand is
said to be_______
a. Price elastic
b. Price inelastic
c. Unit elastic
d. Perfectly elastic

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 46. What kind of sales achieves the highest price?
a. Farmgate
b. Wholesale
c. Retail
d. Auction

47. Part of the product that identifies the product

a. Label
b. Packaging
c. Brand
d. Form

48. What are the factors that influence profits?

a. Supply and demand
b. Market price, volume sold and cost
c. Inflation, economic growth
d. All of the above

49. The Agriculture Sector contribute what percent to

the Philippine Economy?
a. 50 %
b. 20%
c. 70%
d. 90%

50. Which of the following countries did the industrial

revolution started?
a. United States of America
b. Japan
c. China
d. United Kingdom

51. It is a court-issued order to do something or to

stop doing something?
a. Termination order
b. Temporary Restraining Order
c. Injunction
d. Subpoena

52. 7:11 is an example of_____________

a. Franchise store
b. Specialty store
c. Convenience store
d. Neighborhood store

53. Colgate is a ___________

a. Toothpaste
b. Brand
c. Primary product
d. Oral Health hygiene

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 54. The cost that a firm incurs in purchasing or hiring
any factor of production is referred to as
a. Explicit cost
b. Implicit cost
c. Variable cost
d. Fixed cost

55. Refers to the recurrent ups and downs in the level

of economic activity
a. Inflation
b. Business cycle
c. Depression
d. Deflation

56. It refers to any activity that uses resources today

allowing for greater production in the future hence,
greater consumption.
a. Inventory
b. Investments
c. Savings
d. Deposits

57. All productive activities are based on ________

a. Distribution
b. Consumption
c. Scarcity
d. Economics

58. What is the most powerful instrument for reducing

poverty and improving the quality of life?
a. Agriculture
b. Land Reform
c. Economic Growth
d. Sustainable Development

59. The decrease in the value of capital goods used in

production is called
a. Depression
b. Depreciation
c. Diminishing returns
d. Diversion

60. The amount of goods and services that your wages can
buy is called
a. Free wage
b. Money wage
c. Salary
d. Real wage

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 61. A name, item, symbol etc, intended to identify the
goods and services of the seller and to differentiate
them from competitors .
a. Label
b. Advertisement
c. Packaging
d. Brand

62. Refers to the way firms adjust to the market in

which they engaged as buyers and sellers?
a. Market Performance
b. Market Conduct
c. Market Analysis
d. Market Trading

63. What do you call the decline of an economy for two

consecutive quarters?
a. Recession
b. Depression
c. Contraction
d. Economic Slump

64. In Economics, what do you mean by ceteris paribus?

a. Equal
b. Constant
c. Unchanged

65. A form of organization by a few firm in an

oligopolistic industry with the objectives of regulating
the output, prices, and behavior of members in the
industry
a. Mafia
b. Cartel
c. Black market
d. Hoarding

66. Manipulation of the public budget, government

spending and tax collections to achieve full employment
a. Monetary policy
b. Fiscal policy
c. Economic policy
d. Banking policy

67. Part of the product that identifies the product

a. Label
b. Packaging
c. Brand
d. Form

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 68. A kind of elasticity wherein a fall in the price
causes no changes in expenditure?
a. Elastic
b. Inelastic
c. Unit elastic
d. Point elastic

69. Most pricing policies adopted by the government

is/are:
a. Distortionary
b. Favoring urban consumers
c. Support farmers
d. Both A and B

70. A development theory that states that there is a

creation of metropolis in the third world countries to
facilitate the transfer of economic surplus from the
western economies.
a. Modernization theory
b. World system theory
c. Dependency theory
d. Development theory

71. A market with a single seller is called?

a. Monopoly
b. Monopsony
c. Bilateral monopoly
d. Unilateral monopoly

72. It refers to the share of the land used in the

production of goods and services
a. Wage
b. Commercial rent
c. Economic rent
d. Profit

73. These are merchant middlemen who sell to retailers

and other merchants in significant amounts but not to
ultimate consumers.
a. Contract buyers
b. Commission agents
c. Wholesalers
d. Retailers

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 74. Industries that are concerned with manufacturing of
industrial services engaged in production with total
assets of more than 5M but not exceeding 51 and an
employment size of 5-99 workers is_____
a. Small-scale industry
b. Medium-scale industry
c. Large-scale industry

75. Product handlers who serves as the last link in the

marketing channel
a. Consumers
b. Merchandisers
c. Viajeros
d. Retailers

76. Restrictions of foreign trade are made through these

except
a. Quotas
b. Incentive
c. Embargoes
d. Tariff

77. Bank set up in the 1970’s as a financial arm of the

land reform program
a. Banko Sentral ng Pilipinas
b. Development Bank of the Philippines
c. Land Bank of the Philippines
d. Philippine Cooperative Bank

78. Who is considered as the Father of Macroeconomics?

a. Adam Smith
b. David Ricardo
c. John Stuart Mill
d. John Maynard Keynes

79. What do you call a tax on imports?

a. Quota
b. Tariff
c. Ad Valorem Tax
d. Excise Tax

80. What kind or type of organization or firm that does

not require accounting?
a. Government organization
b. Local Government Unit
c. Commission on Audit
d. Foundations
e. Non-Government Organizations

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 81. A name, item, symbol etc, intended to identify the
goods and services of the seller and to differentiate
them from competitors .
a. Label
b. Advertisement
c. Packaging
d. Brand

82. The Philippines is basically a/an _________country

e. Industrial
f. Semi-Industrial
g. Agricultural
h. Manufacturing

83. What mostly influences the price that the farmers

received?
a. Government controls
b. Supply and demand
c. Advertisement
d. All of the above

84. Type of middlemen who take title to, and therefore

own, the products they handle
a. Merchant middlemen
b. Agent middlemen
c. Manufacturers
d. Commission agents

85. A marketing service that influences the buyers or

consumers to buy. The objective is to inform consumers
what is available for purchase, especially if the product
is new in the markeT
a. Promotion
b. Advertising
c. Branding
d. Marketing

86. Capital is usually accumulated from________

a. Savings
b. Interest
c. Rent
d. Profit

87. Part of the income that is not used for consumption

?
a. Money
b. Savings
c. Net income
d. Gross income

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 88. What do you call the gross national product minus
depreciation?
a. Gross domestic product
b. Net national product
c. National domestic product
d. Gross international product

89. It is a resource used to create another product

a. Money
b. Investment
c. Capital
d. Human resource

90. Extra income earned from producing an additional

unit of output is called________
a. Marginal cost
b. Marginal product
c. Marginal revenue
d. Marginal return

91. A type of middlemen who act only as representative

of their client/s
a. Agent middleman
b. Merchant middleman
c. Commission agent
d. Broker

92. The exclusive right of an inventor for the control

of his invention for a period of 17 years.
a. Patent
b. Royalty
c. Intellectual Property
d. Trademark

93. The main subject of GATT-WTO is the reduction of

_____________
a. Tariffs
b. Quantitative restrictions
c. Levies
d. Subsidies imposed on agricultural products

94. Agricultural production is__________

a. Seasonal
b. Predictable
c. Regular
d. Erratic

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 95. The reduction of the physical volume of the product
is called_________
a. Depreciation
b. Shrinkage
c. Damage
d. Loss

96. Refers to an inter-organizational system made up of

a set of interdependent institution and agencies involved
in the tasks of moving the products from the point of
production to the point of consumption.
a. Agricultural Marketing
b. Marketing
c. Marketing Channel
d. Managerial Economics

97. A form of organization by a few firm in an

oligopolistic industry with the objectives of regulating
the output, prices, and behavior of members in the
industry
a. Mafia
b. Cartel
c. Business organization
d. Marketing organization

98. Bank created in the mid 70’s especially designed to

serve the banking needs of the Muslim areas in the south
a. Philippine Muslim Bank
b. Bank of Southern Mindanao
c. Philippine Amanah Bank
d. Bank of Mindanao

99. What kind of sales achieves the highest price?

a. Farmgate
b. Wholesale
c. Retail
d. Auction

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