Investing in a business which is related but not same in another country 

* 
1 point 
Horizontal Investment 
Vertical Investment 
Conglomerate Investment 
None 
____ is the difference between the value of a country's imports and exports for a given
period * 
1 point 
Balance of Trade 
Balance of Payments 
Balance of Cash reciepts 
Balance of Economic demand 
Statement 1: A country that imports more goods and services than it exports in terms of
value has a trade deficit Statement 2: While a country that exports more goods and
services than it imports has a trade surplus. * 
1 point 
Statement 1 is true 
Statement 2 is true 
Both Statements are true 
Both are incorrect 
All FIIs in India must register with the _______ to participate in the market. * 
1 point 
SEBI 
Directorate of Foreign management 
FDI 
Government of India 
TRIPS Stands for: * 
1 point 
Trade-Related Aspects of Intellectual Property Rights 
Trade-Related Aspects of International Property Rights 
Trade-Related Aspects of Intellectual Picture Rights 
None 
The Foreign institutional investors can include: * 
1 point 
Pension Funds 
Investment Banks 
Hedge Funds 
All of the above 
___ is the largest component of a country's balance of payments. * 
1 point 
Balance of Trade 
GDR 
Economic Demand 
Economic Trends 
FEMA is an Act of the Parliament of _____ * 
1 point 
China 
USA 
India 
Nepal 
The ____ is empowered by FEMA to subject the capital account transactions to a
number of restrictions * 
1 point 
RBI 
Central Bank 
Foreign Exchange Reserves 
None 
FDI Stands for: * 
1 point 
Foreign Directional Institution 
Foreign display Institute 
Foreign Direct Investment 
Foreign Disgrace Investment 
_____ refers to the investments made by the residents of a country in the financial
assets and production process of another country. * 
1 point 
FII 
FDI 
Portfolio investments 
None 
______ are the investments in which an investor merely purchases equities of foreign-
based companies. * 
1 point 
FII 
FDI 
Portfolio investments 
None 
Which of the following is a type of FDI? * 
1 point 
Horizontal Investment 
Vertical Investment 
Conglomerate Investment 
All of the above 
______ made by a firm or individual in one country into business interests located in
another country. * 
1 point 
FII 
FDI 
Portfolio investments 
None 
It identifies five investment measures which are inconsistent with the General
Agreement on Trade and Tariff * 
1 point 
TRIPS 
TRIMS 
GATT 
All of the above 
Who tracks FDIs in USA? * 
1 point 
The Bureau of Economic Analysis 
The Central Bank 
The Parliament 
None 
WTO Stands for: * 
1 point 
World Trade Organizations 
World Trading Organisms 
Whole Trade Organizations 
None 
Investing in an unrelated business venture is called____ * 
1 point 
Horizontal Investment 
Vertical Investment 
Conglomerate Investment 
None 
_____ consists of a nation's imports and exports of capital and foreign aid. * 
1 point 
Current Account 
Capital Account 
Balance of Cash reciepts 
Balance of Trade 
Full form of FEMA * 
1 point 
Foreign Exchange Management Act 
Foreign Existing Management Act 
Foreign Exchange Management Action 
Foreign Exchange Material Act 
A ____ is an investor in a financial market outside its official home country. * 
1 point 
Foreign Institutional Investor 
Foreign Direct Investor 
Portfolio Investor 
None 
Statement 1: FERA replaced FEMA. Statement 2: FEMA replaced FERA. * 
1 point 
Both are false 
Statement 2 is true and 1 is false 
Statement 1 is true and 2 is false 
Both are correct 
Statement 1: FDIs are actively utilized in open markets rather than closed markets for
investors. Statement 2: FDIs are investments made by one company into another
located in another country. * 
1 point 
Statement 1 is true 
Statement 2 is true 
Both Statements are true 
None of the statement is true 
FERA Stands for: * 
1 point 
Foreign Exchange Reglation Act 
Foreign Energy Reglation Act 
Foreign Exchange Ruling Act 
None 
India is a ___ Country. * 
1 point 
Developed 
Under developed 
Developing 
None 
FEMA was introduced in the year ____ * 
1 point 
1990 
1991 
1996 
1999 
MNC Stands for: * 
1 point 
Multinational Corporations 
Multinational commodities 
Multinational Customs 
None 
TRIMS Stands for: * 
1 point 
Trade Related Investment Measures 
Tradeoff Relating Investment Measures 
Trade Related Import Measures 
Trade Related Investment Mixtures 
What activity is termed as activity of tertiary sector ? * 
1 point 
Wheat Production 
Mobile Production 
Construction of Dam 
None 
The _____ agreement introduced intellectual property law into the multilateral trading
system for the first time * 
1 point 
TRIMS 
TRIPS 
GATT 
FDI 
____ takes place when an investor establishes foreign business operations or acquires
foreign business assets in a foreign company. * 
1 point 
FII 
FDI 
Portfolio investments 
None 
_____ specifies enforcement procedures, remedies, and dispute
resolution procedures. * 
1 point 
TRIMS 
TRIPS 
GATT 
FDI 
The ____ is used by many countries and regions to promote the goods and services
from their companies abroad. * 
1 point 
Export Promotion 
Import Promotion 
Both 
None 
The type of unemployment more prominent in India : * 
1 point 
Seasonal Unemployment 
Cyclical Unemployment 
Structural Unemployment 
Open Unemployment 
Investing in the same type of business in another country * 
1 point 
Horizontal Investment 
Vertical Investment 
Conglomerate Investment 
None 
SEBI Stands for: * 
1 point 
Systems and Exchange Board of India 
Securities and Exchange Board Institution 
Securities and Exchange Board of India 
Securities and Exchange Board of Ireland 
Statement 1. The sum of all transactions recorded in the balance of payments should be
greater than zero; Statement 2. However, exchange rate fluctuations and differences in
accounting practices may hinder this in practice. * 
1 point 
Statement 1 is true 
Statement 2 is true 
Both Statements are true 
Both are incorrect 
Relative poverty is basically related to : * 
1 point 
Poor 
Rich 
Both 
None 
______ are those public policy measures which actually or potentially enhance
exporting activity at the company, industry, or national level. * 
1 point 
Export Promotion 
Import Promotion 
Foreign Exchange Reserves 
Economic Trends 
______ was formulated to consolidate and amend the law relating to foreign exchange
with the objective of facilitating external trade and payments and for promoting the
orderly development and maintenance of foreign exchange market in India * 
1 point 
FERA 
FEMA 
Balance of Trade 
Balance of Payments