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Take Test: MBCE701D-Economics & Management Decisions-Jan 22-Assignment1 ?

Take Test: MBCE701D-Economics & Management Decisions-Jan 22-Assignment1

Test Information
Description MBCE701D-Economics & Management Decisions- Assignment-1

Instructions Center for Continuing Education - UPES

MBCE701D-Economics & Management Decisions
Assignment 1

Total Questions: 63

Total Marks: 100

Assignment Information :

The examination will consist of only Objective type (multiple choice) questions requiring candidates to Mouse-click their correct choice of alternatives against the related question number. The questions would carry 1 to
5 marks each depending on the difficulty level of the question as indicated in the table below:

Difficulty Level of Questions:

1 Mark - Direct, Memory based

2 Marks - Memory & Conceptual

3 Marks - Conceptual & Analytical

4 Marks - Analytical based on understanding of concepts

5 Marks - Application based on understanding of concepts

  The question paper will be for 100 marks and considering marks allotted to each question, the total number of questions would be around 63.
  There will not be negative marking for wrong answers.
  In case candidate does not want to attempt the question he I she should not mouse-click any option.
  The students are allowed to save the responses and come back later to resume, complete and "Save and Submit" the assignment. However, if the Due Date has expired, then the assignment will not be
accessible and will be marked as zero. In such cases, the student can re-attempt the assignment allocated after enrolling in the subsequent Semester.
  Once submitted, that answer sheet cannot be retreieved for any editing. The student has to initiate a new attempt (if allowed), if he has submitted the assignment by mistake.
  The students are normally allowed 3 chances to attempt and submit the assignment. The number of attempts availed is displayed under the "Test Information".
  The Highest Grade of the 3 attempts shall be considered for grading.
  The assignments are auto evaluated, and hence no chance of re-evaluation/re-totalling is allowed to the student.

Multiple This Test allows 3 attempts. This is attempt number 1.

Attempts
Force This Test can be saved and resumed later.
Completion
Your answers are saved automatically.

QUESTION 1 4 points   Saved

Items that require large income have more elastic demand than the items that require less income

True

False

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 QUESTION 2 4 points   Save Answer

Question Completion Status:

Consider the following statements and identify the right ones.I.Personal income of individuals of a country II the income at their disposal after paying direct taxes is
called disposable income.
Social Security payments
wages paid by a local government to its road crew
wages paid by a state government to the workers in its welfare department
the federal government is purchase of a submarine from a shipbuilder

QUESTION 3 4 points   Saved

If the trend is linear, least squares method is used to forecast demand

True

False

QUESTION 4 4 points   Save Answer

If the economy is operating at potential GDP, an increase in money supply will lead to
government expenditure to be low and tax revenues to be low, probably leading to a budget surplus
government expenditure to be high and tax revenues to be low, probably leading to a budget surplus.
government expenditure to be high and tax revenues to be low, probably leading to a budget deficit.
government expenditure to be high and tax revenues to be high, probably leading to a budget deficit

QUESTION 5 4 points   Save Answer

If the individual receives $5 per hour and is in equilibrium at point E, his or her income at this equilibrium point must be
output will fall but the affect on price will be indeterminate
both price and output will rise
price will increase and output will fall
Price will increase but the effect on output will be indeterminate

QUESTION 6 2 points   Saved

Market failure is corrected by

The Government
RBI
SBI
PNB

QUESTION 7 2 points   Saved

The equilibrium of the firm occurs when

MC=MR
AC=AR
MC=SAC
None of the above

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 QUESTION 8 2 points   Saved

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Total Cost Curve comprises of

Total variable cost and total fixed cost

total marginal cost and total fixed cost
opportunity cost and marginal cost
none of the above

QUESTION 9 2 points   Saved

What is the other name of a measurable value?

Variable
constant
identity
function

QUESTION 10 2 points   Saved

Negative MU denotes more satisfaction.

True

False

QUESTION 11 2 points   Saved

The standard of living of the people depend on?

people's ability to produce.
people's ability to consume
people's ability to exchange

QUESTION 12 2 points   Saved

Perfectly inelastic demand curve is parallel to X – axis.

True

False

QUESTION 13 2 points   Save Answer

A commodity is referred to as normal if an increase in its price leads to an increase in the quantity of the commodity demanded per time period.

True

False

QUESTION 14 2 points   Saved

Indifference curve shows the various combinations of two goods which give equal satisfaction.

True
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False Save All Answers
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QUESTION 15
2 points   Save Answer
Give an example of exceptional demand curve
demand for giffen goods
demand for normal goods
demand for inexpensive necessities
all of the above

QUESTION 16 2 points   Save Answer

The subject matter of economics is divided into microeconomics andmacroeconomics

True

False

QUESTION 17 2 points   Save Answer

Why is the indifference curve convex to the origin?

due to diminishing marginal rate of subsitution
due to diminishing marginal utility
due to diminishing technical rate of substitution

QUESTION 18 2 points   Save Answer

Demand for food grains is elastic

True

False

QUESTION 19 2 points   Save Answer

Fiscal deficit in the Union budget means

the difference between current expenditure and current revenue
difference between public expenditure and public revenue
difference between private expenditure and private revenue

QUESTION 20 3 points   Save Answer

Which of the following best describes the three fundamental economic questions?
What to produce, when to produce, and where to produce
What time to produce, what place to produce, and how to produce.
What to produce, when to produce, and for whom to produce.
What to produce, how to produce, and for whom to produce

QUESTION 21 3 points   Save Answer

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With which of the following is the concept of marginal cost closely related?
Variable cost
 fixed Cost

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Opportunity cost

Economic cost

QUESTION 22 3 points   Save Answer

Bread, butter, ghee are the examples of producer goods

True

False

QUESTION 23 3 points   Save Answer

Which of the following financial institutions are operating in the money market?1. Non-Banking financial institutions 2. Acceptance Houses 3.Central Bank 4. Stock
Exchanges Select the correct answer using the codes given below:
2 and 3
1 and 3
1,2,4
1,2, and 3

QUESTION 24 1 points   Save Answer

When total utility becomes maximum, then marginal utility will be—
Minimum
Average
zero
Negative

QUESTION 25 1 points   Save Answer

Which rates are reviewed by the RBI at the time of periodical review of the policy?
Bank rate, saving bank rate and repo rate
call rate and bank rate
repo rate
reverse repo rate

QUESTION 26 1 points   Save Answer

The most important source of capital formation in India has been

public sector savings
corporate savings
household savings
government revenue surpluses

QUESTION 27 1 points   Save Answer

In monopolistic
Click competition,
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submit. marginal
Click revenue
Save All curve
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to save Save All Answers
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a negative slope, and so does its demand curve
a slope equal to zero, but its demand curve has a negative slope
 a slope equal to zero, and so does its demand curve.

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a negative slope, but its demand curve has zero slope

QUESTION 28 1 points   Save Answer

What is the goal of Monetary Policy?

price stability
economic stability
full utilisation of resources
all of the above

QUESTION 29 1 points   Save Answer

A fall in the price of the commodity leads to

a fall in demand
a shift in demand
a rise in demand
None of these

QUESTION 30 1 points   Save Answer

The most important source of revenue to the states is

Sales tax
Service tax
Excise duty
None of these

QUESTION 31 1 points   Save Answer

Economics is the Science of Wealth” who gave this definition ?

J.K Mehta
Marshall
Adam Smith
Robbins

QUESTION 32 1 points   Save Answer

If the price elasticity is between 0 and 1, demand is

inelastic
elastic
perfectly elastic
unitary elastic

QUESTION 33 1 points   Save Answer

In Monetary terminology, what is called the monetary base or high powered money?
Click Save
the and
total Submit to RBI
liability of save and submit. Click Save All Answers to save all answers. Save All Answers
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Paper notes and currency with RBI
 deposits with commercial banks

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QUESTION 34 1 points   Save Answer

Total utility of a commodity is measured by which price of that commodity ?

Value in use
Value in exchange
Both of the above
None of the above

QUESTION 35 1 points   Save Answer

Open Market Operations, one of the measures taken by RBI in order to control credit expansion in the economy means
sale and purchase of government securities
issuance of different types of bonds
auction of gold
to make available direct finance to borrowers

QUESTION 36 1 points   Save Answer

An explicit cost is
the cost of giving up an alternative
the cost of a chosen alternative
calculated by subtracting the monetary cost of an alternative by the time invested
none of the above

QUESTION 37 1 points   Save Answer

India has a
mixed economy
socialist economy
capitalist economy
Gandhian socialist economy

QUESTION 38 1 points   Save Answer

Marginal costs curve intersects the

ATC,AFC,AVC curves at the minimum points
ATC and AVC curves at their minimum points
ATC and AFC at their minimum points
AFC and AVC curves at their minimum points

QUESTION 39 1 points   Save Answer

Monopolistic competition in comparison to perfect competition ensures

higher price and lower output
lower price and higher output
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QUESTION 40 1 points   Save Answer

What was the form of money in ancient period?

grain and cattle
metallic money
plastic money
credit money

QUESTION 41 1 points   Save Answer

Who is authorised to issue coin in India?

SBI
RBI
Ministry of Finance
High Court

QUESTION 42 1 points   Save Answer

Who said Money is what money does?

Walker
Jacob Viner
Adam Smith
Marshall

QUESTION 43 1 points   Save Answer

The Imperial Bank of India, after its nationalization came to be known as

State Bank of India
Union Bank of India
Vijaya Bank
Punjab National Bank

QUESTION 44 1 points   Save Answer

The value of an economic theory in practice is determined by

how accurate the assumptions are. 
how well the theory can be represented by a graph.
how well the theory can predict or explain
how parsimonious the model is

QUESTION 45 1 points   Save Answer

The modern economy is not characterized by

capital intensive mode of production
development of money economy
self sufficient village system
production for market

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 QUESTION 46 1 points   Save Answer

Question Completion Status:

when there is a decrease in the demand , the demand curve
moves upwards away from the axis
moves upwards towards the axis
moves downwards away from the axis
moves downwards towards the axis

QUESTION 47 1 points   Save Answer

A tax imposed on monopoly profits

can be shifted forward
can be shifted backward
can be shifted both forward and backward
cannot be shifted

QUESTION 48 1 points   Save Answer

Which is the country’s third largest private sector lender whose name has been officially changed to the Axis Bank ltd. ?
UTI Bank
ICICI
HDFC
Axis

QUESTION 49 1 points   Save Answer

A group of firms that gets together to make price and output decisions is called
Cartel
price leadership
total cost plus pricing
a concentrated industry

QUESTION 50 1 points   Save Answer

The substitution effect refers to

the change in quantity demanded when the price of a substitute changes.
the change in quantity demanded resulting from a change in total satisfaction, holding relative prices constant
the change in quantity demanded resulting from a change in relative prices, holding the level of satisfaction constant.
the percentage change in quantity demanded resulting from a one percent change in all prices

QUESTION 51 1 points   Save Answer

In depreciation calculation, the useful life of a fixed asset is

a certain figure
an estimate
a predetermined figure for all fixed assets

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QUESTION 52 1 points   Save Answer
 After State Bank of India, which bank has the largest number of offices?

Question Completion
Punjab Status:
National Bank

Vijaya Bank
Syndicate Bank
Indian Overseas Bank

QUESTION 53 1 points   Save Answer

If the elasticity of demand is zero, the demand curve will be

parallel to the OX-axis
parallel to vertical axis
upward sloping 450 line
downward sloping from left to right

QUESTION 54 1 points   Save Answer

The Unemployment rate consistent with a constant inflation rate is called

NAIRU
Phillips Curve
hyper inflation
None of the above

QUESTION 55 1 points   Save Answer

The first stage in the five-step decision process described in the text is to
Define the problem
select the best possible solution
determine the objective
implement the decision

QUESTION 56 1 points   Save Answer

Marginal Cost is less than the average cost when average cost falls with
an increase in output
a decrease in output
constant output
no change in output

QUESTION 57 1 points   Save Answer

Which one of the following is not the objective of monetary policy in India?
to issue notes
To achieve price stability
to regulate foreign trade
to stabilise exchange rate

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QUESTION 58 1 points   Save Answer
 For a firm in monopolistic competition, the marginal cost curve intersects the average total costcurve

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at Completion
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at the minimum average total cost.

to the left of the minimum average total cost.
to the right of the minimum average total cost.

QUESTION 59 1 points   Save Answer

Depreciable amount + Residual value of a fixed asset =?

Depreciation expenses
Accumulated depreciation
cost of the fixed asset
future economic benefits of a fixed asset

QUESTION 60 1 points   Save Answer

A fall in the demand for money would affect

a rightward shift in the LM function
a rightward shift in the LM function
a leftward shift in the LM function
a rightward shift in the IS function

QUESTION 61 1 points   Save Answer

Cobb douglas production function does not possess the characteristics of

constant returns to scale
unit elasticity of substitution
Variable elasticity of substitution

QUESTION 62 1 points   Save Answer

Shut down point is one where a firm

cannot cover its variable costs
can cover variable costs and fixed costs
cannot cover fixed cost
none of the above

QUESTION 63 1 points   Save Answer

Which theory is generally included under micro economics ?

Price Theory
Income theory
Employment theory
None of the above

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