Question Bank 8

26. When the greater the elasticity of supply the change in the new equilibrium price will:
(a) Be higher
(b) Be higher than previous price
(c) Be lower
(d) Be lower than previous price
Ans. (c)
27. In the short run, the monopolist:
(a) Incurs a loss
(b) Breaks down
(c) Makes a profit
(d) Any of the above
Ans. (d)
28. Match the following:
A. Responsiveness of demand to change in price 1. Income elasticity of demand
B. Responsiveness of demand to change in tastes 2. Price elasticity of demand
C. Responsiveness of demand to change in income 3. Cross elasticity of demand
D. Responsiveness of demand to change in price 4. Taste elasticity of demand
of related goods
Codes:
A B C D
(a) 1 2 3 4
(b) 4 3 1 2
(c) 3 4 2 1
(d) 2 4 1 3
Ans. (d)
29. A stable equilibrium position is one in which:
(a) There are never any departures from the equilibrium position
(b) There are only two forces influencing equilibrium
(c) Any departure from the equilibrium position calls into play forces which end to restore that position
(d) There are endless oscillations
Ans. (c)
30. We can separate the income effect from the substitution effect of the price fall of reducing the consumers:
(a) Money income sufficiently to keep his real income constant
(b) Money income to make his real income higher
(c) Money income to make his real income lower
(d) None of these
Ans. (a)
31. The Law of Diminishing Returns is applied to all fields of production was stated by
(a) Walras
(b) A. C. Pigou
(c) Alfred Marshall
(d) David Ricardo
Ans. (a)
32. Assertion (A): A manager dealing with trained subordinates can afford to operate on a wide span.
Reason (R): Trained subordinates carry on their functions without very frequent reference to the superior.
Codes:
(a.) A and R are true and R explains A.
(b) A and R are true but R does not explain A.
(c) A is true but R is false.
(d) A is false but R is true.
Ans. (a)
33. ‘Pocus on social environment” is related to the:
(a) Human Relations
(b) Unity of direction
(c) Unity of command
(d) None of the above
Ans. (a)
34. Which of the following are associated with the Scientific Management Movement?
1. Functional-Foremanship
2. Centralization
3. Time and motion study
4. Unity of command
Select the correct answer from the codes given below:
(a) l and 3
(b) 2 and 4
(c) l, 2 and 3
(d) 2, 3, and 4
Ans. (a)
35. Commercial banks are now permitted to I undertake to the business of:
(a) Equipment leasing
(b) Mutual funds
(c) Factoring
(d) All of these
Ans. (d)
36. Marketing research data is gathered by:
(a) Observation
(b) In-depth interviews
(c) Controlled experiment
(d) All of the above
Ans. (d)
37. Who authored book “Policy and Management”?
(a) Gladden
(b) Weber
(c) Dimock
(d) Appleby
Ans. (d)
38. If the agreement is silent, an arbitration reference is to appoint:
(a) Sole arbitrator
(b) Two or more arbitrators
(c) Both (a) and (b)
(d) None of the above
Ans. (a)
39. Structure variable is synonymous with::
(a) Task
(b) Relations
(c) Styles
(d) Attitude
Ans. (a)
40. The Banking Regulation Act, 1949, does not at all apply to:
(a) State Bank of India and its subsidiaries
(b) Nationalized Banks
(c) Foreign Banks having their offices in India
(d) Primary agricultural credit societies and co-operative and mortgagee banks
Ans. (d)
41. Which of the following is most likely to cause an immediate increase in the stage of the working population?
(a) A rise in the average size of families
(b) An increase in the birth rate
(c) A fall in the death rate of the over 60 years old
(d) More favourable tax treatment of the earnings, married women
Ans. (d)
42. You are the manager of a firm.
Which of the following activities do you initiate first?
(a) Planning
(b) Organizing
(c) Staffing
(d) Directing
Ans. (a)
43. The Industrial Finance Corporation, of India came into existence in
(a) July, 1948
(b) August, 1968
(c) September, 1951
(d) None of these
Ans. (a)
44. A court has power to:
(a) Modify the award of an arbitrator with his consent
(b) Modify the award subject to the consent of the parties
(c) Nullify the arbitration agreement
(d) None of these
Ans. (d)
45. The three objectives of scientific management are:
1. Standardization of working conditions
2. Standardization of work methods
3. Planning of large daily tasks
4. Maximization of employment
Select the correct code from the following:
(a) l, 2 and 4
(b) l, 2 and 3
(c) 2, 3 and 4
(d) 1, 3 and 4
Ans. (c)
46. Scientific management addressed itself to the problems of:
(a) Bottom part of organization
(b) Top management
(c) Middle tier of management
(d) All of the above
Ans. (d)
47. Which of the following is not a typically used procedure to reduce the total number of employees?
(a) Lay off
(b) Terminations
(c) Downturns
(d) Early retirement in inducements
Ans. (d)
48. You require capital for purchase of fixed assets. What is this capital called :
(a) Floating capital
(b) Reserve capital
(c) Circulating capital
(d) Fixed capital
Ans. (a)
49. Who is the final authority for deciding the design, form and material of bank notes?
(a) Central Government
(b) Reserve Bank of India
(c) Indian Bank’s Association
(d) Note Issuing Authority of India
Ans. (c)
50. Who is author of ‘ The Function of the Executive’?
(a) Chester Bernard
(b) Cart Rogers
(c) A. H. Maslow
(d) E. Mayo
Ans. (a)