Business Environment and International Business MCQ Questions and Solutions with Explanations

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Business Environment and International Business MCQ Questions and answers with easy and logical explanations. Commerce provides you all type of quantitative and competitive aptitude mcq questions with easy and logical explanations. Business Environment and International Business MCQ is important for exams like B.COM, M.COM, BBA, BBM, CA, CS, CMA, CPA, CFA, UPSC, NET, Banking and other commerce department exam. Page-5 section-5

Each section contains 100 MCQs on Business Environment and International Business .

The World Bank and the IDA are . . . . . . . . International Financial Institutions.

A) private B) complementary C) different D) same

Discuss

Answer & Solution

Answer: Option B

No explanation is given for this question. Let's Discuss on Board

Which of the following sets of items is not correctly matched?

A) Money Financed ⇔ Inflation B) Bond Financed ⇔ High interest rates C) Tax Financed ⇔ Deflation D) Externally Financed ⇔ Imports minus Export

Discuss

Answer & Solution

Answer: Option C

No explanation is given for this question. Let's Discuss on Board

Which of the following statement is incorrect?

A) In foreign direct investment, foreign companies develop new companies in home country B) Foreign companies open their subsidiaries in the country in FDI C) FDI does not create capital in the domestic country D) FDI has favourable impact on production and employment in the state

Discuss

Answer & Solution

Answer: Option C

No explanation is given for this question. Let's Discuss on Board

Custom unions always lead to

A) Trade diversion alone B) Trade creation alone C) Both trade diversion and trade creation D) Neither trade diversion nor trade creation

Discuss

Answer & Solution

Answer: Option C

No explanation is given for this question. Let's Discuss on Board

Will there to be the possibility of trade between two countries whose factor endowments are identical?

A) When there are differences in commodity prices in the two countries B) When there is difference in commodities prices C) When cost of production of different commodities differ between the two countries D) When production functions of the same goods are identical

Discuss

Answer & Solution

Answer: Option A

No explanation is given for this question. Let's Discuss on Board

Consider the following statements:
1. Fiat money has no intrinsic value, while the legal tender is any currency declared legal by a government.
2. Government can issue fiat currency and make it legal tender by setting it as the standard for debt repayment.
Which of the statements given above is/are correct?

A) 1 and 2 B) 2 only C) 1 only D) Neither 1 nor 2

Discuss

Answer & Solution

Answer: Option A

No explanation is given for this question. Let's Discuss on Board

Which one of the following items was responsible for most of the increase in international liquidity since World War-II?
(1) Gold
(2) Dollars
(3) Other Convertible Currencies
(4) SDRs
Select the correct answer using the options given below:

A) 1, 2 and 4 B) 1 and 3 C) 2 and 3 D) 2 and 4

Discuss

Answer & Solution

Answer: Option A

No explanation is given for this question. Let's Discuss on Board

Deficit financing includes:

A) Borrowing from the Central Bank B) Issues of new currency by the Government C) Withdrawal of past accumulated cash balance by the government D) All the above

Discuss

Answer & Solution

Answer: Option D

No explanation is given for this question. Let's Discuss on Board

Which of the following have been recognized under the intellectual property eligible for creation of rights as per WTO mandate?
(1) Computer software, music disc, performing art
(2) Geographical indicator
(3) Global positioning system
(4) Journals, books, seeds, design, brand

A) 1, 2 and 3 B) 4, 3 and 1 C) 1, 2 and 4 D) 3, 1 and 2

Discuss

Answer & Solution

Answer: Option C

No explanation is given for this question. Let's Discuss on Board

Which of the following terms describes the macro environment?

A) Direct environment B) Indirect environment C) Competitive environment D) Social environment

Discuss

Answer & Solution

Answer: Option B

No explanation is given for this question. Let's Discuss on Board

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Business Environment and International Business MCQ Questions and Solutions with Explanations | Commerce