1
Which of the following is the most well established and conventional form of operating in foreign market?
A)
Importing
B)
Exporting
C)
Franchising
D)
Joint Ventur
Answer & Solution
Answer: Option
B
2
Foreign trade helps each country to make . . . . . . . . use of its natural resources.
A)
optimal
B)
loss
C)
better
D)
none of these
Answer & Solution
Answer: Option
A
3
The effects of foreign trade on the domestic economy maybe at
A)
Micro level
B)
Macro level
C)
Both A and B
D)
Neither A nor B
Answer & Solution
Answer: Option
C
4
As per the Foreign Trade (Development and Regulation) Act, 1992, who advises the Central Government in the formulation of Export and Import Policy?
A)
Chief controller of Imports and Exports
B)
Director General of Foreign Trade
C)
Director General of Commercial Intelligence
D)
Chief Controller of Foreign Trade
Answer & Solution
Answer: Option
B
5
Foreign Direct Investment (FDI) involves
A)
a speculator trying to make a profit by buying company shares on a foreign stock exchange
B)
a UK energy company buying territory abroad where it expects to find oil reserves
C)
a tourist purchasing foreign currency to spend on a holiday abroad
D)
a company signing an agreement with a wholesaler to distribute its products in foreign markets
Answer & Solution
Answer: Option
B
6
Official reserves are comprised of gold, SDRs and . . . . . . . . foreign exchange.
A)
non-convertible
B)
convertible
C)
semi convertible
D)
all of these
Answer & Solution
Answer: Option
B
7
Which of the following statement is correct?Statement I The GATS is broadly categorised into two parts the national 'schedules' which list individual countrie's specific commitments on access to their domestic markets by foreign suppliers and the framework agreement that contains the rules and disciplines.Statement II The commitments as per GATS must be applied on the basis of non-discrimination.Statement III GATS also give full liberty to the members to choose which services to commit for opening up.
A)
All statements are correct
B)
All statements are incorrect
C)
Both I and II are correct
D)
Both II and III are correct
Answer & Solution
Answer: Option
A
8
Which of the following is not a 'pillar' of AoA agreement?
A)
Policy framework
B)
Market access
C)
Domestic support
D)
Export subsidies
Answer & Solution
Answer: Option
A
9
Which of the followmg is not a condition that should be followed by the World Bank while granting loan to member nations?
A)
The bank should assess the credibility of the borrower, this can be done by evaluating and assessing the natural resources and existing productive plan capacity to use the resources and operate the plant
B)
The bank compels the members to use the funds only a for a specific market
C)
World Bank must lend for specific projects only that are technically and economically sound and have ability to generate high returns
D)
The bank must maintain continuing relationships with the borrowers to check the progress of the project
Answer & Solution
Answer: Option
C
10
Which of the following currencies are used to determine the value of SDR?
A)
1, 2, 3, 4, 5
B)
1, 2, 5, 6, 7
C)
1, 3, 5, 6, 7
D)
1, 3, 4, 5, 6
Answer & Solution
Answer: Option
C
