Business Environment and International Business MCQ Questions and Solutions with Explanations

Section 1 Section 2 Section 3 Section 4 Section 5 Section 6 Section 7

11.
Which of the following staternent/s is/are true in context of Effective Revenue Deficit (ERD)?

A. ERD is the difference between revenue deficit and grants for creation of capital assets

B. The concept of ERD was suggested by the Rengarajan Committee on Public Expenditure

C. ERD aims to deduct the money used out of borrowing to finance capital expenditure

D. All of the above are true

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12.
Which one of the following is not the benefit of MNCs to the host nation?

A. Increase in social activity

B. Increase in economic activity

C. Utilization of natural resources

D. R & D efforts enhanced

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13.
NAFTA was signed by

A. George H. W. Bush

B. Mexican President Salinas

C. Canadian Prime Minister Brian Mulroney

D. All of the above

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14.
Which of the following statements is/are incorrect?

A. NAFTA grant the signatories most favoured nation status

B. Cooperation for mutual benefit is the principle of ASEAN

C. Both A and B

D. All of the above

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15.
Under TRIPS Agreement, patent is granted subject to which of the following?
(1) The product or the process is new one.
(2) It contains an inventive step.
(3) It is capable of industrial application for 15 years from the grant of the patent.
(4) It is capable of industrial application for 20 years from the grant of the patent.

A. Only (1) and (2)

B. Only (1), (2) and (3)

C. Only (1), (2) and (4)

D. Only (1) and (4)

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16.
Consider the following statements and identify the right ones.
1. A double entry system of record of all economic transactions between the residents of a country and rest of the world is called balance of trade.
2. All transactions related to goods, services or income are classified as capital account.

A. Only 1

B. Only 2

C. Both of the above

D. None of the above

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17.
Rapid economic development or economic growth requires most efficient use of the

A. country's resources

B. foreign investment

C. Both A and B

D. None of the above

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18.
What is the situation referred to as, amongst the following, when intra-region trade is duty free but there is variation in tariff structure for import from a third country?

A. Customs Union

B. Common Market

C. Free Trade Area

D. Economic Union

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19.
Flow of foreign loans and investments affect:

A. Trade balance

B. Current Account balance

C. Capital Account balance

D. None of the above

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20.
Which of the following statement is incorrect?

A. Economic system is not the feature of mixed economy

B. Price mechanism is not affective in socialist economy

C. Classless society is a feature of socialist economy

D. Socialism is an universal economic system

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

11. Which of the following staternent/s is/are true in context of Effective Revenue Deficit (ERD)?

Answer & Solution

12. Which one of the following is not the benefit of MNCs to the host nation?

Answer & Solution

13. NAFTA was signed by

Answer & Solution

14. Which of the following statements is/are incorrect?

Answer & Solution

Answer & Solution

Answer & Solution

17. Rapid economic development or economic growth requires most efficient use of the

Answer & Solution

18. What is the situation referred to as, amongst the following, when intra-region trade is duty free but there is variation in tariff structure for import from a third country?

Answer & Solution

19. Flow of foreign loans and investments affect:

Answer & Solution

20. Which of the following statement is incorrect?

Answer & Solution

Read More Section(Business Environment and International Business)

11.
Which of the following staternent/s is/are true in context of Effective Revenue Deficit (ERD)?

12.
Which one of the following is not the benefit of MNCs to the host nation?

13.
NAFTA was signed by

14.
Which of the following statements is/are incorrect?

17.
Rapid economic development or economic growth requires most efficient use of the

18.
What is the situation referred to as, amongst the following, when intra-region trade is duty free but there is variation in tariff structure for import from a third country?

19.
Flow of foreign loans and investments affect:

20.
Which of the following statement is incorrect?