Management Questions and Answers for Competitive Exams | MBA BBA Quiz Set 26

1 A project will cost ` 40,000. Its stream of earnings before depreciation and taxes during first year through five years is expected to be ` 10,000, ` 12,000, ` 14,000, ` 17,000 and ` 19,000. Assume a 50% tax rate and depreciation on straight line method. The average rate of return of the project is :

2 Which one of the following statements is false ?

3 The buying and selling of commodity, in case of foreign currency, that has both element of risks and chance of great profit is called

4 The segment of foreign exchange market which comprises of banks and financial institutions is called as

5 Consider the following statements :

Statement – I : GATT was formed to decide quotas and increase tariffs.

Statement – II : RTAs replaced GATT in 1995.

Statement – III : Any sort of discrimination was prohibited as fundamental principle in GATT.

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6 Under which of the following system of perfect capital, mobility increase in exports or expansion in government expenditure or a tax cut, does not affect equilibrium level of income ?

7 Assertion (A) : Companies face different competitive situations depending on the products, strategies and countries where they operate.

Reason (R) : A company’s competitive strategy influences how and where it can operate.

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8 Consider the following statements :

Statement – I : Stakeholder cannot influence how and whether companies operate through FDI.

Statement – II : The effort to create favourable political relations has led many countries to replace obstacals to FDI with incentives for FDI.

Statement – III : The effect of a multinational enterprise activities may be simultaneously positive for one national objectives and negative for another.

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9 Which one of the following assumptions is not related to consumer behaviour based on the cardinal utility approach ?

10 Statement – I : A rectangular hyperbola shaped demand curve has uniform slopes on all its points.

Statement – II : If the price elasticity is equal to unity, the marginal revenue corresponds to zero.

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11 Statement – I : In general, the NPV and IRR methods lead to the same acceptance or rejection decision when a single project is involved.

Statement – II : The inconsistency in ranking of competing projects as per the NPV and IRR methods lies in the implicit assumptions with regard to different rates of returns on re-investment of intermediate cash flows.

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12 Which one of the following is not covered in macro-economics ?

13 The operant conditioning or learning approach to behaviour is based on __________.

14 The principles by which the process of perceptual organization works was first identified by Max Wertheimer in the year __________.

15 The __________ leadership theory of __________ describes that effective group performance depends on the proper match between the leader’s style if interacting with his subordinates and the degree to which the situation gives control and influence to the leader.