Management Questions and Answers - Set 5 | MBA BBA Solved Multiple Choice Questions(MCQs)

1 Who among the following relatives of a deceased insured person is not “dependent” under the Employees’ State Insurance Act, 1948 ?

1 Widow

2 Widowed mother

3 Legitimate son who has attained the age of twenty five

4 Widowed daughter-in-law

View Answer

Answer:Legitimate son who has attained the age of twenty five

2 Assertion (A) : One of the trends to build a sustainable competitive advantage are innovations and innovations management.

Reasoning (R) : Human Resource Management has to be able to connect innovations with the traditional change management to design a true powerful weapon against competitors in the market.

Code :

1 Both (A) and (R) are correct ; and (R) is the right explanation of (A).

2 Both (A) and (R) are correct ; but (R) is not the right explanation of (A).

3 (A) is correct but (R) is incorrect.

4 (R) is correct but (A) is incorrect

View Answer

Answer:Both (A) and (R) are correct ; and (R) is the right explanation of (A).

3 Which of the following is not a principle of ‘Hot Stove Rule’ ?

1 Prior Warning

2 Immediate Response

3 Consistent Action

4 Personal Approach

View Answer

Answer:Personal Approach

4 In India, tripartite bodies of industrial relations began on the recommendations of which one of the following commissions ?

1 Law Commission of India

2 Whitley Commission

3 National Statistical Commission

4 Kothari Commission

View Answer

Answer:Whitley Commission

5 The extrinsic properties of the product or service, including the ways in which the brand attempts to meet customers’ psychological or social needs is known as :

1 Brand judgments

2 Brand resonance

3 Brand imagery

4 Brand performance

View Answer

Answer:Brand imagery

6 Which one of the following is an example of ‘Real needs’ of a customer ?

1 The customer wants an inexpensive mobile phone.

2 The customer wants a car whose operating cost, not initial price, is low.

3 The customer expects good service from the dealer.

4 The customer wants friends to see him as a savvy consumer.

View Answer

Answer:The customer wants a car whose operating cost, not initial price, is low.

7 The following statements relate to the functions of the marketing channel members. Indicate the statements being correct or incorrect.

Statement (I) : Channel members do not gather information about potential and current customers, competitors and other actors and forces in the marketing environment.

Statement (II) : Channel members acquire the funds to finance inventories at different levels in the marketing channel.

Code :

1 Both the statements are correct.

2 Both the statements are incorrect.

3 Statement (I) is correct while Statement (II) is incorrect.

4 Statement (I) is incorrect while Statement (II) is correct.

View Answer

Answer:Statement (I) is incorrect while Statement (II) is correct.

8 Which one of the following attributes of advertising regarding launching of a new product calls for spending all the advertising budget in a single period ?

1 Pulsing

2 Continuity

3 Concentration

4 Flighting

View Answer

Answer:Concentration

9 Select the correct code of the Assertion (A) and Reasoning (R) :

Assertion (A) : Companies should measure the profitability of their products, territories, customer groups, segments, trade channels and order sizes.

Reasoning (R) : Measure of profitability helps companies determine whether to expand, reduce, or eliminate any product or marketing activities to ensure profitability control.

Code :

1 Both (A) and (R) are correct and (R) is the right explanation of (A).

2 Both (A) and (R) are correct but (R) is not the right explanation of (A).

3 (A) is correct but (R) is incorrect.

4 (R) is correct but (A) is incorrect

View Answer

Answer:Both (A) and (R) are correct and (R) is the right explanation of (A).

10 In which one of the following types of store retailers, large, low-cost, low margin, high-volume, selfservice store attributes are designed to meet total needs for food and household products ?

1 Supermarket

2 Superstore

3 Discount store

4 Convenience store

View Answer

Answer:Supermarket

11 A firm earns return on investment at the rate of 20% , earning per share is ` 15, payout ratio is 50%, cost of equity is 12%; the market price per share as per Walter’s model is :

1 300

2 240

3 75

4 166.67

View Answer

Answer:166.67

12 Consider the below mentioned statements and state the correct code of the statements being true or false.

Statement (I) : A debt-equity ratio of 2 : 1 indicates that for every 1 unit of equity, the company has raised 2 units of debt.

Statement (II) : The cost of floating an equity issue is lesser than the cost of floating a debt

Code :

1 Both the Statements(I) and (II) are false.

2 Both the Statements (I) and (II) are true.

3 Statement (I) is false and Statement (II) is true.

4 Statement (I) is true and Statement (II) is false.

View Answer

Answer:Statement (I) is true and Statement (II) is false.

13 Debt Service Coverage Ratio indicates which one of the following ?

1 Effective utilisation of assets.

2 Number of times fixed assets cover borrowed funds.

3 Excess of Current Assets over Current Liabilities.

4 Number of times surplus covers interest and instalments of Term Loans.

View Answer

Answer:Number of times surplus covers interest and instalments of Term Loans.

14 Authorised capital of a company is ` 5 lacs ; 40% of it is paid up. Loss incurred during the year is ` 50,000. Accumulated loss carried from last year is ` 2 lac. The company has a Tangible Net Worth of : `

1 2 lacs

2 2.50 lacs

3 (−)50,000

4 7,50,000

View Answer