Latest Business and Economics General Knowledge(GK) Questions and answers

1 .

Which among the following auto companies has announced to close its business in India?

A)

Ford

B)

Fiat

C)

Toyota

D)

Volkswagen

Correct Answer : Ford

Ford Motor has announced on September 9, 2021 to close manufacturing plants in India. Ford has two integrated manufacturing facilities in India one at Chennai, Tamil Nadu, and another at Sanand, Gujarat.

American automobile giant Ford Motor Company announced on September 9 that it will shut down its plants in India. The manufacturing of vehicles for domestic sales will cease immediately, while vehicles meant for exports will continue to be manufactured till 2022.

Even as the company winds down its manufacturing operations, it said it will continue to provide aftermarket service and support to its customers in India.

“As part of our Ford+ plan, we are taking difficult but necessary actions to deliver a sustainably profitable business longer term and allocate our capital to grow and create value in the right areas,” said Jim Farley, Ford Motor Company’s President and CEO. “Despite investing significantly in India, Ford has accumulated more than $2 billion of operating losses over the past 10 years and the demand for new vehicles has been much weaker than forecast.”

Ford had to take the decision to close its plants in India due to unviable business conditions. The company had recorded operating losses of more than $2 billion over the past 10 years and a $0.8-billion non-operating write-down of assets in 2019 alone. With poor sales and weak exports, the troubles faced by the company had been compounded by the COVID-19 crisis. The company had only managed to sell 2,790 units in June this year, compared to 2,872 units in June 2020...

2 .

Which entity gave approval to Bajaj Finserv to perform mutual fund business?

A)

RBI

B)

AMFI

C)

IRDAI

D)

SEBI

Correct Answer : SEBI

Bajaj Finserv has said that market regulator SEBI has approved it to sponsor mutual funds. After this approval, it can now form an asset management company. Bajaj Finserv in its information to the stock exchanges has said that it has received in-principle approval from the capital market regulator to become a mutual fund sponsor through a letter dated August 23, 2021.

Bajaj Finserv said, “In this way the company will form an asset management company…”.

The company’s share price on NSE rose to Rs 16,460.00 with a jump of Rs 1,188.10 or 7.78 percent.

The company’s stock has performed well in the last three months. The share price of the company registered a jump of 42 percent during this period. At the same time, the Sensex has gained 10 percent in this period.

With this boom, the company’s market cap has now reached Rs 2.5 lakh crore. Bajaj Finserv has stakes in Bajaj Allianz Life, Bajaj Allianz General Insurance, Bajaj Finance and Bajaj Financial Solutions.

3 .

Who recently launched new peer-to-peer lending feature?

A)

DRDO

B)

CRED

C)

TRIFED

D)

NITI Aayog

Correct Answer : CRED

Fintech platform CRED recently announced the launch of a new peer-to-peer lending feature called CRED Mint. In P2P lending, users sitting on idle money provide loans to potential borrowers identified by the service provider. These lenders then receive payments from the borrowers on a set basis — either one time, or in equated monthly instalments.

4 .

YouTube has signed a definitive agreement to buy which video shopping app?

A)

Cilory

B)

Flipkart

C)

Simsim

D)

Amazon

Correct Answer : Simsim

Google's YouTube has signed a definitive agreement to buy video shopping app simsim as it looks to help discover and buy products from Indian retailers. The terms of the acquisition were not disclosed.

“Online video will continue to grow as the primary way to find information, entertainment and connections in India,” Google India said in a blogpost. “With over 2,500 YouTube creators with over one million subscribers, and the success of YouTube Shorts, which we launched in India first, we’re committed to growing the creator community by making it even easier for the new generation of mobile-first creators to get started."

5 .

Positive income effect is greater than negative substitution effect in case of

A)

Normal goods

B)

Luxury goods

C)

Giffen goods

D)

Inferior goods

Correct Answer : Giffen goods

6 .

For the relationship between AC and MC, which of the following statement is wrong?

A)

If AC Falls, MC will rise

B)

If AC rises, MC also rises

C)

Both AC & MC are calculated from TC

D)

For the minimum point of AC, average cost is equal to marginal cost

Correct Answer : If AC Falls, MC will rise

7 .

The appropriate objective of an enterprise is

A)

Maximisation of profits

B)

Maximisation of sales

C)

Maximisation of owner's wealth

D)

None of the above

Correct Answer : None of the above

Ans : Maximisation of business wealth (Wealth maximisation is the concept of increasing the value of the business in order to increase the value of the shares held by shareholders, therefore it is an objective of enterprise.)

8 .

Demand curve was drawn with empirical evidence by

A)

Indifference curve

B)

Revealed preference

C)

Utility

D)

None of the above

Correct Answer : Revealed preference

9 .

Which one of the following is not a common property of an indifference curve

A)

Convex to the origin

B)

Downward sloping

C)

Two indifference curves can intersect each other

D)

None of the above

Correct Answer : Two indifference curves can intersect each other

10 .

Cobb-Douglas production function in its initial form has the following properties

A)

Elasticity of substitution as constant and unity

B)

Elasticity of substitution as unity

C)

Constant return to scale

D)

Power function

Correct Answer : Elasticity of substitution as constant and unity

Business and Economics - General Knowledge Questions