Business and Economics - General Knowledge Questions

1 .
When RBI announced on increase in Cash Reserve Ratio (CRR) then what does it mean ?
A)
The commercial bank will have less money to lend
B)
The RBI will have less money to lend
C)
The Union Government will have less money to lend
D)
All of the above

Correct Answer :   The commercial bank will have less money to lend

2 .
........ is defined as the output per unit of variable input.
A)
Marginal product
B)
Production function
C)
Average product
D)
Total product

Correct Answer :   Average product

3 .
If a firm is financed with both debt and equity, the firm's equity is known as
A)
Unleveraged equity
B)
Preferred equity
C)
Private equity
D)
Levered equity

Correct Answer :   Levered equity

4 .
As per RBI norms, Commercial Paper should be issued in the form of a/ an
A)
Guarantee
B)
Promissory Note
C)
Bill of Exchange
D)
None of the above

Correct Answer :   Promissory Note

5 .
'Subprime lending' is a term applied to the loans made to
A)
Those borrowers who do not have a good credit history
B)
Those borrowers who do not have a good debit history
C)
Those borrowers who have a good credit history
D)
Those borrowers who are employees

Correct Answer :   Those borrowers who do not have a good credit history

6 .
'Saving energy and other resources for the future without sacrificing people's comfort in the present' is the definition of which of the following concepts ?
A)
Economic growth
B)
Economic development
C)
Sustainable development
D)
Human development

Correct Answer :   Sustainable development

7 .
Which one of the following is not the method of quantitative credit control ?
A)
Bank rate
B)
Variable Reserve ratio
C)
Open market operation
D)
Rationing of credit

Correct Answer :   Rationing of credit

8 .
Prallethrin is a common
A)
Muscle relaxant
B)
Mosquito repellent
C)
Analgesic
D)
Hair dye

Correct Answer :   Mosquito repellent

9 .
Which Central Public Enterprise has borne loss in India in the year 2014-15 ?
A)
Bharat Sanchar Nigam Ltd.
B)
Coal India Ltd.
C)
National Mineral Development Corporation
D)
Oil and Natural Gas Corporation (ONGC)

Correct Answer :   Bharat Sanchar Nigam Ltd.

10 .
GDP deflator is a type of
A)
Volume Index
B)
Monetary Policy Tool
C)
Price Index
D)
Fiscal policy tool

Correct Answer :   Price Index

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