Correct : B. Resources are not equally distributed among all trading nations.
2. International Trade is most likely to generate short-term unemployment in:
Correct : B. Import-competing industries
3. Globalization refers to:
Correct : D. A more integrated and interdependent world
4. Increased foreign competition tend to
Correct : C. Place constraints on the wages of domestic workers
5. The movement to free international trade is most likely to generate short-term
unemployment in which industries
Correct : B. Import-competing industries.
6. International trade forces domestic firms to become more competitive in terms of
Correct : D. All of the above
7. If a nation has an open economy it means that the nation:
Correct : D. Conducts trade with other countries
8. According to Adam Smith, the trade between countries should happen _____.
Correct : D. Only when a country has an absolute advantage
9. Mercantilists believed that a country could increase the amount of wealth it had by
_____.
Correct : A. Promoting exports and discouraging imports
10. Investment in Plant & machinery is termed as
Correct : D. Capital Investment
11. The traditional mode of entering into international business is
Correct : B. Exporting
12. Which type of following stage of internationalization has Decentralized decision
making?
Correct : C. Transnational corporation
13. Agreement between two parties where in one gives rights to use their intangible
property to another entity is called as
Correct : D. Licensing
14. Only manufacturing and exporting as per the requirement of importer is called
Correct : D. Indirect Export
15. Complex projects involving creation of an asset as per the requirement of the client is
called _________.
Correct : C. Turnkey Project
16. Rapid integration or interconnection between countries is known as:
Correct : A. Globalisation
17. Globalisation has improved in the living structure of
Correct : C. People in developed Countries
18. The main reason behind MNCs investments are
Correct : D. To increase assets & earn profits
19. Which institute supports investments and foreign trade in India?
Correct : B. WTO
20. Which of the following is not a feature of a Multi-National Company?
Correct : D. It employs labour only from its own country
21. An MNC is a company that owns or controls production in
Correct : B. More than one country
22. Which is the right sequence of stages of Internationalization
Correct : B. Domestic, International, Multinational, Global, Transnational
23. Which of the following business environment are known and controllable?
Correct : A. Domestic business Environment
24. Forces that impacts business environment due to change in government is type of
Correct : D. Political
25. Which of the following is not cultural factor?
Correct : B. Income
26. Rise in prices due imbalance between demand and supply is called as
Correct : B. Inflation
27. Culture spreads from one place to another and such transmission is called as ________.
Correct : A. difference.
28. What are the elements of business ethics?
Correct : A. Values rights and duties.
29. India follows the ________political system
Correct : B. Parliamentary
30. The _______ is being driven by the demand and supply of products and services.
Correct : C. Both a & B
31. India is the best example of
Correct : C. Mixed Economy
32. Which of the following is not only a part of ethics but statutory compliance?
Correct : D. Disclosure of Financial Statement
33. Which of the following attitude is result of religion?
Correct : D. Both A & B
34. Commitment, competence and consistency are three distinct characteristics that result
in ______________
Correct : A. Culture building
35. The practices of a company for which it is accountable in relation to other parties is
called ____________
Correct : A. Social responsibility
36. National culture is based on ______________
Correct : C. The sense of belonging of a people
37. Corporate governance is a form of
Correct : B. Self regulation
38. CSR & corporate governance represent a -------- between business and society.
Correct : D. Social contract
39. Corporate governance is concerned with the formation of …………… term objective
Correct : D. Long
40. The Current System of International Finance is a
Correct : D. Managed Float Exchange rate system
41. More expansion of foreign direct investment can boost __________ .
Correct : C. Employment
42. More expansion of foreign direct investment can boost
Correct : C. Employment
43. The union government adopted new definition of FDI and FPI in 2014. Which of the given below is incorrect in this regard
Correct : A. The new definition considers 5% investment in capital of an unlisted company as FPI.
44. Government has raised FDI level in Brownfield pharma to what percent under the automatic route to attract capital and technologies in the pharmaceutical sector?
Correct : A. 74
45. OLI Theory is also known as
Correct : B. The Eclectic Paradigm
46. Which country leads the inflow of FDI in India?
Correct : A. Mauritius
47. In which of the following sectors does the Government of India allow more than 50% FDI?
Correct : D. Both A & C
48. In which of the following sectors does the Government of India allow more than 50%
FDI?
Correct : B. Strategic alliance
49. Which of the following theories explains the behaviour of late entrants to catch up with the competition?
Correct : C. The Leapfrogging theory
50. Which of the following types of FDI includes creation of new assets and production facilities in the host country?
Correct : D. Greenfield investment
51. Both foreign direct investment (FDI) and foreign institutional investment (FII) are related to investment in a country. Which of the following is incorrect regarding FDI and FII?
Correct : B. FII invests in technology-oriented enterprises, whereas FDI invests in traditional business set ups.
52. : Which of the following statements is/are correct regarding FDI under automatic route?
1. FDI in India under the automatic route does not require prior approval either by the Government of India or the Reserve Bank of India.
2. Investors are only required to notify the concerned regional office of the RBI before receipt of inward remittances and file required documents with that office before the issue of shares to foreign investors. Select the correct answer using the codes given below.
Correct : C. Both 1 and 2
53. Which of the following are the components of foreign capital?
1. Grants and loans
2. External commercial borrowings
3. Foreign direct investment
4. Deposits from non-residents
Select the correct answer using the codes given below.
Correct : A. 1, 2, 3, and 4
54. The value of Special Drawing Right (SDR) is determined by the basket of ......currencies.
Correct : B. 5
55. Which of the following is not the objective of the IMF?
Correct : D. To provide loan to private sectors
56. If the Balance of Payment of a country is adverse, then which institution will help that country?
Correct : C. International Monetary Fund
57. Which of the following is known as the Paper Gold?
Correct : D. Special Drawing Right
58. Why the World Bank was established?
Correct : B. To reconstruct the economies damaged during the Second World War
59. Which of the following statement is correct?
Correct : A. Every member country of the IMF automatically becomes the member of the World Bank
60. Which of the following institutions is not part of the World Bank community?
Correct : B. WTO
61. The main focus of IBRD and IDA is on ___________:
Correct : B. Developing Countries
62. The president is selected by the board of executive directors for a ____year, renewable term:
Correct : A. 5 Year
63. Which of the following does not form part of current account under balance of payments?
Correct : D. Capital receipts and payments
64. Which of the following pairs is not correctly matched with regard to balance of payment accounts?
Correct : D. Portfolio investment payments – Debit in the current account
65. A country is said to be in debt trap if
Correct : B. It is required to borrow money to make interest payments on outstanding loans
66. Balance in capital account refer to the
Correct : B. Nation’s net exports of financial claims
67. Where is the headquarter of the WTO?
Correct : C. . Geneva
68. Which of the following statement is not true about the WTO?
Correct : D. .WTO was officially constituted on 1 January 1991.
69. Which of the following is not the objective of the WTO?
Correct : D. . To improve the Balance of Payment situation of the member countries
70. Which of the following body is not related to the WTO?
Correct : D. . Exchange Rate Management Body
71. Which of the followings are called Brettonwoods Twins?
Correct : A. IMF & International Bank for Reconstruction and Development (IBRD)
72. Which of the following institution is associated with Dunkel Proposals?
Correct : C. World Trade Organization
73. As per Indian GAAP Financial statements are prepared at :
Correct : B. Fair value
74. total no. Of IFRS is
Correct : C. 17
75. How many Ind As are there in India
Correct : C. 41
76. The accounting standards are mandatory for
Correct : B. Companies
77. what is the Impact of Pandemic COVID-19 on international trade.