Question 1

Oligopolistic industries are characterized by

Accepted Answer

Oligopoly is market structure where a small number of large firms are there. Oligopolistic industries are characterized by a few dominant firms and substantial entry barriers.

Question 2

Inclusive unionism is practiced mostly by

Accepted Answer

Inclusive unionism is practiced mostly by industrial unions. The practice of a labor union of including as members all workers employed in an industry is called as Inclusive unionism.

Question 3

Capital budgeting is primarily concerned with

Accepted Answer

Capital budgeting is the process by which a company or an industry determines whether projects such as investing in R&D, opening a new branch, replacing a machine are worth pursuing. A project is worth pursuing if it increases the value of the company. Capital budgeting also known as investment appraisal. It is primarily concerned with evaluating investment alternatives.

Question 4

A business organized as a corporation

Accepted Answer

A business organized as a corporation is owned by its stockholders.

Question 5

For a good that is a luxury demand

Accepted Answer

For a good that is a luxury demand tends to be elastic.

Question 6

A binding price floor causes

Accepted Answer

A price floor is the minimum price that can be charged. A binding price floor occurs when the government sets a required price on goods at a price above equilibrium. Because the government requires that prices not drop below this price, that price binds the market for that good. A binding price ceiling is one that is set below equilibrium price.

Question 7

The demand curve facing a perfectly competitive firm is

Accepted Answer

The demand curve facing a perfectly competitive firm is a horizontal straight line equal to the equilibrium price of the entire market because a perfectly competitive firm can sell all units brought to market at the same price.

Question 8

Ratio analysis can be useful for

Accepted Answer

Ratio analysis helps us to evaluate various aspects of a company's operating and financial performance such as its efficiency, liquidity, profitability and solvency. The trend of these ratios over time can be used to check whether they are improving or deteriorating.

Question 9

Which one of the following statements with regard to Antrix Corporation Limited is correct?

Accepted Answer

Antrix Corporation Limited (ACL), Bengaluru is a wholly owned Government of India Company under the administrative control of the Department of Space. Antrix Corporation Limited was incorporated as a private limited company owned by Government of India in September 1992 as a Marketing arm of ISRO for promotion and commercial exploitation of space products, technical consultancy services and transfer of technologies developed by ISRO. As the commercial and marketing arm of ISRO, Antrixis engaged in providing Space products and services to international customers worldwide.

Question 10

Smoke alarms are only necessary in the workplace.

Accepted Answer

Smoke alarms are also necessary in public places like banks, theaters, rest rooms, aeroplanes,...

Question 11

The term 'degrees of newness' is associated with

Accepted Answer

The term 'degrees of newness' is associated with degree of design change. How much the design changes that much newness comes in it.

Business Awareness Questions