Economics Page-6

51) Open Market Operations is
(A) Buying and selling bills of exchange
(B) Buying and selling govt securities
(C) Buying and selling shares of companies
(D) Buying and selling foreign exchange

52) Contingent liability appears as a footnote in the Balance Sheet. This involves an accounting principle named as
(A) Consistency
(B) Disclosure
(C) Conservatism
(D) Materiality

53) A Balance Sheet is usually prepared at the end of a
(A) Month
(B) Year
(C) Period
(D) Half year

54) Trade between two countries can be useful if cost ratios of goods are
(A) Equal
(B) Different
(C) Undetermined
(D) Decreasing

55) Portfolio management" means an effort to
(A) Minimize tax liability
(B) Minimize yield with safety of financial investments
(C) Raise loans in accordance with needs of the borrowing company
(D) Raising loans at least possible interest cost


56) A tariff
(A) Increases the volume of trade
(B) Reduces the volume of trade
(C) Has no effect on volume of trade
(D) All of them

57) Two countries can gain from foreign trade if
(A) Cost ratios are different
(B) Tariff rates are different
(C) Price ratios are different
(D) A and C

58) Govt. policy about exports and imports is called
(A) Monetary Policy
(B) Fiscal Policy
(C) Commercial Policy
(D) Finance Policy

59) Balance of payments of a country includes
(A) Balance of trade
(B) Capital receipts and payments
(C) Savings and investment account
(D) A and B

60) If GNP of a country rises, it encourage
(A) Exports
(B) Imports
(C) Both
(D) None of these



Like our Facebook Page

Advertisement