Skip to content
Home » Top 35 Economic Analysis for Business Decisions MCQ With Answers

Top 35 Economic Analysis for Business Decisions MCQ With Answers

Below given are top 35 important Economic Analysis for Business Decisions MCQ with Answers. These EABD Multiple Choice Questions are useful for MBA, MMS, BBA, PGDM, B Com, M Com, NET, SET, Ph D Entrance exams and other competitive exams.

Business economics is also known_______

A. Decisional Economics

B. Analytical Economics

C. Managerial Economics

D. Decision Science

View Answer

C. Managerial Economics

Economics is______

A. A positive science which deals with economics only

B. A negative science which deals with economical analysis only

C. Neither positive nor negative science but a normative science

D. An art or science depend upon uses – who uses, how uses and for what purpose

View Answer

D. An art or science depend upon uses – who uses, how uses and for what purpose

_________is the father of Economics.

A. Peter Drucker

B. Philip Kotler

C. Adam Smith

D. Michael Porter

View Answer

C. Adam Smith

Economics is a______

A. Positive Science

B. Relative Science

C. Normative Science

D. Both A & C

View Answer

D. Both A & C

The relationship between price and demand is______

A. Normative

B. Positive

C. Negative

D. Horizontal

View Answer

C. Negative

Law of demand shows ___________ between price and demand (Quantity Demanded).

A. Positive Relationship

B. Direct Relationship

C. Normative Relationship

D. Negative Relationship

View Answer

D. Negative Relationship

The formula (Potential price – Actual price) shows ______

A. Consumer Deficit

B. Consumer Surplus

C. Demand Supply Gap

D. Profit Gap

View Answer

B. Consumer Surplus

Economics is a ________ which deals with human wants and their satisfaction.

A. Natural Science

B. Social Science

C. Physical Science

D. Political Science

View Answer

B. Social Science

________is the branch of economics wherein mathematics and statistics are used to measure and analyse economics activities.

A. Econometrics

B. Econography

C. Statistical Economics

D. Ecotronics

View Answer

A. Econometrics

______is the opportunity cost of a machine which can produce only one product.

A. Low

B. Average

C. High

D. Zero

View Answer

A. Low

Economics is a study of mankind in the ordinary business of life. This definition is given by ______.

A. Lionel Robbins

B. Alfred Marshall

C. Adam smith

D. Samuelson

View Answer

B. Alfred Marshall

Normative economics is also known as_______

A. Decisional Economics

B. Positive Economics

C. Applied Economics

D. Prescriptive economics

View Answer

D. Prescriptive economics

Increase in national income indicates _______of an economy.

A. Loss

B. Stagnancy

C. Growth

D. Liability

View Answer

C. Growth

Accounting profit can be calculated using________ & explicit costs.

A. Total Revenue

B. Actual Costs

C. Implicit Costs

D. Exclusive Costs

View Answer

C. Implicit Costs

The word ‘economics’ comes from two ________words, ‘eco’ & ‘nomos’.

A. Latin

B. English

C. Greek

D. French

View Answer

C. Greek

Money Flow is also known as_______

A. Margin Flow

B. Profit Flow

C. Cash Flow

D. Income Flow

View Answer

D. Income Flow

________ is considered the father of modern economics.

A. Adam Smith

B. J M Keynes

C. Karl Marx

D. Warren Buffet

View Answer

A. Adam Smith

________ is know as the father of modern economics in India.

A. Amartya Sen

B. M. G. Ranade

C. Manmohan Singh

D. Raghuram Rajan

View Answer

B. M. G. Ranade

Product flow is also known as_______

A. Real Flow

B. Output Flow

C. Profit Flow

D. Both A & B

View Answer

D. Both A & B

_______is situation where a few large firms compete against each other and there is an element of interdependence in the decision-making of these firms.

A. Monopoly

B. Perfect Competition

C. Oligopoly

D. Duopoly

View Answer

C. Oligopoly

________is a market situation in which there is only one seller of a product with barriers to entry of others.

A. Monopoly

B. Oligopoly

C. Duopoly

D. Perfect Competition

View Answer

A. Monopoly

The term _______refers to a particular place where goods are purchased and sold.

A. Warehouse

B. Market

C. Infrastructure

D. Exchange

View Answer

B. Market

A large number of buyers and sellers in a homogeneous market, free entry and exit are the characteristics of ________

A. Duopoly

B. Oligopoly

C. Monopoly

D. Perfect Competition

View Answer

D. Perfect Competition

Demand for a commodity refers to______

A. Need for the commodity

B. Quantity of the commodity demanded at a certain price during any particular period of time

C. Desire for the commodity

D. Quantity demanded of that commodity

View Answer

B. Quantity of the commodity demanded at a certain price during any particular period of time

Demand for a commodity depends on________

A. Income

B. Price of related goods

C. Price of that commodity

D. All of the above

View Answer

D. All of the above

_______ the outflows in economic activities.

A. Savings

B. Investments

C. Government spending

D. Personal spending

View Answer

Savings


Market demand is aggregation of individual demand_______

A. Horizontally

B. Vertically

C. Diagonaly

D. Both A & B

View Answer

A. Horizontally

Accounting profit is equal to ________ Cost – Explicit Costs

A. Total

B. Implicit

C. Intrinsic

D. Total Revenue

View Answer

D. Total Revenue

A firm and industry are one and the same under_____

A. Monopoly

B. Duopoly

C. Oligopoly

D. Perfect Competition

View Answer

A. Monopoly

In case of perfect competition, elasticity will be _____

A. Infinite

B. 0

C. 2

D. 3

View Answer

A. Infinite

______ is not an economic cost.

A. Rents

B. Payments

C. Wages

D. Economic profits

View Answer

D. Economic profits

Implicit Cost added in ____ cost.

A. Economic

B. Accounting

C. Simple

D. None of the above

View Answer

B. Accounting

Full form of PV in Unit number one is _____

A. Past Value

B. Present Value

C. Perfect Value

D. Program Value

View Answer

B. Present Value


How many branches of economics are there?

A. 5

B. 2

C. 4

D. 3

View Answer

B. 2

______ is the central problem in economics.

A. Scarcity

B. Production

C. Revenue

D. Capital

View Answer

A. Scarcity

Indian economy is _______ type of economy.

A. Socialist

B. Socialist

C. Mixed

D. Idealistic

View Answer

C. Mixed

This is all about Economic Analysis for Business Decisions MCQ with answers.

You’ll also like: