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Top 25 International Finance MCQ With Answers

Below said are top 25 international finance MCQ with answers. These solved IF multiple choice questions are helpful to MBA, BBA, IBM, MMS, PGDM, B Com, M Com, and other management and commerce students. These recently updated MCQs will help in UPSC, UGC NET, SET, MPSC, Ph D and other entrance exam preparation.

These latest International Finance MCQ sets are equally useful for other subjects like Global Finance, International Trade Finance, International Financial Management, and international banking.

The globalization of business activities have _________ the complexity as well as the importance of the financial managers’ duties.

A. Increased

B. Decreased

C. Ignored

D. Vanished

View Answer

A. Increased

Due to globalization, the financial management function has become _________.

A. Less demanding and complex

B. More demanding and complex

C. Less important and complex

D. Outdated and complex

View Answer

B. More demanding

International finance mainly discusses the issues related with monetary interactions of at least__________.

A. one country

B. two or more countries

C. five countries

D. None of the above

View Answer

B. two or more countries

International finance is concerned with__________

A. exchange rates of currencies

B. monetary systems of the world

C. foreign direct investment

D. all of the above

View Answer

D. all of the above

________ maintains the foreign exchange reserves in India?

A. State Bank of India

B. Reserve Bank of India

C. Finance Ministry of India

D. EXIM India

View Answer

B. Reserve Bank of India

India’s foreign exchange rate system is _______

A. Fixed target of band

B. Free float

C. Fixed system

D. Managed float

View Answer

D. Managed float

India is facing continuous deficit in its balance of payments in the foreign exchange market rupee is expected to _______

A. Appreciate

B. Depreciate

C. Show no specific tendency

D. All of the above

View Answer

B. Depreciate

_____ is not a characteristic of speculation.

A. Hedging

B. Risk taking

C. Profit motive

D. Exchange rate fluctuation

View Answer

A. Hedging

The responsibility for administration of of FEMA is vested with ________

A. Central government

B. State government

C. RBI

D. National banks

View Answer

C. RBI

A source of supply of foreign exchange is ________

A. Imports

B. Exports

C. Donations

D. Gifts

View Answer

B. Exports

The foreign direct investment includes __________

A. tangible good

B. intangible good

C. intellectual property

D. human resources

View Answer

A. tangible good

The three disputes of FDI are over _______

A. hobby

B. interest

C. regard

D. concern

View Answer

B. interest

More expansion of foreign direct investment can boost _______

A. demand

B. money circulation

C. employment

D. unemployment

View Answer

C. employment

Who determines foreign exchange rates in India?

A. RBI

B. FEDAI

C. market forces of demand and supply

D. finance ministry of India

View Answer

C. market forces of demand and supply

Who regulates the foreign trade in India?

A. SEBI

B. FEDAI

C. RBI

D. DGFT

View Answer

A. SEBI

The statutory authority which administers the exchange control in India _____

A. RBI

B. ministry of commerce

C. DGFT

D. FEDAI

View Answer

A. RBI

The main objective of international financial Management is to arrange sufficient funds for meeting the _____________ goals of an organisation.

A. short term

B. long term

C. medium term

D. all of the above

View Answer

D. all of the above

Which Indian industries have been hit by globalization?

A. Jute

B. toy making

C. information technology

D. cement

View Answer

B. toy making

When did government remove the barrier for investment in India?

A. 1193

B. 1992

C. 1991

D. 1990

View Answer

C. 1991

Foreign income received in India during the previous year is taxable in the case of ________

A. Non resident

B. resident

C. not ordinarily resident

D. all of the above

View Answer

D. all of the above

CCIL stands for __________

A. The clearance code of India

B. The clearing corporation of India

C. The clearing committee of India

D. The clearing consignment of India

View Answer

B. The clearing corporation of India

______ refers to converting illegal on money into legitimate money.

A. money laundering

B. tax evasion

C. black money

D. demonetization

View Answer

A. money laundering

If portable device made in India are imported into the United States, the Indian manufacturer is paid with _______

A. euros

B. dollars

C. international monetary credits

D. rupees

View Answer

D. rupees

Which of the following is known as the paper gold?

A. Bitcoin

B. US dollar

C. demand draft

D. special drawing right

View Answer

D. special drawing right

Tax on imports can be treated as _______

A. foreign trade

B. collateral trade

C. trade barriers

D. terms of trade

View Answer

C. trade barriers

IMS is the full form of _________

A. International monetary source

B. International monetary system

C. International monetary structure

D. International monetary society

View Answer

B. International monetary system

____offers the exporter the greatest level of safety.

A. Cash in advance

B. Letter of credit

C. Wire transfer

D. UPI

View Answer

B. Letter of credit

This is all about solved MCQ on International finance for management and commerce students.

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