Business Economics
21. ______________ is the process of finding current values of demand for various values of prices and other determining variables.
- Demand Estimation
- Demand analysis
- Demand function
- Demand forecasting
Correct answer: (A)
Demand Estimation
22. In the case of ______________ a small change in price leads to very big change in quantity demanded
- Perfectly elastic demand
- Perfectly inelastic demand
- Relative elastic demand
- Unit elastic demand
Correct answer: (C)
Relative elastic demand
23. In ______________ approach, on the basis of the growth of an established product, the demand for the new product is estimated
- Growth curve approach
- Evolutionary approach.
- Opinion polling approach
- vicarious approach
Correct answer: (A)
Growth curve approach
24. Which one of the following is not a reason for adopting penetration price strategy
- Product has high price elasticity in the initial stage.
- The product is accepted by large number of customers.
- Economies of large scale production available to firm
- When the buyers are not able to compare the value and utility
Correct answer: (D)
When the buyers are not able to compare the value and utility
25. Car and petrol are
- Complimentary goods
- Substitute goods
- Supplementary goods
- Reserve goods
Correct answer: (A)
Complimentary goods
26. Criteria for good demand forecasting includes;
- Plausibility
- Simplicity
- Economy
- All the above.
Correct answer: (D)
All the above.
27. Cost plus pricing is also called
- margin pricing
- full cost pricing
- mark up pricing
- all the above
Correct answer: (D)
all the above
28. Generally used strategy for pricing new products is/are
- Skimming price strategy
- Penetration price strategy
- Both a & b
- None of these
Correct answer: (C)
Both a & b
29. The architect of the theory of monopolistic competition
- Rosenstein Roden
- JR Hicks
- Karl Marx
- Chamberlin
Correct answer: (D)
Chamberlin
30. The function of combining the other factors of production is done by
- land
- labour
- Capital
- Entrepreneurship
Correct answer: (D)
Entrepreneurship
Thursday, December 30, 2021