Business Economics 1. Managerial Economics is
Dealing only micro aspects Only a normative science Deals with practical aspects All of the above View answer Correct answer: (D)
2. The techniques of optimization include
Marginal analysis Calculus Linear programming All of the above View answer Correct answer: (D)
3. In economics, desire backed by purchasing power is known as
Utility Demand Consumption Scarcity View answer Correct answer: (B)
4. Basic assumptions of law of demand include
Prices of other goods should change. There should be substitute for the commodity. The commodity should not confer any distinction. The demand for the commodity should not be continuous View answer Correct answer: (C)
5. Higher the price of certain luxurious articles, higher will be the demand, this concept is called
Giffen effects Veblen effects Demonstration effects Bothb&cabove View answer Correct answer: (B)
6. In the case of perfect elasticity, the demand curve is
Vertical Horizontal Flat Steep View answer Correct answer: (B)
7. Outlay method of measurement of elasticity is also called as
Percentage method Expenditure method Point method Geometric method View answer Correct answer: (B)
8. ______________ demand forecasting is related to the business conditions prevailing in the economy as a whole
Macro level Industry level Firm level None of these View answer Correct answer: (A)
9. ______________ is the base of marketing planning
Demand Estimation Demand analysis Demand function Demand forecasting View answer Correct answer: (D)
10. ______________ is the change in total revenue irrespective of changes in price or due to the effect of managerial decision on revenue
Average revenue Total revenue Marginal revenue Incremental revenue View answer Correct answer: (D)