Account and Finance Questions Practice Question and Answer
8 Q: The Expenditure on advertisement and public relation by an enterprise is a part of its-
697 06511562110a18f5082fb17d4
6511562110a18f5082fb17d4- 1Consumption of fined capitalfalse
- 2Final consumption Expenditurefalse
- 3Intermediate Consumptiontrue
- 4Fined Capitalfalse
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 3. "Intermediate Consumption"
Explanation :
The Advertisement and public relations of selling expenses are part of intermediate consumption.
Q: Other name of Net National Product at market price?
688 0651164d99c491b8125b988a8
651164d99c491b8125b988a8- 1National Incometrue
- 2Gross Domestic Productionfalse
- 3Personal Incomefalse
- 4Per Capital Incomefalse
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 1. "National Income "
Explanation :
NNPMP = GNPMP – depreciation
Q: GDP is what percent of Fiscal deficit?
683 06511597ccb11fc5036e368e9
6511597ccb11fc5036e368e9- 17false
- 24true
- 38false
- 41false
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 2. "4"
Explanation :
Expl:- In budget 2014-15 the percent of G.D.P was 4.1 of fiscal deficit. But in 2015-16 its percent becomes 3.9% of fiscal deficit.
Q: Forced saving refers to-
682 06511558410a18f5082fb144e
6511558410a18f5082fb144e- 1Compulsory deposits imposed on income tax payersfalse
- 2Provident fund contribution of private sector employeesfalse
- 3Reduction of consumption consequent to a rise in pricetrue
- 4Taxes on individual income and wealthfalse
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 3. "Reduction of consumption consequent to a rise in price"
Explanation :
According to Nobel Prize winner Frederick Wan, Forced Saving in an economic situation in which consumer spend less than their disposable income, not because they want to save but because the goods they seek are not avoidable or because goods are too expensive.
Q: The Income of Indians working abroad is-
679 06511585710a18f5082fb1e12
6511585710a18f5082fb1e12- 1Domestic Income of Indiafalse
- 2Income earned from abroadtrue
- 3Net domestic product of Indiafalse
- 4Grave domestic product of India.false
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 2. "Income earned from abroad"
Explanation :
Expl:- NDPmp + NFIA = NNPmp
GDPmp + NFIA + GNPmp
Q: GDP at factor cost equals–
671 0651293bb56a7b2508cb4db19
651293bb56a7b2508cb4db19- 1GDP – Indirect Tax + Subsidytrue
- 2GNP – depreciationfalse
- 3NNP + depreciationfalse
- 4GDP – subsidy + indirect tax.false
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 1. "GDP – Indirect Tax + Subsidy"
Q: If a country produces consumer goods only and nothing else, then-
659 06511572f10a18f5082fb1afd
6511572f10a18f5082fb1afd- 1Standard of living will be highestfalse
- 2The country have certain amount of goodfalse
- 3The country will soon become poor if external trade will not happentrue
- 4The country will gradually become rich if external trade will not happenfalse
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 3. "The country will soon become poor if external trade will not happen"
Explanation :
If any country will produce only consumer good, then gradually the country will become poor as there will be no exchange of other goods and the economy of that country will highly be affected.
Q: Gross Profit means–
648 06512a7a7af64a2609c622020
6512a7a7af64a2609c622020- 1Total investment over total savingsfalse
- 2Changes in methods of productionfalse
- 3Changes in the form of business organisationfalse
- 4Total receipts over total expenditure.true
- Show AnswerHide Answer
- Workspace
- SingleChoice
Answer : 4. "Total receipts over total expenditure."
Explanation :
Gross profit = Net sales (total receipts) - Cost of goods sold (total expenditure)
In other words it is the total receipt over total cost.