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Business Studies Online Test

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

Which of the following is the primary objective of business?

a)

Innovation

b)

Profit earning

c)

Social welfare

d)

Customer satisfaction

2.

Which of the following is NOT a characteristic of business activity?

a)

Production or procurement of goods and services

b)

Sale or exchange of goods and services

c)

Free of risk

d)

Profit motive

3.

Which of the following is NOT an industry?

a)

Manufacturing

b)

Construction

c)

Banking

d)

Extractive

4.

The liability of members in a joint-stock company is:

a)

Unlimited

b)

Limited to the extent of their shares

c)

Zero

d)

None of these

5.

The form of business organisation that combines features of partnership and company is:

a)

Sole proprietorship

b)

Joint Hindu Family

c)

Cooperative Society

d)

Limited Liability Partnership (LLP)

6.

Which of the following is a secondary industry?

a)

Mining

b)

Fishing

c)

Manufacturing

d)

Agriculture

7.

Business risk arises due to:

a)

Certainty in profit

b)

Uncertainty in future events

c)

Government support

d)

Unlimited liability

8.

Trade between two countries is called:

a)

External trade

b)

Internal trade

c)

Wholesale trade

d)

Retail trade

9.

Which of the following is an example of auxiliary to trade?

a)

Transport

b)

Banking

c)

Insurance

d)

All of the above

10.

Which of the following is NOT a feature of sole proprietorship?

a)

Quick decision making

b)

Unlimited liability

c)

Separate legal entity

d)

Direct incentive

11.

The minimum number of members required to start a cooperative society is:

a)

5

b)

7

c)

10

d)

20

12.

Which of the following sources of finance is considered ownership capital?

a)

Debentures

b)

Equity shares

c)

Bank loan

d)

Public deposits

13.

Which of the following is a limitation of e-business?

a)

Easy accessibility

b)

Risk of cyber fraud

c)

Low cost of operations

d)

Global reach

14.

The regulator of the insurance sector in India is:

a)

RBI

b)

SEBI

c)

IRDAI

d)

NABARD

15.

The tax levied on production or sale of goods is known as:

a)

Direct tax

b)

Excise duty / GST

c)

Customs duty

d)

Service tax

16.

Which of the following is a merit of Joint Hindu Family business?

a)

Limited liability

b)

Efficient management

c)

Stability of business

d)

Large financial resources

17.

Which of the following is NOT an objective of business environment study?

a)

Helps in policy formulation

b)

Helps in coping with rapid changes

c)

Ensures elimination of risks

d)

Helps in improving performance

18.

FDI stands for:

a)

Foreign Direct Investment

b)

Foreign Development Institution

c)

Fixed Domestic Investment

d)

Foreign Dividend Income

19.

Which of the following is a tertiary activity?

a)

Mining

b)

Banking

c)

Agriculture

d)

Manufacturing

20.

The governing law of partnership business in India is:

a)

Companies Act, 2013

b)

Partnership Act, 1932

c)

Contract Act, 1872

d)

Cooperative Societies Act, 1912