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 Indian Economy Questions

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Q:

If the break­even quantity for a factory whose variable cost of manufacturing a cell is Rs. 15 and selling price is Rs. 24 is 2,400 units, find the fixed cost of the factory?

A) Rs. 21600 B) Rs. 36000
C) Rs. 57600 D) Rs. 14400
 
Answer & Explanation Answer: A) Rs. 21600

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Q:

An increase in expected future income will

A) Decrease aggregate demand and aggregate supply B) Increase aggregate demand and aggregate supply
C) Increase aggregate demand D) Increase aggregate supply
 
Answer & Explanation Answer: C) Increase aggregate demand

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Q:

If demand curve for roller skates is D = 23000 - 19P and supply curve is S = 18000 + 6P, find the equilibrium Price?

A) Rs 100 B) Rs 400
C) Rs 50 D) Rs 200
 
Answer & Explanation Answer: D) Rs 200

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Q:

The consumption schedule is such that

A) the MPC and the APC must be equal at all levels of income. B) the APC is constant and the MPC declines as income rises.
C) both the APC and the MPC increase as income rises. D) the MPC is constant and the APC declines as income rises.
 
Answer & Explanation Answer: D) the MPC is constant and the APC declines as income rises.

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Q:

What will you call a system of taxation under which the poorer sections are taxed at higher rates than the richer sections?

A) Progressive tax B)  Proportional tax
C) Regressive tax D)  Degressive tax
 
Answer & Explanation Answer: C) Regressive tax

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Q:

Which among the following is not an account under Balance of Payment?

A) Current Account B) Capital Account
C) Official Reserves Account D) Unilateral Payments Account
 
Answer & Explanation Answer: C) Official Reserves Account

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Q:

On 24 October 2017, the Government of India announced a massive of ______ package to boost economy

A) Rs 7 lakh crore B) Rs 9 lakh crore
C) Rs 15 lakh crore D) Rs 5 lakh crore
 
Answer & Explanation Answer: B) Rs 9 lakh crore

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Q:

Credit Rationing in India is done by

A) RBI B) SBI
C) LIC D) Finance Ministry
 
Answer & Explanation Answer: A) RBI

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