PPM Objective Set 5

Q1: Corporate profits included in disposable personal income are 

Answer

Answer: Dividends

Q2: Cost of idle time arising due to non-availability of raw material is 

Answer

Answer: Charged to costing profit and loss A/C

Q3: Cost of sales include 

Answer

Answer: Depreciation
General expenses

Q4: Cost plus contract is useful from the point of view of 

Answer

Answer: Both contractor and contractee

Q5: Cost reduction is achieved through 

Answer

Answer: Inventory control

Q6: Creative concept in makes the message 

Answer

Answer: Distinctive

Q7: Credit Creation increases 

Answer

Answer: Supply of money

Q8: Credit signifies 

Answer

Answer: Increase in liabilities accounts

Q9: Critical areas involved in strategic management include 

Answer

Answer: All of these—a)Determining long-term objectives
b)Determining the mission
c)Determining the goals

Q10: Cross-elasticity of demanded between petrol and automobiles is 

Answer

Answer: Negative

Q11: Current liabilities are 

Answer

Answer: Dividends payable

Q12: Current ratio is a 

Answer

Answer: Balance sheet ratio

Q13: Current ratio may be increased by 

Answer

Answer: Overstating current assets

Q14: Custom production 

Answer

Answer: Is essential to mass production

Q15: Customer contact is indirect in lase of 

Answer

Answer: Advertising

Q16: Customers have the power to 

Answer

Answer: Demand higher quality and Decrease process

Q17: Dealings in stock exchanges can be done by public 

Answer

Answer: Only through brokers

Q18: Debentures are classified under 

Answer

Answer: Term liabilities

Q19: Debentures are shown in the Balance Sheet of a company under the item 

Answer

Answer: Secured loans

Q20: Debentures can be redeemed by 

Answer

Answer: Any of the above

Q21: Debentures cannot be 

Answer

Answer: Participating debentures

Q22: Debit all losses and expenses and credit all income and gains is applicable to 

Answer

Answer: Nominal accounts

Q23: Debit signifies 

Answer

Answer: None of these—a)Increase in asset account
b)Decrease in liability accounts
c)Decrease in capital accounts

Q24: Debtors turnover ratio is calculated by 

Answer

Answer: Credit sales

Q25: Decentralisation of authority means 

Answer

Answer: Departmentalising activities

Q26: Decision makers who are concerned about the quantity of both the sales representatives are 

Answer

Answer: Hesitant

Q27: Decision makers who are particularly positive towards advertising efforts, but negative toward sales representatives are known as 

Answer

Answer: Doublers

Q28: Decisions that may be exempted from union participation include 

Answer

Answer: Pricing

Q29: Deferred shares can be issued by 

Answer

Answer: Private company

Q30: Delegation of authority is effective when 

Answer

Answer: The concern is doing business in different branches

Q31: Delphi is a(n) 

Answer

Answer: A and C

Q32: Delphi is concerned with which life cycle stage 

Answer

Answer: Product development

Q33: Demand can be measured at 

Answer

Answer: Any of the above

Q34: Deposit Insurance and Credit Guarantee Corporation 

Answer

Answer: Is a statutory corporation and all commercial banks have to get insurance cover from it for their deposits received from public

Q35: Deposit Insurance and Credit Guarantee Corporation of India was set up in 

Answer

Answer: 1862

Q36: Depreciation is identified as 

Answer

Answer: Expense

Q37: Describing the quantity and quality of financial, human, and physical resources of the firm is 

Answer

Answer: Mission

Q38: Development banks are institutions which 

Answer

Answer: Provide term finance to industries

Q39: DFHI provides short term liquidity by 

Answer

Answer: Undertaking buy back arrangement in Government and oteh approved securities

Q40: Direct material is a 

Answer

Answer: Manufacturing cost

Q41: Disadvantage of outdoor advertising relates to 

Answer

Answer: Life

Q42: Disinvestment occurs when 

Answer

Answer: The capital consumption allowance exceeds gross private domestic investment

Q43: Disinvestments occurs when 

Answer

Answer: The investment in public sector is shifted to private/ institution or individual

Q44: Dividend is a distribution to shareholders out of 

Answer

Answer: Reserve available for this purpose

Q45: Dividend on preference capital will be paid 

Answer

Answer: Only when directors recommend

Q46: Dividend policies are decided at the 

Answer

Answer: Corporate level

Q47: Doctrine of constrine notice means 

Answer

Answer: Every person dealing with the company is deemed to have the notice of the documents that have been registered with the Registrar of companies

Q48: Doctrine of constructive notice means 

Answer

Answer: Notice to outside dealing with the company as to contents of Memorandum and Articles

Q49: Dogs describe company business that have 

Answer

Answer: Weak market shares in low growth markets

Q50: Double insurance means 

Answer

Answer: Insuring the same risk with two or more independent insurers

Q51: Dr.John Watson stated that repetition of a stimulus tends to 

Answer

Answer: Strengthen a response

Q52: Drawing account of the proprietor is a 

Answer

Answer: Personal accounts

Q53: Effective copy writing should not be 

Answer

Answer: Forced

Q54: Effective managerial performance is dependent on all but the manager’s 

Answer

Answer: Level of motivation

Q55: Effective supervision is an activity of 

Answer

Answer: Control function

Q56: Effort-reward relationship is considered in 

Answer

Answer: Equity theory of motivation

Q57: Elasticity of demand can be measured in the following way 

Answer

Answer: %change in demand

Q58: Elasticity of Demand indicates 

Answer

Answer: Changes in prices

Q59: Electrification in rurals areas can be done better and on cheaper rate through 

Answer

Answer: Solar energy

Q60: Entrepot means 

Answer

Answer: Goods imported for re-export

Q61: Entrepot trade means 

Answer

Answer: Goods imported for re-exported

Q62: Errors of carry forward affect 

Answer

Answer: all of these—a)Personal accounts
b)Impersonal accounts
c)Nominal accounts

Q63: Errors which affect one account can be 

Answer

Answer: Errors of principle

Q64: Establishing organizational goals and determining the manner of implementation is what managerial function 

Answer

Answer: Planning and policy making

Q65: Every Public Limited Company must have a minimum of 

Answer

Answer: 3 director

Q66: Examination of alternative courses of action is an activity which falls under 

Answer

Answer: Direction function

Q67: Exchange Control Authority in India is 

Answer

Answer: Reserve Bank of India

Q68: Exchange risk is eliminated in 

Answer

Answer: Non-resident (external) account

Q69: Export Credit Guarantee Organisation has been set up to 

Answer

Answer: Provide guarantee/insurance risk involved in export risk

Q70: Export procedure begins with 

Answer

Answer: Indent

Q71: F.E.D.A.I is 

Answer

Answer: An association union of authorised dealers in India

Q72: F.O.R (Free on Rail) price quotation includes 

Answer

Answer: Cost of carrying the goods to railway station

Q73: F.W Taylor is known as the father of 

Answer

Answer: Scientific management approach

Q74: Factors which foster brand identification include 

Answer

Answer: All of these–a)Customer credit
b)Customer service
c)Product differenced

Q75: Factory rent is identified as 

Answer

Answer: Fixed cost

Q76: FCNR accounts are maintained in 

Answer

Answer: US $ Sterling

Q77: Field theotists are called 

Answer

Answer: Holistic theorists

Q78: Fire insurance covers 

Answer

Answer: Both the elements of risk and investment

Q79: FIRPS are issued for a maximum amount of 

Answer

Answer: Rs. 10,000

Q80: FIRPS instruments are encashable at 

Answer

Answer: All branches in India of all Authorised Dealers and of other scheduled commercial banks who have agreed to abide by rules prescribed by F.E.D.A.I. in this regard

Q81: FIRPS instruments bear the signature of 

Answer

Answer: Chairman of Foreign Exchange Dealers Association of India as also of the Authorised Dealer issuing the instrument

Q82: FIRPS was introduced by 

Answer

Answer: F.E.D.A.I. to facilitate proceeds of personal remittances received from abroad in favour of resident Indians for credit of non-resident accounts

Q83: First of all the term ‘Quasi-rent’ was used by 

Answer

Answer: Professor Marshall

Q84: Fixed assets are 

Answer

Answer: Plant and machinery and each building

Q85: Fixed assets are purchased for 

Answer

Answer: Helping in the production of goods and services

Q86: Fixed assets include 

Answer

Answer: (a)+(b)+(c)

Q87: Fixed cost per unit increase when 

Answer

Answer: Production volume decreases

Q88: Fixed Deposits are 

Answer

Answer: Time Liability

Q89: Fixing definite price zones or ranges and selling within them is termed as 

Answer

Answer: Margin pricing

Q90: Flexibility in capital structure is provided by 

Answer

Answer: Preference shares and debentures

Q91: Flexibility is usually increased at the expense of 

Answer

Answer: Specificity

Q92: For a brand, the idea of accumulating a reservoir of goodwill a good impressions is called as 

Answer

Answer: Brand image

Q93: For management budgeting is perhaps the most powerful 

Answer

Answer: Control device

Q94: For opening current account of a partnership firm, the firm 

Answer

Answer: Should not be registered

Q95: For the proper discharge of his duties, a company secretary is answerable to 

Answer

Answer: The directors

Q96: For what type of asset deplation method of depreciation is used 

Answer

Answer: Minning

Q97: For whom Balance Sheet Audit is useful 

Answer

Answer: For a concern paying income tax

Q98: Foreign company means 

Answer

Answer: Accompany incorporated outside India and having established place of business in India

Q99: Foreign trade is controlled by 

Answer

Answer: Chief controller of Imports and Exports

Q100: Formal conflict is a kind of 

Answer

Answer: Organisational conflict

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