Q. Which type of market structure is characterized by a single seller with no close substitutes?
Answer: Monopoly
Q. Which type of cost is incurred but cannot be recovered?
Answer: Sunk Cost
Q. Which ratio is used to assess a company’s profitability relative to its total revenue?
Answer: Net profit margin
Q. Which financial statement shows a company’s revenues and expenses over a period of time?
Answer: Income Statement
Q. Which pricing strategy involves setting a high initial price and gradually lowering it over time?
Answer: Price Skimming
Q. Accounting provides information on ______?
Answer: All of the above (Financial conditions, cost/income, and tax liability)
Q. The formula for return on equity (ROE) is ______?
Answer: Net income ÷ Shareholders’ equity
Q. Which financial statement shows a company’s financial position at a specific point in time?
Answer: Balance Sheet
Q. Which financial ratio measures a company’s ability to generate profit from its total revenue?
Answer: Gross Profit Margin
Q. Which market structure is characterized by a few dominant firms controlling the industry?
Answer: Oligopoly
Q. Which ratio indicates how efficiently a company uses its assets to generate revenue?
Answer: Asset turnover ratio
Q. Which accounting principle requires companies to report financial information in a consistent manner over time?
Answer: Consistency Principle
Q. Which financial statement provides a snapshot of a company’s financial position at a specific point in time?
Answer: Balance Sheet
Q. Which ratio measures a company’s ability to pay off its long-term debts?
Answer: Debt-to-equity ratio
Q. A bid means ______?
Answer: Offer
Q. Random sampling is a name of ______?
Answer: Probability sampling
Q. Assets having physical existence are called _____?
Answer: Tangible assets
Q. All bids are opened ______?
Answer: Publically
Q. CPI stands for ______?
Answer: Consumer Price Index
Q. The three types of flows in supply chain management are material flow, information flow, and ______ flow.
Answer: Money
5. Economics
Q. MPC formula is:
Answer: ΔC / ΔY
Q. Demand deposits:
Answer: No interest
Q. Function of money NOT include:
Answer: Interest rate determination
Q. Central bank does NOT:
Answer: Earn profit
Q. Domestic trade means:
Answer: Within country
Q. Balance of trade includes:
Answer: Visible goods
Q. Agriculture share in GDP:
Answer: 19.2%
Q. Pakistan economy is:
Answer: Developing
Q. Inflation causes:
Answer: Value of money decrease
Q. Bank reserves ratio:
Answer: 5%