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Mock Test

Business Economics - CA Foundation

Questions

50

Time Limit

60 min

Source

All Chapters

Total Pool

599 MCQs

Instructions

  • • 50 questions randomly selected from all chapters
  • • 60 minutes time limit - test auto-submits when time ends
  • • You can navigate between questions freely
  • • Unanswered questions are marked wrong
  • • Results shown immediately after submission

Sample Questions: CA Foundation Business Economics

A preview of 8 questions from the 599-MCQ pool. Start the mock test above for a full randomized, timed exam.

1. Economists regard decision making as important because:

A) The resources required to satisfy our unlimited wants and needs are finite, or scarce.
B) It is crucial to understand how we can best allocate our scarce resources to satisfy society’s unlimited wants and needs.
C) Resources have alternative uses.
D) All the above. ✓

From: Unknown

2. Point elasticity is useful for which of the following situations?

A) The bookstore is considering doubling the price of notebooks.
B) A restaurant is considering lowering the price of its most expensive dishes by 50 percent.
C) An auto producer is interested in determining the response of consumers to the price of cars being lowered by ₹ 100. ✓
D) None of the above.

From: Unknown

3. Which of the following statements is correct?

A) With the help of statistical tools, the demand can be forecasted with perfect accuracy
B) The more the number of substitutes of a commodity, the more elastic is the demand. ✓
C) Demand for butter is perfectly elastic.
D) Gold jewellery will have negative income elasticity.

From: Unknown

4. Marginal product, mathematically, is the slope of the

A) total product curve. ✓
B) average product curve.
C) marginal product curve.
D) implicit product curve.

From: Unknown

5. A market structure in which many firms sell products that are similar but not identical is known as

A) monopolistic competition ✓
B) monopoly
C) perfect competition
D) oligopoly

From: Unknown

6. If the growth rate of population is higher than the rate of economic growth, there will be _____ in the economy.

A) more savings
B) no effect on savings
C) lesser savings ✓
D) none of these

From: Unknown

7. Fiscal deficit of country A is

A) 14,000
B) 24,000 ✓
C) 23,500
D) None of the above

From: Unknown

8. If commercial banks reduce their holdings of excess reserves

A) the monetary base increases.
B) the monetary base falls.
C) the money supply increases. ✓
D) the money supply falls.

From: Unknown

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