Practice Test

Q1) __________ is a feature of partnership form of business. Show Answer

Q2) __________ form of business is/are appropriate for retail business. Show Answer

Q3) Which one of the following does not have perpetual succession? Show Answer

Q4) In a Hindu Undivided Family, liability of __________ is unlimited. Show Answer

Q5) In relation to business organisation structure, which one of the following is easy to form and wind up? Show Answer

Q6) Which is not a feature of LLP? Show Answer

Q7) Voting right that vests with each member of co-operative society is: Show Answer

Q8) Gas Authority of India Limited is an example of: Show Answer

Q9) Which one of the following is the oldest and simplest form of organisation? Show Answer

Q10) Which one of the following is treated as a separate legal entity different from its members? Show Answer

Q11) Why co-operative marketing society is formed? Show Answer

Q12) The choice of an appropriate form of business organisation largely depends upon:
I. Ease of formation
II. Continuity and stability
III. Liability aspects Show Answer

Q13) The minimum number of members required to get a co-operative society registered is Show Answer

Q14) Which of the following entity is created under an Act of the Parliament or an Act of the State legislature? Show Answer

Q15) Which form of business organisation has a separate legal entity ? Show Answer

Q16) What is the liability of each partner under LLP? Show Answer

Q17) Which of the following is not a form of organisation? Show Answer

Q18) Who can be the head of Joint Hindu Family business? Show Answer

Q19) Members of RUF are known as Show Answer

Q20) Which amongst the following is a feature of LLP? Show Answer

Q21) Head of HUF is known as Show Answer

Q22) In case of HUF what are liabilities of Co-parcener and Karta Show Answer

Q23) To form a partnership, the minimum capital contribution should be: Show Answer

Q24) The Karta in Joint Hindu Family business has: Show Answer

Q25) The objects and powers of a statutory corporation: Show Answer

Q26) Which corporation has both characteristics i.e. of a partnership and of a separate legal entity? Show Answer

Q27) Kendriya Bhandar is a: Show Answer

Q28) What is Karta’s liability in HUF? Show Answer

Q29) Which of these is not a statutory corporation? Show Answer

Q30) Liability of other Co-parceners are: Show Answer

Q31) Business undertaking are generally exposed to: Show Answer

Q32) A Public Corporation has Show Answer

Q33) The liability of each member of the Hindu Undivided Family business is: Show Answer

Q34) The affairs of a company is overseen by: Show Answer

Q35) In case of Hindu Undivided Family, the individual share of each coparcener: Show Answer

Q36) The size and structure of business depend on many factors which (are): Show Answer

Q37) Limited Liability Partnership is constituted under __________. Show Answer

Q38) In case of Cooperative Societies minimum number of members are: Show Answer

Q39) Sole proprietary business is suitable when market is Show Answer

Q40) Limited liability partnership is constituted under __________. Show Answer

Q41) Following is not a characteristic of business organisation: Show Answer

Q42) is a form of business that is owned, managed and controlled by an individual. Show Answer

Q43) Individual owing and running the business is known as:- Show Answer

Q44) Which of the following is an advantage of sole proprietorship? Show Answer

Q45) Which of the following has most stable existence? Show Answer

Q46) Which form of organisation is only found in India? Show Answer

Q47) The business affairs are managed by the head of the family, known as: Show Answer

Q48) Karta’s liability is Show Answer

Q49) Mutual agency is an important feature of Show Answer

Q50) Company is managed by shareholders Show Answer

Q51) In which of the following, the ownership of venture is reflected by ownership of shares or stock? Show Answer

Q52) For having direct control over the business activities, which form is preferred Show Answer

Q53) Which is not a characteristic of sole proprietorship? Show Answer

Q54) What are the characteristics of HUF? Show Answer

Q55) Cooperative society is that society which has been registered under the Cooperative Society Act __________? Show Answer

Q56) LLP, this forms of organisation has been introduced in India by way of? Show Answer

Q57) Which is the last step to end LLP? Show Answer

Q58) Direct motivation, maintenance of business secrets, close personal relations etc are the advantages of Show Answer

Q59) The profit share of coparceners in a HUF Show Answer

Q60) In case of death of a partner Show Answer

Q61) Greater Permanency, limited liability, ease of transfer of ownership are the advantages of Show Answer

Q62) AMUL milk products is an example of Show Answer

Q63) The societies formed to provide financial support to the members are called Show Answer

Q64) Voluntary association, utilization of surplus, cash trading etc. are the characteristics of Show Answer

Q65) Which of the following statement is true in respect of the voting rights of a member in a Co-operative Society? Show Answer

Q66) An economic activity consisting of production, buying and selling of products and Services is Show Answer

Q67) Commercial Awareness involves knowledge of Show Answer

Q68) Which of the following statements distinguishes business from entrepreneurship?
Show Answer

Q69) The three most valuable attributes to be successful in business-
(i) Can-Do Attitude (ii) Resistance to change
(iii) Commercial Awareness (iv) Traditional approach
(v) Contentment (vi) Technical Skills
Show Answer

Q70) Which of the following is a Business activity? Show Answer

Q71) Which of the following statements does not comprise business activity? Show Answer

Q72) Trade is broadly classified into - Show Answer

Q73) Stock Market Players who raise the stock prices through building a buy pressure are called Show Answer

Q74) Which of the following is not an economic objective of the firm? Show Answer

Q75) Stock Market players that have pessimistic expectations - Show Answer

Q76) BCK helps CAS in - Show Answer

Q77) The level of Business and Commercial knowledge / Commercial Awareness may be referred to as Show Answer

Q78) Which of these is true about updating the level of BCK?
(a) Non-commerce Background is a negative for improving BCK.
(b) Only Business Newspaper helps in updating BCK
(ii) Even a TV commercial can impart knowledge
(iv) Reflective Thinking on various observations and updates is a must.
Show Answer

Q79) Which is not true about an economic activity? Show Answer

Q80) Activity performed without any regard to monetary gain is - Show Answer

Q81) An example of Non-Economic Activity Show Answer

Q82) Trading implies buying for the purposes of selling. Applying this criterion, tell which of the following activities would not qualify as trading? Show Answer

Q83) Production represents the _______ side of economics Show Answer

Q84) Productive activity means production of goods - Show Answer

Q85) Which of the following occupations requires rendering of services based upon specialized knowledge and membership of an accreditation and assessment body? Show Answer

Q86) Income – Spending = Show Answer

Q87) Transfer of Interest exists in - Show Answer

Q88) The occupation in which people work for others and get remunerated in return is known as: Show Answer

Q89) Economic activities may be classified into Business, _______ and Employment Show Answer

Q90) What is the psychological motive of employment Show Answer

Q91) Which of the following statements describes the best Joint Hindu / Hindu Undivided Family (HUF) Business? Show Answer

Q92) Which of the following is not an advantage of single ownership? Show Answer

Q93) Which of the following is an advantage of joint ownership? Show Answer

Q94) Sustainable development / businesses imply: Show Answer

Q95) Personal interest in business is more in Show Answer

Q96) Non-corporate Entity includes - Show Answer

Q97) Which of the following statements characterizes the best non-economic activities? Show Answer

Q98) _________ is a type of enterprise that is owned and run by one natural person and in which there is no legal distinction between the Owner and the Business Entity. Show Answer

Q99) Demerits of a Sole Proprietorship Show Answer

Q100) The Indian Companies Act provides for the registration of: Show Answer

Q101) HUF consists of Show Answer

Q102) _______ successive generations of an Undivided Family are known as HUF. Show Answer

Q103) Which of the following is not true about HUF? Show Answer

Q104) The income of a profession is called Show Answer

Q105) In employment a person receives Show Answer

Q106) Income of a businessman is called Show Answer

Q107) Which of the following is not a business activity: Show Answer

Q108) In which of the following occupations services of specialised nature are provided for fee Show Answer

Q109) Which of the following occupations involve maximum risk Show Answer

Q110) Which of the following statements best describe economic activities. Show Answer

Q111) The head of the joint Hindu family business is called Show Answer

Q112) The maximum number of partners in a partnership firm can be: Show Answer

Q113) Taking photographs of mountains as a hobby is an economic activity. Show Answer

Q114) Teaching in a school is a non-economic activity. Show Answer

Q115) Service or employment is an economic activity. Show Answer

Q116) Business involves buying and selling of goods and services. Show Answer

Q117) Running a hair-cutting saloon is a business. Show Answer

Q118) Occupations of doctors, lawyers and chartered accountants are called professions. Show Answer

Q119) Economic activities are undertaken for earning a living. Show Answer

Q120) Industry and commerce are interchangeable terms. Show Answer

Q121) Commerce is a wider term than trade. Show Answer

Q122) Trade between two countries is known as internal trade. Show Answer

Q123) Conversion of cotton into cloth is an example of genetic industry. Show Answer

Q124) A joint Hindu family business is the result of a contract between the members of the family. Show Answer

Q125) Every member of a joint Hindu family business is an agent of the firm Show Answer

Q126) There is no limit on the number of members in a joint Hindu family business. Show Answer

Q127) Female members of a family do not have a share in the joint Hindu family business. Show Answer

Q128) A joint Hindu family business is not dissolved on the death of a member. Show Answer

Q129) Registration of a partnership is legally compulsory. Show Answer

Q130) Limited partnership is not allowed in India. Show Answer

Q131) A partnership can take as many partners as it likes. Show Answer

Q132) A minor can become a partner. Show Answer

Q133) Partners may come and go but the partnership goes on forever. Show Answer

Q134) A person becomes a partner on his birth in the family. Show Answer

Q135) A private company must file a statement in lieu of prospectus. Show Answer

Q136) A company which does not want to prepare its own Articles of Association can adopt Table A. Show Answer

Q137) A company wanting to raise capital must issue a prospectus. Show Answer

Q138) A private company can start its business immediately after incorporation. Show Answer

Q139) Capital clause is a part of the Articles of Association Show Answer

Q140) The Memorandum of Association defines the relationship of a company with or outsiders Show Answer

Q141) Every company must issue a prospectus to raise share capital. Show Answer

Q142) The capital of a company is divided into number of parts, each one of which is called Show Answer

Q143) The form of business organisation in which there is separation of ownership and management is called Show Answer

Q144) A joint stock company is separate legal entity. Show Answer

Q145) A company survives even if all its members die. Show Answer

Q146) A joint stock company is a voluntary association of persons. Show Answer

Q147) A joint stock company is less stable than a partnership. Show Answer

Q148) Registration of a joint stock company is optional. Show Answer

Q149) There can be no conflict of interest in a joint stock company. Show Answer

Q150) A company is an artificial legal person. Show Answer

Q151) LIC is a statutory company. Show Answer

Q152) At least five persons are needed to form a public company. Show Answer

Q153) The minimum paid up capital of a private company must be Rupees five lakh. Show Answer

Q154) A private company can invite public deposits. Show Answer

Q155) The shares of a public company are transferable Show Answer

Q156) A subsidiary of a public company is also a public company. Show Answer

Q157) The concept of private company deemed to be public no longer exists in India. Show Answer

Q158) There is no chartered company in India. Show Answer

Q159) An economic activity consisting of production, buying and selling of products and Services is Show Answer

Q160) Commercial Awareness involves knowledge of Show Answer

Q161) Which of the following statements distinguishes business from entrepreneurship? Show Answer

Q162) The three most valuable attributes to be successful in business -
(i). Can-Do Attitude
(ii). Resistance to change
(iii). Commercial Awareness
(iv). Traditional approach
(v). Contentment
(vi). Technical Skills
Show Answer

Q163) Which of the following is a Business activity? Show Answer

Q164) Which of the following statements does not comprise business activity? Show Answer

Q165) Trade is broadly classified into - Show Answer

Q166) Stock Market Players who raise the stock prices through building a buy pressure are called Show Answer

Q167) Which of the following is not an economic objective of the firm? Show Answer

Q168) Stock Market Players that have pessimistic expectations Show Answer

Q169) BCK helps CAs in Show Answer

Q170) The level of Business and Commercial Knowledge / Commercial Awareness may be referred to as Show Answer

Q171) Which of these is true about updating the level of BCK?
(a) Non-Commerce Background is a negative for improving BCK.
(b) Only Business Newspaper helps in updating BCK
(c) Even a TV commercial can impart knowledge
(d) Reflective Thinking on various observations and updates is a must.
Show Answer

Q172) Which is not true about an economic activity? Show Answer

Q173) Activity performed without any regard to monetary gain is Show Answer

Q174) An example of Non-Economic Activity Show Answer

Q175) Trading implies buying for the purposes of selling. Applying this criterion, tell which of the following activities would not qualify as trading? Show Answer

Q176) Production represents the _____ side of economics Show Answer

Q177) Productive activity means production of goods Show Answer

Q178) Which of the following occupations requires rendering of services based upon specialised knowledge and membership of an accreditation and assessment body? Show Answer

Q179) Income - Spending = Show Answer

Q180) Transfer of Interest exists in Show Answer

Q181) The occupation in which people work for others and get remunerated in return is known as: Show Answer

Q182) Economic activities may be classified into Business, _______ and Employment Show Answer

Q183) What is the psychological motive of employment Show Answer

Q184) Which of the following statements describes the best Joint Hindu / Hindu Undivided Family (HUF) Business? Show Answer

Q185) Which of the following is not an advantage of single ownership? Show Answer

Q186) Which of the following is an advantage of joint ownership? Show Answer

Q187) Sustainable development/ businesses imply: Show Answer

Q188) Personal interest in business is more in Show Answer

Q189) Which of the following statements characterises the best non-economic activities? Show Answer

Q190) ________ is a type of enterprise that is owned and run by one natural person and in which there is no legal distinction between the Owner and the Business Entity. Show Answer

Q191) Demerits of a Sole Proprietorship - Show Answer

Q192) The Indian Companies Act provides for the registration of: Show Answer

Q193) HUF consists of - Show Answer

Q194) _______ successive generations of an Undivided Family are known as HUF. Show Answer

Q195) Which of the following is not true about HUF? Show Answer

Q196) Non-corporate Entity includes - Show Answer

Q197) Which one of the following is treated as a separate legal entity different from its members? Show Answer

Q198) CSR stands for: Show Answer

Q199) LLP has: Show Answer

Q200) Which of the following is correct? Show Answer

Q201) In HUF: Show Answer

Q202) The Logo of Institute of Chartered Accountants of India (ICAI) is suggestive of .................... Show Answer

Q203) When FERA is converted into a FEMA: Show Answer

Q204) Which is not a merit of LLP? Show Answer

Q205) Income tax Act, HUF cannot card which type of Show Answer

Q206) HUF................... be formed by a group of people who do not constitute a family. Show Answer

Q207) No. of directors in a private company. Show Answer

Q208) Economic, Activities are driven cause of...................? Show Answer

Q209) Economic activities do not include Show Answer

Q210) Which of the following is a form of business organisation? Show Answer

Q211) ................... is a form of business that is owned, managed and controlled by an individual. Show Answer

Q212) Which is the oldest business form? Show Answer

Q213) Which of the following would have unlimited liability? Show Answer

Q214) What is the maximum strength of HUF— Show Answer

Q215) Only coparcener can become a Karta, This statement is— Show Answer

Q216) Karta’s liability is— Show Answer

Q217) What is the maximum number of partners in any partnership firm? Show Answer

Q218) Company have a perpetual succession and work under a common seal. This statement is— Show Answer

Q219) Statutory body is a body that is created under an Act enacted by Show Answer

Q220) LLP Act, 2008 came into effect on— Show Answer

Q221) Which is not an advantage of Joint Hindu Family business. Show Answer

Q222) What are the advantages of company? Show Answer

Q223) In case of death of a Co-parceners Show Answer

Q224) Which of the following statement is true in respect of a HUF? Show Answer

Q225) Which of the following statements is true Show Answer

Q226) Registration of Partnership is not compulsory but beneficiary. Show Answer

Q227) Lack of secrecy, promotion of frauds, separation of ownership from management are the disadvantages Show Answer

Q228) The maximum number of partners in a LLP are Show Answer

Q229) Business as a institution is Show Answer

Q230) Which of the following is part of HUF ? Show Answer

Q231) Which of the following is organic objective of business ? Show Answer

Q232) Which of the following statement is correct with respect to HUF ? Show Answer

Q233) The attribute of a profession does not include. Show Answer

Q234) What are features of BCK ? Show Answer

Q235) There can be partnership between : Show Answer

Q236) Which is not part of HUF ? Show Answer

Q237) Which of these is not a characteristic of LLP ? Show Answer

Q238) Which of the followings shares the relationship between the partners of LLP ? Show Answer

Q239) ' A partnership may be formed to carry on : Show Answer

Q240) Which of the following is not an economic activity ? Show Answer

Q241) Intellectual property rights and copy rights is an example of which of following key factor of PESTLE Matrix ? Show Answer

Q242) According to Income Tax Act, which of the following cannot be a source of income for HUF ? Show Answer

Q243) What is popuular psychological motive in case of profession as an economic occupation ? Show Answer

Q244) Limited liability partnership is : Show Answer

Q245) Perpetual succession indicates ..... Show Answer

Q246) Which of the following is the recently introduced form of business organizations in India wide Companies Act, 2013 ? Show Answer

Q247) Which of the following is a Hybrid form of Business Organization ? Show Answer

Q248) Which of the following statements characterizes the best non-economic activities ? Show Answer

Q249) Maximum no of members in LLP is : Show Answer

Q250) HUF cannot comprise member of : Show Answer

Q251) Maximum no. of members in banking firm is : Show Answer

Q252) The liability of members of HUF business is : Show Answer

Q253) Human activities distinguishable by presence of the livelihood motives are known as : Show Answer

Q254) Which one of the following is an organic objective of business ? Show Answer

Q255) A company created for a future project and has no significant accounting transaction is called as : Show Answer

Q256) Which of the following is not a feature of limited liability partnership? Show Answer

Q257) In Business and Commercial Knowledge (BCK) vocabulary, 'strategy' is originally belongs to which discipline ? Show Answer

Q258) Which of the following is not a feature of private company ? Show Answer

Q259) Under which Act a HUF enjoys a separate entity status ? Show Answer

Q260) Which of the following is not included in BCK lexicon ?
Show Answer

Q261) What is the most popular psychological motive of profession ?
Show Answer

Q262) A company with 2 shareholders and 2 directors can be - Show Answer

Q263) The term 'usual occupation' in market terminology refers to -
Show Answer

Q264) Which of the following in considered as an non economic activity ?
Show Answer

Q265) Which of the following is hybrid form of business ? Show Answer

Q266) Contractual co-ownership of a business is known as -
Show Answer

Q267) The numbers of minimum directors in private company Show Answer

Q268) Profit is earned from which - Show Answer

Q269) A company created for a future project and has no significant accounting transaction is called as
Show Answer

Q270) Which of the following is not a feature of private company.
Show Answer