PGT Commerce Level-3 (HTEТ), Exam 2016Total Questions: 150131. Which of the following does not characterize business activity?A. Production of goods and servicesB. Presence of riskC. Sales or exchange of goods and servicesD. Salary or wagesCorrect Answer: D. Salary or wages132. On receiving the returned goods from the buyer, the seller sends:A. Debit noteB. Promissory noteC. Bills of exchangeD. Credit noteCorrect Answer: D. Credit note133. When preparing a bank reconciliation statement, if you start with an overdraft as per passbook, then "cheques deposited but not yet cleared" are:A. AddedB. DeductedC. Not required to be adjustedD. Carry forwardCorrect Answer: B. Deducted134. 'Contingency Approach' to leadership was given by:A. FiedlerB. Henry FayolC. Elton MayoD. Herbert A. SimonCorrect Answer: A. Fiedler135. Which of the following is not a principle of management given by Taylor?A. Science, not rule of thumbB. Functional foremanshipC. Maximum not restricted outputD. Harmony not discordCorrect Answer: C. Maximum not restricted output136. Which of the following items is not shown under the heading 'Reserves and Surplus'?A. Capital reservesB. Provision for the bad debtsC. Credit balance of Profit and Loss accountD. General reserveCorrect Answer: B. Provision for the bad debts137. When a firm maintains a cash book, it need not maintain:A. Journal properB. Purchase (journal) bookC. Sales (journal) bookD. Bank and cash account in the ledgerCorrect Answer: D. Bank and cash account in the ledger138. Which of the following statements does not clearly distinguish between entrepreneurship and management?A. Entrepreneurs found the business; managers operate itB. Entrepreneurs are the owners of their business; managers are employeesC. Entrepreneurs earn profits; managers earns salariesD. Entrepreneurship is once for all activity; management is continuous activityCorrect Answer: D. Entrepreneurship is once for all activity; management is continuous activity139. The term opportunity cost refers to:A. Variable costB. Short-run costC. The cost foregone in favour of production of another productD. Cost related to an optimum level of productionCorrect Answer: C. The cost foregone in favour of production of another product140. X Co. Ltd. purchased assets worth ₹ 25,80,000. It issued debentures of ₹ 100 each at a discount of four per cent in full satisfaction of the purchase consideration. The number of debentures issued to vendor is:A. 30,000В. 28,800C. 32,000D. 28,000Correct Answer: A. 30,000Submit Quiz« Previous123456789101112131415Next »