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Basic of Economics

What is meant by capital stock ………..?

A. Authorized amount of stock for issue by corporation
B. The total stated or par value of the permanently invested capital of corporation
C. Both of them
D. None of them

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Point out the term for producer goods such as machinery that is used in production of commodities ?

A. Capital assets
B. Running capital
C. Capital goods
D. Hard capital

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The term Cartel refers to ?

A. A combination of firms for business purposes
B. An official agreement between governments at war, especially for exchange of prisoners
C. Unity of parties, factions or nations in a common cause
D. All of the above

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Find out the term for the purpose that a buyer must pay for the goods at the time of its delivery ?

A. Barter
B. payment on Delivery
C. Gives in take
D. Cash on Delivery

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What is called a place of work where all workers within a section must belong to a single official recognized trade union ?

A. Monopolized shop
B. Monopolized area
C. Closed shop
D. Monopolized market

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A country can still gain from trading certain goods even though its trading partners can produce those goods more cheaply. How is known this principle ?

A. Relative Advantage
B. Complete Advantage
C. Comparative Edge
D. Comparative Advantage

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Goods that satisfy human wants though their direct use or consumption are called…………..?

A. cash goods
B. consumer items
C. consumer goods
D. cash items

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Term the enterprise or organization which is managed by those who use its facilities or services ?

A. Limited company
B. Society
C. Corporation
D. Cooperative

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Name the organization in which people are associated together for a common purpose under a common name. This organization is recognized and created by law ?

A. Company
B. Corporation
C. Cooperative
D. Limited Company

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What is the cost effective ?

A. Cheap things
B. Substandard things
C. Economical in terms of the goods or services received for the money spent
D. Free in terms of the goods or services received for the money spent

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