Author name: Administrator

1840. The measures to reduce chances of occurrence of risk are known as _________.

Risk retention
Loss prevention
Risk transfer
Risk avoidance
✅ The correct answer is B.
The measures to reduce chances of occurrence of risk are known as Loss prevention. The risk removed through risk pooling is known as insurance. Loss prevention measures trim down the chance of incidence of risk. The Insurance provides peace of brains and helps the person to plan his or her business efficiently.

1844. As output increases

MC curve initially falls and then rises
MC initially rises and then falls
MC continuously rises
None of the above
✅ The correct answer is A.
As output increases when MC curve initially falls and then rises. The Marginal Cost curve is U shaped because initially when a firm increases its output, total costs, as well as variable costs, start to increase at a diminishing rate. Then as output rises, the marginal cost increases.

170. The normal balance of capital account is

Credit balance
Debit balance
Cash balance
Neither debit nor credit balance
✅ The correct answer is A.
The normal balance of capital account is Credit balance. Normal balance is the side where the balance of the account is normally found. Asset accounts normally have debit balances, while liabilities and capital normally have credit balances. Income has a normal credit balance since it increases capital .

1828. Situation in which firm limits expenditures on capital is classified as

optimal rationing
capital rationing
marginal rationing
transaction rationing
✅ The correct answer is B.
Situation in which firm limits expenditures on capital is classified as capital rationing. Capital rationing is the process of putting restrictions on the projects that can be undertaken by the company or the capital that can be invested by the company.

171. The allocation of the cost of a tangible plant asset to expense in the periods, in which services are received from the asset, is termed as

Appreciation
Depreciation
Fluctuation
None of the above
✅ The correct answer is B.
The allocation of the cost of a tangible plant asset to expense in the periods, in which services are received from the as set, is termed as Depreciation. Depreciation is any method of allocating such net cost to those periods in which the organization is expected to benefit from use of the asset. The asset is referred to as a depreciable asset.

1833. Identify the work of Irving Fisher

A Treatese on Money
Policy against Inflation
The Making of Index numbers
Monetary Theory
✅ The correct answer is C.
The Making of Index numbers is the work of Irving Fisher. Index numbers played an important role in his monetary theory, and his book The Making of Index Numbers has remained influential down to the present day. Fisher’s main intellectual rival was the Swedish economist Knut Wicksell.
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