Insured
Assured
Indemnity
both (a) & (b)
✅ The correct answer is D.
The person whose risk is insured is called Insured and Assured.
The person whose risk is insured is called Insured and Assured.
Business and Commerce
Enhance your knowledge of Business and Commerce with a wide range of MCQs with answers and detailed explanations. Topics include business management, commerce, trade, economics, marketing, finance, entrepreneurship, and organizational behavior. These multiple-choice questions are designed for students, teachers, and candidates preparing for competitive exams (CSS, PMS, NTS, FPSC, PPSC, UPSC, MBA entry tests, etc.). Each MCQ is followed by a clear explanation to help you understand concepts deeply, improve analytical skills, and achieve success in exams. Ideal for practice, self-study, and revision in the field of Business and Commerce.
182. The purpose of an office is to furnish essential services to the ___________.
public
management
clerks
creditors
✅ The correct answer is B.
The purpose of an office is to furnish essential services to the management. Office provides information to the management on the basis of which it formulates its policies.
The purpose of an office is to furnish essential services to the management. Office provides information to the management on the basis of which it formulates its policies.
183. A __________ firm would be able to reduce its risk by diversifying its products and markets.
large scale
small scale
new
none of the above
✅ The correct answer is A.
A large scale firm would be able to reduce its risk by diversifying its products and markets.
A large scale firm would be able to reduce its risk by diversifying its products and markets.
184. __________ is a social device for eliminating or reducing the loss of society from certain risk.
Premium
Policy
Insurance
Contract
✅ The correct answer is C.
Insurance is a social device for eliminating or reducing the loss of society from certain risk. Insurance is a social device for division of financial losses which may fall on an individual or his family on the happening of some unforeseen events. When insured, the loss arising out of the events are shared by all the insured in the form of premium. Therefore the risk is transferred from one individual to a group.
Insurance is a social device for eliminating or reducing the loss of society from certain risk. Insurance is a social device for division of financial losses which may fall on an individual or his family on the happening of some unforeseen events. When insured, the loss arising out of the events are shared by all the insured in the form of premium. Therefore the risk is transferred from one individual to a group.
185. ____________ Machine is used to point addresses of the customers or clients on outgoing mail.
Accounting
Addressing
Franking
Listing
✅ The correct answer is B.
Addressing machine is used to point addresses of the customers or clients on outgoing mail. It is a business machine that automatically imprints names, addresses, or other information on successive envelopes or forms.
Addressing machine is used to point addresses of the customers or clients on outgoing mail. It is a business machine that automatically imprints names, addresses, or other information on successive envelopes or forms.
186. Insurance business is based on ______________.
Parkinson law
Newton law
The theory of probability and law of large numbers
Boyle law
✅ The correct answer is C.
Insurance business is based on the theory of probability and law of large numbers. As the number of exposure units, or policyholders, increases, the probability is higher that the actual loss per exposure unit will equal the expected loss per exposure unit.
Insurance business is based on the theory of probability and law of large numbers. As the number of exposure units, or policyholders, increases, the probability is higher that the actual loss per exposure unit will equal the expected loss per exposure unit.
187. Equity shareholders are the __________.
owners of the company
creditors of the company
debtors of the company
directors of the company
✅ The correct answer is A.
Equity shareholders are the owners of the company. Equity shares represent the ownership of a company and capital raised by the issue of such shares is known as ownership capital or owner’s funds.
Equity shareholders are the owners of the company. Equity shares represent the ownership of a company and capital raised by the issue of such shares is known as ownership capital or owner’s funds.
188. Which of the following is an economic activity?
A farmer in the field
A teacher teaching his son
A social worker at a relief camp
A social worker
✅ The correct answer is A.
A farmer in the field is an economic activity. Any action that involves producing, distributing, or consuming products or services is an economic activity.
A farmer in the field is an economic activity. Any action that involves producing, distributing, or consuming products or services is an economic activity.