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.

13. Secured debentures are also called as _________.

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Mortgaged debentures
Simple debentures
Bearer debentures
Registered debentures
✅ The correct answer is A.
Secured debentures are also called as Mortgaged debentures. These debentures have some asset of the company as collateral security. Since the applicant’s investment is protected against the asset of the company, it is called as a secured debenture.

14. If a general manager asks the sales manager to recruit some salesman on his behalf, it is an instance of ___________.

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Division of authority
Decentralisation of authority
Delegation of authority
Delegation of responsibility
✅ The correct answer is C.
If a general manager asks the sales manager to recruit some salesman on his behalf, it is an instance of Delegation of authority. Delegation of authority can be defined as subdivision and sub-allocation of powers to the subordinates in order to achieve effective results.

15. Which type of classification is based on numerical order?

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Alphabetical classification
Alphanumeric classification
Numerical classification
Geographical classification
✅ The correct answer is C.
Numerical classificatio is based on numerical order. An assessment of the relative contribution of the intangible items to the aggregate intangible value based on a managerial point of view of the strategic choices, goals and positions of the firm.

17. When an existing company offers its shares for sale to the existing shareholders, it is known as ___________.

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private placing
bonus issue
rights issue
offer for sale
✅ The correct answer is C.
When an existing company offers its shares for sale to the existing shareholders, it is known as rights issue. A rights issue is a way by which a listed company can raise additional capital. However, instead of going to the public, the company gives its existing shareholders the right to subscribe to newly issued shares in proportion to their existing holdings.

18. Security merchants dealing in shares, independent operators are called ___________.

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Brokers
Jobber
tarawaniwalas
mandiwalas
✅ The correct answer is B.
Security merchants dealing in shares, independent operators are called Jobber. They buy and sell securities on their own behalf and try to earn through price changes. Jobbers cannot deal on behalf of public and are barred from taking commission.

19. Which types of files are available in the form of tray that lie flat horizontally in a cabinet?

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Horizontal files
Vertical files
Visible files
Metal files
✅ The correct answer is C.
Visible files are available in the form of tray that lie flat horizontally in a cabinet. A visible file, sometimes just called a kardex, after a prominent purveyor, is a filing system for overlapping cards fixed in shallow drawers.

20. In which method of filing, all the letters and documents are passed in the book in chorological order?

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Box file
Bound book
Metal holders
Pillar file
✅ The correct answer is B.
In Bound book method of filing, all the letters and documents are passed in the book in chorological order. Whenever papers are to be filed, they are pasted on leaves of books in a chronological order. Small papers of varying sizes are filled in the bound book.