Business and Commerce mcqs

✅ The correct answer is A.
Equity shares were earlier known as ordinary shares. 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. They are the foundation for the creation of a company.

✅ The correct answer is C.
Processing of data through computer is done by its CPU. Data is the raw material to be processed by a computer.

✅ The correct answer is B.
New issue market is an integral part of the capital market. The most important type of capital market is the primary market. It is what we call the new issue market. It exclusively deals with the issue of new securities, i.e. securities that are issued to investors for the very first time.

✅ The correct answer is B.
Unsecured debentures are debentures that are not supported by a collateral security. No specific assets will be set aside against unsecured debentures. It is basically a loan with out any protection. They are backed only by the general credit worthiness of the issuer.

✅ The correct answer is B.
The most important advantage of a joint stock company form of business organization is that members can conveniently transfer their shares. The shares of a company are transferable. Also, in the case of a listed public company they can also be sold in the market and be converted to cash.

✅ The correct answer is C.
The first stock exchange in the world is London stock exchange. London Stock Exchange is one of the world’s oldest stock exchanges and can trace its history back to 1571. London Stock Exchange Group was created in October 2007 when London Stock Exchange merged with Milan Stock Exchange, Borsa Italiana.

✅ The correct answer is A.
The OTC Exchange Of India was founded in 1990 under the Companies Act 1956 and was recognized by the Securities Contracts Regulation Act, 1956 as a stock exchange.

✅ The correct answer is A.
Office is to a business what the mainspring is to watch by G R Terry. G.R. Terry defines office layout as “the determination of the space.

✅ The correct answer is D.
Vertical filing methods are recommend for a large size undertaking. Vertical filing indicates the vertical position of the files. The files are kept in a standing position under this method. Vertical filing method is developed to overcome the difficulties of horizontal filing.

✅ The correct answer is C.
In order to control private sector insurance companies, the Government of India passed the IRDA Act (Insurance Regulatory and Development Authority Act, 1999) which enabled it to regulate the private sector companies in insurance business.
One chairperson and not more than 9 members of whom not more than 5 would be full time members and they are appointed by the government. Those who have experience in life and general insurance, actuarial service, finance, economics etc., are appointed.