Business and Commerce mcqs

✅ The correct answer is A.
Alphabetical classification classification is based on alphabetical order. Alphabetical filing is a fundamental way to organize documents in both your private and personal life. Filing documents in alphabetical order will allow you and others to find and replace each file quickly.

✅ The correct answer is D.
Dividend declared by a company may be paid in cash only. On the date of payment, the company reverses the dividend payable with a debit entry and credits its cash account for the respective cash outflow. Cash dividends do not affect a company’s income statement. However, they shrink a company’s shareholders’ equity and cash balance by the same amount.

✅ The correct answer is B.
Optimum firm enjoys lowest average cost of production.

✅ The correct answer is C.
LIC of India is an example of public corporation. LIC of India was incorporated on 1st September, 1956 by amalgamating 243 Companies by the Act of Parliament called Insurance Act, 1956.

✅ 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 term Ethics is concerned with moral values. Ethics, also called moral philosophy, the discipline concerned with what is morally good and bad, right and wrong. The term is also applied to any system or theory of moral values or principles.

✅ The correct answer is A.
Sole Trading Concern highly flexible type of organization. Sole trading concern is the oldest type of business organization throughout the world. It is simple and natural type of organization because it is owned, controlled, supervised and managed by single person known as sole trader.

✅ The correct answer is A.
The primary objective of co-operative society is Service Motive. The main motive is to provide service to the members. It works on the principle of self help through mutual coop- eration of members

✅ The correct answer is C.
Maintenance of records is the basic functions of an office. The object of keeping records is to enable information to be made readily available to the management whenever recovered. These records are essential for the management in planning and controlling the business affairs.

✅ The correct answer is A.
Except life insurance generally the maximum term of other insurance is 12 months.