BUNTS SANGHA’S

S.M.SHETTY COLLEGE OF SCIENCE, COMMERCE AND MANAGEMENT STUDIES

BACHELORS OF MANAGEMENT STUDIES (BMS)
TYBMS SEMESTER VI
SAMPLE QUESTIONS FOR ONLINE SEMESTER VI REGULAR & ATKT
EXAMINATIONS IN MAY 2021
 All questions are multiple choice questions.
 Select ONE correct answer from the four options given with each question
 All questions are compulsory and carry 2 marks each

FINANCE ELECTIVE SUBJECTS

STRATEGIC FINANCIAL MANAGEMENT

1. When the board of directors wishes to return the capital originally contributed by
shareholders as a dividend, it is called a______ dividend, and may be a precursor to
shutting down the business.
a) Cash Dividend
b) Stock Dividend
c) Liquidating Dividend
d) Scrip Dividend

2. Under Walter Dividend Policy, if r< ke , the firm should have_______ payout.
a) Zero Dividend
b) 100% Dividend
c) Any Dividend
d) 50% Dividend

3. Irrelevance theory stating that dividend policy does not affect the market value of the
company is supported by
a) Walter
b) Pecker
c) Gordon
d) Modigillani Miller

4. Dividend which is declared before declaration of Final Dividend is called as

a) Final Dividend
b) Interim Dividend
c) Adhoc Dividend
d) Temporary Dividend

5. XBRL India is formed as one of the following:

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 a) Trust
b) Registered Company
c) Government Corporation
d) Partnership with XBRL International

6. In sensitivity analysis
a. Most sensitive variable is found out
b. Most insensitive variable is found out
c. Sensitivity of human factor is identified
d. Insensitive of human factor is identifies

7. In probability analysis
a. Probability is assigned to each year’s cash inflow.
b. Probability is assigned to cash outflow.
c. Probability is assigned to economic situation
d. Probability is assigned to last three year’s cash inflow.

8. The current yield on government bonds is 5% and the risk is 3 %, risk adjusted
discounting rate is.
A. 8%
B. 2%
C. 15%
D. 1.67%

9. P. Under capital rationing there is no limit on capital investments.

Q. Under capital rationing there is Minimum limit on capital investments.
a) (P) is True but (Q) is false
b) (P) False but (Q) is True
c) Both the statement are wrong
d) Both the statement is correct

10. P. In order to maximize shareholder’s wealth, the firm has to accept projects minimize
total value added.
Q. In order to maximize shareholder’s wealth, the firm has to accept projects
minimize total Assets.
a) (P) is True but (Q) is false
b) (P) False but (Q) is True
c) Both the statement are wrong
d) Both the statement are correct

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11. The stakeholder theory is based on the assumption that fundamental responsibility of
managers is
A. Minimize total wealth of the shareholders
B. Maximize total wealth of the stakeholders
C. Maximize total wealth of the debenture holders
D. Minimize total wealth of the debenture holder

12. The % of provisions required on sub-standard asset on secured portion is:

A. 15%
B. 12%
C. 10%
D. 5%

13. What is the market price per share as per Gordon's Model from the following data :-
Retention Ratio: 50% Internal rate of return : 20% Cost of Capital : 16% Dividend
per share Rs. 4 and Earnings per share Rs. 6.
a. Rs. 75
b. Rs. 100
c. Rs. 25
d. Rs. 50

14. The initial outlay of Project Yale is Rs. 2,00,00 and its NPV is Rs. 3,03,110 whereas
the initial outlay of Project Zale is Rs. 2,00,00 and its NPV is Rs. 2,90,067. Which
is a better project and why?
a. Yale - as it has a higher NPV than Zale
b. Zale - as it has lower NPV than Yale
c. Zale - as it has the higher capital investment as Yale
d. Yale - as it has the lower capital investment as Zale

15. If the NPV of a Project is 30 and the Standard Deviation is 10, what would be the
Co-efficient of variation of the project?
a. 0.33
b. 3
c. 1
d. 20

16. Risk and uncertainty are quite inherent in capital budgeting decisions
because__________
a. Investment decisions and capital budgeting are actions of today which bear
fruits in future which is unforeseen
b. Future is certain and does not involve risk
c. Future events occur with un-measurable probability.
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 d. Risk always entails loss

17. Project Whey has a Standard Deviation of 0.22 and Project Lhey has a Standard
Deviation of 0.29. Which project is riskier and why?
a. Project Lhey - as Standard Deviation is higher than project Whey
b. Project Whey - as Standard Deviation is higher than project Lhey
c. Project Lhey - as returns are higher than project Whey
d. Project Whey - as returns are higher than project Lhey

18. Marsh Ltd. has a P/E ratio of 5 times, NPAT Rs. 400 lakhs and number of shares
issued are 100 lakhs. What is the Market Price per share?
a. Rs. 100
b. Rs. 25
c. Rs. 50
d. Rs. 20

19. ABC ltd intends to acquire PQR ltd. The NPAT of ABC ltd. is Rs. 50,00,000 and
the NPAT of PQR ltd. is Rs. 25,00,000. The total number of Shares of ABC ltd
post-merger are 7,50,000 (including shares given to the shareholders of PQR ltd.).
What is the Post merger price of ABC ltd. shares?
a. Rs. 10
b. Rs. 35
c. Rs. 80
d. Rs. 15.50

20. _______ is a situation where an undertaking is separated and transferred to a

separated company and decided to run into as an independent unit, distinct from the
earlier unit.
a. Merger
b. Demerger
c. Conglomerate
d. Buyout

21. Maruti Motors operating in India and Suzuki based in Japan _____________ to
form a new company called Maruti Suzuki (India) Limited.
a. Demerged
b. Privatized
c. Amalgamated
d. Joint Ventured

22. The Cost sheet of a company provides the following information about the per unit
cost structure of its Product - X. The Raw material: Rs. 60 Direct Labor: Rs. 40
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 Overheads: Rs. 75 and Selling Price: Rs. 250. The company estimates to produce
1,000 units next year of Product-X. The materials remain in stock for 2 months.
What will be the amount of Working Capital locked in Raw Material only?
a. Rs. 50,000
b. Rs. 25,000
c. Rs. 45,000
d. Rs.10,000

23. The MPBF as per Tandon Committee 2nd Method is Rs. _________ if the Current
Assets of an entity are Rs. 1,00,000 and Current Liability Rs. 25,000
a. Rs. 75,000
b. Rs. 1,00,000
c. Rs. 25,000
d. Rs. 50,000

24. P. Gross working capital = Current Assets – Current Liabilities

Q. Gross working capital = Current Assets + Current Liabilities
a) (P) is True but (Q) is false
b) (P) False but (Q) is True
c) Both the statement are wrong
d) Both the statement are correct

25. Seasonal industries like Sugar and Oil require ______ working capital during season
and ______ working capital during slack seasons.
A. Less and more
B. More and less
C. Less and less
D. More and more
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INNOVATIVE FINANICAL SERVICES

1. NBFC’s can offer banking services such as
a. Loan and Credit Facilities
b. Saving account
c. Recurring deposit
d. Fixed deposit

2. The cost of factoring services primarily comprises of the following ______

components
a. 1

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 b. 2
c. 3
d. 4

3. _______ is known as Mezzanine capital

a. Development Financing
b. Exp.ion Financing
c. Replacement Finance
d. working capital financing

4. Other sources of consumer finance includes _______

a. Savings and loan association and Mutual savings bank
b. Mutual savings bank
c. saving
d. loan association

5. Limitations of credit rating

a. Reversal of grade, Problem of new companies, Static Study
b. Problem of new companies, Static Study
c. Static Study, Reversal of grade
d. Reversal of grade

6. NBFC’s perform great role for finance in ___________

a. Wholesale sector
b. Big scale industries
c. Small scale industries & Retail sector
d. Small scale industries & Wholesale

7. The idea of providing factoring services was first taught of in India by _____
a. Tandem committee
b. Malhotra committee
c. Vaghul committee
d. Management committee

8. The buyer accepts the invoice and acknowledges _______ on the due date
a. Seller
b. Paying
c. Receiving
d. Buyer

9. A clearing member who is also a _________ may clear and settle their own
proprietary trades
a. Trading member
b. Board member

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 c. Family member
d. Business member

10. __________ look for opportunities to take on risk in the hope of making returns
a. Shareholders
b. Hedger
c. Speculators
d. BOD’s

11. In hire purchase depreciation can be claimed by the _______

a. Hirer
b. Vendor
c. Franchisers
d. Government

12. Hire purchase Act passed in the year

a. 1969
b. 1982
c. 1972
d. 1976

13. Purchase of a house in India involves various costs which are referred to as _____
costs
a. Rental
b. Acquirement
c. Transfer
d. Post-Acquisition

14. IDBI, IFCI , ICICI , etc are promoted by _________

a. VCF’s of specialized financial institution
b. VCF’s of commercial banks
c. Private VC’s
d. VCF’s of Private banks

15. Bill Discounting is governed by the ____________.

a. Negotiable Instruments Act
b. The Contract Act
c. Sale of Goods Act
d. Companies Act

16. The issuing company is expected to pay brokerage within ____ months from the
date of allotment
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 a. two
b. four
c. one
d. three

17. In a ________ lease, the lessor does not transfer all the risks and rewards incidental
to the ownership of the asset
a. Finance
b. Operating
c. finance and operating
d. contract

18. The RBI (amendment) Act

a. 1996
b. 1997
c. 1998
d. 1999

19. SEBI (merchant bankers) regulation ___________

a) 1991
b) 1992
c) 1993
d) 1990
20. Leasing activity started in India________
a) 1971
b) 1972
c) 1973
d) 1970
21. Banking sector comes under which of the following sectors ________.
a. Marketing sector
b. Service sector
c. Industrial sector
d. Finance sector
22. Which of the following is regarded as the fourth element of the financial system?
a. Financial Institution
b. Financial Instrument
c. Financial services
d. Financial market
23. PIN stands for _____________
a. People’s identity number
b. Personal Identification number
c. Per Transaction identity number
d. Purchase identification number.
24. ABC factors advances Rs. 27,00,000 to XYZ enterprises against agreement of
providing advance payment of 90% of receivables and for guarantee of payment

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 after 3 months. The factoring commission charges is 2 % on receivables. What will
be the amount of factoring commission?
a. Rs. 60,000
b. Rs. 54,000
c. Rs. 5,400
d. Rs. 65,000
25. __________ is an example of NBFC
a. SBI
b. ICICI
c. Reliance capital
d. HDFC

INTERNATIONAL FINANCE

1. IFRS stands for _________

A. International financial recognition standards
B. International foreign reporting standards
C. International financial reporting solutions
D. International financial reporting standards

2. Trade restriction is called as ______.

A. Trade stopper
B. Trade barrier
C. Trade damage
D. Trade booster

3. Mid rate usd/eur 0.7108 and percentage spread = 0.0520%

Calculate spread and usd/eur quotation
A) spread = 0.0040 and usd/eur 0.7160 – 0.7101
B) spread = 0.0004 and usd/eur 0.7106 – 0.7110
C) spread = 0.0400 and usd/eur 0.7016 – 0.7011
D) spread = 0.4000 and usd/eur 0.7610 – 0.0711

4. Ask is determined by the following formula _______________

A. Ask = mid rate - (spread/2)

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B. Ask = mid rate x (spread/2)
C. Ask = bid + (spread/2)
D. Ask = mid rate + (spread/2)

5.. Spread is determined by the following formula ___________

A. Spread = ask - bid
B. Spread = bid - ask
C. Spread = mid rate - bid
D. Spread = ask

6. Nations that have major economic expansion attract ________

A. Imports
B. Exports
C. Fdi
D. Privatization
7. In the foreign exchange market, the ______ of one country is traded for the _________ of
another country.
A. Currency; currency
B. Currency; financial instrument
C. Currency; goods
D. Goods; goods

8. Fund based services includes all of the following except

A. Bill discounting
B. Factoring
C. Lease financing
D. M&a services

9. ________ deals with the global rules of trade between nations.

A. Wto

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B. Ifc
C. Ibrd
D. World bank

10. Fdi stands for ____________

A. Foreign direct intermediation
B. Foreign domestic investment
C. Foreign direct intervention
D. Foreign direct investment
11. ____________ is the smallest unit by which a currency quotation can change.
A. Pip
B. Bid
C. Ask
D. Spread
12. . Calculate the reciprocal (inverse) quotes for the following:
Eur/sek 7.0005-05
A) sek/eur 0.1426 – 0.1428
B) sek/eur 0.1550 – 0.1565
C) sek/eur 0.1246 – 0.1285
D) sek/eur 0.1425 – 0.1430
13. Swift stands for________________
A. System of world interbank financial transportation
B. Society wide interest and financial telecommunications
C. Society for worldwide interbank financial telecommunications
D. Society for worldwide interbank financial transportation.

14. _________ is a market where foreign currencies are bought and sold.
A. Stock market
B. Forex market
C. Capital market
D. Debt market

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15. Money market instruments include all the following, except _____
A. Commercial papers
B. T bills
C. Certificate of deposit
D. Equity shares
16. _____________ is a standardized contract to exchange one currency for another at a
specified date in the future at a prize (exchange rate) that is fixed on the purchase date.
A. Futures contract
B. Options contract
C. Swaps
D. Forward contract

17. The __________ requires that an upfront margin to trade on an exchange.

A. Currency forwards
B. Currency options
C. Currency etf’s
D. Currency futures

18. Which of the following financial instruments is primarily used to transfer risk?
A. Bonds
B. Home mortgages
C. Futures contract
D. Stocks
19. ________bond is issued in a local market by a foreign borrower denominated in in local
currency
A) foreign
B) euro
C) domestic
D) euro credit
20. Types of euro bonds include all the following except _______ bonds
A) zero coupon bonds
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B) convertible bonds
C) yankee bonds
D) straight euro bonds

21. _______are the debt instruments with a coupon that changes periodically accordingly to
some predetermined interest rate bench mark
A) floating rate notes
B) zero coupon bonds
C) straight euro bonds
D) none of these

22. Euro currency market is utilised by________

A) banks
B) mnc s
C) mutual fund
D) all of these

23. Adr’s are denominated in_________ currency

A) us $
B) euro
C) gbp
D) inr

24. Identify the locations where the following quotations are ‘direct and calculate the indirect
form: 1 gbp = sgd 2.8272 – 82
A) singapore 0.3536 – 0.3537
B) singapore 0.3350 – 0.3375
C) singapore 0.2250 – 0.2275
D) singapore 0.3251 – 0.3257

25. As per FEMA no person, other than _________ would enter in any
Transact ion of the foreign currency
A) offshore banks
B) parliament
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C) government
D) authorized dealer
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PROJECT MANAGEMENT

1. _____ (1861 to 1919) designed a bar chart for planning and controlling his shipbuilding project.
(a)Henry Fayol
(b)Henry Gantt
(c)Henry Cavill
(d)Herman Hermits
2. ______ defines how tasks are divided, grouped, and coordinated in organizations.
(a)Organization
(b)Project management
(c)Project
(d)Organizational structure
3. In a __________ Organizational structure, you can see two command structures: vertical and
horizontal.
(a)Functional
(b)Matrix
(c)Projectised
(d)Network
4. Cost of machine is Rs. 48,000 Residual value is Rs.0, Annual net cash inflow Rs.13,000 Estimated life
is 5 years, The ARR is?
(a)0.0708
(b)0.07
(c)0.0835
(d)0.0325
5. PV of cash inflow of a project is Rs2,38,000 and investment is Rs2,00,000 the PI is
(a)1.19
(b)1.2
(c)1.21
(d)1.4
6. Critical path method is developed by
(a)Remingtion Rand Univac
(b)Henry Ford
(c)Terry
(d)Henry Gantt
7. ________ describe the positive attributes, tangible and intangible internal to your organization
(a)Strengths
(b)Weaknesses
(c)Opportunities
(d)Threats
8. Feasibility is the ability to utilize, support and perform the necessary tasks of a system or program
(a)Marketing feasibility
(b)Financial feasibility
(c)Operational feasibility
(d)Economic feasibility

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9. The Strengths and weaknesses usually arise from_______ sources.
(a)Internal
(b)External
(c)Both Internal and external
(d)Neither Internal nor external
10. _______ refers to the total number of product lines that a company offers to its customers.
(a)Product mix
(b)Demand mix
(c)Price mix
(d)Customer mix
11. ________ Originated from the Toyota production system, one of the most successful automotive
manufacturers.
(a)Time study
(b)Motion study
(c)Work study
(d)Lean manufacturing
12. A study is used to determine the viability of an idea.
(a)Depth Study
(b)Feasibility Study
(c)Overall Study
(d)Market Study
13. Tool or technique of management involving the analytical study of job or operation.
(a)Work Study
(b)Method study
(c)CPM
(d)PERT
14. Investment in which an investor loans money to an equity (corporate or government) that
borrows the funds for a defined period of time at a fixed interest rate.
(a)Equity shares
(b)Preference shares
(c)Venture capital
(d)Bond
15. Combined leverage= Operating leverage x __________.
(a)Operating leverage
(b)Financial leverage
(c)Combined leverage
(d)Working leverage
16. ______ is the process of identifying, assessing and controlling threats to an organizations capital
and earnings.
(a)Risk management
(b)Risk analysis
(c)Risk identification
(d)Work breakdown structure
17. Public deposits are______ deposits.
(a)Secured
(b)Unsecured
(c)Collateral
(d)Mortgaged

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18. Sales of a firm is Rs.9,00,000, variable cost is Rs.3,00,000, earnings before interest and tax is
Rs.5,64,000 and interest is Rs.20,000, find financial leverage.
(a)1.06
(b)1.04
(c)1.1
(d)1.01
19. ______helps to examine the relationship between EBIT and EPS.
(a)Operating leverage
(b)Financial leverage
(c)Combined leverage
(d)Working leverage
20. ______ is the process of identifying, assessing and controlling threats to an organizations capital
and earnings.
(a)Risk management
(b)Risk analysis
(c)Risk identification
(d)Work breakdown structure
21. ______projects are those that are owned by the government and the by private entrepreneurs.
(a)Public
(b)Private
(c)Joint sector
(d)Normal
22. During _______ phase people involved are acknowledged for their achieved goals and the work is
considered complete.
(a)Project termination
(b)Project analyzing
(c)Monitor and control project
(d)Project auditing
23. The _____ is a tool that can help the project team to plan, schedule, monitor and report on a
project.
(a)Project management maturity model
(b)Monitor and control project work
(c)Project management information system
(d)Project auditing

24. _________ improvement is a lean improvement technique that helps to streamline workflows.
(a)Rapid
(b)Slow
(c)Moderate
(d)Waste
25. _____project involves changing some of the old machinery with new machinery of the same
capacity.
(a)Expansion
(b)Joint sector
(c)Replacement
(d)Private

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 MARKETING ELECTIVE SUBJECTS
BRAND MANAGEMENT
1 ..... are the personal value and meaning that consumers attach to the product and
service attributes.
A. Brand incentives
B. Brand benefits
C. Brand attributes
D. Brand associations

2 Brand awareness consists of brand recognition and brand____________

A. Growth
B. Recall
C. Equity
D. Presence

3 …...... is consumer's ability to retrieve the brand from memory when given the
product category.
A. Brand recognition
B. Brand equity
C. Brand recall
D. Brand tracking

4 The four steps of brand building are Meaning, Response, Relationships and ..............
A. Equity
B. Identity
C. Information
D. Branding

5 With .................., small businesses sell multiple products for a lower rate than the usual
price for an individual product.
A. Psychological Pricing
B. Price Skimming
C. Bundle Pricing
D. Economy Pricing

6....................... is the use of established brand name in new product categories.

A. Brand Association
B. Line Extension
C. Co- branding
D. Brand Extension

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7....................... is a combination of everything that a customer goes through while
purchasing and using the brand.
A. Brand Experience
B. Brand Equity
C. Brand Position
D. Brand Image

8...................... is a special symbol, either animated or real life entity.

A. Characters
B. Slogan
C. Jingles
D. Logo

9 The brand value creation process begins when the firm invests in a……….... targeting
actual and potential customers.
A. Advertising program
B. Brand
C. Marketing program
D. Brand equity

10 The investment community considering the marketing performance is based on other

factors like replacement cost, purchase price etc is known as the .............. of the brand value
creation process.
A. Stage 1
B. Stage 2
C. Stage 5
D. Stage 4

11 Price premiums, price elasticity, market share etc are a part under ………………......
A. Brand performance
B. Brand value
C. Brand equity
D. Brand awareness

12……………...... tries to examine consumer's response to identical marketing response to

different brand in the same product category.
A. Brand asset valuator
B. Brand based comparative method
C. Marketing based method
D. Conjoint comparative method

13……………....... criteria guarantees that a given product or service is for use and will have
reduced environmental impact throughout its life cycle.

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A. Ecology
B. Eco-label
C. Green marketing
D. Sustainability

14 Revitalizing brands is done for the brands which are a _________ in the market
A. success
B. popular
C. leader
D. failure

15 ________________ model plots brands on a “power grid” reflecting each brand’s strength
and stature.
A. BVC
B. CBBE
C. The Big Five Model
D. BAV

16 Jennifer Aaker created a scale that is reflected on the ____________ of brand personality
model
A. Four factors
B. Five factors
C. Six factors
D. Seven factors

17..........brands involves ensuring innovation in product design, manufacturing and

merchandising and ensuring relevance in user and usage imagery.
A. Revitalising
B. Reinforcing
C. Retiring
D. Rearranging

18 Number and nature of different brands marketed in the product class sold by a firm are
called ___________ of branding strategy

A. Depth
B. Breadth
C. Height
D. Weight

19 Fighter brands must ___________that they take the sales away from their higher priced
comparison brands
A. be attractive
B. be of poor quality
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C. be of so expensive
D. not be so attractive

20. An existing brand that gives birth to a brand extension is the ___________
A. Parent brand.
B. Hybrid Brand
C. Competing Brand
D. Industrial Brand

21. Brand _________________refers to the current and future growth potential that a brand
holds in it.
A. Strength
B. Relevance
C. Esteem
D. Stature

22. Brand Feelings usually comes under the ................ step in Resonance model
A. 1st
B. 2nd
C. 3rd
D. 4th

23 A good positioning is something that must be ..... to the customer.

A. Knowledgeable
B. Visible
C. Believable
D. Reasonable

24. A brand is considered as a ___________asset for the company

A. Liquid
B. Fixed
C Tangible
D Intangible

25. Purpose of brands is to create __________ based relationship with the customers.
A. promotional
B. short term
C. trust
D. profit earning

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 INTERNATIONAL MARKETING SAMPLE MCQs SEM VI

Sr.No Questions

1 _______ is needed to bridge the gap between developed and developing nations.

A. Local Trade

B. National Trade

C. International Marketing

D. Regional trade

2 International Marketing _______ the price of goods and services, all over the world, due to
specialization.

A. Decrease

B. Increase

C. Constant

D. partial changes

3 Which of the following is a Tariff Barrier?

A. State Trading

B. Customs regulations

C. Quota system

D. Export duties

4 International marketing is dominated by_______countries.

A. Under developed

B. Developing

C. Developed

D. NAFTA

5 Franchising is a form of ________

A. Exporting

B. Licensing

C. Merger

D. Strategic Alliance

6 The headquarters of EU is at _______

A. London

B. Paris

C. Brussels

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 D. Berlin

7 ______ Rate refers to future product sales within a given market

A. Current Market Size

B. Projected Market Growth

C. Number of Competitors

D. Requirement of technological skills

8 ______ refer to the hindrances that make it difficult for an organisation to enter in a particular market

A. Insufficient funds

B. Barriers to Exit

C. Barriers to enter

D. Political Involvement

9 _____ is the extent to which the less powerful members of organizations and institutions accept and
expect the power is distributed unequally.

A. Power Distance Index

B. Uncertainty Avoidance index

C. Masculinity Index

D. Orientation Index

10 To resolve differences between countries, all member nations of the WTO have established a ____.

A. Dispute Settlement Body

B. Monetary Body

C. Anti-Dumping Body

D. Cultural Integrity Body

11 The ____ is based on traditions, Past practices and legal precedents set by the courts through
interpretation of statutes, legal legislations and past rulings. It depends less on ‘written statutes’ and
codes.

A. Islamic Law

B. International Common Law

C. International Civil law

D. Hindu Law

12 ____ refers to transfer of control of foreign investment to national ownership to bring the firm’s
activities more in line with national interests.

A. Domestication

B. Nationalization.

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 C. Expropriation

D. Confiscation

13 ________ means introducing the product in the market without any change.

A. Product introduction

B. Product adaptation

C. Product innovation

D. Product standardization

14 Segmentation of the market within a country is known as _______ Segmentation.

A. International

B. Global

C. Micro

D. Macro

15 _________ is called a market in which the products are sold outside the authorized distribution
channel.

A. Black market

B. Illegal market

C. Grey market

D. Unlicensed market

16 ________ defines the need for a unique identity for a product.

A. Image Differentiation

B. Product Differentiation

C. Personnel Differentiation

D. Service Differentiation

17 _________ refers to pricing in which the price of a product is finalized according to its demand.

A. Market-based pricing

B. Demand-based pricing

C. Mark-up pricing

D. Competition based pricing

18 ______ includes newspapers, magazines, billboards, and pamphlets.

A. Print medium

B. Broadcast medium

C. Interactive medium

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 D. Social medium

19 ______ refers to a process where an international advertising agency encodes the message into words
and images.

A. Encoding

B. Decoding

C. Advertising

D. Promotion

20 ________ segmentation has become highly popular.

A. Geographic

B. Psychographic

C. Gender

D. None of the above

21 Treating the global market as the domestic market is an important aspect of _____________
marketing strategy.

A. Global

B. International

C. Service

D. Domestic

22 Treating the global market as the domestic market is an important aspect of _____________
marketing strategy.

A. Global

B. International

C. Service

D. Domestic

23 ___________ helps in using the talent of specialists in the required areas.

A. Matrix Structure

B. Product Division Structure

C. International Division Structure

D. Worldwide Regional Structure

24 ________________ turns upset customers into loyal advocates and team members into true believers.

A. Service Benchmarking

B. Service Vision

C. Service Recovery

24
 D. Service Language

25 _________________ aims at strengthening a business in the changing environment.

A. Leadership strategy

B. Focus strategy

C. Differentiation strategy

D. International strategy

25
 MEDIA PLANNING AND MANAGEMENT

1. Which of these is a psychographic characteristic of the target audience.

A. Religion
B. Age
C. Personality
D. Education

2. It indicates the sales potential of a particular brand in a specific market area.

A. CDI
B. TRP
C. BDI
D. NRS
3. The combination of media types is known as.
A. Cost Efficiency
B. Scheduling
C. Media Mix
D. Media Strategy
4. It indicates a percentage of target audience who is exposed atleast once in a given period
to a particular media vehicle.
A. Reach
B. Frequency
C. Impression
D. Interest
5. A crucial aspect without which Media Planning will not be possible is.
A. Timing
B. Continuity
C. Reach
D. Budget
6. It is used to compare costs of different media.
A. CDI
B. TRP
C. CPM
D. NRS
7. It indicates the maximum sales from all buyers of the product.
A. Market Potential
B. Market Growth
C. Sales Potential
D. Sales Growth
8. Doordharshan code is involved in __________.

A. Self - Projection
B. Self - Admiration
26
 C. Self - Regulation
D. Self - Presentation
9. _____________ is the exact number of people a company wants to advertise for.

A. Reach
B. Frequency
C. Coverage
D. TRP
10. _____________ can be tailored according to the traveller's destination.

A. In-flight ads
B. Display ads
C. Email ads
D. In-game ads
11. ________________ works based on keywords.

A. Search engine marketing

B. Email advertising
C. Remarketing
D. In-game advertising
12. _________ is a process of measuring a businesses’ performance against competitors and
industry standards?
A. Comparing
B. Benchmarking
C. Scaling.
D. Segregating
13. The process of purchasing media placement to advertise on television, in publication on
the radio, websites or with digital signage is known as media _______
A. Buying g
B. Planning
C. Research h
D. Design
14. ________ implies the number of times within a specific time period an average person is
exposed to the message by a specific medium
27
 A. Frequency
B. Continuity
C. Reach
D. Peoplemeter
15. In _______ the ad is carried out 2+ times?
A. Day or day part
B. Teaser
C. Multiple spotting
D. Road blocks
16. A leader brand has to spend ______ on advertising compared to a new brand
A. More
B. less
C. None
D. No need for advertising
18. _________is usually a document which ensures the knowledge of all critical elements of
media strategy
A. Memorandum
B. Agreement copy
C. Buying brief
D. Diary
19. When one or more creative units are aired before the main campaign without the brand
actually being mentioned is called a _______ ad.
A. Teaser
B. Road block
C. Multiple spotting
D. None of the above
20. ____is each advertiser's GRP expressed as a percentage of the total GRPs of all the
advertisers belonging to a specific product/service category
A. Metrics
B. GRP
C. SOV
D. SOM

28
21. ____ shows the number of people who saw the ad exactly once or twice or thrice etc.
A. Cumulative distribution
B. Discrete distribution
C. Frequency
D. Reach
22. ____ measures how the audience actually consumers the media communication.
A. Media measurement
B. Diary system
C. Circulation
D. Share

23. A ____ is a document provided by a newspaper or other print publication featuring the
organization's rate for advertising
A. Rate card
B. TRP
C. Data Card
D. CPT
24. ____ quantify impressions of a campaign as a percentage of population reached
A. GRP
B. TRP
C. WAP
D. SMS
25. ____ measures the accumulation of audience overtime
A. Frequency
B. Reach
C. Peoplemeter
D. Stickiness Index

29
 RETAIL MANAGEMENT

1. A/An _________________ is a system used by retailers to display product price and

information on the shelves electronically.
a. Electronic Article Surveillance
b. Electronic Shelf Label
c. Electronic Data Interchange
d. Foreign Direct Investment

2. ________________ identifies the items using a tag, which is made up of a microchip

with a coiled antenna and a reader with an antenna.
a. Electronic Article Surveillance
b. Radio Frequency Identification
c. Electronic Data Interchange
d. Foreign Direct Investment

3. The process of buying decision starts with ________________ step.

a. Recognition of needs
b. Purchase decision
c. Evaluation of alternatives
d. Post purchase decision

4. McDonalds is an example of _______________ Franchise.

a. product
b. manufacturing
c. business format
d. retailer

5. In ____________________ stores, items ranging from groceries, hardware, and sports

equipment to furniture and appliance to computer and electronics are sold.
a. kirana
b. hypermarket
c. supermarket
d. local

6. The _______________ has been developed and managed on an international basis

enabling compatibility for import and export goods.
a. Electronic Data Interchange
b. European Article Number
c. Barcode
d. Foreign Direct Investment

7. __________________ can be defined as "a clear and definite plan that the retailers
outline to tap the market and build long-term relationship with the customers"
a. Business strategy
b. Retail strategy
c. Functional strategy
d. Operational strategy
30
8. ___________________ is the process of critically evaluating operation, duties and
responsibilities of a specific job.
a. Job analysis
b. Job searching
c. Job Creating
d. Job application

9. "A group of retail and other commercial establishment that is planned, developed,
owned and managed as a single property" is known as __________________.
a. Store Location
b. Business District
c. Store Management
d. Shopping Center

10. In 7 S Framework, structure follows __________, because organizational structures

are built to achieve objectives by implementing the strategies.
a. Strategy
b. staff
c. skills
d. style

11. The ___________________ offers the customer an opportunity to exchange

information using bulletin boards and develop more personal relationships with each other
and the retailer through the internet channel.
a. personalization
b. community approach
c. Frequent Shopper Programmes
d. special customer service

12. _________________ type of shoppers are easily influenced by staff interaction.

a. Focused Fulfillers
b. Time killers
c. Pleasure seeker
d. Product Groupies

13. Merchandise that trends and have high demand for a relatively short period of time is
referred to as _ __________
a. Staple merchandise
b. Fad merchandise
c. Fashion merchandise
d. Category

14. __________ is the combination of all products made available in a store and a set of
products offered within a product category
a. Merchandise
b. Stock keeping unit
c. Assortment
d. Category

31
15. Retailers using _________ strive for low prices, they are not always the lowest prices
in the market.
a. Every day low prices (EDLP)
b. Vertical Price Fixing
c. Predatory Pricing
d. Horizontal Price fixing

16. _________ is a pricing strategy in which a retailer sets a relatively

high price for a product or service at first and then lower the price over time
a. Price skimming
b. Odd pricing
c. Discount Pricing
d. Competitive Pricing

17. ________ process involves developing a plan to get the merchandise

carefully into the store and place it on the shelves for sale.
a. Material handling
b. Merchandise handling
c. Store management
d. Warehousing and assorting

18. The vendor known as the category _________ works with the retailer
to develop a better understanding of shopping behavior, create assortment that satisfy
consumer needs and improve the profitability
a. Captain
b. Leader
c. Alpha
d. Pioneer

19. A ______________ is the person ultimately responsible for the day to day
operations or management of a retail store.
a. Store manager
b. Inventory manager
c. Sales manager
d. Wholesaler

20. __________ refers to the processes and procedures that the retailer has in place for
ensuring a smooth functioning of the retail store.
a. Staff
b. Stock
c. System
d. Space

21. _______________ is not a part of interiors of store design.

a. Fixture
b. Lighting
c. Signage
d. Location

32
22. _____________ layout is most commonly used in supermarkets and discount stores.
a. Grid
b. Race track
c. Free form
d. Planogram

23. A ___________ is a tool used by the retailer that helps determine the location of
merchandise within a department
a. Planogram
b. Pictogram
c. Pie chart
d. Histogram

24. Preventing shop lifting and theft is another purpose of store _______________.
a. Location
b. Atmosphere
c. Layout
d. Aesthetics

25. Zoning, promotions and marketing, financing and facility management are
components of _____ management.
a. Store
b. Show room
c. Mall
d. Warehouse

33
 CORE SUBJECT

OPERATIONS RESEARCH

1) From the solution of the LPP the values of ____ are determined
A. Objective Function
B. Decision Variables
C. Constraints
D. Opportunity costs

2) ______ specifies the goal of solving the LPP

A. Objective Function
B. Decision Variables
C. Constraints
D. Opportunity costs

3) Objective function is expressed in terms of the ______

A. Numbers
B. Symbols
C. Constraints
D. Decision Variables

4) ______ are the restrictions or limitations imposed on the LPP

A. Variables
B. Constraints
C. Costs
D. Profits

5) Which of the following is not an advantage of Linear Programming?

A. Efficient use of factors of production
B. Scientific decision making
C. Streamlined resource allocation
D. Defining constraints

6) For an LPP, the type of constraint which specifies the maximum capacity of a
resource is ______ or equal to constraint.
A. Less than equal to
B. Greater than equal to
C. Less than or greater than
D. Equal to

7) In respect of LPP, ______ represents mathematical equation of limitations

imposed by the problem
A. Objective function
B. Decision variable
34
C. Constraints
D. Redundancy

8) For an LPP, which of the following is a type of constraint?

A. Less than or equal to
B. Greater than or equal to
C. Equal to
D. Lesser than equal to and greater than equal to

9) The region of solution for an LPP graphical method is known as ______

A. Infeasible region
B. Unbounded region
C. Feasible region
D. Infinite region

10) When it is not possible to find the solution to an LPP, it is a case of ______
A. Unknown solution
B. Infeasible solution
C. Unbounded solution
D. Improper solution

11) For an LPP if the feasible region is such that the value of the objective function
can extend to infinity, it is a case of ______
A. Unbounded solution
B. Alternate optimal
C. Infeasible solution
D. Unique solution

12) Which of the following is a method for solving a LPP?

A. Only graphical method
B. Only simplex method
C. Both graphical method and simplex method
D. Neither graphical method nor simplex method

13) For a LPP when the constraints are a mix of ‘less than’ and ‘greater than’, it is a
problem has ______
A. Multiple constraints
B. Mixed constraints
C. Infinite constraints
D. Infeasible constraints

14) For an LPP, in case of a ______ constraint, the feasible region is a straight line
A. Less than or equal to
B. Greater than or equal to
C. Mixed
D. Equal to
35
15) For an LPP, an unbounded solution means ______
A. Infinite solution
B. Degenerate solution
C. Infeasible solution
D. Unique solution

16) The objective function of a LPP is Max Z if ______ is given for each decision
variable
A. Cost
B. Profit
C. Time
D. Price

17) The objective function of a LPP is Min Z if ______ is given for each decision
variable
A. Cost
B. Profit
C. Returns
D. Price

18) The incoming variable column in the simplex algorithm is called ______
A. Key column
B. Key row
C. Variable column
D. Important column

19) The outgoing variable row in the simplex algorithm is called ______
A. Outgoing row
B. Key row
C. Interchanging row
D. Basic row

20) In simplex algorithm, the intersection value of key column and key row is called
_________.
A. Row element
B. Common element
C. Key element
D. Basic element

21) In simplex algorithm, the intersection value of key column and key row is called
______
A. Pivot
B. Unknown element
C. Basic element
D. None of these
36
22) In simplex algorithm, the variable added to the LHS of a less than equal to
constraint to convert into equality is called ______
A. Surplus variable
B. Artificial variable
C. Slack variable
D. Additional variable

23) With regards to the simplex algorithm, a resource which is completely utilized is
called as ______
A. Null resource
B. Scarce resource
C. Zero resource
D. Abundant resource

24) With regards to the simplex algorithm, a resource which is partially utilized is
called as ______
A. Surplus resource
B. Extra resource
C. Available resource
D. Abundant resource

25) With regards to the simplex algorithm, the value of one extra unit of resource is
called ______
A. Unit price
B. Extra price
C. Retail price
D. Shadow price

37