Foreign Exchange Transactions dependent on other Foreign Exchange Transactions are called: (choose the correct alternative)
(a) Current account transactions
(b) Capital account transactions
(c) Autonomous transactions
(d) Accommodating transactions.
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When the Average Product (AP) is maxinrum, the Marginal Product (MP) is : (Choose the correct alternative)
(a) Equal to AP
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When the total fixed cost of producing 100 units is Rs.30 and the average variable cost Rs.3, total cost is : (Choose the correct alternative)
(c) Total cost is Rs.330
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The ratio of total deposits that a commercial bank has to keep with Reserve Bank oi india is called (Choose the correct alternative) :
The ratio of total deposits that a commercial bank has to keep with Reserve Bank of India is called Cash Reserve Ratio. Hence, the correct answer is option (c)
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Direct tax is called direct because it is collected directly from: (Choose the correct alternative) (a) The producers on goods produced
(d) The income earners.
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Which of the following is a source of capital receipt? (Choose the correct alternative) (a) Foreign donations
(c) Disinvestment
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Which of the following is a correct measure of primary deficit? (Choose the correct alternative) (a) Fiscal deficit minus Revenue deficit
(c) Fiscal deficit minus Interest Payments
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Foreign Exchange Transactions which are independent of other transactions in the Balance of Payments Account are called:
(c) Autonomous transactions
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Other things remaining unchanged, when in a country, the price of foreign currency rises, national income is: (Choose the correct alternative)
(b) Likely to fall
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Why are foreign exchange rate and demand for foreign exchange inversely related? Explain.
When foreign exchange rate rises, imports become costly for the domestic consumers. This reduces demand for imports causing fall in demands for foreign exchange (When foreign exchange rate falls, opposite...
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Why are foreign exchange rate and supply of foreign exchange directly related? Explain.
When foreign exchange rate rises, domestic goods becomes cheaper for foreign buyers. This raises demand for exports causing rise in supply of foreign exchange (when foreign exchange rate falls, domestic...
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