Business Studies Multiple Choice Question – 30 September 2021

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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Stafford Holdings plc is one of the world’s biggest public limited companies.

Which one of the following is an advantage of being a public limited company for Stafford Holdings?

Select ONE answer:

  1. need close supervisionIt publishes its annual accounts
  2. It can control who buys its shares
  3. Its shareholders have unlimited liability
  4. It can raise funds through the stock exchange

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

  1. Not correct – Theory Y managers assume that employees like to lead rather Not correct – has to publish its full accounts meaning its competitors can gain information that will help them to plan competitive strategies.
  2. Not correct – since the shares can be bought and then sold on by any member of the general public through a stock exchange.  Stafford Holdings has no control over who owns it shares which could be bought in large quantities by rivals planning a takeover. 
  3. Not correct – shareholders can only be held liable up to the value of the shares they have bought and paid for, their liability is limited. 
  4. Correct – a public limited company as a company that sells it shares to members of the general public/ & the shares are traded on the stock exchange.  Stafford Holdings has greater access to potential investors in order to raise funds.  This means it can raise higher amounts of capital than other business structures.

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Economics Multiple Choice Question – 29 September 2021

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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A country with a balance of trade deficit raises interest rates.

How may this help to reduce the deficit in the short run?

Select ONE answer:

  1. by increasing the inflow of foreign direct investment
  2. by lowering the foreign exchange rate
  3. by raising the level of domestic capital investment
  4. by reducing the level of domestic aggregate demand

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct

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Economics Multiple Choice Question – 28 September 2021

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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Under a system of floating exchange rates, what determines the foreign exchange value of a currency?

Select ONE answer:

  1. the overall supply of and demand for a currency on currency markets
  2. the purchasing power of the currency relative to the purchasing power of foreign currencies
  3. the surplus or deficit on the balance of payments on current account
  4. the differential between domestic and foreign interest rates

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 1

  1. Correct
  2. Not correct
  3. Not correct
  4. Not correct

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Economics Multiple Choice Question – 27 September 2021

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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An economy is experiencing a period of deflation.

What must be happening?

Select ONE answer:

  1. The average price level is falling.
  2. The output of the economy is falling.
  3. The rate of inflation is falling.
  4. The real value of money is falling.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 1

  1. Correct
  2. Not correct
  3. Not correct
  4. Not correct

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Economics Multiple Choice Question – 26 September 2021

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Photo by Kelly Lacy on Pexels.com

What is assumed to be constant when drawing an aggregate demand curve?

Select ONE answer:

  1. government tax revenue
  2. interest rates
  3. the level of unemployment
  4. the money supply

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Economics KS4 and KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct

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This work is licensed under a Creative Commons Attribution 4.0 International License.

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