Tag: commerce

Questions Related to commerce

Internal trade can be classified into two broad categories. The two categories of internal trade are _________ and _________.

commerce types of trade features of internal trade internal trade business and industry

  1. wholesale, retail trade

  2. inward , outward trade

  3. intra state, inter state trade

  4. none of the above

Show answer
Correct Option: A

Which is termed as trade bill?

commerce types of trade features of internal trade internal trade business and industry

  1. An inland instrument drawn outside India.

  2. An instrument drawn outside India.

  3. An outside trade bill drawn in India.

  4. None of the above.

Show answer
Correct Option: B
Explanation:

Trade bills are typically drawn by the seller of goods and are accepted by the buyer. Accommodation bills do not involve the sale or purchase of any goods and/ or services; rather they are agreements between two parties with the purpose of financial support.

a bill of exchange (= a document ordering someone to pay a particular amount at a particular time) that is used to pay for goods: If the trade bill is accepted, in effect the buyer is getting credit from the seller.

Buying or selling all 30 scrips of sensex in proportion of their current weights in the sensex in one go is called _____________.

commerce types of trade features of internal trade internal trade business and industry

  1. Basket trading

  2. Arbitrage

  3. Badla

  4. Margin Trading

Show answer
Correct Option: A
Explanation:

A basket trade is an order to buy or sell a group of securities simultaneously. Basket trading is essential for institutional investors and investment funds who wish to hold a large number of securities in certain proportions. 

A basket is a group of several securities created for the purpose of simultaneous buying or selling. Baskets are frequently used for program trading. Certain specific products can be seen as specialized baskets.

Carrying forward a transaction from one settlement period to the next is known as ______________.

commerce types of trade features of internal trade internal trade business and industry

  1. Basket Trading

  2. Margin Trading

  3. Badla

  4. Option deal

Show answer
Correct Option: A
Explanation:

A basket trade is an order to buy or sell a group of securities simultaneously. Basket trading is essential for institutional investors and investment funds who wish to hold a large number of securities in certain proportions.

In business a basket is a group of several securities created for the purpose of simultaneous buying or selling. Baskets are frequently used for program trading. Certain specific products can be seen as specialized "baskets".

"A trader is not a middleman bringing the buyer and seller together and receiving the commission for the services provided by him." Is the statement true or false?

commerce types of trade features of internal trade internal trade business and industry

  1. True

  2. False

  3. Depends on the condition

  4. There is nothing specified about it

Show answer
Correct Option: A
Explanation:

Section 2(1) defines trader as ”trader, in relation to any goods means a person who sells or distributes any goods for sale and includes the manufacturer thereof, and where such goods are sold or distributed in package form, includes the packer thereof. However, middleman bringing the buyer and seller together and receiving the commission for the services provided by him is not considered as a trader.

When the data is shared with the companies suppliers in SCM than it is called _______.

commerce types of trade features of internal trade internal trade business and industry

  1. upstream

  2. downstream

  3. both a and b

  4. none of the above

Show answer
Correct Option: A

These are demanded when buyer returns goods already paid for on grounds of, say, unacceptable quality ____________.

commerce types of trade features of internal trade internal trade business and industry

  1. Debit Notes

  2. Credit Notes

  3. Sales Letters

  4. Statement of Accounts

Show answer
Correct Option: B

Which of the following is true in relation to internal trade?

commerce types of trade features of internal trade internal trade business and industry

  1. No custom duty or import duty is levied on such trade as goods are part of domestic production and are meant for domestic consumption

  2. Generally, payment has to be made in the legal tender of the country or any other acceptable currency

  3. Internal trade can be classified into two broad categories

  4. All of the above

Show answer
Correct Option: D
Explanation:
  • Buying and selling of goods and services within the boundaries of a nation are referred to as internal trade.
  • No custom duty or import duty is levied on such trade as goods are part of domestic production and are meant for domestic consumption.
  • Generally, payment has to be made in the legal tender of the country or any other acceptable currency.
  • Internal trade can be classified into two broad categories viz., (i) wholesale trade and (ii) retail trade.

Which of the following is an example of internal trade?

commerce types of trade features of internal trade internal trade business and industry

  1. Products purchased from a neighborhood shop in a locality

  2. Products purchased from door-to- door salesperson

  3. Products purchased from an exhibition

  4. all of the above

Show answer
Correct Option: D

NAFTA is____________________.

commerce types of trade features of internal trade internal trade business and industry

  1. treaty signed between two companies of Europe

  2. free trade between America and Europe

  3. free trade agreement between US, CANADA and MEXICO.

  4. free treaty between any two countries

Show answer
Correct Option: C
Explanation:

The North American Free Trade Agreement, which eliminated most tariffs on trade between Mexico, Canada and the United States, went into effect on Jan. 1,1994.NAFTA's purpose is to encourage economic activity between North America's three major economic powers.