Unit 4: Business Services
1. **What is a fundamental difference between goods and services?**
- A. Services are tangible, and goods are intangible.
- B. Services are intangible, and goods are tangible.
- C. Both goods and services are intangible.
- D. Both goods and services are tangible.
- **Answer:** B
2. **Which of the following is NOT a characteristic of services?**
- A. Inseparability
- B. Inconsistency
- C. Inventory
- D. Indifference
- **Answer:** D
3. **What type of insurance protects against fire-related damages?**
- A. Health Insurance
- B. Life Insurance
- C. Fire Insurance
- D. Marine Insurance
- **Answer:** C
4. **Which type of bank is primarily for rural credit in India?**
- A. Cooperative Bank
- B. Commercial Bank
- C. Central Bank
- D. Specialized Bank
- **Answer:** A
5. **Which of the following is a service provided by e-banking?**
- A. Locker facilities
- B. ATM and Point of Sales (PoS)
- C. Fixed deposits
- D. Remittance of funds
- **Answer:** B
6. **What is a significant characteristic of life insurance policies?**
- A. Indemnity is based on market value.
- B. Fixed benefit payment upon event occurrence.
- C. Immediate transfer of benefits.
- D. No requirement for an insurable interest.
- **Answer:** B
7. **What is the main function of warehousing related to price stability?**
- A. Break the bulk
- B. Consolidation
- C. Stockpiling
- D. Price Stabilization
- **Answer:** D
8. **Which insurance policy covers loss caused by the sea?**
- A. Fire Insurance
- B. Crop Insurance
- C. Health Insurance
- D. Marine Insurance
- **Answer:** D
9. **What does the principle of indemnity ensure in insurance?**
- A. Profit for the insured
- B. Payment exceeds actual loss
- C. Compensation equal to loss
- D. Immediate payment of claim
- **Answer:** C
10. **Which service is essential for digital transactions and transparency in finance?**
- A. Commercial banks
- B. e-Banking
- C. Central banks
- D. Warehousing
- **Answer:** B
11. **Which of the following banks is responsible for regulating all commercial banks in India?**
- A. Cooperative Bank
- B. Central Bank
- C. Specialized Bank
- D. Private Bank
- **Answer:** B
12. **Which feature of services means that they cannot be stored for future use?**
- A. Inseparability
- B. Intangibility
- C. Inventory (less)
- D. Involvement
- **Answer:** C
13. **The primary function of a commercial bank includes which of the following?**
- A. Issuing insurance policies
- B. Acceptance of deposits
- C. Regulating other banks
- D. Providing telecommunications services
- **Answer:** B
14. **Which principle of insurance requires full disclosure of all facts?**
- A. Utmost Good Faith
- B. Proximate Cause
- C. Indemnity
- D. Subrogation
- **Answer:** A
15. **Which type of warehouse stores goods without immediate payment of customs duty?**
- A. Government Warehouse
- B. Public Warehouse
- C. Private Warehouse
- D. Bonded Warehouse
- **Answer:** D
16. **Which insurance policy type is primarily designed to support education expenses for children?**
- A. Health Insurance
- B. Cattle Insurance
- C. Children’s Endowment Policy
- D. Fire Insurance
- **Answer:** C
17. **The principle of ‘Proximate Cause’ applies in which of the following?**
- A. Deciding policy maturity dates
- B. Determining coverage for closest causes of loss
- C. Setting premium costs
- D. Ensuring insured items are in good condition
- **Answer:** B
18. **Which banking function allows fund transfer from one location to another?**
- A. Remittance of funds
- B. Acceptance of deposits
- C. Issuing of cheques
- D. Providing loans
- **Answer:** A
19. **In e-banking, which payment system allows real-time fund transfer?**
- A. PoS
- B. RTGS
- C. Cash credit
- D. Fixed deposits
- **Answer:** B
20. **What is the primary purpose of fire insurance?**
- A. Investment for retirement
- B. Compensation for fire-related losses
- C. Coverage for marine accidents
- D. Health-related expenses
- **Answer:** B
21. **Which of the following best describes ‘Inseparability’ in services?**
- A. Services are stored for future use.
- B. Production and consumption occur simultaneously.
- C. Service delivery is identical across customers.
- D. Services can be taken home.
- **Answer:** B
22. **What is the goal of the Atal Pension Yojana?**
- A. Accident insurance for individuals
- B. Education support for children
- C. Retirement pension for individuals
- D. Medical insurance
- **Answer:** C
23. **Which principle of insurance prevents the insured from making a profit on a loss?**
- A. Contribution
- B. Subrogation
- C. Indemnity
- D. Utmost Good Faith
- **Answer:** C
24. **A policy covering expenses from sports injuries for amateur athletes is known as:**
- A. Motor Vehicle Insurance
- B. Sports Insurance
- C. Health Insurance
- D. Crop Insurance
- **Answer:** B
25. **Which type of insurance policy provides monthly payouts after the insured reaches a specific age?**
- A. Whole Life Policy
- B. Annuity Policy
- C. Fire Insurance
- D. Joint Life Policy
- **Answer:** B
26. **What does VSAT stand for in telecommunications?**
- A. Very Small Antenna Technology
- B. Video Satellite Automatic Terminal
- C. Very Small Aperture Terminal
- D. Variable Signal Accuracy Technology
- **Answer:** C
27. **Which warehouse type is typically used by small manufacturers who cannot afford private storage facilities?**
- A. Public Warehouse
- B. Private Warehouse
- C. Cooperative Warehouse
- D. Bonded Warehouse
- **Answer:** A
28. **In which of the following insurances is ‘indemnity’ not applicable?**
- A. Marine Insurance
- B. Life Insurance
- C. Fire Insurance
- D. Health Insurance
- **Answer:** B
29. **Which insurance principle requires the insured to minimize their losses?**
- A. Subrogation
- B. Mitigation
- C. Contribution
- D. Indemnity
- **Answer:** B
30. **What type of insurance policy is used to cover damage from burglary?**
- A. Fire Insurance
- B. Crop Insurance
- C. Burglary Insurance
- D. Health Insurance
- **Answer:** C
31. **Which service is NOT classified under business services?**
- A. Banking
- B. Insurance
- C. Transportation
- D. Education
- **Answer:** D
32. **Which type of insurance is often taken to support farmers in case of crop failure?**
- A. Marine Insurance
- B. Fire Insurance
- C. Crop Insurance
- D. Health Insurance
- **Answer:** C
33. **Which principle of insurance ensures the right of the insurer to recover losses from a third party?**
- A. Indemnity
- B. Contribution
- C. Subrogation
- D. Mitigation
- **Answer:** C
34. **Which type of bank focuses on the needs of specific industries like foreign exchange or export-import trade?**
- A. Commercial Bank
- B. Cooperative Bank
- C. Specialized Bank
- D. Central Bank
- **Answer:** C
35. **Which of the following insurance types is designed specifically for vehicles?**
- A. Motor Vehicle Insurance
- B. Fire Insurance
- C. Cattle Insurance
- D. Sports Insurance
- **Answer:** A
36. **Which characteristic of services allows customers to modify them to suit their specific requirements?**
- A. Involvement
- B. Inventory
- C. Inseparability
- D. Intangibility
- **Answer:** A
37. **Which insurance type does NOT have a surrender value or paid-up value?**
- A. Life Insurance
- B. Fire Insurance
- C. Health Insurance
- D. Crop Insurance
- **Answer:** B
38. **A contract in which both the insurer and the insured must act with honesty and openness is based on:**
- A. Indemnity
- B. Utmost Good Faith
- C. Proximate Cause
- D. Subrogation
- **Answer:** B
39. **Which term refers to a bank’s ability to transfer funds electronically across different banks in real time?**
- A. NEFT
- B. Demand Draft
- C. RTGS
- D. Fixed Deposit
- **Answer:** C
40. **The difference between goods and services primarily lies in which of the following?**
- A. Services are non-perishable.
- B. Goods are intangible.
- C. Services are intangible and experiential.
- D. Goods and services can both be stored for later use.
- **Answer:** C
41. **Which insurance policy is targeted specifically at the educational needs of dependent children?**
- A. Pradhan Mantri Jeevan Jyoti Bima Yojana
- B. Amartya Sen Siksha Yojana
- C. Pradhan Mantri Suraksha Bima Yojana
- D. Rajeswari Mahila Kalyan Bima Yojana
- **Answer:** B
42. **Which warehousing function involves dividing bulk goods into smaller quantities for clients?**
- A. Consolidation
- B. Break the Bulk
- C. Stockpiling
- D. Financing
- **Answer:** B
43. **Which banking service allows customers to withdraw money using a card at any time?**
- A. Fixed Deposits
- B. E-Banking
- C. ATMs
- D. NEFT
- **Answer:** C
44. **Which type of telecom service allows for satellite-based media reception in homes?**
- A. VSAT
- B. DTH
- C. Cable
- D. Cellular
- **Answer:** B
45. **In insurance, which principle limits the policyholder from claiming more than the actual loss?**
- A. Contribution
- B. Subrogation
- C. Indemnity
- D. Proximate Cause
- **Answer:** C
46. **Which insurance policy is specifically designed to provide financial support in case of accidental death or disability for women?**
- A. Crop Insurance
- B. Rajeswari Mahila Kalyan Bima Yojana
- C. Pradhan Mantri Jan Dhan Yojana
- D. Amartya Sen Siksha Yojana
- **Answer:** B
47. **In which type of bank account is there generally no restriction on withdrawals?**
- A. Savings Account
- B. Fixed Deposit Account
- C. Current Account
- D. Recurring Deposit Account
- **Answer:** C
48. **Which principle of insurance applies only when the insured event was the closest cause of the loss?**
- A. Utmost Good Faith
- B. Indemnity
- C. Proximate Cause
- D. Contribution
- **Answer:** C
49. **Which telecom service uses fiber optic cables to provide internet and telecommunication facilities?**
- A. Cellular Services
- B. Fixed Line Services
- C. DTH Services
- D. Cable Services
- **Answer:** B
50. **Which type of insurance is primarily intended to manage risk from uncertain health costs?**
- A. Fire Insurance
- B. Health Insurance
- C. Marine Insurance
- D. Life Insurance
- **Answer:** B
51. **Which warehouse function helps in adjusting supply to meet demand, stabilizing prices?**
- A. Break Bulk
- B. Stockpiling
- C. Price Stabilization
- D. Financing
- **Answer:** C
52. **The term 'Mitigation' in insurance means that the insured must:**
- A. Try to reduce or minimize the loss
- B. Not claim any loss
- C. Transfer all losses to the insurer
- D. Increase the insurance coverage
- **Answer:** A
53. **Which type of insurance offers protection specifically for animals such as cows and buffaloes?**
- A. Crop Insurance
- B. Cattle Insurance
- C. Marine Insurance
- D. Life Insurance
- **Answer:** B
54. **Which insurance scheme provides accident and life cover through a Rupay ATM-cum-Debit card?**
- A. Pradhan Mantri Jeevan Jyoti Bima Yojana
- B. Pradhan Mantri Jan Dhan Yojana
- C. Amartya Sen Siksha Yojana
- D. Pradhan Mantri Suraksha Bima Yojana
- **Answer:** B
55. **Which insurance policy provides protection to the policyholder until their death, and the amount is paid to their beneficiaries?**
- A. Endowment Policy
- B. Joint Life Policy
- C. Whole Life Policy
- D. Annuity Policy
- **Answer:** C
56. **Which business service involves the transfer of information and ideas to clients and stakeholders?**
- A. Warehousing
- B. Communication Services
- C. Banking
- D. Insurance
- **Answer:** B
57. **The principle of ‘Contribution’ in insurance is most applicable when:**
- A. There is a single insurance policy
- B. There are multiple insurance policies covering the same risk
- C. The insured intentionally causes the loss
- D. The insurer wishes to cancel the policy
- **Answer:** B
58. **The term 'bonded warehouse' refers to a storage facility where:**
- A. Only private goods are stored
- B. Import duties must be paid before storing
- C. Imported goods are stored before customs duty payment
- D. Local goods are stored temporarily
- **Answer:** C
59. **What is the primary purpose of Marine Insurance?**
- A. Covering crop failure
- B. Protecting properties from fire
- C. Protecting goods and ships from sea-related risks
- D. Securing life insurance
- **Answer:** C
60. **Which principle of insurance requires that the policyholder has a financial interest in the insured item?**
- A. Utmost Good Faith
- B. Insurable Interest
- C. Indemnity
- D. Proximate Cause
- **Answer:** B
No comments:
Post a Comment