1. The sum of direct materials and direct labour costs is called

A. Prime cost B. Factory cost C. Overhead cost D. Value of stock

Answer - Option A
Explanation - A business’s expenses for the materials and labor it uses in production. Prime cost is a way of measuring the total cost of the production inputs needed to create a given output. By analyzing its prime costs, a company can determine how much it must charge for its finished product in order to make a profit. By lowering its prime costs, a company can increase its profit margin and/or undercut its competitors’ prices.
2. Product plays a ________ role in the activities of a business.

A. a secondary B. a collateral C. a central D. none of these

Answer - Option C
Explanation - In marketing, a product is anything that can be offered to a market that might satisfy a want or need. In retailing, products are called merchandise. In manufacturing, products are bought as raw materials and sold as finished goods.
3. _________ costs are those costs which are incurred to perform the marketing functions.

A. Distribution costs B. Full costs C. Sale of goods D. Total cost

Answer - Option A
Explanation - Cost or expense incurred in moving goods from the point of production to the point of consumption. Also called distribution expense.
4. Which one of the formula may be used for setting prices under cost plus pricing method?

A. Selling price = Unit total cost +desired unit profit B. Selling price = Unit total cost + profit C. Selling price = Unit total cost + selling expenses D. None of these

Answer - Option A
Explanation - Cost-plus pricing is a pricing strategy in which the selling price is determined by adding a specific dollar amount markup to a product’s unit cost. Mark ups are when you add a % to the cost to set the price. An alternative pricing method is value-based pricing.
5. The process of advertising in business begins with market situation analysis conducted to assess the marketing _______ for the product in the existing state of business in the market

A. opportunities B. assessibility C. difficulty D. functioning

Answer - Option A
Explanation - An advertising strategy is a campaign developed to communicate ideas about products and services to potential consumers in the hopes of convincing them to buy those products and services. This strategy, when built in a rational and intelligent manner, will reflect other business considerations (overall budget, brand recognition efforts) and objectives as well.

1. A competitor that reacts swiftly and strongly to any assault in marketing is

A. Tiger competitor B. Soft competitor C. Typical competitor D. None of these

Answer - Option A
Explanation - It is a Competitor with A Quick and Strong Reaction to its counterpart for any type of assaults pocketed in the line of business he is entered into.
2. Consumers who buy one brand all the time

A. Hard core loyals B. Split loyals C. Shifting loyals D. Switchers

Answer - Option A
Explanation - When consumers become committed to your brand and make repeat purchases over time. Brand loyalty is a result of consumer behavior and is affected by a person’s preferences. Loyal customers will consistently purchase products from their preferred brands, regardless of convenience or price.
3. It is a form of individual marketing where the customer takes more responsibility for determining which products and brands to buy.

A. Self marketing B. Mass marketing C. Segment marketing D. Niche marketing

Answer - Option A
Explanation - Self marketing helps individuals improve their image and reputation to advance their careers. Self marketing is sometimes called personal branding because it uses branding tools to create an image around an employee rather than a product. It gives candidates more opportunities to effectively communicate their values, skills, experiences, and vision to potential employers. Successful self marketing helps employees separate themselves from the hundreds of other applicants who may be competing for the same job.
4. Which among the following is one of the 7 O’s in Framework in Marketing?

A. Orthodox B. Occupation C. Obnoxious D. Operations

Answer - Option D
Explanation - Seven O’s Framework

1. Occupants – who constitutes the market? 2. Objects – what does the market buy? 3. Objectives – why does the market buy? 4. Organizations – who participates in the buying? 5. Operations – how does the market buy? 6. Occasions – when does the market buy? 7. Outlets – where does the market buy?

5. It is a measure to rectify the situation arising out of the dumping of goods and its trade distortive effect.

A. AIDA Marketing B. Anti-competitive practice C. Anti-dumping D. Branding

Answer - Option C
Explanation - The use of anti dumping measure as an instrument of fair competition is permitted by the WTO. In fact, anti dumping is an instrument for ensuring fair trade and is not a measure of protection for the domestic industry. It provides relief to the domestic industry against the injury caused by dumping. Anti dumping measures do not provide protection per se to the domestic industry. It only serves the purpose of providing remedy to the domestic industry against the injury caused by the unfair trade practice of dumping.

1. BEP stands for

A. Break Event Point B. Board Even Point C. Benefit Effect Point D. Break Even Point

Answer - Option D
Explanation - The break-even point (BEP) is the point at which cost or expenses and revenue are equal: there is no net loss or gain, and one has “broken even”. The breakeven point is reached when the total revenue exactly matches the total costs and the business is not making a profit or a loss. If the firm can sell at production levels above this point, it will be making a profit.
2. Which among the following is the term used to describe a large company that consists of seemingly unrelated business sections?

A. Conglomerate B. Breccia C. Holding Copmany D. Corporation

Answer - Option A
Explanation - A conglomerate is a corporation that is made up of a number of different, seemingly unrelated businesses. In a conglomerate, one company owns a controlling stake in a number of smaller companies, which conduct business separately. Each of a conglomerate’s subsidiary businesses runs independently of the other business divisions, but the subsidiaries’ management reports to senior management at the parent company.
3. TARPS stands for

A. Total audience rating points B. Target audience rating points C. Transaction anti rating points D. Target action rating points

Answer - Option B
Explanation - It is the number of people or percentage of people reached in your target audience.
4. When consumers get one sample for free, after their trial and then could decide whether to buy or not then that is called

A. Advertising B. Sampling C. Couponing D. Trading

Answer - Option B
Explanation - In market research, sampling means getting opinions from a number of people, chosen from a specific group, in order to find out about the whole group. Let’s look at sampling in more detail and discuss the most popular types of sampling used in market research. It would be expensive and time-consuming to collect data from the whole population of a market. Therefore, market researchers make extensive of sampling from which, through careful design and analysis, marketers can draw information about their chosen market.
5. AIDA stands for

A. Asynchronous Interest Digital Action B. Attention Interest Desire Action C. Acquired Interest Desire Active D. Alternate Industrial Desire Action

Answer - Option B
Explanation - AIDA is used in marketing and advertising that describes a common list of events that may occur when a consumer engages with an advertisement.

A – Attention (Awareness): attract the attention of the customer. I – Interest: raise customer interest by focusing on and demonstrating advantages and benefits D – Desire: convince customers that they want and desire the product or service and that it will satisfy their needs. A – Action: lead customers towards taking action and/or purchasing.