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BA1 Exam Dumps : Fundamentals of Business Economics

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Fundamentals of Business Economics Questions and Answers

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Question 1

A railway franchise in north-eastern Messu Potami has recently changed hands, and is now being operated by the company IstClass. However, IstClass already operate the railway franchise in northwestern Messu

Potami.

Which of the following courses of action would be most appropriate for the government of Messu Potami to take?

Select ALL that apply.

Options:

A.

Establish a regulatory body to prevent a regional monopoly

B.

Rerun the franchise bidding process if it found that IstClass are imposing additional price rises due to the regional monopoly

C.

Allow the regional monopoly to exist, increasing fare prices for passengers on trains in both north-western and north-eastern Messu Potami

D.

Impose a uniform sales tax on all railway tickets which would equalise prices across the country

E.

Immediately nationalise the railway network, ending all private franchises and thus any regional monopolies

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Question 2

Oxfam is a charity established to provide aid to the poor. Which ONE of the following statements about Oxfam is FALSE?

Options:

A.

It is a private sector organization

B.

It pursues social goals

C.

It is a not-for-profit organization

D.

It is responsible to its shareholders

Question 3

Market price refers to:

Options:

A.

the price that is determined by demand and supply.

B.

the price that includes tax

C.

the value that is adjusted for inflation.

D.

the price that maximise profits.

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