19 JUNE 2023 | CDS 2023 EXAM QUESTIONS | IMA INA AFA OTA

1) Question

Which one of the following is not an assumption in the law of demand?

There are no changes in the taste and preferences of consumers

Income of consumers remains constant

Consumers are affected by demonstration effect

There are no changes in the price of substitute goods.

2) Question

Which one of the following statements is not correct?

When total utility is maximum, marginal utility is zero

When total utility is decreasing, marginal utility is negative

When total utility is increasing, marginal utility is positive

When total utility is maximum, marginal and average utility are equal to each other.

3) Question

Consider the following statements about indifference curves:

1) Indifference curves are convex to the origin.
2) Higher indifference curve represents higher level of satisfaction.
3) Two indifference curves cut each other.
Which of the statements given above is/are correct?

1 only

1 and 2

2 and 3

3 only

4) Question

Consider the following statements about a joint-stock company:

1) It has a legal existence.
2) There is limited liability of shareholders.
3) It has a democratic management.
4) It has a collective ownership.
Which of the statements given above are correct?

1 and 2 only

1, 2 and 3 only

3 and 4 only

1, 2, 3 and 4

5) Question

When some goods or productive factors are completely fixed in amount, regardless of price, the supply curve is

horizontal

downward sloping to the right

vertical

upward sloping to the right