MGT211 Final Term MCQs 2026 by Ali Khan

Q1. A startup sells shares to angel investors. This is an example of:

1. Equity financing
2. Debt financing
3. Leasing
4. Internal financing

Correct answer: Equity financing

Q2. The abbreviation FTA stands for:

1. Federal Tariff Association
2. Fiscal Trade Adjustment
3. Foreign Trade Authority
4. Free Trade Agreement

Correct answer: Free Trade Agreement

Q3. A company needs cash to buy Eid stock and pays back in 30 days. What should it use?

1. Trade credit
2. Long-term bond
3. Mudarabah loan
4. Equity share

Correct answer: Trade credit

Q4. What is the function of the Pakistan Stock Exchange (PSX)?

1. Inspecting business sites
2. Trading financial securities
3. Collecting taxes
4. Issuing passports

Correct answer: Trading financial securities

Q5. Which of the following tools is used in accounting?

1. SPSS
2. QuickBooks
3. Canva
4. Photoshop

Correct answer: QuickBooks

Q6. What does ESG investing focus on?

1. Economic slowdown
2. Stock prices
3. Employee retirement plans
4. Environmental, Social, and Governance factors

Correct answer: Environmental, Social, and Governance factors

Q7. Which model includes demand conditions and industry rivalry?

1. Gravity Model
2. Heckscher-Ohlin
3. Mercantilism
4. Porter’s Diamond Model

Correct answer: Porter’s Diamond Model

Q8. A Pakistani SME wants to sell handicrafts globally. What platform can it use?

1. Outlook
2. PSX
3. Daraz or Alibaba
4. Gmail

Correct answer: Daraz or Alibaba

Q9. A business uses retained profit to buy new delivery vans. This is:

1. Government loan
2. Internal financing
3. Debt financing
4. External grant

Correct answer: Internal financing

Q10. The Gravity Model of Trade suggests trade occurs more between countries that are:

1. Similar in language
2. Former colonies
3. Far apart geographically
4. Large and geographically close

Correct answer: Large and geographically close

Q1. A country with abundant skilled labor is likely to benefit from:

1. Heckscher-Ohlin theory
2. Trade war
3. Tariffs
4. Mercantilism

Correct answer: Heckscher-Ohlin theory

Q2. What is the function of the Pakistan Stock Exchange (PSX)?

1. Issuing passports
2. Trading financial securities
3. Inspecting business sites
4. Collecting taxes

Correct answer: Trading financial securities

Q3. Which of the following tools is used in accounting?

1. QuickBooks
2. Canva
3. Photoshop
4. SPSS

Correct answer: QuickBooks

Q4. What is a tariff?

1. A tax on imports
2. A shipping document
3. A type of transport service
4. A government grant

Correct answer: A tax on imports

Q5. What is a quota in global trade?

1. Limit on quantity of imports
2. Government subsidy
3. Tax on exported goods
4. Bonus for exporters

Correct answer: Limit on quantity of imports

Q6. A business uses retained profit to buy new delivery vans. This is:

1. Internal financing
2. External grant
3. Government loan
4. Debt financing

Correct answer: Internal financing