Company Law

Chapter 1: Introduction (10) Minimum Paid-up capital of a private company

(1) According to Section __________of the Companies (except OPC) is _______ & public company is
Act, 2013 ‘company‘ means a company incorporated ___________as per companies Act, 2013
under the Act, or under the previous company law. (a) 1 Lakh & 5 Lakh (b) 5 Lakh & 20 Lakh
(a) 2(20) (b) 2 (19) (c) 2 (21) (d) 2 (22) (c) 20 Lakh & 50 Lakh (d) 50 Lakh & 5 crore

(2) Which of the following is Characteristics of (11) Minimum________ members are required to form
company? the Public company.
(a) Perpetual succession (b) Transferable Shares (a) 2 (b) 10 (c) 7 (d) 1
(c) Limited Liability (d) All of the above
(12) Private Company except One Person Company,
(3) ________means that the membership of a limits the number of its members to ______
company may keep changing from time to time, but (a) 50 (b) 200 (c) 100 (d) No limit
that does not affect the company‘s continuity. (i.e. An
incorporated company never dies) (13) According to Section 2 (62) of the Companies Act,
(a) Perpetual succession (b) Common Seal 2013 ‗___________'means a company which
(c) Independent corporate existence (d) Separate has only one person as a member.
property (a) One Person Company (b) One Member Company
(c) One man company (d) Sole Proprietorship Company
(4) The ________acts as the official signature of the
company. (14) One Person Company Must have a minimum of
(a) Corporate Seal (b) Common Seal _______Director & maximum of ___directors.
(c) Particular Seal (d) General Seal (a) 1, 15 (b) 2, 15 (c) 1, 10 (d) 2, 10

(5) As Per Company Act 2013 a public company has a (15) The provisions of the Companies Act, 2013 do not
minimum paid-up share capital of ₹ _____ apply to________
(a) 1 Lakh (b) 5 Lakh (a) Statutory companies (b) Foreign companies
(c) 20 Lakh (d) 50 Lakh (c) Dormant company (d) Small Company

(6) As Per Company Act 2013 a Private company has a (16) Which of the following is a Statutory Company:
minimum paid-up share capital of ₹ _____ (a) The Reserve Bank of India, (b) The Life Insurance
(a) 1 Lakh (b) 5 Lakh Corporation
(c) 20 Lakh (d) 50 Lakh (c) Unit trust of India (d) All of the Above

(7) Minimum Number of members to form a private (17) Where a company is formed and registered for a
company (except OPC) is _______ & public company is future project is called_____________
____________ (a) Dormant company (b) Associate Company
(a) 2 & 7 (b) 3 & 7 (c) Holding company (d) Subsidiary company
(c) 2 & 10 (d) 3 & 10
(18) According to company Act, 2013,
(8) Minimum Number of Directors of a private "____________"in relation to another company,
company (except OPC) is _______ & public company is means a company in which that other company has a
____________ significant influence, (i.e. at least twenty per cent of
(a) 2 & 7 (b) 2 & 3 total share capital)
(c) 2 & 10 (d) 3 & 10 (a) Dormant company (b) Associate Company
(c) Holding company (d) Subsidiary company
(9) Minimum Quorum for general meeting of a private
company (except OPC) is _______ & public company is (19) According to Section 2 (42) of the Companies Act,
____________ 2013, ‗__________‘means any company or body
(a) 2 & 7 (b) 2 & 5 corporate incorporated outside India
(c) 2 & 10 (d) 3 & 10 (a) Dormant company (b) Associate Company
(c) Foreign Company (d) Statutory Company
(20) According to Section 2 (45) of the Companies Act, (29) Section 2 (92) of the Companies Act, 2013 defines
2013, a 'Government company' means any company in ________as a company not having any limit on the
which not less than _________of the paid-up share liability of its members
capital is held by the Government: (a) Company limited by shares
(a) 50 % (b) 49 % (c) 20 % (d) 51 % (b) Company limited by guarantee
(c) Unlimited company (d) Limited Company
(21) According to Section 2 (52) of the Companies Act,
2013, a '________'means a company which has any of (30) ‘Lifting the Corporate veil‘ means looking behind
its securities listed on any recognised stock exchange. the company as a legal person. In which cases the
(a) Dormant company (b) Government Company Corporate veil may be lifted?
(c) Listed Company (d) Statutory Company (a) trading with the enemy
(b) avoidance of welfare legislation,
(22) __________in relation to one or more other (c) Where the use of an incorporated company is being
companies, means a company of which such made to avoid legal obligations,
companies are subsidiary companies. (d) All of the above
(a) Statutory Company (b) 'holding company',
(c) Associate Company (d) Dormant company (31) Where the Courts ignore the company and
concern themselves directly with the members or
(23) According to Section 2 (87) of the Companies Act, managers, is called ___________
2013 'subsidiary company' means a company in which (a) Lifting the Corporate veil (b) Separating the
the holding company exercises or controls more than Corporate veil
________of the total share capital (c) Liquidation of the company (d) Winding up the
(a) 50 % (b) 49 % (c) 20 % (d) 51 % company

(24) Paid-up share capital of a small company does not (32) Circumstances, when lifting of the veil is possible:
exceed ₹ ________or such higher amount as may be (a) Trading with enemy (b) Illegality
prescribed which shall not be more than ₹ _______ (c) Liable for Ultra Vires Act (d) All of the above
(a) 50 lakh , 5 crore (b) 2 crore, 20 crore
(c) 5 Lakh, 1 crore (d) 1 Lakh, 1 crore (33) Circumstances, when lifting of the veil is possible:
(a) Reduction of Membership
(25) Turnover of Small company as per its last P/L (b) Failure to return Application Money
account does not exceed _______rupees or such (c) Fraudulent Conduct (d) All of the above
higher amount as may be prescribed which shall not be
more than ______rupees: (34) Lifting the corporate veil violates the following
(a) 50 lakh , 5 crore (b) 2 crore, 20 crore characteristics of the company
(c) 5 Lakh, 1 crore (d) 1 Lakh, 1 crore (a) Separate legal entity (b) Separate Property
(c) Perpetual succession (d) Common Seal
(26) Small company enjoys relaxations under the (35) ‘Lifting the corporate veil’. It can be done by the
company Act for a period of _________ _________only.
(a) 5 years (b) 2 Years (a) Courts (b) Central Government
(c) 3 Years (d) 1 Years (c) Board of Directors (d) Shareholders

(27) Section 2 (22) of the Companies Act, 2013, defines

that when the liability of the members of a company is
limited to the amount (if any) unpaid on the shares
held by them, it is known as a __
(a) Company limited by shares
(b) Company limited by guarantee
(c) Unlimited company (d) Limited Company

(28) The liability of the member of a ________is limited

up to a stipulated sum mentioned in the
memorandum.
(a) Company limited by shares
(b) Company limited by guarantee
(c) Unlimited company (d) Limited Company
 (c) Service Perspective
E-commerce (d) Online Perspective
Unit 1: Introduction
(9) According to this perspective, E-commerce is
(1) ________is the buying and selling of goods and defines as a tool that addresses the desire of firms,
services, or the transmitting of funds or data, over an consumers and management to cut service cost while
electronic network, primarily the internet. improving the quality of goods/services and increasing
(a) E-commerce (electronic commerce or EC) the speed of service delivery.
(b) M-commerce (a) Communication Perspective
(c) E-Business (d) E-Marketing (b) Business Process Perspective
(c) Service Perspective (d) Online Perspective
(2) ________refers to electronic commerce which
involves selling and buying of product online which is (10) According to this perspective, E-commerce
easy to seller for selling of his products and buyer to provides the capability of buying and selling products
buyer anytime which less efforts over an electronic and information on the internet and other online
network, primarily the internet. services.
(a) E-commerce (electronic commerce or EC) (a) Communication Perspective
(b) M-commerce (b) Business Process Perspective
(c) E-Business (d) E-Marketing (c) Service Perspective (d) Online Perspective

(3) Examples of e-commerce are: (11) Advantages of e-commerce are

(a) Online shopping (b) Online payments (a) Enhances convenience:
(c) Internet banking (d) All of the above (b) Allows for product and price comparison
(c) Easy fund-raising for start-ups ventures
(4) Function of E-commerce are: (d) All of the above
(a) reduce cost
(b) improve the quality of goods and services (12) Advantages of e-commerce are
(c) increasing the speed of delivery. (a) Efficient
(d) All of the above (b) Customer reach & Ability to sell different products:
(c) Prompt payments
(5) Ecommerce refers to the paperless exchange of (d) All of the above
business information using the following ways −
(a) Electronic Data Exchange (EDI) (13) Disadvantages of e-commerce are
(b) Electronic Mail (e-mail) (a) Poor quality products (b) Impulsive purchases
(c) Electronic Fund Transfer (EFT) (c) Internet scammers (d) All of the above
(d) All of the above
(14) Disadvantages of e-commerce are
(6) Nature of E-commerce are: (a) Lack of after sales support
(a) Communication Perspective (b) Fast changing business environment
(b) Business Process Perspective (c) Loss of personal touch:
(c) Online Perspective (d) All of the above
(d) All of the above
(15) E-Commerce provides the following features −
(7) According to this perspective, E-commerce is the (a) Non-Cash Payment (b) 24x7 Service availability
delivery of information, product/services or payments (c) Advertising / Marketing (d) All of the above
over tele-communication channels, computer
networks or any other electronic mode of (16) E-Commerce provides the following features −
communication. (a) Improved Sales (b) Inventory Management
(a) Communication Perspective (c) Communication improvement & Support
(b) Business Process Perspective (d) All of the above
(c) Service Perspective (d) Online Perspective
(17) Electronic commerce (EC) is the process of buying,
(8) According to this perspective, E-commerce is the transferring, or exchanging products, services, and/or
application of technology towards the automation of information via computer networks, including the
business transactions and work flow. internet.
(a) Communication Perspective (a) electronic commerce (EC) (b) E-Business
(b) Business Process Perspective (c) Traditional Commerce (d) M-commerce
(18) In e-commerce ______________ is used in inter- (26) ________consists of standardized electronic
business or inter-organizational transactions message formats for common business documents
(transactions between and among firms/organizations) such as purchase order, request for quotation, bills of
and in business-to-consumer transactions lading, invoice and similar documents.
(transactions between firms/organizations and (a) Electronic Data Interchange (EDI)
individuals). (b) Electronic commerce (EC)
(a) Information and communications technology (ICT) (c) E-Business
(b) Electronic Data Interchange (c) Both
(d) None of the above (27) Benefits of EDI are
(a) Lower Processing cost
(19) In e-business, ____________is used to enhance (b) Improves the overall quality of data
one‘s business. (c) Helps to manage information system effectively and
(a) Information and communications technology (ICT) efficiently
(b) Electronic Data Interchange (d) All of the above
(c) Both (d) None of the above
(28) Benefits of EDI are
(20) Open system [statistics], Not secured, Deals more (a) Helps to reduce inventory level
with technology, Does not involve the use of EDI, (b) Transfer of information from computer to computer
Always operate on Internet are the features of is automatic and data is entered only at the source
(a) Electronic commerce (EC) (b) E-Business (c) Customer relations can be improved
(c) Traditional Commerce (d) M-commerce (d) All of the above

(21) Closed System, Secured, Deals with processes (29) Limitations of E-commerce are
needed to facilitate e-commerce, Used EDI, (a) Credit card security is a serious issue if vulnerable
Always operates on intranet (b) Costs involved with bandwidth and other computer
(a) Electronic commerce (EC) (b) E-Business and server costs
(c) Traditional Commerce (d) M-commerce (c) Extensive database and technical knowledge and
experience required
(22) __________is a set of standards developed in the (d) All of the above
1960‘s to exchange business information and do
electronic transactions. (30) ___________is a kind of e-commerce, which refers
(a) Electronic Data Interchange (EDI) to a company selling or buying from other companies
(b) Electronic commerce (EC) (a) B2B (business – to - business)
(c) E-Business (d) M-commerce (b) [B2C] Business – to Consumer
(c) C2C (d) Consumer-to-Business
(23) EDI is widely viewed as the beginning of E-
commerce. (31) Major activities of B2B are
(a) Electronic Data Interchange (EDI) (a) Supplier Management (b) Inventory Management
(b) Electronic Funds Transfer [EFT] (c) Distribution Management (d) All of the above
(c) E-Business (d) M-commerce
(32) Implementation models of B2B E-commerce are
(24) __________is the electronic exchange of business (a) Transaction based (b) Process based
documents in a standard, computer processable, (c) Strategic relationship based (d) All of the above
universally accepted format between trading partners
(a) Electronic Data Interchange (EDI) (33) Types of B to B market
(b) Electronic commerce (EC) (a) Independent e-marketplace
(c) E-Business (d) M-commerce (b) The Buyer-Oriented-E-Marketplace,
(c) Supplier-oriented e-marketplace
(25) ___________is a standard for the electronic (d) All of the above
exchange of business documents, such as invoices
and purchase orders. (34) In _____________public environment seeks
(a) Electronic Data Interchange (EDI) simple to attract buyers and sellers to trade together.
(b) Electronic commerce (EC) (a) Independent e-marketplace:
(c) E-Business (d) M-commerce (b) The Buyer-Oriented-E-Marketplace,
(c) Supplier-oriented e-marketplace
(d) Vertical and horizontal e-market places
(35) It is open to buyers or sellers by registering and (42) _________enter an industry‘s supply chain and
there will typically be some form of payment required add value by efficiently managing interactions between
to participate. industry buyers and sellers.
(a) Independent e-marketplace: (a) Independent e-marketplace
(b) The Buyer-Oriented-E-Marketplace, (b) The Buyer-Oriented-E-Marketplace,
(c) Supplier-oriented e-marketplace (c) Supplier-oriented e-marketplace
(d) Vertical and horizontal e-market places (d) Vertical e-market places

(36) The owners of the__________ are usually (43) The primary value proposition of a _________is
independent organizations, whose main motivation is the delivery of goods and services at reduced prices.
obtaining of revenues through operating the (a) Independent e-marketplace
marketplace in behalf of buyers and sellers. (b) The Buyer-Oriented-E-Marketplace,
(a) Independent e-marketplace (c) Supplier-oriented e-marketplace
(b) The Buyer-Oriented-E-Marketplace, (d) horizontal e-market places
(c) Supplier-oriented e-marketplace
(d) Vertical and horizontal e-market places (44) _____________typically focus on reducing the
inefficiencies of spot purchasing.
(37) Example of the companies who perform (a) Independent e-marketplace
__________is the Alibaba.com, eBay (www.ebay.com) (b) The Buyer-Oriented-E-Marketplace,
etc. (c) Supplier-oriented e-marketplace
(a) Independent e-marketplace: (d) horizontal e-market places
(b) The Buyer-Oriented-E-Marketplace,
(c) Supplier-oriented e-marketplace (45) __________e-commerce consists of the sale of
(d) Vertical and horizontal e-market places products or services from a business to the general
public.
(38) In ___________a buyer opens an electronic (a) B2B (business – to - business)
market on its own sever and invites potential suppliers (b) [B2C] Business – to Consumer
to bid. (c) C2C [Consumer-to- Consumer]
(a) Independent e-marketplace: (d) C2B [Consumer-to-Business]
(b) Buyer-Oriented-E-Marketplace,
(c) Supplier-oriented e-marketplace (46) Sellers that use __________business model can
(d) Vertical and horizontal e-market places increase their benefits by eliminating the middlemen.
(a) B2B (business – to - business)
(39) ____________also known as a supplier directory, (b) [B2C] Business – to Consumer
the most common model most of the manufacturer (c) C2C [Consumer-to- Consumer]
driven electronic stores belong to this category. (d) C2B [Consumer-to-Business]
(a) Independent e-marketplace:
(b) The Buyer-Oriented-E-Marketplace, (47) Portal, E-tailer, Content Provider, Transaction
(c) Supplier-oriented e-marketplace Broker, Market Creator and Service Provider are types
(d) Vertical and horizontal e-market places of ___________business model.
(a) B2B (business – to - business)
(40) Successful examples of this business model are (b) [B2C] Business – to Consumer
Dell, Intel, and Cisco and IBM. (c) C2C [Consumer-to- Consumer]
(a) Independent e-marketplace: (d) C2B [Consumer-to-Business]
(b) The Buyer-Oriented-E-Marketplace,
(c) Supplier-oriented e-marketplace (48) Yahoo.com & msn.com are examples of
(d) Vertical and horizontal e-market places _____________Business Model.
(a) Portal
(41) __________provide online access to businesses (b) E-tailer
vertically up and down every segment of a particular (c) Content Provider
industry sector such as automotive, chemical, (d) Transaction Broker
construction or textiles
(a) Independent e-marketplace (49) ________Offers an integrated package of services
(b) The Buyer-Oriented-E-Marketplace, and content such as search, news, e-mail, chat,
(c) Supplier-oriented e-marketplace music downloads, video streaming, and calendars
(d) Vertical and horizontal e-market places (a) Portal (b) E-tailer
(c) Content Provider (d) Transaction Broker
(50) ___________Online version of retail store, where (d) All of the above
customers can shop at any hour of the day or night
without leaving home or office (59) __________is basically associated with carrying
(a) Portal (b) E-tailer out the functions and achieving the results of
(c) Content Provider (d) Transaction Broker governance through the utilization of ICT (Information
and Communications Technology).
(51) Amazon.com, Walmart.com, Dell.com are (a) E-Governance (b) E-Business
examples of _______________ (c) E-commerce (d) E-Market
(a) Portal (b) E-tailer
(c) Content Provider (d) Transaction Broker (60) Types of Government Interaction in e-governance
are____________
(52) ____________is Information and entertainment (a) G2G: Government to Government
providers such as newspapers, sports sites, and sites (b) G2C: Government to Citizen
offering news, special interest, how-to-guide (c) G2B: Government to Business
(a) Portal (b) E-tailer (d) All of the above
(c) Content Provider (d) Transaction Broker
(61) Real life examples of e-governance
(53) __________is Processors of online sales (a) e-office
transactions helping customers get things done faster (b) Immigration, Visa and Foreigner‘s Registration &
and more cheaply. Tracking (IVFRT)
(a) Portal (b) E-tailer (c) UID (d) All of the above
(c) Content Provider (d) Transaction Broker
Unit 2: E-CRM and SCM
(54) ____________is Web-based businesses that use (1) _________is a series of different steps and
Internet technology to create markets that bring processes which help in getting the products to the
buyers and sellers together consumer from the producer.
(a) Content Provider (b) Transaction Broker (a) Marketing (b) Branding
(c) Market Creator (d) Service Provider (c) packaging (d) labeling

(55) Companies that make money by selling users a (2) ______________is a way to identify, acquire, and
service, rather than a product retain customers – a business‘ greatest asset.
(a) Content Provider (b) Transaction Broker (a) Customer Relationship Management (CRM)
(c) Market Creator (d) Service Provider (b) Supply Chain Management (SCM)
(c) Enterprise Resource Planning (ERP)
(56) A website following the ___________business (d) E-commerce
model helps consumers to sell their assets like
residential property, cars, motorcycles, etc., or rent a (3) _____________is an integrated online sales,
room by publishing their information on the website marketing and service strategy that is used to identify,
(a) B2B (business – to - business) attract and retain an organisation‘s customers.
(b) [B2C] Business – to Consumer
(c) C2C [Consumer-to- Consumer] (a) E-CRM or Electronic Customer Relationship
(d) C2B [Consumer-to-Business] Management,
(b) Supply Chain Management (SCM)
(57) In this model, a consumer approaches a website (c) Enterprise Resource Planning (ERP)
showing multiple business organizations for a (d) E-commerce
particular service. The consumer places an estimate of
amount he/she wants to spend for a particular service. (4) ____________can be defined as managing on – line
(a) B2B (business – to - business) customer relations, building long – term customer
(b) [B2C] Business – to Consumer relationships by responding to the needs and wants of
(c) C2C [Consumer-to- Consumer] a customer through the Internet.
(d) C2B [Consumer-to-Business] (a) E-CRM, or Electronic Customer Relationship
Management,
(58) Forces behind e-commerce are________ (b) Supply Chain Management (SCM)
(a) Economic forces that drives e-commerce (c) Enterprise Resource Planning (ERP)
(b) Technological forces that drives electronic (d) E-commerce
commerce
(c) Market forces that drives electronic commerce
(5) _______________is the application of Internet- (b) Communicative e – CRM
based technologies such as emails, websites, chat (c) Persuasive e – CRM
rooms, forums and other channels to achieve CRM (d) Responsive e – CRM
objectives.
(a) E-CRM, or Electronic Customer Relationship (14) _________measures the extent to which
Management, customers respond to sales and marketing approaches.
(b) Supply Chain Management (SCM) It recognizes the problems of customers they face
(c) Enterprise Resource Planning (ERP) before, during and after purchase. It aims at resolving
(d) E-commerce problems by giving timely response to customers.
(a) Acquisitive e – CRM (b) Communicative e – CRM
(6) The features of e – CRM are: (c) Persuasive e – CRM (d) Responsive e – CRM
(a) It is integration between the traditional customer
relationship management and e – commerce. (15) In this type of e – CRM customers experience and
(b) It is highly interactive in nature. interaction feedback are emphasised.
(c) It responds to customers‘ requests or problems in (a) Communicative e – CRM (b) Persuasive e – CRM
order to establish and sustain long – term (c) Responsive e – CRM (d) Interactive e – CRM
customer relationships.
(d) All of the above (16) Functional Components of E-CRM are:
(a) e – CRM Software (b) Business process
(7) The main goals of e – CRM business framework are: (c) Users of e – CRM (d) All of the above
(a) Know your Customer (b) Customer Service
(c) Proper Communication with Customers (17) The e – CRM includes strategic components, such
(d) All of the above as:
(a) Analytical (b) Operational
(8) Phases of e – CRM are_______________ (c) Collaborative (d) All of the above
(a) Customer Acquisition
(b) Customer Retention (18) __________streamlines all the processes and
(c) Strategic Customer Care functions by integrating various trading partners with a
(d) All of the above view to reaching customers fast and in a cost – efficient
manner.
(9) The various types of e – CRM are: (a) E-CRM or Electronic Customer Relationship
(a) Acquisition of e – CRM (b) Communicative e – CRM Management,
(c) Persuasive e – CRM (d) All of the above (b) Supply Chain Management (SCM)
(c) Enterprise Resource Planning (ERP)
(10) This type of e – CRM aims to acquire news
customers by balancing the relationship built with (19) _____________is a network of facilities and a
existing customers distribution option that performs the functions of
(a) Acquisitive e – CRM (b) Communicative e – CRM procurement of materials, transformation of these
(c) Persuasive e – CRM (d) Responsive e – CRM materials into intermediate and finished products, and
the distribution of these products to the customers
(11) _____________tries to increase customers world (a) E-CRM or Electronic Customer Relationship
of – mouth recommendations from existing customers Management, (b) Supply Chain Management (SCM)
through the Internet where the site is created. (c) Enterprise Resource Planning (ERP) (d) E-commerce
(a) Acquisitive e – CRM (b) Communicative e – CRM
(c) Persuasive e – CRM (d) Responsive e – CRM (20) The features of E – SCM are:
(a) Synchronized Operation
(12) ________involves regular communication with (b) Cross functional approach
customers in order to create a bond with them by (c) Information flow (d) All of the above
personalizing communication in the form of e – mail,
SMS, or a phone call, facilitated by databases. (21) Different types of supply chain are____________
(a) Acquisitive e – CRM (b) Communicative e – CRM (a) Pipeline Structure (b) Late customisation
(c) Persuasive e – CRM (d) Responsive e – CRM (c) Divergent Structure (d) All of the above

(13) In this type enterprise use knowledge about (22) In this type the product goes through a series of
customers in order to convince them about different production / assembly stages as in mass production or
offerings that fit their needs and requirements. continuous manufacturing.
(a) Acquisitive e – CRM (a) Pipeline Structure:
(b) Late customisation (d) Electronic Payments Networks
(c) Divergent Structure
(d) Convergent Structure (5) A __________is a plastic card which is used for
making payment for on – line purchases and also in
(23) In this type, the initial stages will produce standard retail markets. The card holder is granted a revolving
items which are assembled and customized to specific credit limit by the issuing institutions and the card
requirements either in local plants or in the distribution holder can spend within that limit.
process. Personal computers, IC chips, disk drives, laser (a) Credit cards (b) debit card
printers, electronic gadgets, etc fall into this category. (c) prepaid cards (d) All of the above
(a) Pipeline Structure (b) Late customisation
(c) Divergent Structure (d) Convergent Structure (6) Advantages of credit card are:
(a) Immediate Cash Payment (b) Easy to carry
(24) In this type customisation starts in early (c) Simple Operation (d) All of the above
production phases. A wide variety of finished products
are produced with a limited number of raw materials (7) Disadvantages of credit card are:
or components. Examples of such supply chains include (a) Limit Application (b) Lower degree of Assurance
electro – mechanical systems, such as – motors, (c) More Vulnerable (d) All of the above
textiles, metal fabrication and chemicals.
(a) Pipeline Structur (b) Late customisation (8) A _________is a plastic card by which the customer
(c) Divergent Structure (d) Convergent Structure can pay or withdraw funds as and when
required.
(25) In this type a series of assembly operations are (a) Credit cards (b) debit card
carried out to obtain the final product. Examples (c) prepaid cards (d) All of the above
include aircrafts, construction industry etc.
(a) Pipeline Structure (b) Late customisation (9) Customer creates an account with any bank by
(c) Divergent Structure (d) Convergent Structure depositing funds and they can perform operations like
payment, withdrawl, transfer and balance enquiry with
(26) In this type of E – SCM an organisation or by a the help of __________
group of organisations belonging to one industry (a) Credit cards
coordinate the flow of communications among the (b) debit card
suppliers. This kind of E – SCM possesses collaborative
relationship between buyers and sellers. (10) Advantages of Debit Card are
(a) Private Industrial Network (b) Pipeline Structure (a) Easy Access (b) Less Complicated
(c) Late customisation (d) Divergent Structure (c) Fast Operation (d) All of the above

Unit 3: Digital Payment (11) Disadvantages of Debit Card are:

(1) The various factors that have lead the financial (a) Unprotected against identify theft
institutions to make use of electronic payments are: (b) Not suitable for business transaction
(a) Decreasing technology cost (c) Dependence on Terminal
(b) Reduced operational and processing cost (d) All of the above
(c) increasing online commerce.
(d) All of the above (12) ______________is an improvement over paper
cash. It is a digital token which contains cash value
(2) Cards, Mobile Payments, Internet and Financial which can be used for making payment in online
Service Kiosks are methods of: payment system.
(a) E-payment (b) Online Payment (a) Electronic Cash (Digital Cash) (b) Digital Wallet
(c) E-Marketing (d) E-Business (c) Store Value Card (d) Smart Card

(3) __________currently represent the most common (13) A _________functions much like a physical wallet.
form of electronic payments. It has evolved into a service that provides internet
(a) Credit cards (b) debit card users with a convenient way to store and use on – line
(c) prepaid cards (d) All of the above shopping information.
(a) Electronic Cash (Digital Cash)
(4) __________involve the customer transferring (b) Digital Wallet
money or making a purchase online via the internet. (c) Store Value Card
(a) Online payments (b) Mobile Payments (d) Smart Card
(c) Person-to-Person (P2P) Payments
(14) _________does not have any money values stored (24) Ezpass is an example of ___________
in it; rather it establishes communication between (a) Memory Smart Cards (b) Intelligent Smart Cards
shoppers‘ credit card and the merchant (c) Contact Smart Card (d) Contactless Smart Card
(a) Electronic Cash (Digital Cash) (b) Digital Wallet
(c) Store Value Card (d) Smart Card (25) Advantages of Smart Cards are
(a) Hacking protective (b) Biometric security
(15) Functions or Capabilities of E – Purse / Digital (c) It can be used for any size of payment
Wallet are (d) All of the above
(a) On – line shopping from mobile devices:
(b) Bill payments (26) Disadvantages of Smart Cards are:
(c) Wireless purchasing at physical locations: (a) Too much data is stored in one card, which is not
(d) All of the above desirable because if the card is lost potential dangers
are there.
(16) __________ contains memory chips and (b) It is a potential area for computer hackers.
microprocessor for storing and processing information. (c) It gives liability issues if stolen or lost.
(a) Credit cards (b) debit card (d) All of the above
(c) prepaid cards (d) Smart Card (store value card)
(27) __________is also known as e – banking, Internet
(17) The ________have two important components: banking, cyber banking, home banking, virtual banking
(a) micro processor and (b) a storage unit. or net banking.
(a) Credit cards (b) debit card (a) On – line banking (b) Core Banking
(c) prepaid cards (d) Smart Card (store value card) (c) conventional Banking

(18) Types of Smart Card / Store – Value Card are: (28) In _________any user with a personal computer
(a) Memory Smart Cards (b) Intelligent Smart Cards and a browser can get connected to their banks
(c) Contactless Smart Card (d) All of the above website.
(a) On – line banking (b) Core Banking
(19) ___________stores only the money value that the (c) conventional Banking (d) All of the above
customer can spend and information processing and
storing capabilities are comparatively low. (29) ___________offers customers the facilities of
(a) Memory Smart Cards (b) Intelligent Smart Cards enjoying banking services from anywhere instead of a
(c) Contact Smart Card (d) Contactless Smart Card physical bank location.
(a) On – line banking (b) Core Banking
(20) _____________is capable of adding and (c) conventional Banking (d) All of the above
processing a wider variety of information.
(a) Memory Smart Cards (b) Intelligent Smart Cards (30) Account access anywhere and anytime, On – line
(c) Contact Smart Card (d) Contactless Smart Card bill payment:, Fund transfer etc are Services offered by
__________
(21) __________is required to be placed and swiped (a) On – line banking (b) Core Banking
physically in a card reader for identification and (c) conventional Banking (d) All of the above
authentication
(a) Memory Smart Cards (b) Intelligent Smart Cards (31) In this system funds are transferred to the credit
(c) Contact Smart Card (d) Contactless Smart Card account with other participating bank using RBI‘s NEFT
service. RBI acts as the service provider and transfers
(22) Metro smart card or retail gift card are examples the credit to the other bank‘s account.
of____________ (a) NEFT (National Electronic Fund Transfer)
(a) Memory Smart Cards (b) Intelligent Smart Cards (b) RTGS (Real Time Gross Settlement)
(c) Contact Smart Card (d) Contactless Smart Card (c) Electronic Fund Transfer (EFT)
(d) IMPS (Immediate Payments Service)
(23) Authentication and identification can be done with
the help of this type of cards through a built –in– (32) This system facilities transfer of funds from
antenna. accounts in one bank to another on a ― “real time” and
(a) Memory Smart Cards (b) Intelligent Smart Cards on ― “Gross settlement” basis.
(c) Contact Smart Card: (d) Contactless Smart Card (a) NEFT (National Electronic Fund Transfer)
(b) RTGS (Real Time Gross Settlement)
(c) Electronic Fund Transfer (EFT)
(d) IMPS
(33) ________is a network of interconnected bank (42) ____________is an electronic store of monetary
branches through satellite links that ignores the value on a technical device.
physical identity of any branch. (a) Electronic money (e-money) (b) E-Wallet
(a) On – line banking (b) Core Banking Solution (CBS) (c) E-Purse (d) E-Payment
(c) conventional Banking (d) All of the above
(43) _________facilitate these transactions by
(34) It enables customers to operate their accounts, transferring key information between payment portals
and avail banking services from any branch of the bank such as web-enabled mobile devices/websites and the
regardless of where he maintains his account front end processor/bank.
(a) On – line banking (b) Core Banking Solution (CBS) (a) Unified Payment Interface (UPI)
(c) conventional Banking (d) All of the above (b) National Payments Corporation of India (NPCI),
(c) Payment gateway
(35) ________is a step towards enhancing customer (d) Electronic Funds Transfer (EFT)
convenience through anywhere and anytime banking.
(a) On – line banking (b) Core Banking Solution (CBS) (44) ______________is a system of transferring money
(c) conventional Banking (d) All of the above from one bank account directly to another
without any paper money changing hands.
(36) Centralized Working, Centralized Management (a) Electronic Funds Transfer (EFT)
Information System and Centralized Credit are benefits (b) Net Banking
of __________ (c) Core Banking
(a) On – line banking (b) Core Banking Solution (CBS)
(c) conventional Banking (d) All of the above Unit 4: ERP
(1) _____________can be defined as a system which
(37) _______are digital codes which are generated and enables all the departments to access information at
verified using hashing and asymmetric cryptography. any point of time.
(a) Digital signatures (b) Digital Banking (a) Customer Relationship Management (CRM)
(c) Digital wallet (d) traditional ink signatures (b) Supply Chain Management (SCM)
(c) Enterprise Resource Planning (ERP)
(38) Signing, Hashing of the document, Encryption,
Verification are procedure of ___________ (2) Software for handling data, Sharing a common
(a) Digital signatures (b) Digital Banking database, Departmental Harmony, Independent of
(c) Digital wallet (d) traditional ink signatures time and locations etc are features of ________
(a) Customer Relationship Management (CRM)
(39) ________is a point-of-sale (PoS) transaction made (b) Supply Chain Management (SCM)
or received with a mobile device. (c) Enterprise Resource Planning (ERP)
(a) Mobile payment (m-payment) (b) E-Payment (d) Electronic Customer Relationship Management
(c) Digital Payment (d) Online Payment (ECRM)

(40) The ____________can be thought of like an email (3) The different levels of ERP are___________
ID for your money. It will be an unique identifier that (a) Pre-evaluation screening (b) Package evaluation
your bank uses to transfer money and make payments (c) Project planning level (d) All of the above
using the IMPS
(a) Unified Payment Interface (UPI) (4) Benefits/Advantages of ERP are_____________
(b) National Payments Corporation of India (NPCI), (a) Streamlining Operations
(c) Payment gateway (b) Increased Coat Effectiveness
(d) Electronic Funds Transfer (EFT) (c) Increased Work Efficiency
(d) All of the above
(41) ______________is an initiative by National
Payments Corporation of India‘s (NPCI), (5) Benefits/Advantages of ERP are_____________
(a) Unified Payment Interface (UPI) (a) Decision – making
(b) Payment gateway (b) Improved Visibility
(c) Electronic Funds Transfer (EFT) (c) Facilitate Day – to Day Management
(d) electronic money (e-money) (d) All of the above
(6) Benefits/Advantages of ERP are_____________ (17) The possible risks of ERP implementation are:
(a) Facilitate Day – to Day Management (a) Resource scarcity (b) Employee resistance
(b) Improving Communication (c) Over – expectation (d) All of the above
(c) Eliminating Information Asymmetries
(d) All of the above (18) The possible risks of ERP implementation are:
(a) Technology failure
(7) Limitations/Disadvantages of ERP are___________ (b) Technological obsolescence
(a) Lack of Training of Workers (c) Improper programme management
(b) Problem with Customisation (d) All of the above
(c) Additional License Fees of ERP Vendors
(d) All of the above (19) The various modules of an ideal ERP are:
(a) ERP Finance Module
(8) Limitations/Disadvantages of ERP are___________ (b) ERP Purchasing Module
(a) Security Threat (c) ERP Inventory Control Module
(b) Long Implementation Time (d) All of the above
(c) Transformation Difficulty
(d) All of the above (20) This module automates the financial functionality
and provides analysis support for decision – making.
(9) Limitations/Disadvantages of ERP are___________ (a) ERP Finance Module
(a) Communicative Gap (b) Expensive (b) ERP Purchasing Module
(c) High Switching Costs (d) All of the above (c) ERP Inventory Control Module
(d) ERP Human Resources Module
(10) Limitations/Disadvantages of ERP are_________
(a) Expensive (b) High Switching Costs (21) It automates the processes of identifying potential
(c) Weakest Link Problem (d) All of the above suppliers, negotiating price, awarding
purchase order to the supplier, and billing process.
(11) Different enterprise potential of ERP are: (a) ERP Finance Module:
(a) Affecting all organizations (b) ERP Purchasing Module:
(b) Forcing competition for a change (c) ERP Inventory Control Module
(c) Forcing business partners to be competitive (d) ERP Human Resources Module
(d) All of the above
(22) _________facilitates process of maintaining the
(12) Different enterprise potential of ERP are: appropriate level of stock in a warehouse
(a) Improvement of profits of consulting firm (a) ERP Finance Module (b) ERP Purchasing Module
(b) Enforcement of business process in organization (c) ERP Inventory Control Module
(c) Utilizing the true potential of an enterprise product (d) ERP Human Resources Module
(d) All of the above
(23) The activities of ____________involves in
(13) Different enterprise potential of ERP are: identifying inventory requirements, setting targets,
(a) Utilizing the true potential of an enterprise product providing replenishment techniques and options,
(b) Changing the nature of jobs in business areas monitoring its usage, reconciling the inventory
(c) Costly implementation balances, and reporting inventory status
(d) All of the above (a) ERP Finance Module (b) ERP Purchasing Module
(c) ERP Inventory Control Module
(14) The different phases of ERP implementation are (d) ERP Human Resources Module
(a) Pre – evaluation screening (b) Package Evaluation
(c) Project Planning (d) All of the above (24) __________routinely maintain a complete
employee database including contact information,
(15) The different phases of ERP implementation are salary details, attendance, performance evaluation and
(a) Gap Analysis (b) Process reengineering promotion of all employees
(c) Customisation (d) All of the above (a) ERP Finance Module (b) ERP Purchasing Module
(c) ERP Inventory Control Module
(16) The different phases of ERP implementation are (d) ERP Human Resources Module
(a) Training of the implementation team:
(b) End – user training
(c) The practical operation of the system starts at this
phase. (d) All of the above
(25) The ___________covers all the process related to (33) ________in the ERP field refers to an ERP
production, including scheduling, capacity planning, implementation model initially designed and used with
material requirement planning. much success by the major ERP firms.
(a) ERP Human Resources Module (a) Reengineering (b) Customization
(b) ERP Production Planning Module (c) Training of implementation team (d) Testing
(c) ERP Marketing Module
(d) ERP Sales and Distribution Module: (34) ___________is the main functional area of ERP
implementation. For this business processes are
(26) Various process of marketing, including pricing, needed to be understood and be clarified in such a way
segmenting, targeting, planning, promotion and that solutions to be arrived at matchup with the overall
customer relationship, are integrated in ___________ goals of the company. The companies need to know
(a) ERP Human Resources Module which processes have to change in the process of
(b) ERP Production Planning Module implementation.
(c) ERP Marketing Module (a) Reengineering (b) Customization
(d) ERP Sales and Distribution Module: (c) Training of implementation team (d) Testing

(27) Various sales and distribution related functions, (35) This is the level of ERP where the company trains
such as – inquiry handling, quotation preparing, order its employees to implement and run the system.
processing, delivery management, billing and after - (a) Reengineering (b) Customization
sales services are automated in this module. (c) Training of implementation team (d) Testing
(a) ERP Human Resources Module
(b) ERP Production Planning Module (36) This is the level where the people try to break the
(c) ERP Marketing Module system. They have attained a point where anyone is
(d) ERP Sales and Distribution Module testing the real situation. The system is configured and
now the people come up with extreme case sceneries
(28) When the company decides to go in for ERP system (a) Reengineering (b) Customization
the company should do a __________to limit the (c) Training of implementation team (d) Testing
number of packages for evaluation of the committee.
(a) Pre-evaluation screening (b) Package evaluation (37) At this level the ERP is available to the entire
(c) Project planning level (d) Gap analysis organization. On the technical aspect of the system,
the work is almost complete in respect of data
(29) _____________or selection process is one of most conversion, database up and running etc.
important levels of ERP implementation due to success (a) Testing (b) Going live
or failure of the project (c) End user training (d) Post-implementation
(a) Pre-evaluation screening (b) Package evaluation
(c) Project planning level (d) Gap analysis (38) In this level the actual users of the system will be
provided with training on how to use the system. This
(30) This is considered the level that designs the level starts before the system goes live. The employees
process of implementation. It is in this level that the going to use the new system all identified.
details of going about the implementation are decided. (a) Testing (b) Going live
(a) Pre-evaluation screening (b) Package evaluation (c) End user training (d) Post-implementation
(c) Project planning level (d) Gap analysis
(39) The __________level is very critical. To gain the
(31) This is probably the most crucial phase in the full benefits of ERP system, it should get enterprise-
success of ERP implementation. This is the process wide acceptance with an upgrade or enhancements,
through which companies create a complete model of there will be a lot of others aspect like user training
where and how ERP would be fulfilled. (a) Testing (b) Going live
(a) Pre-evaluation screening (b) Package evaluation (c) End user training (d) Post-implementation
(c) Project planning level (d) Gap analysis
(40) ERP stands fo
(32) The probable solutions of the gap analysis includes (a) Enterprise resolution planning
the following: (b) Enterprise reverse planning
(a) Planning the hopes on up grade; (c) Enterprise resource planning
(b) Identifying a third party product that fill the gap; (d) None of the above
(c) Designing a custom programmed;
(d) All of the above
(41) Which is a function of ERP? (7) Disadvantages/Limitations of Digital Marketing are:
(a) Warehousing (b) sales (a) Digital marketing is closely reliant on the internet.
(c) scheduling (d) all of the above (b) As digital marketing is highly dependent on the
internet,
Unit 5: New Trends in E-Commerce (c) Digital Marketing is that it is only beneficial for
(1) ____________is a subset of electronic commerce consumer goods.
that involves social media, online media that supports (d) All of the above
social interaction, and user contributions to assist
online buying and selling of products and services. (8) ____________is one of the first and still strongest
(a) Social commerce (b) Mobile commerce types of digital marketing
(c) Digital Marketing (d) Social Media (a) Search Engine Optimisation (SEO)
(b) Pay Per Click Advertising (PPC)
(2) ___________is the use of social network(s) in the (c) Public Relations (PR) (d) Social Media Marketing
context of e-commerce transactions.
(a) Social commerce (b) Mobile commerce (9) They are one of the only types of digital marketing
(c) Digital Marketing (d) Social Media that is completely short term – when you stop
paying, the ad ceases to exist.
(3) The term ____________was introduced by Yahoo in (a) Search Engine Optimisation (SEO)
November 2005 which describes a set of online (b) Pay Per Click Advertising (PPC)
collaborative shopping tools such as shared pick lists, (c) Public Relations (PR) (d) Social Media Marketing
user ratings and other user-generated contentsharing
of online product information and advice. (10) ____________is a great way to get exposure and
(a) Social commerce (b) Mobile commerce connect with your customers. this is likely the one that
(c) Digital Marketing (d) Social Media will help you grow your relationship with your
customers fastest.
(4) Social commerce aims to assist companies in (a) Search Engine Optimisation (SEO)
achieving the following purposes. (b) Pay Per Click Advertising (PPC)
(a) social commerce helps companies engage (c) Public Relations (PR) (d) Social Media Marketing
customers with their brands according to the
customers' social behaviors. (11) ______is the ultimate type of digital marketing –
(b) it provides an incentive for customers to return to because it includes all the best stuff, working in
their website harmony. It mixes great content on your website, SEO,
(c) it provides all the information customers need to PR and Social Media Marketing in tandem.
research, compare, and ultimately choose you over (a) Content Marketing (b) Affiliate Marketing
your competitor (c) Viral Marketing (d) Influencer Marketing
(d) All of the above
(12) ___________is where you seat back and relax –
(5) ___________is the marketing of products or and let someone else do the marketing for you. The
services using digital technologies, mainly on the only catch is, if they bring in a sale – you share the
Internet, but also including mobile phones, display profits.
advertising, and any other digital medium. (a) Content Marketing (b) Affiliate Marketing
(a) Social commerce (b) Mobile commerce (c) Viral Marketing (d) Influencer Marketing
(c) Digital Marketing (d) Social Media
(13) _________is amazing – if you can get some
(6) Benefits/objectives of Digital Marketing are: content of yours to go viral, it could turn your business
(a) Digital Marketing is an effective communication into an overnight success.
aspect for the companies to target a large number of (a) Content Marketing (b) Affiliate Marketing
potential consumers at the same time. (c) Viral Marketing (d) Influencer Marketing
(b) Digital Marketing enables direct advertising and
creates awareness about a product or brand. (14) _____________are advertisements served to
(c) Digital Marketing makes advertisements more users on social media platforms.
accessible to the target customers at any time or any (a) Search Engine Optimisation (SEO)
place. (b) Pay Per Click Advertising (PPC)
(d) All of the above (c) Public Relations (PR) (d) Social Media Marketing
(15) The Benefits of Advertising on Social Media (11) All of the following are techniques B2C e-
Channels are______________ commerce companies use to attract customers,
(a) Large audiences (b) Free to create except:
(c) Encourages sharing (d) All of the above (a) Registering with search engines (b) Viral marketing
(16) The Benefits of Advertising on Social Media (c) Online ads (d) Virtual marketing
Channels are______________
(a) Encourages sharing (b) Increases brand loyalty (12) Which is a function of E-commerce
(c) Uncovers valuable insights (d) All of the above (a) marketing (b) advertising
(c) warehousing (d) all of the above
(17) Social media marketing disadvantages are_______
(a) Negative feedback (b) Potential for embarrassment (13) Which term represents a count of the number of
(c) Time intensive (d) All of the above people who visit one site, click on an ad, and
are taken to the site of the advertiser?
Important MCQ (a) Affiliate programs (b) Click-through
(c) Spam (d) All of the above
(1) Which of the following describes e-commerce?
(a) Doing business electronically (b) Doing business
(14) What is the percentage of customers who visit a
(c) Sale of goods (d) All of the above
Web site and actually buy something called?
(a) Affiliate programs (b) Click-through
(2) Which of the following is part of the four main types
(c) Spam (d) Conversion rate
for e-commerce?
(a) B2B (b) B2C (c) C2B (d) All of the above
(15) What are materials used in production in a
manufacturing company or are placed on the shelf
(3) Which segment do eBay, Amazon.com belong?
for sale in a retail environment?
(a) B2B (b) B2C (c) C2B (d) C2C
(a) Direct materials (b) Indirect materials
(c) EDI (d) None of the above
(4) Which type of e-commerce focuses on consumers
dealing with each other?
(16) What are materials that are necessary for running
(a) B2B (b) B2C (c) C2B (d) C2C
a modern corporation, but do not relate to the
company's primary business activities?
(5) Which type deals with auction?
(a) Direct materials (b) Indirect materials
(a) B2B (b) B2C (c) C2B (d) C2C
(c) EDI (d) None of the above
(6) The best products to sell in B2C e-commerce are:
(17) What are ballpoint pens purchased by a clothing
(a) Small products (b) Digital products
company?
(c) Specialty products (d) Fresh products
(a) Direct materials (b) Indirect materials
(c) EDI (d) None of the above
(7) Which products are people most likely to be more
uncomfortable buying on the Internet?
(18) What is the process in which a buyer posts its
(a) Books (b) Furniture (c) Movies (d) All of the above
interest in buying a certain quantity of items, and
sellers compete for the business by submitting
(8) Which products are people most likely to be
successively lower bids until there is only one seller
comfortable buying on the Internet?
left?
(a) Books (b) PCs (c) CDs (d) All of the above
(a) B2B marketplace (b) Intranet
(c) Reverse auction (d) Internet
(9) Digital products are best suited for B2C e-commerce
because they:
(19) What are plastic cards the size of a credit card that
(a) Are commodity like products
contains an embedded chip on which digital
(b) Can be mass customized and personalized
information can be stored?
(c) Can be delivered at the time of purchase
(a) Customer relationship management systems cards
(d) All of the above
(b) E-government identity cards (c) FEDI cards
(d) Smart cards
(10) The solution for all business needs is
(a) EDI (b) ERP (c) SCM
(20) Most individuals are familiar with which form of e‐
commerce?
(a) B2B (b) B2C (c) C2B (d) C2C
(21) Which form of e-commerce currently accounts for (32) Which of the following refers to creating products
about 97% of all e-commerce revenues? tailored to individual customers?
(a) B2B (b) B2C (c) C2B (d) C2C (a) customization (b) aggregation
(c) Direct materials (d) Reverse auction
(22) Which of the following are advantages normally
associated with B2B e-commerce? (33) Amazon.com is well-known for which e-commerce
(a) Shorter cycle times (b) Reduction in costs marketing technique?
(c) Reaches wider audiences (d) all of the above (a) Banner ads (b) Pop-up ads
(c) Affiliate programs (d) Viral marketing
(23) Which of the following is a useful security
mechanism when considering business strategy and IT? (34) What is the name given to an interactive business
(a) encryption (b) decryption providing a centralized market where many buyers and
(c) firewall (d) all the above suppliers can come together for e-commerce or
commerce-related activities?
(24) Which of the following is not related to security (a) Direct marketplace (b) B2B
mechanism (c) B2C (d) Electronic marketplace
(a) encryption (b) decryption
(c) e-cash (d) all the above (35) Which form of e-marketplace brings together
buyers and sellers from multiple industries, often
(25) A product or service that customers have come to for MRO materials?
expect from an industry, which must be offered by new (a) horizontal (b) Vertical
entrants if they wish to compete and survive, is known (c) Integrated (d) Incline
as?
(a) Switching costs (b) Loyalty programs (36) Which form of e-marketplace brings together
(c) Entry barriers (d) Affiliate programs buyers and sellers from the same industry?
(a) horizontal (b) Vertical
(26) Which of the following statements accurately (c) Integrated (d) Inclined
reflect the impact of technology?
(a) Technology has caused buyer power to increase (37) Which type of ad appears on a web page?
(b) Technology has lessened the entry barriers for (a) pop-under ad (b) Pop-up ad
many industries (c) Banner ad (d) Discount ad
(c) Technology has increased the threat of substitute
products and services (38) What type of ad appears on top of a web page?
(d) all of the above (a) pop under ad (b) pop-up ad
(c) banner ad (d) discount ad
(27) A business cannot be all things to all people.
Instead, a business must: (39) What type of ad appears under a web page?
(a) Identify target customers (a) pop-under ad (b) pop-up ad (c) banner ad
(b) Identify the value of products/services as perceived
by customers (40) Which of the following is an Internet based
(c) all of the above (d) None of the above company that makes it easy for one person to pay
another over the Internet?
(28) How the transactions occur in e-commerce? (a) electronic check
(a) Using e-medias (b) Using computers only (b) electronic bill presentment and payment
(c) Using mobile phones only (d) None of the above (c) conversion rates (d) financial cybermediary

(29) Which type of products is lesser purchased using (41) Which of the following is a method of transferring
e-commerce? money from one person's account to another?
(a) automobiles (b) books (a) electronic check (b) credit card
(c) software (d) none (c) e-transfer (d) none of the above

(30) A business competing in a commodity like (42) If you need to transfer money to another person
environment must focus on which of the following? via the internet, which of the following methods could
(a) Price (b) Ease / speed of delivery you use?
(c) Ease of ordering (d) all of the above (a) financial cybermediary (b) electronic check
(c) electronic bill presentment and payment
(d) all of the above
(43) Which of the following permits the transmission of (a) Client/server network (b) Intranet
a bill, along with payment of that bill, to be conducted (c) Extranet (d) Thin client
over the Internet?
(a) financial cybermediary (b) electronic check (52) What is an intranet that is restricted to an
(c) electronic bill presentment and payment organization and certain outsiders, such as customers
(d) all of the above and suppliers?
(a) Client/server network (b) Intranet
(44) A combination of software and information (c) Extranet (d) Thin client
designed to provide security and information for
payment is called a what? (53) What is a detailed process for recovering
(a) digital wallet (b) pop up ad information or an IT system in the event of a
(c) shopping cart (d) encryption catastrophic disaster such as a fire or flood?
(a) Disaster recovery plan (b) Hot site
(45) What is the name for direct computer-to- (c) Cold site (d) Disaster recovery cost curve
computer transfer of transaction information
contained in standard business documents? (54) Which factor determines who has the right to
(a) internet commerce (b) e-commerce access different types of IT systems and information?
(c) transaction information transfer (a) Availability (b) Accessibility
(d) electronic data interchange (c) Reliability (d) Scalability

(46) Which of the following is used in B2B to pay for (55) Which factor ensures your IT systems are
purchases? functioning correctly and providing accurate
(a) e-commerce information?
(b) financial electronic data interchange (a) Availability (b) Accessibility
(c) electronic data exchange (d) electronic checks (c) Reliability (d) Scalability

(47) Public key encryption uses multiple keys. One key (56) What scrambles the contents of a file so you can't
is used to encrypt data, while another is used to read it without having the right decryption key?
decrypt data. The key used to encrypt data is called the (a) Encryption (b) Intrusion detection software
_____ key, while the key used to decrypt data is called (c) Security auditing software (d) All of the above
the _____ key.
(a) encryption, decryption (b) private, public (57) What is an encryption system that uses two keys:
(c) encryption, public (d) public, private a public key that everyone can have and a private key
for only the recipient?
(48) Secure Sockets Layers does which of the (a) Encryption (b) Public key encryption
following? (c) Intrusion detection software
(a) creates a secure, private connection to a web server
(b) encrypts information (58) What is an electronic representation of cash?
(c) sends information over the internet (a) Digital cash (b) Electronic cash
(d) all of the above (c) E-cash (d) All of the above

(49) When a transaction is processed online, how can (59) Which of the following is not a reason why digital
the merchant verify the customer's identity? cash has turned out to be extremely difficult?
(a) use secure sockets layers (a) If your system crashes you lose your money
(b) use secure electronic transactions (b) There is only one standard
(c) use electronic data interchange (c) Digital cash makes money laundering easy
(d) use financial electronic data interchange (d) Digital cash travels across the vast Internet and is
susceptible to begin stolen
(50) What is a model of a proposed product, service, or
system? (60) Smart card is better protected than other cards
(a) Prototyping (b) Prototype using
(c) Proof-of-concept prototype (d) Selling prototype (a) Encryption (b) Firewall (c) Hub (d) All the above
(61) The E-payment mechanism widely used in B2B is
(51) What is an internal organizational Internet that is (a) Credit card (b) Debit card
guarded against outside access by a special security (c) Master card (d) E-cheque
feature called a firewall (which can be software,
hardware, or a combination of the two)?
(62) Which one is also known as plastic money?
(a) Credit card (71) Which one is an offline payment mode?
(b) Debit card (a) Cash on delivery
(c) Paper cash (b) Cash before delivery
(d) All of the above (c) Credit card
(d) Both a and b
(63) Digital signature is a
(a) Digital id, send as an attachment to a web page/e‐ (72) Which one is not an online payment mode?
mail/message (a) Cash on delivery
(b) Is used for verifying the attachments send using (b) Debit card
web (c) Credit card
(c) Both a and b (d) None of these (d) e-cheque

(64) The presence of _____________ make the smart (73) Private Key cryptography is also known as
card smart. _______________cryptography.
(a) Memory (a) Public key
(b) Microchip (b) Symmetric
(c) E-cash (c) Asymmetric
(d) None of the above (d) None

(65) The smart card which use antenna for reading and (74) Public key cryptography is also known as
writing data ___________cryptography.
(a) Contact smart card (a) Private key
(b) Contactless smart card (b) Symmetric
(c) Proximity smart card (c) Asymmetric
(d) Both B and C (d) None
(75) During E-commerce transaction we should
(66) Which of the smart card uses a sim like structure ensure___________
for reading and writing data (a) Integrity
(a) Contact smart card (b) Security
(b) Contactless smart card (c) Confidentiality
(c) Proximity smart card (d) All the above
(d) Both B and C
(76) The study of encryption is called__________
(67) Which is not a feature of ecommerce (a) Decryption (b) Cryptography
(a) SCM (c) Firewall (d) All the above
(b) EDI
(c) WWW (77) Which type deals with auction?
(d) BPR (a) B2B
(b) B2C
(68) Which is used to identify mobile money (c) C2B
(a) MCID (d) C2C
(b) MMID
(c) RSID (78) What is an arrangement made between e‐
(d) None of the above commerce sites that direct users from one site to the
other?
(69) E-Banking is also known as (a) Spam
(a) ATMs (b) Viral marketing
(b) Net banking (c) Affiliate programs
(c) Traditional banking (d) None of the above
(d) None of these

(70) Which one is not an offline payment mode?

(a) Cash on delivery
(b) Cash before delivery
(c) Demand drafts
(d) e-cheque