Top 250+ Solved Export Import Procedures and Documentation MCQ Questions Answer
Q. Which theory holds that nations should produce those goods for which it has the greatest relative advantage?
a. The theory of relative advantage.
b. The theory of absolute advantage.
c. The factor endowment theory.
d. None of the above.
Q. Which of the following holds that a government can improve the economic well-being of a country by encouraging exports and discouraging imports without a reliance on previous metals?
a. Neo-mercantilism.
b. The Leontief paradox.
c. Quotas.
d. Mercantilism.
Q. In country A, it takes 10 labor hours to produce cloth and 20 labor hours to produce grain. In country B, it takes 20 labor hours to produce cloth and 10 labor hours to produce grain. Which country should produce grain?
a. Both A and B should produce grain.
b. No country should produce grain.
c. all
d. none
Q. In North, it takes 50 labor hours to produce cloth and 100 hours to produce grain. In South, it takes 200 labor hours to produce cloth and 200 hours to produce grain. Which of the following statements is true?
a. South has an absolute advantage in the production of grain.
b. North has a comparative advantage in the production of cloth.
c. South has an absolute advantage in the production of both cloth and grain.
d. North should produce grain.
Q. In country X, it takes 50 labor hours to produce cloth and 100 hours to produce grain. In country Y, it takes 200 labor hours to produce cloth and 200 hours to produce grain. At what price would X start to be willing to trade with Y?
a. More than a quarter unit of cloth per unit of grain.
b. More than half a unit of cloth per unit of grain.
c. More than half a unit of grain per unit of cloth.
d. More than a quarter unit of grain per unit of cloth.
Q. Which of the following theories holds that countries will produce and export products that use large amounts of production factors that they have in abundance?
a. The factor endowment theory.
b. Mercantilism.
c. The theory of absolute advantage.
d. None of the above.
Q. Duty Drawback is available for
a. Import duty on imported components
b. Central excise on indigenous components
c. Import duty and central excise on indigenous components
d. Import duty, central excise and VAT
Q. Excise duty exemption on exports is available for duty paid on
a. finished products only
b. components only
c. finished products and components
d. imported items
Q. All imported goods shall be subject to domestic laws, rules, orders, regulations.
a. True
b. False
c. Can’t say
d. none
Q. An EPCG License holder may source capital goods from domestic leasing company.
a. True
b. False
c. Can’t say
d. none
Q. Deemed exports is beneficial to Indian buyers because :-
a. It reduces costs in supply chain management , Saves foreign exchange
b. It reduces costs in supply chain management , After sales service is easier, Saves foreign exchange
c. None of the above
d. Can’t say
Q. Export Promotion Capital Goods Scheme allows import of capital goods
a. Free of import duty
b. With concessional duty of 5 per cent with no export obligation
c. With concessional duty of 5 per cent with export obligation 8 times the duty saved
d. With concessional duty of 5 per cent with export obligation 8 times the import made
Q. The export promotion scheme that enables the post export replenishment of duty on inputs used in the export product is.
a. Replenishment licence.
b. Duty remission scheme
c. Duty exemption scheme
d. . Duty free replenishment certificate
Q. The export promotion scheme with the objective to neutralize the incidence of Customsduty on the import content of the export product is.
a. Export Promotion Capital Goods
b. Export Credit Guarantee
c. Duty Free Replenishment
d. Duty Entitlement Passbook