Business and Technology MCQ Quiz - Objective Question with Answer for Business and Technology - Download Free PDF

Last updated on Jul 2, 2025

Latest Business and Technology MCQ Objective Questions

Business and Technology Question 1:

A recent trend in organisation and management is the rise in virtual organisation’ and virtual teamworking’.


To which of the following environmental (PEST) factors is this most directly attributed?

  1. Economic

  2. Socio-cultural

  3. Technological

  4. Political

Answer (Detailed Solution Below)

Option 3 :

Technological

Business and Technology Question 1 Detailed Solution

Correct Answer: C

Explanation:

Virtual organisation is the collaboration of geographically dispersed individuals and teams, specifically using the latest information and communication technology (ICT) enablers: the Internet, web-conferencing and so on.

Business and Technology Question 2:

Which of the following is NOT a legitimate method of influencing government policy in the interests of a business?

  1. Employing lobbyists to put the organisation’s case to ministers or civil servants

  2. Giving lawmakers non-executive directorships

  3. Offering financial incentives to public officials to use their influence on the organisation’s behalf

  4. Attempting to influence public opinion, to put pressure on the legislative agenda

Answer (Detailed Solution Below)

Option 3 :

Offering financial incentives to public officials to use their influence on the organisation’s behalf

Business and Technology Question 2 Detailed Solution

Correct Answer: C

Explanation:

This would be interpreted as corruption. The other options are usually legitimate methods of influence. Although giving lawmakers non-executive directorships may be questionable in some parts of the world, in others like the UK it is perfectly legitimate.

Business and Technology Question 3:

Which of the following is a correct definition of the term span of control’?

  1. The number of employees reporting to one manager

  2. The number of managers to whom one employee reports

  3. The number of levels in the hierarchy

  4. The number of employees at each level of the organisation

Answer (Detailed Solution Below)

Option 1 :

The number of employees reporting to one manager

Business and Technology Question 3 Detailed Solution

Correct Answer: A

Explanation:

This is the definition of span of control.

Business and Technology Question 4:

A transport company is monitoring fuel tax and congestion charges. These are examples of:

  1. Social factors
  2. Economic factors
  3. Political/legal factors
  4. Technological factors

Answer (Detailed Solution Below)

Option 3 : Political/legal factors

Business and Technology Question 4 Detailed Solution

Correct Answers: C

Explanation:

Taxes and charges are set by government and are political/legal in nature.

Business and Technology Question 5:

Supra-national legal authorities include:

  1. Local councils
  2. The United Nations
  3. Company boards
  4. National courts

Answer (Detailed Solution Below)

Option 2 : The United Nations

Business and Technology Question 5 Detailed Solution

Correct Answer: B

Explanation:

Supra-national authorities operate above national governments

Top Business and Technology MCQ Objective Questions

Business and Technology Question 6:

Which of the following is a key characteristic of a partnership?

  1. Shares are sold to the public
  2. The business is run by a single person
  3. Owners have unlimited liability
  4. In a traditional partnership, partners share profits, control, and responsibility, including liability.

Answer (Detailed Solution Below)

Option 3 : Owners have unlimited liability

Business and Technology Question 6 Detailed Solution

The correct option is option 3 

Additional Information:

In a traditional partnership, partners share profits, control, and responsibility, including liability.

Business and Technology Question 7:

Which of the following statements is/are true?


(1) An informal organisation exists within every formal organisation

(2) Objectives of the informal organisation are broadly the same the formal organisation

(3) A strong, close-knit informal organisation is desirable within the formal organisation

  1. Statement (1) only

  2. Statements (1) and (3) only

  3. Statements (2) and (3) only

  4. Statement (3) only

Answer (Detailed Solution Below)

Option 1 :

Statement (1) only

Business and Technology Question 7 Detailed Solution

Correct Answer: A

Explanation:
 

Statement (2) is not true, because the informal organisation has its own agenda.

Statement (3) is not true, because a strong informal organisation with its own agenda can undermine the formal organisation: create damaging rumours, safety/quality shortcuts, distractions from task goals etc.

Business and Technology Question 8:

Which of the following statements is/are true?
 

(1) An informal organisation exists within every formal organisation

(2) Objectives of the informal organisation are broadly the same the formal organisation

(3) A strong, close-knit informal organisation is desirable within the formal organisation

  1. Statement (1) only

  2. Statements (1) and (3) only

  3. Statements (2) and (3) only

  4. Statement (3) only

Answer (Detailed Solution Below)

Option 1 :

Statement (1) only

Business and Technology Question 8 Detailed Solution

Correct Answer: A

Explanation: 
 

Statement (2) is not true, because the informal organisation has its own agenda.

Statement (3) is not true, because a strong informal organisation with its own agenda canundermine the formal organisation: create damaging rumours, safety/quality shortcuts, distractions from task goals etc.

Business and Technology Question 9:

Which of the following is an advantage of a flat organisational structure?

  1. Greater control by top management
  2. Longer communication channels
  3. Reduced layers of management
  4. Increased bureaucracy

Answer (Detailed Solution Below)

Option 3 : Reduced layers of management

Business and Technology Question 9 Detailed Solution

The correct option is option 3

Additional Information:

  • Flat structures simplify hierarchy, promoting faster communication.
  • Fewer levels = quicker decisions and better teamwork.

Business and Technology Question 10:

Which of the following states the four cultural types identified by Handy?

  1. Person, role, task, power
  2. Power, uncertainty, task, bureaucratic
  3. Individualism, uncertainty, power, dynamism
  4. Power, role, task, resource

Answer (Detailed Solution Below)

Option 1 : Person, role, task, power

Business and Technology Question 10 Detailed Solution

Correct Answer: A

Explanation: 

Resource, individualism, uncertainty, dynamism and bureaucratic are not cultural types per Handy.

Business and Technology Question 11:

Machine learning is an example of which of the following?

  1. Artificial intelligence
  2. Automation
  3. Data analytics
  4. Blockchain

Answer (Detailed Solution Below)

Option 1 : Artificial intelligence

Business and Technology Question 11 Detailed Solution

Correct Answer: A

Explanation:

Machine learning uses networks, statistics and operational research to identify insights in data without being programmed what to conclude and is an example of artificial intelligence.

Business and Technology Question 12:

Which of the following statements are true?


(1) With a shared service centre services are likely to be less tailored

(2) The IT function is commonly provided using shared service approach

(3) A shared service centre is not part of the organisation

  1. Statement (1) and (3) only

  2. Statements (1) and (2) only

  3. Statements (2) and (3) only

Answer (Detailed Solution Below)

Option 2 :

Statements (1) and (2) only

Business and Technology Question 12 Detailed Solution

Correct Answer: B

Explanation:
 

The shared service centre is created within the organisation and is a part of it, although its relationship is similar to that of an external service provider.

Business and Technology Question 13:

An organisation would consider offshoring its manufacturing operation in order to lower costs and gain access to skilled production labour. 

Is this statement true or false? 

  1. True
  2. False

Answer (Detailed Solution Below)

Option 1 : True

Business and Technology Question 13 Detailed Solution

Correct answer: A.

Explanation:

This is a true statement. Offshoring is a viable alternative if an organisation is attempting to reduce costs and/or seeking skilled labour.

Business and Technology Question 14:

In order to discharge their duties ethically, finance directors must ensure that the information published by their organisations provides a complete and precise view of the
position of the business, without concealing negative aspects that may distort the reader’s perception of its position.
This duty describes which of the following ethical principles?
 

  1. Probity
  2.  Honesty
  3. Independence
  4. Objectivity 

Answer (Detailed Solution Below)

Option 4 : Objectivity 

Business and Technology Question 14 Detailed Solution

The correct option is option 4 

Additional Information:

A professional accountant acting in accordance with fundamental ethical principles is demonstrating objectivity when they give a complete and precise view, which by implication means that negative aspects should not be concealed or positive aspects accentuated. 

Business and Technology Question 15:

Penny has recently placed some of his earnings into a scheme which is designed to reduce the amount of tax he pays to the Government. The scheme is legal, but a Government minister has described it as ‘frustrating the intentions of Parliament’. The scheme is therefore an example of:

  1. Tax evasion 
  2. Tax mitigation
  3. Tax avoidance
  4. None of the above

Answer (Detailed Solution Below)

Option 3 : Tax avoidance

Business and Technology Question 15 Detailed Solution

The correct option is option 3 

Additional Information:

  •  Tax evasion is illegal. Tax avoidance is used to describe schemes that frustrate the intentions of Parliament, while tax mitigation describes schemes that do not frustrate the intentions of Parliament. 
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