Quiz Space

Business Data Management · End Term · 13 Sept 2026 · May 2026 term · Set S2

Question 9: A traveler is lost in a desert and runs out of water. A m…

Question 9

+2 marksOne correct option

A traveler is lost in a desert and runs out of water. A merchant offers them a bottle of water in exchange for a diamond ring. The traveler quickly accepts. Which economic shift best explains this transaction?

  1. A

    The total utility of the diamond is higher.

  2. B

    The intrinsic value of the water is higher.

  3. C

    The global market price of diamonds is lower.

  4. D

    The marginal utility of the water is higher.

Show answer

Correct answer

  • D

    The marginal utility of the water is higher.

See the whole paperTake it as a mock test

Question 9 of 43 in the IIT Madras BS Business Data Management (BDM) End Term paper sat on 13 Sept 2026, in the May 2026 term (Business Data Management 13 Sep 26 (Session 2)). It carries 2 marks.

More questions from this paper

  1. Q1Case Background: The Sivasagar, Assam Flood Economic Shock The severe floods that struck the Sivasagar and neighboring …
  2. Q2Case Background: The Sivasagar, Assam Flood Economic Shock The severe floods that struck the Sivasagar and neighboring …
  3. Q3Case Background: The Sivasagar, Assam Flood Economic Shock The severe floods that struck the Sivasagar and neighboring …
  4. Q4Case Background: The Sivasagar, Assam Flood Economic Shock The severe floods that struck the Sivasagar and neighboring …
  5. Q5Their marketing department completed prospecting and identified a few prospective customers. However, before proceeding…
  6. Q6Following the approach process, needs analysis was done. What is a) the technique used, b) who speaks more, c) the ques…
  7. Q7During the process of prospecting the company identified 200 prospective customers. However, the sales department decid…
  8. Q8According to the Law of Diminishing Marginal Utility, what happens as a consumer consumes successive units of a specifi…
  9. Q10Service failures are present both in B2C and B2B domains. Its impact _
  10. Q11The sales executive from a mobile firm “YZI” told their prospective customer, “Well, you may think why to buy from us, …
  11. Q12YZI had to select a vendor from the three they had shortlisted. They chose 3 CSFs -quality, brand image and services, i…
  12. Q13Once the needs of the customers are uncovered, an offer (pitch) is made. This is a) which step of the selling process, …
  13. Q14In B2B markets, the purchase value and number of customers tend to be
  14. Q15Which financial statement is designed to show the financial position of a business on a single, specific date?
  15. Q16What is the primary significance of the 'Dividend Yield Ratio' for an investor comparing a stock to a government bond?
  16. Q17If a factory has unused warehouse space and rents it out for ₹20,000 per month, how does this affect the Cost Sheet?
  17. Q18What distinguishes 'Direct Overheads' from 'Indirect Overheads'?
  18. Q19How does Return on Equity (ROE) help an investor assess the 'risk' of their investment relative to a bank Fixed Deposit?
  19. Q20Management decides to hire skilled workers at higher wages to replace unskilled workers. If the total per-unit labor co…
  20. Q21During Lionel Messi’s tour of India, assume Salt Lake Stadium's capacity caps match supply at a fixed QS = 80,000 seats…
  21. Q22A company produces mobile chargers with a total manufacturing cost of Rs.200 per unit. If management sets a goal to ach…
  22. Q23An organization holds Rs. 10,00,000 in idle cash for a period of 6 months instead of investing it in a Fixed Deposit (F…
  23. Q24Consider the following data for a production run: Opening Raw Materials Rs.50,000, Purchases Rs.4,50,000, Closing Raw M…
  24. Q25Which symbol is used in an Excel formula to represent a continuous range of cells between two cell references (e.g., fr…
  25. Q26Which keyboard shortcut opens the "Replace" tab in the Find and Replace window to search and swap text or values across…
  26. Q27Which of the following statistics is NOT included in the output summary table produced by Excel's Descriptive Statistic…
  27. Q28A manager is reviewing a report that shows actual materials used were 12,000 kg while the budget allowed for 10,000 kg.…
  28. Q29Alpha Consulting begins operations with ₹50,000 in cash. During the first month, they purchase computer servers for ₹15…
  29. Q30A company reports a Net Income of ₹172,500 for the year. The following data is also provided: Depreciation Expense of ₹…
  30. Q31An organization holds ₹10,00,000 in idle cash. It can either invest this amount into a one-month project requiring 1,20…
  31. Q32Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  32. Q33Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  33. Q34Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  34. Q35Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  35. Q36Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  36. Q37Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  37. Q38Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  38. Q39Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  39. Q40Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  40. Q41Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  41. Q42Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…
  42. Q43Case Study: Nova Consumer Products Ltd. Company Background Nova Consumer Products Ltd. manufactures packaged food and h…