O Level Geography of Pakistan chapter 5: Industrial development MCQs with answers
By Team Megalecture · Updated 4 Nov 2026
55 exam-style questions on Industrial development, each with the answer and a short explanation. Ten of them are below to try. The chapter test draws ten fresh questions each time and is marked the moment you finish, with your score by topic.
Manufacturing and processing industries18 questions
Formal and informal sectors; promoting industry13 questions
Tourism11 questions
Ten Industrial development questions with answers
Try each one, then open the answer. These ten stay the same; the test draws new ones every time.
1. A foreign-owned hotel in Islamabad makes a profit and sends it to the company’s home country. How does this profit affect Pakistan’s GDP and GNP?
A
it is counted in Pakistan’s GDP but not in its GNP
B
it is counted in Pakistan’s GNP but not in its GDP
C
it is counted in both Pakistan’s GDP and its GNP
D
it is counted in neither Pakistan’s GDP nor its GNP
Show answer
Answer: A. GDP measures what is produced inside Pakistan, so the hotel’s output counts. GNP counts income belonging to Pakistan’s residents, so profit sent abroad to foreign owners is left out.
2. Why is Pakistan an attractive location for call centres serving customers in the UK and the USA?
A
the country has large reserves of coal and iron ore
B
its cool climate reduces the cost of air conditioning for offices
C
many educated young people speak English and wages are lower
D
cheap land is available for building large factories
Show answer
Answer: C. Call centres need workers who speak English well, and Pakistani wages are lower than in the countries whose customers they serve. Minerals and factory land are irrelevant to this service industry.
3. Which statement about craft industries in Pakistan, such as hand-knotted carpets, pottery and embroidery, is correct?
A
they are mostly large mills using imported automatic looms
B
they rely on imported materials and sell only to foreigners
C
they are found only in Karachi because they need a seaport
D
they are mostly cottage industries selling at home and abroad
Show answer
Answer: D. Crafts are made by hand, mostly in homes and small workshops across the country, using local skills and materials. Some, such as carpets, are exported, while many are sold in local markets and to tourists.
4. In a Karachi katchi abadi, a family collects plastic bottles from rubbish dumps and sells them to a registered factory that recycles them. Which statement best evaluates this activity?
A
it is in the formal sector because it supplies a registered factory
B
it gives income and cuts waste, but the work is unregulated and unsafe
C
it has no value to the economy because no tax is paid on it
D
it is a primary industry because the bottles are collected, not manufactured
Show answer
Answer: B. The collecting is informal (unregistered, with no contracts or safety rules) even though it supplies a formal firm, and it helps both the family and the environment. It is not primary industry, which takes natural resources.
5. Which city is the main centre of both the sports goods and the surgical instruments industries?
A
Sialkot
B
Faisalabad
C
Gujranwala
D
Hyderabad
Show answer
Answer: A. Sialkot, in north-east Punjab, has skilled craftsmen who make footballs, hockey sticks, gloves and surgical instruments, mostly for export. Faisalabad is best known for textiles.
6. Which feature is typical of the formal sector but not of the informal sector?
A
workers have written contracts and the business pays tax
B
work often takes place on the street or in workers’ homes
C
most workers earn irregular, uncertain and often very low incomes
D
businesses are not registered with the government
Show answer
Answer: A. Formal-sector firms are registered, pay taxes and follow labour laws, so workers have contracts, fixed hours and some benefits. The other three features describe the informal sector.
7. Why are most cement works in Pakistan built close to limestone deposits, for example in the Salt Range or near Rohri?
A
limestone is heavy and bulky, so carrying it far is costly
B
cement must be made within a day of quarrying the limestone
C
cement works need fast-flowing rivers to generate hydel power
D
limestone is only found near the country’s main ports
Show answer
Answer: A. Cement uses large tonnages of heavy raw materials, so works are located at the source of limestone to cut transport costs. The need for rapid processing applies to sugar cane, not limestone.
8. Why do mountaineers and trekkers from abroad travel to Gilgit-Baltistan?
A
it has the country’s longest desert safari routes
B
it has K2, Nanga Parbat and other very high peaks
C
it has warm sandy beaches that are open all year
D
it has the largest Mughal monuments in Pakistan
Show answer
Answer: B. The Karakoram and western Himalaya in Gilgit-Baltistan include K2 and Nanga Parbat, along with huge glaciers, which attract climbers and trekkers.
9. Why can a large informal sector slow Pakistan’s development?
A
it relies on expensive imported machinery and fuel
B
it takes jobs away from people who have no skills
C
less tax is paid, so less is spent on services
D
it produces goods only for sale in foreign markets
Show answer
Answer: C. Because informal businesses are unregistered, they pay little or no tax, so there is less money for schools, hospitals and infrastructure. Workers also lack protection and training.
10. Which of these is a natural attraction rather than a cultural one?
A
Lake Saiful Muluk in the Kaghan valley
B
the Badshahi Mosque in Lahore
C
the Makli tombs near Thatta
D
the Takht-i-Bahi monastery near Mardan
Show answer
Answer: A. Natural attractions are features of the landscape such as lakes, mountains, beaches and forests. The mosque, tombs and monastery were built by people, so they are cultural or historical attractions.
55, each with the answer and a short explanation, across 4 topics: Common terms, Manufacturing and processing industries, Formal and informal sectors; promoting industry, Tourism. Every chapter test draws ten of them, so you can take it many times.
Is the O Level Geography of Pakistan chapter 5 test free?
Yes. The test, the answers and the explanations are free and need no sign-up. Sign in only if you want your scores kept across devices.
How is the chapter test marked?
The moment you press Finish: your score, the right answer and an explanation for every question, and the ones you got wrong saved in My mistakes to retry.
