Entrepreneurship Management Questions and Answers Part-5

1. The policy which stressed the role of cottage and small-scale industries for balanced industrial development of the country is ______________.
a) IPR 1940.
b) IPR 1948.
c) IPR 1956.
d) IPR 1977.

Answer: b

2. Under-capitalization arises due to ______________.
a) excess of assets over the liabilities.
b) excess of liabilities over the assets.
c) actual capitalization is higher than the proper capitalization.
d) actual capitalization is lower than the proper capitalization.

Answer: d

3. A public corporation means ______________
a) public company.
b) government company.
c) statutory corporation.
d) department of union government

Answer: c

4. A project, which may not add to the existing profits, should be financed by ______________
a) debentures.
b) preference share capital.
c) equity capital.
d) public deposits.

Answer: a

5. The charter of a company is its ______________.
a) prospectus.
b) statement lieu of prospectus.
c) memorandum of association.
d) articles of association.

Answer: a

6. As a new company grows, the entrepreneur will need to ______________.
a) be responsive to changes in the market.
b) ensure financial controls are maintained.
c) build a management team.
d) all the above.

Answer: d

7. The minimum amount of __________ irrespective of such private participation,could be specified at a minimum 17.5 per cent of project costs by lending institutions.
a) bank loans
b) promotors contribution
c) fixed capital
d) working capital

Answer: b

8. The content of the final report typically includes the following topics ______________.
a) Executive summary
b) review and analysis
c) recommendations
d) If all the above are correct.

Answer: d

9. _____________ describes the direction, the enterprise is going in, what its goals are, where it wants to be,and how it is going to get there.
a) project report
b) technical anlaysis
c) market analysis
d) financial analysis

Answer: a

10. Someone who improves an existing business can be called ______________
a) A changeling.
b) A professional.
c) A co-worker.
d) An intrapreneur.

Answer: d