Entrepreneurship Management Questions and Answers Part-8

1. Which of the following leads to under-capitalization?
a) raising of more money by issue of shares.
b) acquiring fixed assets on excessive amounts.
c) over-estimation of earnings for enterprise.
d) under-estimation of initial rate of earnings.

Answer: d

2. The term Capitalization is used in relation to ______________.
a) sole-proprietorship
b) Partnership.
c) joint stock companies.
d) co-operative societies

Answer: c

3. O & M refers to ______________
a) overall efficiency of business.
b) efficiency of office and administrative work.
c) office work measurement.
d) office and management study.

Answer: d

4. Which of the following is a characteristic typical of ______________? Most entrepreneurs
a) Choose high risk ventures.
b) Choose low risk ventures.
c) Choose moderate (or calculated) risk ventures
d) Choose no risk ventures.

Answer: c

5. Entrepreneurship can best be described as ______________.
a) a process that requires setting up a business.
b) taking a significant risk in a business context.
c) having a strong vision.
d) a process involving innovation, new products or services, and value creation.

Answer: d

6. Project management is ideally suited for a business environment requiring all of the following except ______________.
a) Flexibility
b) Innovation
c) speed
d) Repetability

Answer: d

7. what are the components of then project report ______________.
a) requirement of funds
b) location
c) manpower
d) all the above

Answer: d

8. Today, many companies are using managerial techniques that are designed to encourage ______________.
a) Ehical behaviour
b) legal compliances
c) increasing profits
d) shareholders value

Answer: a

9. Which could provide an individual with the motivation to start a new business venture?
a) The financial rewards.
b) A desire to be independent.
c) Risk taking
d) All the above.

Answer: d

10. Which of the following is the reason for business failure ______________.
a) Lack of market research.
b) Poor financial control.
c) Poor management.
d) All the above.

Answer: d