Entrepreneurship Development Objectives Set 2

  1. An individual who starts, creates and manages a new business can be called _____________.
  • A leader
  • A manager
  • A professional
  • An entrepreneur

ANSWER: D

  1. Trademarks relate to _______.
  • Practice and knowledge acquired through experience
  • The protection of proprietary information of commercial value
  • The right to reproduce ones own original work
  • Brand identity

ANSWER: D

  1. Which could provide an individual with the motivation to start a new business venture?
  • The financial rewards.
  • A desire to be independent.
  • Risk taking
  • All the above.

ANSWER: D

  1. Which of the following factors should not be included in PESTLE analysis?
  • Government re-cycling policy.
  • Proposed reduction in interest rates.
  • Competitor activity.
  • Demographic changes.

ANSWER: C

  1. Which industrial sector promotes small-scale businesses and Entrepreneurship, and has lower barriers to market entry?
  • Service.
  • Manufacturing.
  • Distribution.
  • Agriculture.

ANSWER: A

  1. Why are small businesses important to a country’s economy?
  • They give an outlet for entrepreneurs.
  • They can provide specialist support to larger companies.
  • They can be innovators of new products.
  • All the above.

ANSWER: D

  1. A business arrangement where one party allows another party to use a business name and sell its products or services is known as__________.
  • A cooperative.
  • A franchise.
  • An owner-manager business.
  • A limited company.

ANSWER: B

  1. Which of the following is the reason for business failure __________.
  • Lack of market research.
  • Poor financial control.
  • Poor management.
  • All the above.

ANSWER: D

  1. The use of informal networks by entrepreneurs to gather information is known as _______.
  • Secondary research.
  • Entrepreneurial networking.
  • Informal parameters.
  • Marketing

ANSWER: B

  1. Good sources of information for an entrepreneur about competitors can be obtained from_________.
  • Websites.
  • Product information leaflets.
  • Company reports and published accounts.
  • All the above.

ANSWER: D

  1. A new venture’s business plan is important because ______.
  • It helps to persuade others to commit funding to the venture.
  • Can help demonstrate the viability of the venture.
  • Provides a guide for business activities by defining objectives.
  • All the above.

ANSWER: D

  1. Primary data is________.
  • the most important data.
  • the data that is collected first.
  • new data specifically collected for a project.
  • data that is collected second.

ANSWER: C

  1. Innovation can best be defined as_______.
  • the generation of new ideas.
  • the evolution of new ideas.
  • the opposite of creativity.
  • the successful exploitation of new ideas.

ANSWER: D

  1. Which of these statements best describes the context for entrepreneurship?
  • Entrepreneurship takes place in small businesses.
  • Entrepreneurship takes place in large businesses.
  • Entrepreneurship takes place in a wide variety of contexts.
  • Entrepreneurship does not take place in social enterprises.

ANSWER: C

  1. Entrepreneurs are motivated by _________.
  • money.
  • personal values.
  • pull influences.
  • All the above.

ANSWER: D

  1. Which of the following are described as one of the Big Five personality traits?
  • tolerance of others.
  • need for achievement.
  • propensity to leadership.
  • locus of control.

ANSWER: B

  1. Which of the following is least likely to influence the timing of new business births?
  • Government policies.
  • Profitability.
  • Consumer expenditure.
  • Weather conditions.

ANSWER: D

  1. Which of the following statements is false?
  • Market segmentation is a useful process for small businesses to undertake.
  • Selling is essentially a matching process.
  • A benefit is the value of a product feature to a customer.
  • It is a good idea for small businesses to compete solely on price.

ANSWER: D

  1. The purpose of all good small business strategy is__________.
  • to increase turnover.
  • to increase profitability.
  • to achieve competitive advantage.
  • to achieve stated objectives.

ANSWER: D

  1. Which of the following is a recognized disadvantage of setting up as a start-up as compared with other routes to market entry?
  • less satisfaction of the owners.
  • less help from various agencies.
  • there are more funds required.
  • there is a high failure rate.

ANSWER: D

  1. Someone legally appointed to resolve the financial difficulties of an insolvent firm is called____________.
  • an administrator.
  • a predator.
  • an auditor.
  • a turnaround consultant.

ANSWER: A

  1. Goods or services reach the market place through ________.
  • marketing channels.
  • multilevel pyramids.
  • monopolies.
  • multiplication.

ANSWER: A

  1. To provide financial assistance to entrepreneurs the government has set up a number of___________.
  • financial advisors.
  • financial intermediaries.
  • Industrial estates.
  • financial institutions.

ANSWER: D

  1. State Industrial corporations engage in the development of__________.
  • industrial estates.
  • institutional estates.
  • individual investors.
  • agricultural entrepreneurs.

ANSWER: A

  1. ________ is the first development bank of the country.
  • ICICI.
  • IDBI.
  • SFC.
  • IFCI.

ANSWER: D

  1. IFCI stands for_____________.
  • Industrial finance corporation of India.
  • Institutional finance corporation of India.
  • Industrial funding corporation of India.
  • Indian finance corporation and institution.

ANSWER: A

  1. IFCI has been converted into a________.
  • joint stock company.
  • co-operative society.
  • partnership firm.
  • sole proprietorship.

ANSWER: A

  1. SIDBI was set up as a subsidiary of_________.
  • IDBI.
  • IFCI.
  • ICICI.
  • SFC.

ANSWER: A

  1. Which of the following is a function of SIDBI?
  • Extension of seed capital.
  • Discounting of bills.
  • Providing factoring services.
  • All of the above.

ANSWER: D

  1. SFC is prohibited from granting financial assistance to any company whose aggregate paid up capital exceed__________.
  • 1 crore.
  • 1.5 crores.
  • 2 crores.
  • 2.5 crores.

ANSWER: A

  1. SIPCOT’s financial assistance is in the form of __________.
  • term loan.
  • seed capital scheme.
  • underwriting the capital issues.
  • All of the above.

ANSWER: D

  1. The business development department of SIPCOT guides entrepreneurs in ______.
  • applying for licences.
  • approval on collaboration.
  • allocation of scarce raw materials.
  • All the above.

ANSWER: D

  1. TIIC is sponsored by the__________.
  • Government of Karnataka.
  • Government of Andhra Pradesh.
  • Government of Kerala.
  • Government of Tamil Nadu.

ANSWER: D

  1. In backward areas, term loans for expansion or setting up a new unit are available at __________ .
  • concessional terms.
  • differential terms.
  • standard terms.
  • specific terms.

ANSWER: A

  1. A commercial banker would prefer a ____________ debt-equity ratio over the years as it indicates financial strength of a unit.
  • Declining.
  • Increasing.
  • Stable.
  • Fluctuating.

ANSWER: A

  1. EDPs course contents contains ___________.
  • General introduction to entrepreneurs.
  • Motivation training.
  • Managerial skills.
  • All the above.

ANSWER: D

  1. Entrepreneurial Guidance Bureau(EGB) was set up by____________.
  • SISI.
  • SIPCOT.
  • IIC.
  • SIDCO.

ANSWER: C

  1. _____________ can be defined as a specifically evolved work plan densed to achieve a specific objective within a specific period of time
  • Idea generation.
  • Opportunity Scanning.
  • Project.
  • Strategy.

ANSWER: C

  1. Large investment is made in fixed assets, the project will be termed as __________.
  • Capital Intensive.
  • Labour Intensive.
  • Product Intensive.
  • Market Intensive.

ANSWER: A

  1. PERT stands for __________.
  • Programme Evaluation and Research Techniques.
  • Project Evaluation and Review Techniques.
  • Programme Evaluation and Review Techniques.
  • Project Evaluation and Research Techniques.

ANSWER: C

  1. _____________ is used to accomplish the project economically in the minimum available time with limited resources
  • Project Scheduling.
  • Network Analysis.
  • Budget Analysis.
  • Critical Planning.

ANSWER: A

  1. ______________ is a form of financing especially for funding high technology, high risk and perceived high reward projects
  • Fixed capital.
  • Current capital.
  • Seed capital.
  • Venture capital.

ANSWER: D

  1. In _________, machines and equipments are arranged in the order or sequence in which they are to be used for manufacturing the product
  • Factory Layout.
  • Product Layout.
  • Process Layout.
  • Combined Layout.

ANSWER: B

  1. The term ___________ denotes bonus or financial aid which is given by a government to an industry to help it compete with other units
  • Incentive.
  • Subsidy.
  • Bounty.
  • Concession.

ANSWER: C

  1. he granting of cash subs idy on the capital investment is called __________.
  • Concessional finance.
  • Quantum of Subsidy.
  • Interest Subsidy.
  • Central Investment Subsidy.

ANSWER: D

  1. New Small Scale industries are exempted from the payment of income tax under section 80J is called __________
  • Development Rebate.
  • Investment Allowance.
  • Rehabilitation Allowance.
  • Tax Holiday

ANSWER: B

  1. ____________ is primarily concerned with the identification of the project demand potential and the selection of the optimal technology.
  • Techno-economic analysis.
  • Feasibility analysis.
  • Input analysis.
  • Financial analysis.

ANSWER: A

  1. _____________ refers to some action which is a time consuming effort necessary to complete a specific event.
  • A Network.
  • An Activity.
  • An Event.
  • A Node.

ANSWER: B

  1. _____________ is a graphical representation of the various activity and event relating to a project.
  • Network analysis.
  • Scheduling technique.
  • Logical Model.
  • Network Diagram

ANSWER: D

  1. Activities which must be finished before a given event can occur are termed as _________.
  • Preceeding Activities.
  • Succeeding Activities
  • Concurrent Activities
  • Dummy Activities.

ANSWER: A

  1. Activities which can be accomplished simultaneously are termed as ___________.
  • Preceeding Activities.
  • Succeeding Activities.
  • Concurrent Activities
  • Dummy Activities.

ANSWER: C

  1. EST stands for ____________.
  • Earliest Start Time.
  • Event Start Time.
  • Effective Start Time.
  • Essential Start Time.

ANSWER: A

  1. Additional time which a non-critical activity can consume without increasing the project duration is called _____________.
  • Total Float.
  • Free Float
  • Independent Float.
  • Dependant Float

ANSWER: A

  1. ______________ is an event-oriented approach.
  • CPM.
  • GERT.
  • PERT.
  • WASP.

ANSWER: C

  1. _______________ is an activity-oriented approach.
  • CPM
  • PERT
  • GERT
  • WASP

ANSWER: A

  1. _______________ is the analysis of costs and benefits of a proposed project with the goal of assuming a rational allocation of limited funds.
  • Project formulation.
  • Project evaluation.
  • Project appraisal.
  • Project Design.

ANSWER: C

  1. ______________ may be defined as the excess of present value of project cash inflows over that of out flows.
  • Net present value technique.
  • Average rate of return.
  • Benefit-Cost ratio.
  • Internal rate of return

ANSWER: A

  1. Decisions taken by an entrepreneur on behalf of his enterprise are known as _________.
  • Organizational decisions.
  • Personal decisions.
  • Routine decisions.
  • Strategic decisions

ANSWER: A

  1. Decisions which are concerned with policy matters and exercise fundamental influence on the objectives of the organization are called as____________.
  • Organizational decisions.
  • Personal decisions.
  • Routine decisions.
  • Strategic decisions.

ANSWER: D

  1. __________________ is a problem -solving technique designed to produce numerous ideas in a short period
  • Synectics.
  • Delphi technique.
  • Brain storming.
  • Nominal group technique.

ANSWER: C

61.__________________ is the systematic development of a project idea for the eventual purpose of arriving at an investment decision.

  • Project identification.
  • Project formulation.
  • Project feasibility.
  • Project evaluation.

ANSWER: B

  1. The process of preparing an inventory of skills needed for effective implementation of the project is called as ____________.
  • Economic viability.
  • Financial feasibility.
  • Technical feasibility.
  • Managerial competence.

ANSWER: D

  1. _________________ implies the availability or otherwise of plant and machinery and technical know-how to produce the product.
  • Economic viability.
  • Financial feasibility.
  • Technical feasibility.
  • Managerial competence

ANSWER: C

  1. CPM stands for____________.
  • Continuous Path Method.
  • Clear Path Method.
  • Critical Path Method.
  • Critical Probabilistic Method.

ANSWER: C

  1. _______________ is granted to small scale units under section 33B of the Income tax act, 1961.
  • Depreciation Allowance.
  • Development Debate.
  • Investment Allowance.
  • Rehabilitation Allowance.

ANSWER: D

  1. DGTD stands for __________.
  • Directorate General of Technical Development.
  • District General of Technical Development.
  • District General of Taxation Deduction.
  • Directorate General of Taxation Deduction.

ANSWER: A

  1. A provisional SSI registration certificate is valid for a period of __________.
  • four Years.
  • three Years.
  • two Years.
  • one year.

ANSWER: D

  1. National Alliance of Young Entrepreneurs (NAYE) Sponsored an Entrepreneurial Development scheme with Bank of India in______________.
  • January 1920.
  • August 1920.
  • January 1972.
  • August 1972.

ANSWER: D

  1. Which of the following is not one of the 4 Ms?
  • motivation.
  • management.
  • materials.
  • money.

ANSWER: C

  1. Which of the list below does not form Intellectual Property?
  • Trade marks.
  • Patents.
  • Tangible assets.
  • Copyright.

ANSWER: C

  1. The ‘T’ in a PESTLE analysis refers to ___________.
  • Time.
  • Technology.
  • Training.
  • Talent.

ANSWER: B

  1. A business arrangement where one party allows another party to use a business Name and sell its products or services is known as__________.
  • A cooperative.
  • A franchise.
  • An owner-manager business.
  • A limited company.

ANSWER: B

  1. What is the role of a Business Angel?
  • To provide small business advice.
  • To provide capital for business development in exchange for a stake in the Business ownership.
  • To set up a franchise business.
  • To assist an entrepreneur to open a lifestyle business.

ANSWER: B

  1. A key aspect of the financial section of the business plan is _________.
  • A statement of management skills.
  • A realistic sales forecast.
  • Production capacity.
  • A description of competitors.

ANSWER: B

  1. Which one of the following describes unemployment?
  • The number of people who voluntarily choose not to work.
  • The number of people who are jobless and are actively seeking work.
  • The number of people who are not actively seeking work.
  • The number of people actively seeking work who find work.

ANSWER: B

  1. Idea of new product is tested in potential consumers to determine consumer acceptance at _________ stage.
  • Concept.
  • Product development.
  • Test marketing.
  • Commercialization.

ANSWER: C

  1. Which one of the following is not considered as one of the building blocks of the model entrepreneur?
  • technical skills.
  • management competencies.
  • business awareness.
  • personal attributes.

ANSWER: C

  1. Which of the following factors does the macro-environment not include?
  • political and regulatory factors.
  • customer needs in a given market.
  • social and demographic factors.
  • technological changes.

ANSWER: B

  1. Which of the following statements is false? Electronic commerce:
  • can allow new ventures to compete on more or less equal terms with large firms.
  • can lead to small businesses having reduced contact with its customers.
  • is rarely used in small businesses.
  • is used in many different industries and markets.

ANSWER: C

  1. Strategic entrepreneurial marketing has been summarised as the 4Is: identification of target markets, interactive marketing methods, informal intelligence gathering and what is the fourth?
  • independence.
  • instructiveness.
  • innovation.
  • internet.

ANSWER: C

  1. An entrepreneur who owns more than one business at a time is called ________.
  • an intrapreneur.
  • a corporate entrepreneur.
  • a portfolio entrepreneur.
  • None of the above.

ANSWER: C

  1. Industries producing complete articles for direct consumption & also processing industries is called as_______________.
  • Manufacturing industries.
  • Feeder Industries.
  • Service Industries.
  • Mining or Quarrying.

ANSWER: A

  1. _____________ is primarily concerned with the identification, qualification and evaluation of the project resources.
  • Techno-economic analysis.
  • Feasibility analysis.
  • Input analysis.
  • Financial analysis.

ANSWER: B

  1. LOB stands for____________.
  • Line of Business.
  • Line of Balance.
  • Loss of Business.
  • Loss of Balance

ANSWER: B

  1. Underestimation of project cost leads to ___________.
  • Time under run.
  • Cost under run
  • Time over run.
  • Cost over run

ANSWER: D

  1. New entrepreneurs entering the field of medium industry for the first time can have market studies with the subsidiary of ___________.
  • 75% of the cost or Rs.15000 whichever is less.
  • 75% of the cost or Rs.15000 whichever is high
  • 50% of the cost or Rs.15000 whichever is less.
  • 50% of the cost or Rs.15000 whichever is high

ANSWER: A

  1. Decisions which are concerned with policy matters and exercise fundamental influence on the objectives of the organization are called as____________.
  • Organizational decisions.
  • Personal decisions.
  • Routine decisions.
  • Strategic decisions.

ANSWER: D

  1. Section 80 HHB provides for a deduction of ____________________ of profits and gains earned by a resident Indian company.
  • 65%.
  • 60%.
  • 55%.
  • 50%

ANSWER: D

  1. Decisions which are non-repetitive and novel nature and required to solve unstructured problem is called as ___________.
  • Programmed decisions.
  • Non -programmed decisions.
  • Routine decisions.
  • Strategic decisions.

ANSWER: B

  1. The application for registration of a small scale unit should be submitted to the _______ .
  • General manager, DIC.
  • Director, DIC.
  • General manager. NSIC.
  • Director, NSIC.

ANSWER: A

  1. The type of diversification in which the company adds complementary to the existing product or service line is _________.
  • conglomerate diversification.
  • horizontal integration.
  • vertical integration.
  • concentric integration.

ANSWER: C

  1. Which of the following is not an aspect of appraisal of term loans by commercial banks?
  • Financial feasibility.
  • Technical feasibility.
  • Economic feasibility.
  • Societal feasibility.

ANSWER: D

  1. The type of diversification in which the company adds up same type of products at the same level of production is ____________.
  • conglomerate diversification.
  • horizontal integration.
  • vertical integration.
  • concentric integration.

ANSWER: B

  1. When a firm enters into some business which is related with its present business in terms of technology, marketing or both it is called as _____________.
  • conglomerate diversification.
  • horizontal integration.
  • vertical integration.
  • concentric integration.

ANSWER: D

  1. When a firm enters into business which is unrelated to its existing business both in terms of technology and marketing ______________.
  • conglomerate diversification.
  • horizontal integration.
  • vertical integration.
  • concentric integration

ANSWER: A

  1. District Industries Centres are located ____________.
  • in each district.
  • in each state.
  • only in selected districts.
  • only in selected states.

ANSWER: A

  1. The purpose of soft loan scheme is to encourage units to undertake ___________.
  • modernization of plant and machinery.
  • replacement of plant and machinery.
  • renovation of plant and machinery.
  • all the above

ANSWER: D

  1. Seed capital assistance ___________.
  • a long-term assistance.
  • initial assistance
  • a help for the purchase of seeds.
  • a short-term assistance.

ANSWER: B

  1. EXIM bank is a __________.
  • State-level institution.
  • Regional -level institution.
  • All India institution.
  • International institution.

ANSWER: C

  1. DIC is headed by General Manager in the rank of ___________.
  • Joint Director of industries.
  • Assistant Director of industries.
  • Non-departmental officer.
  • Departmental officer.

ANSWER: A

  1. Institutional agencies grant financial assistance to small scale industries for _________.
  • participation in equity capital only.
  • acquisition of fixed assets.
  • working capital assistance.
  • all of the above.

ANSWER: D

  1. Under section 80J of the income tax act, 1961, small-scale industries are exempted from the payment of income tax on their profits at ___________.
  • 6% p.a.
  • 6% p.m.
  • 5% p.a.
  • 5% p.a.

ANSWER: A

  1. The policy which stressed the role of cottage and small-scale industries for balanced industrial development of the country is ___________.
  • IPR 1940.
  • IPR 1948.
  • IPR 1956.
  • IPR 1977.

ANSWER: B

  1. The policy which emphasized the need of promoting small-scale industries through integrated industrial development is_____________.
  • IPR 1948.
  • IPR 1956.
  • IPR 1977.
  • IPR 1980.

ANSWER: C

  1. The small scale unit wishing to export has to obtain exporters code number from _________.
  • The Reserve Bank of India.
  • The Central Bank of India.
  • Any Regional Bank.
  • Any International Bank.

ANSWER: A

  1. The expenses incurred on the setting up of the enterprise are called as _________.
  • Cost of financing.
  • Cost of promotion..
  • Cost of fixed assets.
  • Cost of current assets.

ANSWER: B

  1. Over – capitalization arises due to___________.
  • excess of assets over the liabilities.
  • excess of liabilities over the assets.
  • actual earnings are lower than the expected earnings.
  • actual earnings are higher than the expected earnings.

ANSWER: C

  1. Under-capitalization arises due to __________.
  • excess of assets over the liabilities.
  • excess of liabilities over the assets.
  • actual capitalization is higher than the proper capitalization.
  • actual capitalization is lower than the proper capitalization.

ANSWER: D

  1. Which of the following leads to over-capitalization?
  • acquiring fixed assets on excessive amounts.
  • under-estimation of initial rate of earnings.
  • using lower-rate of capitalization.
  • under estimation of required funds.

ANSWER: A

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

ANSWER: D

  1. Business means ________.
  • Commerce.
  • industry and commerce.
  • trade and commerce.
  • selling and buying of goods.

ANSWER: B

  1. A valid definition of a business purpose is to ______.
  • create a customer.
  • maximize profits.
  • serve the society.
  • increase the wealth of the firm.

ANSWER: B

  1. Reserve bank of India is a/an _______.
  • statutory corporation.
  • company limited by guarantee.
  • company limited by shares.
  • unlimited company.

ANSWER: A

  1. A public corporation means _____.
  • public company.
  • government company.
  • statutory corporation.
  • department of union government

ANSWER: C

  1. Promoter is a person who ________.
  • takes part in the incorporation of a company .
  • is a director.
  • is a relative of the managing director.
  • works to publicity to the company.

ANSWER: A

  1. The term Capitalization is used in relation to ______.
  • sole-proprietorship.
  • Partnership.
  • joint stock companies.
  • co-operative societies

ANSWER: C

  1. Which of the following sources is not use for medium term financing?
  • Issue of equity shares.
  • Issue of debentures.
  • Term loans from banks.
  • Sale of current asset.

ANSWER: A

  1. Which of the following securities proves a burden on finances of the company, when company is not earning profits?
  • Equity shares.
  • Preference shares.
  • Redeemable preference shares.
  • Debentures.

ANSWER: D

  1. Investment in which of the following is most risky?
  • Equity shares.
  • Preference shares.
  • Debentures.
  • Land.

ANSWER: C

  1. A project, which may not add to the existing profits, should be financed by _________
  • debentures.
  • preference share capital.
  • equity capital.
  • public deposits.

ANSWER: A

  1. Business risks can be ______.
  • avoided.
  • reduced.
  • ignored.
  • erased.

ANSWER: B

  1. O & M refers to ____________
  • overall efficiency of business.
  • efficiency of office and administrative work.
  • office work measurement.
  • office and management study.

ANSWER: D

  1. The oldest form of business organization is ______.
  • Partnership.
  • sole proprietorship.
  • joint stock company.
  • co-operative undertaking.

ANSWER: B

  1. Memorandum of association of a firm contains _______.
  • rules regarding the internal management of the company.
  • rules regarding the constitution and activities of the company.
  • rules regarding the external management.
  • rules regarding the constitution.

ANSWER: B

  1. A Company is called an artificial person because ____.
  • it does not have the shape of a natural person.
  • it cannot be used in the court of law.
  • it is invisible and intangible.
  • it exists only in contemplation of law.Answer:

ANSWER: C

  1. The charter of a company is its ______.
  • prospectus.
  • statement lieu of prospectus.
  • memorandum of association.
  • articles of association.

ANSWER: A

  1. A person owning and running a small firm, is known as________.
  • A manager-owner.
  • An owner-manager.
  • A professional adapter.
  • An enterprise worker.

ANSWER: B

  1. Which of the following is a characteristic typical of _________?Most entrepreneurs
  • Choose high risk ventures.
  • Choose low risk ventures.
  • Choose moderate (or calculated) risk ventures.
  • Choose no risk ventures.

ANSWER: C

  1. The UK government has implemented a number of policies to encourage Entrepreneurship in schools. One such initiative is _________.
  • Young Enterprise.
  • Youth venture.
  • Young Business.
  • Young Initiative.

ANSWER: A

  1. One of the disadvantages of a franchise business for a franchisee is ________.
  • Lack of independence.
  • Franchise businesses typically have a high failure rate.
  • Lack of brand identity.
  • Training is not normally provided by the franchisor.

ANSWER: A

  1. The Markets and Competitors section of a business plan should contain ____________.
  • A statement of the target market.
  • The size of each market segment.
  • The key characteristics of buyers in each business segment.
  • All the above.

ANSWER: D

  1. As a new company grows, the entrepreneur will need to _________.
  • be responsive to changes in the market.
  • ensure financial controls are maintained.
  • build a management team.
  • all the above.

ANSWER: D

  1. An entrepreneur into the hosiery business found out the reason his hosiery was not selling was due to its color. What could be the best source of this information?
  • Supplier.
  • Retailer.
  • Competition.
  • Government bureau.

ANSWER: B

  1. Entrepreneurship can best be described as _________.
  • a process that requires setting up a business.
  • taking a significant risk in a business context.
  • having a strong vision.
  • a process involving innovation, new products or services, and value creation.

ANSWER: D

  1. ____________, which is included in the project cost, is estimated on the basis of the year when the enterprise breaks even.
  • working capital
  • cost of capital
  • cost of production
  • cost of equity

ANSWER: A

  1. 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.
  • bank loans
  • promotors contribution
  • fixed capital
  • working capital

ANSWER: B

  1. __________ set up for the purpose of financing, facilitating, and promoting foreign trade of India.
  • Repco bank
  • SBI
  • EXIM bank
  • HDFC

ANSWER: C

  1. Which of the following is not considered to be a characteristic of a project?
  • An established objective
  • Complex tasks
  • A clear beginning and end
  • Only for internal use

ANSWER: D

  1. Project management is ideally suited for a business environment requiring all of the following except _________.
  • Flexibility
  • Innovation
  • speed
  • Repetability

ANSWER: D

  1. Integration of project management with the organization takes place with the _______________.
  • master budjet
  • strategic plan
  • Process of managing actual projects
  • both b and c

ANSWER: D

  1. The content of the final report typically includes the following topics __________.
  • Executive summary
  • review and analysis
  • recommendations
  • If all the above are correct.

ANSWER: D

  1. Project mission and objectives, procedures and systems used, and organization resources used typically appear in the _____ section of the final project report.
  • Analysis
  • Recommendation
  • lessons learned
  • financial feasibility

ANSWER: A

  1. what are the components of then project report ________.
  • requirement of funds
  • location
  • manpower
  • all the above

ANSWER: D

  1. market potential of the project report includes ________.
  • demand and supply conditions
  • market strategy
  • after sales service
  • all the above

ANSWER: D

  1. Every entrepreneur should draw an _______ for his project to ensure the timely completion of all activities involved in setting up an enterprise.
  • cost structure
  • implementation plan
  • market structure
  • production structure

ANSWER: B

  1. ______________ 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.
  • project report
  • technical anlaysis
  • market analysis
  • financial analysis

ANSWER: A

  1. Today, many companies are using managerial techniques that are designed to encourage _________.
  • increasing profits
  • legal compliances
  • Ethical behaviour
  • shareholders value

ANSWER: C

  1. Entrepreneurial development is the key to achieve all-round __________ through
  • economic development
  • increase in profits
  • shareholders value
  • business development

ANSWER: A

  1. Swot Analysis is a _____________ tool
  • Conceptual
  • Modern
  • Scientific
  • Traditional

ANSWER: A

  1. NABARD is a Bank for _____________ development
  • Urban
  • Agricultural and Rural
  • Scientific
  • Agriculture and research

ANSWER: B

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