Small Business Test

Result

Small Business Test - 15

Score
-
out of -
Rank
-
out of -

TIME Taken - -

SHARING IS CARING

If our Website helped you a little, then kindly spread our voice using Social Networks. Spread our word to your readers, friends, teachers, students & all those close ones who deserve to know what you know now.

Weekly Quiz Competition

Question 1
1 / -0

Which of the following is a major problem for small ancillary units?

A
Delayed payments

B
Uncertainty of getting orders from the parent units

C
Frequent changes in production processes

D
All of the above

Solution

Ancillary means subordinate to something. Ancillary industries manufacture components that are used by the big industries so that the final manufacturing of a product can be done. Automobiles, repair shops, etc. are examples of small ancillary units. Various problems are faced by these small ancillary units like delay in getting payments and order from their parent company, lack of capital investment, frequent and rapid change in the process of production, variation in demand and supply, etc.
Question 2
1 / -0

Small industries whose thrust is on export promotion and modernization, investment ceiling is at ____________.

A
Rs. 5 cr on working capital

B
Rs 5 cr in plant and machinery

C
Rs 5 cr total investment

D
Rs 1 cr total investment
Solution
- A small scale industrial undertaking is defined as one in which the investment in fixed assets of plant and machinery does not exceed rupees one crore. However, to cater to the needs of small industries whose thrust is on export promotion and modernisation, investment ceiling in plant and machinery is rupees five crores.
Question 3
1 / -0

___________ are those whose investment in plant and machinery does not exceed rupees one lakh.

A
Tiny industrial units

B
Small scale industry

C
Micro enterprises

D
None of the above
Solution
- A tiny unit is defined as an industrial or business enterprise whose investment in plant and machinery is not more than Rs. 25 lakhs.
- Within the tiny and small business sector, micro enterprises are those whose investment in plant and machinery does not exceed rupees one lakh
Question 4
1 / -0

The problems of _________include remote location with less developed infrastructural facilities, lack of managerial talent, poor quality,traditional technology and inadequate availability of finance.

A
Exporting small scale units

B
Traditional small scale units

C
Small ancillary units

D
None of the above
Solution
The problems of traditional small scale industries include remote location with less developed infrastructural facilities, lack of managerial talent, poor quality,traditional technology and inadequate availability of finance.
The following are the problems faced by Small Scale Industries:
Poor capacity utilization.
Incompetent management.
Inadequate Finance.
Raw material shortages
Lack of marketing support.
Problem of working capital.
Problems in Export.
Lack of technology up-gradation.
Question 5
1 / -0

Which of the following is true in relation to role of small business in rural areas?

A
Cottage and rural industries play an important role in providing employment opportunities in the rural areas

B
Development of rural and village industries can also prevent migration of rural population to urban areas in search of employment

C
These industries contribute amply to other socio-economic aspects, such as reduction in income inequalities, dispersed development of industries and linkage with other sectors of the economy

D
All of the above

Solution

The following are the major roles that small business plays in rural areas:-
Employment:- Small-scale industries are labor-intensive industries so they provide additional labour force that helps in generating employment in the rural areas. Small Scale industries operate with the aim of providing employment to those people who in rural areas who are deprived of good opportunities.
Prevents Migration:- Usually, people of rural areas migrate from rural to urban areas in search of better job opportunities. But this can be stooped with the Establishment of small-scale industries, if employment opportunities are provided to rural area people they will not shift from rural to urban areas.

Improves economic conditions:- With the establishment of small-scale industries the economic and financial conditions of the economy can be improved especially for the people who are living in rural areas. these industries play a major role in the reduction in income inequalities and help in the development of industries and as well as the other sectors of the economy.
Question 6
1 / -0

A small scale industrial undertaking is defined as one in which ______________________.

A
the investment in fixed assets of plant and machinery does not exceed rupees one crore

B
the investment in working capital does not exceed rupees one crore

C
the investment in fixed assets of plant and machinery does not exceed rupees ten crores

D
total investment in fixed assets and working capital does not exceed rupees two crores
Solution
- The definition used by the Government of India to describe small industries is based on the investment in plant and machinery. This measure seeks to keep in view the socio-economic environment in India where capital is scarce and labor is abundant.
- A small scale industrial undertaking is defined as one in which the investment in fixed assets of plant and machinery does not exceed rupees one crore. However, to cater to the needs of small industries whose thrust is on export promotion and modernization, investment ceiling in plant and machinery is rupees five crores.
Question 7
1 / -0

Which of the following is not true ?

A
Small industries are the second largest employers of human resources, after agriculture.

B
Small industries in India account for 95 per cent of the industrial units in the country.

C
They contribute almost 40 per cent of the gross industrial value added and 45 per cent of the total exports (direct and indirect exports) from India.

D
They generate lesser number of employment opportunities per unit of capital invested compared to large industries.

Solution

Potential for large employment
Small Scale Industries have potential to create employment opportunities on a massive scale. They are labor intensive in character. They use more labor than other factors of production. They can be set up in short time and can provide employment opportunities to more number of people. This is important for a labor abundant country like India.
Question 8
1 / -0

Which of the following is not a type of small business?

A
Micro business enterprises

B
Tiny industrial units

C
Village industries

D
Mini Industries

Solution

Mini Industry
It is not a type of small business.
Question 9
1 / -0

Small industries in India account for ______ of the industrial units in the country.

A
80%

B
75%

C
95%

D
90%

Solution

Small industries in India account for 95% of the industrial units in the country.
They contribute almost 40% of the gross industrial value added and 45% of the total exports from India.
Question 10
1 / -0

Which of the following is true in relation to role of small business in India?

A
Small industries in India account for 95 per cent of the industrial units in the country.

B
They contribute almost 40 per cent of the gross industrial value added.

C
They contribute 45 per cent of the total exports (direct and indirect exports) from India.

D
All of the above
Solution
- A Small Scale Industrial (SSI) undertaking is defined as one in which the investment in fixed assets of plant and machinery does not exceed rupees one crore.
- According to the SIDBI Report on Small Scale Industries, 1999, the SSI sector as an important segment of Indian economy, accounts for 95 per cent of the industrial units; 40 per cent of output in the manufacturing sector; employment to over 17 million persons; 35 per cent of total exports.

User

Question Analysis

Correct -
Wrong -
Skipped -

My Perfomance

Score
-
out of -
Rank
-
out of -

Re-Attempt Weekly Quiz Competition

Small Business Test - 15

Result

Small Business Test - 15

Score

-

Rank

-

SHARING IS CARING

Question 1

Delayed payments

Uncertainty of getting orders from the parent units

Frequent changes in production processes

All of the above

Solution

Question 2

Rs. 5 cr on working capital

Rs 5 cr in plant and machinery

Rs 5 cr total investment

Rs 1 cr total investment

Solution

Question 3

Tiny industrial units

Small scale industry

Micro enterprises

None of the above

Solution

Question 4

Exporting small scale units

Traditional small scale units

Small ancillary units

None of the above

Solution

Question 5

Cottage and rural industries play an important role in providing employment opportunities in the rural areas

Development of rural and village industries can also prevent migration of rural population to urban areas in search of employment

These industries contribute amply to other socio-economic aspects, such as reduction in income inequalities, dispersed development of industries and linkage with other sectors of the economy

All of the above

Solution

Question 6

the investment in fixed assets of plant and machinery does not exceed rupees one crore

the investment in working capital does not exceed rupees one crore

the investment in fixed assets of plant and machinery does not exceed rupees ten crores

total investment in fixed assets and working capital does not exceed rupees two crores

Solution

Question 7

Small industries are the second largest employers of human resources, after agriculture.

Small industries in India account for 95 per cent of the industrial units in the country.

They contribute almost 40 per cent of the gross industrial value added and 45 per cent of the total exports (direct and indirect exports) from India.

They generate lesser number of employment opportunities per unit of capital invested compared to large industries.

Solution

Question 8

Micro business enterprises

Tiny industrial units

Village industries

Mini Industries

Solution

Question 9

80%

75%

95%

90%

Solution

Question 10

Small industries in India account for 95 per cent of the industrial units in the country.

They contribute almost 40 per cent of the gross industrial value added.

They contribute 45 per cent of the total exports (direct and indirect exports) from India.

All of the above

Solution

User

Question Analysis

My Perfomance

Score

-

Rank

-

Results Announcement on: coming Monday

Stay Tuned: We’ll update you on your result via email or SMS.