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11th Grade > Business Studies

SMALL BUSINESS AND ENTREPRENEURSHIP MCQs

Total Questions : 30 | Page 2 of 3 pages
Question 11.


Which of the following is a part of villages and small business sector?


  1.     Sericulture
  2.     Handloom
  3.     Handicraft
  4.     All of the above
 Discuss Question
Answer: Option D. -> All of the above
:
D

All the given options come under villages and small business sector.


Question 12.


As a part of incentives provided by the Government to the small businesses, power is supplied at a concessional rate of ___ %.


  1.     25%
  2.     50%
  3.     100%
  4.     10%
 Discuss Question
Answer: Option B. -> 50%
:
B

As a part of incentives provided by the Government to the small businesses, power is supplied at a concessional rate of 50%. In some states, no charges are made for the initial years.


Question 13.


Name the institute which provides an integrated administrative framework for small-scale industries at district level.


  1.     DIC
  2.     NCEUS
  3.     NSIC
  4.     NABARD
 Discuss Question
Answer: Option A. -> DIC
:
A

District Industries Center (DIC) is the institute which provides an integrated administrative framework for small-scale industries at district level.


Question 14.


Which type of industry uses family labour and local available talent while running the business?


  1.     Ancillary industry
  2.     Cottage industry
  3.     Tiny enterprise
  4.     Women enterprise
 Discuss Question
Answer: Option B. -> Cottage industry
:
B

Cottage industry uses family labour and local available talent while running the business.


Question 15.


Kishan was a sugarcane juice seller in his village. He realizes that, suddenly, his customers were complaining about the taste and some of them even fell sick after having it. Identify the issue Kishan is facing here.


  1.     Low quality sugarcane
  2.     Labour
  3.     Marketing
  4.     Pricing
 Discuss Question
Answer: Option A. -> Low quality sugarcane
:
A

The issue Kishan faces here is the low quality raw materials i.e., the low quality sugarcanes he procures for his business. This mostly is due to the lack of finance to obtain the good quality sugarcanes. This lead to customer complaints and some of them falling ill as well.


Question 16.


Highlight the benefits of a saree shop running successfully as a small business and earning more customers. 


  1.     Huge variety of sarees
  2.     Customisation
  3.     Discounts and offers
  4.     Pay back later option
 Discuss Question
Answer: Option A. -> Huge variety of sarees
:
A

A small business selling sarees is running successfully earning more customers because of its ability to cater to an individual's preferences with a huge variety of sarees. Pricing and discounts are not the reason since small businesses mostly cannot afford to give discounts and offers.


Question 17.


Tax holidays make a significant incentive provided by the Government to the small businesses.


  1.     True
  2.     False
  3.     Women empowerment
  4.     Financial inclusion
 Discuss Question
Answer: Option A. -> True
:
A

Tax is a major contributor of the cost structure of the small businesses, hence tax holidays are significant incentives for these businesses.


Question 18.


Cottage industries are defined by the capital investment criteria. 


  1.     True
  2.     False
  3.     Women empowerment
  4.     Financial inclusion
 Discuss Question
Answer: Option B. -> False
:
B

Cottage industries are not defined by the capital investment criteria. They are characterized by various features such as using simple equipment, produce simple products, and organized by individuals.


Question 19.


Which of the problems does small businesses solve indirectly?


  1.     Unemployment
  2.     Poverty alleviation
  3.     Women empowerment
  4.     Financial inclusion
 Discuss Question
Answer: Option B. -> Poverty alleviation
:
B and C

By providing employment, small businesses indirectly aid in poverty alleviation and women empowerment.


Question 20.


___ industries are also known as rural industries or traditional industries.


 Discuss Question
Answer: Option B. -> Poverty alleviation
:

Cottage industries are also known as rural industries or traditional industries.


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