Unit-01 Entrepreneurship Development MCQs

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Entrepreneurship Development MCQs
*** Unit – 1 ***

Q1. Which of the following shows the process of creating something new:
(A). Business model
(B). Modeling
(C). Creative flexibility
(D). Innovation
Answer: (D)

Q2. The entrepreneur was distinguished from capital provider in:
(A). Middle ages
(B). 17th century
(C). 18th century
(D). 19th and 20th century
Answer: (C)

Q3. A corporate manager who starts a new initiative for their company which entails setting up a new distinct business unit and board of directors can be regarded as:
(A). Ecopreneur
(B). Technopreneur
(C). Intrapreneur
(D). Social Entrepreneur
Answer: (C)

Q4. Family business always interested to handover the change of his business to:
(A). Indian Administration Officers
(B). Professional Managers
(C). Next generation
(D). None of the above
Answer: (C)

Q5. EDP (Entrepreneurship Development Programmes) is required to help:
(A). Existing entrepreneurs
(B). First generation entrepreneurs
(C). Future generation entrepreneurs
(D). None of the above
Answer: (B)

Q6. A Micro Enterprise is an enterprise where investment in plant and machinery does not exceed (According to MSMED Act, 2006):
(A). Rs. 25 Lakh
(B). Rs. 20 Lakh
(C). Rs. 15 Lakh
(D). Rs. 30 Lakh
Answer: (A)

Q7. Why should an entrepreneur do a feasibility study for starting a new venture:
(A). To identify possible sources of funds
(B). To see if there are possible barriers to success
(C). To estimate the expected sales
(D). To explore potential customers
Answer: (B)

Q8. Which one of the following is the next stage to the Concept Stage of Product Planning and Development Process:
(A). Idea Stage
(B). Product Planning Stage
(C). Product Development Stage
(D). Test Marketing Stage
Answer: (C)

Q9. What is the process by which individuals pursue opportunities without regard to resources they currently control:
(A). Startup management
(B). Entrepreneurship
(C). Financial analysis
(D). Feasibility planning
Answer: (B)

Q10. An individual who initiates, creates and manages a new business can be called _____________.
(A). A leader
(B). A manager
(C). A professional
(D). An entrepreneur
Answer: (D)

Q11. 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)

Q12. Why are small businesses important to a country’s economy?
(A). They give an outlet for entrepreneurs.
(B). They can provide specialist support to larger companies.
(C). They can be innovators of new products.
(D). All the above.
Answer: (D)

Q13. ________ is the first development bank of the country.
(A). ICICI.
(B). IDBI.
(C). SFC.
(D). IFCI.
Answer: (D)

Q14. IFCI stands for_____________.
(A). Industrial finance corporation of India.
(B). Institutional finance corporation of India.
(C). Industrial funding corporation of India.
(D). Indian finance corporation and institution.
Answer: (A)

Q15. Large investment is made in fixed assets, the project will be termed as __________.
(A). Capital Intensive.
(B). Labour Intensive.
(C). Product Intensive.
(D). Market Intensive.
Answer: (A)

Q16. New Small Scale industries are exempted from the payment of income tax under section 80J is called __________.
(A). Development Rebate
(B). Investment Allowance
(C). Rehabilitation Allowance
(D). Tax Holiday
Answer: (B)

Q17. An individual who initiates, creates and manages a new business can be called _____________.
(A). A leader
(B). A manager
(C). A professional
(D). An entrepreneur
Answer: (D)

Q18. Why are small businesses important to a country’s economy?
(A). They give an outlet for entrepreneurs.
(B). They can provide specialist support to larger companies.
(C). They can be innovators of new products.
(D). All the above.
Answer: (D)

Q19.As a business grows, time management continues to be an issue, but the entrepreneur’s major concern usually becomes:
(A). Setting goals
(B). Finding, retaining, and motivating qualified employees
(C). Measuring performance.
(D). All of the above.
Answer: (B)

Q20. An entrepreneur who owns more than one business at a time is called ________.
(A). An intrapreneur
(B). A corporate entrepreneur.
(C). A portfolio entrepreneur.
(D). None of the above.
Answer: (C)

Q21. Idea of new product is tested in potential consumers to determine consumer acceptance at _________ stage.
(A). Concept.
(B). Product development.
(C). Test marketing.
(D). Commercialization.
Answer: (C)

Q22. Which one of the following describes unemployment?
(A). The number of people who voluntarily choose not to work.
(B). The number of people who are jobless and are actively seeking work.
(C). The number of people who are not actively seeking work.
(D). The number of people actively seeking work who find work.
Answer: (B)

Q23. Which one of the following is not considered as one of the building blocks of the model entrepreneur?
(A). Technical skills.
(B). Management competencies.
(C). Business awareness.
(D). Personal attributes.
Answer: (C)

Q24. The purpose of soft loan scheme is to encourage units to undertake ___________.
(A). Modernization of plant and machinery.
(B). Replacement of plant and machinery.
(C). Renovation of plant and machinery.
(D). All the above
Answer: (D)

Q25. Seed capital assistance is ___________.
(A). A long-term assistance.
(B). Initial assistance
(C). A help for the purchase of seeds.
(D). A short-term assistance.
Answer: (B)