Entrepreneurship Development

Sanjib Sharma | 8961676818
Entrepreneurship Development
Unit 1: Introduction to Entrepreneurship Development
MCQ of 1 Marks & 2 Marks Each (c) Innovation

1. Entrepreneurship is a (d) Development
(a) Science 9. ______is a dynamic activity which helps the
(b) Art entrepreneur to bring changes in the process of
(c) practice production, innovation in production, new usage
(d) None of the above of materials, creator of market etc
2. The word entrepreneur has a ________ origin. (a) Entrepreneurship
(a) English (b) Creativity
(b) Greek (c) Innovation
(c) French (d) Development
(d) Latin 10. The word entrepreneur is derived from
3. The word entrepreneurship is derived from the French word “Entreprendre” and the German
French word ______ word “Unternehmen”, both mean _________
(a) Entrepredre (a) To undertake
(b) Entreprendur (b) To Create
(c) Entrepreneurde (c) To innovate
(d) Entropre (d) To Develop
4. "Entrepreneur is someone who actually 11. _______Defines "entrepreneur is an
searches for change responds to it and exploits economic agent who unites all means of
those changes as an opportunity" this statement production-land of one, the labor of another and
is given by - the capital of yet another and thus produces a
(a) Peter Drucker product."
(b) H.N. Hansen (a) Jean-Baptiste (J.B)
(c) Koontz o'donnel (b) Peter Drucker
(d) Joseph Schumpeter (c) Schumpeter
5. In the words of J.B. Say, “An ________is one (d) Frank H. Knight:
who brings together the factors of production 12. _______Defines "An entrepreneur searches
and combines them into a product”. for change, responds to it and exploits
(a) Entrepreneur opportunities."
(b) Intrapreneur (a) Jean-Baptiste (J.B)
(c) Businessman (b) Peter Drucker
(d) Extrapreneur (c) Schumpeter
6. ________defines an entrepreneur as “ one (d) Frank H. Knight:
who innovates, raises money, assembles inputs 13. ______Defines Entrepreneurs are innovators
and sets the organization going with the ability to who use a process of shattering the status quo of
identify them and opportunities, which others the existing products and services, to set up new
are not able to fulfill such economic products.
opportunities”. (a) Jean-Baptiste (J.B)
(a) Peter Drucker (b) Peter Drucker
(b) H.N. Hansen (c) Schumpeter
(c) Koontz o'donnel (d) Frank H. Knight:
(d) Joseph Schumpeter 14. ________defines Entrepreneurship is about
7. “_________the process of creating value by taking risk
bringing together a unique package of resources (a) Jean-Baptiste (J.B)
to exploit an opportunity.” (b) Peter Drucker
(a) Entrepreneurship (c) Schumpeter
(b) Creativity (d) Frank H. Knight:
(c) Innovation 15. The entrepreneur is one who is willing to
(d) Development ____________ of a new venture if there is a
8. All activities undertaken by an entrepreneur to significant chance for profit. .
bring a business unit into existence are (a) Bear the loss
collectively known as ____________ (b) Bear the risk
(a) Entrepreneurship (c) Bear the contingencies
(b) Creativity (d) Bear the uncertainties
1
16. The concept of entrepreneurship was first keeps to it, crosses the bar and raises the bar to
established in the __________. ensure both survival and growth of business are
(a) 1600 called__________
(b) 1900 (a) Enabling determinants
(c) 1800 (b) Driving determinants
(d) 1700s (c) Propelling determinants
17. The Four Key Elements of Entrepreneurship (d) All of the above
are
(a) Innovation 25. Seed capital, Current capital, Location, Labour
(b) Risk taking and Marketing are factors of _____
(c) Vision & Organising skills (a) Enabling determinants
(d) All of the above (b) Driving determinants
18. Entrepreneur use ________to exploit (c) Propelling determinants
opportunities available in the market and (d) All of the above
overcome any threats. 26. Accessibility factors Social factors and
(a) Innovation Motivational factors are factors of __________
(b) Risk taking (a) Enabling determinants
(c) Vision (b) Driving determinants
(d) Organising skills (c) Propelling determinants
19. It is the energy that drives the business (d) All of the above
forward by using the foresight of the 27. Applied knowledge, Business management
entrepreneur. skills, Entrepreneurial approach, Personal
(a) Innovation attitude, Business related attitude, Support and
(b) Risk taking guidance are factors of __________
(c) Vision (a) Enabling determinants
(d) Organising skills (b) Driving determinants
20. It is what gives the business an outline for the (c) Propelling determinants
future – the tasks to complete, the risks to take, (d) All of the above
the culture to establish etc. 28. ______________ is the spark that drives the
(a) Innovation development of new products or services or ways
(b) Risk taking to do business.
(c) Vision (a) Creativity
(d) Organising skills (b) Innovation
21. The________ bears all the risks and enjoys all (c) Development
the rewards. (d) Entrepreneurship
(a) Entrepreneur 29. __________is the ability to develop new ideas
(b) Intrapreneur and to discover new ways of looking at problems
(c) Businessman and opportunities.
(d) Extrapreneur (a) Creativity
22. Those determinants that enable the (b) Innovation
entrepreneur with his business and would be (c) Development
specific to his nature of operations are (d) Entrepreneurship
called__________ 30. __________is the ability to come up with new
(a) Enabling determinants ideas and to identify new and different ways of
(b) Driving determinants looking at a problem and opportunities.
(c) Propelling determinants (a) Creativity
(d) All of the above (b) Innovation
23. Those determinants that drive the (c) Development
entrepreneur towards his goals providing him the (d) Entrepreneurship
needed 'fire' to achieve them and sustain his 31. _______is defined as the tendency to
business by setting a bar for himself are generate or recognize ideas, alternatives, or
called__________ possibilities that may be useful in solving
(a) Enabling determinants problems, communicating with others, and
(b) Driving determinants entertaining ourselves and others.
(c) Propelling determinants (a) Creativity
(d) All of the above (b) Innovation
24. Those determinants that propel the (c) Development
entrepreneur in his journey and ensure that he (d) Entrepreneurship
2
32. __________is a process of intentional change (a) Invention
made to create value by meeting opportunity and (b) Extension
seeking advantage. (c) Duplication
(a) Creativity (d) Synthesis
(b) Innovation 40. __________ is thinking new things, and
(c) Development ___________is doing new things. (a) Creativity,
(d) Entrepreneurship Innovation
33. ___________is the ability to apply creative (b) Innovation, Creativity
solutions to those problems and opportunities in (c) Development, Innovation
order to enhance people‟s lives or to enrich (d) Creativity, Development
society. 41. Entrepreneurship involves the following
(a) Creativity types of risks.
(b) Innovation (a) Financial risk
(c) Development (b) Personal risk
(d) Entrepreneurship (c) Carrier risk & Psychological risk
34. _________is the implementation of new (d) All of the above
ideas at the individual, group or organizational 42. Barriers to entrepreneurship are _________
level. (a) Environmental barriers
(a) Creativity (b) Personal barriers
(b) Innovation (c) Social barriers
(c) Development (d) All of the above
(d) Entrepreneurship 43. Unwillingness to Invest Money, Lack of
35. __________is the result of a disciplined, Confidence, Lack of Motivation, Lack of Patience,
systematic process of applying creativity and Inability to Dream are examples of __________of
innovation to needs and opportunities in the entrepreneurship
marketplace. (a) Environmental barriers
(a) Creativity (b) Personal barriers
(b) Innovation (c) Social barriers
(c) Development (d) All of the above
(d) Entrepreneurship 44. Non-Availability of Raw Material, Lack of
36. ________is described as the creation of a new Skilled Labour, Lack of Good Machinery, Lack of
product, service or process. Something that has Infrastructure:, Lack of Fund are examples of
not been tried before. __________of entrepreneurship
(a) Invention (a) Environmental barriers
(b) Extension (b) Personal barriers
(c) Duplication (c) Social barriers
(d) Synthesis (d) All of the above
37. The expansion of an existing product, service 45. Factors affecting entrepreneurial growth
or process. This would mean that the (a) Psychological factors
entrepreneur takes an existing idea and applies it (b) Cultural factors
differently is called________ (c) Social factors
(a) Invention (d) All of the above
(b) Extension 46. ____________ is what motivates the
(c) Duplication entrepreneur to work hard, 12 hours a day or
(d) Synthesis more, even seven days a week, especially in the
38. Copying (replicating) an existing product or beginning, to get the endeavour off the ground.
service and then adding the entrepreneurs own (a) Innovation
creative touch in order to improve it is (b) Hesitation
called__________ (c) Meditation
(a) Invention (d) Dedication
(b) Extension 47. He is an individual who discovers an idea to
(c) Duplication start a business and then builds a business to give
(d) Synthesis birth to his idea.
39. ________is a combination of more than one (a) Business entrepreneur
existing products or services in to a new product, (b) Trading entrepreneur
or services. This means that several different (c) Industrial entrepreneur
ideas are combined in to one new product or (d) Corporate entrepreneur
services.
3
48. He is an entrepreneur who undertakes (d) Entrepreneur
trading activity i.e; buying and selling 55. They create business and then sell out, merge
manufactured goods. or combine.
(a) Business entrepreneur (a) Copreneurs
(b) Trading entrepreneur (b) Intrapreneurs
(c) Industrial entrepreneur (c) Ultrapreneurs
(d) Corporate entrepreneur (d) Entrepreneur
49. He is a person who demonstrates his 56. ____________ is the extremely strong desire
innovative skill in organizing and managing a to achieve success.
corporate undertaking. (a) Creativity
(a) Business entrepreneur (b) Innovation
(b) Trading entrepreneur (c) Determination
(c) Industrial entrepreneur (d) Dedication
(d) Corporate entrepreneur 57. Functions of an entrepreneur are
50. They are entrepreneurs who undertake (a) Exchange relationship
agricultural activities such as raising and (b) Political administration
marketing of crops, fertilizers and other inputs of (c) Management control
agriculture. They are called agripreneurs (d) All of the above
(a) Trading entrepreneur 58. What do you mean by MSMEs
(b) Industrial entrepreneur (a) Micro, Small and Medium Enterprises
(c) Corporate entrepreneur (b) Mini, Small and Medium Enterprises
(d) Agricultural Entrepreneur (c) Micro, Small and Mini Enterprises
51. __________are entrepreneurial couples who (d) Medium, Small and Mini Enterprises
work together as co-owners of their business 59. If the number of employee is 0 then the
(a) Copreneurs business unit is __________________
(b) Intrapreneurs (a) Self employed
(c) Ultrapreneurs (b) Micro business
(d) Entrepreneur (c) Small business
52. They left the organisation because they did (d) Medium sized business
not get any opportunity to apply their own ideas 60. If the number of employee is 2 to 9 then the
and innovative ability. These entrepreneurs business unit is __________________
become successful in their own ventures. This (a) Micro business
type if entrepreneurs have come to be (b) Small business
called_____________ (c) Medium sized business
(a) Copreneurs (d) Large Sized Business
(b) Intrapreneurs 61. If the number of employee is 10 to 49 then the
(c) Ultrapreneurs business unit is __________________
(d) Entrepreneur (a) Micro business
53. They believe strongly in their own talents. (b) Small business
They have desire to create something of their (c) Medium sized business
own. (d) Large Sized Business
They want responsibility and have a strong drive 62. If the number of employee is 50 to 249 then
for individual expression and more the business unit is __________________
freedom in their present (a) Micro business
(a) Copreneurs (b) Small business
(b) Intrapreneurs (c) Medium sized business
(c) Ultrapreneurs (d) Large Sized Business
(d) Entrepreneur 63. If the Investment in Plant and Machinery
54. Now-a-days, new products and services are (Manufacturing) Does not exceed ₹ 25 lacs and
conceived, create, tested, produced and Investment in Equipment (Service) Does not
marketed very quickly and with great speed. exceed ₹ 10 lacs then the business unit is ____
Therefore, today‟s entrepreneur needs to have a (a) Micro business
different mindset about establishing and (b) Small business
operating a business. An entrepreneur with this (c) Medium sized business
mind set is known as ______ (d) Large Sized Business
(a) Copreneurs
(b) Intrapreneurs
(c) Ultrapreneurs
4
64. In Micro Business the Investment in Plant and (a) Ancillary units
Machinery (Manufacturing) Does not exceed ₹ (b) Export oriented unit
_____and Investment in Equipment (Service) (c) Micro, small and medium enterprises (MSMEs)
Does not exceed ₹ _______ . (d) None of the above
(a) 25 lacs, 10 lacs 72. __________are those SSI units which export
(b) 10 lacs, 25 lacs at least 30% of its annual production by the end
(c) 25 lacs, 20 lacs of the 3th year of commencement of production.
(d) 10 lacs, 20 lacs (a) Ancillary units
65. If the Investment in Plant and Machinery (b) Export oriented unit
(Manufacturing) lies between ₹ 25 lacs and 5 (c) Micro, small and medium enterprises (MSMEs)
crores and Investment in Equipment (Service) lies (d) None of the above
between Rs. 10 lacs and ₹ 2 crores then the 73. It is estimated that _________of the business
business unit is _______ in India is controlled by families.
(a) Micro business (a) 90 %
(b) Small business (b) 80 %
(c) Medium sized business (c) 70 %
(d) Large Sized Business (d) 60 %
66. In Small business unit the Investment in Plant 74. Most of the big corporate business houses
and Machinery (Manufacturing) lies between ₹ like Tatas, Ambanis, Birlas, Godrej and many
______ more are all controlled by ________
(a) 25 lacs and 5 crores (a) Families
(b) 10 lacs and Rs. 2 crores (b) Individuals
(c) 5 crores and 10 crores (c) Friends
(d) 2 crore and Rs. 5 crores (d) Partners
67. In Small business unit the Investment in 75. In India traditionally the ________is the norm
Equipment (Service) lies between ₹ _________ (a) family business
(a) 25 lacs and 5 crores (b) Proprietorship Business
(b) 10 lacs and Rs. 2 crores (c) Partnership Business
(c) 5 crores and 10 crores (d) All of the above
(d) 2 crore and Rs. 5 crores 76. What are the key challenges facing family
68. If the Investment in Plant and Machinery firms in India?
(Manufacturing) lies between ₹ 5 crores and 10 (a) Inter family disputes,
crores and Investment in Equipment (Service) lies (b) lack of professional management and
between Rs 2 crore and Rs. 5 crores then professional participation
the business unit is _______** (c) absence of family constitution
(a) Micro business (d) All of the above
(b) Small business 77. _________is the Founder & CEO of Make My
(c) Medium sized business Trip, India‟s leading online travel portal.****
(d) Large Sized Business (a) Deep Kalra
69. In medium sized business unit the Investment (b) Kishore Biyani
in Plant and Machinery (Manufacturing) lies (c) Dorai Thodla
between ₹ ________** (d) Mahesh Murthy
(a) 25 lacs and 5 crores 78. _________is the Founder of flipkart.****
(b) 10 lacs and Rs. 2 crores (a) Sachin and Binny Bansal:
(c) 5 crores and 10 crores (b) Kishore Biyani
(d) 2 crore and Rs. 5 crores (c) Dorai Thodla
70. In medium sized unit the Investment in (d) Mahesh Murthy
Equipment (Service) lies between ₹ 79. ____________ is the ability to move quickly in
___________** response to changing market needs.
(a) 25 lacs and 5 crores (a) Flexibility
(b) 10 lacs and Rs. 2 crores (b) Adaptability
(c) 5 crores and 10 crores (c) Creativity
(d) 2 crore and Rs. 5 crores (d) Dedication
71. These units provide inputs to other industries. 80. ____________ is the ability to create rules
These are engaged in the manufacture of parts, and to set goals.
components, light engineering products like (a) Flexibility
cycles, sewing machines diesels engines, machine (b) Dedication
tools, electrical application.** (c) Innovation (d) Leadership
5
81. ____________ is what gets entrepreneurs (b) Family Meetings
started and keeps them there. (c) Family Conflict Resolution
(a) Dedication (d) Conflict Resolution Training
(b) Passion 89. __________are conducted over two to four
(c) Desire days at off site locations. They provide a neutral
(d) Interest venue to discuss family and family business****
82. ____________ comes from thorough (a) Family Retreats
planning, which reduces uncertainty and the (b) Family Meetings
level of risk. (c) Family Conflict Resolution
(a) Self-creativity (d) Conflict Resolution Training
(b) Self-motivation 90. ________use the positive emotional bonds of
(c) Self-confidence the family to facilitate decisions and actions in
(d) Self-respect the face of conflict that has persisted and
83. An entrepreneur starts a business enterprise poisoned the family and the family business.
constituting of ideas he comprehends; employing (a) Conflict resolution techniques
personal stakes in it where as a manager provides (b) Conflict Resolution Training
his services in an enterprise established by
____________.
(a) Entrepreneur
(b) Intrapreneur
(c) Businessman
(d) Supervision
84. An entrepreneur is the owner of the
organization and he bears all the risk and
uncertainties involved in running an organisation
where as a manager is an employee and does not
undertake responsibilities for any ____________.
(a) Circumstances
(b) Certainty
(c) Reward
(d) Risk
85. Entrepreneur's objective is to ____________
and he acts as a change agent where as a
manager's objective is to supervise and create
routines.
(a) Create
(b) Innovate
(c) Innovate or create
(d) Innovate and create
86. ____________ is faced with more income
uncertainties as his income is contingent on the
performance of the firm where as a manager's
compensation is less dependent on the
performance of the organisation.
(a) An intrapreneur
(b) An entrepreneur
(c) Healer
(d) Superstar
87. ________provide families with a vehicle to
entertain family projects and resolve issues. ****
(a) Family Retreats
(b) Family Meetings
(c) Family Council
(d) Family Conflict Resolution
88. __________provide family members with
information about the status of the family and
the family business.****
(a) Family Retreats
6
Unit 2: Public & Private system of entrepreneurship.
1. An action or thing that causes someone or 8. An _________is a place where the required
something to become more active or facilities and factory accommodation are
enthusiastic,or to develop or operate is provided by the government to the
called______ entrepreneurs to establish their industries
(a) Feasibility there.****
(b) Stimulation (a) industrial estate
(c) sustainability (b) Workshop
(d) None of the above (c) Organizational set-up
2. __________is the process of maintaining (d) All of the above
change in a balanced environment, in which the 9. _________are also known by different names,
exploitation of resources, the direction of e.g. industrial region, industrial park, industrial
investments, the orientation of technological area, industrial zone, etc.
development and institutional change are all in (a) industrial estate
harmony and enhance both current and future (b) Workshop
potential to meet human needs and (c) Organizational set-up
aspirations.**** (d) All of the above
(a) Feasibility 10. In such industrial estates, only those small-
(b) Stimulation scale units are housed which are ancillary to a
(c) sustainability particular large industry. Examples of such units
(d) None of the above are like one attached to the HMT,
3. Skills every entrepreneur must have to be Bangalore.****
successful (a) Ancillary Industrial Estates
(a) The ability to manage money (b) Functional Industrial Estates
(b) The ability to raise money (c) The Workshop -bay
(c) The ability to relieve stress (d) Co-operative Industrial Estates
(d) All of the above 11. Industrial units manufacturing the same
4. Various Sources of Finance Available to an product are usually housed in these industrial
Entrepreneur are__________ estates. These Industrial estates also serve as a
(a) Venture capital base for expansion of small units into large
(b) Angels units.
(c) Business incubators (a) Ancillary Industrial Estates
(d) All of the above (b) Functional Industrial Estates
5. ________is the ability of individuals or (c) The Workshop -bay
enterprises to obtain financial services, including (d) Co-operative Industrial Estates
credit, deposit, payment, insurance, and other 12. Such types of industrial estates are
risk management services.**** constructed mainly for very small firms engaged
(a) access to finance in repair
(b) Availability of finance work.
(c) marketing assistance (a) Ancillary Industrial Estates
(d) All of the above (b) Functional Industrial Estates
6. Technology for entrepreneurs are__________ (c) The Workshop -bay
(a) Project management software (d) Co-operative Industrial Estates
(b) Cloud collaboration platforms 13. _______is place where the required facilities
(c) Networking infrastructure and factory accommodation are provided by the
(d) All of the above government to the entrepreneurs to establish
7. Objectives of Marketing Assistant Scheme are their industries there
(a) To increase the marketing and competitiveness (a) industrial estate
of micro, small and medium industries. (b) Workshop
(b) Providing facilities for marketing of products (c) Organizational set-up
and services produced by MSME. (d) All of the above
(c) Providing the platform to small industries for 14. The first and foremost industrial estate was
interaction with large institutional buyers. established at ______ in 1955.***
(d) All of the above (a) Rajkot in Gujarat
(b) Mumbai
(c) Kolkata
(d) Delhi
7
15. Entrepreneurs' Organization, or EO, was 22. Online business incubator is also known
established in ___________*** as___________**
(a) 1987 (a) Virtual business incubator
(b) 1988 (b) Kitchen incubator
(c) 1989 (c) Public incubator
(d) 1990 (d) Seed accelerator
16. More than 20,000 entrepreneurs, innovators 23. A business incubator focused on the food
and business professionals are part of industry is known as___________**
________an organization that offers exclusive (a) Virtual business incubator
discounts on hotel, travel, business and lifestyle (b) Kitchen incubator
products and services, as well as access to (c) Public incubator
invitation-only networking events.*** (d) Seed accelerator
(a) Entrepreneurs' Organization 24. a business incubator focused on the public
(b) Founders Card good is known as___________
(c) Young Entrepreneur Council (a) Virtual business incubator
(d) Young President's Organization (b) Kitchen incubator
17. ____________is an invitation-only (c) Public incubator
organization for entrepreneurs 40 and under.* (d) Seed accelerator
(a) Entrepreneurs' Organization 25. a business incubator focused on early
(b) Founders Card startups is known as___________
(c) Young Entrepreneur Council (a) Virtual business incubator
(d) Young President's Organization (b) Kitchen incubator
18. ________, was founded in 1950. It offers (c) Public incubator
global educational and networking opportunities (d) Seed accelerator
for 26. An _______ is an affluent individual who
those 45 and under that are designed to help provides capital for a business start-up, usually in
owners build their businesses exchange for convertible debt or ownership
(a) Entrepreneurs' Organization equity*******
(b) Founders Card (a) Self-Help Group (SHG)
(c) Young Entrepreneur Council (b) Business incubator
(d) Young President's Organization (YPO) (c) Angel investors
19. A ________is a village-based financial (d) Venture Capital
intermediary usually composed of 10-20 local 27. __________ is a person who invests in highly
men or risky companies, typically before those
women.********** companies have any revenue or profits
(a) Self-Help Group (SHG) (a) Self-Help Group (SHG)
(b) Co-operative society (b) Business incubator
(c) entrepreneur‘s associations (c) Angel investors
(d) All of the above (d) Venture Capitalist
20. A _________________ is a company that 28. ______is a private or institutional investment
helps new and startup companies to develop by made into early-stage / start-up companies
providing services such as management training (new ventures).
or office space.*********** (a) Self-Help Group (SHG)
(a) Self-Help Group (SHG) (b) Business incubator
(b) Business incubator (c) Angel investors
(c) Angel investors (d) Venture Capital
(d) Venture Capital 29. Venture Capital is money invested in
21. Since startup companies lack many resources, businesses that are small; or exist only as an
experience and networks, _______provide initiative, but have huge potential to grow.
services which helps them get through initial (a) Self-Help Group (SHG)
hurdles in starting up a business. These hurdles (b) Business incubator
include space, funding, legal, accounting, (c) Angel investors
computer services and other prerequisites to (d) Venture Capital
running the business.****
(a) Self-Help Group (SHG)
(b) Business incubator
(c) Angel investors
(d) Venture Capital
8
30. The __________investment is made when a
venture capitalist buys shares of such a company
and becomes a financial partner in the
business.****
(c) Angel investors
(d) Venture Capital
31. _________investment is also referred to risk
capital or patient risk capital, as it includes the
risk of losing the money if the venture doesn‟t
succeed and takes medium to long term period
for the investments to fructify.
(c) Angel investors
(d) Venture Capital
32. __________typically comes from institutional
investors and high net worth individuals and is
pooled together by dedicated investment
firms.***
(c) Angel investors
(d) Venture Capital
33. __________is the most suitable option for
funding a costly capital source for companies and
most for businesses having large up-front capital
requirements which have no other cheap
alternatives***
(c) Angel investors
(d) Venture Capital
34. __________is a finance which is provided for
medium to long term period to companies who
have high growth potential. These companies are
those companies which are not listed
companies on any exchange.***
(a) Public Equity
(b) Angel investors
(c) Venture Capital
(d) Business incubator
35. This investment is done in exchange of a
certain percentage of equity of the investee.
Sometimes this type of investment is done to
gain major or complete control of the company
in anticipation of higher returns. Apart from
making investments in private companies at
times PE investors buy out public companies
resulting in their delisting.**
(a) Public Equity
(b) Angel investors
(c) Venture Capital
(d) Business incubator
9
Unit 3: Sources of Business ideas:
1. Before investing in any business idea, it is vital 9. _________is a measure of the cost-
to conduct a __________** effectiveness of a project or solution.**
(a) Market research and survey (a) Technical feasibility
(b) Industrial analysis (b) Schedule feasibility
(c) Trend analysis (c) Economic feasibility
(d) Financial goal clarity (d) Legal feasibility
2. ________is another statistical tool which helps 10. _________is a measure of how well a solution
procure information about the changing can be implemented within existing
customer preferences using historical data** legal/contractual obligations**
(a) Market research and survey (a) Technical feasibility
(b) Industrial analysis (b) Schedule feasibility
(c) Trend analysis (c) Economic feasibility
(d) Financial goal clarity (d) Legal feasibility
3. Sources of business ideas are_____** 11. ____________is a written statement of what
(a) Interests and hobbies an entrepreneur proposes to take up.****
(b) Customer surveys (a) Feasibility study
(c) Brainstorming and dreams (b) Business Idea
(d) All of the above (c) Business Plan
4. A _________aims to objectively and rationally (d) Project Report
uncover the strengths and weaknesses of an 12. ______serves like a kind of big road map to
existing business or proposed venture, reach the destination determined by the
opportunities and threats present in the natural entrepreneur.
environment, the resources required to carry (a) Feasibility study
through, and ultimately the prospects for (b) Business Idea
success. **** (c) Business Plan
(a) Feasibility study (d) Project Report
(b) Business Idea 13. Mar J. Dollinger has defined the ________as
(c) Business Plan “the formal written expression of the
(d) Project Report entrepreneurial vision, describing the strategy
5. _________ is a measure of how well a solution and operations of the proposed venture.”***
meets the system requirements.**** (a) Feasibility study
(a) Operational feasibility (b) Business Idea
(b) Cultural (or political) feasibility (c) Business Plan
(c) Technical feasibility (d) Project Report
(d) Schedule feasibility 14. The term ______means the development of a
6. _________is a measure of how well a solution written document that spells out like a roadmap
will be accepted in an organizational climate.** where you are, where you want to be, and how
(a) Operational feasibility you want to get there.
(b) Cultural (or political) feasibility (a) Feasibility study
(c) Technical feasibility (b) Business Idea
(d) Schedule feasibility (c) Business Plan
7. ___________is a measure of the practicality of (d) Project Report
a technical solution and the availability of 15. Loan proposal, venture plan, investment
technical resources and expertise.** prospects, project report etc are examples of **
(a) Operational feasibility (a) Feasibility study
(b) Cultural (or political) feasibility (b) Business Idea
(c) Technical feasibility (c) Business Plan
(d) Schedule feasibility (d) All of the above
8. _______is a measure of how reasonable the
project timetable is.** 16. Significance of writing the business
(a) Operational feasibility plan/project proposal are__________
(b) Cultural (or political) feasibility (a) It clarifies and shows direction to move forward
(c) Technical feasibility (b) It can be used as a tool to attract investors
(d) Schedule feasibility (c) A project report shows the feasibility of the
proposed project and the probability of achieving
Profit (d) All of the above
10
17. Contents of business plan/ project proposal 25. It is the translation of the idea into concrete
are___________*** project with scrutiny of its important preliminary
(a) General Information: aspects.***
(b) Promoter (a) Project Identification
(c) Location (b) Project Formulation
(d) All of the above (c) Project Appraisal
18. Contents of business plan/ project proposal (d) Project Selection
are___________ 26. It involves searching, scrutiny, analysis and
(a) Raw Material evaluation of market, technical, financial and
(b) Manpower economic variables. It examines the viability of
(c) Products the project.
(d) All of the above (a) Project Identification
19. Project life cycle consists of the following (b) Project Formulation
stages: (c) Project Appraisal
(a) Pre-Investment Phase (d) Project Selection
(b) Construction Phase 27. It is the process of choosing a project
(c) Normalization Phase rationally in the light of objectives and inherent
(d) All of the above constraints on the basis of appraisal.
20. It is concerned with formulation of objectives, (a) Project Identification
demand forecasting, evaluation of input (b) Project Formulation
characteristics, selection of strategy, projections (c) Project Appraisal
of financial profile, cost benefit analysis and (d) Project Selection
finally pre-investment appraisal.** 28. It is the stage of birth of an enterprise. At the
(a) Pre-Investment Phase end of this stage, the idea becomes a reality.
(b) Construction Phase (a) Project Identification
(c) Normalization Phase (b) Project Appraisal
(d) All of the above (c) Project Implementation
21. __________consists of developing the (d) Project Follow Up and Evaluation:
infrastructure for the project. The capital 29. It is the process of assessing the performance
requirement includes cost on land, buildings, civil of the project after it started functioning. It
works, machinery equipment, ancillaries etc. simply means assessing the progress of the
(a) Pre-Investment Phase project.
(b) Construction Phase (a) Project Appraisal
(c) Normalization Phase (b) Project Implementation
(d) All of the above (c) Project Follow Up and Evaluation:
22. The primary objective of this stage is to 30. The objectives of project management are as
produce the goods and services for which the follows:
project was established. The expenditure has to (a) To achieve maximum productivity at minimum
be incurred on raw materials, fuel, utilities, and cost.
administration and operation maintenance. Etc. (b) To maximize income and return.
(a) Pre-Investment Phase (c) To minimize risk and uncertainty
(b) Construction Phase (d) All of the above
(c) Normalization Phase 31. The roles and responsibilities of a project
(d) All of the above manager are_____________
23. Phases of project management are________ (a) Managing personnel.
(a) Project Identification (b) Satisfy government, customer, promoters and
(b) Project Formulation public.
(c) Project Appraisal (c) Coordinating and integrating activities across
(d) All of the above multiple functional lines.
24. It refers to identification of (d) All of the above
business/investment opportunities. It involves 32. The need for project management arises due
scanning of the environment to find out to the following reasons:
investment opportunities.**** (a) Complexity of Project
(a) Project Identification (b) Achievement of Objectives:
(b) Project Formulation (c) Environmental Changes
(c) Project Appraisal (d) All of the above
(d) Project Selection
11
33. The need for project management arises due 41. It refers to the arrangement of the machines,
to the following reasons: equipments and other physical facilities within
(a) Competition the factory premises*****
(b) Constraints: (a) Plant layout
(c) Risk and Uncertainty (b) Factory design
(d) All of the above (c) Plant capacity
34. It is the process of collection, compilation and (d) Size of the plant
analysis of economic data for the purpose of 42. It is a floor plan for determining and arranging
finding out possible opportunities for investment the desired machinery and equipment in the best
and with the development of the place to permit the quickest flow of material at
characteristics of such opportunities.**** the lowest cost with least amount of material
(a) Business/Project idea handling in processing the product from the
(b) Business Plan receipt of raw materials to shipment of the
(c) Project Report finished product.****
(d) Feasibility study (a) Plant layout
35. Trade fairs and exhibitions, Success stories of (b) Factory design
friends and relatives, Prospective consumers, (c) Plant capacity
Our own needs, Trade and professional journals, (d) Size of the plant
Research organisation, Development of other 43. It is also called line layout. In this type
nations, Study of government policy etc are machines and equipments are arranged in the
sources of ________**** sequence or order in which they are used in the
(a) Business/Project idea manufacture of a given product. It is best suited
(b) Business Plan in mass production, because it allows continuous
(c) Project Report flow of material in process towards the finished
(d) Feasibility study product stage.
36. Only the most promising or most profitable (a) Product Layout
ideas are to be selected for further study. The (b) Process Layout
factors need to be considered are ___________ (c) Combined Layout
(a) Cost of the Project (d) Stationary Layout
(b) Profitability 44. It is also called as functional layout. In this
(c) Marketing Facilities type similar machines are placed in one place
(d) All of the above according to the operations or functions they
37. It refers to the volume or number of units that perform.
can be manufactured during a given period. (a) Product Layout
(a) Plant capacity (b) Process Layout
(b) Plant location (c) Combined Layout
(c) Size of the plant (d) Stationary Layout
(d) Product mix 45. Here some of the machines may be arranged
38. ______________is also called production in product layout and some others in process
capacity. layout. It combines the advantages of both the
(a) Plant capacity layout forms.
(b) Plant location (a) Product Layout
(c) Size of the plant (b) Process Layout
39. It refers to a fairly broad area where the (c) Combined Layout
enterprise is to be established like city, industrial (d) Stationary Layout
zone or coastal area.**** 46. The men and equipment are moved to the
(a) Plant capacity materials which remain in one place. The product
(b) Plant location is completed at that place where material lies. It
(c) Size of the plant is also called fixed position layout .It is necessary
(d) Product mix in ship building, aircraft manufacturing, job
40. It refers to the plan for a particular type of welding shops etc.
building, arrangement of machinery and (a) Product Layout
equipment and provision of service facilities, (b) Process Layout
lighting, heating etc. in the building.**** (c) Combined Layout
(a) Plant layout (d) Stationary Layout
(b) Factory design
(c) Plant capacity
(d) Size of the plant
12
47. This is an innovative layout, and based on 55. It will study whether the project will satisfy
group technology principles. In this type the return expectations of those who provide the
machines dedicated to sequences of production capital.
are grouped into cells. (a) Technical Feasibility
(a) Product Layout (b) Economic Viability
(b) Process Layout (c) Commercial Viability
(c) Combined Layout (d) Financial Feasibility
(d) Cellular Layout 56. A __________may be defined as a document
48. While deciding the layout the following with respect to any investment proposal based
factors should be considered: on certain information and factual data for the
(a) Nature of industry purpose of appraising the project.
(b) Volume of production (a) Project Layout
(c) Type of production (b) Project Plan
(d) All of the above (c) Project idea
49. The objective of a ________is to decide (d) Project Report
whether to accept or reject an investment 57. It states as to what business is intended to be
proposal. undertaken by the entrepreneur and whether it
(a) Project appraisal would be physically possible, financially viable,
(b) Project Layout commercially profitable and socially
(c) Project Plan desirable to do such a business****
(d) Project idea (a) Project Layout
50. It is defined as critical and careful second look (b) Project Plan
at the project by a person not associated with (c) Project idea
the project preparation (d) Project Report
(a) Project appraisal 58. _________is an essential document for
(b) Project Layout procuring assistance from financial institutions
(c) Project Plan and for fulfilling other formalities for
(d) Project idea implementation of the project.
51. It includes detailed estimates of the goods (a) Project Layout
and services needed for the project- land, (b) Project Plan
machineries and equipments, raw material, (c) Project idea
trained labour etc.**** (d) Project Report
(a) Technical Feasibility 59. Contents of project report are ____________
(b) Economic Viability (a) Introduction
52. It is a study on capital cost, working capital, (b) Background of the promoter:
operating cost and revenue, marketing, (c) Product
profitability etc. It also includes an appraisal of (d) All of the above
anticipated demand and capacity utilization.
(a) Technical Feasibility
(b) Economic Viability
(c) Commercial Viability
53. The appraisal of commercial aspects of a
project involves a study of the proposed
arrangements for the purchase of raw materials
and sale of finished products etc Financial
Feasibility
(d) Financial Feasibility
54. It seeks to ascertain whether the project is
financially viable regarding the cost of project,
cost of production and profitability, cash flow
estimate and Performa balance sheet.***
(d) Financial Feasibility
13
Unit 4: Mobilizing Resources:
1. Contents of project report are ____________ 8. Any startup would need the following
(a) Introduction resources
(b) Background of the promoter: (a) Financial resource
(c) Product (b) Intellectual resource
(d) All of the above (c) Human resource
2. The term ___________refers to all activities (d) All of the above
undertaken by a startup or an organization to 9. The __________may be considered most
secure new and additional financial, human and important for any start-up.
material resources to advance its (a) Financial resource
mission.********** (b) Intellectual resource
(a) Resource mobilization (c) Human resource
(b) Resource allocation (d) Physical resource
(c) Resource Procurement 10. The most important element in starting a
(d) Resource Movement business is ____________***
3. __________is actually a process of raising (a) Financial resource
different types of support for your organization. (b) Intellectual resource
As said above, it can include both cash and in- (c) Human resource
kind support. (d) Physical resource
(a) Resource mobilization 11. __________is the intangible value of a
(b) Resource allocation business, covering its people, the value inherent
(c) Resource Procurement in its relationships, and everything that is left
(d) Resource Movement when the employees go home,****
4. _________can also be called as the process of (a) Financial resource
getting resource from resource provider, using (b) Intellectual resource
different mechanisms, to implement the (c) Human resource
organization‟s work for achieving the (d) Physical resource
predetermined 12. Moral Resources include solidarity support,
organizational goals.**** legitimacy and sympathetic support. These
(a) Resource mobilization resources can be easily retracted, making them
(b) Resource allocation less accessible than other resources.****
(c) Resource Procurement (a) Cultural Knowledge Resource
(d) Resource Movement (b) Relational Resource
5. ______advocates upon having the right type of (c) Moral Resources
resource, at the right time, at right price with (d) Emotional Resources
making right use of acquired resources thus 13. Following points should be considered in
ensuring optimum utilization of the same.**** selecting the location (accommodation) of
(a) Resource mobilization business
(b) Resource allocation or office space:
(c) Resource Procurement (a) Style of operation (e.g. formal, casual,
(d) Resource Movement traditional retail store, kiosk, cart etc.)
6. ______refers to all activities involved in (b) Consider who your customers are and how
securing new and additional resources for your important their proximity to your location is.
organization. It also involves making better use (c) Accessibility of parking
of, and maximizing, existing resources (d) All of the above
(a) Resource mobilization 14. Some common utilities which should be
(b) Resource allocation obtained/acquired or hold by the start-up
(c) Resource Procurement are____
(d) Resource Movement (a) Water
7. _________is often referred to as „New (b) Sewage
Business Development‟**** (c) Trash services
(a) Resource mobilization (d) All of the above
(b) Resource allocation
(c) Resource Procurement
(d) Resource Movement
14
15. Resource mobilization is critical to any 23. Basic Start-up Problems Faced by
organization for the following reasons: Entrepreneurs are ___________**
(a) Ensures the continuation of your organization (a) Finding Good Employees:
‘s service provision to clients (b) Finding Good Customers:
(b) Supports organizational sustainability (c) Dealing with Competition:
(c) improvement and scale-up of products and (d) All of the above
services the organization currently provides
(d) All of the above
16. Fundamental streams of sustainability
are____________
(a) Programmatic sustainability.
(b) Institutional sustainability
(c) Financial sustainability
17. The organization delivers products and
services that respond to clients‟ needs and
anticipates
new areas of need. Its success enables expansion
of its client base. It is called__________
18. The organization has a strong, yet flexible
structure and accountable, transparent
governance practices. It is called______________
19. The organization draws on various sources of
revenue, allowing it to support its ongoing
efforts and to undertake new initiatives. It is
called______________
20. When the contract is agreed, on behalf of the
company before its incorporation they are
called the ___________
(a) Preliminary Contract or pre-incorporation
Contract.
(b) Statutory Contract
(c) Bilateral Contract
21. Basic Start-up Problems Faced by
Entrepreneurs are ___________***
(a) Developing the Vision and Business Idea:
(b) Raising Capital for your Startup:
(c) Business Model Failure:
22. Basic Start-up Problems Faced by
Entrepreneurs are ___________**
(a) Poor Management Team:
(b) Liquidity or Cash Crunch:
(c) Product Problems:
15
Unit 5: Business Ethics
(b) Ethics in Finance
1. Ethics is a branch of __________****** (c) Ethics in Human Resources
(a) Social Science (d) Ethics in Marketing
(b) Political science 10. Window dressing, misleading financial
(c) Pure Science analysis, Insider trading, over billing of expenses,
(d) Arts facilitation payments, Fake reimbursements etc
2. Ethics means__________**** are ethical issues in ___________****
(a) Rule (a) Finance
(b) Law (b) Compliance
(c) Principles (c) Human Resources
(d) a code of conduct (d) Marketing
3. Ethics deals with_______________**** 11. The ethical issues in finance that companies
(a) Moral principles and social values and employees are confronted includes:
(b) Law (a) In accounting – window dressing, misleading
(c) Rules financial analysis.
(d) All of the above (b) Related party transactions not at arm‘s
4. __________means to conduct business with a length
human touch in order to give welfare to the (c) Insider trading, securities fraud leading to
society.**** manipulation of the financial markets.
(a) Business Economics (d) All of the above
(b) Business ethics 12. The ethical issues in finance that companies
(c) Business Environment and employees are confronted includes:
(d) All of the above (a) Executive compensation.
5. According to Andrew Crane, “________is the (b) Bribery, kickbacks, over billing of expenses,
study of business situations, activities, and facilitation payments.
decisions where issues of right and wrong are (c) Fake reimbursements
addressed.”**** (d) All of the above
(a) Business Economics 13. The __________covers those ethical issues
(b) Business ethics arising around the employer-employee
(c) Business Environment relationship, such as the rights and duties owed
(d) All of the above between employer and employee.****
6. According to Raymond C. Baumhart “The ethics (a) Ethics of human resource management (HRM)
of business is the ethics of _________" (b) Ethics of Compliance
(a) Responsibility (c) Ethics of Finance
(b) Principles (d) Ethics of Marketing
(c) Rules 14. The issues of ethics faced by HRM include:
(d) Activity (a) Discrimination issues i.e. discrimination on the
7. “__________ (also corporate ethics) is a form bases of age, gender, race, religion,
of applied ethics or professional ethics that disabilities, weight etc.
examines ethical principles and moral or ethical (b) Sexual harassment.
problems that arise in a business (c) Affirmative Action.
environment**** (d) All of the above
(a) Business Economics 15. The issues of ethics faced by HRM include:
(b) Business ethics (a) Issues surrounding the representation of
(c) Business Environment employees and the democratization of the
(d) All of the above workplace,
8. ______applies to all aspects of business (b) Issues affecting the privacy of the employee:
conduct and is relevant to the conduct of workplace surveillance, drug testing.
individuals (c) Issues affecting the privacy of the employer:
and entire organizations.” whistle-blowing.
(a) Business Economics (d) All of the above
(b) Business ethics 16. The issues of ethics faced by HRM include:
(c) Business Environment (a) Issues relating to the fairness of the
(d) All of the above employment contract
9. __________is about obeying and adhering to (b) the balance of power between employer and
rules and authority.**** employee.
(a) Ethics in Compliance (c) Occupational safety and health.
16
(d) All of the above (d) All of the above
17. Issues affecting the privacy of the employee, 25. Defective, addictive and inherently
Issues affecting the privacy of the employer, dangerous products, pollution, Product testing
Issues relating to the fairness of the employment ethics, Ethical problems arising out of new
contract, Occupational safety and health etc technologies etc are issues related
are related to ___________**** to____________****
(a) Ethics of human resource management (HRM) (a) Ethics of Production
(b) Ethics of Compliance (b) Ethics in Marketing
(c) Ethics of Finance (c) Ethics in Human Resources
(d) Ethics of Marketing (d) Ethics in Finance
18. Discrimination issues i.e. discrimination on 26. ________deals with what people actually
the bases of age, gender, race, religion, believe (or made to believe) to be right or wrong,
disabilities, weight Sexual harassment etc are and accordingly holds up the human actions
examples of ____________***** acceptable or not acceptable or punishable
(a) Ethics of human resource management (HRM) under a custom or law.*********
(b) Ethics of Compliance (a) Descriptive Ethics
(c) Ethics of Finance (b) Normative Ethics
(d) Ethics of Marketing (c) Virtue ethics
19. _________is the area of applied ethics which (d) Deontological ethics
deals with the moral principles behind the 27. ________is also called comparative ethics
operation and regulation of marketing.** because it compares the ethics or past and
(a) Ethics in Compliance present;
(b) Ethics in Finance ethics of one society and other**
(c) Ethics in Human Resources (a) Descriptive Ethics
(d) Ethics in Marketing (b) Normative Ethics
20. The ethical issues of marketing include: (c) Virtue ethics
(a) price fixing, price discrimination, price (d) Deontological ethics
skimming. 28. ___________also takes inputs from other
(b) Anti-competitive practices disciplines such as anthropology, psychology,
(c) Misleading advertisements sociology and history to explain the moral right
(d) All of the above or wrong.**
21. The ethical issues of marketing include: (a) Descriptive Ethics
(a) Content of advertisements. (b) Normative Ethics
(b) Misleading advertisements (c) Virtue ethics
(c) Black markets, grey markets. (d) Deontological ethics
(d) All of the above 29. ____________deals with “norms” or set of
22. Anti-competitive practices, Misleading considerations how one should act.*******
advertisements, Black markets price fixing, price (a) Descriptive Ethics
discrimination, price skimming etc are issues (b) Normative Ethics
related to __________***** (c) Virtue ethics
(a) Ethics in Compliance (d) Deontological ethics
(b) Ethics in Finance 30. __________a study of “ethical action” and
(c) Ethics in Human Resources sets out the rightness or wrongness of the
(d) Ethics in Marketing actions****
23. _________deals with the duties of a company (a) Descriptive Ethics
to ensure that products and production (b) Normative Ethics
processes do not cause harm** (c) Virtue ethics
(a) Ethics of Production (d) Deontological ethics
(b) Ethics in Marketing 31. _________is also called prescriptive ethics
(c) Ethics in Human Resources because it rests on the principles which
(d) Ethics in Finance determine whether an action is right or wrong**
24. The ethical issues of production include: (a) Descriptive Ethics
(a) Defective, addictive and inherently dangerous (b) Normative Ethics
products (c) Virtue ethics
(b) Ethical relations between the company and the (d) Deontological ethics
environment include pollution, environmental 32. The Golden rule of __________is “doing to
ethics, and carbon emissions trading other as we want them to do to us"******
(c) Product testing ethics. (a) Descriptive Ethics
17
(b) Normative Ethics command theory etc are related to
(c) Virtue ethics _______________
(d) Deontological ethics (a) Descriptive Ethics
33. Based on the reasoning of _______, anything (b) Normative Ethics
such as harassing, victimising, abusing or (c) Virtue ethics
assaulting someone is wrong. (d) Deontological ethics
(a) Descriptive Ethics 42. First famous deontological theory is
(b) Normative Ethics __________________
(c) Virtue ethics (a) Immanuel Kant‟s Categorical Imperative or
(d) Deontological ethics Kantianism
34. ____________also provides justification for (b) Moral absolutism
punishing a person who disturbs social and (c) Divine command theory
moral order. (d) None of the above
(a) Descriptive Ethics 43. As per _______ deontological theory of the
(b) Normative Ethics human beings occupy special place in creation
(c) Virtue ethics and there is an ultimate commandment from
(d) Deontological ethics which all duties and obligations derive
35. Aristotle‟s virtue ethics, Kant‟s deontological (a) Immanuel Kant‟s Categorical Imperative or
ethics, Mill‟s consequentialism (Utilitarianism) Kantianism
and the Bhagwad Gita‟s Nishkam Karmayoga are (b) Moral absolutism
some of the theories in ________ (c) Divine command theory
(a) Descriptive Ethics (d) None of the above
(b) Normative Ethics 44. Second famous deontological theory is
(c) Virtue ethics ______________
(d) Deontological ethics (a) Immanuel Kant‘s Categorical Imperative or
36. _________focuses on one‟s character and the Kantianism
virtues for determining or evaluating ethical (b) Moral absolutism
behaviour.** (c) Divine command theory
(a) Descriptive Ethics (d) None of the above
(b) Normative Ethics 45. ____ believes that there are absolute
(c) Virtue ethics standards against which moral questions can be
(d) Deontological ethics judged
37. Plato, Aristotle and Thomas Aquinas were (a) Immanuel Kant‘s Categorical Imperative or
major advocates of ________ Kantianism
(a) Normative Ethics (b) Moral absolutism
(b) Virtue ethics (c) Divine command theory
38. __________gave a scheme of four cardinal (d) None of the above
virtues viz. prudence, justice, temperance and 46. Third deontological theory is ___________
fortitude (courage). (a) Immanuel Kant‘s Categorical Imperative or
(a) Plato Kantianism
(b) Aristotle (b) Moral absolutism
(c) Thomas Aquinas (c) Divine command theory
(d) Aristotle (d) None of the above
39. ___________categorized the virtues as moral 47. _________says that an action is right if God
and intellectual. has decreed it to be right
(a) Plato (a) Immanuel Kant‘s Categorical Imperative or
(b) Aristotle Kantianism theory
(c) Thomas Aquinas (b) Moral absolutism theory
(d) Aristotle (c) Divine command theory
40. Deontological ethics or duty ethics focuses on (d) None of the above
the rightness and wrongness of the actions 48. As per _________the rightness of any action
rather than the consequences of those actions.** depends upon that action being performed
(a) Descriptive Ethics because it is a duty, not because of any good
(b) Normative Ethics consequences arising from that action.
(c) Virtue ethics (a) Immanuel Kant‘s Categorical Imperative or
(d) Deontological ethics Kantianism theory
41. There are different theories such as (b) Moral absolutism theory
categorical imperative, moral absolutism, divine (c) Divine command theory
18
(d) None of the above (b) Egoism
49. _________says that the morality of an action (c) Asceticism
is contingent with the outcome of that action.** (d) Altruism
(a) Consequentialism or teleological ethics 58. _________theory says to live for others and
(b) Applied Ethics not caring for self is right action.
(c) Meta Ethics (a) Utilitarianism
(d) Deontological ethics (b) Hedonism
50. _________says that the morally right action (c) Asceticism
would produce good outcome while morally (d) Altruism
wrong action would produce bad outcome**** 59. _________ or “analytical ethics” deals with
(a) Consequentialism or teleological ethics the origin of the ethical concepts
(b) Applied Ethics themselves.*****
(c) Meta Ethics (a) Meta Ethics
(d) Deontological ethics (b) Applied Ethics
51. The core idea of _____________is that “the (c) teleological ethics
ends justify the means".** (d) Deontological ethics
(a) Consequentialism or teleological ethics 60. ____________does not consider whether an
(b) Applied Ethics action is good or bad, right or wrong. Rather, it
(c) Meta Ethics questions – what goodness or rightness or
(d) Deontological ethics morality itself is?****
52. An action that might not be right in the light (a) Meta Ethics
of moral absolutism may be a right action (b) Applied Ethics
under _________ (c) teleological ethics
(a) Consequentialism or teleological ethics (d) Deontological ethics
(b) Applied Ethics 61. _________is basically a highly abstract way of
(c) Meta Ethics thinking about ethics.
(d) Deontological ethics (a) Meta Ethics
53. Based on the outcome, there are several (b) Applied Ethics
theories such as Utilitarianism, Hedonism, (c) teleological ethics
Asceticism, Altruism etc are related to (d) Deontological ethics
______________ 62. The key theories in ________include
(a) Consequentialism or teleological ethics naturalism, non-naturalism, emotivism and
(b) Applied Ethics prescriptivism.**
(c) Meta Ethics (a) Meta Ethics
(d) Deontological ethics (b) Applied Ethics
54. _________theory says right action leads to (c) teleological ethics
most happiness of greatest number of people (d) Deontological ethics
(a) Utilitarianism 63. ___________believe that moral language is
(b) Hedonism cognitive and can be known to be true or false.
(c) Asceticism (a) Naturalists and non-naturalists
(d) Altruism (b) Emotivists
55. _________theory says anything that (c) Prescriptivists
maximizes pleasure is right (d) All of the above
(a) Utilitarianism 64. _________deny that moral utterances are
(b) Hedonism cognitive, holding that they consist of emotional
(c) Asceticism expressions of approval or disapproval and that
(d) Altruism the nature of moral reasoning and justification
56. _________theory says anything that must be reinterpreted to take this essential
maximizes the good for self is right characteristic of moral utterances
(a) Utilitarianism into account
(b) Hedonism (a) Naturalists and non-naturalists
(c) Egoism (b) Emotivists
(d) Altruism (c) Prescriptivists
57. _________theory says abstinence from (d) All of the above
egoistic pleasures to achieve spiritual goals is
right
action
(a) Utilitarianism
19
65. ____________take a somewhat similar 73. Factors influencing Business Ethics are
approach, arguing that moral judgments are ______________
prescriptions or prohibitions of action, rather (a) Personal Code of Ethics
than statements of fact about the world. (b) Legislation
(a) Naturalists and non-naturalists (c) Government Rules and Regulations
(b) Emotivists (d) All of the above
(c) Prescriptivists 74. Factors influencing Business Ethics are
(d) All of the above ______________
66. ______________deals with the philosophical (a) Ethical Code of the Company
examination, from a moral standpoint, of (b) Social Pressures
particular issues in private and public life which (c) Policies of the company
are matters of moral judgment.**** (d) All of the above
(a) Meta Ethics 75. Factors influencing Business Ethics are
(b) Applied Ethics ______________
(c) teleological ethics (a) Ethical standards imposed on a manager by his
(d) Deontological ethics superiors
67. _________is most important for professionals (b) Ethical Climate of the Industry
in different walks of life including doctors, (c) Ethical Code of the Company
teachers, administrators, rulers and so on (d) All of the above
(a) Meta Ethics 76. Significance/Advantages/Importance of
(b) Applied Ethics Business Ethics are
(c) teleological ethics (a) Attracting and retaining talent
(d) Deontological ethics (b) Investor Loyalty
68. Decision ethics, Professional ethics, Clinical (c) Customer satisfaction
Ethics, Business Ethics, Organizational ethics, (d) All of the above
Social ethics are six key domains of 77. Arguments for business ethics are
_____________ (a) Holistic approach
(a) Meta Ethics (b) Leadership.
(b) Applied Ethics (c) Employee commitment.
(c) teleological ethics (d) All of the above
(d) Deontological ethics 78. Arguments for business ethics are
69. _____________deals with the rightness or (a) Investor loyalty
wrongness of social, economical, cultural, (b) Customer satisfaction
religious (c) Business is a co-operative effort
issues also. For example, euthanasia, child (d) All of the above
labour, abortion etc.**** 79. Arguments for business ethics are
(a) Meta Ethics (a) Higher profits
(b) Applied Ethics (b) Changing mindset of shareholders.
(c) teleological ethics (c) Customer satisfaction.
(d) Deontological ethics (d) All of the above
70. The characteristics or features of business 80. Arguments against business ethics are
ethics are:- (a) No need for ethics separately
(a) Code of conduct (b) Demand and supply forces only operate
(b) Based on moral and social values (c) Compliance of law.
(c) Gives protection to social groups (d) All of the above
(d) All of the above 81. Arguments against business ethics are
71. The characteristics or features of business (a) Conflicts of interest.
ethics are:- (b) Profit is the object of business
(a) Provides basic framework (c) Poor moral standards of society.
(b) Voluntary (d) All of the above
(c) Requires education and guidance 82. __________refer to a set of professional or
(d) All of the above applied ethics that review or study ethical or
72. Business ethics must be______________ moral principles and ethical or moral problems
(a) voluntary that appear in any business environment.
(b) enforced by law (a) Business ethics
(c) Compulsory (b) business environment
(d) None of the above (c) business Economics
(d) None of the above
20
83. _________tells us the way to act in a certain 90. ____________states that all human beings
situation not just to achieve a particular are equal. According to this belief, all the benefits
objective but considering everything around us. and burdens of the society should be circulated
(a) Ethics according to this principle.
(b) Law (a) Egalitarianism
(c) Act (b) Utilitarianism
(d) Environment (c) Socialist justice
84. _______in most of the nations are considered (d) Capitalist justice
legally as entities or persons, i.e. the rights and 91. __________states that “Every person should
liabilities legally applicable to persons or citizens be given exactly equal shares of a society‟s or a
are also applicable to business corporations. group‟s benefits and burdens.”
(a) Business corporations (a) Egalitarianism
(b) Business ethics (b) Utilitarianism
(c) business environment (c) Socialist justice
(d) None of the above (d) Capitalist justice
85. ____________considered as "Good" requires 92. _________states that a just society‟s laws
containing and following a norm of moral and institutions promote the best overall or
values keeping the expectations and rights of average
people ahead of the profit maximization of welfare of its members.
business (a) Egalitarianism
(a) Business ethics (b) Utilitarianism
(b) business environment (c) Socialist justice
(c) business Economics (d) Capitalist justice
(d) None of the above 93. According to this belief, the greatest benefits
86. Good business ethics is beneficial for for all, and the society should be organized in
businesses in the following three ways: such a way that its wealth is allocated to meet
(a) It Discourages the breaking of laws in business everyone‟s basic needs.
activities. (a) Egalitarianism
(b) It assists businesses to avoid steps for which (b) Utilitarianism
the company may come under costly civil (c) Socialist justice
lawsuits. (d) Capitalist justice
(c) It demotivates companies to engage in actions 94. __________states “work burdens should be
which can damage the image of the company. distributed according to people‟s abilities, and
(d) All of the above benefits should be distributed according to
87. Increase profits ignoring the rights of the people‟s needs.”
consumers, giving less in quantity or quality, (a) Egalitarianism
selling old or low-quality products with free gifts, (b) Socialist justice
etc examples of ___________ (c) Capitalist justice
(a) Unethical Business Practices: (d) Libertarian justice
(b) Business Ethics 95. It is focuses on equal justice for everyone
(c) Moral Rights whether they are poor, middle class or rich.
(d) None of the above (a) Egalitarianism
88. ___________enforce duties on other people (b) Socialist justice
not to interfere in your activities which are right (c) Capitalist justice
for or important to you. (d) Libertarian justice
(a) Negative rights 96. Capitalist justice states that a person should
(b) Positive rights receive the benefits proportionate to his or her
(c) Moral rights contribution to the society.
(d) Ethical rights (a) Egalitarianism
89. ___________generate duties on others to (b) Socialist justice
give something to the person bearing the right. (c) Capitalist justice
They state that others must contribute some (d) Libertarian justice
benefits to the bearer of the right 97. ___________states that the free market is
(a) Negative rights naturally just, and that redistributive taxation
(b) Positive rights breaches the property rights of people
(c) Moral rights (a) Egalitarianism
(d) Ethical rights (b) Socialist justice
(c) Capitalist justice
21
(d) Libertarian justice (b) Evil
98. ___________is a concept whereby (c) Unethical
organizations consider the interests of society by (d) Worse
taking 107. Identify the ethical principle from the
responsibility for the impact of their activities on following
customers, employees, shareholders, (a) Truthfulness
communities and the environment in all aspects (b) Honesty
of their operations (c) Loyalty
(a) Corporate Social Responsibility (CSR) (d) All of these
(b) Corporate Business Responsibility 108. The ethics of business is reflected through
(c) Corporate Individual Responsibility the following indicators- identify it.
(d) Business Social Responsibility (a) The characteristics of good business
99. The word „Ethics‟ is derived from the Greek (b) Objectives which are desirable for business to
word – follow
(a) Ethical (c) The manner in which business activities should
(b) Ethikos be conducted in the nterest of the society
(c) Ethic (d) All of these
(d) Ehos 109. Social values of the business form the base
100. The word „Ethics‟ is derived from the Greek for –
word „ethikos‟ which means – (a) Social responsibilities
(a) Character (b) Social performance
(b) Manners (c) Social duties
(c) Customs (d) Social ethics
(d) All of these 110. The concept of ethics deals only with –
101. The word „Ethics‟ is derived from the Latin (a) Employees
word „moras‟ which ,means (b) Workers
(a) Customs (c) Human beings
(b) Good or bad (d) Managers
(c) Right or wrong 111. It is the foundation of business ethics, it
(d) Rules of human behavior refers to –
102. Business ethics means the sum total of (a) Moral and ethical values
principles and conduct businessmen are (b) Moral and good value
expected to follow at the time of dealing with (c) Moral and right values
various (d) Moral and social values
(a) Stakeholders 112. Business ethics is an art because it
(b) Bookseller emphasizes practical use of –
(c) Retailers (a) Behavioural standards
(d) Wholesalers (b) Behavioural norms
103. Ethics is a branch of – (c) Behavioural rules
(a) Sociology (d) Behavioural discipline
(b) Anthropology 113. Business ethics is also a science as it involves
(c) Philosophy judgment between –
(d) Zoology (a) The good and bad
104. Business ethics deals primarily with ----------- (b) The right and the wrong
--- (c) Correct and incorrect
(a) Social responsibility (d) None of these
(b) The pricing of products and services 114. The term business ethic is considered as a
(c) Moral obligation relative term because the concept of business
(d) Being unfair to the competition ethics
105. Ethics works as a guiding principle as to (a) Changes from industry to industry
decide – (b) Changes from one business to another
(a) What is good or bad business
(b) What is right and wrong behavior (c) Changes of one sector to another sector
(c) Both (a) and (b) (d) None of these
(d) None of these 115. Unethical behavior is often triggered by –
106. What is right is ethical and what is wrong is (a) Pressure from higher management to achieve
– goals
(a) Bad
22
(b) An organizational atmosphere that condones 125. What level of private information can be
such behavior demanded from the employees by the
(c) Both (a) and (b) organization or business purposes and how this
(d) A system of checks and balances information can be obtained is an ethical
116. Businessmen can follow ethical practices in issue related to –
their businesses only if they have – (a) Marketing management
(a) Right goals and objectives (b) Accounting
(b) Right mission and vision (c) Human Resource Management
(c) Right education and guidance (d) Operations Management
(d) Right knowledge 126. It is a standard by which marketing actions
117. Business ethical is not against – may be judged as „right‟ or „wrong‟.
(a) Making capital gains (a) Marketing ethics
(b) Making abnormal profit (b) Accounting ethics
(c) Making abnormal gains (c) Production ethics
(d) Profit making (d) Selling ethics
118. Ethics in the business context must be – 127. The unethical practices in marketing involve
(a) Voluntary –
(b) Compulsory (a) Engaging in price fixing
(c) Legal (b) Price discrimination
(d) Optional (c) Price skimming etc.
119. What type of science is ethics? (d) All of these
(a) Normative science 128. Prominent display of the name of the liquor
(b) Nature science brand without any kind of reference to the
(c) Physical Science liquor is called –
(d) Pure science (a) Direct advertising
120. In which of the following areas ethical issues (b) Indirect advertising
can arise? (c) Surrogate advertising
(a) Corporate acquisitions (d) None of these
(b) Mergers 129. Identify the production function which is not
(c) Marketing policies governed by production ethics –
(d) All of these (a) Ethical problems arising out of new
121. Ethical principles are – technologies which have adverse impact on
(a) Universal philosophy health, safety
(b) World philosophy and environment
(c) Corporate philosophy (b) Defective, addictive and inherently dangerous
(d) Stakeholders philosophy product like tobacco, alcohol, weapons, chemical
122. Choose the ethical issue which is confronted manufacturing etc.
by financial firms and their employees from (c) Ethical relations between the company and the
the following alternatives – environment include pollution, global warming,
(a) Window dressing of Balance Sheet increase in water toxicity and diminishing natural
(b) Misleading financial analysis resources
(c) Insider trading (d) All of these
(d) All of these 130. It involves heavy discount offering and drive
123. It is a form of bribery that involves a person the competitors out of the reciprocity etc. which
to use his/her position to benefit a party or re followed in these transactions are called –
someone else (a) Predatory pricing
(a) Kickbacks (b) Skim the cream pricing
(b) Insider trading (c) Odd pricing
(c) Window dressing of Balance Sheet (d) Cost plus pricing
(d) Creative Accounting 131. The ethical practices like equality, principle
124. In Human Resource Management ethical of honesty, principle of reciprocity etc. which
issues like discrimination center around are followed in these transactions are called –
discrimination on the bases of – (a) Transactional ethics
(a) Age (b) Participatory ethics
(b) Gender (c) Recognition ethics
(c) Race (d) Meta ethics
(d) All of these 132. A corporation by participating in common
projects on a regular basis can demonstrate
23
that it has taken corporate citizenship seriously. (b) 2% of the average net profits made in the
It refers to the type of ethics – preceding three years
(a) Recognitional Ethics (c) 4% of the average net profits made in the
(b) Meta Ethics preceding three years
(c) Transactional ethics (d) 3% of the average net profit preceding three
(d) Participatory Ethics years
133. All human being have the ability to 141. How many board members must be there in
understand he problems of others. This quality the Corporate Social Responsibiity Committee?
helps to understand the conflicting situations and (a) Three or more directors
recognisition of the situations. This refers to (b) Four or more directors
the type of ethics – (c) Five or more directors
(a) Meta ethics (d) None of these
(b) Recognitional ethics 142. Which Section of the Companies Act, 2013
(c) Participatory ethics relates to Corporate Social Responsibility?
(d) Transactional ethics (a) 134
134. The term „beneficence‟ refers to actions – (b) 133
(a) That promote the well being of others (c) 136
(b) That promote the well being of individuals (d) 135
(c) That promote the well being of groups 143. Ethics is important because -------------
(d) None of these (a) Suppliers prefer to deal with ethical companies
135. Which one of the following arguments are (b) Customers prefer to deal with ethical
against business ethics? companies
(a) Creating better public image (c) Employees prefer to deal with ethical
(b) Reduces freedom to maximize profits companies
(c) Lack of Criteria or Yardstick (d) All of the choices.
(d) Need willing acceptance 144. Ethics is the same as –
136. Which one of the following arguments are (a) Legality
against business thics? (b) Strict compliance
(a) Creates positive work environment (c) Conformance to agrees values
(b) Compliance with law (d) Following black letter law
(c) Encouragement to Triple Bottom Line 145. Which of the following factors are
Reporting responsible for corroding the ethical sense of
(d) Following sound business ethics practices industrial leaders?
involves cost (a) Corruption
137. Corporate Social Responsibility is considered (b) Bribery
as a – (c) Black money
(a) Management concept (d) All of these
(b) Accounting concept
(c) Modern concept
138. Corporate Social Responsibilities refers to
business practices involving initiatives that
benefit –
(a) Shareholder
(b) Government
(c) Society
(d) Foreigners
139. Spending on Corporate Social Responsibility
is mandatory for companies having –
(a) Net worth of rupees 500 crores or more
(b) Net worth of rupees 600 crores or more
(c) Net worth of rupees 700 crores or more
(d) None of these
140. What percentage of profit is to be spent
compulsorily by a company every year on
corporate social responsibility activities?
(a) 5% of the average net profits made in the
preceding three years
24
Unit 6: Principles of Business Ethics
1. __________refers to the standards and 10. The important rules or principles of business
principles which govern the business activities. ethics are _______________
(a) Business ethics (a) Respect Consumers Rights
(b) Business Corporation (b) Accept Social Responsibilities
(c) Business Environment (c) Satisfy Consumers‘ Wants
(d) Business Management (d) All of the above
2. __________means doing business activities 11. The important rules or principles of business
with rational thinking and honesty ethics are _______________
(a) Business ethics (a) Service Motive
(b) Business Corporation (b) Intentions of Business
(c) Business Environment (c) Optimum Utilization of Resources
(d) Business Standards (d) All of the above
3. Now a days availability of proper safety 12. Avoid Exploitation of Consumers , Avoid
measures for employees, satisfaction of Profiteering , Encourage Healthy Competition ,
consumers and protection of environment are Ensure Accuracy , Fair Treatment to Employees
modern ______________ etc are
(a) Business ethics (a) Principles of business ethics
(b) Business Corporation (b) Business Corporation
(c) Business Environment (c) Business Environment
(d) Business Standards (d) Business Standards
4. The ___________of business ethics are related 13. Which of the following is not a principle of
to social groups that comprise of consumers, Business Ethics:
employees, investors, and the local community. (a) Profiteering
(a) Principles (b) Encourage Healthy Competition
(b) Standards (c) Pay Taxes Regularly
(c) Environment (d) Avoid Exploitation of Consumers
(d) All of the above 14. Which of the following is not a principle of
5. The important rules or principles of business Business Ethics:
ethics are _______________ (a) Avoid Exploitation of Consumers
(a) Avoid Exploitation of Consumers (b) Avoid Profiteering
(b) Avoid Profiteering (c) Unhealthy Competition
(c) Encourage Healthy Competition (d) Fair Treatment to Employees
(d) All of the above 15. According to this principle, the business must
6. The important rules or principles of business tell the people clearly, what it tends to do.
ethics are _______________ (a) Rule of publicity
(a) Ensure Accuracy (b) Rule of equivalent price
(b) Pay Taxes Regularly (c) Rule of conscience in business
(c) Get the Accounts Audited (d) Rule of spirit of service
(d) All of the above 16. According to this principle, the customer
7. The important rules or principles of business should get proper value for their money. Below
ethics are _______________ standard, outdated and inferior goods should not
(a) Fair Treatment to Employees be sold at high prices.
(b) Keep the Investors Informed (a) Rule of publicity
(c) Avoid Injustice and Discrimination (b) Rule of equivalent price
(d) All of the above (c) Rule of conscience in business
8. The important rules or principles of business (d) Rule of spirit of service
ethics are _______________ 17. According to this principle, the
(a) No Bribe and Corruption businesspersons must have conscience while
(b) Discourage Secret Agreement doing business, i.e. a morale sense of judging
(c) Service before Profit what is right and what is wrong.
(d) All of the above (a) Rule of publicity
9. The important rules or principles of business (b) Rule of equivalent price
ethics are _______________ (c) Rule of conscience in business
(a) Avoid Monopoly (d) Rule of spirit of service
(b) Fulfill Customers‘ Expectations
(c) Practice Fair Business
25
18. According to this principle, The business must 28. While morals are concerned with
give importance to the service motive. _________of right and wrong, ethics are related
(a) Rule of publicity to right and wrong __________of an individual in
(b) Rule of equivalent price a particular situation
(c) Rule of conscience in business (a) principles, conduct
(d) Rule of spirit of service (b) conduct, principles
19. Following are the elements of business ethics: (c) customs, character
(a) Identification (d) character, customs
(b) Evaluation 29. ____________are the social, cultural and
(c) Imagination religious beliefs or values of an individual or
(d) All of the above group which tells us what is right or wrong
20. Following are the elements of business ethics: (a) Morals
(a) Tolerance (b) Ethics
(b) Obligations (c) Customs
(c) Competence (d) Behaviour
(d) All of the above 30. ____________are the rules and standards
21. The word Morals is derived from a made by the society or culture which is to be
__________word followed by us while deciding what is right.
(a) Greek (a) Morals
(b) French (b) Ethics
(c) German (c) Customs
(d) Latin (d) Behaviour
22. The word Morals is derived from a Greek 31. Some ___principles are Do not cheat, Be
word __________ loyal, Be patient, Always tell the truth, Be
(a) Mos generous
(b) Mor (a) Morals
(c) Mrl (b) Ethics
(d) Mrls (c) Customs
23. The word Morals is derived from a Greek (d) Behaviour
word “Mos” which means __________ 32. ________refer to the beliefs what is not
(a) Rule objectively right, but what is considered right for
(b) custom any situation, so it can be said that what is
(c) Behaviour morally correct may not be objectively correct.
(d) Character (a) Morals
24. The word Ethics is derived from a (b) Ethics
__________word (c) Customs
(a) Greek (d) Behaviour
(b) French 33. Ethics is a branch of __________
(c) German (a) Philosophy
(d) Latin (b) Science
25. Ethics, it is also derived from a Greek word (c) Economics
(a) Ethikos 34. _________is a branch of philosophy that
(b) Ethikas deals with the principles of conduct of an
26. Ethics, it is also derived from a Greek word individual
“Ethikos” which means _________ or group
(a) Rule (a) Morals
(b) custom (b) Ethics
(c) Behaviour (c) Customs
(d) Character (d) Behaviour
27. Put simply, morals are the 35. Some___________ principles are
_________established by group of individuals Truthfulness, Honesty, Loyalty, Respect, Fairness,
whereas ethics defines the ___________of an Integrity
individual.**** (a) Ethical
(a) customs, character (b) Morals
(b) character, customs (c) Customs
(c) Rule, Behaviour (d) Behaviour
(d) Behaviour, Rule
26
36. ________deal with what is „right or wrong‟ 43. _________assume that the chooser will abide
while __________deals with what is „good or by societal norms, such as codes of law or
evil‟.* religious teachings, in order to make the choice
(a) Morals, Ethics ethically impossible.
(b) Ethics, Morals (a) Ethical dilemma
(c) principles, conduct (b) Ethical trauma
(d) conduct, principles (c) Moral trauma
37. __________are general guidelines framed by (d) None of the above
the society E.g. We should speak truth. 44. An organization needs to follow certain –
Conversely, __________are a response to a (a) Principle of management
particular situation (b) Principles of business ethics
(a) Morals, Ethics (c) Principles of social science
(b) Ethics, Morals (d) Principles of natural science
(c) principles, conduct 45. An ethical dilemma is a decision making
(d) conduct, principles problem between –
38. ____________are dictated by society, culture (a) Two possible options
or religion while __________ are chosen by the (b) Five possible options
person himself which governs his life. (c) Three possible options
(a) Morals, Ethics (d) Four possible options
(b) Ethics, Morals 46. The principle of business ethics are related to
(c) principles, conduct social groups that comprise of –
(d) conduct, principles (a) Consumers
39. _______ are concerned with principles of (b) Employees
right and wrong. On the contrary, (c) Investors
_______stresses (d) All of these
on right and wrong conduct. 47. Which of the following are principles of
(a) Morals, Ethics business ethics?
(b) Ethics, Morals (a) Avoid Exploitation of Consumers
(c) principles, conduct (b) Practice of Unfair Business
(d) conduct, principles (c) Do not respect Consumer Rights
40. ___________ are framed and designed by the (d) Bribe and Corruption
group, there is no option to think and choose; the 48. Which of the following are elements of
individual can either accept or reject. Conversely, business ethics?
the people are free to think and choose the (a) Involving Employees at all levels
principles of his life in ___________ (b) Top management commitment
(a) Morals, Ethics (c) Both (a) and (b)
(b) Ethics, Morals (d) Either (a) or (b)
(c) principles, conduct 49. The beliefs of the individual or group as to
(d) conduct, principles what is right or wrong are called –
41. ________may vary from society to society (a) Morals
and culture to culture. As opposed to (b) Ethics
______which remains same regardless of any (c) Norms
culture, religion or society. (d) Code of conduct
(a) Morals, Ethics 50. It remains same regardless of ay culture,
(b) Ethics, Morals religion or society. It refers to –
(c) principles, conduct (a) Norms
(d) conduct, principles (b) Ethics
42. _________also known as a moral dilemmas, (c) Morals
are situations in which there is a choice to be (d) Discipline
made between two options, neither of which 51. We should speak truth. This is an example of–
resolves the situation in an ethically acceptable (a) Morals
fashion (b) Discipline
(a) Ethical dilemma (c) Norms
(b) Ethical trauma (d) Ethics
(c) Moral trauma
(d) None of the above
27
52. Ethics which is widely applicable in the 61. Which of the following are ethical dilemmas
business, known as – in Accounting and Finance –
(a) Ethical principles (a) Amount of provision for bad debts
(b) Business ethics (b) Amount of secret reserve whether it really
(c) Professional ethics need to be created
(d) None of these (c) Hypothetical values placed on intangibles etc.
53. These are expressed in the form of general (d) All of these
rules and statements – 62. Which of the following ethical dilemmas are
(a) Culture faced by HR managers?
(b) Morals (a) Breach of Privacy
(c) Ethics (b) Whistle Blowing
(d) Business ethics (c) Performance evaluation
54. It is widely applicable in the business, known (d) All of these
as – 63. It refers to disclosure of illegal, immoral and
(a) Business ethics illegitimate practices by any current or retired
(b) Professional ethics employee of the organization against their
(c) Personal ethics employees. It refers to –
(d) Group ethics (a) Auditing
55. Every decision is having more than one (b) Investigation
alternative available to choose from. As a result (c) Whistle Blowing
we (d) Decision –making
face – 64. Which of the following factors are unrelated
(a) Problem to performance evaluation?
(b) Confusion (a) Closeness of the top management
(c) Conflict (b) Belongs to different caste and social values
(d) Dilemma (c) Organisational goals and mission‘
56. Basically every dilemma contains an – (d) Organizational vision and mission
(a) Ethical dilemma 65. Ethical dilemmas may also be generated due
(b) Dilemmas dilemma conflict between –
(c) Confusing dilemma (a) Employees and managers
(d) None of these (b) Organizational goals and social values
57. In ethical dilemma judgments are made from (c) Organizational goals and mission
– (d) Organisational vision and mission
(a) Two view points 66. If the companies can spot the unethical
(b) Three view points applicants or anticipate them to be so in future or
58. When the judgments are made from the point measure their unethical nature then those
of view of those who make the decisions then it candidates will –
is known as – (a) Be selected
(a) Principal (b) Not be selected
(b) Agent (c) Be selected for temporary period
(c) Representative (d) Be selected for one year
(d) Assistant 67. In a situation of ethical dilemma decision
59. When judgments are made from the point of rules are –
view of those who require decision is called (a) Clear
(a) Representative (b) Vague
(b) Assistant (c) Conflicting
(c) Agent (d) Transparent
(d) Principals 68. In a situation of ethical dilemma the outcome
60. When judgment are made from the point of of the decision cannot be predicted –
view of the most of the people who do not (a) Accurately
participate in decision-making but are affected (b) Perfectly
by the decision known as the – (c) Confidently
(a) Common good (d) Decisively
(b) General interest
(c) Both (a) and (b)
(d) None of these
28
69. In case of a salesperson when does offering a
gift to a customer become a sales promotion or a
bribe? This is an example of –
(a) Ethical decision-making
(b) Ethical dilemma
(c) Moral decision-making
(d) None of these
70. When one person is both an agent and a
principal then it is the case of –
(a) Business ethical dilemma
(b) Simple ethical dilemmas
(c) Personal ethical dilemma
(d) Multiple ethical dilemmas
71. When an agent and a principal are different
person then it is the case of –
(a) Personal ethical dilemma
(b) Multiple ethical dilemmas
(c) Business ethical dilemmas
(d) Simple ethical dilemmas
72. Resolution to the ethical dilemmas must be
made within the legal framework otherwise it
will lead to –
(a) Legal business
(b) Illegal business
(c) Ethical business
(d) Unethical business
73. The ethical dilemma of choosing between two
rights refers to –
(a) Choosing between the lesser of two evils
(b) Deciding which of two employee right is the
most important
(c) Deciding to offer a bribe or lose out on an
important opportunity
(d) Choosing between the two type of sexual
harassment.
29
Unit 7: Ethics in Management
(c) Deceptive marketing policies
1. Ethics is a subject of __________that is related (d) Direct marketing
with moral principles and social values. 9. A _________ is an anti-competitive process. It
(a) Social science is a non-sustainable business model that
(b) Pure Science promises the participants payment or services,
(c) Political Science mainly for enrolling other people into the
(d) Arts scheme; it does not supply any real investment or
2. __________can be termed as a study of proper sell products or services to the public.
business policies and practices regarding (a) Pyramid scheme
potentially controversial issues, such as (b) Planned obsolescence
corporate governance, insider trading, bribery, (c) Deceptive marketing policies
discrimination, corporate social responsibility, (d) Direct marketing
and fiduciary responsibilities. 10. ___________is one of the most controversial
(a) Business Ethics methods of advertising channels, especially
(b) Business Economics when the approaches included are unsolicited.
(c) Business Management (a) Pyramid scheme
(d) Business Environment (b) Planned obsolescence
3. According to Crane, "___________ is the study (c) Deceptive marketing policies
of business situations, activities, and decisions (d) Direct marketing
where issues of right and wrong are addressed." 11. ____________are not contained in a specific
(a) Business Ethics limit or to one target market, and it can
(b) Business Economics sometimes go unseen by the public
(c) Business Management (a) Pyramid scheme
(d) Business Environment (b) Planned obsolescence
4. _______________deals with work force (c) Deceptive marketing policies
management, manpower planning and other (d) Direct marketing
employee related activities in an organization. 12. ___________is a type of fraud in which a
(a) Human Resource Management (HRM) commercial contract is promised to one party,
(b) Personnel Management however, for the sake of appearance several
(c) Marketing Management other parties also present a bid.
(d) Business Management (a) Bid rigging
5. __________concerns human issues, especially (b) Predatory pricing
those related with compensation, development, (c) Pyramid scheme
industrial relations, health and safety issues (d) Planned obsolescence
(a) Human Resource Management (HRM) 13. ___________is the practice of sale of a
(b) Personnel Management product or service at a negligible price, intending
(c) Marketing Management to throw competitors out of the market, or to
(d) Business Management create barriers to entry.
6. Ethical issues in HR are ___________ (a) Bid rigging
(a) Cash and Compensation Plans (b) Predatory pricing
(b) Race, Gender, and Disability (c) Pyramid scheme
(c) Employment Issues (d) Planned obsolescence
(d) All of the above 14. ______________first coined the term work
7. In ethical organisations, the only factor of ethic in 1904
appraisal is ___________ (a) Max Weber
(a) Performance (b) Henry Fayol
(b) Profit (c) Almont Mayo
(c) Production (d) Mark parker Follet
(d) None of the above 15. There are genuine virtues such as hard work,
8. __________ is a method of designing a frugality, honesty, perseverance and integrity
particular product having a limited useful life. It that form the core of ______________
will become non-functional or out of fashion (a) Work Ethic
after a certain period and thereby lets the (b) Ethics in HRM
consumer (c) Ethics in Marketing
to purchase another product again. (d) Ethics in Accounting and finance
(a) Pyramid scheme
(b) Planned obsolescence
30
16. All the values included in the set of 24. ___________include a host of rights that
_______require us to have a degree of self- belong to businesses of individuals, such as
sacrifice, or dedicating ourselves to the task. patents,
(a) Work Ethic copyright, industrial design rights, trademarks,
(b) Ethics in HRM plant variety rights, trade dress, and in some
(c) Ethics in Marketing jurisdictions trade secrets.
(d) Ethics in Accounting and finance (a) Intellectual property rights
17. __________means to be responsible towards (b) Patent Rights
the time and duty during working hours. It also (c) Copyright
means accepting responsibility, gathering (d) Trademarks
yourself and willingly working towards an 25. A ___________is a form of right granted by
acceptable resolution. Taking initiative and being the government to an inventor, so that he may
punctual also comes under this purview. benefit monetarily from his/her invention
(a) Accountability (a) Intellectual property rights
(b) Integrity (b) Patent Rights
(c) Dedication (c) Copyright
(d) Collaboration (d) Trademarks
18. _________ Integrity might mean, being 26. A __________gives the creator of original
honest in reporting or being transparent while work exclusive rights to it, usually for a limited
reporting cash transactions. time.
(a) Accountability (a) Intellectual property rights
(b) Integrity (b) Patent Rights
(c) Dedication (c) Copyright
(d) Collaboration (d) Trademarks
19. It is the recognition of something beyond 27. A _________is a recognizable and unique
oneself more permanent and powerful than the sign, design or expression, which distinguishes
self products or services.
(a) Transcendence (a) Intellectual property rights
(b) Self-Control (b) Patent Rights
(c) Wisdom and Knowledge (c) Copyright
(d) Justice and Fair Guidance (d) Trademarks
20. ___________can be broken down to limiting 28. A _________is a formula, practice, process,
others' access to an individual or business design, instrument, pattern, information which is
organizations‟ information with "three elements secret and by which a business can obtain an
of secrecy, anonymity, and solitude." economic advantage over competitors or
(a) Privacy customers.
(b) Property (a) Trade secret
(c) Security (b) Intellectual property rights
(d) Accuracy (c) Patent Rights
21. ___________is related with the right to (d) Copyright
protection from undesired attention. 29. It disturbs a normal workplace environment.
(a) Anonymity It may include screaming, swearing, waving
(b) Solitude arms, punching gestures, verbally abusing
(c) Secrecy colleagues, and denying response to a legitimate
(d) Privacy request for information.
22. ________refers to the deficiency of physical (a) Disruptive Behaviour
proximity of a business or an individual. (b) Threatening Behaviour
(a) Solitude (c) Violent Behaviour
(b) Secrecy (d) All of the above
23. __________is the protection of personalized 30. It includes moving very close to a person
information from being freely accessed. aggressively or making oral or written threats to
(a) Anonymity people or property.
(b) Solitude (a) Disruptive Behaviour
(c) Secrecy (b) Threatening Behaviour
(d) Privacy (c) Violent Behaviour
31
31. It includes physical assaults, which may be 38. Which approach to management ethics
unarmed or armed. It also includes any action, a analyses the effects of managerial decisions on
reasonable person would believe is potentially those
violent. who are affected by these decisions?
(a) Disruptive Behaviour (a) Utilitarian Approach
(b) Threatening Behaviour (b) Code of Ethics Approach
(c) Violent Behaviour (c) Social Justice Approach
(d) All of the above (d) Moral Rights Approach
32. It is a set of principles and rules dictated by 39. Analyzing the pollution standards and the
top level management that defines what is good impact of pollution on the society is the
and bad, or right and wrong, or what is moral management ethics code under this approach.
duty and obligation of a manager. It refers to: Which approach to management ethics referred
(a) Management Ethics here –
(b) Managerial Ethics (a) Moral Rights Approach
(c) Both (a) and (b) (b) Social Justice Approach
(d) None of these (c) Utilitarian Approach
33. It is a standard of behavior or code of ethics (d) Code of Ethics Approach
that guides individual managers in their decision- 40. In which approach to management ethics
making and works in a conflicting situation. It employees are not discriminated on the basis of
refers to – gender, caste, religion or race but discrimination
(a) Business morals is justified when it is made on the basis of
(b) Business ethics abilities of employees –
(c) Management ethics (a) Utilitarian Approach
(d) Corporate ethics (b) Code of Ethics Approach
34. In the changed socio-economic environment (c) Social Justice Approach
the focus of managerial ethics is (d) Moral Rights Approach
(a) Social responsibility 41. In which approach to management ethics
(b) Moral responsibility managers disclose vital information in the annual
(c) Ethical responsibility report of the organization by considering its
(d) Corporate responsibility nature, timing and validity for the welfare of the
35. In what type of management ethics managers people.
does not follow any ethical practices and their (a) Moral Rights Approach
main aim is maximization of profit at the cost of (b) Code of Ethics Approach
employees and legal standards. (c) Utilitarian Approach
(a) Moral management (d) Social Justice Approach
(b) Amoral management 42. In which approach to management ethics
(c) Immoral management some actions would be considered wrong even if
(d) Unethical management the consequences of these actions were good –
36. In what type of management ethics managers (a) Deontologist Approach
try to maximize profit within the limits of law (b) Social Justice Approach
and also within the parameters of ethical (c) Moral Right Approach
standards and the ideals of fairness, justice, and (d) Utilitarian Approach
due process. 43. Utilitarianism employs which approach to
(a) Immoral management management ethics?
(b) Moral management (a) Justice
(c) Amoral management (b) Teleolgist
(d) Ethical management (c) Virtue
37. Managers respond to legal and personal (d) Common good
ethics only when it is required otherwise they 44. This is concerned with ethical issues arising
lack the idea of managerial ethics and its out of employer-employee relationship, such as
implications. It refers to what type of fixing the rights and duties of both employees
management and HR executives. Which HR related ethics is
ethics? referred here –
(a) Immoral management (a) Employment ethics
(b) Moral management (b) Pay-fixation ethics
(c) Amoral management (c) Right and duty related ethics
(d) Unethical management (d) None of these
32
45. Which of the following issues of ethics are (c) Remains stagnant
faced by HRM – (d) None of these
(a) Unethical practices in performance appraisals 54. The short-term focus on company finances is
(b) Discrimination issues sometimes known as –
(c) Suppression of Democratization in the (a) Glaucoma management
Workplace (b) Retina management
(d) All of these (c) Myopic management
46. Which of the following are specific issues in (d) None of these
marketing ethics? 55. Which of the following methods are used in
(a) Work simplification Creative Accounting?
(b) Job Rotation (a) Off balance sheet financing
(c) Job Enlargement (b) Abuses of Accounting Concepts and
(d) All of these Conventions
47. Which of the following are specific issues in (c) Manipulating assets and liabilities
marketing ethics? (d) Over and Under Valuation of Inventories
(a) Product Development 56. Which of the following are ethical issues in
(b) Pricing finance?
(c) Both (a) and (b) (a) Insider trading
(d) None of these (b) Financial services
48. Which of the following ethics issues arises in (c) Financial markets
distribution? (d) All of these
(a) Manufacturers coerce retailers to sell slow 57. The trading of a public company‟s stock or
moving products along with fast moving products. other securities like bonds or stock options by
(b) Retail chemist shops sell medicines without individuals with possession of material,
any prescriptions. nonpublic information about the securities is
(c) Some firms use their own retail outlets in order called
to bypass retailers (a) Insider trading
(d) All of these (b) Online trading
49. Which of the following ethical issues are (c) Offline trading
involved in promotion or advertising? (d) Direct trading
(a) Concealment of information 58. Which of the following are unethical practices
(b) Green washing in financial services –
(c) Racial Stereotyping (a) Before recommending any security an
(d) Targeting the Vulnerable investment advisor buys securities and thenm sells
50. It is deceptively used by an organization to them when the prices have risen based on the
promote the perception that its products, aims or recommendation.
policies are environmentally friendly – (b) Companies get involved in illegal dividend
(a) Blue washing payment when there is capital surplus, which
(b) White washing leads to insolvency of the company.
(c) Green washing (c) Brokers, agent and insurance sells involve
(d) Green pricing churning account which benefits agents at the
51. Accounting ethics is a part of expenses of the clients.
(a) Business ethics (d) All of these
(b) Marketing ethics 59. Which of the following are ethical issues in
(c) Finance ethics financial markets –
(d) Human Resource Management ethics (a) Churning
52. The process by which accountants use their (b) Illegal dividend payment
knowledge of accounting rules to manipulate the (c) Creative accounting
figures reported in the accounts of a business is 60. It means excessive or inappropriate trading in
known as – a client account by a stock broker who has
(a) Financial accounting control over his client‟s account with the
(b) Creative Accounting intention of gain commission and not to give any
(c) Cost accounting benefit to his client. It refers to
(d) Fair value accounting (a) Insider trading
53. Due to fraudulent reporting the share price of (b) Churning
a company‟s stock may - (c) Account hacking
(a) Boost up (d) None of these
(b) Fall down
33
61. The moral principles, standard of behavior, or
set of values that guide a person‟s actions in the
workplace is called –
(a) Office place ethics
(b) Factory place ethics
(c) Behavior ethics
(d) Work place ethics
62. From which of the following sources
workplace ethics is derived –
(a) Laws and industry regulations of industries
(b) Accountability
(c) Both (a) and (b)
(d) Either (a) or (b)
63. Which of the following are indicators of good
workplace ethics –
(a) Be punctual
(b) Be accountable for your actions
(c) Stay professional
(d) All of these
64. Which of the following examples describe
poor ethics in the workplace?
(a) Poor customer services
(b) Lack of communication
(c) Bribes
(d) All of these
65. It means unwanted direct or indirect sexual
contact, sexual comments, or conduct like verbal
and physical sexual advances, inappropriate
body language on part of the male colleagues
against their women colleagues at any
workplace. It refers to
(a) Physical harassment
(b) Sexual harassment
(c) Mental harassment
(d) Unwanted harassment
66. The moral principles, standards of behavior,
or set of values that guide a person‟s actions in
the workplace is called –
(a) Office place ethics
(b) Factory place ethics
(c) Behavioural ethics
(d) Work place ethics
67. Values and ethics shape the –
(a) Corporate discipline
(b) Corporate culture
34
Unit 8: Corporate Culture
8. When the company develops a policy of
1. ___________refers to the beliefs and withholding information from employees, that
behaviors that determine how a company's can start to develop a culture of distrust among
employees and management interact and handle the staff is called___________
outside business transactions. (a) Employee Retention
(a) Corporate culture (b) Incentive Pay
(b) Corporate environment (c) Focus
(c) Corporate behaviour (d) Risk
(d) Corporate Management 9. Functions of corporate culture
2. _________is implied, not expressly defined, are____________
and develops organically over time from the (a) Cooperation
cumulative traits of the people the company (b) Decision Making
hires. (c) Control
(a) Corporate culture (d) All of the above
(b) Corporate environment 10. Functions of corporate culture
(c) Corporate behaviour are____________
(d) Corporate Management (a) Communication
3. A __________will be reflected in its dress code, (b) Commitment
business hours, office setup, employee (c) Perception
benefits, turnover, hiring decisions, treatment of (d) All of the above
clients, client satisfaction and every other 11. _________is the branch of knowledge that
aspect of operations. deals with moral principles.
(a) company's culture (a) Ethics
(a) Corporate environment (b) Economics
(b) Corporate behaviour (c) Environment
(c) Corporate Management (d) Arts
4. _________represents the professional values a 12. ____________ (also corporate ethics) “is a
company adopts that dictate how it interacts form of applied ethics or professional ethics that
with employees, vendors, partners and clients. examines ethical principles and moral or ethical
(a) Corporate culture problems that arise in a business environment. It
(b) Corporate environment applies to all aspects of business conduct and is
(c) Corporate behaviour relevant to the
(d) Corporate Management conduct of individuals and entire organizations”.
5. The ___________dictates how much risk an (a) Business ethics
organization is willing to take when it comes to (b) Business Economics
research and development, client interaction, (c) Business Environment
investing in equipment and any other activity (d) Business Management
that involves risk. 13. ___________ “ Refers to the growing
(a) Corporate culture interdependence of countries resulting from the
(b) Corporate environment increasing business on integration of trade,
(c) Corporate behaviour Finance, people, and ideas in one global
(d) Corporate Management marketplace
6. The ___________is one that promotes (a) Globalization
environmental responsibility, that will impact the (b) International trade
risks that the company will take when developing (c) Cross-border investment
new products. (d) All of the above
(a) Corporate culture 14. _____________can be defined as the
(b) Corporate environment standards and beliefs of an organization. These
(c) Corporate behaviour standards and beliefs are made by the managers
(d) Corporate Management of the organization.
7. ________is something that employers use to (a) Corporate ethical codes
improve productivity and maintain employee (b) Corporate ethical standards
morale. (c) Corporate ethical beliefs
(a) Incentive pay (d) All of the above
(b) Employee Retention
35
15. A set of values, beliefs, goals, norms and ways 23. The culture of sales department is going to
of solving the problems of the organization as influence customer satisfaction and similarly
well the employees is called – customer satisfaction of sales department. This is
(a) Departmental culture an example of
(b) Corporate culture (a) Bad corporate culture
(c) Subsidiary culture (b) Healthy corporate culture
(d) Leadership culture (c) Negatively corporate culture
16. A corporate culture can be created by a – (d) None of these
(a) Founder of the company 24. It means integrating the economy of a
(b) Promoter of the company country with the world economy. It refers to –
(c) Shareholders of the company (a) Nationalization
(d) Financiers of the company (b) Globalization
17. One corporate house can be distinguished (c) Foreign collaboration
from other house in terms of – (d) None of these
(a) Governance 25. Which of the following important issues arise
(b) Ethics from globalization and cross culture issues in
(c) Culture ethics?
(d) Leadership styles (a) Corruption
18. It is a set of written guidelines that are (b) Bribery
needed to realize the goals of the company – (c) Cheating
(a) Code of rules (d) All of these
(b) Code of order 26. It is a written document that outlines the
(c) Code of guidelines principles of conduct to be used in making
(d) Code of conduct decisions. It refers to –
19. Strong corporate culture teaches employees (a) Code of standard
of the organization to – (b) Code of performance
(a) Worm individually (c) Code of ethics
(b) Work with ethics (d) Code of product
(c) Work in teams 27. This code of ethics set guideline for the
(d) None of these conduct of the employees of the company and
20. The tone and tenor of corporate culture also determines penalties for its violations. This
which moves down to the level employees is to refers to what type of code of ethics?
set by – (a) Discipline Based Code of Ethics
(a) Lower level executives (b) Compliance Based Code of Ethics
(b) Top level executives (c) Value Based Code of Ethics
(c) Middle level executives (d) Punishment Based Code of Ethics
(d) All of these 28. For which of the following reasons corporate
21. Which of the following are functions of code of ethics is developed?
corporate culture? (a) Ensuring unethical behavior
(a) Culture provides opportunity to set standards (b) Reducing the pressure on the Board
of performance (c) Good corporate Governance
(b) Corporate culture provides self satisfaction (d) None of these
(c) Corporate culture lead to a more efficient
decision-making
(d) All of these
22. What is the impact of corporate culture on
business performance?
(a) Increases Productivity
(b) Performance detoriates
(c) Negative relationship with workplace
(d) Cannot adapt with the changing world
36
Unit 9: Ethics & Corporate Governance
(c) Corporate Environment
1. __________refers to the way a corporation is (d) Corporate Ethics
governed. 9. ___________is the system of rules, practices
(a) Corporate Governance and processes by which a firm is directed and
(b) Corporate culture controlled.
(c) Corporate Environment (a) Corporate Governance
(d) Corporate Ethics (b) Corporate culture
2. It is the technique by which companies are (c) Corporate Environment
directed and managed. (d) Corporate Ethics
(a) Corporate Governance 10. __________essentially involves balancing the
(b) Corporate culture interests of a company's many stakeholders,
(c) Corporate Environment such as shareholders, management, customers,
(d) Corporate Ethics suppliers, financiers, government and the
3. It is actually conducted by the board of community.
Directors and the concerned committees for the (a) Corporate Governance
company‟s stakeholder‟s benefit (b) Corporate culture
(a) Corporate Governance (c) Corporate Environment
(b) Corporate culture (d) Corporate Ethics
(c) Corporate Environment 11. In the Corporate Governance Report, the
(d) Corporate Ethics Board of Directors annually informs
4. It is all about balancing individual and societal the________and the capital market of the
goals, as well as, economic and social goals. Corporate Governance in the company and how
(a) Corporate Governance the Code of Corporate Governance (the Code) is
(b) Corporate culture applied.
(c) Corporate Environment (a) shareholders
(d) Corporate Ethics (b) Central Government
5. _________is the interaction between various (c) State Government
participants (shareholders, board of directors, (d) Creditors
and company‟s management) in shaping 12. Benefits of Corporate Governance are
corporation‟s performance and the way it is _____________
proceeding towards. (a) Good corporate governance ensures corporate
(a) Corporate Governance success and economic growth.
(b) Corporate culture (b) Strong corporate governance maintains
(c) Corporate Environment investors‘ confidence
(d) Corporate Ethics (c) It lowers the capital cost
6. __________deals with the manner the (d) All of the above
providers of finance guarantee themselves of 13. Benefits of Corporate Governance are
getting a fair return on their investment _____________
(a) Corporate Governance (a) There is a positive impact on the share price.
(b) Corporate culture (b) It provides proper inducement to the owners
(c) Corporate Environment as well as managers
(d) Corporate Ethics (c) Good corporate governance also minimizes
7. ___________deals with determining ways to wastages, corruption, risks and mismanagement
take effective strategic decisions. It gives (d) All of the above
ultimate authority and complete responsibility to 14. Corporations are governed by
the Board of Directors. ___________statutes.
(a) Corporate Governance (a) federal and state
(b) Corporate culture (b) Central Government
(c) Corporate Environment (c) All of the above
(d) Corporate Ethics (d) None of the above
8. _______ensures transparency which ensures 15. Officers and the board of directors have ___to
strong and balanced economic development. act in the best interest of the corporation.
This also ensures that the interests of all (a) fiduciary duties
shareholders (majority as well as minority
shareholders) are safeguarded.
(a) Corporate Governance
(b) Corporate culture
37
16. The processes, mechanisms and relations by (d) None of these
which corporations are controlled, directed and 25. Section 292A of the Companies Act, 2013
administrated are called – requires every company with a paid up capital of
(a) Business ethics not less than --------------to have an Audit
(b) Code on Conduct Committee –
(c) Corporate governance (a) Four crores
(d) Code of ethics (b) Six crores
17. The main aim of corporate governance is to (c) Five crores
align the goals of corporate stakeholders and the (d) Seven crores
– 26. The minimum number of members of an
(a) Society Audit Committee must be at least –
(b) Shareholders (a) Two-members
(c) Vendors (b) Three-members
(d) Government (c) Four members
18. The concept of corporate governance (d) Five members
emerged as a response to the – 27. What is the number of independent directors
(a) Corporate collusion in case the company has a non-executive
(b) Corporate failures and corporate scandals chairman –
(c) Corporate mismanagement (a) At least 6
(d) Corporate misconduct (b) At least one-third
19. The first corporate governance initiative was (c) At least two third
launched by India‟s largest industry and (d) At least two fourth
business association known as the – 28. What is the number of independent directors
(a) Associated Chamber of Commerce and in case the company has an executive chairman
Industry (ASSOCHM) –
(b) Federation of Indian Chamber of Commerce (a) At least two third
and Industry (FICCI) (b) At least two fourth
(c) Trade Association (c) At least half of the board
(d) Confederation of Indian Industry (CII) (d) At least one third
20. The second corporate governance initiative 29. Which Certifies must be obtained by every
was taken by the – company from the auditor in order to certify
(a) SEBI his/her independence with the client company.
(b) RBI (a) Certificate of Incorporation
(c) IRDA (b) Certificate of commencement
(d) LIC (c) Certificate of assurance
21. The third initiative of corporate governance (d) Certificate of independence
was taken by – 30. Which one of the following are the
(a) Narasimham fundamental principles of corporate governance?
(b) Naresh Chandra Committee (a) Accountability
(c) Rangarajan (b) Responsibility
(d) SEBI (c) Decision-making
22. Clause 49 related to (d) All of these
(a) Listing agreement 31. It implies disclosure of accurate information
(b) Delisting agreement to the stakeholders at their right time. It refers
(c) Initial public offering to –
(d) Registration of brokers (a) Transparency
23. More recently, the Ministry of Corporate (b) Fair
Affairs (MCA) published a new set of “Corporate (c) Efficient
Governance Voluntary Guidelines” in the year – 32. The -------------and ------------------of the
(a) 2008 company enhances when it follows the corporate
(b) 2007 governance norms –
(c) 2006 (a) Goodwill, Image
(d) 2009 (b) Reputation , Efficiency
24. “Corporate Governance Voluntary Guidelines (c) Goodwill, Efficiency
2009” are – (d) Image, Reputation
(a) Mandatory in nature
(b) Voluntary in nature
(c) Recommendatory in nature
38
33. Corporate governance developes confidence 41. As per the recommendation of Kumar
among employees and motivated them for Mangalam Birla Committee Director shall not be
higher – a member of more than how many companies
(a) Efficiency across all companies?
(b) Productivity (a) 5 companies
(c) Profit (b) 6 companies
(d) Returns (c) 10 committees
34. Disclosure of various policies relating to (d) 11 companies
corporate governance in the annual reports 42. As per the recommendation of Kumar
enhances – Mangalam Birla Committee Director shall not act
(a) Corporate profit of the firm as chairman of more than how many committees
(b) Corporate value of the firm across all companies?
(c) Corporate sales of the firm (a) 5
(d) None of these (b) 6
35. Which one of the following is the reason for (c) 7
corporate governance failure? (d) 8
(a) Mismanagement of funds 43. Which one of the following is the non
(b) Shortcoming in accounting and reporting mandatory recommendation of Kumar
(c) Nepotism or favouritism Mangalam
(d) All of these Birla Committee Report?
36. Cadbury committee was formed under the (a) Role of chairman
Chairmanship of – (b) Remuneration committee of Board
(a) Adrian Cadbury (c) Shareholders‘ right for receiving half yearly
(b) Adrian Candy financial performance
(c) Holland Cadbury (d) All of these
(d) Peter Cadbury 44. The Sarbanes-Oxley Act was enacted in the
37. In India the first initiative to develop the code year
of corporate governance to guide the Indian (a) 2001
Companies was taken by – (b) 2000
(a) Federation of Indian Chamber of Commerce (c) 2003
(FICCI) (d) 2002
(b) Associated Chamber of Commerce and 45. Which agency is responsible for the
Industry of India (ASSOCHAM) enforcement of the Sarbanes – Oxley Act, 2002?
(c) National Chamber of Commerce and Industries (a) The securities and Exchange Commission (SEC)
(d) Confederation on Indian Industry (CII) (b) Securities and Exchange Board of India (SEBI)
38. Which committee divided its (c) Ministry of Corporate Affairs
recommendations into two categories, namely, (d) None of these
mandatory and 46. Which committee was formed to review
non-mandatory – clause 49, and suggest measures to improve
(a) Narayana Murthy Committee corporate governance practices in India.
(b) Narasimham Committee (a) Naresh Chandra Committee
(c) Kumar Mangalam Birla Committee (b) Kumar Mangalam Birla Committee
39. These recommendation of Kumar Mangalam (c) Narayan Murthy Committee
Birla Committee are applicable to Listed 47. Which committee reviewed the governance
Companies with paid up capital of – issues related to appointment of auditors, fees of
(a) Rs. 2 crore and above auditors, rotation of audit firms or partners and
(b) Rs. 3 crore and above make the crucial role of independent
(c) Rs. 4 crore and above directors on the board?
40. As per the recommendation of Kumar (a) Narayan Murthy Committee
Mangalam Birla Committee there must be – (b) Narasimham Committee
(a) At least 4 meeting of the board in a year (c) Naresh Chandra Committee
(b) At least 5 meetings of the Board in a year
(c) At least 2 meetings of the Board in a year
(d) At least 6 meetings of the Board in a year
39

Entrepreneurship Development

Uploaded by

Copyright:

Available Formats

You might also like

Entrepreneurship Development

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Entrepreneurship Development

Uploaded by

Copyright:

Available Formats

Sanjib Sharma | 8961676818

MCQ of 1 Marks & 2 Marks Each (c) Innovation

You might also like