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MCQ Based Questions on Class 11 Business studies for chapter-3 Private, Public And Global Enterprises

Find below MCQ Based Questions on Class 11 Business studies for chapter-3 Private, Public And Global Enterprises all the MCQ questions are explained with correct answers and explanations. To check the correct answer click on the answer. 

Find MCQ questions for class 11 Business studies-3 Private, Public And Global Enterprises

Business Studies - MCQ on Private, Public And Global Enterprises

Class XI

Q. 1.In a government company paid up capital with government is not less than

49 per cent

51 per cent

50 per cent

25 per cent

Answer:

.II.51%

Explanation: A government company means any company in which not less than 51 percent of the paid up capital is held by the central government, or by any state government.

Q. 2. Centralized control in MNC’s implies control exercised by

Branches

Subsidiaries

Headquarters

Parliament

Answer:

.III.Headquarters

Explanation: They have their headquaters in their home country and exercise control over all branches and subsidiaries.

Q. 3. PSE’s are organizations owned by

Joint Hindu family

Government

Foreign Companies

Private entrepreneurs

Answer:

.II.Government

Explanation: Non strategic Public Sector Enterprises are government organization

Q. 4. Reconstruction of sick public sector units is taken up by

I. MOFA

II. MoU

III. BIFR

IV. NRF

Answer:

III.BIFR

Explanation: Board of Industrial and Financial Reconstruction

Q. 5.Disinvestments of PSE’s implies

Sale of equity shares to private sector/public operations

Closing down

Investing in new areas

Buying shares PSE’s

Answer:

I. Sale of equity shares to private sector/public operations

Explanation: Transferring the commercial risk to the private sector so that the funds are invested in able projects.

Q. 6.Mixed Economy is a combination of

Goods and services

Private sector and cooperatives

Public sector and private sector

Private sector and MNC

Ans.III.Public sector and private sector

Explanation: When the government sector and private companies co-exist in an economy it is called mixed economy

Q. 7.Before 1991 which sector was given more importance

Public Sector

Private Sector

Both Sectors

Social Groups

Answer:

I. Public Sector

Explanation: The public sector was given a lot of importance but at the same time mutual dependency of public and private sectors was emphasized.

Q. 8.Which was the most important decision which was taken by the government after 199?

I. Restructure and revive potentially viable PSUs

II. Close down PSUs, which cannot be revived

III. Bring down governments equity in all PSUs to 26 per cent or lower

IV. All of them

Answer:

All of them

Explanation: Along with all these decision government has taken one more decision to fully protect the interest of workers.

Q. 9.Which of this industry is still with government?

I. Railways

II. Insurance

III. Banking

IV. Transportation

Answer:

. I.Railways

Explanation: Railways are fully owned with the government

Q. 10.What was the objective of industrial policy formed in 1991?

Investment in private sector

Disinvestment of Public sector

Encouraging public sector

Changing the guidelines of Public Sector

Answer:

II. Disinvestment of Public sector

Explanation: The main objective was to give public sector in private hands and liberalize the rules for the private sector to expand.

Q. 11 .FDI means

I. Foreign direct Investment

II. Future Direct Investment

III. Foreign Direct Income

IV. Follow Direct Investment

Answer:

I. Foreign direct Investment

Explanation: foreign direct investment was invited from business houses outside India.

Q. 12.Indian Economy is composed of

Private sector

Public sector

Global Enterprises

All of them

Ans.IV.All of them

Explanation: Indian economy has all the three sectors for economic development

Q. 13.Partnership is form of

I. Public sector

II. Private sector

III. Government Sector

IV. None

Answer:

II. Private sector

Explanation: Partnership business when two or more persons start a business under partnership Act

Q. 14.Statutory organization is a form of:

Private sector

Public Sector

Global Sector

Mixed Economy

Answer:

.II.Public Sector

Explanation: Statutory corporations are public enterprises brought into existence by a Special Act of the Parliament.

Q. 15.Which is the oldest form of Public Sector?

Statutory organization

Departmental undertaking

Government Company

Cooperatives

Answer:

.II.Departmental undertaking

Explanation:The Government functions through these departments and the activities performed are an important part of the functioning of the government.

Q. 16.Who manages the Departmental undertaking

Department

Ministry

Private Sector

Cooperatives

Answer:

II. Ministry

Explanation: These enterprises are established as departments of the ministry and are considered part or an extension of the ministry.

Q. 17.How do statutory corporations come into existence?

Government

Special Act of Parliament

Management

Public

Answer:

II. Special Act of Parliament

Explanation: Statutory corporations are public enterprises brought into existence by a Special Act of the Parliament. The Act defines its powers and functions, rules and regulations .

Q. 18.Statutory corporations is

I. Dependent

II. Independent

III. Difficult rules and regulations

IV. None

Answer:

II. Independent

Explanation: Statutory corporations is in dependent in terms of finance and existence

Q. 19.The profit of Statutory corporations goes to

I. State Government

II. Central Government

III. Parliament

IV. District Government

Answer:

I.State Government

Explanation: This type of organisation is wholly owned by the state. The government has the ultimate financial responsibility and has the power to appropriate its profits.

Q. 20.A government Company is established under

I. Special Act of Parliament

II. Government Act

III. Indian Companies Act, 1956

IV. Indian Cooperative Act

Answer:

III.Indian Companies Act, 1956

Explanation: Government company is formed under the Indian Companies Act, 1956 and is registered governed by the provisions of the Indian Companies Act.

Q. 21.The Government Company share is purchased in the name of the

I. Prime Minister of India

II. President of India

III. Government of India

IV. In the name of the company

Answer:

II.President of India

Explanation: The shares are purchased in the name of President osit is owned by government.

Q. 22 Which is most flexible?

I. Statutory organization

II. Departmental undertaking

III. Government Company

IV. None

Answer:

I.Statutory organization

Explanation: It is the most flexible among them because it is independent

Q. 23.Infrastructural investment was made by

I. Public sector

II. Private sector

III. Both

IV. Builder association

Answer:

I. Public sector

Explanation: As infrastructure requires a lot of investment which was done by public sector earlier along with industrial development

Q. 24. What is the major objective of planned development?

I. Development of urban areas

II. Development of infrastructure

III. Development of backward region

IV. Development of plans of five years

Answer:

.III. Development of backward region

Explanation: Development of backward regions to ensure a regional balance in the country is one of the major objectives of planned development.

Q. 25.How many industries come under government:

I. 1

II. 3

III. 8

IV. 17

Answer:

II. 3

Explanation: Railways, atomic energy and defense comes under government

Q. 26.Why government has taken decision for disinvestment

I. To reduce undertaking

II. To raise resources

III. Participation of the general public

IV. All

Answer:

Iv.All

Explanation: All these factors were essential for economic development so government ha disinvested public sector

Q. 27.What was set up by the government to retrain labour and to provide compensation to public sector employees seeking voluntary retirement.

I. A National Renewal Fund

II. National Refund

III. National registered fund

IV. National voluntary fund

Answer:

I. A National Renewal Fund

Explanation: It was formed by government to distribute the amount to employees who are taking voluntary retirement

Q. 28.What is the full form of MNC

I. Multinational company

II. Multinational Corporation

III. Multinational construction

IV. Multinational community

Answer:

II.Multinational Corporation

Explanation: Big corporations which have their operations in a number of countries

Q. 29.What are global enterprises known as

I. MIFA

II. PSE

III. MOFA

IV. VRS

Answer:

III.MOFA

Explanation: Majority Owned Foreign Affiliates. They operates in several countries and extend their industrial and marketing operations through branches called MOFA

Q. 30.How much global enterprise contribute in world GDP

I. 30

II. 28.3

III. 33.6

IV. 40

Answer:

.II.28.3

Explanation: In the world global companies are very important because they contribute 28.3 %

Q. 3.1From where the approval is taken if the partner is a foreigner

I. RBI

II. SEBI

III. Both

IV. IFPB

Answer:

I.RBI

Explanation The approval can be obtained either from the Reserve Bank of India or Foreign Investment Promotion Board (FIPB), depending upon particular circumstances.

Q. 32.Which is the joint venture agreement.

I. MOA

II. MOU

III. AOA

IV. AOU

Answer:

II.MOU

Explanation Memorandum of understanding is a joint venture agreement

Q. 33. What involves a high degree of public accountability?

I. Statutory organization

II. Departmental undertaking

III. Government Company

IV. MNC

Answer:

II.Departmental undertaking

Explanation: These ensure a high degree of public accountability ten only profit can be earned

Q. 34.What was the first case of successful privatization

I. Hindustan Zinc limited

II. BSNL

III. Lagan Jute Machinery Company Limited

IV. Bharat Bhari Udyog Nigam Limited

Answer:

III.Lagan Jute Machinery Company Limited

Explanation:The Lagan Jute Machinery Company Limited (LJMC) was the first case of successful privatization of a Central Public Sector Undertaking, carried out by the Government.

Q. 35.Globalisation has opened the door for

I. Immigration

II. Trade and commerce

III. Culture

IV. Services

Answer:

II.Trade and commerce

Explanation: Exchange of goods and services entrance to private sectorFDI,FII with rest of the world was done after globalization

Q. 36. Which bank has the most number of ATMs across India?

I. SBBJ

II. SBI

III. ICICI

IV. HDFC

Answer:

II.SBI

Explanation: SBI is growing at a rate of 16% yearly.

Q. 37. Who entered as the biggest players in the telecom sector in 2005.

I. Hutch

II. Bharti

III. TATA

IV. Idea

Answer:

II.Bharti

Explanation:Bharti entered 2005 as the biggest players in the telecom sector. Airtel, with 15 million customers, is only one of Bharti’s ventures.

Q. 38.Which is the most secure form of business?

I. Statutory organization

II. Departmental undertaking

III. Government Company

IV. MNC

Answer:

II.Departmental undertaking

Explanation: Where national security is concerned, this form is most suitable since it is under the direct control and supervision of the concerned Ministry.

Q. 39.Statutory corporations employees are governed with

I. Government

II. Provision of Act

III. Ministry

IV. Company Act

Answer:

II.Provision of Act

Explanation: The employees of these enterprises are not government or civil servants and are not governed by government rules and regulations. The conditions of service of the employees are governed by the provisions of the Act itself.

Q. 40.Government Company is exempted from Audit?

I. Yes

II. No

III. May be

IV. Not sure

Answer:

I.Yes

Explanation: These companies are exempted from the accounting and audit rules and procedures.