This quiz works best with JavaScript enabled. Home > Cbse > Class 11 > Commerce > Business Studies > Class 11 Business Studies Chapter 8 Small Business – Quiz 15 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 8 Small Business Quiz 15 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Choose the correct word:harmless A) Benign. B) Malignant. C) Metastatis. D) Flawed. Show Answer Correct Answer: A) Benign. 2. True or false:to fall victim to=succumb to A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 3. There is little evidence that developing a business plan has any impact on whether a new business fails or succeeds. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 4. Why are founder stories considered powerful in branding? A) They showcase big corporations only. B) They are based on fictional characters. C) They lack human connection. D) They resonate with people on a human level. Show Answer Correct Answer: D) They resonate with people on a human level. 5. What is EIN short for? A) Employer Insurance Number. B) Employer Identification Number. C) Entity issued Notification. D) None of the above. Show Answer Correct Answer: B) Employer Identification Number. 6. Small businesses often have an advantage in foreign markets where customers want to deal directly with a company's top management. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 7. An advantage of a sole trader is ..... A) You can share ideas. B) All the debt is on you. C) You have unlimited liability. D) You can make all the decisions. Show Answer Correct Answer: D) You can make all the decisions. 8. How can a small business identify its target market? A) Conducting surveys and focus groups. B) Market research and analyzing customer demographics, psychographics, and behavior. C) Guessing and assuming the target market. D) Copying the target market of a competitor. Show Answer Correct Answer: B) Market research and analyzing customer demographics, psychographics, and behavior. 9. What should be done with paper files containing sensitive information? A) Store them in a locked cabinet. B) Share them with everyone. C) Leave them on the desk. D) Throw them away. Show Answer Correct Answer: A) Store them in a locked cabinet. 10. Great interest in making money is one of the ..... about entrepreneurs. A) Ventures. B) Misconceptions. C) Rewards. D) None of the above. Show Answer Correct Answer: B) Misconceptions. 11. What should be required to access areas of a network with sensitive information? A) Biometric authentication only. B) Password only. C) Single sign-on. D) Multi-factor authentication. Show Answer Correct Answer: D) Multi-factor authentication. 12. If Current Assets = ₹ 6 crore and Current Liabilities (non-bank) = ₹ 2 crore, MPBF (Method I) is: A) 5 Cr. B) 6 Cr. C) 3 Cr. D) 4 Cr. Show Answer Correct Answer: C) 3 Cr. 13. Which is an advantage of using retained earnings for financing? A) Limited to previous profits. B) No set repayment date. C) Interest payments. D) High-interest charges. Show Answer Correct Answer: B) No set repayment date. 14. It is important to keep an eye out for clients who are prepared with SMB documents seeking high-end devices A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) TRUE. 15. Cottage industries originated because A) It helped person to learn new tasks. B) It increases income without leaving home. C) It helped persons to work. D) It gave persons freedom. Show Answer Correct Answer: B) It increases income without leaving home. 16. Which motivation involves utilizing existing skills, hobbies, or interests? A) Profit generation. B) Pursuing personal goals. C) Addressing social causes. D) Employment creation. Show Answer Correct Answer: B) Pursuing personal goals. 17. This is the personal characteristic of doing something that needs to be done, but without being told to do it: A) Initiative. B) Cooperation. C) Collaboration. D) Teamwork. Show Answer Correct Answer: A) Initiative. 18. Which of the following statements about business plans is not true? A) Owners of successful businesses usually develop and follow a business plan. B) Business owners can hire someone to develop their business plan. C) Business plans should not be revised nor updated. D) Developing a business plan forces owners to thing about activities, time requirements, and costs. Show Answer Correct Answer: C) Business plans should not be revised nor updated. 19. A business grants the licence to use its brand and reproduce its product. A) Joint Ventures. B) Mergers. C) Franchising. D) Acquisitions. Show Answer Correct Answer: C) Franchising. 20. A hair salon needs a COO to help organize and run the business; that person will become part owner. Which type of compensation would be best for this? A) Equity. B) Salary. C) Hourly. D) Commission. Show Answer Correct Answer: A) Equity. 21. Chelsea repairs iphone screens for cash. She works out of her apartment and advertises on social media. Her target customers are other college students. What is she selling? A) Iphones. B) Advertisements. C) Iphone screens. D) A repair service. Show Answer Correct Answer: D) A repair service. 22. Investment in equipment more than 10 lakh but less than 2 crore is a part of ..... A) Medium Enterprises (Service Enterprise). B) Small Enterprises (Manufacturing Enterprise). C) Medium Enterprises (Manufacturing Enterprise). D) Small Enterprises (Service Enterprise). Show Answer Correct Answer: D) Small Enterprises (Service Enterprise). 23. This is a geographic area in which a new product or service is tested in order to gather information about customer reaction to the tested product or service. A) Industrial Test. B) Test Market. C) All the above. D) None of the above. Show Answer Correct Answer: B) Test Market. 24. Small business contribution to GDP A) 35%. B) 40%. C) 45%. D) None of the above. Show Answer Correct Answer: B) 40%. 25. Which section of the business plan introduces the proposed business venture? A) Introduction. B) Operational Plan. C) Conclusion/Recommendation. D) Financial Plan. Show Answer Correct Answer: A) Introduction. 26. In which case manufacturing enterprise investment in plant and machinery is more than 125 crore A) Micro Enterprise. B) Small Enterprise. C) Medium Enterprise. D) None of these. Show Answer Correct Answer: C) Medium Enterprise. 27. Bennett and Jacob are planning to expand their business internationally. They are considering different legal structures for their business. Even though one of the structures might lead to double taxation, they believe it's the best for their situation. Which legal structure are they considering? A) C-Corp. B) Non-profit. C) S-Corp. D) LLC. Show Answer Correct Answer: A) C-Corp. 28. Most of the money needed to start a new business comes from A) The sale of stock. B) Personal business loans. C) The entrepreneur and his/her family and friends. D) None of the above. Show Answer Correct Answer: B) Personal business loans. 29. Which of the following is a major problem for small business? A) Raw material. B) Capacity utilization. C) Global competition. D) All of the above. Show Answer Correct Answer: D) All of the above. 30. What is a key factor in choosing a business location? A) Proximity to the owner's home. B) Availability of skilled labor. C) Closeness to a beach. D) Distance from competitors. Show Answer Correct Answer: B) Availability of skilled labor. 31. What are the limitations of owning a small business enterprise? A) High level of energy. B) To make a difference. C) Risk of losing invested capital. D) Possess a future orientation. Show Answer Correct Answer: C) Risk of losing invested capital. 32. Fill in the blank:A ..... is a document that addresses the concept, customers, and capital for a business. A) Memo. B) Business Plan. C) Invoice. D) Resume. Show Answer Correct Answer: B) Business Plan. 33. What do you get in return for franchising? A) A well-known name and a business plan. B) A share in a corporation. C) All the above. D) None of the above. Show Answer Correct Answer: A) A well-known name and a business plan. 34. The target customer for a new bookbag would be ..... A) Elderly people. B) Teachers. C) Librarians. D) Students. Show Answer Correct Answer: D) Students. 35. SWOT Analysis:Threats identified in a SWOT Analysis are the most difficult element to mitigate. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 36. A large number of small businesses in the United States are service businesses A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 37. Which of the following provided 67 percent of workers with their first jobs and first on-the-job training? A) Large corporations. B) Universities. C) Government agencies. D) High schools. E) Small businesses. Show Answer Correct Answer: E) Small businesses. 38. ..... % of industries are small industries in India. A) 95. B) 75. C) 70. D) 25. Show Answer Correct Answer: A) 95. 39. Why is monitoring business performance against the budget critical? A) To reduce product prices. B) To make informed decisions on expenses and resource allocation. C) To increase the number of employees. D) To expand the business location. Show Answer Correct Answer: B) To make informed decisions on expenses and resource allocation. 40. The first step of the Marketing Research Process is A) Gathering primary data. B) Defining the problem. C) All the above. D) None of the above. Show Answer Correct Answer: B) Defining the problem. 41. Not less than 51% of its shares are owned by a wo.men A) Micro Enterprises. B) Women Enterprises. C) Service Enterprises. D) Small scale business. Show Answer Correct Answer: B) Women Enterprises. 42. Which of the following is a disadvantage of a Bank Overdraft? A) High interest rates. B) Quick access. C) Allows emergency purchases. D) No need to pay back. Show Answer Correct Answer: A) High interest rates. 43. In which step of the Design Thinking Process do you research your users' problems and unmet needs? A) Ideate. B) Test & evolve. C) Define. D) Empathize. Show Answer Correct Answer: D) Empathize. 44. Successful entrepreneurs tend to have all of the following characteristics EXCEPT A) Hesitant. B) Creative. C) Goal-oriented. D) Energetic. Show Answer Correct Answer: A) Hesitant. 45. Female entrepreneurs, now more than ever, are becoming a part of the 10-figure club. Which African-American media mogul is a billionaire? A) Tyra Banks. B) Wendy Williams. C) Oprah Winfrey. D) None of the above. Show Answer Correct Answer: C) Oprah Winfrey. 46. Dwayne has proper funding for his bicycle shop, but needs assistance on what to do next. What type of assistance would be best for him right now? A) Small Business Administration. B) Funding. C) Chamber of Commerce. D) None of the above. Show Answer Correct Answer: A) Small Business Administration. 47. Which of the following is the most likely example of a production industry? A) Trucking company. B) Movie theater. C) Accounting firm. D) Wireless company. E) Subassembly plant. Show Answer Correct Answer: E) Subassembly plant. 48. Identify the correct sentence structure for a business introduction email. A) Dear Sir/Madam, our new product line I am writing to introduce. B) I am writing to introduce, Dear Sir/Madam, our new product line. C) To introduce our new product line, Dear Sir/Madam, I am writing. D) Dear Sir/Madam, I am writing to introduce our new product line. Show Answer Correct Answer: D) Dear Sir/Madam, I am writing to introduce our new product line. 49. What is the foundation of your business? A) Your business location. B) Your business credit. C) Your business name. D) Your business plan. Show Answer Correct Answer: D) Your business plan. 50. Approaches to business ethics can be divided into four A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 51. Mr. Kim owns a dry-cleaning shop and knows most of his customers by name. A) A) Entrepreneur. B) B) Manager. C) C) Small Business Owner. D) None of the above. Show Answer Correct Answer: C) C) Small Business Owner. 52. Mike is considering starting his own small business in his local community. He wants to ensure that he has maximum control over managerial decisions and minimal hassle in business registration. Which form of business organization would best suit Mike's preferences? A) A. Corporation. B) B. Cooperative. C) C. Sole proprietorship. D) None of the above. Show Answer Correct Answer: C) C. Sole proprietorship. 53. Google, Amazon, and Facebook are examples of ..... A) Sole Proprietorships. B) Partnerships. C) Corporations. D) None of the above. Show Answer Correct Answer: C) Corporations. 54. How can small businesses benefit from the services provided by SIDBI? A) Small businesses can access financial support, guidance, and technology assistance from SIDBI. B) SIDBI only provides services to large corporations, not small businesses. C) Small businesses can only receive loans with high interest rates from SIDBI. D) Small businesses can only access marketing services from SIDBI. Show Answer Correct Answer: A) Small businesses can access financial support, guidance, and technology assistance from SIDBI. 55. A written document that summarizes a business opportunity and defines and articulates how the identified opportunity is to be seized and exploited is called as? A) Business Plan. B) Feasibility Study. C) Entrepreneurship Plan. D) None of the above. Show Answer Correct Answer: A) Business Plan. 56. Manufacturing enterprises are classified under: A) Micro small and medium. B) Micro tiny and small. C) Small and medium. D) None of the above. Show Answer Correct Answer: A) Micro small and medium. 57. Which of the following is an example of substitute products in a competitive environment? A) Shops selling the same sportswear within the same area. B) McDonalds vs Burger King. C) Consumers with limited amount of available cash. D) None of the above. Show Answer Correct Answer: B) McDonalds vs Burger King. 58. What is the role of the finance department? A) To recruit and train employees. B) To handle marketing strategies. C) To oversee production quality. D) To manage budgets and analyze revenue. Show Answer Correct Answer: D) To manage budgets and analyze revenue. 59. What is one of the ways accountants help business owners? A) Marketing products. B) Advising on tax issues. C) Hiring staff. D) Designing websites. Show Answer Correct Answer: B) Advising on tax issues. 60. What percentage of small businesses are home-based businesses? A) 90%. B) 50%. C) 75%. D) 25%. Show Answer Correct Answer: B) 50%. ← PreviousNext →Related QuizzesCommerce QuizzesClass 11 QuizzesClass 11 Business Studies Chapter 8 Small Business Quiz 1Class 11 Business Studies Chapter 8 Small Business Quiz 2Class 11 Business Studies Chapter 8 Small Business Quiz 3Class 11 Business Studies Chapter 8 Small Business Quiz 4Class 11 Business Studies Chapter 8 Small Business Quiz 5Class 11 Business Studies Chapter 8 Small Business Quiz 6Class 11 Business Studies Chapter 8 Small Business Quiz 7Class 11 Business Studies Chapter 8 Small Business Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books