This quiz works best with JavaScript enabled. Home > Cbse > Class 11 > Commerce > Business Studies > Class 11 Business Studies Chapter 8 Small Business – Quiz 35 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 8 Small Business Quiz 35 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Who is responsible for the debts in a sole proprietorship? A) No one. B) The partners. C) The government. D) The owner. Show Answer Correct Answer: D) The owner. 2. How can small businesses utilize social media for marketing purposes? A) Ignore social media and focus on traditional marketing. B) Post sporadically and inconsistently on social media. C) Only use social media to share personal updates. D) Create engaging content, interact with the audience, run targeted ads, and leverage influencer partnerships. Show Answer Correct Answer: D) Create engaging content, interact with the audience, run targeted ads, and leverage influencer partnerships. 3. A disadvantage of a partnership is ..... A) You have to share your profit. B) You have to pay all of the costs on your own. C) You have to make all of the decisions on your own. D) You have nobody to share responsibility with. Show Answer Correct Answer: A) You have to share your profit. 4. When should you consider franchising if you want to expand your business? A) Lack money. B) Lack time. C) Lack personnel. D) All of above. Show Answer Correct Answer: D) All of above. 5. Working alone in one's basement during the initial phases of the business.What does "initial" mean? A) First, beginning. B) Specific. C) Certainly, to be expected. D) Healthy, without financial risk. Show Answer Correct Answer: A) First, beginning. 6. May experience difficulty to obtain capital/financing A) Small Businesses. B) Large Businesses. C) All the above. D) None of the above. Show Answer Correct Answer: A) Small Businesses. 7. According to Lesson 3 of our Instructional Material, the dictionary defines ..... as an expert in a particular field who works as an advisor either to a company or to another individual. A) BUSINESS CONSULTANT. B) CONSULTANT. C) CONSULTATION ADVISOR. D) MARKETING CONSULTANT. E) FIELD CONSULTANT. Show Answer Correct Answer: B) CONSULTANT. 8. In the context of launching a new venture, the prime age for entrepreneurship is late 40s to early 50s. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 9. What is the primary characteristic of an entrepreneur? A) Risk aversion. B) Innovation and risk-taking. C) Strict adherence to traditional practices. D) Avoidance of challenges. Show Answer Correct Answer: B) Innovation and risk-taking. 10. Marcus oversees a team of 20 employees in a large retail store. A) Entrepreneur. B) Manager. C) Small Business Owner. D) None of the above. Show Answer Correct Answer: B) Manager. 11. What turnover limit defines a medium enterprise under the 2025 MSME classification? A) ₹ 125 crore to ₹ 250 crore. B) Up to ₹ 10 crore. C) ₹ 50 crore to ₹ 500 crore. D) ₹ 10 crore to ₹ 50 crore. Show Answer Correct Answer: C) ₹ 50 crore to ₹ 500 crore. 12. Choosing the right business partners is a critical success factor for new businesses. A) Workforce. B) Work. C) Work Place. D) Location. Show Answer Correct Answer: A) Workforce. 13. A network covering a local area is called A) WAN. B) LAN. C) All the above. D) None of the above. Show Answer Correct Answer: B) LAN. 14. GST is an example of a A) Direct tax. B) Indirect tax. C) All the above. D) None of the above. Show Answer Correct Answer: B) Indirect tax. 15. According to the Design Thinking Process:Research your user's needs A) Define. B) Prototype. C) Empathize. D) Test. Show Answer Correct Answer: C) Empathize. 16. What is the main risk faced by entrepreneurs? A) Environmental. B) Social. C) Economic. D) Technological. Show Answer Correct Answer: A) Environmental. 17. It is also necessary to develop a sound business plan that, among other things, shows how the business will make a profit and projects the cash flow that will help the business stay afloat.What does "profit" mean? A) Money earned after paying costs. B) The general opinion about something or somebody. C) Something that is made. D) A position or place that is very suitable. Show Answer Correct Answer: A) Money earned after paying costs. 18. Which legal business entity provides business owners personal liability protection A) Sole proprietorship. B) LLC. C) All the above. D) None of the above. Show Answer Correct Answer: B) LLC. 19. What are the various government schemes available for small businesses in India? A) National Parks Conservation Program. B) Universal Basic Income Scheme. C) Free Healthcare for Small Businesses Initiative. D) Some of the schemes include the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), Prime Minister's Employment Generation Programme (PMEGP), and the Stand-Up India Scheme. Show Answer Correct Answer: D) Some of the schemes include the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), Prime Minister's Employment Generation Programme (PMEGP), and the Stand-Up India Scheme. 20. A patent grants the inventor exclusive rights for a period of: A) 5 years. B) 20 years. C) 10 years. D) 2 years. Show Answer Correct Answer: B) 20 years. 21. How do small businesses strengthen local economies during tough times? A) By accumulating more revenue. B) By reducing the number of employees. C) By closing down. D) By staying afloat and understanding community needs. Show Answer Correct Answer: D) By staying afloat and understanding community needs. 22. This is someone who takes the initiative of organizing and managing a small business: A) Retailer. B) Industrialist. C) Wholesaler. D) Entrepreneur. Show Answer Correct Answer: D) Entrepreneur. 23. Which Corp uses a double layer of taxation? A) Sole ProprietorshipTagsLEGAL STRUCTURES. B) C Corp. C) S Corp. D) LLC. Show Answer Correct Answer: B) C Corp. 24. Small businesses usually have more complex tax structures than larger corporations. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: B) FALSE. 25. What are the key factors for the success of small businesses in rural India? A) Urban location and customer base. B) Access to finance, infrastructure, market linkages, and government support. C) Access to technology and innovation. D) Lack of skilled workforce. Show Answer Correct Answer: B) Access to finance, infrastructure, market linkages, and government support. 26. You need to create a legal structure for your small business. Your two startup partners are also from the United States. You have plans for it to grow a little but stay small, with no more than 20 future shareholders. You do not want to be personally responsible for business liabilities. Which legal structure best meets your needs? A) S-Corporation. B) Sole Proprietorship. C) Partnership. D) Limited Liability Company. Show Answer Correct Answer: A) S-Corporation. 27. (adj) Related to money. A) Initial. B) Financial. C) Potential. D) Budget. Show Answer Correct Answer: B) Financial. 28. ..... are also known as Rural industries or Traditional industries A) Food industry. B) Cottage industry. C) Agriculture industry. D) None of the above. Show Answer Correct Answer: B) Cottage industry. 29. In a partnership, what is the role of a silent partner? A) Invests money but does not participate in the day-to-day management. B) Has unlimited liability. C) Manages daily business operations. D) Acts as the CEO of the company. Show Answer Correct Answer: A) Invests money but does not participate in the day-to-day management. 30. Which of these is NOT a risk of setting up a business. A) Making money. B) Losing security. C) Losing time. D) Losing money. Show Answer Correct Answer: A) Making money. 31. This is the term used to describe the first time that the stock of a private company is offered to the public. A) This is a loan from a bank. B) This is a last resort offering (LRO). C) This is a loan from a VC. D) This is an initial public offering (IPO). Show Answer Correct Answer: D) This is an initial public offering (IPO). 32. Which type of business structure is owned and operated by one individual? A) Limited Liability Company. B) General Partnership. C) Corporation. D) Sole Proprietorship. Show Answer Correct Answer: D) Sole Proprietorship. 33. Founder is The person that developed/created/compony/organization A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 34. What is the current connection charge credit for Small Business? A) $ 25 credit 1st/2nd bill. B) $ 5 x 15 month credit 4+ lines. C) $ 75 credit 1st/2nd bill. D) $ 5 x 15 months credit. Show Answer Correct Answer: B) $ 5 x 15 month credit 4+ lines. 35. What is the job of a business manager A) Oversee the activities of workers. B) Ensure that a company or department is on track to meet its financial goals. C) Hire, train and evaluate new employees. D) All of the above. Show Answer Correct Answer: D) All of the above. 36. What is the impact of government assistance on small businesses in rural areas? A) It hinders the growth of small businesses by creating overdependence on government support. B) It results in increased bureaucracy and paperwork for small businesses. C) It leads to more competition, making it harder for small businesses to survive. D) It provides financial stability and resources for small businesses in rural areas. Show Answer Correct Answer: D) It provides financial stability and resources for small businesses in rural areas. 37. This company started business in a garage A) Tesla. B) Berkshire Hathaway. C) Bath & Body Works. D) Apple. Show Answer Correct Answer: D) Apple. 38. Who is responsible for the company's finances and manages cash flow? A) CFO. B) CEO. C) COO. D) Founder. Show Answer Correct Answer: A) CFO. 39. The front glass window for your store is damaged, and it will cost $ 2, 500 for the repairs. You must pay $ 1, 000 before the insurance company pays the rest. The amount that you paid is known as the ..... A) Deductible. B) Premium. C) Equity. D) Capital. Show Answer Correct Answer: A) Deductible. 40. 9-One of the following is an advantage of hiring full time employees:(KLO 1.1) A) Excellent staffing option for small or young businesses. B) Develop company loyalty. C) Instability at work. D) None of the above. Show Answer Correct Answer: B) Develop company loyalty. 41. How many jobs have small businesses added since 1990? A) 2 million. B) 4 million. C) 10 million. D) 8 million. Show Answer Correct Answer: D) 8 million. 42. What is the line limit for Small Business-PERSONAL accounts? A) 15. B) 5. C) 10. D) 25. Show Answer Correct Answer: A) 15. 43. Suatu perusahaan dapat dengan aman menyimpulkan bahwa perusahaannya akan berkinerja baik selama tahun depan jika kondisi ekonomi menguntungkan kondisi di Indonesia A) Benar. B) Salah. C) All the above. D) None of the above. Show Answer Correct Answer: B) Salah. 44. This is a less common source of startup capital for the new business. These investors will want and require partial ownership of the business. A) Personal Friends. B) Venture Capitalists. C) Family Members. D) Bankers. Show Answer Correct Answer: B) Venture Capitalists. 45. What is a key reason for selecting a location close to a target market? A) To reduce travel time for the business owner. B) To increase foot traffic and potential customers. C) To reduce operational costs. D) To find a larger workforce. Show Answer Correct Answer: B) To increase foot traffic and potential customers. 46. What is the primary purpose of the National Small Industries Corporation Ltd.? A) To provide financial assistance to multinational corporations. B) To promote and support small-scale industries in India. C) To regulate large-scale industries in India. D) To oversee the export of goods from India. Show Answer Correct Answer: B) To promote and support small-scale industries in India. 47. Suppose your market research shows that the customers you described do not exist in the market. What should you do next? A) Re-evaluate your target market and adjust your business plan. B) Ignore the research and proceed as planned. C) Increase your advertising budget. D) Reduce your product prices. Show Answer Correct Answer: A) Re-evaluate your target market and adjust your business plan. 48. Full form of NBFCs A) National Banking Financial corporations. B) Non Banking financial corporations. C) Non Banking financial Centers. D) Non Banking Finance centers. Show Answer Correct Answer: B) Non Banking financial corporations. 49. Manages and plans the cash flow, creates budgets, and forecasts whether the company will meet the set budget requirements A) COOTagsROLES. B) CFO. C) Stakeholder. D) Employee. E) Founder. Show Answer Correct Answer: B) CFO. 50. What is usually required initially when starting a franchise? A) No fees. B) Full ownership. C) Free advertising. D) Initial fee or deposit. Show Answer Correct Answer: D) Initial fee or deposit. 51. Marketing is the strongest point of SSIs. True or False? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 52. What role do government policies play in supporting small businesses in India? A) Government policies have no impact on small businesses in India. B) Government policies provide financial incentives and regulatory support to small businesses. C) Government policies only benefit large corporations. D) Government policies hinder the growth of small businesses. Show Answer Correct Answer: B) Government policies provide financial incentives and regulatory support to small businesses. 53. Banks are less keen to lend to this type of business owner? A) Partnership. B) Sole trader. C) Limited liability Partnership. D) Franchisee. Show Answer Correct Answer: B) Sole trader. 54. How do small businesses typically impact local economies? A) By sending all profits overseas. B) By providing no local jobs. C) By supporting other local businesses and creating jobs. D) By only helping large corporations. Show Answer Correct Answer: C) By supporting other local businesses and creating jobs. 55. Which of the following are valid Business Identification? A) Business Master License. B) CRA Business Number (GST/HST Number). C) Business Real Estate Registration. D) All of the Above. Show Answer Correct Answer: D) All of the Above. 56. Which is NOT a step during cash handling at the POS A) A. Remove the cash and non-cash documents from the register. B) B. Separate the cash float and count the cash and non-cash documents. C) C. Record the cash and non-cash documents on the reconciliation statement and print a report. D) D. Make promotion for new products in the store. Show Answer Correct Answer: D) D. Make promotion for new products in the store. 57. Creativity is essential in this step of new product development. A) Generating ideas. B) Development of the product. C) Testing the product. D) Introduction of the product. Show Answer Correct Answer: A) Generating ideas. 58. For research purposes, the U.S. Small Business Administration (SBA) defines small business as companies with up to 1, 000 employees. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 59. NSIC comes under A) Ministry of FINANCE. B) MSMED. C) Ministry of rural development. D) None of the above. Show Answer Correct Answer: B) MSMED. 60. Which of the following is NOT an example of an agricultural industry group listed in the document? A) The Consumer's Federation of Australia. B) Australian Egg Corporation Ltd. C) Australian Wool Innovation Limited. D) Australian Pork Limited. Show Answer Correct Answer: A) The Consumer's Federation of Australia. ← 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