This quiz works best with JavaScript enabled. Home > Class 11 > Class 11 Business Studies Chapter 8 Small Business – Quiz 39 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 11 Business Studies Chapter 8 Small Business Quiz 39 (25 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following is NOT a prerequisite for becoming a successful entrepreneur? A) Passion. B) Determination. C) Knowledge. D) Education. Show Answer Correct Answer: D) Education. 2. Small businesses are responsible for ..... of the U.S. gross domestic product each year. A) Less than 10 percent. B) About a quarter. C) More than half. D) About 75 percent. Show Answer Correct Answer: C) More than half. 3. True OR FalseSmall Industries are the largest employers of human resources, after agriculture. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 4. What does successful small business management require? A) Ignoring customer feedback. B) Effective planning and decision-making. C) Relying solely on luck. D) Avoiding risk at all costs. Show Answer Correct Answer: B) Effective planning and decision-making. 5. When two or more individuals own a company. All partners are personally liable for all debt. A) Partnership. B) Corperation. C) All the above. D) None of the above. Show Answer Correct Answer: A) Partnership. 6. What is a common reason organizations hire consultants? A) To increase employee count. B) To provide a fresh perspective on problems. C) To reduce their operational costs. D) To manage their daily tasks. Show Answer Correct Answer: B) To provide a fresh perspective on problems. 7. A business owner wants to exit their business but ensure its continued success. What is the best way to achieve this? A) Identifying and training capable successors. B) Dissolving the business immediately. C) Reducing investments in product quality. D) Ignoring future market trends. Show Answer Correct Answer: A) Identifying and training capable successors. 8. Starting a successful small business does not always require a lot of ..... A) Energy. B) Formal education. C) Intelligence. D) None of the above. Show Answer Correct Answer: B) Formal education. 9. Lending to service industry focuses more on: A) Fixed assets. B) Land ownership. C) Machinery collateral. D) Cash flow and contract quality. Show Answer Correct Answer: D) Cash flow and contract quality. 10. What type of company is a mix of a partnership and a corporation? A) S corporation. B) A hedge fund. C) Limited Liability Company. D) Charity. Show Answer Correct Answer: C) Limited Liability Company. 11. Some major advantages of a small businesses over a larger business are: A) Able to offer services larger companies cannot. B) Easier to form. C) The owner gets to be their own boss. D) All of the above. Show Answer Correct Answer: D) All of the above. 12. Which of the following business structures work great for small businesses? A) Bureaucratic. B) Hierarchical. C) Learning based. D) Divisional. Show Answer Correct Answer: C) Learning based. 13. Which of the following is NOT a feature of a small-scale enterprise? A) Limited investment in machinery and equipment. B) Operates in local areas. C) Large-scale production for export. D) Managed by owners or partners. Show Answer Correct Answer: C) Large-scale production for export. 14. A financial document where a business records assets and liabilities. A) Income statement. B) Balance sheet. C) Cash flow statement. D) None of the above. Show Answer Correct Answer: B) Balance sheet. 15. ..... is the public service department of New Zealand charged with advising the government on tax policy, collecting payments for social support programmes, and collecting tax. A) Inland Revenue Department. B) Business, Innovation and Employment. C) All the above. D) None of the above. Show Answer Correct Answer: A) Inland Revenue Department. 16. Which one is not a segment in a Marketing Plan? A) Psychographic. B) Loyalty. C) Demographic. D) None of the above. Show Answer Correct Answer: B) Loyalty. 17. Which personal quality is important for business success? A) Proactiveness. B) Indecisiveness. C) Passivity. D) Pessimism. Show Answer Correct Answer: A) Proactiveness. 18. External sources of finance could include: A) Trade credit. B) Leasing. C) Term loans. D) Bank overdraft. E) All of the above. Show Answer Correct Answer: E) All of the above. 19. Example of action that are legal but unethical is steal to give homeless people foods. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 20. What is the first practical step in creating a budget? A) Conducting a market survey. B) Hiring a financial consultant. C) Gathering all relevant financial documents. D) Increasing product prices. Show Answer Correct Answer: C) Gathering all relevant financial documents. 21. What is the targeted goal for Small business activations? A) 20%. B) 30%. C) 10%. D) 15%. Show Answer Correct Answer: C) 10%. 22. What is the investment limit for a small enterprise according to the 2025 revised MSME classification? A) Up to ₹ 10 crore. B) ₹ 2.5 crore to ₹ 25 crore. C) ₹ 25 crore to ₹ 125 crore. D) Above ₹ 125 crore. Show Answer Correct Answer: B) ₹ 2.5 crore to ₹ 25 crore. 23. Small businesses ownership do not gives the independence and the freedom not enjoyed in the corporate world. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 24. What is the cornerstone of financial success for small businesses in 2024? A) Low employee turnover. B) A well-structured budget. C) Strong social media presence. D) High sales volume. Show Answer Correct Answer: B) A well-structured budget. 25. How much can a customer save by bundling their streaming services with us? A) Up to 50%. B) Up to 30%. C) Up to 25%. D) None of the Above. Show Answer Correct Answer: C) Up to 25%. ← PreviousNext →Related 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 8Class 11 Business Studies Chapter 8 Small Business Quiz 9Class 11 Business Studies Chapter 8 Small Business Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books