SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

UNIVERSITY OF CALICUT
SCHOOL OF DISTANCE EDUCATION
B.COM/BBA SEMESTER IV
(2019 Admn. Onwards)
BCM4A13/BBA4A13 – ENTREPRENEURSHIP DEVELOPMENT
QUESTION BANK
1. _____________ entrepreneurs are extremely task oriented.
a) Technical b) Fabian
c) induced d) Business
2. _____________ entrepreneurs neither introduce new changes nor adopt new methods
innovated by others.
a) Technical b) Fabian
c) induced d) Business
3. Knowledge + Skill + Traits = _____________
a) Innovation b) Competency
c) Skill d) Creativity
4. Social attitude is one of the important problems of a __________ Entrepreneur.
a) Drone b) Business
c) Women d) Adoptive
5. Which of the following is a psychological factor affecting entrepreneurial growth:
a) Legitimacy of entrepreneurship b) social status
c) need for achievement d) None of these
6. The entrepreneur who does not change the method of production already introduced is:
a) Drone entrepreneur b) Fabian entrepreneur
c) classical entrepreneur d) None of these
7. Person who works within an organization and having entrepreneurial capabilities is:
a) entrepreneur b) intrapreneur
c) manager d) chief executive
8. Who introduced the term intrapreneur:
a) Schumpeter b) Peter Drucker
c) David McClelland d) Gifford Pinchot
9. A micro enterprise is one in which the investment in plant and machinery does not exceed
Rs. __________
a) 25 Lakhs b) 50 Lakhs
c) 1 Crore d) 10 Lakhs
1 | Entrepreneurship Development – B.Com/BBA Semester IV
 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

10. A small enterprise is one in which the investment in plant and machinery is more than
Rs__________ But does not exceed Rs__________
a) 10 lakhs / 2 crores b) 25 lakhs /5crores
c) 5 crores/ 10 crores d) 2 crores/5 crores
11. A medium enterprise is one in which the investment in plant and machinery is more than
Rs __________ But does not exceed Rs __________
a) 10 lakhs / 2 crores b) 25 lakhs /5crores
c) 5 crores/ 10 crores d) 2 crores/5 crores
12. __________ Units provide inputs to other industries.
a) Export b) small
c) ancillary d) None of these
13. __________ registration helps the entrepreneur to take necessary steps to bring industrial
units into existence.
a) Provisional b) permanent
c) both of these d) None of these
14. The MSME Development Act came into force in __________
a) 2005 b) 2006 c) 2010 d) 2001
15. Capital investment subsidy was introduced in __________
a) 1973 b) 1971 c) 1972 d) 1970
16. __________ is the financial and promotional assistance provided by the Govt. to the
industries for boosting up industrial development in all regions particularly in
backward areas.
a) Seed capital b) incentive
c) subsidy d) None of these
17. __________ is the place where the required facilities and factory accommodation
are provided by the government to the entrepreneurs to establish their industries
there.
a) industry b) industrial estate
c) company d) None of these
18. The initial capital that is required to obtain loans from the financial institutions is called
__________
a) Seed capital b) incentive
c) subsidy d) None of these

2 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

19. Under the single roof of the __________ all the services and support required by small
and village entrepreneurs are provided.
a) KSIDC b) KITCO c) DIC d) KINFRA
20. KITCO was set up in __________
a) 1973 b) 1971 c) 1972 d) 1970
21. __________ offers comprehensive consultancy services to MSMEs in Kerala.
a) KSIDC b) KITCO c) DIC d) KINFRA
22. A single lump sum which is given by a govt. to an entrepreneur to cover the cost is known
as __________
a) subsidy b) Concession
c) Bounties d) None of these
23. A bonus or financial aid which is given by a govt. to an industry to help it
compete with other units in home market or in a foreign market is known as __________
a) subsidy b) Concession
c) Bounties d) None of these
24. Single window scheme is instituted through __________
a) IDBI b) SIDCO
c) KFC d) DIC
25. The advance given to cover the finance requirement during the time lag between the
sanctioning and disbursement of term loan by financial institutions is known as
__________
a) Soft Loan b) Seed capital
c) Capital subsidy d) Bridge loan
26. __________ is a National level apex organization of young entrepreneurs
a) NAYE b) TCO
c) SIDO d) NSIC
27. __________ provides consultancy services to small and medium enterprises at
reasonable cost.
a) NAYE b) TCO
c) SIDO d) NSIC
28. __________ is an area where applied research on high tech projects is conducted
a) STEP b) SWOT
c) EPST d) None of these

3 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

29. Which of these is not a state level promotional institutions

a) KITCO b) KSIDC
c) NIESBUD d) SIDCO
30. __________ the process of collection, compilation and analysis of economic data
for the purpose of finding out possible opportunities for investment.
a) project screening b) project appraisal
c) project identification d) None of these
31. A __________ is an organization designed and success of entrepreneurial companies
through an array of business support resources and services.
a) Business incubators b) Industrial estates
c) DIC d) None of these
32. Which of these is a problem of MSMEs
a) bogus units b) inadequate finance
c) lack of managerial experience d) all of these
33. The first and foremost industrial estate was established at __________
a) Rajkot b) Ahmadabad
c) Patna d) Gurgaon
34. The first and foremost industrial estate was established in the year __________
a) 1960 b) 1962 c) 1955 d) 1950
35. __________ means organising, housing and servicing industry, a planned clustering of
industrial enterprises offering standard factory buildings erected in advance of demand
and a variety of services and facilities to the occupants.
a) industry b) industrial estate
c) company d) None of these
36. Which of these is not a environmental barrier to entrepreneurship
a) lack of skilled labour b) custom of people
c) lack of fund d) lack of infrastructure
37. Which of these is a social barrier to entrepreneurship
a) low status b) custom of people
c) both d) None of these
38. __________ is a combination of knowledge, skills and appropriate motives that an
individual must possess to perform a given task.
a) persistence b) initiative
c) competency d) creativity
4 | Entrepreneurship Development – B.Com/BBA Semester IV
 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

39. To provide financial assistance to entrepreneurs the government has set up a number of
___________.
a) financial advisors b) financial intermediaries
c) Industrial estates d) financial institutions
40. State Industrial corporations engage in the development of __________.
a) industrial estates b) institutional estates
c) individual investors d) agricultural entrepreneurs
41. SIDBI was set up as a subsidiary of _________.
a) IDBI b) IFCI
c) ICICI d) SFC
42. Which of the following is a function of SIDBI?
a) Extension of seed capital b) Discounting of bills
c) Providing factoring services d) All of the above
43. _____________ can be defined as a specifically evolved work plan to achieve a specific
objective within a specific period of time.
a) Idea generation b) Opportunity Scanning
c) Project d) Strategy
44. The granting of cash subsidy on the capital investment is called __________.
a) Concessional finance b) Quantum of Subsidy
c) Interest Subsidy d) Central Investment Subsidy
45. __________ is primarily concerned with the identification of the project demand
potential and the selection of the optimal technology.
a) Techno-economic analysis b) Feasibility analysis
c) Input analysis d) Financial analysis
46. Which of the following shows the process of creating something new:
a) Business model b) Modeling
c) Creative flexibility d) Innovation
47. The entrepreneur was distinguished from capital provider in:
a) Middle ages b) 17th century
c) 18th century d) 19th and 20th century
48. EDP (Entrepreneurship Development Programmes) is required to help:
a) Existing entrepreneurs b) First generation entrepreneurs
c) Future generation entrepreneurs d) None of the above

5 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

49. Why should an entrepreneur do a feasibility study for starting a new venture:
a) To identify possible sources of funds
b) To see if there are possible barriers to success
c) To estimate the expected sales
d) To explore potential customers
50. What is the process by which individuals pursue opportunities without regard to resources
they currently control:
a) Startup management b) Entrepreneurship
c) Financial analysis d) Feasibility planning
51. An individual who initiates, creates and manages a new business can be called
_____________.
a) A leader b) A manager
c) A professional d) An entrepreneur
52. Which could provide an individual with the motivation to start a new business venture?
a) The financial rewards b) A desire to be independent
c) Risk taking d) All the above
53. Why are small businesses important to a country’s economy?
a) They give an outlet for entrepreneurs
b) They can provide specialist support to larger companies
c) They can be innovators of new products
d) All the above
54. A corporate manager who starts a new initiative for their company which entails setting
up a new distinct business unit and board of directors can be regarded as:
a) Ecopreneur b) Technopreneur
c) Intrapreneur d) Social Entrepreneur
55. As a business grows, time management continues to be an issue, but the entrepreneur’s
major concern usually becomes:
a) Setting goals
b) Finding, retaining, and motivating qualified employees
c) Measuring performance
d) All of the above
56. An entrepreneur who owns more than one business at a time is called ________.
a) An intrapreneur b) A corporate entrepreneur
c) A portfolio entrepreneur d) None of the above
6 | Entrepreneurship Development – B.Com/BBA Semester IV
 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

57. The purpose of soft loan scheme is to encourage units to undertake ___________.
a) Modernization of plant and machinery b) Replacement of plant and machinery
c) Renovation of plant and machinery d) All the above
58. Seed capital assistance is ___________.
a) A long-term assistance b) Initial assistance
c) A help for the purchase of seeds d) A short-term assistance
59. The application for registration of a small scale unit should be submitted to the _______.
a) General Manager, DIC b) Director, DIC
c) General Manager. NSIC d) Director, NSIC
60. __________ implies the availability or otherwise of plant and machinery and technical
know how to produce the product.
a) Economic viability b) Financial feasibility
c) Technical feasibility d) Managerial competence
61. Decisions taken by an entrepreneur on behalf of his enterprise are known as _________.
a) Organizational decisions b) Personal decisions
c) Routine decisions d) Strategic decisions
62. Why should an entrepreneur do a feasibility study for starting a new venture?
a) To identify possible sources of funds
b) To see if there are possible barriers to success
c) To estimate the expected sales
d) To explore potential customers
63. District Industries Centers are located ____________.
a) In each district b) In each state
c) Only in selected districts d) Only in selected states
64. Entrepreneurship can best be described as _________.
a) a process that requires setting up a business
b) taking a significant risk in a business context
c) having a strong vision
d) a process involving innovation, new products or services, and value creation
65. Every entrepreneur should draw an __________ for his project to ensure the timely
completion of all activities involved in setting up an enterprise.
a) Cost structure b) implementation plan
c) market structure d) production structure

7 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

66. Entrepreneurial development is the key to achieve all-round ---------------- through

acceleration of industrial and entrepreneurial activities.
a) economic development b) increase in profits
c) shareholders value d) business development
67. The term “Entrepreneur” has been derived from the word “entreprendre” which means:
a) To give b) To undertake
c) To choose d) To decide
68. Entrepreneurship is a creative activity – Said by:
a) Frederick Harbison b) B. F. Hoselitz
c) B. Higgins d) Joseph Schumpeter
69. What is the hallmark of a successful entrepreneur?
a) Risk bearing capacity b) Persistence
c) Flexibility d) Self-confidence
70. Which type of entrepreneurs utilizes a chance to introduce a new technique or new
product?
a) Innovative entrepreneur b) Instigated entrepreneur
c) Initiative entrepreneur d) Fabian entrepreneur
71. Which phase is the phase of real training?
a) Initial phase b) Training phase
c) Post-training phase d) Follow up phase
72. “Seed Capital Scheme” is being operated by?
a) IDBI b) SIDC c) ICICI d) IFCI
73. Why the majority of women are unaware of technological developments?
a) Low-risk bearing ability b) Low mobility
c) Lack of education d) Low need for achievement
74. Which of the following is a remedy to solve the problems of women entrepreneurs?
a) Social attitude b) Finance cells
c) Stiff Competition d) Supervision
75. What provides all the necessary information of the unit proposed to be set-up for the
manufacture of a product or rendering a service?
a) Project description b) Project appraisal
c) Project implementation schedule d) Project report
76. Which type of industrial estates is called conventional industrial estates?
a) General type of industrial estate b) Special type industrial estate
c) Ancillary industrial estate d) Workshop bay

8 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

77. Government industrial estates come under which type of classification?

a) Variant b) Objective c) Functional d) Organizational
78. According to Frederick Harbison, which of the following is not a function of a women
entrepreneur?
a) Explore the prospects of starting new enterprises.
b) Co-ordination, administration and control
c) The power to resist criticism
d) Supervision and providing leadership in all aspects of the business
79. On the basis of the organizational set – up, industrial estates are classified into:
a) Private industrial estates & functional industrial estates
b) Functional industrial estates & the workshop bay
c) Municipal industrial estates & private industrial estates
d) Functional industrial estates & Municipal industrial estates
80. SIDO stands for ______
a) Small Industries Developing Organization
b) Small Industries Development Organization
c) Short Industries Development Organization
d) Small Industries Deployment Organization
81. DIC stands for ______
a) Disassembled Industries Centre b) District Industries Collaboration
c) District Industries Centre d) Developing Industries Centre
82. NIESBUD stands for ___
a) National Institution for Entrepreneurship & Small Business Development
b) National Institute for Enterprise & Small Business Development
c) National Institute for Entrepreneurship & Small Business Development
d) National Institute for Entrepreneurship & Small Businessman Development
83. EGB stands for ___
a) Enterprise Development Bureau b) Entrepreneurial deli censing Bank
c) Entrepreneurial Development Bureau d) Entrepreneur Development Bureau
84. Who take the lead to extend financial assistance to small-scale industries
a) SBI b) IFCI c) IRBI d) None of the above
85. An ___ in a tract of land which is subdivided and developed according to a
comprehensive plan for the use of a community of industrial enterprises.
a) Industrial plan b) Industrial Estate
c) Industrial unit d) None of the above

9 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

86. The main objective of setting up DICs was to promote under a single roof all the services
& support required by small & village entrepreneurs. This scheme was introduced in
May__________

a) 1970 b) 1975 c) 1978 d) 1979

87. A provisional SSI registration certificate is valid for a period of __________.
a) 4 Years b) 3 Years c) 2 Years d) 1 Year
88. National Alliance of Young Entrepreneurs (NAYE) Sponsored an Entrepreneurial
Development scheme with Bank of India in______________.
a) January 1970 b) August 1970
c) January 1972 d) August 1972
89. Institutional agencies grant financial assistance to small scale industries for _________.
a) participation in equity capital only b) acquisition of fixed assets
c) working capital assistance d) All of the above
90. Refusal to adopt and use opportunities to make changes in production entrepreneurs.
a) Fabian b) Imitative
c) Innovative d) Drone
91. The entrepreneur must possess the abilities of ____________.
a) Conceptualization b) Creative
c) Understanding environment d) All of the above
92. People who own, operate, and take risk of a business venture is known as ____________.
a) Aptitude b) Employee
c) Entrepreneurs d) Intrapreneur
93. __________ type of entrepreneurs are particularly important for underdeveloped
countries because they contribute significantly to the development of such nations.
a) Innovative b) Adoptive
c) Fabian d) Drone
94. ______________ type of entrepreneurs are very cautious and skeptical while practicing
any change.
a) Innovative b) Imitative
c) Fabian d) Drone
95. In small scale sector ______________ are dominant.
a) Institutional entrepreneurs b) Entrepreneurs by inheritance
c) Technologist entrepreneurs d) Forced entrepreneurs

10 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

96. Which one among the following is considered as one of the important economic factor
which determine entrepreneurial growth?
a) Government b) Politics
c) Market d) Private
97. Entrepreneurial management is noted for its ability to react quickly and effectively to
new ___________.
a) Market b) Business opportunities
c) Product d) Technology
98. Which one of the following is the way by which an entrepreneur can enter into
international business?
a) Export b) Non equity arrangements
c) Direct foreign investment d) All the above
99. The term EDP refers to _____________.
a) Entrepreneurship Development Programme
b) Entrepreneurial Development Programme
c) Entrepreneur Development Programme
d) Entrepreneuring Development Programme
100. EDPs are conducted by _____________.
a) Entrepreneurs b) Specialised institutions
c) Business community d) Government
101. __________ is an apex Institute in the area of Entrepreneurship and Small Business
Development under the Ministry of Micro, Small and Medium Enterprises
Government of India.
a) NIESBUA b) NIESBUB
c) NIESBUC d) NIESBUD
102. ___________ has helped to set up twelve state-level exclusive entrepreneurship
development centres and institutes.
a) Entrepreneurship Development Institute of India
b) SBI
c) Reserve Bank
d) IFCI
103. The word entrepreneurship has been derived from a _____ which means ' to undertake'.
a) French root b) Greek root
c) Roman root d) Italian root
104. The purpose of financial analysis is to determine __________ of the project.
a) Input feasibility b) Output feasibility
c) Financial feasibility d) Cost-benefit feasibility
11 | Entrepreneurship Development – B.Com/BBA Semester IV
 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

105. SIDBI was set up in the year____________.

a) 1987 b) 1988 c) 1989 d) 1990
106. _________ has been recognized as the nodal agency to support the small scale industry
export promotion.
a) SIDO b) TDC
c) NSIC d) IFSC
107. _________ acts as a Principal Financial Institution for the Promotion, Financing and
Development of the Micro, Small and Medium Enterprise (MSME) sector.
a) Mudra Bank b) RBI
c) SBI d) SIDBI
108. _________ is a full service credit rating agency exclusively set up for micro, small and
medium enterprises (MSME) in India.
a) Dun & Bradstreet Information b) ADFIAP
c) SMERA d) MUDRA
109. The MSME sector in India has maintained a consistent growth rate of ______ per cent.
a) 8% b) 10% c) 5% d) 7%
110. The MSME sector employs about _________ % workforce of India, which is roughly
6 crore people.
a) 30% b) 40% c) 45% d) 50%
111. Generally, MSME contributes to _________ % exports from India.
a) 20% b) 25% c) 30% d) 40%
112. One of the biggest threats Indian MSME sector faces is _________ .
a) Lack of financial assistance
b) Lack of Marketing Skills
c) Quality of products still to meet International standards
d) lack of bilateral trade
113. Out of which of these activities one of it is supporting growth of MSME sector in India?
a) ISO Standards b) Management Education
c) IT revolution d) Cluster based activities
114. The MUDRA banks were set up under the ______ scheme. It will provide its services
to small entrepreneurs outside the service area of regular banks, by using last
miles agents.
a) Jan-Gana yojana b) Atalbihari Vitta Yojana
c) Pradhan Mantri MUDRA Yojana d) None of these
115. In service sector, a micro enterprise is an enterprise where the investment in equipment
does not exceed ______
a) Rs 10 lakh b) Rs 15 lakh
c) Rs 20 lakh d) Rs 25 lakh

12 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

116. In service sector, a small enterprise is an enterprise where the investment in equipment
is more than Rs.10 lakh but does not exceed _______
a) Rs 2 crore b) Rs 3 crore
c) Rs 5 crore d) Rs 10 crore
117. In service sector, a medium enterprise is an enterprise where the investment in
equipment is more than Rs. 2 crore but does not exceed ______
a) Rs. 5 crore b) Rs. 10 crore
c) Rs. 15 crore d) Rs. 20 crore
118. A composite loan limit of ______ can be sanctioned by banks to enable the MSME
entrepreneurs to avail of their working capital and term loan requirement through
Single Window.
a) Rs 10 lakh b) Rs 25 lakh
c) Rs 50 lakh d) Rs 1crore
119. Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) was set up
by Government of India and which of the following bank?
a) RBI b) NABARD
c) SIDBI d) MUDRA
120. Micro or Small Enterprise (as defined in the MSMED Act 2006) may be said to have
become Sick, if
a) Any of the borrowal account of the enterprise remains NPA for ten months or more
b) Any of the borrowal account of the enterprise remains NPA for eight months or
more
c) Any of the borrowal account of the enterprise remains NPA for five months or
more
d) Any of the borrowal account of the enterprise remains NPA for three months or
more

13 | Entrepreneurship Development – B.Com/BBA Semester IV

 SCHOOL OF DISTANCE EDUCATION, UNIVERSITY OF CALICUT

Answers
1 a 21 b 41 a 61 a 81 C 101 D
2 b 22 a 42 d 62 c 82 C 102 A
3 B 23 c 43 c 63 a 83 C 103 A
4 C 24 d 44 d 64 d 84 A 104 C
5 c 25 d 45 a 65 b 85 B 105 C
6 A 26 a 46 d 66 a 86 C 106 A
7 B 27 b 47 c 67 b 87 D 107 D
8 D 28 a 48 b 68 d 88 D 108 C
9 A 29 c 49 b 69 c 89 D 109 B
10 B 30 c 50 b 70 a 90 D 110 B
11 C 31 a 51 d 71 b 91 D 111 D
12 C 32 d 52 d 72 a 92 C 112 C
13 A 33 a 53 d 73 c 93 B 113 d
14 B 34 c 54 c 74 b 94 C 114 c
15 B 35 b 55 b 75 d 95 A 115 a
16 B 36 b 56 c 76 a 96 C 116 a
17 B 37 c 57 d 77 d 97 B 117 a
18 A 38 c 58 b 78 c 98 D 118 d
19 C 39 d 59 a 79 c 99 A 119 c
20 C 40 a 60 c 80 b 100 B 120 d

Prepared by:
Dr. Sudheesh S
Assistant Professor on Contract
SDE, University of Calicut

********

14 | Entrepreneurship Development – B.Com/BBA Semester IV