Tag: organisation of commerce and management

Questions Related to organisation of commerce and management

Multiple choice organisation of commerce and management sources of business finance - 2 debentures / bonds debentures non-institutional sources - long-term

Mahindra and Mahindra was the first company in India to issue convertible Zero Interest Debentures in January 1990.

  1. True

  2. False

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Mahindra and Mahindra was the first company in India to issue convertible Zero Interest Debentures in January 1990- this is a true statement. Convertible debentures earns no interests. Mahindra and Mahindra is an MNC of India which deals with car manufacturing.

Multiple choice organisation of commerce and management sources of business finance - 2 debentures / bonds debentures non-institutional sources - long-term

Debenture holders are termed as __________ of the company.

  1. debtors

  2. creditors

  3. traders

  4. consumers

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation
 The debenture issued by a company is an acknowledgment that the company has borrowed a certain amount of money,which it promises to repay at a future date. Debenture holders are, therefore,termed as creditors of the company.
Multiple choice organisation of commerce and management sources of business finance - 2 debentures / bonds debentures non-institutional sources - long-term

Debentures are an important instrument for raising _______ term debt capital.

  1. short

  2. long

  3. medium

  4. none of the above

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Debentures are an important instrument for raising long term debt capital. a debenture issued by a company represents that the company has borrowed some amount of capital and the company promises to return them on a fixed rate of interest.

Multiple choice organisation of commerce and management sources of business finance - 2 debentures / bonds debentures non-institutional sources - long-term

A company can raise funds through issue of debentures, which bear a ________ rate of interest.

  1. fixed

  2. fluctuating

  3. higher

  4. lower

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Debentures can be issued by a company to raise funds as long term debt capital, which the company promises to return back on a fixed rate of interest. 

Multiple choice organisation of commerce and management sources of business finance - 2 debentures / bonds debentures non-institutional sources - long-term

Debenture holders are paid _________ stated amount of interest at specified intervals.

  1. fixed

  2. fluctuating

  3. higher

  4. lower

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

 Debenture holders are paid a fixed stated amount of interest at specified intervals. Public issue of debentures requires that the issue be rated by a credit rating agency.

Multiple choice organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

What is/are the fund(s) for start-ups that SIDBI have been managing?

  1. Fund of Funds for Start-ups

  2. ASPIRE Fund

  3. India Aspiration Fund

  4. All of the above

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

SIDBI (Small Industries Development Bank of India) manages various funds to support startups, including the Fund of Funds for Start-ups, the ASPIRE Fund, and the India Aspiration Fund.

Multiple choice organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

Which of the following committees recommended the establishment of NABARD?

  1. CRAFICARD

  2. Royal Commission

  3. Jha Committee

  4. Tandon Committee

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The Committee to Review Arrangements for Institutional Credit for Agriculture and Rural  Development (CRAFICARD) under the chairmanship of  B. Sivaraman, also known as Sivaraman committee recommended the establishment of NABARD.

Multiple choice organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

NABARD provides refinance assistance to ___________.

  1. state land development banks

  2. scheduled commercial banks

  3. regional rural banks and state co-operative banks

  4. all of the above

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

National Bank for Agriculture and Development  is the apex bank which is concerned with the planning, policy and operations for development of rural areas of India.  Above mentioned banks help the rural communities to undertake agricultural and farming activities by providing loans, hence NABARD provides refinance assistance to such banks  for better economical development.

Multiple choice organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

The SIDBI is a wholly owned subsidiary of the _________.

  1. RBI

  2. IBRD

  3. IDBI

  4. IRBI

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The SIDBI (Small Industries Development Bank of India) is a wholly owned subsidiary of IDBI (Industrial Development Bank of India), established under the special Act of the Parliament 1988 which became operative from April 2, 1990. SIDBI was made responsible for administering Small Industries Development Fund and National Equity Fund that were administered by IDBI before.  SIDBI is the Primary Financial Institution for promoting, developing and financing MSME (Micro, Small and Medium Enterprise) sector

Multiple choice organisation of commerce and management micro, medium and small enterprises (msmes) nabard and kvic funding and assistance to small businesses privileges and other promotional measures for msmes world bank

Which of the following statements is true or false?
a) NABARD takes up all the functions performed by RBI with regard to rural credit
b) NABARD provides credit directly to rural people

  1. both (a) and (b) are correct

  2. both (a) and (b) are false

  3. (a) is true, (b) is false

  4. (a) is false, (b) is true

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

NABARD stands for National Bank for Agriculture And Rural Development. The bank has been entrusted with matters concerning policy and planning related to agriculture and rural development. It replaced the Rural Planning and Credit Cell (RPCC) of RBI.

NBARD is an apex institution and hence doesn't directly directly finance farmers and other rural people.