Tag: meaning, scope, nature and importance of business organisation

Quizzes (13) Questions (4)

Questions Related to meaning, scope, nature and importance of business organisation

Multiple choice business organisation and correspondence meaning, scope, nature and importance of business organisation factors affecting business interrelationship between industry, commerce and trade other aspects of a business

Which one of the following is INCORRECT about closing stock?

  1. It is added into current assets

  2. It is deducted from Material available for use

  3. It becomes opening stock of next year

  4. It reduces the resources of business
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Closing stock is an asset that represents unsold goods. It does not reduce the resources of a business; rather, it is a resource that has been retained for future sale.

Multiple choice business organisation and correspondence meaning, scope, nature and importance of business organisation factors affecting business interrelationship between industry, commerce and trade other aspects of a business

Business contributes a fair share for the social welfare of the nation by starting and running of ______________.

  1. schools

  2. hospitals

  3. colleges

  4. all of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Small businesses contribute to local economies by bringing growth and innovation to the community in which the business is established. Owning and running your own business can be more satisfying and fulfilling than working for someone else. 

Many successful small business owners find they enjoy the respect they earn from their peers for having the courage to go out on their own. Power. Don't be surprised if power is one of your goals.

Multiple choice business organisation and correspondence meaning, scope, nature and importance of business organisation factors affecting business interrelationship between industry, commerce and trade other aspects of a business

______ carry their goods on wheeled carts and sell them to the consumers at their doors.

  1. Hawkers

  2. Street traders

  3. Peddlers

  4. Market sellers
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Peddlers carry their goods on wheeled carts and sell them to the consumers at their doors. Peddlers are probably the oldest kinds of retailers in the world. They carry their goods around on bicycles, hand carts, carts, in baskets etc. They set up in local markets and street corners etc. So they constantly move around to reach to the maximum number of customers.

Multiple choice business organisation and correspondence meaning, scope, nature and importance of business organisation factors affecting business interrelationship between industry, commerce and trade other aspects of a business

Industry is an economic activity where as Commerce is a business activity.

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Industry is an economic activity where as Commerce is a business activity- this is a true statement. Industry is concerned with the procurement and processing of raw materials into finished goods and thus it is an economic activity. Commerce is classified as a business activity as the it  deals with the exchange of goods and services for value.