Q No. Content Marks
Q-1) List any two categories of persons that are required to obtain Registration from ‘Central Excise Department’. (1)
Q-2) Ram Prasad, a cotton grower from Bihar, wants to start a cottage industry for weaving cotton into handloom. Which specialized financial institution should he approach to meet the credit requirements of his industry? (1)
Q-3) Distinguish between ‘Joint stock company ’and a ‘Joint Hindu Family’ on the basis of liability of members. (1)
Q-4) Kartik wants to start a new Readymade Garments shop in his colony. He is aware that this is a lucrative venture for him. Do you think that Kartik has chosen the right opportunity? (1)
Q-5) Why is it said that “A venture capitalists investments are illiquid.” Give reason. (1)
Q-6) “An entrepreneur who fails to scan business environment is unlikely to survive in the long run.” Explain this statement. (2)
Q-7) Differentiate between above-the-line promotion and below-the-line promotion? (2)
Q-8) Annual quantity of cakes sold by the cake shop is 2000 at the rate of Rs.100 per month. Cost of placing an order and receiving goods is Rs.200@ order.

Inventory holding cost is Rs.20 @ annum.

Calculate EOQ.

Q-9) Why is it important to carefully choose a legal structure for the business? (2)
Q-10) What is ‘Excise Duty’? Is it collected by the state government or the central government? (2)
Q-11) The following information is related to the sales mix for products- Bubblegum

and Candy.


Product                                             Bubblegum            Candy

Sales price @ unit                   Rs.100             Rs.75

Variable cost @ unit               Rs. 50              Rs.25


Sales                                        1000 units       500 units


Sales Mix (15:5)

Total fixed cost- Rs.5,00,000.


Calculate Break Even Point in units as well as in Rupees.

Q-12) How is follow-up helpful to any entrepreneur? (3)
Q-13) An entrepreneur during the industry analysis of his competitions in the line of business, realizes that the competitors are better in their business plans and their execution. Should the entrepreneur add unique selling point in the existing plan to get a creative niche above others or should he go for a completely different line of business where the competition is less and he is easily able to find his feet in the market? Give reasons for your answer. (3)
Q-14) ‘Unique Motors Ltd.’ was a car dealer. It took over a car manufacturing plant ‘Speedcart & Co.’ and started a new business in the name of ‘Uniquecart Ltd.’ to synergise and capture a major share of the market. Like their competitors, they decided to sell their cars through company appointed dealers (retailers) in various parts of the country. This would relieve the company from the burden of selling the cars while at the same time giving them control over the distribution process.

(a) Name and explain the ‘Enterprise Growth Strategy’.

(b) Identify the channel of distribution used by ‘Uniquecart Ltd.

Q-15) Sonia is an entrepreneur who wants to start an amusement park at Indore city. She knows that she needs a huge amount of initial capital. According to you which of the financial institution will be more suitable to her? Suggest and Explain why?     (3)                                                                                                                           (4)
Q-16) “The people working in a firm make it what it is.” Explain. (3)
Q-17) Harish works as the chief accountant in ABC infrastructure Ltd. He came to know that the Company is planning to announce an interim dividend. He purchased 2000 shares of the Company at the market price of Rs. 215/- with an expectation of an appreciation in the market price to Rs. 577/- . He sold his holdings and made a handsome profit. Name the related concept and which social values associated here. (3)
Q-18)  Pureminds Ltd. was a company into manufacture of water purifiers, water dispensers, packaged drinking water and hand sanitizers. They were into a lot of research and development and would update their products on a regular basis. They also encouraged feedback and suggestions from the customers. Acting on one such suggestion, they decided to manufacture a water bottle with a built in water purifier called ‘Wonderpure’. They spent a lot of money on promoting the product with the tagline ‘Your child is secure with Wonderpure’. The target segment was- quality conscious consumers. It was priced in such a way that the cost of investment of the original research gets recovered from the customer. The product was an instant hit.


(a) Identify and explain the pricing strategy used by Pureminds Ltd.


(b) State two advantages and two disadvantages of the pricing strategy identified in part (a)

Q-19) Differentiate between Creativity and innovation. (4)
Q-20) “Creative products and services are born as a result of problem solving”. Explain with the help of example. (4)
Q-21) Calculate working capital for Raja & Co. from the information as given below:

Stock                              Rs. 50,000/-

Trade Creditors              Rs. 32,000/-

Debtors                           Rs. 75,000/-

Cash                                Rs. 1,00,000/-

Dividend  payable           Rs. 50,000/-

Tax                                  Rs. 44,000/-

Short term loan                Rs. 61,000/-

Short term investment     Rs. 76,000/-


Q-22) Mr. X always wanted to manufacture an innovative, energy efficient fan. He is looking into various options and has finally narrowed it down to one option. He understands that the entire idea would have to follow a process. Identify and explain the process. (6)
Q-23) “For a good inventory control system, we need to take care of both physical and fiscal aspects.” Explain the nature of items that make up the inventory. (6)
Q-24) Anjum is a 32-year-old housewife. She used to do embroidery work on sarees and dresses as a hobby, and this helped her earn some money. Her husband, Sheik Afzal, is an auto rickshaw driver and the couple has three children. Anjum had never thought of converting her passion for embroidery work into a full-time profession, until one of her relatives, a woman who lived abroad, suggested that Anjum should take up petit point. She told her that there was good demand for this kind of work, both in India and abroad, especially during marriages and festivals. Anjum became thoughtful. She got together other women of her locality and formed a voluntary organization which was open for other women too. Their main aim was mutual help.


1. Identify any one value conveyed by Anjum.


2. Identify the type of organization formed by her. Also state any four features of this type of organization.


About booksbysonamsachdeva

Hello Readers! I am Sonam Sachdeva and I am an Author, Lecturer, and yes, now a Blogger. I have a rich experience of 4 years in teaching core Management subjects to more than 1000 students. I have done MBA and BBA from Guru Gobind Singh Indraprastha University, PGDIBO from IGNOU and ACM (HRM) from AIMA. I have also qualified UGC NET & JRF. I am presently empanelled as an Assistant Professor at Delhi University, New Delhi. I have attended various National and International Conferences, Seminars and Workshops. I have written several research papers, case studies and book reviews which have been published in reputed International and National journals. I was a rank holder in my post-graduation and graduation and was a scholar at school. Moreover, I have been an active recruiter in the institutions I served. I am a member of All India Management Association and Delhi Management Association. Teaching is my passion and I hope that through this blog, I will help you become expert in some of the most demanding subjects in Management. I hope that you will like the stuff. For any queries, write at: Enjoy reading... Sonam Sachdeva

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