NCERT Class 11 Chapter 6 Business Studies Social Responsibility MCQ

NCERT Class 11 Chapter 6 Business Studies Social Responsibility MCQ | Questions & Answers: Here we have come up with another NCERT Class 11 Chapter 6 Business Studies Social Responsibility MCQ Quiz. To know the results of your responses, submit the answers at the end. Good luck!!!

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1. ADRs are issued in

A. USA

B. China

C. India

D. Canada

2. ______are debt instrument that does not carry a specific rate of interest , but issued at a heavy discount

A. Bonds

B. Debentures

C. None of the options

D. Equity Shares

3. Public Deposits are the deposits that are directly raised from

A. The public

B. The auditors

C. The owners

D. The directors

4. Which one of the following is the first Global Company who issue IDR in India?

A. Standard Chartered PLC

B. HDFC

C. Reliance

D. HSBC

5. Which one of the following is the unsecured short term deposit made by one company with another?

A. ICD

B. ADR

C. IDR

D. GDR

6. The interest rate on Three months Inter Corporate deposit is

A. 0.12

B. 0.15

C. 0.1

D. 0.2

7. Which one of the following statement is TRUE about Public deposits?

A. Public deposit cannot exceed 25% of share capital and reserves

B. Rate of interest offered on public deposits is lower than the rate of interest on bank deposits

C. Public deposit are issued for a period of 6 months to 5 years

D. It is one of the reliable sources of finance

8. Which of the following institution provides financial assistance towards balanced regional development and development of management education in the country?

A. Industrial finance Corporation of India (IFCI)

B. industrial Credit and Investment Corporation of India (ICICI)

C. Industrial Development Bank of India ( IDBI)

D. Life insurance Corporation of India (LIC)

9. Which one of the following is the advantage of Equity shares?

A. No charge on assets

B. Dilution of control

C. Higher cost

D. Risk.

10. The preference shares that can be converted into equity shares are known as

A. Convertible preference shares

B. Non-convertible preference shares

C. Non-Participating preference shares

D. Participating preference shares

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11. Which one of the following is known as the Risk capital?

A. Equity shares

B. Debentures

C. Retained earnings

D. Preference shares

12. Which one of the following is NOT the disadvantage of raising funds through debentures?

A. No Dilution of control

B. All of the options.

C. Charge on assets

D. Fixed obligation

13. Preference shares do not carry preferential rights over equity shares regarding

A. Voting rights

B. Payment of dividend

C. None of the options

D. Payment of capital

14. Working capital is raised through

A. All of the options.

B. Commercial paper

C. Factoring

D. Trade credit

15. Internal sources of capital are those that are generated through

A. Within the business

B. Issue of shares

C. Outsiders

D. Loans form banks

16. The maturity period of commercial paper usually ranges from

A. 90 days to 1 year.

B. 15 days to 1 year

C. 20 to 40days

D. 60 to 90 days

17. Under the factoring agreement, the factor

A. Collects the client's debt or accounts receivables.

B. Transfer the goods from one place to another.

C. Makes the payment on behalf of client

D. Produces and distributes the goods or services

18. Under the lease agreement , the lessee gets the right to

A. Use the asset for a specific period of time.

B. Share the profit earned

C. Vote

D. Sell the asset.

19. Debenture holders are called______of the company.

A. Creditors

B. Owners

C. Executives.

D. Partners

20. IDRs are issued in

A. India

B. Canada

C. China

D. None of the options

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21. Equity share capital represents______of the company.

A. Permanent capital

B. Fixed capital

C. Working capital

D. Fluctuating capital

22. Trade credit is an example of

A. Short term finance

B. Long term finance

C. All of the options.

D. Medium term finance

23. Public deposits are the deposits that are directly raised from

A. The public

B. The auditors

C. The directors

D. The owners

24. Funds required for purchasing current assets are known as

A. Working capital

B. Fixed capital

C. Lease financing

D. Retained earnings

25. The term redeemable is used for

A. Preference shares

B. Equity shares

C. Public deposits

D. Commercial papers