Download App

Resource Mobilization — Entrepreneurship STD 11 Commerce — Question

CBSE BoardEnglish MediumSTD 11 CommerceEntrepreneurshipResource Mobilization4 Marks
Question
State whether the following require small or large working capital. Answer should be supported by a valid reason:
  1. Selling ice-creams.
  2. Following a liberal credit policy.
  3. Dealing in stainless steel wares.
  4. Using capital intensive technology.
✓

Answer

S.No.
Items
Small/ Large Working Capital
Reasons
(a)
Selling ice-creams
Small Working Capital
It is a retail shop and the product is sold in cash therefore it requires less working capital.
(b)
Following a liberal credit policy
Large Working Capital
When the market is competitive, then the enterprises/ entrepreneur believe in selling goods on credit, needs more working capital.
(c)
Dealing in stainless steel wares
Large Working Capital
He need to stock up inventories. The larger the stocks of finished goods (steel wares) required to be kept, the more will be the need for working capital.
(d)
Using capital intensive technology
Large Working Capital
Using capital intensive technique means it is a manufacturing unit. It gives an indication that large amount of working capital is required.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "4 Marks Question" from Resource Mobilization→Resource Mobilization — all question types→Entrepreneurship STD 11 Commerce question papers→CBSE Board STD 11 Commerce question papers→CBSE Board question paper generator→

Similar questions

A business plan addresses specific areas such as ‘marketing' and 'finance'. What factors are considered while preparing plans related to above activities. Give the importance of the above functions for the success of the venture. Also identify one value that the business exhibits by making plans for these key operational areas of an enterprise.
→
Give examples of failures of some successful companies.
→
Mention two types of barriers.
→
Geetanjali runs a children day care centre (Zhoolaghar). The main clients are working parents, who pay a fixed amount of 100 per child for the whole day. Children at the centre learn through play and engaged in different activities like art, music, dance, physical education, handwriting and values education. The business is open for an average of 22 days each month.
S.No.
Capacity
25 Children per day
1.
Unit Price
₹100
2.
Material Requiremant per child
₹10
3.
Rent
₹3000
4.
Salary
₹5000
5.
Administrative Expenses
₹300
6.
Electricity charges
₹700
From the above given information calculate:
  1. Total Fixed Cost.
  2. Calculate Break-even Point (in Units ) and BEP (in sales per month)
  3. Show TR = TC concept.
→
In the course of a business, a firm enters into both cash as well as credit transactions. Give examples of the above transactions.
→
Identify the information resource centre at the State and Central levels available in India to the entrepreneur regarding:
  1. Product standardization and quality mark
  2. Technical know - how
  3. Selection of Project
  4. Registration
→
Explain the concept of mentoring. Give 2 examples to support your answer.
→
Write about any two innovations which led to entrepreneurial ventures.
→
State the distinct features of mentor-mentee relationship.
→
What factors should be kept in mind while deciding
  1. The channel of distribution.
  2. The mode of distribution.
→