EDP Questions And Answers, PMEGP EDP Questions And Answers

EDP Questions And Answers

Open Best Demat & Trading Account @Zero Cost. Click Here

MODULE I: PROGRAM ORIENTATION

1 : What theory States that people desire to achieve something for their inner feeling of accomplishment?

1. Need for Achievement Model
2. Psycological Theory of Etreprenuership
3. Psydynamic Model
4. None of these
   CORRECT ANSWER: Need for Achievement Model.

2 : What does MoMSME stand for?

1. Ministry of Micro, Small and Medium Enterprises
2. Ministry of Managerial Sectors and Medium Enterprises
3. Ministry of Micro, Small and Managarial enterprises
4. none of these
   CORRECT ANSWER: Ministry of Micro, Small and Medium Enterprises.

3 : What scheme merged with Prime Minister’s Rojgar Yojna?

1. KVIC
2. KVIB
3. DIC
4. REGP
   CORRECT ANSWER: REGP.
   Prime Minister’s Employment Generation Programme (PMEGP) by merging the two schemes that were in operation till 31.03.2008, namely Prime Minister’s Rojgar Yojana (PMRY) and Rural Employment Generation Programme (REGP) for generation of employment opportunities through establishment of micro enterprises.

4 : what is one of the important things that Currency gave to entrepreneurs?

1. It acted as a medium of exchange
2. It provided a way for entrepreneurs to store value
3. It facilitated long-distance trade
4. All of these
   CORRECT ANSWER: All of these.

5 : What according to you is the main objective of PMEGP?

1. to provide employment opportunities to unemployed masses
2. to educate the needy ones
3. to develop the rural infrastructure
4. None of these
   CORRECT ANSWER: to provide employment opportunities to unemployed masses.

MODULE II: STARTING A NEW VENTURE

1 : A ________________________ is the response of a person or an organization to solve an identified problem or to meet the perceived needs in the environment (markets, community, etc.)?

1. Business Idea
2. Government
3. Both of these
4. None of these
   CORRECT ANSWER: Business Idea.

2 : _________________________ is established when the parent company establishes a new child company?

1. Strategic Allience
2. Joint Venture
3. Equity Strategic Alliance
4. None of the above
   CORRECT ANSWER: Joint Venture.

3 : What are some examples of Intellectual property rights?

1. Patent
2. Trademark
3. Copyrights
4. All the above
   CORRECT ANSWER: All the above.

4 : For securing finance for working capital, which type of lending facility is available to a borrower from lending bank?

1. Bank term loans
2. Receivables Finance
3. Overdraft
4. Asset-based finance
   CORRECT ANSWER: Overdraft.

5 : A ______________ one of the traditional graphical tools used by professionals?

1. Business Process Flow Chart
2. Business Plan
3. Marketing Plan
4. None of the above
   CORRECT ANSWER: Business Process Flow Chart.

MODULE III: VARIOUS STATUTORY AND BUSINESS REGISTRATIONS

1 : What is the one-page registration form which constitutes a self-declaration format under which the MSME will self-certify its existence, bank account details, promoter/owner’s Aadhaar details and other minimum information?

1. Udyog Aadhaar Memorandum
2. Udyog Aadhaar card
3. both of them
4. none of them
   CORRECT ANSWER: Udyog Aadhaar Memorandum.

2 : which return form includes Details of outward supplies of taxable goods and/or services affected?

1. GSTR-1
2. GSTR-2
3. GSTR-3
4. GSTR-4
   CORRECT ANSWER: GSTR-1.

3 : how many types of PAN applications are there?

1. 4
2. 3
3. 2
4. 1
   CORRECT ANSWER: 2.

6 : How can a PAN application be submitted?

1. online
2. physical form
3. both of them
4. none of them
   CORRECT ANSWER: both of them.

7 : Is there restriction on filing more than one Udyog Aadhaar Memorandum using the same Aadhaar Number?

1. yes
2. no
3. may be not
4. don’t know
   CORRECT ANSWER: yes.

8 : who accepts PAN applications on behalf of the Income Tax Department?

1. NSDL e-Gov
2. TIN-Facilitation Cent
3. both of them
4. none of them
   CORRECT ANSWER: NSDL e-Gov Now Protean. NSDL e-Gov accepts PAN applications on behalf of Income Tax Department.

9 : It is compulsory to quote PAN in all documents pertaining to the sale or purchase of any immovable property valued at ________?

1. 6 lakh or more
2. 5 lakh or more
3. 8 lakh or more
4. 7 lakh or more
   CORRECT ANSWER: 5 lakh or more.

10 : IPR stands for?

1. Intellectual Property Right
2. Intellectual Proper Right
3. Intellect Property Right
4. none of them
   CORRECT ANSWER: Intellectual Property Right.
   IPR stands for Intellectual Property Right.

MODULE IV: ENTREPRENEUR’S SKILL SETS

1 : Which one of them is the Internal Factor of Entrepreneurial Motivation?

1. Self-motivation
2. Enthusiasm
3. Optimism
4. All of these
   CORRECT ANSWER: All of these.

2 : What are the elements of a goal?

1. An accomplishment to be achieved
2. The outcome is measurable
3. The time & cost factors & therefore
4. All of these
   CORRECT ANSWER: All of these.

3 : Developing Self confidance includes?

1. Stay Focused On You
2. Monitor Your Successes
3. Be Decisive
4. All of these
   CORRECT ANSWER: All of these.

4 : Which one of these is the benefit of Positive Attitude?

1. Helps achieving goals and attaining success.
2. Greater inner power and strength.
3. People respect you
4. All of these
   CORRECT ANSWER: All of these.

5 : Which one of them is the External Factor of Entrepreneurial Motivation?

1. Influence
2. Strength
3. Availability of resources
4. Both A & C
   CORRECT ANSWER: Both A & C.

MODULE V: ESTABLISHING THE ENTERPRISE

1 : Which of the following is/are types of strategic partnership?

1. Horizontal/Vertical
2. Intersectional
3. Joint Venture/Equity
4. All of the Above
   CORRECT ANSWER: All of the Above.

2 : Which of the following are types of Business Organisations?

1. Company
2. Sole Propreitership
3. Non Profit Organisation
4. All of the Above
   CORRECT ANSWER: All of the Above.

3 : Which of these is an Internal control component?

1. Control Environment
2. Risk Assessment
3. Information and communicaton
4. All of the Above
   CORRECT ANSWER: All of the Above.

4 : DIN stands for?

1. Dealer Identity No
2. Director Identification No
3. Deal Indication No
4. None of Above
   CORRECT ANSWER: Director Identification No.
   DIN stands for Director Identification Number.

5 : Primary data is not collected from ____?

1. Manufacturers
2. Reports
3. Suppliers
4. Customers
   CORRECT ANSWER: Reports. Secondary data is collected from reports/Published books.

MODULE VI: OPERATING THE ENTERPRISE

1 : ______________ is the science, art, and technology of enclosing or protecting products for distribution, storage, sale, and use?

1. Packaging
2. Sheilding
3. Recycling
4. Marketing
   CORRECT ANSWER: Packaging.

2 : Uncollectible Accounts occurs when ___________?

1. Customers do not pay for item
2. Bad Debt
3. Uncollectible Expense placed as selling expense
4. All of the above
   CORRECT ANSWER: All of the above.

3 : In ABC analysis, C items refers to?

1. Moderate value/frequency
2. High value,low sales
3. Low values,High frequency
4. None of these
   CORRECT ANSWER: Low values,High frequency.

4 : ____________ is composed of sand,soda ash,limestone?

1. Metal
2. Glass
3. Rubber
4. Plastic
   CORRECT ANSWER: Glass.

5 : What are the Objectives of Accounting?

1. Assisting Management
2. Ascertaining Profit/Loss
3. Both of these
4. None of these
   CORRECT ANSWER: Both of these.

6 : ________ shows the amount owed by customers for goods and services, that a company has allowed the customer to purchase on credit?

1. Credit Sales
2. Uncollectible Accounts
3. Accounting Receivables
4. None of the above
   CORRECT ANSWER: Accounting Receivables.

7 : What is a stock of items held to meet future demands called?

1. Inventory
2. Sales
3. Both A and B
4. None of them
   CORRECT ANSWER: Inventory.

8 : Summarising, Recording and Classifying are the _________ of Accounting?

1. Objectives
2. Characteristics
3. Functions
4. None of these
   CORRECT ANSWER: Characteristics.

9 : ________is the material that first envelops the product and holds it?

1. Tertiary packaging
2. Secondary packaging
3. Primary packaging
4. None of these
   CORRECT ANSWER: Primary packaging.

10 : What is the average period of time required for a business to make an initial outlay of cash to produce goods, sell the goods and receive cash from customers in exchange for the goods?

1. Fund Management
2. Operating Cycle
3. Production Management
4. All of these
   CORRECT ANSWER: Operating Cycle.

MODULE VII: MARKETING, BRANDING & SALESMANSHIP

1 : Marketing is a strategical mix of___ C’s?

1. 1
2. 2
3. 3
4. 4
   CORRECT ANSWER: 4, Marketing is a strategical mix of four C’s, i.e. Consumer, Cost, Communication, and Convenience.

2 : Branding means___________?

1. Creating a Brand
2. Define a Brand
3. Both A and B
4. None of these
   CORRECT ANSWER: Both A and B.

3 : Segmentation of Target Markets is based on?

1. Geography
2. Demographics
3. Behavior and Lifestyle
4. All of these
   CORRECT ANSWER: All of these.

4 : In Service marketing ____?

1. Products come to customers
2. Customers come to service
3. Both A and B
4. None of these
   CORRECT ANSWER: Customers come to service.

5 : What is the characteristic of Advertising?

1. Paid Form and Tool for Promotion:
2. One Way Communication
3. Personal or Non-Personal
4. All of these
   CORRECT ANSWER: All of these.

6 : What are the Company Characteristics offering choice of channel of distribution?

1. Financial Strength
2. Control
3. Both A and B
4. None of these
   CORRECT ANSWER: Both A and B.

7 : What are the type of Distributional Channel?

1. Direct
2. Indirect
3. Both A and B
4. None of these
   CORRECT ANSWER: Both A and B.

8 : In Know Your Customer (KYC), steps are taken to _________?

1. Establish customer identity
2. Understand the nature of the customer’s activities
3. Monitoring the customer’s activities
4. All of them
   CORRECT ANSWER: All of them.

9 : Why is After Sales Service needed?

1. Customer satisfaction
2. Customer retention
3. Generates Loyalty
4. All of these
   CORRECT ANSWER: All of these.

10 : Under Service Marketing, how does the aspect of tangibility work?

1. They are tangible, so customer can see and touch it, before
   coming to the buying decision
2. They are intangible, so it is difficult to promote services
3. Both A and B
4. None of these
   CORRECT ANSWER: Both A and B. Service marketing implies the marketing of economic activities, offered by the business to its clients for adequate consideration. The services here are intangible, therefore, it is difficult to promote these services.

MODULE VIII: UNDERSTANDING OF BANKING AND FUNDING

1 : The method by which users can transfer money immediately from one account to the other account, within the same bank or accounts across other banks is called as __________?

1. Real Time Gross Settlement (RTGS)
2. Immediate Payment Service (IMPS)
3. National Electronic Funds Transfer (NEFT)
4. None of these.
   CORRECT ANSWER: Immediate Payment Service (IMPS).

2 : The basic functions of a banker are to give financial advices to the customers on matter relating to ___________?

1. Loans
2. Investments
3. Securities and savings
4. All of the above
   CORRECT ANSWER: All of the above.

3 : What are the grounds on which the Banking Ombudsman can receive and consider any complaint?

1. Non-payment or delay
2. Non-acceptance
3. Includes internet banking
4. All of the above
   CORRECT ANSWER: All of the above.

4 : The investment of willing investors are invested in share market in ________?

1. Bank Fixed Deposits
2. Stock Market
3. Mutual Funds
4. None of these.
   CORRECT ANSWER: Mutual Funds.

5 : The Reserve Bank of India gave “in-principle” licences to how many entities to launch payments banks?

1. 6
2. 10
3. 9
4. 11
   CORRECT ANSWER: 11,
   Payment Banks: On 19August, 2015, the Reserve Bank of India gave “in-principle” licences to eleven entities to launch payments banks – • Aditya Birla Nuvo • Airtel M Commerce Services • Cholamandalam Distribution Services • Department of Posts • FINO PayTech • National Securities Depository • Reliance Industries • Dilip Shanghvi, Sun Pharmaceuticals • Vijay Shekhar Sharma, Paytm • Tech Mahindra • Vodafone M-Pesa.

6 : What does the system of electronically transfering the funds to other bank accounts over the country called?

1. ATM Banking
2. Real Time Gross Settlement
3. Digital Cash
4. National Electronic Funds Transfer
   CORRECT ANSWER: National Electronic Funds Transfer.

7 : Which part of the Project Report mentions the close competitors of the project and their performance?

1. Total Project Cost and Finance Structure
2. Competitive analysis
3. Financial projections and ratios
4. None of these.
   CORRECT ANSWER: Competitive analysis.

8 : What is the type of full service online banking that is available 24 hours a day?

1. ATM Banking
2. Digital Wallet
3. Digital Cash
4. None of these.
   CORRECT ANSWER: ATM Banking.
   ATM BANKING: • Full-service banking, 24 hours a day. • Make banking more convenient with ATMs and debit card. •Convenient Self Service.

9 : Prime Minister of India Shri Narendra Modi started which of the following in 2014?

1. Digital India Programme
2. Pradhan Mantri Bhartiya Jan Aushadhi Yojana Kendra
3. Jan Dhan Yojana
4. Pradhan Mantri Ujjwala Yojana
   CORRECT ANSWER: Jan Dhan Yojana.

10 : Which scheme provides a soft loan to MSMEs to meet the required debt-equity ratio for the establishment of an MSME?

1. SIDBI Make In India Soft Loan Fund For Micro Small And
   Medium Enterprises
2. Stand Up India
3. Pradhan Mantri Mudra Yojana (PMMY)
4. None of these.
   CORRECT ANSWER: SIDBI Make In India Soft Loan Fund For Micro Small And Medium Enterprises.

MODULE IX: TAXATION AND OTHER STATUTORY COMPLIANCES

1 : The Income Tax Act has specified the books of accounts that are required to be maintained for the purpose of Income Tax. These have been prescribed under which section?

1. section 44AA and Rule 6F.
2. section 44AB and Rule 4F.
3. section 44AC and Rule 6F.
4. section 44AA and Rule 8F.
   CORRECT ANSWER: section 44AA and Rule 6F.

2 : Which is a legislation in India which allows the registration of entities generally involved in the benefit of society – education, health, employment etc.?

1. Societies Registration Act
2. The Companies Act
3. both of them
4. none of them
   CORRECT ANSWER: Societies Registration Act.

3 : Gifts up to Rs._ received in Cash do not constitute tax liability?

1. 50000
2. 60000
3. 70000
4. none of them
   CORRECT ANSWER: 50000. Gifts up to Rs. 50,000 received in Cash do not constitute tax liability. Gifts in kind having the fair value maximum up to Rs. 50,000 is not liable to tax.

4 : If you are not salaried, or you are still salaried, but don’t get HRA, then you can claim deduction for rent under which section?

1. Section 80GG
2. Section 70GG
3. Section 90GG
4. Section 50GG
   CORRECT ANSWER: Section 80GG.

5 : ITC stands for?

1. Input Tax Credit
2. Income Tax Credit
3. Input Tax Cash
4. none of them
   CORRECT ANSWER: Input Tax Credit.

6 : When a minor becomes major and elects to become or not to become a partner in Form VI has a time limit of _________?

1. 40 days
2. 50 days
3. 60 days
4. 90 days
   CORRECT ANSWER: 90 days.
   When a minor becomes major and elects to become or not to become a partner in Form VI with a time limit of 90 days.

7 : CBDT stands for?

1. Central Board of Direct Taxes
2. Central Board of Diffrent Taxes
3. Central Board of Deminished Taxes
4. none of them
   CORRECT ANSWER: Central Board of Direct Taxes.
   Central Board of Direct Taxes (CBDT) is the body which looks after the administration of Direct Tax.

8 : As per Income tax, income is classified under how many heads?

1. 4
2. 5
3. 6
4. 7
   CORRECT ANSWER: 5, As per Income tax, income is classified under five heads I. Income from salaries II. Income from House Property III. Profits and gains of business and profession IV. Capital Gains V. Income from other sources.

9 : Penalty when accounting records as required are not maintained is as per ____________?

1. Section 44BA
2. Section 44CC
3. Section 44AA
4. Section 44AC
   CORRECT ANSWER: Section 44AA.
   Penalty when accounting records as required are not maintained as per Section 44AA.

10 : A __________ mentioning the objective or the purpose for which the society is being formed will be annexed to the beginning of the application.

1. security letter
2. request letter
3. covering letter
4. none of them
   CORRECT ANSWER: covering letter.

MODULE X: GOVERNMENT SCHEMES FOR MSME

1 : In Mudra Loans, Rs 10 lacs Loans upto Rs.50,000 are categorised as _________?

1. SHISHU
2. KISHORE
3. TARUN
4. None of the above
   CORRECT ANSWER: SHISHU. Mudra Loan Quantum of loan (Min/Max) Loans upto Rs 10 lacs Loans upto Rs.50,000 are categorised as SHISHU.

2 : What is Collateral Security in Startup India?

1. Nil
2. Land
3. Equipment
4. Vehicles
   CORRECT ANSWER: Nil.

3 : What sector entrepreneurs are provided assistance in NABARD Scheme for Farming Sector?

1. Dairy Sector
2. Fisheries and aquaculture
3. Livestock
4. Crop Farming
   CORRECT ANSWER: Dairy Sector.

4 : Under which department of Government of India the Small Industries Development Bank of India (SIDBI) operates?

1. Department of Economic Affairs
2. Department of Financial Services
3. Department of Expenditure
4. Department of Revenue
   CORRECT ANSWER: Department of Financial Services.

5 : What is the rate of interest in PSB Loans in 59 minutes?

1. Less than 5%
2. From 10% onwards
3. From 8.50% onwards
4. None of the above
   CORRECT ANSWER: From 8.50% onwards.

6 : What is the Repayment Period in Startup India loan?

1. Maximum of 3 years
2. Maximum of 5 years
3. Maximum of 7 years
4. None of the above
   CORRECT ANSWER: Maximum of 7 years.

7 : How many types of loans that are available in NABARD Scheme?

1. 2
2. 3
3. 5
4. 1
   CORRECT ANSWER: 2.
   National Bank for Agriculture and Rural Development (NABARD) The two types of loans that are available NABARD Scheme are: • Short Term Loans • Long Term Loans.

8 : In what percentage Government of India and State Governments contribute in National Horticulture Mission (NHM)?

1. 50% each
2. 60% and 40% respectively
3. 85% and 15% respectively
4. None of the above
   CORRECT ANSWER: 85% and 15% respectively.

9 : In the Food Processing Scheme, the preference will be given to the units to be set up only in _______?

1. Mega parks
2. Agro clusters
3. Designated food parks
4. All of the above
   CORRECT ANSWER: All of the above.

10 : PSB Loans in 59 minutes enables the individuals to apply for which type of loans?

1. Business loan
2. Student loan
3. Personal loan
4. Both 1 and 3
   CORRECT ANSWER: Business loan.
   PSB LOANS IN 59 MINSUTES IS AN ONLINE MARKETPLACE WHICH ENABLES THE INDIVIDUALS TO APPLY FOR BUSINESS LOAN , PERSONAL LOAN , HOME LOAN , AUTO LOAN AND MUDRA LOAN.

MODULE XI: SUSTAINABILITY AND GROWTH OF BUSINESS

1 : In which level, integration of new knowledge,word processing, email, and internet, etc. is done?

1. Management Level
2. Operational Level
3. Knowledge Level
4. None of the above.
   CORRECT ANSWER: Knowledge Level.

2 : What is the type of business combination of Maruti of India with Suzuki of Japan called?

1. Joint Venture
2. Mergers
3. Acquisitions
4. None of the above.
   CORRECT ANSWER: Joint Venture.

3 : External factors that influence change and development are __________?

1. Market Situation.
2. Competitive Pressure.
3. Socio-Economic Conditions.
4. All of the above.
   CORRECT ANSWER: All of the above.

4 : What are the main points of Financial Planning?

1. Have a strategic plan for growth.
2. Regulating break-even point.
3. Increasing cash flow and profits.
4. All of the above.
   CORRECT ANSWER: All of the above.

5 : The precision with which the external world is observed is called as __________?

1. Cognitive Skill.
2. Social Understanding.
3. Environmental Awareness
4. None of the above.
   CORRECT ANSWER: Environmental Awareness.

Know more PMEGP Scheme