Nature & Purpose of Business

Business risk is not likely to arise due to

• Change in government policy

• Good management

• Employee's dishonesty

• Power failure

…………..is concerned with holding goods in stock for sale in future.

Which of the broad categories of industries covers oil refinery and sugar mills?

• Primary

• Secondary

• Commercial

• Tertiary

Which of the following is an economic activity?

• A housewife cooking food for her family

• A person selling cold water on the pavement

• A young boy driving his motorcycle in the City

• An old man offering prayers in a temple

Conversion of cotton into cloth is an example of genetic industry. True/False?

ABC Ltd. is planting trees on the road side. It is trying to achieve …......………….. objectives of the business.

...…………….. industries provide support services to primary & secondary industries.

...…………...….. is the primary objective of business

Which of the following does not characterise business activity?

• Production of goods

• Presence of risk

• Sale or exchange

• Salary or wages

…………….. risks means chance of loss without any possibility of gain ( Speculative or Pure)