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CHAPTER 2: INTRODUCTION TO SMALL AND MEDIUM ENTERPRISE DBS1B

Total questions: 20

Worksheet time: 11mins

Name
Class
Date
1.

A business will be classified as SME if it fulfills any one out of three conditions.

a)

True

b)

False

2.

The three conditions of SMEs are qualifying criteria, type of establishment and risks.

a)

True

b)

False

3.

SME can be classified as a manufacturer if the sales turnover is not exceeding RM50 million or full-time employees not exceeding 20 people.

a)

True

b)

False

4.

Sales turnover from RM300,000 to less than RM15 million.

The above statement best refers to ...

a)

a small manufacturing SME

b)

a medium manufacturing SME

c)

a small service SME

d)

a medium service SME

5.

The sales turnover of Syarikat Kurita Sdn Bhd, a company that produces food and beverages is RM17 million. The number of workers is 50 people. Syarikat Kurita is considered as a .....

a)

large company

b)

microenterprise

c)

medium SME

6.

Sales turnover refers to total revenue including other income.

a)

True

b)

False

7.

Full-time employees include all paid workers working for 4 hours.

a)

True

b)

False

8.

Full-time workers do not include foreign and contract workers.

a)

True

b)

False

9.

A business that is incorporated under the following Act is considered a "pure business entity". Those Acts are ....

a)

Registration of Business Act 1956

b)

Companies Act 2016

c)

Contract Act 1950

d)

Sale of Goods Act 1967

10.

Companies that are public listed in the secondary bourses such as the ACE market, Malaysia Online Trading Platform for Unlisted Market (My ULM), or in secondary markets / SME exchanges / unlisted markets in other countries and their subsidiaries will be considered as ....

a)

partnership

b)

small and medium enterprise

c)

sole trader

d)

corporation

11.

Public-listed companies in the main board such as Bursa Malaysia or main bourses in other countries and their subsidiaries will not be considered as SMEs

a)

True

b)

False

12.

Subsidiaries of large firms, multinational corporations (MNCs), Government-linked companies (GLCs), Syarikat Menteri Kewangan Diperbadankan (MKD) and State-owned enterprises will be considered as SMEs

a)

True

b)

False

13.

Subsidiaries refer to entities where the parent company has controlling power over the entities either via....

a)

The composition of its board of directors

b)

Has more than 50% of its voting power/ share capital

c)

Indirectly, through another entity which is a subsidiary that is owned by the parent company

d)

has equal control over the management of business.

14.

Which of the following statement is not characteristic of SME?

a)

privately owned by individual or partners

b)

basically has a tall organizational chart and narrow span of control.

c)

the business is managed and operated by owners

d)

often has a limited resources

15.

SME can be classifed as ....

a)

mining only

b)

manufacturing only

c)

services only

d)

manufacturing and services

16.

Saloon Mat Over has 10 employees. It can be classified as ...

a)

small; service sector SME

b)

micro; manufacturing SME

c)

medium; manufacturing SME

d)

small; agriculture SME

17.

A small medium enterprise can act as a test ground for entrepreneurs, providing them an experience before entering a certain industry.

a)

True

b)

false

18.

Small medium enterprises are still able to produce a new products due to the creativity of its owners.

a)

True

b)

False

19.

Which of the following is not the contribution of SMEs to the country?

a)

support the country's industrialization process.

b)

act as a foundation to the bigger industries

c)

help the country's economic development

d)

provide a major economic development

20.

Which of the following is the problems faced by SMEs in the country?

a)

financial problem

b)

gives a positive impact on income distribution

c)

shortage of expert

d)

decrease the amount of funds in the economy.