Ch 3 Public, Private and Global Enterprise.pdf

MULTIPLE CHOICE QUESTIONS (MCQs) Annual General Budget 1. is financed by the government through allocation of funds in the of Parliament. (a) Departmental Undertaking...

MULTIPLE CHOICE QUESTIONS (MCQs) Annual General Budget 1. is financed by the government through allocation of funds in the of Parliament. (a) Departmental Undertaking (b) Statutory Corporation (c) Government Company (d) None of these  #hinase Stuties fer Ciass s 24 bi Government Company 1d) Atof these ibi Government d) Private entrepreneurs called Frartneatig bsetwsee t l tor Krm and a private sector is (b) Public Private Partnership iParteserp (d) None of these s sutable when national security is concerned. (b) Government Company ia Statutory (orporation (d) Allof these K Departmentai Undertaking atch terpises are aiso krnown as (b) Supernatural Companies (Muttinational Companies (d) PublicPrivate Partnership c Botth (a) and (b Undertaking? Whch of the foliowing is a merit of Departmental Opeational Fiexibility (b) Freedom from Interference Ic3 Autonomous Set up (d) Answerable to Parliament can also become a shareholder? 8 in wtch form of Public Sector Undertaking, aprivate individual Statutory Corporation (b) Government Company i0 Departmental Undertaking (d) None of these is estabished under a special Act of the Parliament. Departmental Undertaking (b) Statutory Corporation O Government Company (d) None of these 10. incase ofGovernment Company in india, shares are bought in the name of: ia Prame Minister (b) Managing Director of the Company ic Presdent of india (d) None of these 11. MaxIufn degree of autonomy is enjoyed by: aGovement Conpany (b) Statutory Corporation i) Depatiestai Undertaking (d) None of these 12 heser e bara of irdia and Food Corporation of india are examples of: ia epathenta indertang (b) Government Company rutlc Coporatios (d) None of these 12 ALii aI fa t e flesed ko elmeen government and prvate business firm for provISiOn OT P #bset a0 psutal setykes tor the Uereht of pubiic (b) Supernatural Companies d) None of these 14. Aguweteist cQtyi aly May i hLe pa up copital heid by the governient is (d) 25 per cent Chapter3 private, Pubie and GBobai Enterpriset 3.25 alied contro!in MNC'simpies controi evercised by aRraches (b) Subsidiaries eadquarters (d) Pariiament  VERY SHORT ANSWER TYPE QUESTIONS a1 in whose name the shares of a government company are purchased? Ans. The President of India. o2. Name the three types of public sector enterprises. Ans. 0 Departmental undertakings;(ii) Statutory corporations; (ii) Government company. o3. Give two examples of departmental undertaking. Ans. () Railway Department; (ii) Post and Telegraph Department. Q4. Which type of public enterprise is established undera Special Act of the Parliament? Ans. Statutory Corporation. ministry? Q5. In which type of public enterprise, control lies in the hands of the concerned Ans. Departmental Undertaking. Q6. Why does statutory corporation enjoy high degree of operational flexibility? Ans. Because they are free from unnecessary government regulation and contro. contributed by the state or the Q7. In which form of public sector enterprise, atleast 51% of the capital is centrai government? Ans. Government Company. Q8. Give two examples of government companies. AnS. (9) SteeiAuthority of India Ltd. (SAIL): (i) Bharat Heavy Electricais Ltd. (BHEL). Q9. Mention twomerits of Departmental Undertaking. i j Complete Government Control; () Answerable to Parliament. Q10. State two limitations off Departmental Undertaking. As. (i) Lack of Flexibility: (ii) Delay in Decision-Making. Q11. How is Departmental Undertaking financed? allocation offundsin the Annuai General Atis, Departmental IUndertaking is financed by the governmentthrough Budget of Parliament. Q12. Which form of Public Enterprise is most suitabie when national security is concerned? Sector Ans. security is concerned as it is under the direct Undertaking is rnost suitable when national Departnental tontroiand supervision of the concerned Ministry. 3.28 Business Studies for Q. 13. What is meant by Public Private Partnership? Ans. Public Private Partnership is alegally binding contract between government and the provision of public assets and/or public services for the benefit of public. private busine,s. Q. 14. In which form of public sector enterprise, private individuals can also become shareholderc) Ans. Government Company. Q. 15. Distinguish between Departmental Undertaking and Government Company on the Ans. basis of Finarrs Basis Finance Departmental Undertaking Government Company 100% financed by government out of funds Atieast 51% of share capital is provis allocated in budget. the government. Q. 16. What is meant by Statutory Corporation? Ans. Statutory Corporation is a corporate body with aseparate legal existence, set up under a specia A parliament orof the state legislature. Q. 17. Mention two merits of Statutory Corporation. Ans. (i) Operational Flexibility: (ii) Autonomous Set-up. Q. 18. Give two limitations of Statutory Corporation. Ans. (0) Government Interference; (ii) Delay in Action. Q. 19. Distinguish between Departmental Undertaking and Statutory Corporation on the basis of Flexic Ans. Basis Departmental Undertaking Statutory Corporation Flexibility No flexibility Considerable scope for flexibility and initiative. Q. 20. Give the meaning of Multinational Company. Ans. Multinational Company (MNC) 0s a Company whose business operations extend bevond the count which it has been incorporated. Q. 21. What is meant by Government Company? Ans. According to the Companies Act,,2013, a government company means any company in which not lesstn 51 percent of the paid up capital is held by the central government or by any state government orct by centralgovernment and partiy by one or more state governments. Q. 22. Mention two merits of Government Company, Ans. () Easy Formation; (ii) Operational Autonomy. Q. 23. Distinguish between Statutory CoCorporation and Government Company on the basis of Formatior Ans. Basis Statutory Corporation Formation It is created by a Special Act of the Government Company it is Created in accordance with the Parliament. Companies Act.