CBSE Class 11 Business Studies Private Public And Global Enterprises Worksheet

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Worksheet for Class 11 Business Studies Chapter 3 Private Public and Global Enterprises

Class 11 Business Studies students should refer to the following printable worksheet in Pdf for Chapter 3 Private Public and Global Enterprises in Class 11. This test paper with questions and answers for Class 11 will be very useful for exams and help you to score good marks

Class 11 Business Studies Worksheet for Chapter 3 Private Public and Global Enterprises

Mcq Questions for Ncert Class 11 Business Studies Business Services

Question. Public sector organisations may either be partly or wholly owned by the ……… government.
(a) state
(b) central
(c) foreign
(d) central or state

Answer : D

Question. Government of India establishes its enterprises in backward areas. By doing this, which objective is fulfilled?
(a) Economies of scale
(b) Regional balance
(c) Development of infrastructure
(d) Import substitution

Answer : C

Question. Which is the oldest and most traditional form of organising public enterprises?
(a) Statutory corporation
(b) Public company
(c) Government company
(d) Departmental undertaking

Answer : D

Question. In a survey conducted by Government of India, it was found that many farmers of the country are unable to secure loan for their agricultural needs. Keeping this in mind, the government decided to form a public enterprise under a Special Act of the Parliament, which will be free from government interference and will have financial and operational autonomy.
Which type of public enterprise would you suggest to the government?
(a) Departmental undertaking
(b) Statutory corporation
(c) Government company
(d) None of the above

Answer : B

Question. Public sector enterprises are accountable to public through ……… .
(a) parliament
(b) government
(c) public
(d) media

Answer : A

Question. Indian economy is a ……… kind of economy.
(a) global
(b) mixed
(c) capitalist
(d) socialist

Answer : B

Question. The telecom services have been recognised in the world-over as an important tool for socio-economic development for a nation and hence telecom infrast-ructure is treated as a crucial factor to realise the socio-economic objectives in India. Accordingly, the Department of Telecom has been formulating developmental policies for the accelerated growth of the telecommunication services. The department comes under the Ministry of Communications and is headed by a cabinet-level minister.
It is financed by the government through allocation of funds in the Annual General Budget of Parliament. Which type of public sector enterprise highlighted here?
(a) Departmental undertaking
(b) Statutory corporation
(c) Government company
(d) None of the above

Answer : A

Question. The Reserve Bank of India (RBI) was established under a Special Act of the Parliament, that lays down the objects, powers and functions of the corporation.
It was established on 1st April, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934. RBI formulates, implements and monitors the monetary policy and its main objective is to maintain price stability while keeping in mind the objective of growth.
How will you classify the Reserve Bank of India as a form of public sector enterprise?
(a) Departmental undertaking
(b) Statutory corporations
(c) Government company
(d) None of the above

Answer : B

Question. Which of the following is not a type of public sector enterprise?
(a) Joint hindu family business
(b) Departmental undertaking
(c) Statutory corporation
(d) Government company

Answer : A

Question. Which government enterprise is registered under Indian Companies Act, 2013?
(a) Departmental undertaking
(b) Public corporation
(c) Government company
(d) Partnership companies

Answer : C

Question. As India has adopted the framework of capitalist economy, thus all business organisations can be grouped as privately owned and government owned organisations.
(a) True
(b) False
(c) Can’t say
(d) Partially true

Answer : D

Question. Some organisations are directly attached to a particular ministry of the central or state government and are under the direct control of the concerned minister.
The business decisions are thus influenced by political consideration. State the type of enterprise come under this category.
(a) Statutory corporation
(b) Government company
(c) Departmental undertaking
(d) None of the above

Answer : C

Question. A public sector company is incurring heavy losses and government proposes for closing the same. Which term is related to this statement?
(a) Disinvestment
(b) Privatisation
(c) Demonetisation
(d) Socialisation

Answer : A

Question. Match the ‘forms of public enterprises’ in column I with their respective example in column II.

Chapter 3 Private Public and Global Enterprises_2

Codes
      A    B   C 
(a) (i)  (ii) (iii)
(b) (iii) (i)  (ii)
(c) (i)  (iii) (ii)
(d) (ii) (iii) (i)

Answer : D

Question. Disinvestment of PSUs implies 
(a) sale of equity shares to public
(b) investing in new areas
(c) buying shares of PSUs
(d) closing down private sector enterprise

Answer : A

Question. The private sector consists of business owned by ……… .
(a) state government
(b) central government
(c) individuals or group of individuals
(d) ministers

Answer : C

Question. In your neighbourhood market, there are shops owned by sole proprietors or big retail organisations run by a company. They belong to which sector?
(a) Public
(b) Private
(c) Social
(d) Mixed

Answer : B

Question. Conversion of a PSU into a private sector enterprise is termed as ……… .
(a) Globalisation
(b) De-urbanisation
(c) Privatisation
(d) Liberalisation

Answer : C

Question. Departmental undertaking is a form of public sector enterprise which is most suitable for operations where national security is concerned.
(a) True
(b) False
(c) Can’t say
(d) Partially true

Answer : A

Question. Grow Co. ltd., registered under the Companies Act, 2013, was started with a paid-up capital of ` 10,00,000. 40% of this paid-up capital is in the hands of private individuals and the balance is held by the government of Chennai. Grow company belongs to which form of public sector enterprises?
(a) Statutory corporation
(b) Government company
(c) Departmental undertaking
(d) None of the above

Answer : B

Question. Navratan Ltd. is a company engaged in the production and distribution of heavy electrical goods. Pattern of shareholding in the company is as follows
(i) Government of India 15%
(ii) Government of Bihar 26%
(iii) Government of Assam 10%
(iv) General Public 49%
Navratan Ltd. can be classified as which of the following?
(a) Small company
(b) Government company
(c) Private company
(d) None of the above

Answer : B

Question. How many industries are now reserved for public sector?
(a) 2
(b) 3
(c) 4
(d) 17

Answer : B

Question. Which policy was launched by Government of India in 1991?
(a) JPG
(b) GST
(c) LPG
(d) MPG

Answer : C

Question. Which of the following roles are played by the public sector in the economy?
(i) Regional balance
(ii) Economies of scale
(iii) Check over concentration of economic power
(iv) Import substitution
(v) Development of infrastructure
(a) Only (i), (ii) and (iv)
(b) Only (i), (iii), (iv) and (v)
(c) Only (i), (ii), (iii) and (v)
(d) All of the above

Answer : D

Question. Public Ltd. company comes under which sector?
(a) Public sector
(b) Joint sector
(c) Private sector
(d) None of these

Answer : C

Question. Match the ‘forms of public enterprises’ in column I with their respective forming statement in column II.

Chapter 3 Private Public and Global Enterprises_1

Codes
      A    B   C 
(a) (i)  (iii) (ii)
(b) (ii) (iii) (i)
(c) (i)  (ii) (iii)
(d) (ii) (i)  (iii)

Answer : A

Question. If a public sector enterprise is making losses continuously, it was referred to the ……… .
(a) GIFR
(b) CIFR
(c) TIFR
(d) BIFR

Answer : D

Question. Public sector can be classified into ……… divisions.
(a) 3
(b) 4
(c) 5
(d) 6

Answer : A

Question. Which form of PSU has its own MoA and AoA?
(a) Private company
(b) Government company
(c) Departmental undertaking
(d) None of the above

Answer : B

Question. Strategic industries like defence and atomic power work as ……… .
(a) departmental undertaking
(b) statutory corporation
(c) government company
(d) None of the above

Answer : B

 

Mcq Questions For Ncert Class 11 Business Studies Business Services

Question. Government has given autonomy to a PSU to improve its performance but held it accountable for specified results under an agreement. What is this agreement called?
(a) MoA
(b) AoA
(c) MoU
(d) GoU

Answer : C

Question. Which of the following has the power of the government and the considerable amount of operating flexibility of private enterprises?
(a) Departmental undertakings
(b) Statutory corporations
(c) Government companies
(d) All of the above

Answer : B

Question. In the 2001 resolution on industrial policy, the number of industries exclusively reserved for the public sector was brought down. This meant that the private sector can now enter all areas, except these and the public sector would have to compete with them. Which of the following areas are now exclusive for the public sector?
(i) Atomic energy
(ii) Arms
(iii) Communication
(iv) Railways
(a) (i), (ii) and (iii)
(b) (i), (iii) and (iv)
(c) (i), (ii) and (iv)
(d) (ii), (iii) and (iv)

Answer : C

Question. The public sector enterprises are to invest and operate in certain spheres. Which of the following is not one of these core sectors?
(a) Civil aviation
(b) Pharmaceuticals
(c) Power generation plants
(d) Project management consultancies

Answer : B

Question. Airtel is a big company providing telecom services to millions of people in India. Similarly, BSNL also provides telecom services to many people. Government of India is holding 100% of the share capital of BSNL, whereas Airtel is not under the direct control of government. Identify the sectors in which Airtel and BSNL enterprises are working.
(a) Public and private
(b) Public
(c) Private
(d) None of these

Answer : A

Question. Departmental undertaking evades constitutional responsibility, as it is not answerable directly to Parliament for non-performance of duties.
(a) True
(b) False
(c) Can’t say
(d) Partially false

Answer : B

Question. Steel Authority of India Limited (SAIL) is one of the largest steel-making companies in India and one of the Maharatnas of the country’s Central Public Sector Enterprises.
Vision of SAIL is to be a respected world class corporation and the leader in Indian steel business in quality, productivity, profitability and customer satisfaction.
SAIL was incorporated on 24th January, 1973 with an authorised capital of ` 2,000 crore and was made responsible for managing five integrated steel plants at Bhilai, Bokaro, Durgapur, Rourkela and Bumpur, the Alloy Steel Plant and the Salem Steel Plant.
As government is the majority shareholder (with 75% stake), it exercises control over affairs of the company. Which type of public sector enterprise is highlighted here?
(a) Departmental undertaking
(b) Statutory corporation
(c) Government company
(d) None of the above

Answer : C

Question. ……… type of PSUs has the highest degree of political interference.
(a) Public corporation
(b) Departmental undertaking
(c) Government company
(d) None of the above

Answer : B

Question. Which of the following is true about statutory corporations?
(a) Statutory corporations are public enterprises that come into existence by a Special Act of the Parliament.
(b) Statutory corporations are subject to the same accounting and audit procedures as are applicable to government departments.
(c) Statutory enterprises are funded directly by the government treasury.
(d) The employees of statutory enterprises are civil servants.

Answer : A

Question. Match the following.

Chapter 3 Private Public and Global Enterprises_1

Codes
      A    B   C
(a) (i)  (ii) (iii)
(b) (iii) (ii) (i)
(c) (ii)  (iii) (i)
(d) (i)  (iii) (ii)

Answer : B

Question. The Ministry of Railways is a ministry in the Government of India, responsible for the country’s rail transport. The ministry is headed by the minister of railways, a cabinet-level minister who presents the rail budget every year in Parliament.
Indian railways is financed by the government through allocation of funds in the annual general budget of Parliament. How will you categorise Indian Railways as a form of public sector enterprise?
(a) Private company
(b) Government company
(c) Departmental undertaking
(d) None of the above

Answer : C

Question. Statutory corporation is subject to the government rules and regulations in the matter of accounting, budgeting and audit as applicable to departmental undertaking.
(a) True
(b) False
(c) Can’t say
(d) Partially true

Answer : B

Question. ……… form of PSU has the greatest autonomy.
(a) Departmental undertakings
(b) Public corporation
(c) Government company
(d) None of the above

Answer : C

Question. A government company is any company in which the paid up capital held by the government is not less than
(a) 49 percent
(b) 51 percent
(c) 50 percent
(d) 25 percent

Answer : B

Question. Which PSU was the first to be privatised successfully in India?
(a) LJMC
(b) GAIL
(c) ONGC
(d) BHEL 

Answer : A

Question. Private enterprises are accountable to the public through the Parliament.
(a) True
(b) False
(c) Can’t say
(d) Partially true

Answer : B

Question. Which of the following statements regarding recent government policy measures towards the public sector is/are true?
(i) Restructuring and reviving potentially viable PSUs.
(ii) Closing down of those PSUs that cannot be revived.
(iii) Bringing down government equity in all non-strategic PSUs to 50 percent or lower.
(iv) Fully protecting the interest of workers.
(a) (i), (ii) and (iii)
(b) (i), (iii) and (iv)
(c) (i), (ii) and (iv)
(d) (ii), (iii) and (iv)

Answer : C

Question. …………….is financed by the government through allocation of funds in the Annual General Meeting.
(a) Departmental undertaking
(b) Statutory corporation
(c) Government company
(d) None of the above

Answer : A

Question. An organisation is working for the purpose of public welfare as a ministry of government. It is financed by government and all its income is deposited in government treasury. Identify which kind of public sector enterprise is it?
(a) Partnership
(b) Departmental undertaking
(c) Sole proprietorship
(d) Company

Answer : B

Question. New economic policy was passed in the year ……… .
(a) 1985
(b) 1993
(c) 1991
(d) 1980

Answer : C

Question. Statutory corporation is a company in which minimum 51% of the paid-up capital is held by the State or the Central Government.
(a) True
(b) False
(c) Can’t say
(d) Partially true

Answer : B

Question. In India, railway is an organisation wholly owned and managed by the ……… .
(a) reliance
(b) tata
(c) government
(d) railway department

Answer : C

Question. Which of the following enterprises has separate legal entity?
(a) Departmental undertaking
(b) Statutory corporation
(c) Government company
(d) None of the above

Answer : B

Question. The shares of a government company are purchased in the name of which of the following?
(a) The Indian Government
(b) The President of India
(c) The Chief Minister of the state, where the head office of the company lies 
(d) The Managing Director of the company

Answer : B

Question. Statutory corporations are formed by a Special Act of Parliament. The Act defines their powers, objects and privileges.
(a) True
(b) False
(c) Can’t say
(d) Partially false

Answer : A


Assertion-Reasoning MCQs :

Question. Assertion (A) Statutory corporation is usually independently financed.
Reason (R) The revenue earned by statutory corporation is a source of income for the government as it goes directly to the treasury.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A)
(c) Assertion (A) is true, but Reason (R) is false
(d) Assertion (A) is false, but Reason (R) is true

Answer : C

Question. Assertion (A) There is a need for separate legislation of the Parliament for formation of government company.
Reason (R) Government company can be established by fulfilling requirements of the Indian Companies Act.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A)
(c) Assertion (A) is true, but Reason (R) is false
(d) Assertion (A) is false, but Reason (R) is true

Answer : D

Question. Assertion (A) Departmental undertaking is most suitable when national security is concerned.
Reason (R) Departmental undertaking is established under a Special Act of the Parliament.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A)
(c) Assertion (A) is true, but Reason (R) is false
(d) Assertion (A) is false, but Reason (R) is true

Answer : C

Question. Assertion (A) Departmental undertakings are unable to take benefit of business opportunities.
Reason (R) Departmental undertakings do not undertake risky ventures due to bureaucrat’s over cautious and conservative approach.
(a) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A)
(b) Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of Assertion (A)
(c) Assertion (A) is true, but Reason (R) is false
(d) Assertion (A) is false, but Reason (R) is true

Answer : A


Case Based MCQs :

Bharat Heavy Electricals Limited (BHEL) owned and founded by the Government of India, is an engineering and manufacturing company based in New Delhi, India. It was established in 1964. BHEL is India’s largest power generation equipment manufacturer. It is managed by the board of directors nominated by the government. As government is the majority shareholder, it exercises control over the affairs of the company.

Question. How will you classify BHEL as a form of public sector enterprise?
(a) Departmental undertakings
(b) Government company
(c) Private sector enterprise
(d) Statutory corporation

Answer : B

Question. The board of directors of the company are appointed by
(a) government
(b) public
(c) shareholders
(d) None of these

Answer : C

Question. “As government is the majority shareholder, it exercises control over the affairs of the company.” Which feature of government company highlighted in the given lines?
(a) Formation
(b) Ownership
(c) Separate legal entity
(d) Audit procedure

Answer : B

Question. BHEL was formed according to which Act?
(a) Partnership Act
(b) Hindu Succession Act
(c) Companies Act
(d) Cooperative Societies Act

Answer : C

Question. Capital of such corporations comes from ……… .
(a) Board of Directors
(b) Government
(c) RBI
(d) None of these

Answer : B

Indian railway is a part of railway ministry. It is organised, financed and controlled by railway ministry.
The finances are allocated from government treasury and whatever revenue it earns is deposited to government treasury only.
It is treated as a part of government and even the appointment, recruitment and selection of employees is done in the same way as that of civil servant.

Question. Name the type of public sector enterprise railway is considered as 
(a) departmental undertaking
(b) statutory corporation
(c) government company
(d) None of the above

Answer : A

Question. How does it get its finance?
(a) From personal funds
(b) From government treasury
(c) From RBI
(d) From SBI

Answer : B

Question. What does it do with its revenue?
(a) Deposited in railway account
(b) Deposited in personal account
(c) Deposited in government account
(d) None of the above

Answer : C

Question. What is the status of employees working in railways?
(a) Civil servants
(b) Private employees
(c) Self employed
(d) None of the above

Answer : A

Question. How employees are selected in railways?
(a) Procedure of private companies
(b) Through placement agencies
(c) Through government
(d) None of the above

Answer : C

Sahil, Sarika, Saroj and Sunder are best friends. All of them have obtained the degree in Commerce from the same college. But they got admission in different courses in the university. Now they are doing their jobs in different departments.
Mr Sahil got selected for the post of Inspector in the Railways. His father too is working in the railways on a high post. Miss Sarika got selected in the Reserve Bank of India for the post of a Manager. The whole bank is most appreciative of her style of working. Miss Saroj is working on the post of Assistant Accountant in the department of accounts in ‘Hindustan achine Tools’. Her recognition in the company is as a specialist in accounts. Mr Sunder is successfully working in the H.R. Department of ‘Tata Motors’. All the four friends are fully satisfied with their respective jobs.

Question. Identify the type of company in which Miss Saroj is working.
(a) Departmental undertakings
(b) Government company
(c) Private sector enterprise
(d) Statutory corporation

Answer : B

Question. Identify the type of company in which Mr Sunder is working.
(a) Departmental undertakings
(b) Government company
(c) Public sector enterprise
(d) Statutory corporation

Answer : C

Question. Identify the type of Mr Sahil’s enterprise.
(a) Departmental undertaking
(b) Government company
(c) Private sector enterprise
(d) Statutory corporation

Answer : A

Question. Identify the type of enterprise in which Miss Sarika is working.
(a) Departmental undertakings
(b) Government company
(c) Private sector enterprise
(d) Statutory corporation

Answer : D

Question. Identify the type of Mr Sahil’s father enterprise.
(a) Departmental undertakings
(b) Government company
(c) Private sector enterprise
(d) Statutory corporation

Answer : A

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