Certificate In MSME

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MCQs on Future of MSMEs: Opportunities, Challenges and Evolving Landscape 1. Microfinance Approach to SMEs Microfinance plays a crucial role in empowering small and micro enterprises by providing them access to financial services. These services include microloans, savings, and insurance products which are otherwise unavailable through traditional banking channels. Microfinance Institutions (MFIs) help bridge the credit gap for underserved sectors, particularly in rural and semi-urban areas. 2. Linkages with Agriculture and Industry MSMEs act as a vital link between agriculture and industry by providing agro-processing, packaging, and distribution. Agro-based MSMEs contribute to reducing post-harvest losses and increasing rural employment. Similarly, industrial MSMEs play a supporting role in larger industrial ecosystems by supplying intermediate goods, tools, and services. 3. IT and SMEs Information Technology is transforming MSMEs by en...

Future of MSMEs: Opportunities, Challenges and Evolving Landscape 1. Microfinance Approach to SMEs Microfinance plays a crucial role in empowering small and micro enterprises by providing them access to financial services. These services include microloans, savings, and insurance products which are otherwise unavailable through traditional banking channels. Microfinance Institutions (MFIs) help bridge the credit gap for underserved sectors, particularly in rural and semi-urban areas. 2. Linkages with Agriculture and Industry MSMEs act as a vital link between agriculture and industry by providing agro-processing, packaging, and distribution. Agro-based MSMEs contribute to reducing post-harvest losses and increasing rural employment. Similarly, industrial MSMEs play a supporting role in larger industrial ecosystems by supplying intermediate goods, tools, and services. 3. IT and SMEs Information Technology is transforming MSMEs by enabling aut...

Qs on MSME Rehabilitation - A Comprehensive Overview MCQs on MSME Rehabilitation What is a common symptom of MSME sickness? A. High profits B. Inventory shortages C. Continuous cash losses D. Employee expansion Which act helps banks enforce security without court intervention? A. Companies Act B. Banking Regulation Act C. SARFAESI Act D. FEMA What is an acceptable DSCR value for a healthy business? A. < 0.5 B. 0.8 C. Greater than 1 D. Exactly 1 What does NPA stand for? A. Non-Productive Asset B. Non-Performing Asset C. Non-Profit Authority D. Net Payment Agreement Which is a warning signal for MSME sickness? A. High turnover B. Frequent overdraft limit breach C. Employee hiring D. Product innovation Which code deals with insolvency resolution in India? A. Companies Code B. IBC C. Income Tax Code D. MSME Code Which of the following is a recovery option? A. Profit reinvestment B. Lok Adalat C. Credit sal...

MSME Rehabilitation - A Comprehensive Overview MSME Rehabilitation: Detailed Discussion 1. Sickness in MSMEs Sickness in MSMEs refers to the sustained financial and operational underperformance of the business. Recognizing early symptoms is crucial to enable timely intervention. Symptoms of Sickness Continuous cash losses Increasing working capital gap Decline in turnover and production Delayed statutory payments (PF, GST, etc.) Default in loan repayments Warning Signals Overdrafts exceeding limits frequently Cheque bounces Reduction in capacity utilization Inventory pile-up 2. Diagnosis and Prescription Early diagnosis is key. Tools such as SWOT analysis, credit rating reports, and cash flow analysis can be used to understand the root causes. Mathematical Example Debt Service Coverage Ratio (DSCR): DSCR = Net Operating Income / Total Debt Service Example: N...

Cluster Development in MSMEs MCQs on Clusters and Cluster Development Multiple Choice Questions (MCQs) What is a business cluster? a) A group of companies under one owner b) Geographic concentration of interconnected businesses c) A single large factory d) None of the above Which of the following is an advantage of clusters? a) Higher production cost b) Decreased market reach c) Improved innovation through collaboration d) Isolation from competitors Horizontal clusters are defined as: a) Firms producing similar products b) Firms in different regions c) Firms at various supply chain levels d) Government units Which Indian city is known for its textile cluster? a) Moradabad b) Rajkot ...