MCQs: MSMEs - Policy, Regulatory and Legal Framework

MCQs on MSMEs: Policy, Regulatory and Legal Framework

25 MCQs: MSMEs - Policy, Regulatory and Legal Framework


Certificate in MSME

    1. When was the SME Development Bill enacted in India?
      • A) 2003
      • B) 2005
      • C) 2007
      • D) 2010
    2. What is the maximum turnover limit for a Micro Enterprise under MSME classification?
      • A) ₹5 crore
      • B) ₹10 crore
      • C) ₹2 crore
      • D) ₹1 crore
    3. Which Act facilitates easy partnerships for SMEs?
      • A) Companies Act
      • B) LLP Act
      • C) MSMED Act
      • D) Banking Regulation Act
    4. Who prepares the MIRA report for SMEs?
      • A) Banks
      • B) SEBI
      • C) MSME Ministry
      • D) Self-Assessment
    5. Which organization maintains the CERSAI database?
      • A) RBI
      • B) SIDBI
      • C) Central Government
      • D) NABARD
    6. Which of the following is a global agency providing business credibility reports like D&B Reports?
      • A) CIBIL
      • B) D&B
      • C) CRISIL
      • D) CERSAI
    7. Which Ministry governs MSMEs in India?
      • A) Ministry of Commerce
      • B) Ministry of MSME
      • C) Ministry of Finance
      • D) Ministry of Industries
    8. Which Act defines the Limited Liability Partnership structure?
      • A) LLP Act, 2008
      • B) Companies Act, 2013
      • C) Banking Regulation Act
      • D) Industrial Disputes Act
    9. What type of information is available in a CIBIL report?
      • A) Property Details
      • B) Credit History
      • C) Educational Qualifications
      • D) Employment Record
    10. Which report is crucial for assessing the risk profile of SMEs?
      • A) MIRA Report
      • B) CERSAI Report
      • C) Balance Sheet
      • D) GST Return
    11. MSME registration portal is called:
      • A) Udyam Registration Portal
      • B) Startup India Portal
      • C) GST Portal
      • D) NITI Aayog Portal
    12. Which regulatory body oversees credit information companies like CIBIL?
      • A) SEBI
      • B) RBI
      • C) IRDAI
      • D) SIDBI
    13. When was the MSMED Act implemented?
      • A) 2003
      • B) 2004
      • C) 2006
      • D) 2008
    14. Which of the following helps secure creditor rights on movable property?
      • A) CERSAI
      • B) CIBIL
      • C) MUDRA
      • D) DICGC
    15. What does LLP stand for?
      • A) Limited Legal Partnership
      • B) Limited Liability Partnership
      • C) Legal Liability Partnership
      • D) Linked Liability Partnership
    16. Which government scheme supports MSMEs financially through small ticket loans?
      • A) PMMY (Pradhan Mantri Mudra Yojana)
      • B) PM Kisan
      • C) Make in India
      • D) Stand Up India
    17. Which financial institution specializes in SME development financing in India?
      • A) NABARD
      • B) SIDBI
      • C) SBI
      • D) HDFC
    18. Delayed payment to MSMEs beyond _______ days attracts interest penalties.
      • A) 15 days
      • B) 30 days
      • C) 45 days
      • D) 60 days
    19. Which type of business structure offers partners limited liability protection?
      • A) Sole Proprietorship
      • B) Partnership
      • C) LLP
      • D) Cooperative
    20. The Udyam Registration replaced which earlier registration system?
      • A) EM-I & EM-II
      • B) GST Registration
      • C) PAN Registration
      • D) Trade License
    21. Which of the following is NOT a criterion for MSME classification?
      • A) Investment in Plant & Machinery
      • B) Annual Turnover
      • C) Number of Employees
      • D) Both A and B
    22. In India, MSMEs contribute approximately what percentage to GDP?
      • A) 10%
      • B) 20%
      • C) 30%
      • D) 50%
    23. Which platform helps MSMEs resolve delayed payment disputes?
      • A) Samadhaan Portal
      • B) eCourts Portal
      • C) MCA21 Portal
      • D) SEBI SCORES
    24. SMEs with less than ₹1 crore investment and less than ₹5 crore turnover are classified as:
      • A) Micro Enterprises
      • B) Small Enterprises
      • C) Medium Enterprises
      • D) Large Enterprises
    25. Which agency is responsible for facilitating MSME cluster development in India?
      • A) NSIC
      • B) DIC
      • C) SIDBI
      • D) Ministry of MSME
Answer Keys:
1) A) MSMED Act, 2006  
2) B) 2008  
3) B) Udyam Registration  
4) B) Credit Reports  
5) C) Security Interest Registration  
6) B) 2005  
7) B) D&B  
8) B) SME Risk & Management  
9) C) Up to ₹50 crore  
10) B) PAN and Aadhaar  
11) B) Priority Sector Lending  
12) C) 2006  
13) A) Secured Asset Registration  
14) B) 7 years  
15) A) Udyam Registration  
16) C) Single Window Scheme  
17) B) MIRA Report  
18) C) LLP Act  
19) B) Digital MSME Scheme  
20) B) 1991  
21) B) Priority Sector Advances  
22) B) SMEs and MSMEs  
23) B) Collateral Free Loans  
24) B) SIDBI  
25) C) MUDRA  



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