MCQs on MSME Rehabilitation - A Comprehensive Overview
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 sales
D. Government subsidy - Rehabilitation involves:
A. Business closure
B. Interest waiver
C. Merger
D. IPO launch - Who conducts restructuring under the Prudential Framework?
A. Promoters
B. Banks
C. Vendors
D. Auditors - Which financial ratio helps in MSME diagnosis?
A. P/E Ratio
B. DSCR
C. EPS
D. ROI - What does CGTSI stand for?
A. Central Guarantee Trust for Small Investments
B. Credit Guarantee Trust for Small Industries
C. Capital Growth Trust Scheme India
D. Certified Granting Trust for Start-ups - What is a major cause of MSME sickness?
A. High profits
B. Poor cash flow management
C. Government subsidies
D. Low competition - Which is an example of restructuring?
A. Filing taxes
B. Extension of repayment period
C. Inventory audit
D. Market research - Which of the following allows asset sale to ARCs?
A. Mutual Funds
B. Securitization
C. Licensing
D. MSME Act - What is the role of DRT?
A. Export promotion
B. Debt recovery
C. Technology transfer
D. Quality inspection - What does SWOT stand for?
A. Strength, Weakness, Opportunities, Threats
B. Strength, Weaknesses, Opportunities, Threats
C. Strategy, Work, Opportunities, Trends
D. System, Work, Outputs, Testing - Which of these supports legal recovery?
A. DRT
B. Lok Adalat
C. SARFAESI
D. All of the above - Which type of loan is given during holding-on operations?
A. Term loan
B. Housing loan
C. Working capital loan
D. Education loan - What can be a short-term strategy in MSME revival?
A. IPO
B. Interest waiver
C. Market expansion
D. Product innovation - What is the purpose of One-Time Settlement?
A. Raise capital
B. Settle NPAs
C. Recruit staff
D. Buy land - Which act allows insolvency proceedings?
A. Companies Act
B. IBC
C. Income Tax Act
D. MSME Act - Early diagnosis tools include:
A. TDS report
B. Salary slip
C. SWOT analysis
D. Form 16 - Which of the following involves credit risk mitigation?
A. Technology upgrade
B. Credit guarantee
C. Staff hiring
D. Inventory control - Who facilitates Lok Adalat?
A. Bank
B. RBI
C. Legal Services Authority
D. NABARD - What helps detect early signs of stress?
A. Annual audit
B. Monitoring account behavior
C. Marketing
D. Tax filing - What does restructuring typically include?
A. Increasing interest rate
B. Extension of repayment period
C. Employee layoffs
D. Reducing inventory - Which of the following is not a symptom of MSME sickness?
A. Decline in turnover
B. Default in repayments
C. Increasing profits
D. Delayed statutory payments - Who are the typical buyers in securitization of stressed MSME assets?
A. Commercial banks
B. Insurance companies
C. Asset Reconstruction Companies
D. MSME vendors - What is the full form of SARFAESI?
A. Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest
B. Security and Recovery of Financial Assets and Estate Safeguard Institution
C. Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest
D. Statutory Authority for Recovering Financial Assets and Secured Interests - Which forum can settle disputes involving MSMEs amicably?
A. Supreme Court
B. Lok Adalat
C. SEBI
D. Income Tax Tribunal - What is the key purpose of Holding-On Operations?
A. Closure of business
B. Providing temporary liquidity
C. Increasing employee count
D. Auditing the business - What is the first step in MSME rehabilitation?
A. Court action
B. Loan write-off
C. Diagnosis of the problem
D. Asset liquidation - Which tool helps analyze MSME strengths and weaknesses?
A. ROI
B. EPS
C. SWOT Analysis
D. NPV - Which act provides a framework for insolvency for individuals and companies?
A. FEMA
B. SARFAESI
C. IBC
D. GST Act - When does an asset become an NPA?
A. On delayed salary payments
B. When interest or principal is overdue for 90 days
C. If profits fall
D. If loan is repaid early - Which of these is a recovery mechanism through compromise?
A. IPO
B. Venture Capital
C. One-Time Settlement
D. Cash discount - Capital restructuring in MSME includes:
A. Hiring new staff
B. Acquiring new customers
C. Altering debt-equity mix
D. Reducing production hours - Which of the following is an operational support measure?
A. Interest waiver
B. Technology upgrade
C. Dividend distribution
D. Inventory sale - Debt Recovery Tribunals handle cases related to:
A. Criminal offences
B. Labour disputes
C. Loan recoveries
D. Shareholding rights - Which financial instrument is used to improve short-term liquidity during holding-on operations?
A. Equity shares
B. Bonds
C. Working capital loan
D. Fixed deposit
Comments
Post a Comment