Question : Case Study: PQR Enterprises - Funding Strategies for Diversification

PQR Enterprises is a well-established conglomerate planning to diversify its business operations. The company is evaluating various sources of business finance to support its diversification plans.

Questions : Equity Shares and Preference Shares

If PQR Enterprises issues redeemable preference shares, what does this mean?

Option 1: Shareholders can convert shares into debentures
 

Option 2: Preference shareholders can vote on company decisions
  

Option 3: The company has the option to buy back the shares

Option 4: Dividends on these shares are fixed and guaranteed

Question : A city known for its role in global finance and as a headquarters for international corporations would be classified as a:

Option 1: Global city

Option 2: National capital

Option 3: Industrial city

Option 4: Cultural city

Question : Identify the false statement.

Option 1: RBI decides the bank rate for the economy.

Option 2: SEBI conducts open market operations to regulate money supply in the economy.

Option 3: RBI prints the 100 currency notes.

Option 4: Ministry of Finance issues 1 rupee coin.

Question : Case Study: ABC Corporation - Financing Growth Strategies

ABC Corporation, a leading manufacturing company, is looking to finance its growth strategies. The company is exploring various sources of business finance to achieve its expansion goals.

Questions : Debentures and Financial Instruments

What does the term "redeemable" mean in relation to debentures?

Option 1: The debentures can be traded in the stock market
  

Option 2: The debentures can be converted into equity shares
 

Option 3: The company is obligated to repay the principal amount

Option 4: The company can defer interest payments on debentures

Question : herSTART, an initiative implemented by the Gujarat University Startup and Entrepreneurship, was launched by ____________in October 2022.

Option 1: Prime Minister Narendra Modi

Option 2: President Droupadi Murmu

Option 3: Defence Minister Rajnath Singh

Option 4: Finance Minister Nirmala Sitharaman

Question : Case Study: PQR Enterprises - Funding Strategies for Diversification

PQR Enterprises is a well-established conglomerate planning to diversify its business operations. The company is evaluating various sources of business finance to support its diversification plans.

Questions : Debentures and Financial Instruments

What makes debentures distinct from equity shares?

Option 1: Debentures provide ownership rights
    

Option 2: Debentures pay fixed dividends
 

Option 3: Debentures are short-term securities

Option 4: Equity shares are issued by governments

Question : Case Study 71

LMN Enterprises is a startup aiming to raise funds for its expansion into international markets. The company's management is considering different methods of raising funds from the capital market.

Question : 

LMN Enterprises is exploring methods to raise funds from the capital market. Which method involves issuing securities to the public?

Option 1: Private Placement
 

Option 2: IPO (Initial Public Offering)
 

Option 3: Rights Issue

Option 4: Follow-on Public Offering (FPO)

Question : Case Study: LMN Ventures - Financing Innovation and Research

LMN Ventures is a research-driven technology company aiming to innovate and develop cutting-edge products. The company is exploring various sources of business finance to support its research and development endeavors.

Questions : Business Finance and Research

Why might LMN Ventures need external financing for its research and development initiatives?

Option 1: To reduce employee turnover
 

Option 2: To fund marketing campaigns
  

Option 3: To minimize production costs

Option 4: To support costly innovation projects

Question : A business that produces a well-known toy brand has a solid market reputation. Production, Marketing, Finance, Human Resources, and Research and Development are all handled by various divisions. Recently, it has considered expanding into the production of a new line of electronic toys for which a new market is growing in order to capitalise on new commercial opportunities while also utilising its brand name. The organisational structure that the business should use is:

Option 1: Functional structure

Option 2: Formal Organisation Structure

Option 3: Divisional structure

Option 4: Informal Organisation Structure

Question : Case Study: PQR Enterprises - Funding Strategies for Diversification

PQR Enterprises is a well-established conglomerate planning to diversify its business operations. The company is evaluating various sources of business finance to support its diversification plans.

Questions : Different Sources of Finance

What are GDRs and ADRs, which PQR Enterprises is considering as potential sources of finance?

Option 1: Employee performance metrics
    

Option 2: International financial regulations
    

Option 3: International financial instruments

Option 4: Strategies for reducing operational costs