Correct Answer: Ownership in the company
   

Solution : The correct answer is (b) Ownership in the company

Equity shares represent ownership or equity ownership in a company. Shareholders who hold equity shares have ownership rights in the company, which typically includes voting rights, the right to share in the company's profits (through dividends), and the right to participate in decision-making processes related to the company's operations and policies. Unlike debt securities (e.g., debentures), equity shares do not guarantee fixed interest payments or redemption; instead, the dividend payments to equity shareholders are variable and based on the company's profitability and the decisions of the company's board of directors.

Correct Answer: No dilution of ownership
 

Solution : The correct answer is (b) No dilution of ownership

Equity shares provide a way for PQR Enterprises to raise capital without incurring debt or having to make fixed payments, thus avoiding the obligation of repayment associated with loans or debentures. Additionally, issuing equity shares does not dilute the ownership stake of existing shareholders. Equity shareholders retain ownership rights and control over the company without a fixed commitment to pay dividends, providing more flexibility in managing the company's finances. 

Correct Answer: Statement 1 is true, and statement 2 is false.
    

Solution : The correct answer is (a) Statement 1 is true, and statement 2 is false.

Statement 1 is true. Financial planning is crucial for optimizing the allocation of funds across various activities within a business. It involves analyzing financial resources and determining the best allocation to achieve the organization's goals and objectives efficiently.

Statement 2 is false. Financial planning does not focus only on the allocation of funds to marketing activities. Financial planning is a comprehensive process that considers allocation of funds across all areas of a business, including operations, marketing, research and development, expansion, debt repayment, investments, and more. It aims to optimize the allocation of funds across all relevant aspects of the business.

Correct Answer: Strategic plan
    

Solution : The correct answer is (b) Strategic plan

A strategic plan is the most appropriate for guiding the overall direction and long-term goals of the organization. It involves making decisions about resource allocation, defining objectives, and setting strategies to achieve those objectives. In the case of ABC Retail Chain, a strategic plan would help outline the expansion goals, target markets, product range, and overall approach to achieving success in new areas. However, the initial focus for expansion and attracting a wider customer base is on developing a strategic plan.

Correct Answer: It enables Indian companies to raise funds abroad

Solution : The correct answer is (c) It enables Indian companies to raise funds abroad

IDR stands for Indian Depository Receipts. An IDR is a financial instrument denominated in Indian Rupees and issued by a domestic depository in India. It allows Indian companies to raise funds from international investors in the form of depository receipts. This mechanism enables Indian companies to tap into international capital markets without directly listing their shares on foreign exchanges.

Correct Answer: Both assertion and reason are correct, and the reason explains the assertion.
 

Solution : The correct answer is (a) Both assertion and reason are correct, and the reason explains the assertion.

Planning is indeed considered the most fundamental function of management. The reason provided is also correct because planning does lay the foundation for all other management functions and is essential for achieving organizational objectives. The reason effectively explains why planning is considered the most fundamental function of management.

Correct Answer: Electronic Spreadsheet

Solution : The correct option is Electronic Spreadsheet.

Excel is a spreadsheet program from Microsoft. It's a computer program that lets you organise, analyse, and visualise data in a tabular style. Excel spreadsheets comprise rows and columns, with each cell containing data such as text, numbers, calculations, and functions.

Correct Answer: Discount broker
 

Solution : The correct answer is (b) Discount broker

A discount broker is a type of broker that provides trading services at a lower cost but offers limited advice compared to a full-service broker. Discount brokers typically charge lower commissions or fees for executing trades but may not provide extensive research, investment advice, or personalized services to the same extent as full-service brokers. Investors who prefer a lower-cost approach and are comfortable making their own investment decisions often opt for discount brokers.

Correct Answer: Both statements are true.

Solution : The correct answer is (a) Both statements are true.

Pakistan has a higher rate of population growth compared to India and China. This can be attributed to various factors, including high fertility rates and inadequate family planning measures. The lack of effective family planning programs and limited access to contraception contribute to the higher population growth rate in Pakistan.

Therefore, both Statement 1 and Statement 2 are true, and Statement 2 provides a valid explanation for Pakistan's higher population growth rate.

Correct Answer: Internal sources

Solution : The correct answer is (c) Internal sources

If XYZ Ltd. decides to hire employees who are already familiar with the company's operations and culture, they should focus on internal sources of recruitment. This could involve promoting or transferring existing employees to fill the new roles within the company. Internal recruitment is a strategy that leverages the talent and knowledge already present within the organization, ensuring a smoother transition for employees and potentially reducing the time and resources required for onboarding and training.