Question : Assertion :- Entry of new firms in the market may make an enterprise think afresh about how to deal with the situation.
Reason:- Business environment assist in planning and policy formation.

Option 1: Both assertion and reason are true and reason is correct explanation of assertion.

Option 2: Both assertion and the reason are true but reason is not the correct explanation of assertion.

Option 3: Assertion is true but the reason is false.

Option 4: Assertion is false but reason is true.

Question :

Assertion (A): Income and Expenditure Account is akin to Profit and Loss Account.
Reason (R): The Not-for-Profit Organisations are not required to prepare financial statements at the end of the each accounting period.

Option 1:

Both Assertion (A) and Reason (R) are true and (A) is correct explanation of Reason (R)

Option 2:

Both Assertion (A) and Reason (R) are true but (A) is not correct explanation of Reason (R)

Option 3: Assertion (A) is true but Reason (R) is false

Option 4: Reason (R) is true but Assertion (A) is false

Question : Assertion :- Interest rates, taxes, inflation, stock market indices, value of rupee, personal disposable income, unemployment rate etc, are the factors which affect the economic environment.
Reason :- The economic environment consists of an economic system, economic policies and economic conditions prevailing in a country. 

Option 1: Both assertion and reason are true and reason is correct explanation of assertion.

Option 2: Both assertion and the reason are true but reason is not the correct explanation of assertion.

Option 3: Assertion is true but the reason is false.

Option 4:

Assertion is false but reason is true.

Question :

Assertion (A): NPO do not maintain any capital account. Instead they maintain capital fund which is also called general fund that goes on accumulating received from year to year.
Reason (R): The capitalised items like legacies, entrance fees and life membership fees directly added to the capital fund.

Option 1:

Both Assertion (A) and Reason (R) are true and (R) is correct explanation of Reason (A)

Option 2:

Both Assertion (A) and Reason (R) are true but (A) is not correct explanation of Reason (R)

Option 3: Assertion (A) is true but Reason (R) is false

Option 4: Reason (R) is true but Assertion (A) is false

Question : Assertion (A): Partnership Deed is a legal document signed by all the partners.
Reason (R): Any type of charitable institution running as a not-for-profit organization will not be considered as a business.

Option 1: Both Assertion (A) and Reason (R) are true and Reason (R) is the correct explanation of Assertion (A)

Option 2: Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation of Assertion (A)

Option 3: Assertion (A) is true but Reason (R) is false

Option 4: Assertion (A) is false but Reason (R) is true