Enterprise Marketing — Entrepreneurship STD 12 Commerce — Question

Calculate Return on Investment (Rol) and Return on Equity (RoE) on the basis of given information. You have newly started a beauty parlour business, you spend ₹1,50,000 to open the parlour of which you invested ₹70,000 of your own money and borrowed a loan for ₹80,000. Interest rate per annum is 7%. Sales revenue per month is₹ 80,000. Cost of goods sold is₹ 30,000 per month. Fixed expenses is ₹30,000 (salary ₹20,000, rent and utility ₹10,000), depreciation₹ 3,000 and tax @ 14%. What values are exhibited by the business by being able to achieve such ratios?

What is working capital? What is the need for working capital? What value is exhibited by the business by maintaining adequate working capital?

Write a short note on IIBI. What values are exhibited by it?

Illustrate how an entrepreneur assess the working capital requirements of an enterprise taking into consideration the operating cycle.

TFCI is playing vital role in the development of entrepreneurship in modern economy. Comment.

What are the factors an entrepreneur has to keep in mind whilst assessing the market?

Explain Joint Hindu Family/ Firm (HUFs).

Nitin is a young entrepreneur who has decided to venture into the business of manufacturing cycles for children. He wants to have an assessment that in how many days, his investment will start generating cash flows. So, give him the operating cycle of a manufacturing company.

You are an entrepreneur who is deciding the operational plan for your business.

1. Use a cheaper technology which lets you dispose of the waste water and lets you fix the price of your product low.
2. Use a technology that is a little expensive as it lets you recycle that waste water into water fit for drinking. In this case, you will have to fix the price a little higher in order to earn profits.
3. Use the technology that recycles the waste, do not change the price. And go about cost cutting though efficient utilisation of resources.

Give reasons for your selection of an alternative.

Enumerate the sources from which information for environmental scanning can be collected by an entrepreneur.