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CBSE Class 12 Pre Board 2019 : Entrepreneurship - Prelim 1 (St Xavier's Sr. Sec. School, Delhi)

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Pre Board Examination 2019 Std. 12 21-01-2019 Set 1 ENTREPRENEURSHIP Max. Marks : 80 Time : 3 hrs. General Instructions: i) This paper contains 24 questions in 5 parts and all questions are compulsory. ii) Internal choice is given in selected questions. iii) There is no word limit for numerical questions. iv) The instructions for each part are given separately. Read them carefully and follow. PART - A (This part contains FIVE questions carrying one mark each. Answer to these questions should be from one word to one sentence) 1. Differentiate between capital budget and cash budget. (1) 2. 'For a viable venture to be born, an entrepreneur is required to apply his knowledge, skill, competencies and creativity, strategically to market'. Identify the requirement to be complied with by these factors for successful processing of an idea into opportunity. (1) 3. Victory Ltd., set up their small manufacturing unit producing bucket seat covers in the name of Comfy . The product was a great hit. After sometime, SMW- market leaders in luxury car manufacturing planned to join hands with Victory Ltd. Such a deal will allow SMW to obtain better pricing and control over the manufacturing process. Identify this type of growth strategy. (OR) Fitness Ltd., a leading manufacturer of athletic shoes decided to join together with Fizz Up, an energy drink manufacturing company especially for sports people. The new company, Fitness Up, would help the existing companies to extend their markets as goodwill of both would be encashed. Identify this type of relationship. (1) 4. Naveen owns a 10 room building near Indira Gandhi International Airport. He wants to start a guest house there because he knows that many visitors require low cost accommodation near the airport. State two things that he has to ensure before opting for this opportunity. 5. (1) Rahul needed to conduct research at the pre-commercialization stage of his new venture-an online learning portal. He knew that he had to convince the investor why his product idea was worthwhile. The venture capitalist investing in his idea will have to investigate into the technical and economic feasibility of the idea. Identify the type of financing being referred to in the above paragraph. (OR) My company shares are listed in 3 stock exchanges, namely Chennai, Delhi and Kolkata and I am able to attract many type of investors due to this , says Mr. Dhilip who owns ABS Ltd. Identify this importance of the stock exchange, from the viewpoint of the entrepreneur. (1) PART - B (This part contains FIVE questions carrying TWO marks each. Answer to these questions should be in 50 to 75 words.) 6. List any four advantages of Employees Stock Option Plan. (2) 7. Fizz & Lime is an established beverage company which started bottling Wheat Grass Juice; Bitter gourd with Jamun and Amla with Aloevera. It is planning to expand externally without compromising on the unique taste of these drinks. Belligio Juices got exclusive rights to manufacture and sell Wheat Grass and Amla Aloe under the name Fizz & Lime. Belligio Juices had to use only the ingredients supplied by Fizz & Lime to produce bottle and distribute the two drinks. a) Identify and explain the form of external expansion adopted by Fizz& Lime. b) State any one feature of this form of expansion. (2)

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