industries manufacturing & service sectors section 2 MCQ Questions & Answers Detailed Explanation

Answer: (d)

Just as diseases are identified by certain symptoms, industrial sickness can be identified by the following symptoms. These symptoms act as leading indicators of sickness, and if immediate remedial actions are not taken, the sickness will grow to the extent that the organization will find its natural death.

Continuous reduction in

• turnover,
• Piling up of inventory,
• Continuous reduction of net profit to sales ratio,
• Short term borrowings at a high interest rate,
• Continuous cash losses leading to erosion of tangible net worth etc.

However, the decline of market share is not an immediate indicator.

Answer: (b)

The first petrochemical industry in India was started with the establishment of National Organic Chemical Industry Limited in 1961.

The company manufacture various organic and inorganic chemicals. The real thrust of the Petrochemical industry in India came with the establishment of Indian Petrochemical Corporation Limited (IPCL) at Baroda on March 22, 1969, with a view to promote and encourage the use of plastics in India.

Answer: (b)

Generation Capacity from various sources as on 31.12.2019 

As per the new classification of government, all hydro projects, big or small come under renewable energy.

Answer: (a)

Abid Hussain committee recommended the abolition of reservation of items for small scale sector in industry.

Answer: (a)

Primary sector-Agriculture, forestry fishing, mining and quarrying

Secondary sector- Manufacturing and construction, Gas and water supply

Tertiary sector- trade, transport catering, hotels, community and personnel services, communication etc.

Answer: (a)

The Supreme Court of India in September 2014 had cancelled 204 coal mines/blocks allocated to the various Government and Private Companies since 1993 under the provisions of the Coal Mines (Nationalisation) Act, 1973. To bring transparency and accountability and to re-award these cancelled blocks and new blocks, the Coal Mines (Special Provisions) Bill 2015 was passed by the Parliament which was notified as an Act on 30.03.2015.

Enabling (power to enforce a law may be at a later date) provisions had been made in the Coal Mines (Special Provisions) Act, 2015 for allocation of coal mines by way of the auction for the sale of coal by private companies (sale of coal by government companies was already allowed).

Cabinet Committee on Economic Affairs (CCEA) on 20th Feb 2018 decided to open up the coal sector to commercial mining by private entities in a game-changing move that puts an end to state-backed Coal India Ltd’s (CIL) monopoly. Now there will be no end-use restriction or price restriction for the coal that is mined from these blocks.

Under private commercial mining modalities approved by the Cabinet, coal blocks will be allocated by “ascending forward auction” in which the winner will be determined by the price per tonne of coal offered to the state government where the mine is located.

The amount accrued through the bids will be in addition to the royalty that the States get. All the revenue from the sale of these blocks will go into the coffers of the States where they are located.