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

Question : 1

Which one of the following is the objective of National Renewal Fund ?

a) To develop a core sector of economy.

b) For human resources development such as full literacy, employment, population control, housing and drinking water.

c) To safeguard the interest of workers who may be affected by technology upgradation of industry or closer of sick units.

d) For the development of the infrastructure such as energy, transport, communication and irrigation.

Question : 2

Which of the following are part of the 'Index of Industrial Production (IIP)'?

1. Mining and quarrying
2. Electricity generation
3. Construction
4. Forestry

a) (i) & (ii) only

b) (i), (ii) & (iii) only

c) (ii) & (iii) only

d) All of the above

Question : 3

In India, the price of petroleum products has been deregulated mainly to

a) discourage the demand for private vehicles

b) curb the use of black money in the economy

c) reduce the burden of subsidies given to the oil companies

d) discourage the exploration of oil reserves in the country

Question : 4

Consider the below statements:

1. Internal factors could be mismanagement, lack of finance wrong dividend policy, not providing for reserves or deliberate ‘milking’ of the unit by the owners.
2. External factors could be wrong government policy, power shortage, non-availability of raw materials, transport problem, lack of technological advancement and labour disputes.

a) Both I & II

b) Only II

c) Only I

d) None of the above

Question : 5

Which sentence is correct regarding Industrial Development and Regulation Act 1951?

1. They controlled the authorization of capability, whereabouts and growth of any request for the manufacture of new products.
2. They controlled the authorization of foreign exchange expenditure on the import of plants and machinery.
3. They controlled the authorization for the terms of international joint ventures. 

a) II & III

b) Only III

c) I & II

d) All the above

Question : 6

Bring out the incorrect statement regarding India’s textile sector:

a) After agriculture it is second largest provider of employment

b) Textile sector is a major absorber of low-skilled labor

c) India’s textile and clothing sector currently employs 35 million people

d) Textile sector has a tendency to shrink as the GDP and Economy grows