B.COM DCM 1104 SEM 1



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Assignment Set – 1


  1. ‘Business is essentially a social institution and not merely a profit-making activity’. Explain.

Ans: A business enterprise is permitted by society to carry on industrial or commercial activities and earn profits from it. Therefore, a business enterprise is expected to do business and earn money in ways that fulfil the expectations of the society. Like every individual living in society, business too has certain obligations towards society in terms of respect for social values and norms of


  1. Explain the considerations that an entrepreneur must ensure before selecting a business opportunity.

Ans: An entrepreneur is one who is operating the business owned by him/her. So in the routine business operations he/she has to take a number of decisions for running the business.

The essential steps involved in the process are as follows:

  1. Identification of business opportunity: Before establishing an enterprise, an entrepreneur has to



  1. Describe the process of risk management.

Ans: Process of risk management

Risk administration is the method of identifying possessions at risk, assigning appropriate values, identifying intimidation to those assets, measuring or assessing risk and then basic strategies to deal with the risk. In the risk management the following steps are to be taken to reduce the ris


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Assignment Set – 2


  1. Throw light on measures that government has taken to solve the problem of the small-scale sector in India.

Ans: The Central and State Governments have set up several institutions or agencies to provide liberal and varied assistance to small scale industries.

Some of these institutions are described below:

  1. Small Industries Development Organisation (SIDO): The SIDO is an apex body for promotion and



  1. Examine the legal position of a promoter in a company also discuss his liabilities.

Ans: Promoters play an important role in the formation of a company. The promoters of a company have some liabilities towards the company.

The key liabilities



  1. Write short notes on the following:
  2. a) Business Combinations

Ans: A business combination occurs when two or more business firms co-operate with one another formally or informally for the purpose of attaining some common objectives, e, g. to stabilize prices and increase profits. A business combination is a compound combination as against partnerships, companies and corporations which are simple combinations of natural persons.

A business