MP Board · Class 11 · Business Studies · Small Business and EnterprisesWhich of the following criteria is generally used in India to measure the size of a business?
Step-by-Step Solution
Investment in plant and machinery or equipment is the primary criterion used in India under the MSMED Act to classify and measure the size of manufacturing and service enterprises.
Detailed Options Breakdown
Option : Number of workers employed
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Small Business and Enterprises.
Option 1: Investment in plant and machinery or equipment (Correct Answer)
Correct choice. Refer to the step-by-step verified solution guidelines above for details.
Option 2: Volume of output
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Small Business and Enterprises.
Option 3: Total profit generated
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Small Business and Enterprises.
💡 Study Guide: This question tests core syllabus concepts from Small Business and Enterprises. For formulas, key summaries, and mock exam reference guides, read the full Small Business and Enterprises Revision Notes.