CBSE Class 12 Entrepreneurship — NCERT Solutions

Answer: CUSTOMER
A customer is the person who receives a product or service from a seller in exchange for money or other consideration.

Answer: ENTREPRENEUR
An entrepreneur is an individual who organizes, manages, and assumes the risks of a business enterprise.

Answer: SOLE PROPRIETORSHIP

A sole proprietorship is a form of business organisation where a single individual owns, manages, and controls the entire business. All profits belong to the owner and he/she bears unlimited liability.

Answer: COOPERATIVE

AMUL (Anand Milk Union Limited) is one of the most famous examples of a cooperative society in India. It is owned and managed by its members (dairy farmers) for their mutual benefit.

1. QUALITY — The standard of something as measured against other things of a similar kind.
2. NEGOTIATION — Discussion aimed at reaching an agreement.
3. LABELLING — Display of information about a product on its container.
4. STAKEHOLDER — A person with an interest or concern in a business.
5. MAGAZINE — Ideal medium of advertising due to its ability to reach specific target groups.
6. SKIMMING — Selling a product at a high price, sacrificing high sales to gain a high profit.
7. OBJECTIVE — An aim.
8. TAGLINE — A catch phrase or slogan as used in advertising.
9. CRM (Customer Relationship Management) — It includes all aspects of interaction that a company has with its customer.

2. TRADEMARK — A symbol or word legally registered or established by use as representing a company or product.
3. BRAND NAME — A name given to their products, which helps in identifying and distinguishing products from that of the competitors.
4. GOODWILL — The established reputation of a business.
5. ADVERTISING — The activity of attracting public attention to a product or business.
6. PACKAGING — Materials used to wrap or protect goods.
7. SOCIAL MEDIA — The kind of advertising used by social networking sites.
8. LOGO — Design adopted by an organization to identify its products.

Answer: ACQUISITION
When one company purchases a controlling interest (most or all ownership stakes) in another company (the target firm) to gain control over it, the action is called an Acquisition.

Answer: PARTICIPATIVE BUDGETING

In participative (or bottom-up) budgeting, each operating unit prepares its own budget in line with the corporate goals set by top management. It is a collective, collaborative process that ensures alignment between departmental plans and overall organisational objectives.

ACROSS:

2. FLOTATION COSTS – The costs that a company incurs when it makes a new issue of either stocks or bonds.
3. BROKER – An individual or party that arranges transactions between a buyer and a seller for a commission when the deal is executed.
4. LIQUIDITY – A measure of the ability of a debtor to pay their debts as and when they fall due.
5. DEFICIT – An excess of expenditures over revenue.
6. NIFTY – An Index computed from performance of top stocks from different sectors listed on NSE.
7. SHARE CAPITAL – It constitutes the equity stake of its owners.
8. SURPLUS – Excess of revenue over expenditure.
9. ANGEL INVESTOR – Affluent individual who provides capital for business start-ups and early stage companies using a high-risk, high-return matrix usually in exchange for convertible debt or ownership equity.

DOWN:

1. INCENTIVE – Something that motivates an individual to perform an action.
2. SEED CAPITAL – The initial capital used to start a business.
3. EXPANSION – The action of becoming larger or more extensive.
4. FINANCE – The science of money management.
5. STOCK – A form of ownership that can be easily traded on a secondary market.