POC Notes For 1st Year

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XI P.O.C Notes By Sir Bilal Ahmed Khan
Commerce (University of Karachi)
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NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)
PRINCIPLE OF COMMERCE
LIST OF CHAPTERS
Chapter 1: Commerce/Business.
Chapter 2: Essential of establishing a new business House.
Chapter 3: Sole Proprietorship.
Chapter 4: Partnership.
Chapter 5: Joint Stock Company.
Chapter 6: Cooperative Societies.
Chapter 7: Concept of Marketing.
Chapter 8: Whole selling/Whole sellers.
Chapter 9: Retailing.
Chapter 10: Foreign Trade.
Chapter 11: Export Promotion Bureau.
Chapter 12: Chamber of Commerce.
Chapter 13: Advertising.
Chapter 14: Insurance.
Chapter 15: Transportation and Warehousing.
Chapter 16: Consumer and Business Finance.
Chapter 17: Capital, Shares and Bonds.
Chapter 18: Labour and time saving device.
Chapter 19: Commercial/Business correspondence
(Theory)
Compiled by: Sir Bilal Ahmed Khan (Contact No: 0321-8760696) Page 1
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CHAPTER 1: COMMERCE/BUSINESS
LIST OF TOPICS
1- Definition of Business.
2- Definition of Commerce.
3- Difference between Commerce and Business.
4- Branches of Commerce.
5- Subject matter/functions/scope/importance of commerce.
6- Qualities of good business man.
Topic 1: Definition of Business.
Q.no-1 Define “Business”? (short question of exams)

Or
Q.no-1 Give the definition of “Business” according to the opinion of
different experts? (short question of exams)
Definition of Business.
“An organization or economic system where goods and services are exchanged
for one another or for money.
Every business requires some form of investment and enough customers to
whom its output can be sold on a consistent basis in order to make a profit.
Businesses can be privately owned, not-for-profit or state-owned.”
Definition of Business according to the opinion of different experts
According to Peter Ducker,
* “What business are we in?”

* “there is only one valid definition of business purpose: to create a customer”
“quality in a product or service is not what the supplier puts in. It is what the
customer gets out and is willing to pay for.”
* “it either helps them grow or it stunts them”
* “change that creates a new dimension of performance”
* “as a human body needs vitamins and minerals.”
* “whomever and whatever it touches.”
According to Brown and petrello,
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according to brown and petrello “Business is an institution which produces goods

and services demanded by people”. It means business is an institution that
produce goods and services needed by society. If the demand is increased, the
producer also will increase production.
According to Griffin and Ebert,
Griffin and Ebert (1996): “Business is an organization that provides goods or

services in order toearn provit”. With this definition, business activity through
the provision of goods and services aim to generate profit. A institution is
produce profit when “total revenues” in a period is higher than the “total cost” in
the same period. Profit is the main feature of business activity, so that the profit
can be expand.
According to Musselman and Jackson,
“ An activity that meets the needs and desires of the community economic and
organized a company to engage in such activities.”
According to Stenford,
“Business is all those activities involved in providing the goods and services
needed or desired by people”. It means a business activities called that activities
,which provide goods or services required and desired by persons of our society .
Topic 2: Definition of Commerce.
Q.no-1 Define “Commerce”? (short question of exams)

Or
Q.no-1 Give the definition of “Commerce” according to the opinion of
different experts? (short question of exams)
Definition of Commerce.
“Exchange of goods or services for money or in kind, usually on a scale large
enough to require transportation from place to place or across city, state, or
national boundaries.”
Definition of Commerce according to the opinion of different experts
According to James Stephenson,
"Commerce is an organized system for the exchange of goods between the

members of the industrial world."
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In a broader sense,
"Commerce is that part of business which is concerned with the exchange of

goods and services and includes all those activities which directly or indirectly
facilitate that exchange."
Topic 3: Difference between Commerce and Business.
Q.no-1 Differentiate between “Commerce and Business”? (short question of

exams)
Difference between Commerce and Business.
1- Commerce and business are words with similar meaning, but they also
differ from one another.
2- While business can be an entity, commerce refers to trade and trade-related

activities.
3- Commerce focuses on buying and selling part of a business whereas there is

much more to a business than just buying and selling.
4- The difference between these two terms is also reflected in the relative
importance of the courses of commerce and business. Whereas a student
studying commerce is just a simple management graduate, a student
studying business holds a professional degree that opens doors of many
more opportunities.
5- When it comes to Bachelor of Commerce degree, the study is focused on

the wider commercial and economical environment. Then, the Bachelor of
Business focuses on the way individual businesses and organizations
operate. As you can see, to run a business, having a business degree is more
suitable.
Topic 4: Branches of Commerce.
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Q.no-1 what are the main “Branches of Commerce”? Describe in detail?

(long question of exams)
Branches of Commerce Following are the list of main branches of commerce.
1-Profession 2- Industry 3- Trade 4- Marketing.
1- Profession.
Profession is a important branch of commerce ,Occupation, practice, or vocation
requiring mastery of a complex set of knowledge and skills through formal
education and/or practical experience. Every organized profession (accounting,
law, medicine, etc.) is governed by its respective professional body.
2- Industry.
The manufacturing or technically productive enterprises in a particular field,
country, region, or economy viewed collectively, or one of these individually. A
single industry is often named after its principal product; for example, the auto
industry. For statistical purposes, industries are categorized generally according a
uniform classification code such as Standard Industrial Classification (SIC).
Any general business activity or commercial enterprise that can be isolated from
others, such as the tourist industry or the entertainment industry.
3- Trade.
Trade is a main piller of commerce.Trade, or commerce, involves the transfer of
goods or services from one person or entity to another, often in exchange for
money. A network that allows trade is called a market. The original form
of trade, barter, saw the direct exchange of goods and services for other goods
and services.
4- Marketing.
The management process through which goods and services move from concept
to the customer. It includes the coordination of four elements called the 4 P's of
marketing:
(1) identification, selection and development of a product,

(2) determination of its price,
(3) selection of a distribution channel to reach the customer's place, and
(4) development and implementation of a promotional strategy
Topic 5: Subject matter/functions/scope/importance of

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Commerce.
Q.no-1 Explain the subject matter/functions/scope and importance of

commerce? (long question of exams)
Subject matter/functions/scope/importance of Commerce
Since commerce embraces all those activities of taking goods and services from
the production centre to the consumption, a great deal of obstacles are crossed. In
between these two ends the obstacles faced are difficulties of trade,
transportation, distribution, finance, storage, insurance and publicity. The above
mentioned difficulties are removed by the various branches of commerce. These
branches are:
Trade: The channel through which goods are passed from the producer to the
consumer is termed as trade. It is the agency which facilitate proper flow of
goods. Trade involves buying and selling of goods.
Transport: Goods produced at the end of the producer are passed to the
consumer with the help of transport facilities. The goods are transported from the
place of low demand to the place of greater demand. Transport helps in the
creation of place utility for the products. The growth of commerce largely vest on
proper modes of transport like road, rail, sea and air.
Distribution: It is not possible on part of the producers to make direct contact

with the consumers which are millions in numbers. A chain of middlemen like
wholesalers, retailers, brokers and other agents help in the process of distribution
of goods. The hindrances of persons is being removed with the help of different
middlemen.
Insurance: A great deal of risks are involved during the course of transportation
of goods. The risks in connection with goods are risks of fire or theft. These risks
develop a state of fear of losses and these losses are covered by the help of
insurance.
Advertisement: Since the consumers are scattered over distant places, they may
not be aware of the availability of goods. Absence of knowledge of product puts
a lot of hindrances on purchase of goods and this hindrance of knowledge is
removed by advertisement and publicity.
Accounting: Accounting is a main piller of commerce.

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It is measurement, communicating and interpreting financial activity,Accounting

is widely referred as a language of business.
Finance: Finance describes the management, creation and study of money,

banking, credit, investments, assets and liabilities that make up financial systems,
as well as the study of those financial instruments. Some people prefer to divide
finance into three distinct categories: public finance, corporate
finance and personal finance. There is also the recently emerging area of social
finance. Additionally, the study of behavioral finance aims to learn about the
more "human" side of a science considered by most to be highly mathematical.
Banking: There is a time lag between the production and sale of goods and
during this period, the need of finance exert a great deal of influences. The
commercial banks and the other schedule banks play a vital role in mitigating
these financial crises. Banks also facilitate in international trade by providing
long-term financial assistances.
Warehousing: The production of goods takes place in the anticipation of

demand and goods are produced during the period of less demand. There is a
growing need to store the goods in a warehouse so that those can be utilized
during the period of more demand. The facility of warehouse removes the
hindrances of time. The need for warehouse is greater in foreign trade because
there is more time gap between production and consumption.
Communication: The buyers and sellers are intimated through various

communicating agencies. The producer intimate the buyer about the production
of goods, and the buyer sends orders for supply of goods. The post office,
telephone, telex and fax helps in communication between the producer and
consumers.
Topic 6: Qualities of Good business man.
Q.no-1 Describe the Qualities of Good business man in detail? (long question
of exams)
Qualities of Good business man

Business careers span a wide range of industries, including finance, marketing,
entrepreneurship, and management. To be successful in any business sector,
however, one must possess certain qualities that separate the best in the business
from the mediocre. Some of the qualities top business leaders must have include
the following:
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Leadership Skills
To be successful in business, you need outstanding leadership skills. You should
be able to command a room and inspire a team of associates to perform at their
best.
Unafraid to Take Risks

A great business leader has an entrepreneurial spirit and is not afraid to take
risks to advance the business and improve revenues.
Competitive Spirit
A sense of competition helps to propel the best business men and women to the
forefront of the industry. The desire to do better than similar organizations can
prove vital to your success.
A Good Intellect
Thorough knowledge of the business world, as well as of technology, economics,
politics, history, and other matters, is important for business leaders. Intellect
helps to cultivate a global perspective and sparks creativity
Ability to Take the Initiative

Initiative is important in business as it continually pushes people to work harder,
learn more, and perform better.
Solid Communication Skills
Great communication skills are essential, as no business transaction is a solitary
endeavor.
Ambition
The most successful business leaders have unrelenting ambition. They have lofty
goals and do whatever it takes (within legal limits, naturally) to achieve those
goals.
A Reliable Nature
Great business men and women are unfailingly reliable. They can be counted on
to get the job done and always make a positive contribution.
Personal and Professional Integrity

A keen sense of integrity is important to ensure that business transactions are
conducted with ethics in mind. A successful business person conducts him or
herself in a respectable manner and always acts fairly and responsibly.
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Chapter 2: Essential of establishing a new business House.
LIST OF TOPICS
1- Assessment of opportunities.
2- Nature of business.
3- Infrastructure.
4- Organizational problems.
5- Function of business.
6- Finance.
7- Location.
8- Labour.
9- Kinds of goods and services.
10-Marketing.
11-Competition.
12-Risk.
13-Government policies.
14-Business information
Q.no1 Write in List about the “Problems of starting a new business”? (short
question of exams)
Or
Q.no-1 Describe the “Problems of starting a new business” in detail? (long
question of exams)
Following are the main problem to starting a new business.
3- Infrastructure.
5- Fucture of business.
6- Finance.
7- Location.
8- Labour.
10-Marketing.
11-Competition.
12-Risk.
13-Government policies.
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14-Business information.
Each business often begin with innovative ideas, but succeeding in a
new business also requires objective assessment procedures. If your gut tells you
a product, service or existing business is a risk you want to take, use objective
measurements to better determine its likely hood of success.
The nature of business is what kind of business are you doing in your job. Every
business man first saw the professional ability and passion according to the
concerns of nature of business would he like. For example, textile business,
general store business, import and export etc.
3- Infrastructure.
We all have a stake in the infrastructure surrounding us — the roads, buildings,
power lines, and telephone networks that we rely on daily. How well they’re built
and operated is crucial to business growth and is a key arbiter of an business
competitiveness — and yet, virtually every economy faces an array of
infrastructure challenges.
In startup business with small workforces, all employees can take on a wide
range of duties and roles outside of their traditional job description. As a new
business grows and its employees adjust to their positions and working with each
other, specific organizational issues can arise. Addressing these startup business
organizational issues is vital to laying a framework in which the company can
add new employees as it continues to grow.
5- Fucture of business.
Starting a new business can lead to personal and financial rewards in the future,
but you will likely face a number of challenges when starting out. The demands
on your time may be greater than you anticipated, and enough money to keep
things going can also be a problem. With some careful planning, you can
anticipate some of these challenges and be able to overcome them.
6- Finance.
Small businesses face a different range of problems than their larger
counterparts, due to their inability to enjoy some of the same advantages in the
marketplace. Most of these problems are due to revenue and cash-on-hand
availability when the bills come due. But confronting these obstacles before they
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become a headache can help you to prevent them from becoming a major issue
for your company.
7- Location.
Growth and changes to a company often lead to the need for a new location.
While the move may give you more space, a better location and other benefits,
identifying the potential roadblocks helps you avoid problems during the move.
Thorough planning and preparation helps you navigate the move smoothly.
8- Labour.
The availibilty of skill labour is a main problem of business.It has been defined
in many ways, such as "the problem of improving the conditions of employment
of the wage-earning classes." It encompasses the difficulties faced by wage-
earners and employers who began to cut wages for various reasons including
increased technology, desire for lower costs or to stay in business.

A goods and service is a transaction in which no physical goods are transferred
from the seller to the buyer. The benefits of such a service are held to be
demonstrated by the buyer's willingness to make the exchange.
10- Marketing.
Every business faces different challenges of marketing. Although we typically
share similar goals, some teams are stuck on hiring top talent, while others are
having trouble finding the right technology for their needs.
Whatever the case may be, there’s always at least one area that you can stand to
improve. In other words, there’s always room to optimize the various
components of your strategy and turn your marketing into an even
more effective revenue generator.
11- Competition.
Competition is a main challenge is every business. "Competition" is the rivalry
among sellers trying to achieve such goals as increasing profits, market share,
and sales volume by varying the elements of the marketing mix: price, product,
distribution, and promotion.
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12- Risk.
Businesses face all kinds of risks, some of which can cause serious loss of
profits or even bankruptcy. But while all large companies have extensive
"risk management" departments, smaller businesses tend not to look at the
issue in such a systematic way.
13- Government policies.
A changing regulatory environment is always of concern in certain industries, but
uncertain energy, environmental and financial policy is complicating the decision
making for nearly all companies today. It’s true that things seem to have settled
down over the past couple of years.
14- Business information.

If you will start a new business. So you must well inform about information of
market and competitors according to your nature of business. A good business is
not just a tool for giving your information out to prospects but an opportunity to
connect with a new prospect on a personal level.
CHAPTER 3: SOLE PROPRIETORSHIP
LIST OF TOPICS
1- Definition of Sole proprietorship.
2- Merits/Advantages.
3- Demerits/Disadvantages.
4- Suitability of sole proprietorship.
Topic 1: Definition of Sole proprietorship.
Q.no-1 Define Sole Proprietorship? (short question of exams)
Definition of Sole proprietorship

“A business that legally has no separate existence from its owner. The sole
proprietorship is the simplest business form under which one can operate a
business. The sole proprietorship is not a legal entity. It simply refers to a person
who owns the business and is personally responsible for its debts”.
Topic 2: Merits/Advantages of Sole proprietorship.
Q.no-1 Write about the Merits/Advantages of Sole proprietorship? (short

question of exams)
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The main advantages of sole proprietorship business are as follows.
1- you’re the boss

2- you keep all the profits
3- start-up costs are low
4- you have maximum privacy
5- establishing and operating your business is simple
6- it’s easy to change your legal structure later if circumstances change
7- you can easily wind up your business
Topic 3: demerits/Disadvantages of Sole proprietorship.
Q.no-1 Write about the Demerits/Disadvantages of Sole proprietorship?

(short question of exams)
The main disadvantages of sole proprietorship business are as follows.
1-you have unlimited liability for debts as there’s no legal distinction

between private and business assets.
2-your capacity to raise capital is limited.
3-all the responsibility for making day-to-day business decisions is yours.
4-retaining high-calibre employees can be difficult.
5-it can be hard to take holidays.
7-you’re taxed as a single person.
8-the life of the business is limited.
Topic 4: Suitability of sole proprietorship business.
Q.no-1 Write down the suitability of sole proprietorship in different

business? (short question of exams)
Sole proprietorship is suitable for following types of business:
(1) Less Capital : Those business which requires less capital and less use of
machinery.
(2) Artistic Materials : Ivory work, painting, embroidery work, etc. where
personal attention is necessary.
(3) Personal Services : Tailoring, hair-cutting, photography, etc. where personal
service is more important.
(4) Small Industries : Small industries in which small equipment are required.
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(5) Less Risk : Those business which have less risk in relation to capital
employed and work required.
(6) Local Market : Vegetables, milk, eggs, etc. which are perishable and have
local demand only.
CHAPTER 4: PARTNERSHIP
LIST OF TOPICS
1- Definition and formation of partnership.
2- Features/Essential.
3- Merits/Advantages.
4- Demerits/Disadvantages.
5- Partnership agreement.
6- Kinds of Partnership.
7- Rights of partnership.
8- Responsibilities and liabilities of partnership.
9- Dissolution of partnership.
10- Kinds of partnership business.
11- Suitability of partnership.
Topic 1: Definition and formation of partnership business.
Q.no1- Define Partnership? (short question of exams)

Or
Q.no-1 Define Partnership? And write about the Formation of Partnership
business? (long question of exams)
Definition of partnership business

“A type of business organization in which two or more individual pool money,
skills, and other resources, and share profit and loss in accordance with terms of
the partnership agreement. In absence of such agreement, a partnership is
assumed to exit where the participants in an enterprise agree to share the
associated risks and rewards proportionately”. .
Formation of partnership business
The members of a partnership may enter into a written contractual agreement, but
such formality is not necessary. Generally, to determine whether a partnership
existed, a court will ask whether there was a sharing of profits and losses, joint
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administration and control of the business, a capital investment by each partner,

and common ownership of property. The court will also examine the intent of the
parties.
Topic 2: Features/Essential of partnership business.
Q.no-1 what are the main features and essentials of partnership business?
Features/Essential of partnership business

(1) There must be a contract.
(2) Between two or more persons;
(3) Who agree to carry on a business?
(4) With the object of sharing profits
(5) The business must be carried on by all or any of them acting for all (i.e., there
must be mutual agency).
Topic 3: Merits/Advantages of partnership business.
Q.no-1 Write down the Merits/Advantages of partnership business? (short

question of exams)
Merits/Advantages of partnership business.
1- Capital – Due to the nature of the business, the partners will fund the
business with start up capital. This means that the more, which will allow
better flexibility and more potential for growth. It also means more potential
profit, which will be equally shared between the partners.
2- Flexibility – A partnership is generally easier to form, manage and run. They

are less strictly regulated than companies, in terms of the laws governing the
formation and because the partners have the only say in the way the business
is run (without interference by shareholders) they are far more flexible in
terms of management, as long as all the partners can agree.
3- Shared Responsibility – Partners can share the responsibility of the running

of the business. This will allow them to make the most of their abilities.
Rather than splitting the management and taking an equal share of each
business task, they might well split the work according to their skills.
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4- Decision Making – Partners share the decision making and can help each
other out when they need to. More partners means more brains that can be
picked for business ideas and for the solving of problems that the business
encounters.
Topic 4: Demerits/Disadvantages of partnership business.
Q.no-1 Write down the Demerits/Disadvantages of partnership business?

Demerits/Disadvantages of partnership business.
1- Disagreements – One of the most obvious disadvantages of partnership is the

danger of disagreements between the partners. Obviously people are likely to
have different ideas on how the business should be run, who should be doing
what and what the best interests of the business are. This can lead to
disagreements and disputes which might not only harm the business, but also
the relationship of those involved.
2- Agreement – Because the partnership is jointly run, it is necessary that all the
partners agree with things that are being done. This means that in some
circumstances there are less freedoms with regards to the management of the
business.
3- Liability – Ordinary Partnerships are subject to unlimited liability, which
means that each of the partners shares the liability and financial risks of the
business. Which can be off putting for some people.
4- Taxation – One of the major disadvantages of partnership, taxation laws
mean that partners must pay tax in the same way as sole traders, each
submitting a Self Assessment tax return each year. They are also required to
register as self employed with HM Revenue & Customs.
5- Profit Sharing – Partners share the profits equally. This can lead to
inconsistency where one or more partners aren’t putting a fair share of effort
into the running or management of the business, but still reaping the rewards.
Topic 5: Partnership Agreement.
Q.no-1 what is partnership agreement? (short question of exams)

Or
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Q.no-1 write down the content of partnership agreement in detail? (long

question of exams)
Partnership Agreement Basics

You'll want to use a Partnership Agreement between yourself and the other
business partner or partners. Its terms define how the business partnership will be
conducted, making it an important foundational document for running your new
business.
Other names for a Partnership Agreement:

General Partnership Agreement, Business Partnership Agreement, Partnership
Contract, Create Partnership
Information needed for creating a Partnership Agreement:

You'll need to have some information at the ready to create your Partnership
Agreement, but most of it you probably know off hand. We'll guide you through
the process with our step-by-step process so all you'll have to do is answer a few
simple questions. Here are some of the key provisions in a Partnership
Agreement:
1- Partnership name.
2- Business address.
3- Names of Partners.
4- Effective date of agreement.
5- Primary purpose of partnership.
6- Voting requirements for partnership decisions.
7- Specify how costs will be shared among the partners.
8- Specify how profits will be shared among the partners.
9- Specify which partners
10- For each partnerSpecify deadline for partnersSpecify who will maintain
accounting of profits made by partnership.
11- Specify how often partnership finances will be audited.
12- Specify the type of contribution account the partnership will maintain.
13- Specify type of accounting records partnership will maintain.
14- Specify the partnership's fiscal year-end. If partner withdraws from
partnership,
15- If partner withdraws from partnership and partnership chooses not to buy
withdrawn shares,
16- Specify type of vote required to dissolve partnership.
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Topic 6: Kinds of Partners.
Q.no-1 what are the main kinds of partnership? (short question of exams)
Kinds of Partners
1-Active Partner:
An active partner is one who takes active part in the day-to-day working of the
business.
2-Sleeping or Dormant Partner:

A sleeping partner is one who contributes capital, shares profits and contributes
to the losses of the business but does not take part in the working of the concern.
A person may have money to invest but they may not be able to devote time for
the business.
3-Nominal Partner:
A nominal partner is one who lends his name to the firm. He does not contribute
any capital nor does he shares profits of the business. He is known as a partner to
the third parties.
4-Partner in Profit:
A person may become a partner for sharing the profit only. He contributes capital
and is also liable to third parties like other partners. He is not allowed to take part
in the management of the business.
5-Partner by Estoppel or Holding Out:

When a person is not a partner but poses himself as a partner, either by words or
in writing or by his acts, he is called a partner by estoppel or by holding out.
6-Secret Partner:
The position of a secret partner lies between active and sleeping partner. His
membership of the firm is kept secret from outsiders.
7-Sub-Partner:
A partner may associate anybody else in his share in the firm. He gives a part of
his share to the stranger. The relationship is not between the sub-partner and the
firm but between him and the partner.
8-Minor as a Partner:
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A minor is a person who has not yet attained the age of majority. A minor cannot
enter into a contract according to the Indian Contract Act because a contract by a
minor is void ab initio. However, a minor may be admitted to the benefits of an
existing partnership with the consent of all partners.
Topic 7: Rights of partners.

Q.no-1 write down the Rights of Partners? (short question of exams)
The rights of a partner are as follows:
1-Right of the partner to take part in the day-to-day management of the firm.
2-Right to be consulted and heard while taking any decision regarding the
business.
3-Right of access to books of accounts and call for the copy of the same.
4-Right to share the profits equally or as agreed upon by the partners.
5-Right to get interest on capital contributed by the partners to the firm.
6-Right to avail interest on advances paid by the partners for business purpose.
7-Right to be indemnified in respect of payment made or liabilities incurred or
for protecting the firm from losses.
8-Right to the use of partnership property exclusively for partnership business
only not himself.
9-Right as agent of the firm and implied authority to bind the firm for any act
done in carrying the business.
10-Right to prevent admission of new partners/expulsion of existing partners.
Topic 8: Responsibilities and liabilities of partnership.
Q.no-1 Write about Responsibilities and liabilities of partners? (short

question of exams)
Responsibilities and liabilities of partnership.
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1- Partners are bound to carry on the business of the firm:

a. To greatest common advantage,
b. Be just and faithful to each other,
c. To render true accounts and full information of all things affecting the
firm to any partner, his heir or legal representative.
2- If he derives any profits for himself from any transaction of the firm, or
from the use of the property or business connection of the firm or the firm-
name, he shall account for that profit and pay it to the firm;
3- If he carries on any business of the same nature as and competing with

that of the firm, he shall account for and pay to the firm all profits made by
him in that business.
4- Indemnify the firm for any loss caused to it by his will full neglect in the
conduct of the business of the firm.
Topic 9- Dissolution of partnership business.
Q.no-1 what is the process of Dissolution of partnership business? (short

question of exams)
Any partner can, subject to any agreement that's in place, end the partnership and
effectively bring the business to a close.
1- Partnerships may be dissolved when:

2- the term of the partnership has expired
3- one partner has given notice to the other partner(s)
4- the partnership is now illegal e.g. one partner can no longer legally own a
business
5- there is a court order
6-There is a death of a partner or the business has gone bankrupt.
Topic 10: Kinds of partnership business.
Q.no-1 what types and kinds of partnership business? Describe in detail?

(short and long both question of exams)
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Kinds of partnership business
The three most used partnership types are listed here, with their features, to help
you decide which type you might want to use.
General Partnership
A general partnership is a partnership with only general partners. Each general

partner takes part in the management of the business and also takes responsibility
for the liabilities of the business. If one partner is sued, all partners are held
liable. General partnerships are the least desirable for this reason.
Limited Partnerships
A limited partnership includes both general partners and limited partners. A

limited partner does not participate in the day-to-day management of the
partnership and his/her liability is limited.In many cases, the limited partners are
merely investors who do not wish to participate in the partnership other than to
provide an investment and to receive a share of the profits.
Limited Liability Partnerships
A limited liability partnership (LLP) is different from a limited partnership or a

general partnership but is closer to a limited liability company (LLC).In the LLP,
all partners have limited liability.An LLP combines characteristics of
partnerships and corporations. As in a corporation, all partners in an LLP have
limited liability, from errors, omissions, negligence, incompetence, or
malpractice committed by other partners or by employees. Of course, any
partners involved in wrongful or negligent acts are still personally liable, but
other partners are protected from liability for those acts.
Topic 11: Suitability of partnership business.
Q.no-1 write about the suitability of partnership business in detail? (short

question of exams)
We have already learnt that persons having different ability, skill or expertise can
join hands to form a partnership firm to carry on the business. Business activities
like construction, providing legal services, medical services etc. can be
successfully run under this form of business organization. It is also considered
suitable where capital requirement is of a medium size. Thus, business like a
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wholesale trade, professional services, mercantile houses and small

manufacturing units can be successfully run by partnership firms.
CHAPTER 5: JOINT STOCK COMPANY

LIST OF TOPICS
1- Definition of company
2- Kinds of company
3- Special features/characteristics of company
4- Merits/Advantages of company
5- Demerits/Disadvantages of company
6- Formation and its steps
7- Prospectus of company
8- Memorandum of association
9- Articles of association
10-Difference b/w private company and public company
11-Difference b/w partnership and company
Topic 1: Definition of Company.
Q.no-1 Define Joint stock company? (short question of exams)
Definition of Company.
(1) “Company is an association of persons formed for

thepurpose of somebusiness or undertaking, which has a legal personalit
y separate from that of itsmembers. A company may be formed by charte
r, by special Act of Parliament orby registration under the Companies Ac
ts. The liability of members is usually (butnot always) limited by the cha
rter, Act of Parliament or memorandum of association”.
(2) “Any business was registered under the company ordinance 1984,of
Pakistan are called company”.
Topic 2: Kinds of Joint stock company.
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Q.no-1 Give the name of kinds of Joint of stock company? (short question of
exams)
Or
Q.no-1 describe the kinds of Joint stock company in detail? (long question of
exams)
Kinds of Joint stock company

(A) On the basis of incorporation
(B) On the basis of liability
(C) On the basis of number of members
(D) According to Domicile
(E) Miscellaneous Category
(A) On the basis of incorporation:

On the basis of incorporation, companies can be classified as:
(i) Chartered companies
(ii) Statutory companies
(iii) Registered companies
(i) Chartered companies:

The crown in exercise of the royal prerogative has power to create a corporation
by the grant of a charter to persons assenting to be incorporated. Such companies
or corporations are known as chartered companies. Examples of this type of
companies are Bank of England (1694), East India Company (1600). The powers
and the nature of business of a chartered company are defined by the charter
which incorporates it. After the country attained independence, these types of
companies do not exist in pakistan.
(ii) Statutory companies:

A company may be incorporated by means of a special Act of the Parliament or
any state legislature. Such companies are called statutory companies, Instances of
statutory companies in Pakistan are, state Bank of Pakistan, state Life Insurance
of Pakistan, Pakistan state oil (PSO).
(iii) Registered companies:

Companies registered under the Companies Act 1956, or earlier Companies Acts
are called registered companies. Such companies come into existence when they
are registered under the Companies Act and a certificate of incorporation is
granted to them by the Registrar.
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(B) On the basis of liability:

On the basis of liability the company can be classified into:
(i) Companies limited by shares
(ii) Companies limited by guarantee
(iii) Unlimited companies.
(i) Companies limited by shares:

When the liability of the members of a company is limited to the amount if any
unpaid on the shares, such a company is known as a company limited by shares.
In a company limited by shares the liability of the members is limited to the
amount if any unpaid on the shares respectively held by them. The liability can
be enforced during existence of the company as well as during the winding up.
Where the shares are fully paid up, no further liability rests on them.
(ii) Companies limited by guarantee:

It is a registered company in which the liability of members is limited to such
amounts as they may respectively undertake by the memorandum to contribute to
the assets of the company in the event of its being wound up. In the case of such
companies the liability of its members is limited to the amount of guarantee
undertaken by them. Clubs, trade associations, research associations and societies
for promoting various objects are various examples of guarantee companies.
(iii) Unlimited companies:

A company not having a limit on the liability of its members is termed as
unlimited company. In case of such a company every member is liable for the
debts of the company as in an ordinary partnership in proportion to his interest in
the company.
(C) On the basis of number of members:
(i) Private company:
A private company means a company which by its articles of association:

(i) Restricts the right to transfer its shares
(ii) Limits the number of its members to fifty (excluding members who are or
were in the employment of the company) and
(iii) Prohibits any invitation to the public to subscribe for any shares or
debentures of the company.
(iv) Where two or more persons hold one or more shares in a company jointly,
they are treated as a single member. There should be at least two persons to form
a private company and the maximum number of members in a private company
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cannot exceed 50. A private limited company is required to add the words
“Private Ltd” at the end of its name.
(ii) Public company:
A public company means a company which is not a private company. There must
be at least seven persons to form a public company. It is of the essence of a
public company that its articles do not contain provisions restricting the number
of its members or excluding generally the transfer of its shares to the public or
prohibiting any invitation to the public to subscribe for its shares or debentures.
Only the shares of a public company are capable of being dealt in on a stock
exchange.
(D) According to Domicile:
(i) Foreign company:

It means a company incorporated outside pakistan and having a place of business
in pakistan.
According to Section 591 a foreign company is one incorporated outside
pakistan:
(a) Which established a place of business within pakistan after the
commencement of this Act or (b) Which had a place of business within pakistan
before the commencement of this Act and continues to have the same at the
commencement of this Act.
(ii) Pakistani Companies:

A company formed and registered in pakistan is known as an pakistani Company.
(E) Miscellaneous Category:
(i) Government Company:

It means any company in which not less than 51 percent of the paid up share
capital is held by the Central Govt, and/or by any State Government or
Governments or partly by the Central Government and partly by one or more
State Governments. The subsidiary of a Government company is also a
Government company.
(iii) Holding and subsidiary companies:

A company is known as the holding company of another company if it has
control over another company. A company is known as subsidiary of another
company when control is exercised by the latter over the former called a
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subsidiary company. A company is to be deemed to be subsidiary company of

another
(a) If the other:

(a) Controls the composition of its Board of directors or
(b) Exercises or controls more than half of its total voting power where it is an
existing company in respect where of the holders of preference shares issued
before the commencement of the Act have the same voting rights as the holders
of equity shares or
(c) In the case of any other company holds more than half in nominal value of its
equity share capital or
(d) If it is a subsidiary of a third company which is subsidiary of the controlling
company.
(iv) One man Company:

This is a company in which one man holds practically the whole of the share
capital of the company and in order to meet the statutory requirement of
minimum number of members, some dummy members hold one or two shares
each. The dummy members are usually nominees of principal shareholder. The
principal shareholder is in a position to enjoy the profits of the business with
limited liability. Such types of companies are perfectly valid and not illegal.
Topic 3: Special features/Characteristics of company.
Q.no-1 what is the special features and characteristics of Joint stock

company? (short question of exams)
Special features/Characteristics of company

Some of the most important characteristics of a company are as follows:
1. Voluntary Association:
A company is a voluntary association of two or more persons. A single person
cannot constitute a company. At least two persons must join hands to form a
private company. While a minimum of seven persons are required to form a
public company. The maximum membership of a private company is restricted to
fifty, whereas, no upper limit has been laid down for public companies.
2. Incorporation:
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A company comes into existence the day it is incorporated/registered. In other

words, a company cannot come into being unless it is incorporated and
recognised by law.
3. Artificial Person:
In the eyes of law there are two types of persons viz:
(a) Natural persons i.e. human beings and
(b) Artificial persons such as companies, firms, institutions etc.
Legally, a company has got a personality of its own. Like human beings it can
buy, own or sell its property. It can sue others for the enforcement of its rights
and likewise be sued by others.
4. Separate Entity:
The law recognizes the independent status of the company. A company has got
an identity of its own which is quite different from its members. This implies that
a company cannot be held liable for the actions of its members and vice versa.
The distinct entity of a company from its members was upheld in the famous
Salomon Vs. Salomon & Co case.
5. Perpetual Existence:
A company enjoys a continuous existence. Retirement, death, insolvency and
insanity of its members do not affect the continuity of the company. The shares
of the company may change millions of hands, but the life of the company
remains unaffected. In an accident all the members of a company died but the
company continued its operations.
6. Common Seal:
A company being an artificial person cannot sign for itself. A seal with the name
of the company embossed on it acts as a substitute for the company’s signatures.
The company gives its assent to any contract or document by the common seal. A
document which does not bear the common seal of the company is not binding
on it.
7. Transferability of Shares:
The capital of the company is contributed by its members. It is divided into
shares of predetermined value. The members of a public company are free to
transfer their shares to anyone else without any restriction. The private
companies, however, do impose some restrictions on the transfer of shares by
their members.
8. Limited Liability:
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The liability of the members of a company is invariably limited to the extent of

the face value of shares held by them. This means that if the assets of a company
fall short of its liabilities, the members cannot be asked to contribute anything
more than the unpaid amount on the shares held by them. Unlike the partnership
firms, the private property of the members cannot be utilized to satisfy the claims
of company’s creditors
9. Diffused Ownership:
The ownership of a company is scattered over a large number of persons.
According to the provisions of the Companies Act, a private company can have a
maximum of fifty members. While, no upper limit is put on the maximum
number of members in public companies.
10. Separation of Ownership from Management:

Though shareholders of a company are its owners, yet every shareholder, unlike
a partner, does not have a right to take an active part in the day to day
management of the company. A company is managed by the elected
representatives of its members. The elected representatives are individually
known as directors and collectively as ‘Board of Directors’.
Topic 4: Merits/advantages of company.
Q.no-1 write about the Merits/Advantages of Joint stock company? (short

question of exams)
Advantages of a company include that:
1. liability for shareholders is limited

2. it's easy to transfer ownership by selling shares to another party
3. shareholders (often family members) can be employed by the company
4. the company can trade anywhere in Australia
5. taxation rates can be more favourable
6. You all have access to a wider capital and skills base.
Topic 5: Demerits/Disadvantages of company.
Q.no-1 write about the Demerits/Disadvantages of Joint stock company?
Disadvantages of a company include that:
1. the company can be expensive to establish, maintain and wind up

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2. the reporting requirements can be complex

3. your financial affairs are public
4. if directors fail to meet their legal obligations, they may be held personally
liable for the company's debts
5. profits distributed to shareholders are taxable
Topic 6: Formation steps of company.
Q.no-1 explain the process and steps of formation of Joint stock company?
The whole process of company formation can be divided into four stages as
given below.
1. Promotion of a Company
2. Registration of a Company
3. Certificate of Incorporation
4. Commencement of the Business.
1. Promotion of a Company.
A business enterprise does not come into existence on its own. It comes into
existence as a result of the efforts of an individual or group of people or an
institution. That is, it has to be promoted by some person or persons. The process
of business promotion begins with the conceiving of an idea and ends when that
idea is translated into action i.e., the establishment of the business enterprise and
commencement of its business.
2. Registration of a Company.
It is registration that brings a company into existence. A company is properly
formed only when it is duly registered under the Companies Act.
Procedure of Registration
In order to get the company registered, the important documents required to be
filed with the Registrar of Companies are as follows.
1. Memorandum of Association
2. Articles of Association
3. List of Directors
4. Written consent of the Directors
5. Notice of the Address of the Registered Office
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6. Statutory Declaration
3. Certificate of Incorporation.
On the registration of Memorandum of Association, Articles of Association and
other documents, the Registrar will issue a certificate known as the ‘Certificate of
Incorporation‘. The issue of certificate is the evidence of the fact that the
company is incorporated and the requirements of the Companies Act have been
complied with.
4. Certificate of Commencement of Business.

As soon as a private company gets the certification of incorporation, it can
commence its business. A public company can commence its business only after
getting the ‘certificate of commencement of business‘. After the company gets
the certificate of incorporation, a public company issues a prospectus for inviting
the public to subscribe to its share capital.
Topic 7: Prospectus of company.
Q.no-1 Define Prospectus? Write down the features and characteristics of

prospectus? (short question of exams)
Or
Q no-1 Define Prospectus? And explain the contents of the Prospectus? (long
question of exams)
Meaning of Prospectus:
“Any document issued as a prospectus and includes any notice, circular,
advertisement or other document inviting deposits from the public or inviting
offers from the public for the subscription or purchase of any share in, or
debentures of a body corporate.”
In other words, it is a document which invites deposits from the public or invites
offers from the public for the subscription of shares in, or debentures of, a
company.
Features and Characteristics of Prospectus:
The features and characteristics of the prospectus are:

(1) It is a document issued as a prospectus
(2) It is an invitation to the member of the public
(3) The public is invited to subscribe to the shares or debentures of the company
(4) It includes any notice, circular, advertisement inviting deposits from the
public
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Contents of the Prospectus:
The contents of prospectus are as follows.

(1) The contents of the Memorandum
(2) The qualification shares of the Directors
(3) No. of redeemable preference shares
(4) Remuneration of the Directors and Promoters
(5) The names, descriptions and addresses of the Directors and Managing
Directors
(6) The Minimum Subscription
(7) Time of opening
(8) Names and Addresses
(9) Underwriting Commission, Brokerage etc
(10) Names of the auditors with their addresses
(11) Particular of Contracts
(12) Preliminary Expenses
(13) Particulars of Directors
(14) Disclosure
(15) Expected rate of dividend and voting rights
(16) Capitalisation of Profits and Surplus from revaluation of assets
(17) Inspection of Balance Sheet and Profit and Loss Account
Topic 8: Memorandum of association.
Q.no-1 Define Memorandum of Association? And write about the clauses of

memorandum of Association? (short question of exams)
Definition
“The memorandum of association of a company is the charter and defines the
limitation of the power of the company established under the Act”.
Thus, a Memorandum of Association is a document which sets out the
constitution of the company. It clearly displays the company’s relationship with
outside world. It also defines the scope of its activities. MOA enables the
shareholders, creditors and people who has dealing with the company in one
form or another to know the range of activities.
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Thus the Memorandum of Association of the company is the most important

document. It is the foundation of the company.
Clauses of Memorandum of Association
According to the Companies Act, the Memorandum of Association of a company

must contain the following clauses:
1. Name Clause of Memorandum of Association

The name of the company should be stated in this clause. A company is free to
select any name it likes. But the name should not be identical or similar to that of
a company already registered. It should not also use words like King, Queen,
Emperor, Government Bodies and names of World Bodies like U.N.O., W.H.O.,
World Bank etc. If it is a Public Limited Company, the name of the company
should end with the word ‘Limited’ and if it is a Private Limited Company, the
name should end with the words ‘Private Limited’.
2. Situation Clause of Memorandum of Association
In this clause, the name of the State where the Company’s registered office is
located should be mentioned. Registered office means a place where the common
seal, statutory books etc., of the company are kept.The company should intimate
the location of registered office to the registrar within thirty days from the date of
incorporation or commencement of business.
3. Objects Clause of Memorandum of Association
This clause specifies the objects for which the company is formed. It is difficult
to alter the objects clause later on. Hence, it is necessary that the promoters
should draft this clause carefully. This clause mentions all possible types of
business in which a company may engage in future.
4. Liability Clause of Memorandum of Association

This clause states the liability of the members of the company. The liability may
be limited by shares or by guarantee. This clause may be omitted in case of
unlimited liability.
5. Capital Clause of Memorandum of Association
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This clause mentions the maximum amount of capital that can be raised by the
company. The division of capital into shares is also mentioned in this clause. The
company cannot secure more capital than mentioned in this clause. If some
special rights and privileges are conferred on any type of shareholders mention
may also be made in this clause.
6. Subscription Clause of Memorandum of Association

It contains the names and addresses of the first subscribers. The subscribers to
the Memorandum must take at least one share. The minimum number of
members is two in case of a private company and seven in case of a public
company.
Topic 9: Articles of association.
Q.no-1 Define Articles of Association? (short question of exams)
Definition:
“The Articles of Association are the legal document that along with the
memorandum of association serves as the constitution of the company. It is
comprised of rules and regulations that govern the company’s internal affairs”.
The articles of association are the contracts between the shareholders and the
organization and among the shareholder themselves. This document often defines
the manner in which the shares are to be issued, dividend to be paid, the financial
records to be audited and the power to be given to the shareholders with the
voting rights.The articles of association can be considered as the user manual for
the organization that comprises of the methodology that can be used to
accomplish the company’s day to day operations. This document is a binding on
the shareholders and the organization and has nothing to do with the outsiders.
Thus, the company is not accountable for any claims made by any external party.
The articles of association is comprised of following provisions:
 Share capital, call of share, forfeiture of share, conversion of share into stock,
transfer of shares, share warrant, surrender of shares, etc.
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 Directors, their qualifications, appointment, remuneration, powers, and

proceedings of the board of directors meetings.
 Voting rights of shareholders, by poll or proxies and proceeding of shareholders
general meetings.
 Dividends and reserves, accounts and audits, borrowing powers and winding up.
It is mandatory for the following types of companies to have their own

articles:
1. Unlimited Companies: The article must state the number of members with
which the company is to be registered along with the amount of share capital, if
any.
2. Companies Limited by Guarantee: The article must define the number of
members with which the company is to be registered.
3. Private Companies Limited by Shares: The private company having the share
capital, then the article must contain the provision that, restricts the right to
transfer shares, limit the number of members to 50, prohibits the invitation to the
public for the further subscription of shares in the form of shares or debentures
Topic 10: Difference b/w public company and private company.
Q.no-1 Differentiate between Public company and Private company? (short

question of exams)
The common differences between a public and private limited company are as
follows:
Public limited Private limited
Features
company company
1-Minimum members 7 2
2-Minimum directors 3 2
3-Maximum members Unlimited 200
4-Minimum capital 500000 100000
5-Invitation to public Yes No
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6-Issue of prospectus Yes No
7-Certificate for commencement of Business

( Mandatory) Yes No
8-Term used at the end of name Limited Private Limited
9-Statutory meeting (Mandatory) Yes No
Topic 11: Difference b/w Partnership and Company.
Q.no-1 Differentiate between Partnership and Company? (short question of

exams)
Difference b/w Partnership and Company.
Partnership
1. A partnership is governed by the Partnership Act, 1932
2. Registration: The registration of a partnership concern is not compulsory. There

are certain privileges given to the registered firms which are denied to
unregistered ones. These privileges indirectly encourage registration.
3. Number of Members: A partnership can be started by at least two persons. The
maximum number is ten in case of banking and insurance business and it is
twenty for any other business.
4. Legal Status: A partnership has no separate legal entity apart from its members.
Members cannot enter into an agreement with the firm.
5. Liability: The liability of partners is unlimited. The partners are jointly and
separately responsible for the liabilities of the business.
6. Transfer of Shares: A partner can transfer his share only with the consent of all
other partners.
7. Management and Control: A partnership concern is managed and controlled by
the partners. The partners have a right to participate in the administration of
business.
8. Statutory Obligations: A partnership is not under statutory obligation fro the
compliance of any rules and regulations. There is no compulsion to maintain
certain books, get the accounts audited and to publish them.
9. Continuity: A partnership concern is dissolved on the death or insolvency of a
partner.
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10. Authority of Members: A partner can bin the firm by his acts. There is an
implied authority. A partner is an agent of the firm.
11. Winding Up: A partnership concern can be dissolved easily. No legal
formalities are required for winding up a partnership firm.
Company
1. Company is governed by the Companies Act, 1956

2. Registration: The registration of a company is compulsory. There are two stages
in registering private limited company, the first is ‘Incorporation’ and the second
is ‘Commencement of Business’. A private limited company can start business
after obtaining certificate of incorporation.
3. Number of Members: There must be at least two persons for starting a private
company and maximum number of members can be fifty.
4. Legal Status: A Private Company has a separate legal entity. It has a common
seal and can enter into contracts by affixing its seal. Members of the company
can also enter into contract with the company.
5. Liability: The liability of shareholders is limited to the value of shares held by
them. The members are not personality liable for the obligations of the business.
6. Transfer of Shares: A shareholder can sell his shares whenever he feels so.
There is no binding no the transfer of shares of a company.
7. Management and Control: A private company is managed by elected
representatives of the shareholders.
8. Statutory Obligations: A private company is required to maintain prescribed
books and have a periodical audit. Some information has to be supplied
periodically to the Registrar of Companies.
9. Continuity: The continuity of a company is not affected by the death or
insolvency of a member. The members may go on changing but the company
will not be affected.
10. Authority of Members: A shareholder has not implied authority to bind
the company. A shareholder cannot act on behalf of company.
11. Winding Up: A private company is wound up only through court. If the
court is satisfied that there is a reasonable ground for winding up the company
only then it is to be wound up. A proper procedure is also to be followed.
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CHAPTER 6: COOPERATIVE SOCIETIES
LISTS OF TOPICS
1- Definition of cooperative societies.

2- Advantages of cooperative societies.
3- Disadvantages of cooperative societies.
4- Kinds of cooperative societies.
5- Characteristics of cooperative societies.
6-
Topic 1: Definition of cooperative societies.
Q.no-1 Definition of Cooperative societies? (short question of exams)
Definition of cooperative societies.

The International Cooperative Alliance defines cooperative as "an autonomous
association of persons united voluntarily to meet their common economic, social,
and cultural needs and aspirations through a jointly-owned and democratically-
controlled enterprise".
Topic 2: Advantages of cooperative societies.
Q.no-1 Give the advantages of cooperative societies? (short question of

exams)
Advantages of cooperative societies.

1. Easy Formation
2. Limited Liability
3. Perpetual Existence
4. Social Service
5. Open Membership
6. Tax Advantage
7. State Assistance
8. Democratic Management
Topic 3: Disadvantages of cooperative societies.
Q.no-1 Give the Disadvantages of cooperative societies? (short question of

exams)
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Disadvantages of cooperative societies.

1. Lack of Secrecy
2. Lack of Business Acumen
3. Lack of Interest
4. Corruption
5. Lack of Mutual Interest
Topic 4: Kinds of cooperative societies.
Q.no-1 Write about the kinds of cooperative societies in detail? (short and
long both question of exams)
Following are the main kinds of cooperative societies.

1. Consumers cooperative societies
2. Producers cooperatives societies
3. Marketing Cooperatives societies
4. Cooperative Farming societies
5. Housing Cooperatives societies
6. Credit Cooperatives societies
Topic 5: Characteristics of cooperative societies.
Q.no-1 Write about the characteristics of cooperative societies? (short

question of exams)
The Important Characteristics (or Principles) of a Co-operative societies are
listed below.
1. Voluntary membership
2. Open membership
3. Finances
4. Liability of members
5. Democratic control
6. Limited interest on capital
7. Distribution of surplus
8. Service motive
9. Registration and legal status
10. Education and training
CHAPTER 7: CONCEPTS OF MARKETING
LIST OF TOPICS
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1- Definition of marketing
2- Function of marketing
3- Importance of marketing
Topic 1: Definition of marketing.
Q.no-1 Define marketing? (short question of exams)
Definition.
“Marketing is the activity, set of institutions, and processes for creating,

communicating, delivering, and exchanging offerings that have value for
customers, clients, partners, and society at large”.
Topic 2: Function of marketing.
Q.no-1 Describe the Function of marketing in detail? (short and long both
question of exams)
Important Functions of Marketing
Gathering and Analyzing Market Information:

Gathering and analyzing market information is an important function of
marketing. Under it, an effort is made to understand the consumer thoroughly in
the following ways:
What do the consumers want?
In what quantity?
At what price?
When do they want (it)?
What kind of advertisement do they like?
Where do they want (it)?
Marketing Planning:
In order to achieve the objectives of an organization with regard to its marketing,
the marketer chalks out his marketing plan. For example, a company has a 25%
market share of a particular product.
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The company wants to raise it to 40%. In order to achieve this objective the
marketer has to prepare a plan in respect of the level of production and
promotion efforts. It will also be decided as to who will do what, when and how.
To do this is known as marketing planning.
Product Designing and Development:

Product designing plays an important role in product selling. The company
whose product is better and attractively designed sells more than the product of a
company whose design happens to be weak and unattractive.
Standardization and Grading:

Standardization refers to determining of standard regarding size, quality, design,
weight, colour, raw material to be used, etc., in respect of a particular product.
By doing so, it is ascertained that the given product will have some peculiarities.
This way, sale is made possible on the basis of samples. Mostly, it is the practice
that the traders look at the samples and place purchase order for a large quantity
of the product concerned. The basis of it is that goods supplied conform to the
same standard as shown in the sample.
Products having the same characteristics (or standard) are placed in a given
category or grade. This placing is called grading. For example, a company
produces commodity – X, having three grades, namely A’. ‘B’ and ‘C’,
representing three levels of quality; best, medium and ordinary respectively.
Customers who want best quality will be shown ‘A’ grade product. This way,
the customer will have no doubt in his mind that a low grade product has been
palmed off to him. Grading, therefore, makes sale-purchase easy. Grading
process is mostly used in case of agricultural products like food grains, cotton,
tobacco, apples, mangoes, etc.
Packaging and Labelling:

Packaging aims at avoiding breakage, damage, destruction, etc., of the goods
during transit and storage. Packaging facilitates handling, lifting, conveying of
the goods. Many a time, customers demand goods in different quantities. It
necessitates special packaging. Packing material includes bottles, canister, plastic
bags, tin or wooden boxes, jute bags etc.
Label is a slip which is found on the product itself or on the package providing
all the information regarding the product and its producer. This can either be in
the form of a cover or a seal.
For example, the name of the medicine on its bottle along with the
manufacturer’s name, the formula used for making the medicine, date of
manufacturing, expiry date, batch no., price etc., are printed on the slip thereby
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giving all the information regarding the medicine to the consumer. The slip
carrying all these is details called Label and the process of preparing it as
Labelling.
Branding:
Every producer/seller wants that his product should have special identity in the
market. In order to realise his wish he has to give a name to his product which
has to be distinct from other competitors.
Giving of distinct name to one’s product is called branding. Thus, the objective
of branding is to show that the products of a given company are different from
that of the competitors, so that it has its own identity.
For instance, if a company wants to popularise its commodity – X under the
name of “777” (triple seven) then its brand will be called “777”. It is possible
that another company is selling a similar commodity under AAA (Triple ‘A’)
brand name.
Under these circumstances, both the companies will succeed in establishing a
distinct identity of their products in the market. When a brand is not registered
under the trade Mark Act, 1999, it becomes a Trade Mark.
Customer Support Service:

Customer is the king of market. Therefore, it is one of the chief functions of
marketer to offer every possible help to the customers. A marketer offers
primarily the following services to the customers:
After-sales-services
Handling customers’ complaints
Technical services
Credit facilities
Maintenance services
Helping the customer in this way offers him satisfaction and in today’s
competitive age customer’s satisfaction happens to be the top-most priority. This
encourages a customer’s attachment to a particular product and he starts buying
that product time and again.
Pricing of Products:
It is the most important function of a marketing manager to fix price of a product.
The price of a product is affected by its cost, rate of profit, price of competing
product, policy of the government, etc. The price of a product should be fixed in
a manner that it should not appear to be too high and at the same time it should
earn enough profit for the organisation.
Promotion:
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Promotion means informing the consumers about the products of the company
and encouraging them to buy these products. There are four methods of
promotion: (i) Advertising, (ii) Personal selling, (iii) Sales promotion and (iv)
Publicity. Every decision taken by the marketer in this respect affects the sales.
These decisions are taken keeping in view the budget of the company.
Physical Distribution:
Under this function of marketing the decision about carrying things from the
place of production to the place of consumption is taken into account. To
accomplish this task, decision about four factors are taken. They are: (i)
Transportation, (ii) Inventory, (iii) Warehousing and (iv) Order Processing.
Physical distribution, by taking things, at the right place and at the right time
creates time and place utility.
Transportation:
Production, sale and consumption-all the three activities need not be at one place.
Had it been so, transportation of goods for physical distribution would have
become irrelevant. But generally it is not possible. Production is carried out at
one place, sale at another place and consumption at yet another place.
Transport facility is needed for the produced goods to reach the hands of
consumers. So the enterprise must have an easy access to means of
transportation.
Mostly we see on the road side’s private vehicles belonging to Pepsi, Coca Cola,
etc. These private carriers are the living examples of transportation function of
marketing. Place utility is thus created by transportation activity.
Storage or Warehousing:
There is a time-lag between the purchase or production of goods and their sale. It
is very essential to store the goods at a safe place during this time-interval.
Godowns are used for this purpose. Keeping of goods in godowns till the same
are sold is called storage.
For the marketing manager storage is an important function. Any negligence on
his part may damage the entire stock. Time utility is thus created by storage
activity.
Topic 3: Importance of marketing.
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Q.no-1 write about the importance of marketing? (short and long both
question of exams)
Importance of marketing can be studied as follows:

(1)Marketing Helps in Transfer, Exchange and Movement of Goods:
Marketing is very helpful in transfer, exchange and movement of goods. Goods
and services are made available to customers through various intermediaries’
viz., wholesalers and retailers etc. Marketing is helpful to both producers and
consumers.
(2)Marketing Is Helpful In Raising And Maintaining The Standard Of Living Of

The Community:
Marketing is above all the giving of a standard of living to the community. Paul
Mazur states, “Marketing is the delivery of standard of living”.
(3)Marketing Creates Employment:

Marketing is complex mechanism involving many people in one form or the
other. The major marketing functions are buying, selling, financing, transport,
warehousing, risk bearing and standardisation, etc.
(4)Marketing as a Source of Income and Revenue:

The performance of marketing function is all important, because it is the only
way through which the concern could generate revenue or income and bring in
profits.
(5)Marketing Acts as a Basis for Making Decisions:

A businessman is confronted with many problems in the form of what, how,
when, how much and for whom to produce? In the past problems was less on
account of local markets.
Chapter 8: WHOLESELLING/WHOLESELLER.
LIST OF TOPICS
1- Definition of whole selling.

2- Definition of whole seller.
3- Types of whole seller.
4- Service of whole seller.
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Topic 1: Definition of whole selling.
Q.no-1 Define whole selling? (short question of exams)
Definition
“Whole selling is the activity of buying or selling goods in large
amounts, especially in order to sell them in shops or supermarkets. Compare
retailing”.
Topic 2: Definition of wholesaler.
Q.no-1 Define wholesaler? (short question of exams)
Definition
The word ‘Wholesaler’ has been derived from the word ‘Whole seller’ which
means to sell goods in relatively large quantities or in bulk. A wholesaler, in the
words of S.E. Thomas ‘is a trader who purchases goods in large quantities from
manufacturers and sells to retailers in small quantities.
The term ‘wholesaler’ applies only to a merchant middleman engaged in selling
the goods in bulk quantities. Whole selling includes all marketing transactions in
which purchases are intended for resale or are used in marketing other products.
Thus, we can say that a wholesaler is a person who buys goods from the producer
in bulk quantities and forwards them in small quantities to retailers. So, a true
wholesaler, as S.E. Thomas observes, “is himself neither a manufacturer nor a
retailer, but acts as a link between the two”. He is a vital link in the channel of
distribution.
Topic 3: Types of Wholesaler.
Q.no-1 write down the types of Wholesaler? (short question of exams)
The wholesalers may be classified under the following headings
(A) On the basis of area covered:
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(a) Local wholesalers, who distribute the goods from the producer to the
consumer of a particular locality or area.
(b) State wholesalers, who function in a particular state or province.
(c) Country-wide wholesales who are located at the main business centres of the
country and who distribute goods throughout the length and breadth of the
country.
(B) On the basis of the goods they deal in:
It is the most used grouping of wholesale concerns. According to T.N. Backman,

‘it is not easy to define their limits of operations on any particular basis or
criterion, but usually three bases are selected:
(a) Methods of distributing goods:

(b) sources of supply; and
(c) the use of the goods by the consumers.’
(C) On the basis of methods of operation:
(a) Full-function wholesales-who perform the entire range of wholesale

functions, viz., assembling, storage, transportation, packing, financing and risk-
bearing.
(b) Limited function wholesalers-who perform only limited or specific functions
out of the full range of wholesale functions.
(D) On the basis of their line of product:
(a) General merchandise wholesalers:

Wholesalers who deal in a number of items of general merchandise, ranging from
food products to household appliances.
(b) General line wholesalers:

Who offer complete stock in one major line, e.g., stationery goods or may be
hardware appliances, etc.
(c) Specialised wholesalers:

Who deal only in specialised goods such as food products c: electrical goods, etc.
They help those retailers who wish to buy a wide range of goods of the same l
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Topic 4: Services of wholesaler.
Q.no-1 write about the services of wholesaler? (short question of exams)
Chapter 9: RETAILING
LIST OF TOPICS
1. Definition of retailing
2. Kinds of retailing
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Topic 1: Definition of retailing.
Q.no-1 Define retailing? (short question of exams)
Definition of retailing
Retail is the sale of goods to end users, not for resale, but for use and
consumption by the purchaser.
Retail involves the sale of merchandise from a single point of purchase directly
to a customer who intends to use that product. The single point of purchase could
be a brick-and-mortar retail store, an Internet shopping website, a catalog, or
even a mobile phone.
The retail transaction is at the end of the chain.
Manufacturers sell large quantities of products to retailers, and retailers attempt
to sell those same quantities of products to consumers.
Topic 2: Kinds of retailing.
Q.no-1 What are the main kinds of retailing? (short question of exams)
Following are the main kinds of retailing.
Department Stores
Sell a wide range of merchandise that is arranged by category into different
sections of the physical retail space. Some department store categories include
shoes, clothing, beauty products, jewelry, housewares, etc.
Grocery Stores and SupermarketsSell all types of food and beverage

products, and sometimes also home products, clothing, and consumer electronics
as well.
Warehouse RetailersLarge no-frills warehouse-type facilities stocked wth a

large variety of products packaged in large quantities and sold at lower-than-
retail prices
Specialty Retailers
Specialize in a specific category of products. Toys ‘R’ Us, Victoria's Secret, and
Nike are examples of specialty retailers.
Convenience Retailer
Usually part of a retail location which sells gasoline primarily, but also sell a
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limited range of grocery merchandise and auto care products at a premium

"convenience" price from a brick-and-mortar store
Discount Retailer – Sell a wide variety of products are often private labeled or
generic brands at below-retail prices, Discount retailers like Family Dollar,
Dollar General , and Big Lots will often source closeout and discontinued
merchandise at lower-than-wholesale prices and pass the savings onto their
customers.
Mobile Retailer - Uses a smart phone platform to process retail transactions and
then ships the products that were purchased directly to the customer.
Internet E-Tailer –Sell from an Internet shopping website and ship the
purchases directly to customers at their homes or workplaces and without all the
expenses of a traditional brick-and-mortar retailer, usually sell merchandise for a
lower-than-retail price
Chapter 10: FOREIGN TRADE
LIST OF TOPICS
1. Definition of export
2. Export procedure
3. Documents used in export trade
4. Definition of import
5. Import procedure
6. Documents used in import trade
7. Advantages and disadvantages of international t
Topic 1: Definition of Export.
Q.no-1 Define Export? (short question of exams)
Definition of Export
“An export is a function of international trade whereby goods produced in one
country are shipped to another country for future sale or trade. The sale of such
goods adds to the producing nation's gross output. If used for trade, exports are
exchanged for other products or services in other countries”.
Topic 2: Export procedure.
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Q.no-1 Describe the export procedure in detail? (long question of exams)
Basic Export Procedures
1. Market Research and Setting Objectives of Distribution

A-Selecting target markets, methods of exportation and channels
B-Setting foreign market objectives on pricing and terms
2. Trade Regulations
A-Export regulations and requirements
B-Overseas import regulations and requirements
C-Patent, trademark and copyright
3. Making Contacts
A-Enquiries from interested overseas buyers
B-Checking buyer's background from ECIC and / or banks
4. Quotation and Terms

A-Making offers and quotation for potential buyers
B-Costs, quotations and pro forma invoices, and terms of sale
5. Sales Contract
Confirming the sales contract and terms of transaction such as payment terms
6. Contract Execution
A-Producing or sourcing goods
B-Packing and labelling
C-Arranging shipment
D-Preparing exports documentation
E-Arranging insurance, if necessary
7. Customs Clearance
Arranging export declaration and applying for export licence when necessary
8. Getting Paid
Subject to the payment terms specified in the sales contract, the exporter should
present the required documents to the relevant parties for payment
Topic 3: Documents used in Export Trade.
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Q.no-1 List the documents use in export trade? (short and long both
question of exams)
DOCUMENTATION Exporters should seriously consider having the freight

forwarder handle the formidable amount of documentation that exporting
requires; freight forwarders are specialists in this process. The following
documents are commonly used in exporting; which of them are actually used in
each case depends on the requirements of both our government and the
government of the importing country.
1- Commercial invoice. As in a domestic transaction, the commercial invoice is

a bill for the goods from the buyer to the seller. A commercial invoice should
include basic information about the transaction, including a description of the
goods, the address of the shipper and seller, and the delivery and payment terms.
The buyer needs the invoice to prove ownership and to arrange payment. Some
governments use the commercial invoice to assess customs duties.
2- Bill of lading. Bills of lading are contracts between the owner of the goods
and the carrier (as with domestic shipments). There are two types. A straight bill
of lading is nonnegotiable. A negotiable or shipper's order bill of lading can be
bought, sold, or traded while goods are in transit and is used for letter-of-credit
transactions. The customer usually needs the original or a copy as proof of
ownership to take possession of the goods.
3- Consular invoice. Certain nations require a consular invoice, which is used to

control and identify goods. The invoice must be purchased from the consulate of
the country to which the goods are being shipped and usually must be prepared in
the language of that country.
4- Certificate of origin. Certain nations require a signed statement as to the

origin of the export item. Such certificates are usually obtained through a
semiofficial organization such as a local chamber of commerce. A certificate may
be required even though the commercial invoice contains the information.
5- Inspection certification. Some purchasers and countries may require a

certificate of inspection attesting to the specifications of the goods shipped,
usually performed by a third party. Inspection certificates are often obtained from
independent testing organizations.
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7- Dock receipt and warehouse receipt. These receipts are used to transfer
accountability when the export item is moved by the domestic carrier to the port
of embarkation and left with the international carrier for export.
8- Destination control statement. This statement appears on the commercial

invoice, ocean or air waybill of lading, and SED to notify the carrier and all
foreign parties that the item may be exported only to certain destinations.
9- Insurance certificate. If the seller provides insurance, the insurance

certificate states the type and amount of coverage. This instrument is negotiable.
10- Export license. (when needed).
11- Export packing list. Considerably more detailed and informative than a
standard domestic packing list, an export packing list itemizes the material in
each individual package and indicates the type of package: box, crate, drum,
carton, and so on. It shows the individual net, legal, tare, and gross weights and
measurements for each package . Package markings should be shown along with
the shipper's and buyer's references. The packing list should be attached to the
outside of a package in a waterproof envelope marked "packing list enclosed."
The list is used by the shipper or forwarding agent to determine (1) the total
shipment weight and volume and (2) whether the correct cargo is being shipped.
In addition, customs officials (both local and foreign) may use the list to check
the cargo.
Documentation must be precise. Slight discrepancies or omissions may prevent

merchandise from being exported, result in exporting firms not getting paid, or
even result in the seizure of the exporter's goods by local or foreign government
customs. Collection documents are subject to precise time limits and may not be
honored by a bank if out of date. Much of the documentation is routine for
freight forwarders or customs brokers acting on the firm's behalf, but the exporter
is ultimately responsible for the accuracy of the documentation.
The number of documents the exporter must deal with varies depending on the
destination of the shipment. Because each country has different import
regulations, the exporter must be careful to provide proper documentation. If the
exporter does not rely on the services of a freight forwarder, there are several
methods of obtaining information on foreign import restrictions:
 Foreign government embassies and consulates can often provide

information on import regulations.
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 The Air Cargo Tariff Guidebook lists country-by-country regulations

affecting air shipments. Other information includes tariff rules and rates,
transportation charges, air waybill information, and special carrier
regulations. Contact the Air Cargo Tariff, P.O. Box 7627, 1117 ZJ Schiphol
Airport, Netherlands.
 The National Council on International Trade Documentation (NCITD)
provides several low-cost publications that contain information on specific
documentation commonly used in international trade. NCITD provides a
free listing of its publications. Contact National Council on International
Trade Documentation, 350 Broadway, Suite 1200, New York, NY 10013;
telephone 212-925-1400.
12-SHIPPING.The handling of transportation is similar for domestic orders and

export orders. The export marks should be added to the standard information
shown on a domestic bill of lading and should show the name of the exporting
carrier and the latest allowed arrival date at the port of export. The exporter
should also include instructions for the inland carrier to notify the international
freight forwarder by telephone on arrival.
International shipments are increasingly being made on a through bill of lading

under a multimodal contract. The multimodal transport operator (frequently one
of the modal carriers) takes charge of and responsibility for the entire movement
from factory to the final destination.
When determining the method of international shipping, the exporter may find it
useful to consult with a freight forwarder.
13-INSURANCE.Export shipments are usually insured against loss, damage,

and delay in transit by cargo insurance. For international shipments, the carrier's
liability is frequently limited by international agreements and the coverage is
substantially different from domestic coverage. Arrangements for cargo
insurance may be made by either the buyer or the seller, depending on the terms
of sale. Exporters are advised to consult with international insurance carriers or
freight forwarders for more information.
Principal Documents include:

 Commercial Invoice (and the invoice prescribed by the importer)
 Packing list.
 Certificate of Inspection.
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 Certificate of Insurance/Insurance Policy.

 Bill of Lading/Airway bill/Combined Transport Documents.
 Certificate of Origin.
 Bill of Exchange.
 Shipment Advice.
Topic 4: Definition of Import.
Q.no-1 Define Import? (short question of exams)
Definition
“Imports are foreign goods and services bought by residents of a country.
Residents include citizens, businesses and the government. It doesn't matter what
the imports are or how they are sent. They can be shipped, sent by email or even
hand-carried in personal luggage on a plane. If they are produced in a foreign
country and sold to domestic residents, they are imports. Even tourism products
and services are import”.
Topic 5: Import procedure.
Q.no-1 Describe the Import procedure in detail? (short and long both
question of exams)
Basic Import Procedures

1. Setting Market Objectives
Setting market objectives on pricing and terms
2. Sourcing Products
A-Identifying potential suppliers
B-Sourcing channels of distribution
3. Trade Regulations
A-Import regulations and requirements,
B-And checking whether import licence is required
C-Patent, trademark and copyright
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4. Making Contacts
Sending enquiries to suitable suppliers
5. Settling Quotation and Terms

A-Analysing the supplier's quotation and offers
B-Costs and terms of sale\
6. Financing the Purchase

A-Preparing for working capital
B-Types of bank financing and application, such as exporter credit or other bank
facilities
7. Sales Contract
Confirming the sales contract and terms of transaction such as payment terms
8. Preparing Payment and Insurance

A-Preparing payments and insurance specified in sales contract (eg. when
payment term is D/C, submit D/C application to the issuing bank; when trade
term is FOB, arrange cover note with an insurance company)
B-Preparing insurance, cover note, when necessary
9. Acquiring Goods
A-Receiving shipping advice and arrival notice
B-Receiving export documents from the exporter
C-Collecting goods from the specified shipping company or forwarder
10. Customs Clearance
Arranging customs clearance and import declaration
Topic 6: Documents used in Import Trade.
Q.no-1 List the documents used in Import procedure? (short and long both
question of exams)
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Some of the most important documents used in import trade are as follows: (1)
Indent (2) Bill of Lading (3) Bill of Entry (4) Letter of Credit (5) Bill of Sight (6)
Dock Challan (7) Dock Warrant.
There are many documents used in import trade which have already been
discussed in the Import Procedure.
To name a few, the most important documents used in import trade are:
(1) Indent:
An indent is an order placed by an importer with the exporter for the supply of
certain goods. It is usually prepared in duplicate or triplicate. The indent may be
of several types like open indent, closed indent and confirmatory indent.
An indent contains the following information:
(a) Quantity of goods to be imported
(b) Quality of goods
(c) Method of forwarding the goods
(d) Nature of packing
(e) Mode of setting payment
(f) Price to be charged
(g) Sale of delivery
(2) Bill of Lading:

It is an acknowledgement of receipt of goods on board of the ship. It contains
terms and conditions on which the goods are to be taken to the port of
destination. The exporter sends one copy of bill of lading to the importer
enabling him to clear the goods from the ship.
(3) Bill of Entry:

This is a form supplied by the custom office to the importer and is to be filled in
triplicate.
The bill of entry contains following particulars:
(a) Name and address of the importer
ADVERTISEMENTS:
(b) Name of the ship
(c) Package number
(d) Marks on the package
(e) Description of goods
(f) Quantity and value of goods
(g) Name, address and country of the exporter
(h) Port of destination
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(i) Custom duty payable
(4) Letter of Credit:

A letter of credit, popularly known as ‘L/C or ‘L.C:’ is an undertaking by the
issuer (usually importer’s bank) that the bills of exchange drawn by the foreign
dealer on the importer will he honoured on presentation up to a specified amount.
Letter of credit is needed because exporter wants to be sure that payments will be
made as agreed by the importer.
(5) Bill of Sight:

If the importer is not in a position to supply the detailed particulars of goods
because of insufficient information supplied by the exporter, he (importer) has to
prepare a statement called ‘bill of sight’. The bill of sight contains only the
information possessed by the importer along-with a remark that he is not in a
position to give complete information about the goods. The bill of sight enables
him to open the package and examine the goods in the presence of custom officer
so as to complete the bill of entry.
(6) Dock Challan:

It is a form to be filled by the importer or his clearing agent in the dock for
payment of dock charges. Dock charges are paid when all the formalities of the
customs are completed. The goods imported will be delivered only when dock
charges are paid.
(7) Dock Warrant:

This is document issued by Warehouse keepers to the persons who have
deposited the goods with them.
Principle documents include in import.
1- Bill of Entry.
2- Commercial Invoice.
3- Bill of Lading / Airway bill.
4- Import License.
5- Insurance certificate.
6- Purchase order/Letter of Credit.
7- Technical write up, literature etc.
Topic 7: Advantages and Disadvantages of international trade.

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Q.no-1 Write down the advantages and disadvantages of international

trade? (short and long both question of exams)
Advantages of International Trade:
(1) Optimal use of natural resources.

International trade helps each country to make optimum use of its natural
resources. Each country can concentrate on production of those goods for which
its resources are best suited. Wastage of resources is avoided.
(2) Availability of all types of goods.

It enables a country to obtain goods which it cannot produce or which it is not
producing due to higher costs, by importing from other countries at lower costs.
(3) Specialisation.
Foreign trade leads to specialisation and encourages production of different
goods in different countries. Goods can be produced at a comparatively low cost
due to advantages of division of labour.
(4) Advantages of large-scale production.

Due to international trade, goods are produced not only for home consumption
but for export to other countries also. Nations of the world can dispose of goods
which they have in surplus in the international markets. This leads to production
at large scale and the advantages of large scale production can be obtained by all
the countries of the world.
(5) Stability in prices.

International trade irons out wild fluctuations in prices. It equalizes the prices of
goods throughout the world (ignoring cost of transportation, etc.)
(6) Exchange of technical know-how and establishment of new industries.

Underdeveloped countries can establish and develop new industries with the
machinery, equipment and technical know-how imported from developed
countries. This helps in the development of these countries and the economy of
the world at large.
(7) Increase in efficiency.
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Due to international competition, the producers in a country attempt to produce

better quality goods and at the minimum possible cost. This increases the
efficiency and benefits to the consumers all over the world.
(8) Development of the means of transport and communication.

International trade requires the best means of transport and communication. For
the advantages of international trade, development in the means of transport and
communication is also made possible.
(9) International co-operation and understanding.

The people of different countries come in contact with each other. Commercial
intercourse amongst nations of the world encourages exchange of ideas and
culture. It creates co-operation, understanding, cordial relations amongst various
nations.
(10) Ability to face natural calamities.

Natural calamities such as drought, floods, famine, earthquake etc., affect the
production of a country adversely. Deficiency in the supply of goods at the time
of such natural calamities can be met by imports from other countries.
(11) Other advantages.

International trade helps in many other ways such as benefits to consumers,
international peace and better standard of living.
Disadvantages of International Trade:

Though foreign trade has many advantages, its dangers or disadvantages should
not be ignored.
(1) Impediment in the Development of Home Industries.

International trade has an adverse effect on the development of home industries.
It poses a threat to the survival of infant industries at home. Due to foreign
competition and unrestricted imports, the upcoming industries in the country may
collapse.
(2) Economic Dependence.

The underdeveloped countries have to depend upon the developed ones for their
economic development. Such reliance often leads to economic exploitation. For
instance, most of the underdeveloped countries in Africa and Asia have been
exploited by European countries.
(3) Political Dependence.

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International trade often encourages subjugation and slavery. It impairs economic

independence which endangers political dependence.
(4) Mis-utilisation of Natural Resources.

Excessive exports may exhaust the natural resources of a country in a shorter
span of time than it would have been otherwise. This will cause economic
downfall of the country in the long run.
(5) Import of Harmful Goods.

Import of spurious drugs, luxury articles, etc. adversely affects the economy and
well-being of the people.
(6) Storage of Goods.

Sometimes the essential commodities required in a country and in short supply
are also exported to earn foreign exchange. This results in shortage of these
goods at home and causes inflation. For example, India has been exporting sugar
to earn foreign trade exchange; hence the exalting prices of sugar in the country.
(7) Danger to International Peace.

International trade gives an opportunity to foreign agents to settle down in the
country which ultimately endangers its internal peace.
CHAPTER 11: EXPORT PROMOTION BUREAU

LIST OF TOPICS
1. Definition of export promotion bureau
2. Objectives of export promotion bureau
3. Services to exporters give by EPB
Topic 1: Definition of Export promotion bureau.
Q.no-1 Define export promotion bureau? (short and long question both of
exams)
Definition of Export promotion bureau.

Export promotion has been defined as “those public policy measures which
actually or potentially enhance exporting activity at the company, industry, or
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national level”. Although many forces determine the international flow of goods
and services, export promotion is one of the principal opportunities that
governments have to influence the volume and types of goods and services
exported from their areas of jurisdiction.
Topic 2: Objectives of Export promotion bureau.
Q.no-1 Write down the objectives of export promotion bureau? (short and
long both question of exams)
Objectives of Export promotion bureau.

(a) To suggest to the Government measures designed to provide efficient,
adequate, economic and co-ordinated plans and policies for promotion of exports
from the country by both private and public sectors.
(b) To explore and examine the potentials of export-oriented products within the
country and help ensure quality control of all exporters.
(c) To co-ordinate the export efforts of various private and public sector
organizations within the country and provide necessary advice,
(d) Organize and arrange participation in industrial, trade and export fairs and
exhibitions abroad.
(e) Organize trade and export fairs within the country.
(f) Appoint such committee or committees as it think fit to assist it in the
formulation of policies and programs and for efficient and expeditious execution
of those policies and programs.
(i) Provide for training, studies, surveys, experiments or technical research; or
contribute towards the costs of any such studies.
Topic 3: Services to exporter give by EPB.
Q.no-1 Write down the services of exporter give by EPB? (short and long
both question of exams)
Following are the main services give by export promotion bureau to its exporters.
1. International Market Linkages
2. Product Promotions
3. Custom clearance guideline
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CHAPTER 12: CHAMBER OF COMMERCE

LIST OF TOPICS
1. Definition of chamber of commerce
2. Function of chamber of commerce
Topic 1: Definition of Chamber of commerce.
Q.no-1 Define Chamber of commerce? (short and long both question of

exams)
Definition of Chamber of commerce.

“A chamber of commerce is an association of businessmen and businesswomen
designed to promote and protect the interests of its members. There is a national
Chamber of Commerce, as well as numerous state and local chambers. Among
the benefits members receive are deals and discounts from other chamber
members, listing in a member directory and a variety of other programs and
services designed to promote business activity in a region”.
Topic 2: Function of Chamber of commerce.
Q.no-1 Write down the function of chamber of commerce? (short and long
both question of exams)
Function of Chamber of commerce.

The Chamber of Commerce functions through the working committees of the
organization. Money, planning, inspiration, and guidance are useless unless the
members work vigorously on the committee of their choice.
The goal of the Program of Work is always to create more dollars for more
people and to improve the economic welfare of the community.
Every member has a voice in determining the policies and projects and every
member is needed to work on active committees to get the job done.
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CHAPTER 13: ADVERTISING

LIST OF TOPICS
1. Definition of advertising
Topic 1: Definition of Advertising.
Q.no-1 Define Advertising? (short question of exams)
Definition:
“Advertising is a means of communication with the users of a product or

service. Advertisements are messages paid for by those who send them and are
intended to inform or influence people who receive them, as defined by the
Advertising Association of the UK”.
Advertising is always present, though people may not be aware of it. In today's
world, advertising uses every possible media to get its message through. It does
this via television, print (newspapers, magazines, journals etc), radio, press,
internet, direct selling, hoardings, mailers, contests, sponsorships, posters,
clothes, events, colours, sounds, visuals and even people (endorsements).
CHAPTER 14: INSURANCE

LIST OF TOPIC
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1. Definition of insurance
2. Insurance and its Importance
3. Types of insurance
Topic 1: Definition of Insurance.
Q.no-1 Define Insurance? (short question of exams)
Definition of Insurance.
“Insurance is a contract, represented by a policy, in which an individual or entity
receives financial protection or reimbursement against losses from an insurance
company. The company pools clients' risks to make payments more affordable
for the insured”.
Insurance policies are used to hedge against the risk of financial losses, both big
and small, that may result from damage to the insured or her property, or from
liability for damage or injury caused to a third party
Topic 2: Insurance and its importance.
Q.no-1 Write down the importance of insurance? (short question of exams)
The following point shows the role and importance of insurance:
Insurance has evolved as a process of safeguarding the interest of people from

loss and uncertainty. It may be described as a social device to reduce or eliminate
risk of loss to life and property. The insurance industries develop financial
institutions and reduce uncertainties by improving financial resources.
1. Provide safety and security.

Insurance provide financial support and reduce uncertainties in business and
human life. It provides safety and security against particular event. There is
always a fear of sudden loss. Insurance provides a cover against any sudden loss.
For example, in case of life insurance financial assistance is provided to the
family of the insured on his death. In case of other insurance security is provided
against the loss due to fire, marine, accidents etc.
2.Generates financial resources.

Insurance generate funds by collecting premium. These funds are invested in
government securities and stock. These funds are gainfully employed in
industrial development of a country for generating more funds and utilised for
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the economic development of the country. Employment opportunities are

increased by big investments leading to capital formation.
3.Life insurance encourages savings.

Insurance does not only protect against risks and uncertainties, but also provides
an investment channel too. Life insurance enables systematic savings due to
payment of regular premium. Life insurance provides a mode of investment. It
develops a habit of saving money by paying premium. The insured get the lump
sum amount at the maturity of the contract. Thus life insurance encourages
savings.
4.Promotes economic growth.

Insurance generates significant impact on the economy by mobilizing domestic
savings. Insurance turn accumulated capital into productive investments.
Insurance enables to mitigate loss, financial stability and promotes trade and
commerce activities those results into economic growth and development. Thus,
insurance plays a crucial role in sustainable growth of an economy.
5.Medical support.
A medical insurance considered essential in managing risk in health. Anyone can
be a victim of critical illness unexpectedly. And rising medical expense is of
great concern. Medical Insurance is one of the insurance policies that cater for
different type of health risks. The insured gets a medical support in case of
medical insurance policy.
6. Spreading of risk.
Insurance facilitates spreading of risk from the insured to the insurer. The basic
principle of insurance is to spread risk among a large number of people. A large
number of persons get insurance policies and pay premium to the insurer.
Whenever a loss occurs, it is compensated out of funds of the insurer.
7.Source of collecting funds.

Large funds are collected by the way of premium. These funds are utilised in the
industrial development of a country, which accelerates the economic growth.
Employment opportunities are increased by such big investments. Thus,
insurance has become an important source of capital formation.
Topic 3: Types of insurance.
Q.no-1 Write about the main types of insurance? (short question of exams)
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Types of insurance.
From the day an entrepreneur starts a business, he exposes himself to certain
risks. Even before the first employee is hired, a business is at risk, making it
important to have the right insurance in place. One lawsuit or catastrophic event
could be enough to wipe out a small business before it even has a chance to get
off the ground.
Fortunately, businesses have access to a wide range of insurance types to protect
them against these dangers. Here are some insurance types that a business must
have in place as soon as possible.
1. Professional liability insurance.
Professional liability insurance, also known as errors and omissions (E&O)

insurance, covers a business against negligence claims due to harm that results
from mistakes or failure to perform. There is no one-size-fits-all policy for
professional liability insurance. Each industry has its own set of concerns that
will be addressed in a customized policy written for a business.
2. Property insurance.
Whether a business owns or leases its space, property insurance is a must. This
insurance covers equipment, signage, inventory and furniture in the event of a
fire, storm or theft. However, mass-destruction events like floods and
earthquakes are generally not covered under standard property insurance policies.
If your area is prone to these issues, check with your insurer to price a separate
policy.
3. Workers’ compensation insurance.

Once the first employee has been hired, workers’ compensation insurance should
be added to a business’s insurance policy. This will cover medical treatment,
disability and death benefits in the event an employee is injured or dies as a result
of his work with that business. Even if employees are performing seemingly low-
risk work, slip-and-fall injuries or medical conditions such as carpal tunnel
syndrome could result in a pricey claim.
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4. Home-based businesses.
Many professionals begin their small businesses in their own homes.
Unfortunately, homeowner’s policies don’t cover home-based businesses in the
way commercial property insurance does. If you’re operating your business out
of your home, ask your insurer for additional insurance to cover your equipment
and inventory in the event of a problem.
5. Product liability insurance.

If your business manufactures products for sale on the general market, product
liability insurance is a must. Even a business that takes every measure possible to
make sure its products are safe can find itself named in a lawsuit due to damages
caused by one of its products. Product liability insurance works to protect a
business in such a case, with coverage available to be tailored specifically to a
specific type of product.
6. Vehicle insurance.
If company vehicles will be used, those vehicles should be fully insured to
protect businesses against liability if an accident should occur. At the very least,
businesses should insure against third-party injury, but comprehensive insurance
will cover that vehicle in an accident, as well. If employees are using their own
cars for business, their own personal insurance will cover them in the event of an
accident. One major exception to this is if they are delivering goods or services
for a fee. This includes delivery personnel.
7. Business interruption insurance.

If a disaster or catastrophic event does occur, a business’s operations will likely
be interrupted. During this time, your business will suffer from lost income due
to your staff’s inability to work in the office, manufacture products or make sales
calls.
CHAPTER 15: TRANSPORTATION AND

WARE HOUSING
LIST OF TOPIC
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1. Definition of transportation
2. Channels of transportation
3. Definition of Ware housing
4. Objectives of ware housing
Topic 1: Definition of Transportation.
Q.no-1 Define Transportation? (short question of exams)
Definition of Transportation
Transport or transportation is the movement of people, animals and goods from
one location to another. Modes of transport include air, rail, road, water, cable,
pipeline and space. The field can be divided into infrastructure, vehicles and
operations.
Topic 2: Channels of Transportation.
Q.no-1 Write about the Channels of transportation? (short question of

exams)
Channels of Transportation
Air Transport
Air transportation offers the advantage of speed and can be used for long-
distance transport. However, air is also the most expensive means of
transportation; it is generally used only for smaller items of relatively high
value—such as electronic equipment—and items for which the speed of arrival is
important—such as perishable goods. Air transport is centralized at airports; the
lack of landing sites, even for helicopters, makes air transport a hub-to-hub
method.
Railways
The rail transportation network are ideally suited for shipping bulk products and
can be adapted to meet specific product needs through the use of specialized
cars—i.e., tankers for liquids, refrigerated cars for perishables, and cars fitted
with ramps for automobiles. Roughly two-thirds of all freight moved by rail
consists of coal shipments in dedicated trains that run from points of coal mining
to electric utilities that burn the coal.
Rail transportation is typically used for long-distance shipping. Less expensive
than air transportation, it offers about the same delivery speed as trucks over long
distances and exceeds transport speeds via marine waterways. In fact,
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deregulation and the introduction of freight cars with larger carrying capacities
has enabled rail carriers to make inroads in several areas previously dominated
by motor carriers. But access to the rail network remains a problem for many
businesses.
Motor Carriers
Unless a business is located directly at a sea or river port or is served by a
railroad siding, it is going to receive its inputs, and ship its products, using truck
transportation over the highway network. Transport systems designed around
trucks are the most flexible—because a mix of small and large equipment can be
readily assembled and deployed and because all points are accessible to trucks.
For this reason, by the last quarter of the 20th century, trucking became the
dominant mode of transportation. The chief limitations of transport by motor
carrier is that large bulk shipments of commodities are expensive to move
because, in effect, each railcar equivalent of load requires its own engine and
driver. Commodity movements by truck are therefore very limited.
Water Transport
Water transportation is the least expensive and slowest mode of freight transport.
It is generally used to transport heavy products over long distances when speed is
not an issue. Although accessibility is a problem with ships—because they are
necessarily limited to coastal area or major inland waterways—piggybacking is
possible using either trucks or rail cars. However, industry observers note that
port terminal accessibility to land-based modes of transportations is lacking in
many regions. The main advantage of water transportation is that it can move
products all over the world.
Pipelines
Pipelines are used predominantly to transport natural gas and oil. To move such
materials long distances in pipes, booster stations must be built at intervals which
receive the gas, recompress it, and push it back into the pipeline or receive the
liquid and pump it on its way under higher pressure. Chemicals and slurries (e.g.,
powdered coal in water) can also be transported in pipelines. The most extensive
network consists of natural gas pipelines, comprising around 276,000 miles of
transmission lines from which around 920,000 miles of distribution lines carry
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gas to users. In its overall freight statistics, the DOT includes only petroleum
shipments by pipeline.
Topic 3: Definition of Ware Housing.
Q.no-1 Define Ware Housing? (short question of exams)
Definition of Ware Housing

“A warehouse is a commercial building for storage of goods. Warehouses are
used by manufacturers, importers, exporters, wholesalers, transport businesses,
customs, etc. They are usually large plain buildings in industrial areas of cities,
towns and villages”.
Topic 4: Objectives of Ware Housing.
Q.no-1 Write about the objectives of Ware Housing? (short question of

exams)
The basic objective of Ware housing

1. Receiving
2. Identification and sorting
3. Dispatching to storage
4. Placing in storage
5. Storage
6. Retrieval from storage
7. Order accumulation
8. Packing
10. Shipping
11. Record keeping
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CHAPTER 16: CONSUMER AND BUSINESS FINANCE

LIST OF TOPIC
1. Consumer finance
2. Business finance
3. Kinds of business finance
4. Short term finance
5. Medium term finance
6. Long term finance
Topic 1: Consumer Finance.
Q.no-1 Define Consumer Finance? (short question of exams)
Consumer Finance.
“The term consumer finance refers to the activities involved
In granting credit to consumers to enable them to posses Goods meant for
everyday use”.
In other words, ”Business procedure through which the consumers purchase semi
durable and durable goods other than real estate in order to obtain a series
payments extending over a period of 3months to 5 years”.
Topic 2: Business Finance.
Q.no-1 Define Business Finance? (short question of exams)
Business Finance.
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“Business finance is a term that encompasses a wide range of activities and

disciplines revolving around the management of money and other valuable
assets”.
Business finance programs in universities familiarize students with accounting
methodologies, investing strategies and effective debt management.
Topic 3: Kinds of Business Finance.
Q.no-1 What are the main Kinds of Business Finance? (short question of
exams)
Kinds of Business Finance All businesses require an adequate finance. They

need money for investment in fixed asset such as land, building, machinery etc.
Once business is in operation, money is needed for Working Capital, such as
purchase of raw material, payment of wages, utility bills etc. A going concern
also requires extra capital to cover a temporary cash flow crisis, or purchase new
improved machinery or simply to expand the business. The financial
requirements of a business, on the basis of time duration, are usually classified
under three heads which are as follow:-
1. Short Term Finance

2. Medium Term Finance
3. Long Term Finance
Topic 4: Short Term Finance.
Q.no-1 What is Short Term Finance? (short question of exams)
Short Term Finance
Short term Sources of finance is defined as money raises for Investment in

business for a period of less than one year, it is also named as working capital or
circulating capital or revolving capital.
The purpose and amount of obtaining short term capital varies with the nature
and size of the business. Generally the short term capital is required for meeting
the day to day expenses of business such as payment of utility bills, wages to the
workers, unforeseen expenses, seasonal upswings in business, increasing
inventories raw material, work in progress and finished goods etc.
The various sources of short term finance are as under:-

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 Trade creditor open book account

 Advance from customers
 Installment credit
 Bank Overdraft
 Cash credit
 Discounting bills
 Against bill of lading
Topic 5: Medium Term Finance
Q.no-1 Write about the concepts of Medium Term Finance? (short question
of exams)
Medium Term Finance Medium term sources of finance are required for
investment in business for a medium period which normally ranges from one to
five years. The medium term funds are required generally for the repair and
modernization of machinery, renovation of the building, adoption of new
methods of production, carrying advertisement campaign on large scale in
newspapers, television etc. The various sources of medium term finance are as
under:-
 Commercial Banks
 Debentures
 Loans from Specialized Credit Institutions
Topic 6: Long Term Finance
Q.no-1 Write about long Term Finance? (short question of exams)
Long Term Finance Long term sources of finance refer to the funds, which are
required for investment in business for a period exceeding up to five years. It is
also named as long term capital or fixed capital. Long term sources of finance are
mostly required for the purchased of fixed assets, such as land, building,
machinery etc. modernization and expansion of business. The amount of long
term finance varies with the nature of business, size of business, nature of the
product manufactured, the number of goods produced, and the method of
production etc. The various sources of long term finance are as under:-
1-Equity shares
2-Issue of right shares
3-Debentures
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4-Loans from industrial and financial institutions
5-Leasing
6-Ploughing back of profit
CHAPTER 17: CAPITAL, SHARES AND BONDS

Q.no-1 Define the Following. (A) CAPITAL (B) SHARES (C) BONDS?
CAPITAL
Capital refers to financial assets or the financial value of assets, such as funds
held in deposit accounts, as well as the tangible machinery and production
equipment used in environments such as factories and other manufacturing
facilities. Additionally, capital includes facilities, such as the buildings used for
the production and storage of the manufactured goods. Materials used and
consumed as part of the manufacturing process do not qualify.
SHARES
A unit of ownership that represents an equal proportion of a company's capital. It

entitles its holder (the shareholder) to an equal claim on the company's profits
and an equal obligation for the company's debts and losses.
Two major types of shares are (1) ordinary shares (common stock), which entitle
the shareholder to share in the earnings of the company as and when they occur,
and to vote at the company's annual general meetings and other official meetings,
and (2) preference shares (preferred stock) which entitle the shareholder to a
fixed periodic income (interest) but generally do not give him or her voting
rights.
BONDS
A bond, also known as a fixed-income security, is a debt instrument created for
the purpose of raising capital. They are essentially loan agreements between the
bond issuer and an investor, in which the bond issuer is obligated to pay a
specified amount of money at specified future dates.
CHAPTER 18: LABOUR AND TIME SAVING DEVICE
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Q.no-1 What is Labour Saving Device? Write down its importance? (short
question of exams)
Labour Saving Devices
Changes in social and economic conditions in the last few years have resulted in
changed responsibilities for both the gainfully employed and full time in
business. Normally the business persons spend much of their time in their
business. It will be helpful if they can save steps, energy, money and time in
several ways in the business. Labour saving devices both electrical and non-
electrical are increasingly utilized by the business at present. These tools and
electronic devices have become part and parcel of the business because of the
comforts they yield. Adjusting the organization workload at business and outside
the business necessitates the use of tools and electronic devices for carrying out
the organizational activities.
Labour saving devices are the tools and appliances used to save both time and
energy of the homemaker.
In agriculture, food and textile production has increased significantly since the
invention of mechanical seed spreaders, harvesters and looms. For example, in
the 1940s, a mechanical cotton picker was invented that could replace 50 farm
workers.
The industrial revolution created a mindset that if a labor-intensive task existed, a
device could and should be invented to replace the organic element, whether a
human or another animal. Cars and tractors replaced horses and oxen. After
factories became commonplace, people began looking for ways to automate
household tasks such as laundry, cleaning and cooking. The first washing
machines and vacuum cleaners made doing laundry and cleaning floors faster
and easier for housewives and servants.
The construction industry has benefited from bulldozers, backhoes, drills, cranes
and power tools. On small and large projects, the time saved by using hydraulic
equipment compared to using manual power and hand tools is dramatic.
Labor-saving devices have revolutionized the world by increasing productivity
and even by making some activities obsolete. People are still discovering with
varying degrees of success, gadgets and gizmos to reduce or eliminate work.
Probably the most significant labor-saving device ever invented is the computer
because of its omnipresence in modern tools and equipment.
Uses of Labour Saving Devices
1. It reduces time and energy thereby reducing the drudgery of the

organization.
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2. It improves the quality of the work being done.

3. More work can be done within the same time.
4. A high standard of sanitation and varied menus are possible.
5. The dependence of the extra employment and labours.
6. It gives chances to the families to enjoy their leisure time activities.
7. The possession of Labour saving devices give prestige value.
Selection of Labour Saving Devices
The efficiency and use of a labour saving device includes the correct selection,
operation and care of appliances so that the organizations may accomplish
maximum amount of work with the minimum efforts, in the shortest possible
time. There are a number of appliances available in the market. The criteria for
selection of one equipment vary from the other. But in general the factors to be
considered in the selection of equipment are as follows.
1. The needs of the business workers.

2. The cost of the equipment.
3. The usefulness of the equipment.
4. Quality.
5. Durability
6. business size and type.
7. Guarantee
8. Brand
9. Safety
10. Suitable size and shape.
11. The care required for its maintenance.
12. Availability of spare parts and service facilities.
13. Easy assembling and reassembling of parts while using and cleaning.
14. Storage Space and easy installation.
Use and care of Labour Saving Devices
Modern household use a number of labour saving devices. A knowledge of how

an appliance works is useful as it helps the homemaker to use and take care of it
well. Let us see some of the Labour Saving Devices commonly used by the
organizations and its merits and de-merits.
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CHAPTER 19: COMMERCIAL/BUSINESS

CORRESPONDENCE (THEORY)
LIST OF TOPICS
1. Introduction
2. Uses of business letters
3. Parts of business letter
4. Sketch of a business letter
5. Kinds of business letter
6. Sample of different business letters
Topic 1: Introduction.
A business letter is usually a letter from one company to another, or between

such organizations and their customers, clients and other external parties. The
overall style of letter depends on the relationship between the parties concerned.
Topic 2: Uses of business letters.
Q.no-1 Write about the main Uses of Business Letters? (Short question of
exams)
Uses of business letters

Business letters can be written to employees or managers, as well as clients and
prospective customers. The business letter is a formal type of communication
that is usually typed on 8 1/2 by 11-inch white stationery paper. Business letters
must be targeted to a specific individual or group, have a clear and concise
purpose, be convincing and end with a specific objective, like a meeting date.
Topic 3: Parts of an business letter.
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Q.no-1 What are the main parts of Business Letters? Describe in detail?
A business letter is a formal letter with six parts:
The Heading
The heading contains the return address with the date on the last line. Sometimes
it is necessary to include a line before the date with a phone number, fax number,
or e-mail address. Often there is a line skipped between the address and the date.
It is not necessary to type a return address if you are using stationery with the
return address already imprinted, but you should always use a date. Make sure
the heading is on the left margin.
Example:
Ms. Jane Doe
543 Washington St
Marquette, MI 49855
Tel:
Fax:
Email:
June 28, 2011
Recipient’s Address
This is the address you are sending your letter to. Be sure to make it as complete
as possible so it gets to its destination. Always include title names (such as Dr.) if
you know them. This is, like the other address, on the left margin. If a standard 8
½” x 11” paper is folded in thirds to fit in a standard 9” business envelope, the
inside address should appear through the window in the envelope (if there is
one). Be sure to skip a line after the heading and before the recipient’s address,
then skip another line after the inside address before the greeting. For an
example, see the end of this sheet for a sample letter.
The Salutation
The salutation (or greeting) in a business letter is always formal. It often begins
with “Dear {Person’s name}.” Once again, be sure to include the person’s title if
you know it (such as Ms., Mrs., Mr., or Dr). If you’re unsure about the person’s
title then just use their first name. For example, you would use only the person’s
first name if the person you are writing to is “Jordan” and you’re not sure if he or
she is male or female.
The salutation always ends with a colon.
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The Body
The body is the meat of your letter. For block and modified block letter formats,
single space and left justify each paragraph. Be sure to leave a blank line between
each paragraph, however, no matter the format. Be sure to also skip a line
between the salutation and the body, as well as the body and the close.
The Complimentary Close

The complimentary close is a short and polite remark that ends your letter. The
close begins at the same justification as your date and one line after the last body
paragraph. Capitalize the first word of your closing (Thank you) and leave four
lines for a signature between the close and the sender’s name. A comma should
follow the closing.
The Signature Line

Skip at least four lines after the close for your signature, and then type out the
name to be signed. This often includes a middle initial, although it is not
required. Women may put their title before had to show how they wish to be
addressed (Ms., Mrs., Miss).
The signature should be in blue or black ink.
Enclosures
If you have any enclosed documents, such as a resume, you can indicate this by
typing “Enclosures” one line below the listing. You also may include the name of
each document.
Format and Font
Many organizations have their own style for writing a business letter, but here
are some common examples.
Block
The most common layout for a business letter is called a block format. In this
format, the entire letter is justified to the left and single spaced except for a
double space between paragraphs.
Modified Block
Modified block is another popular type of business letter. The body of the letter
and the sender’s and recipient’s addresses are left justified and single spaced.
However, in this format, the date and closing are tabbed to the center point.
Semi-Block
The least used style is called a semi-block. In it each paragraph is indented
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instead of left justified.
Font
The standard font for business letters is Times New Roman, size 12. However,
fonts that are clear to read such as Arial may be used.
Topic 4: Sketch of a Business letter.
Q.no-1 Draw a Sketch of Business letters? (short and long both question of
exams)
Full Block Format Business Letter Template

Your Name
Address
Address
Phone
Today’s Date
Recipient’s Name
Company
Address
Address
Address
Dear (Recipient’s Name),
This block format business letter template illustrates how quick and easy
communications can be to type. Notice that it looks very much like the semi-
block letter format, except the paragraphs are not indented. This is a format you
can use for all business occasions.
Notice that all elements in this letter are left justified. This formatting provides a
crisp, modern look that many people prefer.
If you have any enclosures to include in this letter, make a note at the bottom left,
a few spaces below the signature block. Just write “enclosures:” and follow up
with the names of any items inside the envelope. A brochure, an application, or a
copy of an invoice are some of the things you might think about including.
Sincerely,
Your First name, Last name, and Title
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Modified Block Format

Modified block style business letters are less formal than full block style letters.
If you are corresponding with someone you already have a good working
relationship with, the modified block style letter is a good one to use.
Notice that the following business letter format is written without indents. If you
prefer to use indents, try using the semi-block or modified semi-block format
instead.
Modified Block Format Business Letter Template

Your Name
Address
Address
Phone
Today’s Date
Recipient’s Name
Company Name
Address
Address
Address
Dear (Recipient’s Name):
This modified block business letter format looks very much like the modified
semi-block letter format, except the paragraphs are not indented. Modified block
letters are just a little less formal than full block letters.
Notice that the sender’s address, the closing, the signature, and the signature
block all start near the center of the page. In some cases, people who prefer to use
this format begin these elements five spaces to the right of the center of the page.
a few spaces below the signature block. Just write “enclosures:” and follow up
with the names of any items inside the envelope. A brochure, an application, or a
copy of an invoice are some of the things you might think about including.
Sincerely,
lOMoARcPSD|35051082
Standard Format
Standard format business letters are quite formal. Because they include an
optional subject line, they are ideal for situations in which you need to create a
formal response or communicate about an account number or case number.
At the bottom of this template, you’ll see something the other business letter
templates don’t contain. Below the signature block are three lines of text
indicating that a secretary or assistant typed the letter for the sender, that a copy
was sent to another recipient, and that there are enclosures. In other business
letter formats, “enclosures” is written out. In standard format, the word is
abbreviated.
Standard Format Business Letter Template

Your Name
Address
Address
Phone
Today’s Date
Recipient’s Name
Company Name
Address
Address
Address
SUBJECT: Type the subject here and underline it.
This standard business letter format looks very much like the block letter format.
Notice that everything is left justified.
You will notice that this template contains some elements that are different from
lOMoARcPSD|35051082
those in the other business letter formats on this page. First, there is a subject
line. This element is optional, and can be replaced with a “RE:” line that is used
to reference something specific like a previous communication or an account
number. Be sure to underline this so that it stands out.
Additionally, this template has three other elements. On the line located beneath
the signature block, you will notice my initials in upper case letters. A colon
separates them from my assistant’s initials, which are written in lower case
letters. This indicates that my assistant typed the letter for me. If you type a
standard business letter yourself, you do not need to include this element.
Beneath the initials, you will see “cc:” followed by my business partner’s name.
This indicates that I have sent a copy of this letter to my partner. If you write a
letter like this one but don’t cc anyone, there’s no need to include this element.
Finally, you will notice the letters “encl” followed by a colon. This indicates that
there are enclosures. Interestingly, the standard business letter is the only one in
which you use “encl” instead of writing “enclosure” to show that a brochure,
application, invoice, or other item(s) are enclosed. As you may have already
guessed, you can skip the “encl” if you haven’t included anything with the letter
in the envelope.
Sincerely,

YN:an
cc: Business Partner, Other entity
encl: Business letter template
Open Format
The open format business letter has a clean, formal look just as the block format
letter does. It is suitable for all business communications.
There is one major difference between this format and the other business letter
formats on this page: It contains no punctuation after the greeting, and no
punctuation after the closing.
Semi-Block Format
The semi-block format business letter is a little less formal than the block format
letter and slightly more formal than the modified block format letter. It works
lOMoARcPSD|35051082
well in almost all situations and is a good choice if you find yourself on the fence
about which format to use.
Semi-block business letters differ from most others in that the first line of each
paragraph is indented. Look at the modified semi-block business letter template
if you’d like to try another format with indentations. It is the least formal of all
the formats shown on this page.
Semi-Block Format Business Letter Template

Your Name
Address
Address
Phone
Today’s Date
Recipient’s Name
Company
Address
Address
Address
This semi-block business letter format looks very much like the block letter
format, except the
paragraphs have been indented. Semi-block format letters are just a little more
formal than modified semi-block business letters.
Notice that the sender’s address, the closing, the signature, and the signature
block are left justified.
The only elements of this business letter format that are not left justified are the
first lines of each of the paragraphs.
a few spaces below
lOMoARcPSD|35051082
the signature block. Just write “enclosures:” and follow up with the names of any
items inside the envelope. A brochure, an application, or a copy of an invoice are
some of the things you might think about including.
Sincerely,
Embed code:
Topic 5: Kinds of business letters.
Q.no-1 What are the main Kinds of Business Letters? (short and long both
question of exams)
The term “business letters” refers to any written communication that begins with
a salutation, ends with a signature and whose contents are professional in nature.
Historically, business letters were sent via postal mail or courier, although the
Internet is rapidly changing the way businesses communicate. There are many
standard types of business letters, and each of them has a specific focus.
Sales Letters
Typical sales letters start off with a very strong statement to capture the interest
of the reader. Since the purpose is to get the reader to do something, these letters
include strong calls to action, detail the benefit to the reader of taking the action
and include information to help the reader to act, such as including a telephone
number or website link.
Order Letters
Order letters are sent by consumers or businesses to a manufacturer, retailer or

wholesaler to order goods or services. These letters must contain specific
information such as model number, name of the product, the quantity desired and
expected price. Payment is sometimes included with the letter.
lOMoARcPSD|35051082
Complaint Letters
The words and tone you choose to use in a letter complaining to a business may
be the deciding factor on whether your complaint is satisfied. Be direct but
tactful and always use a professional tone if you want the company to listen to
you.
Adjustment Letters
An adjustment letter is normally sent in response to a claim or complaint. If the
adjustment is in the customer’s favor, begin the letter with that news. If not, keep
your tone factual and let the customer know that you understand the complaint.
Inquiry Letters
Inquiry letters ask a question or elicit information from the recipient. When
composing this type of letter, keep it clear and succinct and list exactly what
information you need. Be sure to include your contact information so that it is
easy for the reader to respond.
Follow-Up Letter
Follow-up letters are usually sent after some type of initial communication. This
could be a sales department thanking a customer for an order, a businessman
reviewing the outcome of a meeting or a job seeker inquiring about the status of
his application. In many cases, these letters are a combination thank-you note and
sales letter.
Letters of Recommendation
Prospective employers often ask job applicants for letters of recommendation
before they hire them. This type of letter is usually from a previous employer or
professor, and it describes the sender’s relationship with and opinion of the job
seeker.
Acknowledgment Letters
Acknowledgment letters act as simple receipts. Businesses send them to let
others know that they have received a prior communication, but action may or
may not have taken place.
lOMoARcPSD|35051082
Cover Letter
Cover letters usually accompany a package, report or other merchandise. They
are used to describe what is enclosed, why it is being sent and what the recipient
should do with it, if there is any action that needs to be taken. These types of
letters are generally very short and succinct.
Job Letter
A job application letter (also known as a cover letter) is a letter you send with
your resume to provide information on your skills and experience. This letter is
your chance to “sell” yourself to an employer, explaining why you are an ideal
candidate for a position.
Solicited Job Letter

A solicited Job letter is something you draft when you're applying for a posted
job opening or responding to an employment ad. Start off the letter by
introducing yourself and stating why you're writing. For example, "I'm writing in
regard to the open marketing manager position posted on your website. In my
enclosed resume, you'll see I have 10 years experience in marketing and
communications, and I've worked in a variety of capacities for both large and
medium-sized employers."
Unsolicited Job Letter

Just because an employer hasn't asked you for your resume doesn't mean he
won’t be interested in seeing it -- you just have to make the first move. An
unsolicited cover letter is used to pitch yourself to a potential employer, either for
an existing job opening, or as a way of introducing yourself to a company you’d
like to work with. The former is known as "prospecting," and is used to let an
employer know who you are and what kind of job you're looking for. The letter
should introduce you, highlight your skills and credentials, and provide a brief
explanation of why you're writing. Note why you think you're a good fit for the
company, either for an existing job or a future opening. “I've always admired
your company’s customer service levels, and I'm very interested in joining your
stellar customer retention team."
Letters of Resignation
lOMoARcPSD|35051082
When an employee plans to leave his job, a letter of resignation is usually sent to
his immediate manager giving him notice and letting him know when the last day
of employment will be. In many cases, the employee also will detail his reason
for leaving the company.
Announcement letter
The business announcement letter would be almost certainly written to the
business clients, upcoming customers, suppliers, business associates, close
friends, relatives or any other well-wishers. This letter is written to give
information about the expansion projects, plans and strategies, deals etc. To be
brief, the letter is written to make others aware that the business is in correct
sense.
lOMoARcPSD|35051082
NEWTON’S INNSample of CENTRE

COACHING sales letter
(XI P.O.C NOTES)
GreenClean Gets Your House Sparkling Clean and Helps the
Environment
**Your Business Logo Here**
Saima Bhukhari
D.H.A phase 2,
House No A-55/1
Karachi
Dear Ms. Bhukhari,
For as little as 1500rs you can have your entire home clean and sparkling,
without enduring the nasty odor of chemical cleaners. We care about the
environment and use only state-of-the-art green cleaning methods to
ensure that you and your family are not exposed to any harmful or
allergy-causing cleaning products. You'll love what we do because:
All our cleaning products are completely non-toxic - safe for children and
pets!
We leave surfaces clean, sparkling and hygienic.
Our staff are bonded and fully insured.
We offer senior discounts to those 65 and over.
Satisfaction is guaranteed - if you are not happy with the service we
promise to make it right. As one of our customers says; "GreenClean does
a top notch cleaning job for a reasonable price."
Another of our customers says, "I can't believe they get things so clean
and sparkling without the use of toxic chemical cleaners!"
Call us at 021-250-342-892 or email us at info@greenclean.com for a
free estimate. Get your house cleaned and do your part to help the
environment!
Sincerely,
Asghar Ali Butt,
GreenClean Inc.
Letter of Order Sample
Naseem Kitchen Equipment

lOMoARcPSD|35051082
Bahria I.con Office ,No 455,

Karachi,
Dear Mr. Mancini,
We would like to purchase twenty two (22) individual stand mixers (Model
#43423), all in the color red.
We would like you to charge this purchase to the preexisting account that
we have with you, business account #543234.
We hope to receive this order no later than Friday, November 11th, 2018.
Attached to this letter please find our preferred shipping method and
receiving address.
Please confirm that you received this order by calling us at 021-232-231-456

anytime during business hours, Monday to Friday.
Thank you for your cooperation

Irfan Kitchen Co.
Complaint letter example

Below is an example of a complaint letter:
Dear Manager
RE: COMPLAINT ABOUT FAULTY TELEVISION CABINET PURCHASED

AT CABINET WORLD ON 15 DECEMBER 2016
I am unhappy with the quality of a television cabinet I bought at 5 Street on 15

December and I am writing to seek a replacement.
lOMoARcPSD|35051082
The cabinet doors do not open and shut properly and the stain on the cabinet is
uneven, with one half darker than the other. The cabinet was delivered on 30
December and I noticed this problem as soon as I unpacked it from the box.
The cabinet is not of acceptable quality and does not match the sample cabinet I
was shown in store. I would like you to replace it with one of the same quality
and finish as the sample and arrange for return of the faulty cabinet at no cost.
I have attached a photocopy of my receipt as proof of purchase.

I would like to have this problem fixed quickly please. If I do not hear from you
within 10 days, I will lodge a formal complaint with Consumer Affairs in
my state.
You can contact me on 021-34567805 during working hours or after hours

on 021-34567897 to discuss this matter further.
Yours sincerely,
Tahir shah,
Enclosed: Copy of the receipt for television cabinet
SAMPLE OF ADJUSTMENT LETTER

Green Tree Freight Co., Inc.
Korangi, industrial area office
021-55656789
March 29, 2018
Complete Table, Inc.

P.O. Box 3132
Saddar, 74800
Subject: March 24 letter about damaged freight
Dear Mrs. Nargis:
I have just received your March 24 letter about the damaged

shipment you received through Green Tree Freight and regret the inconvenience that it has
caused you.
From your account of the problem, I am quite sure that your
request for the 2400rs adjustment on the damage to the 2
crates of Valjean Cristal stemware will be granted. A
certain amount of breakage of this sort does unavoidably
occur in cross-country shipping; I am sorry that it was
your company that had to be the one to suffer the delay.
lOMoARcPSD|35051082
I must remind you to keep the damaged crates in the same

condition in which you received them until one of our
representatives can inspect them. That inspection should
take place within 2 weeks.
If all is in order, as it sounds to be in your letter, you
can expect the full reimbursement within 2 weeks after our
representative's inspection. I hope this unfortunate
accident will keep you from having merchandise shipped by
Green Tree Freight in the future.
Sincerely,
Bilal tahir mughal, Customer Relations

Green Tree Freight Co., Inc.
Korangi industrial area office,
Karachi,
Inquiry Letter for Product

Khusoro parvaiz
Gulshan e iqbal
Block2, House 347,
Karachi,
Dec 20 2018
Sufi Amjad
Manager
Gloria Furniture
Tibet center, Office No 335,
M.A Jinnah road Karachi,
Dear Mr Amjad,
Your recent advertisement in the Daily Mirror caught my eye as you have just
manufactured an entire new range of home decor products, including modular
kitchens. I am looking for a living room cabinet which can accommodate my
LCD TV, home theatre system and a small compact bookshelf or two. In
addition, I wish to refurbish my kitchen and give it a completely new look by
opting for a modern modular kitchen. However as we do have some space
constraints, I would like to know the specifications of the same to decide whether
or not we would be able to go for it.
I would therefore like to request you to send me a catalogue of your home decor
furniture which would enable me to get a peak at your latest collection along
lOMoARcPSD|35051082
with the size, specifications and cost estimate. I would be able to arrive at a
decision only after receiving a reply from you. Would be in eager anticipation of
a prompt response.
Thanking you.
Yours sincerely,
Khusoro pervaiz,
Sample of Follow-Up letter after Sales
To
Mr. Saleem malik,
Project Manager
LMT Ltd.
Karachi,
Sept 09, 2013
Dear Mr Saleem,
On behalf of LMT Ltd. We thank you for making a purchase with us.
We hope that you are satisfied with the products.
In case of any problem and queries please feel free to contact us. Our
qualified team will be available to serve you anytime. In critical cases
our sales person will personally make a visit and will resolve your
problem. We are glad to assure you full after sales support service.
Thanking You,
Sincerely,
Raja mehmood bhatti,
LMT ltd.
lOMoARcPSD|35051082
Sample of Acknowledgement Letter Format for Receiving

Documents
Name: XYZ
(Designation/Position Name)
(Company/Organization Name)
Subject: Acknowledgement Letter for Receiving Documents
Dear Sir/Madam,
This letter is to inform you that we at ‘(Institute/Organization)’

acknowledge the receiving of documents sent by you for the Transfer of
Property. Your documents which we received are as follow:
Authority Letter,
Property Papers.
We are glad at your prompt action and we hope to entertain your request
as soon as possible. Currently, the verification process is continued.
You will get to know about the status through e-mail. In case of any
question, you can call at provided number.
Yours Sincerely,
Name: ZZZ
(Institute/Organization Name)
Sample of Announcement Letter to starting a new

Business
Anwar saeed
12 Street, D.H.A phase 2, House B-55
Home Ptcl : 021-5881071, Cell: 0347-2772523
anwarsaeed@gmail.com
Dear Mr anwar,
Let me start by stating it has long been a pleasure working with you. When I started at
The E-Z Shop you were one of our primary buyers and a critical component of my
lOMoARcPSD|35051082
success. That is why I wanted you to be one of the first to know that come March I
will be opening my own store.
The Adventurer’s Shop will be located on the third floor of Lucky one Mall karachi.
Operating a family owned business has long been a dream. And as you know I have
always had a love of the outdoors so a store for the outdoor enthusiast is a perfect fit.
Gear for hunting camping fishing sports – as well as videos books and other media –
will be the norm at The Adventurer’s Shop.
The Grand Opening is on March 6th. I would love to invite you and your colleagues in
before that for a sneak peek of the operation. The store will also be offering a 30%
discount to all first day customers so feel free to spread the word.
Best Regards,
Zulfiqar Ali Memon
Sample of Unsolicited Job Letter
This unsolicited application letter sample is written by a professional who is seeking a

position that is similar to past positions. She uses job-specific terminology to show she is
knowledgeable in the field of web development. Additionally, she lists past accomplishments
that are important to all companies that depend on their online presence as a strategic
marketing channel.
July 23, 2013

Ms. Della Walker
89 Farmers Road
Elk City, Idaho 58925
To:
Mr. Mike Morrison

Human Resource Manager
Pierce Manufacturing
45 Melrose Road
Elk City, Idaho 58925
Dear Mr. Morrison,
lOMoARcPSD|35051082
I am writing to apply for the position of Content Manager on your web development team at
Pierce Manufacturing.
I learned of the opening through an online career job board. I found the opportunity as
described very appealing. Based on the expertise and requirements listed, I believe I have the
qualifications needed to make a positive contribution to the ongoing success of your
organization.
As a web communications manager,I worked as part of a team to develop the site structure
and authored all of the content for the company’s website. I increased the company’s
visibility with prospective customers by designing detailed product specification pages with
built-in modules for size, color and quantity options. I increased page views and improved
the company’s search engine ranking to first page status by employing a variety of
techniques, including key word optimization, co-marketing strategies and strategic online
advertisement placements.
My experience in working on cross-departmental teams has allowed me to develop strong

interpersonal skills. I possess the ability to work and communicate productively with creative
coworkers and highly technical engineers. I am experienced in both the development and
marketing aspects of web development.I am skilled in various programming languages,
search engine optimization techniques, functional enhancement identification and
implementation and in creating attention-getting web content. I am dedicated, motivated and
I consistently strive to achieve a standard of excellence.
I believe I am a very good candidate for the position of Content Manager and I would greatly
appreciate an in person interview. You may reach me by phone at 345-998-0909.Thank you
for your time and consideration. I hope to meet you soon.
Sincerely,
Della Walker
Ms. Della Walker
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Sample of Solicited Job Letter with Resume
Wanted accurate typist preferably knowing shorthand at salary of Rs.250/- per

month. Hand written application with testimonial to be addressed to CIBA
(Pakistan) Ltd., P.O.Box no. 63.-“DAWN dated 27th December, 2009”.
The manager,
CIBA (PAK) Ltd.,
P.O.Box No. 163,
Karachi.
Respected Sir,
In response to your advertisement in dawn of 27th December, 1974, I wish to

apply for the post
of typist advertised by you.
I passed the intermediate commerce examination in 2007 from the board of
secondary education,
Lahore getting distinction in the steno-typing and was placed in the second
division.
I was employed by M/s. Ali Automobiles, Ltd., Lahore in 2008 as a steno-
typist which company I
have been serving since then.
I easily type 50 words per minute quite easily neatly and accurately and my
speed in shorthand
is 120 words per minute. I am drawing Rs. 7500/- per month and my relation
with my present employers are quite happy. But they are unable to offer me
attractive prospects that are why I am applying for the post.
I am young man of 25 years of age and posses a robust health. I have active
and sober habits.
I enclose two copies of testimonial. I am also pleased to refer you my present
employers.
I shall be glad to come for interview when convenient to you.
You’re respectfully,
Mohammad Ali.
Thokar niaz baig,
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Amar singh sidhu street,

Lahore,
January 1,2010.
Resume
Statement of qualification and experience
NAME……………………………………….Mohammad Ali
AGE AND HEALTH…………………………….25 years and posses a robust

health
EDUCATIONAL QUALIFICATION…………………Passed high school

examination from government model school, Lahore in 2005, with commerce
and typewriting as optional course, passed intermediate examination of Punjab
board in second in the year 2007 with shorthand and typewriting as optional
object.
EXPERIENCE…………………………Since 2008 I am working as a

stenographer with m/s Ali automobiles Ltd. Lahore.
PRESENT SALARY AND REASON FOR LEAVING JOB ………………..

Drawing a salary of Rs.7500/- per month and have very good relations with
employers. Leaving the service for better future prospects.
REFERENCE ……………………………. Reference may be made to M/S

ALI automobiles Ltd.Lahore.
CONTACT NUMBER
PTCL number:042-3665228 Mobile number:03002231903
HOME ADDRESS:
House number 54, Amar singh sidhu street ,Thokar niaz baig, Lahore
Sample of Professional Resignation Letter
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January 15, 2018

Ms. Umme Salma,
Chief Executive Officer
Acme Company
D.H.A commercial street karachi
ST.55,3rd floor,office-303
Dear Ms. Salma,
I am writing to notify you that I am resigning from my position as
Customer Service Manager with Acme Company. My last day of
employment will be February 1.
I appreciate the opportunities I have been given during my time with
your company, as well as your professional guidance and support.
I wish you and the company the best of success in the future.
If I can assist with the transition, please do let me know.
Very sincerely,
Rajin Dar Kumar,

POC Notes For 1st Year

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XI P.O.C Notes By Sir Bilal Ahmed Khan

Commerce (University of Karachi)

Studocu is not sponsored or endorsed by any college or university

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

Topic 1: Definition of Business.

Q.no-1 Define “Business”? (short question of exams)

Definition of Business according to the opinion of different experts

According to Peter Ducker,

* “What business are we in?”

According to Brown and petrello,

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

according to brown and petrello “Business is an institution which produces goods

Griffin and Ebert (1996): “Business is an organization that provides goods or

According to Musselman and Jackson,

Topic 2: Definition of Commerce.

Q.no-1 Define “Commerce”? (short question of exams)

According to James Stephenson,

"Commerce is an organized system for the exchange of goods between the

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

"Commerce is that part of business which is concerned with the exchange of

Topic 3: Difference between Commerce and Business.

Q.no-1 Differentiate between “Commerce and Business”? (short question of

Difference between Commerce and Business.

2- While business can be an entity, commerce refers to trade and trade-related

3- Commerce focuses on buying and selling part of a business whereas there is

5- When it comes to Bachelor of Commerce degree, the study is focused on

Topic 4: Branches of Commerce.

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

Q.no-1 what are the main “Branches of Commerce”? Describe in detail?

Branches of Commerce Following are the list of main branches of commerce.

1-Profession 2- Industry 3- Trade 4- Marketing.

(1) identification, selection and development of a product,

Topic 5: Subject matter/functions/scope/importance of

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

Q.no-1 Explain the subject matter/functions/scope and importance of

Subject matter/functions/scope/importance of Commerce

Distribution: It is not possible on part of the producers to make direct contact

Accounting: Accounting is a main piller of commerce.

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

It is measurement, communicating and interpreting financial activity,Accounting

Finance: Finance describes the management, creation and study of money,

Warehousing: The production of goods takes place in the anticipation of

Communication: The buyers and sellers are intimated through various

Topic 6: Qualities of Good business man.

Qualities of Good business man

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

Unafraid to Take Risks

Ability to Take the Initiative

Personal and Professional Integrity

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

Chapter 2: Essential of establishing a new business House.

Following are the main problem to starting a new business.

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

9- Kinds of goods and services.

NEWTON’S INN COACHING CENTRE (XI P.O.C NOTES)

14- Business information.

Topic 1: Definition of Sole proprietorship.

Q.no-1 Define Sole Proprietorship? (short question of exams)

Definition of Sole proprietorship

Topic 2: Merits/Advantages of Sole proprietorship.