Question

Small industries whose thrust is on export promotion and modernization, investment ceiling is at ____________.

• A. Rs. 5 cr on working capital
• B. Rs 5 cr in plant and machinery
• C. Rs 5 cr total investment
• D. Rs 1 cr total investment

Answer 1

Answer: (B)

Rs 5 cr in plant and machinery

• A small scale industrial undertaking is defined as one in which the investment in fixed assets of plant and machinery does not exceed rupees one crore. However, to cater to the needs of small industries whose thrust is on export promotion and modernisation, investment ceiling in plant and machinery is rupees five crores.