Correct Answer: To fund new business ventures

Solution : The correct answer is (d) To fund new business ventures

Diversification often involves venturing into new business areas, launching new products or services, or entering different markets. These expansions require capital for research and development, marketing, hiring additional staff, acquiring assets, covering operational expenses, and other investment needs. External financing, such as loans or equity investment, provides the necessary funds to support these diversification initiatives and facilitate the successful expansion of the business into new ventures. Options a, b, and c are not relevant to the need for external financing in the context of diversification.

Correct Answer: By allocating funds effectively for green projects
  

Solution : The correct answer is (b) By allocating funds effectively for green projects

Financial planning involves allocating financial resources in a strategic manner to support the company's objectives and initiatives. In the context of sustainability, UVW Industries can allocate funds specifically for green projects that align with their sustainable initiatives. This includes budgeting and financial forecasting to ensure that adequate funds are set aside for research, development, implementation, and maintenance of eco-friendly practices and projects.

Correct Answer: Helps in assisting in planning and policy formation
 

Solution : Environment is a source of opportunities amd thread it helps to understand and analyse the base for the future codes of action and guidelines for decision making. It is the base for planning and policy formation.
Hence Option C is correct.
 

Correct Answer: Equity share
 

Solution : The correct answer is (b) Equity share

Equity shares are a type of security that represents ownership in a company. When a company sells equity shares, it is raising capital from investors. Equity shares are a good option for companies that are looking to raise capital for new ventures, as they do not have to be repaid. Therefore, the best financial instrument for XYZ Corporation to use to raise capital for its new venture in the renewable energy sector is equity shares. Equity shares will allow the company to raise capital without having to repay it, and it will also allow investors to share in the ownership and profits of the new venture.

Correct Answer: To fund its expansion plans and meet capital requirements

Solution : The correct answer is (d) To fund its expansion plans and meet capital requirements

Expanding operations in a business often requires substantial capital investment for various purposes, such as acquiring new assets, increasing production capacity, entering new markets, hiring additional staff, and covering increased operational expenses. Business finance is essential to provide the necessary funding to support these expansion initiatives and ensure the company's growth and sustainability in the market.

Correct Answer: Planning comes before controlling.

Solution : The correct answer is (b) Planning comes before controlling.

In the traditional management process, planning typically comes before controlling. Planning involves setting objectives, goals, and strategies, while controlling follows to monitor and ensure that actual performance aligns with the established plans. This sequential order allows organizations like ABC Pharmaceuticals to establish a clear direction and then use control mechanisms to measure and adjust their activities to meet their planned objectives.

Correct Answer: Follow up action 

Solution : Planning is an ongoing process, the manager's job does not end simply by putting the plan into action. The managers closely monitor the plan's implementation. Monitoring the plan is critical because it helps to determine whether the conditions and predictions assumed in the plan are still valid in the current situation.
Hence, option 2 is the correct answer.

Correct Answer: Planning Commission 

Solution : The correct option is Planning Commission.

The Planning Commission of India was a non-constitutional and non-statutory body that played a significant role in formulating and implementing India's Five-Year Plans and advising the government on economic and developmental policies. It was not established by constitutional provisions but rather through an executive resolution of the Government of India in 1950.

Correct Answer: Commercial paper
 

Solution : The correct answer is (a) Commercial paper

Commercial paper is a short-term money market instrument used by corporations to raise funds for short-term financing needs. It is an unsecured, short-term debt instrument issued by corporations, including established companies like PQR Ltd., to meet short-term funding requirements. In the context of funding strategic alliance efforts, using commercial paper can provide PQR Ltd. with quick and efficient access to funds in the short term.