Namit established a snacks manufacturing unit in Punjab. Namit invested Rs. 70lakhs in Plant & Machinery. Namit has decided to allocate 10% profit for educational and health needs of eniployees and their family members. On the basis of given information, answer the following questions:-
(a) Which Act of Industries is applicable to the above manufacturing unit?
(b) Identify the category in which Namit's business will be placed as per the Act identified in part (a).
(c) What is the maximum investment limit of the category in which Namit's business has been placed?
please answer
Answers
Answer:
the Government of india provides a number if incentives to the small -scale industries (SSIs) in india for the industrial development of rural , backward areas .
(i) availity of land at concessional rates
(ii) supply of power at a concessional rate of 50 %
(iii) Supply of water on no profit no loss basis or with 50% consession
(iv) Loans at consessional rates .
( B) Two instituations set up by the GOvernment of india to promote small-scaleindustries in rural india are :
(i) National small industries COrporation (NSIC):- this was set up in 1955 to promote , aid and foster the growth of small business units in india .it supplies indigenous and imported machines and raw materials to SSIs on easy Hire -purchase schemes It exports the products of SSIs . it provides techology to SSIs and creates awareness in technological upgradation .
(ii) District Centres (DICs):- they provide and integrated administrative framework at the district level they provide all the services and support facilites to the entrepreneurs for setting up small and village industries.
Explanation: