Consider the following factors regarding an industry:
1. Capital investments
2. Business turnover
3. Labour force
4. Power consumption.
Which of these determine the nature a size of the industry?
Correct Answer: Option A
Explanation
1. The nature (e.g., heavy/light, capital/labour intensive) and size (e.g., large/medium/small scale) of an industry are determined by various factors.
2. Capital investment is a key determinant of size (as used in MSME definitions) and influences the capital-intensive nature.
3. Labour force size is a direct indicator of operational size and reflects the labour-intensive nature.
4. Power consumption reflects the scale of operations (size) and often indicates the nature (e.g., high consumption in heavy industries).
5. Business turnover is primarily an indicator of the economic size or scale of the business.
6. All four factors are relevant criteria used in industrial analysis and classification. However, options require selecting a subset. Often, Capital investment, Labour force, and Power consumption are considered fundamental structural/input factors determining the scale and type of industrial activity.
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