(i) Issue of shares at Par:
Normally shares are issued at their face value or par value i.e at a price mentioned on the face of share certificate concerned. There are no legal restrictions on issuing shares at par/face value.
(ii) Issue of securities at discount:
When the shares are issued at a price below the face value they are said to be issued at a discount. For example, a share having the face value of Rs 10 is issued at Rs 8. The companies act 2013, prohibits the issue of shares at discount (Section 53), except sweat Equity share.

The recent methods of recruiting by organisations include the following methods:
(i) Outsourcing: There are outsourcing firms that help in the process of recruiting through screening of applications and finding the right person for the job for which job they are paid service charges.
(ii) Poaching: Organisations instead of training and developing their own employees, hire employees of other competitive companies by paying them more both financial and non-financial benefits. It is called raiding.

A complaint may be made in writing under the following circumstances:
i) Loss or damage is caused to the consumer due to unfair trade practice of a trader.
ii) If the article purchased by a consumer is defective.
iii) If the services availed of by a consumer suffer from any deficiency.
iv) When the price paid by a consumer excess of the price displayed on the goods or when the price is in excess of the price fixed under any law in force.
v) Goods, which will be hazardous to life and safety, when used are being offered for sale to the public in contravention of the provisions of any law.

(i) Values system:
The values ofthefounder/ owner of the business . percolates down to the cutire organisation and has a profound eflect on the organisation. The success of an organisation depends uponthe sharing of value system by all members.
(ii)Vision and objectives :
The vision and objectives of a business guides its operations and strategic decisions. Exanple :Amul the taste of India' Gujarat Co-operative Milk Marketing Federation (GCMMF).
(ii) Company image :
The image of an organisation plays an important role in introducing new products, selecting agents, and dealers for distribution forging allances with suppliers, expanding and entering new markets both domestic and international and raising finance, etc.

The dynamic items that can be marketed are
listed below:
(i) Goods
(ii) Services
(iii) Experiences
(iv) Events
(v) Persons
(vi) Places
(vii) Properties
(viii) Organisations
(ix) Information
(x) Ideas

1. It is necessary because a person of poor health cannot work competently and any investment on him may go waste.
2. lt determines an applicant's physical ability to perform a specitic job.
3. Physical fitness of the candidate under selection to the job concerned.
 

(i)Dematerialization is the process by which physical share certificates of an investor are taken back by the company/registrar destroyed.
(ii)Dematerialization is done at the request of the investor. Investors will first have to open an account with a DP (Depository Participant) and then request for dematerialization of certificates through the DP.
(iii)Purchases made by an investor are credited to his account and sales are debited. All the holdings of a particular security will be identical and interchangeable.
(iv)Trading in dematerialized shares commenced on the NSE in December, 1996, where Reliance Industries was the first company to trade its 100 shares in demat form.

The limitations of stock exchange are as follows:
(i) Lack of uniformity and control of stock exchanges.
(ii) Absence of restriction on the membership of stock exchanges.
(iii) Failure to control unhealthy speculation
(iv) Allowing more than one stock exchange in the place.
 

(i) The period between 1947 and 1973 marked the development of infrastructure for capital market.
(ii) During this period, a network of development financial institutions such as IFCI, ICICI, IDBI and UTI, SFCs and SIDCs were established. These financial institutions strengthened the capital market.
(iii) During the period between 1980 and 1992, debenture emerged as a powerful instrument of resource mobilization in the primary market. The public sector bonds were introduced. A number of stock exchanges came into existence. There was a momentous growth in the secondary market.
(iv) SEBI emerged as an effective regulatory body for the primary and secondary markets and afford a measure of protection to small investors. New financial services such as credit rating was introduced.
(v) A number of committees were constituted in order to suggest measures to revamp and restructure the working of the secondary market and cause buoyancy in the primary market.
(vi) A High Powered Study Group on Establishment of New Stock Exchange, A Committee on Trading in Public Sector Bonds and Units of Mutual Funds.

	Basis	Management	Administration
1.	Meaning	An organised way of managing people and things of a business is called management	The process of administering an organisation by a group of people is known as administration
2.	Authority	Middle and lower level	Top level
3.	Concerned with	Policy implementation	Policy formulation
4.	Role	Executive	Decisive
5.	Area of operation	It works under administration	It has full control over the activities of the organisation.

 

 

 

Secretary has to discharge non-statutory functions in relation to directors, shareholders and office and staff. These functions are briefly mentioned.
(a) Functions as an agent of directors;
(b Functions towards shareholders;
(c) Functions towards office and staff.
(i) Functions in Relation to Directors: A company secretary acts under the full control of the board of directors and carries out the instructions of the directors. The secretary provides necessary advice and information to the board to formulate company policy and arrive at decisions.
(ii) Functions in Relation to Shareholders: The company secretary must serve in the best interests of the shareholders.
(iii) Functions in Relation to Office and Staff: The Secretary is the kingpin of the whole corporate machinery. He is responsible for the smooth functioning of the office work. He exercises overall supervision, control, and coordination of all clerical activities in the office.

1. It increases chances new talents and skills.
2. It would create a healthy competition among the employees.
3. The new employees wotild be existing employee of some other organisation. It will be in ideas of other industries.
4. It would avoid the problem between the existing employees.
5. This increased chance provides better availability of skilled and qualified employee.
6. One common things they look for is a well experienced and qualified candidate.
7. The recruitment is done in a fair manner equally for all candidates where internal politics are avoided

The following points highlight the significance of entrepreneurship.
(i) Innovation: Entrepreneurship and innovation are closely intertwined with each other. Entrepreneurs have contributed in no small measure to the economic development of any country by innovation.
(ii) Contribution to Gross Domestic Product (GDP): Promotion of entrepreneurship all across the country would undoubtedly add to Gross Domestic Product and National Income of a country. It is stated that the countries like America, Japan, Germany and so on have recorded a phenomenal increase in the GDP, per capita income and national income, due to the stupendous growth of entrepreneurship.
(iii) Balanced Regional Development: Encouragement of entrepreneurship in underdeveloped and undeveloped regions of a country through various incentives and concessions is more likely to promote balanced regional development across the country.
(iv) Export Promotion: Entrepreneurship helps a country not only earn precious foreign exchange but also preserve it. Similarly, if entrepreneurship is encouraged to produce products which are usually imported from foreign countries i.e. import substitute goods, it can help the country save precious foreign exchange.
(v) Full utilisation of Latent Resources: Promotion of entrepreneurship across the country leads to better utilisation of economic, human, material and natural resources which would remain otherwise unutilized in a country.

As of 2016, there are 60 stock exchanges in the world. Of these, there are 16 exchanges with a market capitalization of dollar1 trillion or more, and they account for 87% of global market capitalization. Apart from the Australian Securities Exchange, these 16 exchanges are all in North America, Europe, or Asia.

The process of MBO is explained below:
(i) Defining Organisational Objectives: Initially, organisational objectives are framed by the top level employees of an organisation. The definition of organisational objectives states why the business is started and exists.
(ii) Goals of Each Section : Objectives for each section, department or division are framed on the basis of overall objectives of the organisation. Goals or objectives are expressed in a meaningful manner.
(iii) Fixing Key Result Areas: Key result areas are fixed on the basis of organisational objectives premises. Key Result Areas (KRA) are arranged on a priority basis. KRA indicates the strength of an organisation.
(iv) Setting Subordinate Objectives or Targets : The objectives of each subordinate or individual are fixed. It is preferable to fix the objectives at lower level in quantitative units. There should be a free and frank discussion between the superior and his subordinates.
(v) Matching Resources with Objective : The objectives are framed on the basis of availability of resources. If certain resources (technical personnel or scarce raw material) are not adequately available, the objectives of an organisation are changes accordingly.
(vi) Periodical Review Meetings: The superior and, subordinates should hold meetings periodically in which they discuss the progress in the accomplishment of objectives.
(vii) Appraisal of Activities: At the end of the fixed period for achieving the objectives, there should be a discussion between the superior and subordinates.

(i) Coachin Method: In the coaching method of training, the superior teaches or guides the new employee about the knowledge and skills relevant to a given job. In this method superior plays the role of coach or guide and an instructor.
ii) Mentoring method : Mentoring is the process of sharing knowledge and experience of an employee. Mentoring is always done by senior person, it is also one-to-one interaction, like coaching. It is mostly used for managerial employees.
(iii) Job Rotation Method : Job rotation is an important method for broadening the knowledge of executives. Under this method, a trainee is periodically shifted from one work to another work and from one department / division to another department / division for a particular period of time.
(iv) Job Instruction Techniques : In this method, a trainer superior gives some instructions to an employees to how to perform his job and its purpose.
(v) Apprenticeship Training Method : The apprentice or trainee learns the job knowledge and skills from the trainer or superior or senior worker. Generally, the apprenticeship training is given to , the technical cader like that Mechanics, Electricians, Craftsmen, Welders, Fitter etc.

(i) The market scenario in the world today is changing very rapidly.
(ii) The boundaries of nations are disappearing for exploiting the opportunities of business.
(iii) Today's customers are global and exhibit international characteristics. Because of developments of information technology, rapid means of transportation, liberalization, and mobility of people across the world, their buying habits are fast varying and so are the fortunes of various organisations.
(iv In the Globalised business environment, the marketer must move goods faster and quicker to satisfy the consumers needs and wants by serving the best quality goods and services.
(v) Therefore marketers are shifting from transaction thinking to relationship building and also focusing on life long customers.
(vi) So, marketer has given more emphasis on the notion, "offer more for less" and adopt different strategies to satisfy the consumers.
(vii) They use a variety of tools like computers, laptops, tablet and smart or android phone devices to access different websites.
(viii) Besides the social media networks have opened new avenues of interacting with customers.

(i) The project reports need to be prepared according to the format prescribed in the loan application form of term lending institutions.
(ii) An entrepreneur can get the report prepared either by technical consultancy organisation or by auditors or by consultants or by development agencies.
(iii) This report should cover aspects like sources of finance, technical know-how, sources of labor and raw materials, market potential and profitability.
The project report should include the following
Technical Feasibility:
It should mention the following
(i) Description of product specification
(ii) Raw materials availability
(iii) Manufacturing process
(iv) Quality control measures
(v) Availability of water, power, transport ,and communication facilities.
Economic Viability:
It essentially involves compilation of demand for domestic and export market, installed capacity of machines, market share, revenue expected, and suitable price structure.
Financial Viability:
It should cover aspects like
(i) Non-recurring cost such as Land and Building, Plant and Machinery, etc.
(ii) Recurring expenses like wages, salaries, and overheads, etc.
(iii) Probable cost of production
(iv) Profit on expected sales.
Managerial Competency
1. Entrepreneur has to include the mechanism for managing the venture in the project report.
2. In the case of small sized ventures, the owner or partners may take care of managerial activities while a team of managerial personnel is to be brought in for manning various managerial positions across different levels of management in the case of corporate form of organisation.
3. He has to provide details of the organisational structure contemplated in the project report for implementing the venture.
Provisional Registration Certificate
1. Entrepreneur has to apply for Provisional Registration certificate. It will be issued to entrepreneur after the fulfilment of certain conditions for a period of one year subject to renewal of two periods of six months duration.
2. If an entrepreneur is not able to commence production beyond the extension period, further extension will not be granted
Permanent Registration Certificate
Once the venture has commenced production or when it is ready to commence production, it is eligible to get permanent registration cerificate.
Statutory Licence
1. Entrepreneur has to obtain Municipal License from the authority concerned.
2. Then the Entrepreneur has to register the unit with the Central and Sales Tax Department.
3. If a unit comes,within the provisions of Factories Act, he/she has to register it with Inspector of Factories or it has to register the unit under the Shops and Establishment Act.
Power Connection
Entrepreneur has to make application to Assistant Divisional Engineer of State Electricity Board for power connection after paying Security Deposit and fulfilling the official formalities prescribed.
Arrangement of Finance
1. Entrepreneur requires two types of finance namely long term and short term.
2. While long-term requirements are needed for acquiring fixed assets, short term requirement are meant for meeting working capital needs.

SI.No	Basis of Difference	Cheque	Bill of Exchange
1.	Drawn	A cheque can be drawn only on a particular banker.	A bill of exchange can be drawn on any person including a banker
2.	Payability	It is payable on demand only.	It is payable on demand or on the expiry of a certain period.
3.	Validity	A cheque drawn payable to bearer on |demand is perfectly valid.	A bill made payable to bearer on demand is void by virtue of section 31 of the RBI Act.
4.	Acceptance	A cheque does not require any acceptance.	In case of time bill, acceptance by the drawee is necessary before he can be made liable on it.
5.	Grace Period	No days of grace are allowed in the case of a cheque for the simple reason that is always payableon demand.	Three days of grace are allowed while calculating the maturity date in the case of time bill.
6.	Notice	Notice is not necessary for a cheque.	When a bill is dishonoured, notice of dishonour is necessary.

(i) Preliminary Interview:
This interview is conducted to know the general suitability ofthe candidates who have applied for the job.
(ii) Structure/Guided/Planned Interview :
Under this method, a series of question to be asked by the interviewer are pre prepared by the interviewer and only these questions are asked in the interview.
(iii) Unstructured Interview : This is quite contrary to structured interview. Ihere is no pre-prepared questions. appreciation test (iv) Attitude test
(iv) In depth Interview : This interview is conducted to test the level of knowledge of the interviewee in a particular field intensively and extensively.
(v)Panel Interview :
Where a group of people interview the candidate, it is called panel interview. All panel members ask different types of questions on general areas of specialisation of the candidate.

The managerial functions are as follows:
(i) Planning:
Planning is deciding in advance, what to do, how to do and who is to do it.
It bridges the gap between where we are and where we want to go.
It helps in the systematic operation of business.
(ii) Organising:
It includes division of work among employees by assigning each employee their duties, delegation of authority as required and creation of accountability to make employees responsible.
(iii) Directing:
It involves issue of orders and instructions along with supervision, guidance and motivation to get the best out of employees.
This reduces waste of time, energy and money and early attainment of organisational objectives.
(iv) Controlling :
The control process includes fixing of standards, measuring actual performance, comparing actual with standard laid down, measuring deviations, and taking corrective actions.
This is made possible through observation, supervision, reports, records and audit.

(i) The lack of paperwork enables quicker transactions and higher efficiency in trading
(ii) The risks pertaining to physical certificates like loss, theft, forgery and damage are eliminated completely with a DEMAT account.
(iii) Trading has become more convenient as one can trade through computers at any location, without the need of visiting a broker.
(iv) Certain banks also permit holding of both equity and debt securities in a single account.
(v) Banks also provide dedicated and trained customer care officers to assist through all the procedures.
(vi) One can also choose to take a loan against securities which are held in a DEMAT account by offering it as a collateral to the lender.

The features of commercial bills are:
(i) Drawer
(ii) Acceptor
(iii) Payee
(iv) Discounter
(v) Endorser
(vi) Assessment
(vii) Maturity
(viii) Credit rating
Types of commercial bills are:
(i) Demand and usance bills:
(a) A demand bill is one wherein no specific time of payment is mentioned.
(b) So, demand bills are payable immediately when they are presented to the drawee.
(ii) Clean bills and documentary bills:
(a) Bills that are accompanied by documents of title to goods are called documentary bills.
(b) Clean bills are drawn without accompanying any document.
(c) Example: Railway receipt and Lorry receipt.
(iii) Inland bills and Foreign bills:
(a) Bills that are drawn and payable in India on a person who is resident in India are called inland bills.
(b) Bills that are drawn outside India and are payable either in India or outside India are called foreign bills.
(iv) Indigeneous bills: The drawing and acceptance of indigenous bills are governed by native custom or usage of trade.
(v) Accommodation and supply bills: Accommodation bills are those which do not arise out of genuine trade of transactions.

Functions of management can be classified into two categories.
A. Main functions; and
B. Subsidiary functions.
A. Main functions:
(i) Planning:
(a) Planning is the primary function of management.
(b) Nothing can be performed without planning.
(c) E.g. Writing a book starts with planning.
(ii) Organising:
(a) Organising is the process of establishing harmonious relationship among the members of an organisation.
(b) Organsing function work is assigned to employees who are given authority to carry out the work assigned and made accountable for it.
(iii) Staffing:
(a) Staffing function comprises the activities of selection and placement of competent personnel.
(b) Staffing refers to placement of right persons in the right jobs.
(iv) Directing:
(a) Directing denotes motivating, leading, guiding and communicating with subordinates.
(b) Employees are kept informed of all necessary matters by circulars, instructions man uals, newsletters, notice-boards, meeting, participative mechanism, etc.
B. Subsidiary functions:
(i) Innovation:
(a) Innovation refers to the preparation of personnel and organisation to face the changes made in the business world.
(b) Innovation includes developing new material, new products, new techniques in production, new package, new design of a product and cost reduction.
(ii) Representation:
(a) A manager has to act as representative of a company.
(b) Manager has dealings with customers, suppliers, government officials, banks, financial institutions, trade unions, etc.
(c) It is the duty of every manager to have good relation with others.
(iii) Decision-making:
(a) Everyemployee of an organisation has to take a number of decisions everyday.
(b) Decision - making helps in the smooth functioning of an organisation.
(iv) Communication:
(a) Communication is the transmission of human thoughts, views or opinions from one person to another person.
(v) Workers are informed about what should be done, where it is to be done, how it is to be done and when it is to be done.

The person one who takes an active interest in the well being of a company and one of the Members of Board of Directors is called as Director of a company. A Director is a person from a Board of Director who leads or supervises the functioning of a company.

Entrepreneur requires two types of finance namely long term and short term. While long-term requirements are needed for acquiring fixed assets, short-term requirement are meant for meeting working capital needs. Entrepreneur has to bring in promoters contribution (seed capital) prescribed by financing agencies.

(i) Money market is the segment of financial markets where in financial instruments having maturities of less than one year are traded.
(ii) Examples: Treasury Bills, Commercial Bills, Certificate of Deposits, Government securities etc.

George Odiorne.

The functional area of management are : export management, personnel management, general management, production management, marketing management and financial management.

Under section 2(1)d "Consumer means any person who buys any goods or avails services for personal use, for a consideration".

(i) Selection is the process of differentiating between applicants in order to identify and hire those with a greater likelihood of success in a job.
(ii) Selection is the process of choosing the most suitable person for the vacant position in the organisation.

(i)The branch of management that deals with managing human resource is known as Human resource management.
(ii) Human resource management is a function of management concerned with hiring, motivating and maintaining people in an organisation. It focuses on people in an organisation.

According to Husband and Dockerary, "Stock exchanges are privately organized markets which are used to facilitate trading in securities."

Secondary markets allow for the determination of the price of the traded financial asset through the interaction of buyers and sellers. They provide a signal for the allocation of funds in the economy, based on the demand and supply, though the mechanism called price discovery processes.