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• Khilafat Movement was the worldwide protest against the efforts of Britain which tried to limit the power of Khalifa, the ruler of Turkey and the spiritual leader of world Muslims, after the First World War. 
• In India, Maulana Mohammad Ali and Moulana Shoukath Ali gave leadership to Khilafat agitation.

• Non – Co – operation movement 
• Civil Disobedience (Salt Satyagraha) 
• Quit India movement

Non – Co-operation movement : 

The first national level struggle by the INC under the leadership of Gandhiji was the Non-Co-operation movement. It was a novel agitation of not to co-operate with the British. The characteristics of Non- co-operation policy were:

• Denial of taxes 
• Returning the British awards and prizes 
• Boycott elections 
• Boycott foreign goods 
• Lawyers shall boycott courts 
• Students shall boycott English schools

In addition to his appeal for Non-Co-operation, Gandhiji motivated the people to participate in constructive programmes like making indigenous products, spinning khadi cloth using charka, establishing national educational institutions, popularising Hindi and eradicating untouchability. Kashi Vidya Pith, Gujarat Vidya Pith and Jamia Millia were some of the national educational institutions started during this period. 

People in different parts of India responded to Gandhiji’s appeal for non co-operation.

• Farmers in Awadh refused to pay taxes. 
• Workers struck work. 
• The tribal groups in northern Andhra entered the forests and collected the forest products violating the forest laws. 
• Lawyers boycotted courts. 
• Students quitted colleges and schools run by the British. 
• The public, including women, burnt foreign clothes on the streets.

Non-Co-operation movement had a major role in making the national movement, which was till then confined to the elite of the society, a grass root mass movement. However, Gandhiji withdrew the movement following the Chauri Chaura incident in 1922.

Civil Disobedience Movement: 

The Lahore Congress Session of 1929 decided to start a civil disobedience movement under the leadership of Gandhiji. This was the second mass movement launched by Gandhiji against the British.

With the civil disobedience movement, Gandhiji meant to disobey all anti-popular and antidemocratic civil laws made by the British government. As part of the movement, Gandhiji proposed the following.

• To lift salt tax. 
• To declare 50% tax relaxation for farmers. 
• To increase the tax on imported foreign clothes.
• To release political prisoners. 
• To cut short military budget and high salary of top officials. 
• To dissolve the secret surveillance wing formed to watch Indians. 
• To start coastal shipping service. 
• To implement prohibition of liquor.

Gandhiji gave top priority to reducing salt tax due to a variety of reasons. He selected salt as a powerful tool against the British because:

• Salt tax constituted two fifth portion of the income collected by the British through taxes. 
• Salt tax was a heavy burden for the poor people. 
• There was three fold hike on salt price. 
• The British government banned small scale indegenous salt production. 
• The demand for lifting salt tax was a slogan suitable to inspire all segments of the society.

Gandhiji began the civil disobedience with Salt Satyagraha. The Salt Satyagraha began with the famous Dandi March by Gandhiji on 30 March, 1930. Gandhiji along with 78 followers marched from Sabarmati Ashram to Dandi, a coastal village in Gujarat.

He broke the salt law by making salt. Inspired by the call of Gandhiji, people in various parts of the country started to produce salt on their own, violating the British regulations. Payyannur in Kerala, Vedaranyam in Tamil Nadu, Bombay in Maharashtra, Naokhali in Bengal and North West Frontier Province were some of the centres of this protest.

Quit India Movement: 

The Quit India Movement was the third mass movement launched by Gandhiji against the British. It was a mass movement based on the ideology of non¬violence meant to force the British to leave the country offering complete freedom to Indians. As part of the movement, Gandhiji called for:

• Farmers shall not pay tax. 
• Princely states shall recognise the sovereignty of their people. 
• Government officials shall disclose their loyalty to Indian National Congress without resigning their positions. 
• Without quitting their positions in the army, soldiers shall disobey orders to shoot and kill Indians. 
• If possible, students shall boycott education till attaining freedom.

Gandhiji gave the slogan ‘Do or Die’ to the common people. The Quit India Movement began on August 8, 1942. The next day, Gandhiji and all the top leaders of the Congress were arrested. In protest, the uncontrolled mob demolished government offices, electric lines and railway lines. At the end of 1942, India was under the fire of popular unrest. The British government suppressed the movement very severely. The Quit India movement was a clear indication Of the people’s determination to grab freedom for their country.

• In the pretext of preventing extremist activities, the British Parliament passed the Rowlatt Act in 1919 limiting civil rights. As per this Act, any person could be arrested and imprisoned without trial. 
• The Committee which recommended this Act was led by Sir Sydney Rowlatt.

• The early struggles were originated and based on economic issues. 
• Adopted the methods of non payment of tax and Satyagraha. 
• Received the help of regional leaders. 
• His methods of struggle made him acceptable to all sections of people. 
• People got the belief that Gandhiji could solve the problems of people.

• Saifuddin Kitchlew 
• Satyapal

In all the three regional straggles Gandhiji adopted satyagraha. But the method of boycott was chosen in Non-cooperation Movement. The straggle for independence that was completely confined to the educated section extended to all the section of the people.

But when the police fired at the mob in Chauri Chaura in Uttarpradesh the villagers set fire to the police station and 22 policemen died. Gandhiji was disappointed and declared to suspend the Noncooperation Movement.

Principle of design is Balance, Ratio and Rythm.  

Non-cooperation movement in 1921-22. People from all sections played an important role. Students boycotted English education and foreign textiles. Lawyers boycotted counts farmers workers and all sections of people took part in the straggle. Thus it become the movement for all.

Sarojini Naidu.

Starting a Business – Basic Factors Factors to be considered for starting a business 

1. Selection of line of business: 

The first thing to be decided by any entrepreneur of a new business is the nature and type of business to be undertaken.

2. Size of the firm: 

If the market conditions are favorable, the entrepreneur can start the business at a large scale. If the market conditions are uncertain and risks are high, a small size business would be a better choice. 

3. Choice of form of ownership: 

The selection of a suitable form of business enterprise i.e. Sole proprietorship, Partnership or a Joint-stock company is an important management decision. It depends on factors like the nature of business, capital requirements, liability of owners, legal formalities, continuity of business, etc.

4. Location of business enterprise:

Availability of raw materials and labour, power supply and services like banking, transportation, communication, warehousing, etc., are important factors while making a choice of location.

5. Financing: 

Proper financial planning must be done to determine 

(a) the requirement of capital, 

(b) source from which capital will be raised and 

(c) the best ways of utilizing the capital in the firm. 

6. Physical facilities: 

Availability of physical facilities including machines and equipment, building and supportive services is a very important factor to be considered at the start of the business. 

7. Plant layout: 

Layout means the physical arrangement of machines and equipment needed to manufacture a product.

8. Competent worked force: 

Every enterprise needs competent and committed employees to perform various activities so that physical and financial resources are converted into desired outputs.

9. Tax planning: 

The promoter must consider in advance the tax liability under various tax laws and its impact on business decision

People turned to violence and Gandhiji was disappointed.

The first national level struggle by the Indian National Congress under the leaderhsip of Mah atma Gandhi was the Non-cooperation movement. The confidence gained from the Rowlatt protest motivated Gandhiji to declare Noncooperation against the British.

Various effects of Non-cooperation movement are given below. Farmers in Awadh refused to pay taxes. The tribal groups in Northern Andhra entered the forests and collected the forest products violating the forest laws.

• Farmers in Uttar Pradesh refused to carry the luggage of the colonial officials.
• Workers struck work.
• Lawyers boycotted courts . Students acquitted colleges and schools run by the British
• The public, including women, burnt foreign clothes on the streets.

In addition to his appeal for noncooperation, Gandhiji motivated the people to participate in constructive programmers. Inspired by this, people began to make indigenous products, Spin Khadu cloth using charka, establish national schools and popularise Hindu.

After maturity Money can be withdrawn by  Kisan Vikas patra. 

Chauri chaura Incident.

“KISAN VIKAS PATRA” is purchased from Post office. 

To disobey all anti-democratic and anti-popular civil laws made by the British government.

Gandhiji withdraw the Non-cooperation Movement due to a untoward incident in Chawri Chawra village in Uttar Pradesh. In response to the police firing at a mob, the villagers set ablaze the police station and 22 policemen died.

This incident disappointed Gandhiji and he released that people could not fully understand the essence of the principle of Ahimsa. So he called for stopping the Noncooperation Movement.

The Lahore session of 1929, Jawaharlal Nehru.

• Salt tax constituted two fifth portion of the income collected by the British through taxes. 
• There was three fold hike on salt price. 
• Salt tax was a heavy burden for the poor people.
• British government banned small scale indigenous salt production. 
• The demand for lifting salt tax was a slogan suitable to inspire all segments of society.

• Salt constituted two fifth of the income Collected by the British through taxes.
• Three fold hike on salt price.
• The tax was heavy burden for the por people.
• The British government banned small scale indigenous salt production.
• Being an issue common to all Gandhiji selected salt as a powerful weapon.

The Lahore session of the Indian National Congress held in 1929 under the charimanship of Jawaharlal Nehru declared the ultimate aim of Indian freedom struggle was Pooma Swaraj.

The Quit India Movement was the last popular protest organized by the Indian National Congress under the leadership of Gandhiji. Quit India was yet another popular movement like civil disobedience movement.

It was a mass movement based on the ideology of non-violence (Ahimsa) meant to force the British to leave the country offering complete freedom to Indians.

Various factors that caused Quit India movement are:

• Reluctance of the British to implement constitutional reforms in India.
• Public disgust with price hike and famine
• The assumption that the British would be defeated in the second world war.
• As a part of this movement, Gandhiji called for the following.
• Princely states shall recognize the sovereignty of their people.
• Farmers shall not pay land tax.
• Government officials shall disclose their loyalty to Indian National Congress without resigning their positions.
• Without quitting their position in the army, soldiers shall disobey orders to shoot and kill Indians.
• If possible, students shall boycott education till attaining freedom.

According to Indemnity principle, the insured is not allowed to make any profit out of his loss.

• The Labour session of the Indian National Congress held in 1929 under the chairmanship of Jawaharlal Nehru was a turning point in the history of freedom movement in India.
• The session declared that the ultimate aim of Indian freedom struggle was to attain complete. freedom (Pooma Swaraj) for the country.
• Civil Disobedience Movement started under the leadership of Mahatma Gandhi.
• With the Civil Disobedience Movement’.
• Gandhiji meant to disobey all antipopular and antidemocratic civil laws made by the British Government.

As a part of this Gandhiji’s proposed the following.

• To lift salt tax.
• To declare 50% tax relaxation for farmers.
• To increase the tax on imported foreign clothes.
• To release political prisoners.
• To cut short military budget and high salary of top officials.
• To dissolve the secret surveillance wing formed to watch Indians.
• To start coastal shipping service. 
• To implement prohibition of liquor.

Gandhiji gave top priority to reducing salt tax. There are various reasons why Gandhiji selected salt as a powerful weapon against the British.

• Salt tax constituted two fifth portion of the income collected by the British through taxes.
• This tax was a heavy burden for the poor people.
• The British government burned small scale indigenous salt production.
• There was three fold hike on salt price.
• The demand for lifting salt tax was a slogan suitable to inspire all segments of the society.

1. National Small Industries Corporation (NSIC): 

This was set up in 1955 to promote, aid and foster the growth of small scale units in India. 

Functions of NSIC : 

• It supplies imported machines and raw materials to small scale industries on easy hire-purchase schemes.
• It exports the products of small units. 
• It provides technology to small scale Industries. 
• Helps in up-gradation of technology 
• Provides advisory service 
• Developing software technology parks and technology transfer centres.

2. The District Industries Centers (DICs): 

DICs were established in May 1978. District Industries Centers is the institution at the district level which provides all the services and support facilities to the entrepreneurs for setting up small and village industries. Identification of suitable schemes, preparation of feasibility reports, arranging for credit, machinery and equipment, provision of raw materials and other extension services are the main activities undertaken by these centers.

1. Utmost Good Faith: According to this principle, both insurer and insured should enter into contract in good faith. Insured should provide all the information that impacts the subject matter. Insurer should provide all the details regarding insurance contract.

2. Insurable Interest: The insured must have an insurable interest in the subject matter of insurance. Insurable interest means some pecuniary interest in the subject matter of the insurance contract.

3. Indemnity: Indemnity means security or compensation against loss or damages. In insurance, the insured would be compensated with the amount equivalent to the actual loss and not the amount exceeding the loss. This principle ensures that the insured does not make any profit out of the insurance. This principle of indemnity is applicable to property insurance alone.

4. Causa Proxima: The word ‘Causa proxima’ means ‘nearest cause’. According to this principle, when the loss is the result of two or more cause, the proximate cause, i.e. the direct. The direct, the most dominant and most effective cause of loss should be taken into consideration. The insurance company is not liable for the remote cause.

5. Contribution: The same subject matter may be insured with more than one insurer then it is known as ‘Double Insurance’. In such a case, the insurance claim to be paid to the insured must be shared on contributed by all insurers in proportion to the sum assured by each one of them.

6. Subrogation: Subrogation means ‘stepping the shoes on others’. According to this principle, once the claim of the insured has been settled, the ownership right of the subject matter of insurance passes on to the insurer. 

7. Mitigation: In case of a mishap, the insured must take off all possible steps to reduce or mitigate the loss or damage to the subject matter of insurance.

Reinsurance is a contract of insurance entered into by the insurer with another insurer to reduce the risk.

Incentives: 

The incentives offered by the government to develop backward areas are: 

1. Availability of land at concessional rate. 

2. Supply power at a concessional rate of 50% or exempt such units from payment in the initial years. 

3. Water is supplied on a no-profit, noloss basis or with 50 percent concession or exemption from water charges for a period of 5 years. 

4. All union territories, industries are exempted from sales tax, 

5. Most states have abolished octroi.

6. Units located in backward areas get scarce raw materials at concessional rates. 

7. Subsidy of 10-15% for building capital asset. Loans are offered at concessional rates. 

8. Some states encourage setting up of industrial estates in backward areas. 

9. Exemption from paying taxes for 5 or 10 years is given to industries established in backward, hilly and tribal areas.

Fidelity insurance

Subrogation principle states, the insurer step into the shoes of insured.

Double insurance

Government assistance to small Industries and Small Business: 

Institutional Support: 

1. National Bank for Agriculture and Rural Development (NABARD): 

NABARD was set up in 1982 to promote integrated rural development. 

Functions of NABARD:

• It provides financial support to small Industries, cottage and village industries and agriculture. 
• It provides counseling and consultancy services. 
• It also organises training and development programme for rural entrepreneurs.

2. The Rural Small Business Development Centre (RSBDC): 

It aims at providing management and technical support to current and prospective micro and small entrepreneurs in rural areas. RSBDC has organized several programmes on rural entrepreneurship, skill upgradation workshops, training programmes, etc. 

3. National small Industries Corporation (NSIC):

 This was set up in 1955 to promote, aid and foster the growth of small scale units in India. 

Functions of NSIC : 

• It supplies imported machines and raw materials to small scale industries on easy hire-purchase schemes. 
• It exports the products of small units.

4. Small Industries Development Bank of India (SIDBI): 

SIDBI was set up in 1980. SIDBI is the main financial Institution for financing and development of small Business in India. 

Functions of SIDBI:

• Helps SSI unit for modernization and technology upgradation by providing loan 
• Meet working capital requirements of SSI.

5. The National Commission for Enterprises in the Un-organised Sector (NCEUS): 

The NCEUS was constituted in September, 2004.

 The objectives of NCEUS: 

• To recommend measures for improving the productivity of small enterprises
• To generate more employment opportunities in rural areas

6. Rural and Women Entrepreneurship Development (RWED):

RWE provides the following services: 

• Creating a business environment that encourages initiatives of rural and women entrepreneurs. 
• Enhancing the human and institutional capacities required to foster entrepreneurial dynamism and enhance productivity. 
• Providing training manuals for women entrepreneurs and training them. 
• Rendering all types of advisory services. 

7. World Association for Small and Medium Enterprises (WASME): 

It is the only International Non-Governmental Organisation of micro, small and medium enterprises based in India, which set up an International Committee for Rural Industrialisation. Its aim is to develop an action plan model for sustained growth of rural enterprises.

There are several schemes to promote the non-farm sector initiated by the Government of India, i.e. IRDP, PMRY, TRYSEM, JRY, Development of Women and Children in Rural Areas (DWCRA) etc.

8. Scheme of Fund for Regeneration of Traditional Industries (SFURTI): 

To make the traditional industries more productive and competitive, the Central Government set up a fund with₹100 crores. 

The main objectives of the scheme are as follows:

• To develop clusters of traditional industries in various parts of the country 
• To make traditional industries competitive, profitable and sustainable 
• To create employment opportunities in traditional industries.

9. The District Industries Centers (DICs): 

DICs were established in May 1978. District Industries Centers is the institution at the district level which provides all the services and support facilities to the entrepreneurs for setting up small and village industries. 

Identification of suitable schemes, preparation of feasibility reports, arranging for credit, machinery and equipment, provision of raw materials and other extension services are the main activities undertaken by these centers.

Functions of Commercial Banks: 

a. Acceptance of deposits: 

A commercial bank accepts following types of deposits. 

They are 

1. Current deposit: 

This type of account is usually opened by business men. It carries no interest. There are no restrictions on number of deposits or withdrawals. 

2. Savings deposit: 

Savings accounts are for encouraging savings by individuals. Banks pay rate of interest as decided by RBI on these deposits. Withdrawal from these accounts has some restrictions. 

3. Fixed deposit: 

Fixed accounts are time deposits with higher rate of interest. They cannot be withdrawn before the maturity period.

b. Lending of funds: 

The second important function of a commercial bank is to grant loans and advances out of the money received through deposits. These advances can be made in the form of overdrafts, cash credits, discounting trade bills, term loans, consumer credits and other miscellaneous advances. 

1. Cash Credit: 

Under this arrangement, the bank advances loan up to a specified limit against current assets. The bank opens an account in the name of the borrower and allows him to withdraw the money up to the sanctioned limit. Interest is charged on the amount actually withdraw. 

2. Bank Overdraft: 

Overdraft is an arrangement where customers are allowed to withdraw up to a level over and above their deposits in the current account. Interest is to be paid only on the actual amount of overdraft availed by him. OD is granted to businessmen against their current account.

3. Discounting of bill of exchange: 

Under this, a bank gives money to its customers on the security of a bill of exchange before the expiry of the bill after deducting a small amount of discount.

4. Term Loans: 

These loans are provided by the banks to their customers for a fixed period. Interest will be charged to the entire amount of loan. 

c. Secondary Functions: 

The secondary functions of commercial banks are as under: 

1. Agency Functions:

• Cheque facility: Bank collects customers cheque drawn on other bank. There are two types of cheques mainly 
• Bearer cheques, which are encashable immediately at bank counters Crossed cheques which are to be deposited only in the payees account. 
• Payment of insurance premium, telephone charges, collection of dividend etc 
• Purchase and sale of shares and debentures 
• Acting as trustees or executors
• Providing credit information 

2. General utility services: 

• Providing lockers for safe custody of Jewellery and others valuables of customers 
• Issuing letter of credit, pay orders, bank draft, credit cards, traveller’s cheques to customers. 
• Underwriting issues of shares and debentures 
• Providing foreign exchange to importers and traveller’s going abroad.

Bank Draft: 

It is a financial instrument with the help of which money can be remitted from one place to another. The payee can present the draft on the drawee bank at his place and collect the money. Bank charges some commission for issuing a bank draft.

Pay Order: 

It is almost like a bank draft. Banks issue pay order for local purpose and issue bank draft for outstations.

1. Fidelity insurance.

2. This type of policy is taken by the employer of a fire to cover the risk arising out of fraud or dishonesty of his employees. Banks, Financial institutions and other business firms commonly use such insurance policies.

Fire insurance

Services are those identifiable and intangible activities that provide satisfaction of wants. Goods is a physical product which can be delivered to a purchaser and involves the transfer of ownership from the seller to customer.

The various types of telecom services are: 

1. Cellular mobile services: 

Mobile communication device including voice and non-voice messages, data services and PCO services utilising any type of network equipment within their service area.

2. Radio paging services: 

It means of transmitting information to persons even when they are mobile.

3. Fixed line services: 

It includes voice and non-voice messages and data services to establish linkage for long distance traffic.

4. Cable services: 

Linkages and switched services within a licensed area of operation to operate media services which are essentially one way entertainment related services.

5. VSAT services (Very small Aperture Terminal): 

It is a Satellite-based communication service. It offers government and business agencies a highly flexible and reliable communication solution in both urban and rural areas.

6. DTH services (Direct to Home): 

It is a Satellite based media services provided by cellular companies with the help of small dish antenna and a set up box.

The correct answer is Lord William Bentinck.

• The Sati Pratha was abolished under the Governor Generalship of Lord William Bentinck.
  • The Sati Pratha was abolished in 1829.
  • Ram Mohan Roy was known as the 'Father of the Bengal Renaissance'
  • He had worked for the upliftment of women's position in society.
  • He had worked against polygamy, child marriage, Purdah, and Sati Pratha. 
  • It is his work that led to the abolition of Sati Pratha in India.

(a) Licensing

lPR stands for lntellectual property rights

Considering option 1,

Profit % = 25%

Considering option 2,

Let cost price of 1000 grams be Rs. 100

Cost price of 800 grams = Rs. (800/1000) × 100 

⇒ Rs. 80

Selling Price of 800 grams = Rs. 100

Profit = SP - CP

⇒ 100 - 80 

⇒ Rs. 20

Profit % = (Profit/CP) × 100

⇒ (20/80) × 100

⇒ 25%

Considering option 3,

He mixes 25% impurities

Let he mixes 20 grams impurities in every 80 grams 

Let cost price of 100 grams be Rs. 100

Cost price of 80 grams = Rs. 80

Selling Price of 80 grams = Rs. 100

Profit = SP - CP

⇒ 100 - 80 

⇒ Rs. 20

Profit % = (Profit/CP) × 100

⇒ (20/80) × 100

⇒ 25%

The profit percent for all three options are the same.

∴ Rajan can choose any one of the options.