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Why is it necessary for an entrepreneur to maintain records of income and expenses?

Answer and explanation

Correct answer: वित्तीय स्थिति तथा लाभ या हानि समझने के लिए

A record of income and expenses shows how much money enters and leaves the business. By comparing the two, an entrepreneur can estimate profit or loss, monitor the financial position, control unnecessary spending, and plan future activities. The other options are unrelated: record-keeping is not meant to increase paperwork, avoid customers, or stop production.

Related tags

Financial-RecordsIncomeExpensesProfit-LossIntroduction To EntrepreneurshipEntrepreneurial Skills IArtificial IntelligenceClass 9 Mcq

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