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An entrepreneur has limited capital. Which decision is the most logical?

Answer and explanation

Correct answer: Prioritise essential activities and invest in stages

When capital is limited, an entrepreneur should first spend on activities essential for creating and selling the product, such as basic operations, testing, and customer needs. Staged investment reduces the risk of losing all the money at once and allows learning before expansion. Option B is correct; decoration, an untested machine, and missing records can waste resources or weaken financial control.

Related tags

Financial-ManagementLimited-CapitalStaged-InvestmentIntroduction To EntrepreneurshipEntrepreneurial Skills IArtificial IntelligenceClass 9 Mcq

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