Target Exam

CUET

Subject

Business Studies

Chapter

Social Responsibilities of Business and Business Ethics

Question:

Which of the following is not the social responsibility of business towards the investors?

Options:

Ensure safety of capital

Ensure proper dividend

Ensure proper utilisation of capital

Giving an appropriate salary

Correct Answer:

Giving an appropriate salary

Explanation:

The correct answer is option 4- Giving an appropriate salary.

Giving appropriate salary is a social responsibility towards employees.

A business enterprise has the responsibility to provide a fair return to the shareholders or owners on their capital investment and to ensure the safety of such investment. The corporate enterprise on a company form of organisation must also provide the shareholders with regular, accurate and full information about its working as well as schemes of future growth.