Sustainability, CSR, BRSR, SDGs, Ethics, and Business Sustainability | MCQs
Q1: Which companies are required to conduct impact assessments under the amended CSR Policy Rules, 2014?
A) Companies with minimum average CSR obligation of ₹5 crore or more
B) Companies with minimum average CSR obligation of ₹10 crore or more in the last 3 years
C) Companies with any CSR obligation
D) Companies with revenue above ₹100 crore
Answer: B
Q2: Under CSR Policy (2021), a company must conduct impact assessment if its CSR project outlay is at least:
A) ₹10 lakh
B) ₹50 lakh
C) ₹1 crore
D) ₹5 crore
Answer: C
Q3: When was the BRSR framework introduced by SEBI?
A) 2015
B) 2018
C) 2021
D) 2023
Answer: C
Q4: BRSR is mandatory for which companies?
A) All companies in India
B) Top 500 listed companies
C) Top 1,000 listed companies
D) Public Sector Undertakings (PSUs) only
Answer: C
Q5: The Social Impact Fund regulation was introduced by SEBI in which year?
A) 2015
B) 2018
C) 2020
D) 2022
Answer: D
Q6: Social Impact Fund primarily invests in:
A) Real estate projects
B) Securities of social enterprises
C) Cryptocurrency
D) Government bonds
Answer: B
Q7: What is the purpose of the Social Stock Exchange (SSE)?
A) To promote stock trading
B) To enable social enterprises to raise funds
C) To regulate NGOs
D) To manage corporate investments
Answer: B
Q8: Which of the following entities qualify for listing on the Social Stock Exchange?
A) Not-for-profit organizations
B) For-profit social enterprises
C) Both A and B
D) Only government organizations
Answer: C
Q9: Who stated that “The only social responsibility of business is to increase profits”?
A) Jeffrey York
B) Milton Friedman
C) Adam Smith
D) Karl Marx
Answer: B
Q10: What is the difference between stakeholders and shareholders?
A) Shareholders own stock, while stakeholders are affected by business decisions
B) Stakeholders own stock, while shareholders are only customers
C) Shareholders are not impacted by business operations
D) Stakeholders have voting rights in board meetings
Answer: A
Q11: Which of the following ethical approaches focuses on the greatest happiness for the greatest number?
A) Deontology
B) Virtue Ethics
C) Utilitarianism
D) Anthropocentrism
Answer: C
Q12: Which ethical theory considers nature as having its own rights?
A) Utilitarianism
B) Deontology
C) Pragmatism
D) Friedmanism
Answer: B
Q13: The Brundtland Commission (1987) defined sustainable development as:
A) "Maximizing profits for businesses while ensuring minimal environmental damage"
B) "Development that meets the needs of the present without compromising the ability of future generations to meet their own needs"
C) "Providing financial security to corporations while maintaining ethical standards"
D) "A government initiative to regulate industrial growth"
Answer: B
Q14: The United Nations adopted the Millennium Development Goals (MDGs) in which year?
A) 1987
B) 2000
C) 2015
D) 2021
Answer: B
Q15: Sustainable Development Goals (SDGs) were adopted in:
A) 2000
B) 2010
C) 2015
D) 2020
Answer: C
Q16: Which of the following was a major limitation of MDGs?
A) They neglected security, peace, and institutions
B) They were too ambitious
C) They were only applicable to developed nations
D) They had excessive government control
Answer: A
Q17: The Sustainability Venn Diagram Model includes which three aspects?
A) Profits, Economy, Innovation
B) Social, Environmental, Economic
C) Ethics, Compliance, Governance
D) Political, Human Rights, Technology
Answer: B
Q18: Which approach to sustainability emphasizes decision-making and experimentation?
A) Anthropocentrism
B) Eco-centrism
C) Pragmatic approach
D) Shareholder approach
Answer: C
Q19: What is a key business benefit of sustainability?
A) Increased compliance costs
B) Reduced employee engagement
C) Differentiated cost savings and market growth
D) Lower customer satisfaction
Answer: C
Q20: What is an important first step for a company implementing a sustainability strategy?
A) Conducting an impact assessment
B) Focusing only on profit maximization
C) Ignoring environmental regulations
D) Reducing employee salaries
Answer: A
Q21: Under CSR rules, which of the following is NOT a key component of CSR policy?
A) Environmental sustainability
B) Employee salary increments
C) Social impact projects
D) Ethical governance
Answer: B
Q22: What is the minimum duration a CSR project must be completed before undergoing impact assessment?
A) 3 months
B) 6 months
C) 1 year
D) 2 years
Answer: C
Q23: CSR is mandatory for companies with a net profit of at least:
A) ₹1 crore
B) ₹5 crore
C) ₹10 crore
D) ₹100 crore
Answer: B
Q24: The percentage of net profit required for CSR spending as per the Companies Act, 2013 is:
A) 1%
B) 2%
C) 3%
D) 5%
Answer: B
Q25: If a company fails to spend the prescribed CSR amount, it must:
A) Pay a penalty to the government
B) Carry it forward for next year
C) Transfer it to a specified fund within six months
D) Disclose the non-spending in its financial statement
Answer: C
Q26: Which organization mandated BRSR for the top 1,000 listed companies in India?
A) Reserve Bank of India (RBI)
B) Securities and Exchange Board of India (SEBI)
C) Ministry of Corporate Affairs (MCA)
D) Confederation of Indian Industry (CII)
Answer: B
Q27: BRSR aligns with which global reporting standards?
A) International Financial Reporting Standards (IFRS)
B) Global Reporting Initiative (GRI)
C) Indian Accounting Standards (Ind AS)
D) ISO 14000
Answer: B
Q28: Which of the following is NOT a key pillar of BRSR?
A) Environmental sustainability
B) Governance and ethics
C) Political contributions
D) Social responsibility
Answer: C
Q29: Which of the following is TRUE about Social Impact Funds?
A) They only invest in profit-driven businesses
B) They focus on generating both financial and social returns
C) They do not require any SEBI approval
D) They primarily invest in cryptocurrency
Answer: B
Q30: The Social Stock Exchange (SSE) was introduced in India in which year?
A) 2018
B) 2019
C) 2022
D) 2023
Answer: D
Q31: Which organization regulates the Social Stock Exchange (SSE)?
A) World Bank
B) SEBI
C) RBI
D) United Nations
Answer: B
Q32: The stakeholder model of corporate governance focuses on:
A) Maximizing profits for shareholders only
B) Balancing the interests of various stakeholders
C) Ignoring environmental concerns
D) Eliminating business ethics from decision-making
Answer: B
Q33: The concept of “Anthropocentrism” in sustainability means:
A) Humans are the most important entity
B) Nature has rights equal to humans
C) Profits are the only goal
D) Businesses should operate without regulations
Answer: A
Q34: Which philosopher is associated with the virtue ethics approach?
A) Aristotle
B) Immanuel Kant
C) John Stuart Mill
D) Milton Friedman
Answer: A
Q35: How many Sustainable Development Goals (SDGs) were adopted by the United Nations in 2015?
A) 10
B) 12
C) 17
D) 20
Answer: C
Q36: Which of the following is NOT an SDG?
A) No Poverty
B) Zero Hunger
C) Universal Income
D) Climate Action
Answer: C
Q37: Which SDG focuses on gender equality?
A) SDG 3
B) SDG 5
C) SDG 7
D) SDG 9
Answer: B
Q38: Why should businesses integrate sustainability into their operations?
A) To enhance long-term profitability
B) To meet regulatory requirements
C) To improve brand reputation
D) All of the above
Answer: D
Q39: The Triple Bottom Line (TBL) approach includes:
A) Profits, People, Planet
B) Products, Pricing, Promotion
C) Strategy, Sustainability, Success
D) Environment, Efficiency, Economics
Answer: A
Q40: Which of the following is NOT a key driver of corporate sustainability?
A) Environmental impact
B) Regulatory compliance
C) Ethical leadership
D) Ignoring stakeholder concerns
Answer: D
Q41: Which year did the Brundtland Commission introduce the concept of "Sustainable Development"?
A) 1972
B) 1987
C) 2000
D) 2015
Answer: B
Q42: What was the major limitation of the Millennium Development Goals (MDGs)?
A) They focused only on developing nations
B) They covered too many goals
C) They were not recognized by the UN
D) They ignored health and education
Answer: A
Q43: Which of the following companies is known for its sustainability initiatives?
A) Tesla
B) Unilever
C) Patagonia
D) All of the above
Answer: D
Q44: What is Greenwashing?
A) A process of recycling waste efficiently
B) A deceptive practice where companies falsely claim to be environmentally friendly
C) A method of planting trees for carbon offset
D) A government regulation on sustainability
Answer: B
Q45: Carbon footprint is a measure of:
A) The total greenhouse gases emitted by an entity
B) The profit a company generates
C) The number of employees in a company
D) The amount of water used by an organization
Answer: A
Q46: Which SDG focuses on Climate Action?
A) SDG 11
B) SDG 13
C) SDG 15
D) SDG 17
Answer: B
Q47: What is Circular Economy?
A) A system focused on reducing waste and reusing resources
B) A form of business structure
C) A model that promotes one-time product use
D) A traditional economic theory
Answer: A
Q48: Which company was the first to become carbon neutral?
A) Apple
B) Google
C) Microsoft
D) Tesla
Answer: B
Q49: Which of the following is NOT a key benefit of CSR for companies?
A) Enhanced brand reputation
B) Improved employee engagement
C) Increased regulatory scrutiny
D) Access to new markets
Answer: C
Q50: Which of the following sectors is most commonly involved in CSR activities?
A) Technology
B) Banking
C) Manufacturing
D) All of the above
Answer: D
Q51: The penalty for non-compliance with CSR regulations in India includes:
A) Warning letter from SEBI
B) Transfer of unspent CSR funds to a government-specified fund
C) Complete shutdown of business
D) Tax exemption withdrawal
Answer: B
Q52: The primary aim of BRSR is to:
A) Help investors understand a company’s sustainability performance
B) Increase the financial reporting burden on companies
C) Restrict businesses from expanding into new markets
D) Promote traditional accounting practices
Answer: A
Q53: Which of the following is NOT a core reporting principle under BRSR?
A) Stakeholder inclusiveness
B) Materiality
C) Competitive advantage
D) Sustainability context
Answer: C
Q54: Under BRSR, environmental disclosure includes reporting on:
A) Carbon emissions
B) Water usage
C) Renewable energy adoption
D) All of the above
Answer: D
Q55: Social Stock Exchange (SSE) is primarily designed to help:
A) Large multinational corporations
B) Startups in the technology sector
C) Social enterprises and not-for-profit organizations
D) Hedge funds
Answer: C
Q56: What is a key difference between Social Impact Funds and traditional investment funds?
A) Social Impact Funds focus only on financial returns
B) Social Impact Funds prioritize social and environmental impact alongside financial returns
C) Social Impact Funds operate only in rural areas
D) Social Impact Funds are not regulated
Answer: B
Q57: Which of the following entities is eligible to raise funds via the Social Stock Exchange?
A) Public Limited Companies
B) For-Profit Social Enterprises
C) Not-for-Profit Organizations
D) Both B and C
Answer: D
Q58: The SDG framework is part of which United Nations agenda?
A) Agenda 2020
B) Agenda 2030
C) Agenda 2050
D) Agenda 2075
Answer: B
Q59: Which of the following SDGs directly relates to ensuring access to clean water and sanitation?
A) SDG 5
B) SDG 6
C) SDG 7
D) SDG 9
Answer: B
Q60: The SDG that focuses on "Decent Work and Economic Growth" is:
A) SDG 3
B) SDG 5
C) SDG 8
D) SDG 10
Answer: C
Q61: What is the key goal of SDG 12?
A) Clean water for all
B) Affordable and clean energy
C) Responsible consumption and production
D) Quality education
Answer: C
Q62: The SDG related to "Climate Action" aims to:
A) Reduce carbon footprint
B) Increase global deforestation
C) Promote fossil fuel dependence
D) Stop research on renewable energy
Answer: A
Q63: A Circular Economy promotes:
A) Linear supply chains
B) Maximum waste generation
C) Product reuse and recycling
D) Overproduction of goods
Answer: C
Q64: Which company is known for adopting a sustainable supply chain strategy?
A) Nike
B) Unilever
C) IKEA
D) All of the above
Answer: D
Q65: A company implementing ESG (Environmental, Social, and Governance) strategies can expect:
A) Higher employee engagement
B) Stronger investor confidence
C) Long-term cost savings
D) All of the above
Answer: D
Q66: Greenwashing is a practice where companies:
A) Genuinely adopt sustainable practices
B) Falsely market themselves as environmentally friendly
C) Invest in renewable energy projects
D) Follow government environmental regulations
Answer: B
Q67: The Precautionary Principle in sustainability means:
A) Taking preventive action even without complete scientific certainty
B) Avoiding environmental responsibility until a disaster occurs
C) Waiting for government policies before taking action
D) Only addressing environmental issues if they affect profits
Answer: A
Q68: The Triple Bottom Line approach includes which three factors?
A) Economic, Environmental, Social
B) Profits, Sales, Investment
C) Corporate, Government, NGOs
D) Ethics, Profitability, Market Share
Answer: A
