Question
According to the MSMED Act (amendment 2020), an
enterprise with an investment of ₹7 crore in plant and machinery and a turnover of ₹35 crore will be classified as _______.Solution
As per the MSMED Act 2006 (amended in 2020): • A micro enterprise is one where the investment in plant and machinery or equipment does not exceed ₹1 crore and turnover does not exceed ₹5 crore. • A small enterprise is one where the investment does not exceed ₹10 crore and turnover does not exceed ₹50 crore. • A medium enterprise is one where the investment does not exceed ₹50 crore and turnover does not exceed ₹250 crore.
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