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Internal Environment: Internal environment includes all those factors which influence business and which are present within the business itself. These factors are usually under the control of business. The study of internal factors is really important for the study of internal environment.

Internal micro-environment factors are: 

The general vision of the company : This is developed by the management and leads the company ‘s activities to operations focused on production, technology, sales or market. It’s very important that the focus is on marketing, trying to appease both company’s and market’s objectives.

Marketing integration : Related to the general vision of the company . The marketing function must be an integrator function for all other functions, so that the marketing concept can be promoted.

Organizational culture : It represents a series of values and beliefs promoted company wide, being a result of cultural elements that characterize the people that run the business or support it: employees, managers, shareholders, union. Development of organizational culture is crucial.

Employees: This is the main internal micro-environmental factor that influences the company. considering that the employees are involved in all company’s operations. Employees’ satisfaction is important because it results in customer satisfaction.

Establishment of standards: Standards are benchmarks. Through standards, we can compare output to standardization. It serves the purpose of being a threshold which has to be achieved or surpassed. The creation and the prior establishment of standards is the first step involved in the process of controlling. The standards are established in accordance to the plan that is developed for the entire organization.

Ascertainment of output : The second main step in controlling is the measurement of performance. Gauging deviations from the planned measures is easier for measurable standards of performance as they can be quantified in units, cost, money terms, etc. However, non- measurable standards of performance are difficult to locate.

Identification of deviations : After the actual output is determined, it is compared and contrasted to the established standards. This step is central to the entire process of controlling as the deviations from the plan is identified during this step. Deviations can be referred to all those factors present in the actual output that prove distinct and different from the established standard.

Answer is:  Tin

8°4′ North to 37°6′ North latitude and 68°7′ East to 97°25′ East longitude.

Answer is: Kolkata.

A – Outer Himalayas as Shiwalik range. 

B – Duns or Duars. 

C – Middle or Lesser Himalayas or Himanchal. 

D – Inner Himalayas or Himadri. 

E – Tibetian Plateau.

India is called a subcontinent because of its : 

1. Vast size. 

2. Diversity like: The Thar desert, The ice-covered lofty Himalayas in the north, Vast Indo-Gangetic plains to its south, The Deccan plateau, The high temperature and heavy rains of the tropical monsoon climate.

India is separated from the rest of Asia in the north by a chain of lofty mountains, oceans and season all the three sides. The entire region comes under the influence of the tropical monsoons giving it a distinctive climatic pattern. Due to the vastness and diversities, India is considered to be a sub-continent.

(i) Bengaluru is the biggest center of production of electronic goods. It has factories for TV, Radio, Mobile and Computer sets and also makes items for P&T, defense, railway and metrological department. 

(ii) Chhattisgarh basin is the main rice-producing region in the state of Chhattisgarh. It accounts for 8.5% of rice-producing area of India. 

(iii) Haldia port has been developed on the confluence of rivers Hugli and Haldi about 105 km downstream from Kolkata. Its main purpose is to release congestion at Kolkata. It receives larger vessels which otherwise would have to go to Kolkata.

India: 32-87 Lakh sq. km /3287263/3-28 million sq. km. 

Australia: 7686848 sq. km.

(i) Silk in Chhattisgarh comes from Bastar and Bilaspur districts. 

(ii) 1. Sericulture is a labor-intensive industry and therefore provides employment to many people in Chhattisgarh. 

2. In Chhattisgarh, silk is produced by small units, individual farm families in regions of rural population.

(a) Godavari originates in the Nashik district of Maharashtra. 

(b) Godavari forms its delta before joining Bay of Bengal in Andhra Pradesh.

A – Malwa Plateau 

B – Vindhya 

C – Satpura 

D – Deccan Plateau

There is a need for planned development for a country like India due to 

1. Rapidly increasing population and pressure on physical resources. 

2. Growing demand for food and other necessities of life. 

3. Improving the general standard of living in less developed parts of India. 

4. Economic progress, social advancement, political development and environment preservation.

Factors that influenced the development of the Electronic city of Bengaluru are : 

1. The incentives by the state and central government. 

2. The strategic location of the city in the middle of the Indian peninsula. 

3. A close network of road and railways. 

4. A large number of Indian, foreign and multinational companies have invested large sums of money to nourish industries.

Three factors which have influenced the development of electronic city of Bengaluru are : 

1. The incentives by the state and central governments.

2. The strategic location of the city in the middle of the Indian Peninsula and a close network of roads and railways. 

3. A large no. of Indian and foreign multinational companies have invested a huge sum of money to nourish electronic industries in this city.

Bengaluru has emerged as electronic capital of India because of : 

1. The incentives by the State and Central government. 

2. The strategic location of the city is in the middle of the Indian peninsula. 

3. A close network of road and railways.

4. A large number of Indian, foreign and multinational companies have invested large sums of money to nourish industries.

(i) A planning region refers to an area which is the main focus of efficient placement of infrastructure and zoning for sustainable growth. 

(ii) Two characteristics of a planning region are:

1. It aims to promote environmental, social and economic issues of a region. 

2. It aims at optimum utilisation of resources.

When the south-west monsoon fails to bring rainfall for two or more weeks and there is a dry spell in the rainy season, it is called the break in the monsoon. 

This break is caused due to : 

1. Failure of the tropical depressions, 

2. Continuous rainfall L.P. trough changes to H.P. monsoon trough is dislocated and rain becoming winds change their direction.

The river carries a heavy load some of which is deposited on its bed. This may produce mounds which divide the river into several channels. When this happens, the river is said to be braided, e.g., the river Kosi or the lower course of river Ganga.

(a) Industrial clusters are groups of interrelated industries that drive wealth creation in a region, primarily through export of goods and services.

(b) The two indices are : 

1. Quantum of power used for 

2. Total Industrial Output.

The natural harbours generally occur along a fairly indented coastal line. If an inlet or a backwater bay penetrates inland for longer distance, it facilitates the transportation of large cargo to the further inland from the open sea. Artificial harbours are constructed by dredging and erecting a wall against the sea along the coastline.

The integrated iron and steel industries are: 

(a) Tata Iron and Steel Company, Jamshedpur. 

(b) The Hindustan Steel Limited, Bhilai.

The two factors are : 

(a) The black soil in the hinterland of Mumbai works as the basic raw materials for cotton. 

(b) Mumbai enjoys humid climate which is essential for this industry because the thread does not break so frequently in such climate.

(i) ice, negative

(ii) vapour, less 

(iii) PCl₅, benzal chloride 

(iv) basic, more 

(v) oxidising, electronegativity

 Magnitude of induced e.m.f depends on 

(1) the magnitude of e.m.f. applied in the primary coil. 

(2) the number of tums in the coil.

(i) Centre of gravity of a uniform ring is at its geometric centre. 

(ii) False.

(i) The magnitude of induced e.m.f. in the secondary coil depends on : 

(1) The change in the magnetic flux, and 

(2) No. of turns in the coil. 

(ii) (1) A to B (2) Lenz’s law.

(i) Substance B is a good conductor of heat. 

(ii) Because specific capacity of B is less then that of A. 

(iii) Substance A is more useful in car radiator.

Line source of light yields cylindrical wave front.

(a) Online shopping is the process of buying goods and services from merchants over the Internet. Since the emergence of the World Wide Web, merchants have sought to sell their products to people who spend time online. Shoppers can visit web stores from the comfort of their homes and shop as they sit in front of the computer. Consumers can buy a huge variety of items from online stores, and just about anything can be purchased from companies that provide their products online. Books, clothing, household appliances, toys, hardware, software, and health insurance are just some of the hundreds of products consumers can buy from an online store.

Many people choose to shop online because of the convenience. For example, when a person shops at aEasy day or Reliance Mart, he/she has to drive to the store, find a parking place, and walk throughout the store until she locates the products she needs. After finding the items she wants to purchase, she may often need to stand in long lines at the cash register

Three company do online trading in India are :

• Snapdeal is an Indian e-commerce company based in New Delhi, India. The company was started by Kunal Bahl and Rohit Bansal in February 2010.
• AJIO is an Indian e-commerce company in the fashion space, headquartered in Bangaluree, Karnataka, India. AJIO was launched in 2016 by Reliance Retail, a subsidiary of Reliance Industries Ltd. led by Chairman Mukesh Ambani.
• Shopclues is an online marketplace owned by Clues Network Pvt. Ltd. It was established in July 2011 in Silicon Valley by Sanjay Sethi, Sandeep Aggarwal and Radhika Aggarwal.

(b) The following are the reasons that contribute to the growth of online shopping in India : 

• Convenience : A major factor for the popularity of online shopping in India is convenience. Without the need to go out and tackle the traffic, with just a few clicks consumers can save their too much time and effort. With e-commerce, you can hassle-free place the order from your place and get the items delivered to your doorstep. Furthermore, during the festive season and gazetted holidays, you can avail huge discounts and offers on plethora of product range. Rise in mobility- With the advent of hi-tech gadgets such as tablets and smartphones has resulted in online shopping in India. With the use of such gadgets, Shopaholics can buy from anywhere, anytime.
• Better services : Providing maximum customer satisfaction is what online retailers look for. Whether it is return policy or safety of payment, you will get the best services.
• Growth of social media : More and more advertisements on Facebook and other social media sites has led to the growth of online shopping in India.
• Increasing time-poverty : In their crunched schedules, consumers are finding less time to shop. Nowadays, most of the people are working from home, which results in the increasing growth rate in internet retailing
• Easy Payment Options : Instead of waiting in long lines at the cashiers, online payment options gives consumers the facility to pay online through secured payment gateway. All this has increased the demand of online shopping among the Indians.
• Discount Coupons and offers : Indians love to buy products at the most discounted prices. Offering huge discounts and offers to customers results in attracting more customers to the store which leads to more popularity.

When it comes to shopping with ease and comfort, visit ADI Shopping. This is the best online shopping platform to buy an amazing assortment of products from various categories.

(C) A distribution channel is a chain of businesses or intermediaries through which a good or service passes until it

reaches the end consumer. It can include wholesalers, retailers, distributors and even the internet itself. Channels are broken into direct and indirect forms, with a "direct" channel allowing the consumer to buy the good from the manufacturer, and an "indirect" channel allowing the consumer to buy the good from a wholesaler or retailer.

Motorola sell its new launch products recently through online on Flipkart for wider the distribution at once, because online marketplaces are popular indirect sales channels utilized by businesses of all sizes. By selling through an online marketplace, Motorola can reach a wider net of potential clients who might otherwise not know they exist. As an added bonus, using this channel can help cut down on your marketing costs.

Of course, using an online marketplace comes with some disadvantages as well. Flipkart and other marketplaces can charge hefty fees to suppliers.

Few other distribution channels adopted by marketers are : 

• Distributors : Distributors are mainly wholesale businesses that specialize in selling to retailers, not directly to consumers. Because they have an incentive to sell your products for you, distributors save you money on hiring and training a sales force to market your products to their customers. Additionally, having a distributor may mean you don’t need to maintain a retail location, which is capital that can be reinvested into your business. There are limitations that you should keep in mind. Because distributors mark up goods to make a profit, they may not be ideal for companies selling lower-value products. You will have to make sure that your product is priced sufficiently below its suggested retail price so that a distributor—and their retail partners—will be willing to carry it. Further, distributors may choose not to work with you if your target market is too small.
• Foreign Distributors : While domestic distributors sell goods within the U.S., foreign distributors specialize in sales overseas. There are various benefits of using a foreign distributor, including the opportunity to gain access to new customer bases around the world. Additionally, foreign distributors handle customs formalities and paperwork, leaving you more time to focus on operations.  Despite these benefits, using a foreign distributor is not without its drawbacks. Typically, businesses have to agree to sell to the distributor at a deep discount. As a result, this sales channel may not be ideal for low-price products or those with a limited audience.
• Affiliate Sales : Affiliates are individuals or companies that sell goods on other businesses’ behalf. In exchange for their services, affiliates receive commissions on sales. While affiliates help businesses reach larger and more varied customer bases, they tend to charge high commissions for their services. Moreover, some affiliates have been known to participate in fraudulent practices like false advertising. Evaluate any potential affiliate before choosing them to sell your product. The last thing you want is for customers to hold you responsible for the deceitful actions of an affiliate marketer.

(a)

(b) 

The elements of public relation are : 

•  Know your target audience : Understanding the target audience is the most important part of any successful public relations strategy. Do your research and identify the demographics of the ideal customer. Then you can tailor the PR elements of your campaign around these characteristics. 
• Set realistic goals : Think about what you hope to achieve with your brand, and when. Be realistic, but also don’t be afraid to be ambitious. You should have a clear vision of what you want your PR strategy to accomplish, whether it’s increased social media presence, traditional media exposure, or thought leadership. Include these goals in your PR strategy and create an action plan with which to achieve them. 
• Develop a message : Once you know who you’re reaching and what you want to achieve, the next step is figuring out how to tailor your message to your audience to make your goals a reality. Because you’ve done your research and know your audience, you should know the most effective ways to reach them. Maybe you’ve identified a gap in the marketplace that you can fill with your products or services. Create a message that identifies these pain points and clearly outlines how your brand can improve their lives. Use language that best speaks to your audience, and reach them through the media they’re likely to consume. 
• Know your competition : The only way to stay ahead of the competition is to know everything about it. Make a list of your biggest threats and then take note of what they’re doing. Monitor their PR activities and note their successes and missteps. If a strategy seems to be working for them, see if you can incorporate something similar into your own campaign. If you see them lacking in a certain area, there’s an opportunity for you to fill the gap. Don’t directly replicate your competition’s PR strategies. Rather, learn from them to improve your own. 
• Stay relevant : The only way to stay top-of-mind with the public is to remain a relevant force in the marketplace for as long as possible. Keep up with trends, and go where the people are. Experiment with different social media platforms as they fall in and out of favor with your target audience. Following long-term trends is always important, but also stay on top of viral crazes and current events. People will only talk about your brand if your brand is doing things worth talking about, so keep your ear to the ground and create buzz as often as possible.

(i) Campus Recruitment : Campus recruitment refers to the process whereby employers undertake an organized program of attracting and hiring students who are about to graduate from schools, colleges, and universities. Campus recruitment programs are widespread in most of the developed world. Employers commonly attend campuses to promote employment vacancies and career opportunities to students who are considering their options following graduation.

Campus recruitment includes specific advantages and disadvantages. Main advantage of campus placement is that it is possible for companies to select best, quality candidates within short time duration. Students can have the advantage of getting a reputed job even before completion of their academic course in college. Increased selection ratio, building company loyalty among students, etc is some other possible advantages. The main disadvantages of campus recruitment are incurred high expenses for companies (in recruitment and training).

(ii) Placement agencies as external sources of recruitment : All organizations have to use external sources for recruitment to higher positions when existing employees are not suitable. More persons are needed when expansions are undertaken. One of the important source for external recruitment are placement agencies. Placement is the mediator in between organization requirement and candidate preference. In simple way, placement agency coordinate with candidates and organization to fulfill their needs, requirements and preferences.

When an employee learns the job in actual working site in real life situation, and not simulated environment, it is called On-the-job Training. Employee learns while working. Take the instance of roadside mechanics. For Example-A small boys working there as helpers learn while helping the head mechanic. They do not learn the defect analysis and engine repairing skills in any classroom on engine models.

This type of training, also known as job instruction training, is the most commonly used method. Under this method, the individual is placed on a regular job and taught the skills necessary to perform that job. The trainee learns under the supervision and guidance of a qualified worker or instructor.

On-the-job training allows employees to learn by actually performing a specific job or task. The employee will perform the job and learn as he goes. On-the-job training can be structured by using hands-on application supported by classroom-type instruction. It can also be unstructured using only hands-on application.

Two On-The-Job Training methods are :

• Job rotation : This training method involves movement of trainee from one job to another gain knowledge and experience from different job assignments. This method helps the trainee understand the problems of other employees
• Coaching : Under this method, the trainee is placed under a particular supervisor who functions as a coach in training and provides feedback to the trainee. Sometimes the trainee may not get an opportunity to express his ideas.

(i)  over,

(ii)  for,

(iii)  at,

(iv)  with,

(v)  of, 

(vi)  at,

(vii)  beyond,

(viii)  for,

(ix)  of,

(x)  for

The matching principle is an accounting principle which states that expenses should be recognized in the same reporting period as the related revenues

The matching principle combines accrual accounting (wherein revenues and expenses are recorded as they are incurred, no matter when cash is received) with the revenue recognition principle (which states that revenues should be recognized when they are earned, no matter when cash is received).

The matching principle is not used in cash accounting, wherein revenues and expenses are only recorded when cash changes hands.

The matching principle a basic accounting principle that is adhered to in order to ensure consistency in a company's financial statements : i.e. the income statement, balance sheet, etc.

If expenses are recognized at the wrong time, the financial statements may be greatly distorted: in turn jeopardizing the quality of the statements and providing an inaccurate representation of the financial position of the business.

For example :

• If you recognize an expense earlier than is appropriate, this results in a lower net income.
• If you recognize an expense later than is appropriate, this results in a higher net income

Benefits of the matching principle :

Certain business financial elements benefit from the use of the matching principle. Assets(specifically longterm assets) experience depreciation and the use of the matching principle ensures that matching is spread out appropriately to balance out the incoming cash flow.

The matching principle allows an asset to be distributed and matched over the course of its useful life in order to balance the cost over a given period.

A central bank, reserve bank, or monetary authority is an institution that manages a state's currency, money supply, and interest rates. Central banks also usually oversee the commercial banking system of their respective countries. The main function of a central bank is to act as governor of the machinery of credit in order to secure stability of prices.

It regulates the volume of credit and currency, pumping in more money when market is dry of cash, and pumping out money when there is excess of credit.

Two main function of central bank are :

• Issue of Currency : The central bank is given the sole monopoly of issuing currency in order to secure control
• over volume of currency and credit: These notes circulate throughout the country as legal tender money. It has to keep a reserve in the form of gold and foreign securities as per statutory rules against the notes issued by it.
• Custodian of Foreign Exchange or Balances : It has been mentioned above that a central bank is the custodian of foreign exchange reserves and nation’s gold. It keeps a close watch on external value of its currency and undertakes exchange management control. All the foreign currency received by the citizens has to be deposited with the central bank; and if citizens want to make payment in foreign currency, they have to apply to the central bank. Central bank also keeps gold and bullion reserves.

(i) Consumer Rights : Consumer rights are generally a reference to a body of law that pertains to things the producers of goods must do to protect customers from harm. These laws have come into existence through a series of legal disputes, and have been shaped by the results of those cases. In a few instances, some states have actually codified regulations that they refer to as “consumer rights” laws, but this is not yet the majority practice, and even these codifications may not cover all of the principles that are generally considered “consumer rights.”

Generally accepted basic consumer rights are

• Right to safety : protection from hazardous goods.
• Right to be informed : availability of information required for weighing alternatives, and protection from false and misleading claims in advertising and labelling practices.
• Right to choose : availability of competing goods and services that offer alternatives in terms of price, quality, service.
• Right to be heard : assurance that government will take full cognizance of the concerns of consumers, and will act with sympathy and dispatch through statutes and simple and expeditious administrative procedures.

(ii) Direct and Indirect Labour Cost : Direct labor cost is wages that are incurred in order to produce specific goods or provide specific services to customers. The total amount of direct labor cost is much more than wages paid. It also includes the payroll taxes associated with those wages, plus the cost of company-paid medical insurance, life insurance, workers' compensation insurance, any company-matched pension contributions, and other company benefits.

Direct labor costs are most commonly associated with products in a job costing environment, where the production staff is expected to record the time they spend working on various jobs. This can be a substantial chore if employees work on a multitude of different products.

In the services industries, such as auditing, tax preparation, and consulting, employees are expected to track their hours by job, so their employer can bill customers based on direct labor hours worked. These are also considered to be direct labor costs.

Indirect labor is the cost of any labor that supports the production process, but which is not directly involved in the active conversion of materials into finished products. Examples of indirect labor positions are:

• Production supervisor
•  Purchasing staff
•  Materials handling staff
• Materials management staff
• Quality control staff

The cost of these types of indirect labor are charged to factory overhead, and from there to the units of production manufactured during the reporting period. This means that the cost of indirect labor related to the production process ends up in either ending inventory or the cost of goods sold.

(a) (i) Consumer Rights are now an integral part of our lives like a consumerist way of life market resources and influences are growing by the day and so is the awareness of one’s consumer rights. 

The following are the consumer rights: 

(A) Right to Safety 

(B) Right to be Informed 

(C) Right to Choose 

(D) Right to be Heard 

(E) Right to seek addressed 

(F) Right to Consumer Education 

(ii) Direct Labour Costs is that cost which are specifically and conveniently traceable to specific products. Labour takes an active and direct part in the production of a goods. Indirect Labour Costs is that cost which cannot be easily traced to specific units of output. Labour is employed for carrying out tasks incidental to goods produced. 

(b) The following are the two functions of a Central Bank : 

(i) Banker’s Bank : The central bank acts as a banker to all the commercial banks in the country. This means, the relation of the central bank with other banks of the country is almost alike to those of a bank with its customer. Commercial banks are required to keep a certain proportion of their deposits in the form of cash reserves with the central bank. These reserves facilitates the central bank to control the issue of credit by commercial banks. 

(ii) Custodian of Foreign Currency : The central bank is the sole custodian of gold and foreign currency reserves of the country. It preserves the reserves of the country, in order to utilize them for making payments to foreign countries when the balance of payments is unfavorable, foreign exchange resources are reduced. The central bank, therefore, advises the government to impose restrictions on exports and encourage imports or vice-versa in such a way that the balance of payments may be favorable to the country. 

(c) The two methods of On-The-Job Training are : 

(i) Apprenticeship Training: In this method, the trainees learn by working with those who are already skilled in their jobs. It aims at providing necessary background; practical know ledge and necessary experience to the worker. The Government of India has set up Industrial Training Institutes (ITIs) for the purpose of apprenticeship training. During this training, trainee may be given a stipend. 

(ii) Job Rotation: In this method, the trainee is periodically rotated from job-to-job. The trainee gets job knowledge and gains experience in different assignments. Few persons have the capacity to move from one job to another. So, the persons to be trained arid the jobs to which they are to be rotated should be selected carefully.

Transported Soil—If a soil is carried else where at the place of rest by the agents of gradation, it is transported soil e.g. Alluvial Soil. 

In situ Soil—If the soil remains at the place of its origin it is called in situ soil. e.g. Black Soil.

Characteristics of S. W. Monsoon rainfall: 

(i) Orographic in nature 

(ii) Uncertain in amount and time.

(i) Annual rainfall — 114.3 cm. 

(ii) Suggested name is Chennai because the station is receiving most of its rain in October and November. 

(iii) Retreating monsoon season.

Reasons: 

(i) When the Malabar coast is receiving heavy rainfall in July, the Tamil Nadu coast is dry because it lies in rain shadow region of Arabian sea branch and Bay of Bengal is parallel to the coast.

(ii) Northern plains have continental climate because it is away from the moderating influence of the sea. 

(iii) Central Maharashtra receives little rainfall because it lies in the rain shadow region of western ghats when Arabian sea branch strikes it.

A sustained rising trend in general price level is known as inflation and if there is a sustained rise in price over time at a mild or moderate rate say round 1 to 2 percent per year it is desirable for the development of an economy because if price will increase, profit will increase, more profit will lead to higher production of goods and services, which increases national income and enhance economic develops.

Complementary goods are those goods which are used jointly and consumed together like tennis ball and a racket, petrol and car. The relationship between the price of a product and the quantity demanded of another is inverse. 

For example if the price of cars were to rise, less people would choose to buy and use cars, switching perhaps to public transport trains. It follows that under these circumstances the demand for the complementary good petrol would also decrease.

Personal saving: The main factor that determines capital formation in a country is personal saving. By personal saving we mean the difference between personal income and personal consumption. The difference can be utilised for capital formation.

(a) False: Commercial bank do not act as the lender of the last resort. It is the Central Bank who provides financial help to the Commercial Banks in the time of emergency that is why ‘central bank’ of the country acts as a ‘lender of last resort’ for the commercial bank. Commercial banks are the unique financial institutions in modem economies which are able to create money in the form of deposit money. 

(b) True: The privatisation of public sector units do not guarantee social welfare because if the major industries are left in the hands of the private sector, they can make them the tools of exploitation of masses and endanger the safety of the country. Private entrepreneurs work with profit motives. The ownership of industries will entail them the right to exploit the consumers and wage earners on the one hand and suppliers of raw materials and finished products on the other. 

(c) True: Producers in a perfect market are price takers because no single firm or single consumer can influence the price because of its negligible share in total supply. As product offered by producer is homogeneous. However, price is determined by the collective actions of all the consumers. 

(d) False: Price of a commodity and quantity supplied have direct relationship not inverse. Supply comes from producer side and it is natural for the seller to offer more of a commodity as price ascends and less of a commodity as price decreases because as price increases his profit also increases and vice-versa. 

(e) False: A rise in income level does not lead to a fall in demand for normal good rather with a rise in income, the purchasing power of people also increases, which in turn encourages the people to demand more of luxuries and comforts.