Classify industries on basis of capital investment

Classify industries on the basis of capital investment.

Answer:
Following is the classification of industries on the basis of capital investment:

  1. Small-scale Industries: A small-scale industry is defined with reference to the maximum investment allowed on the assets of a unit. This limit has changed over a period of time. At present, the maximum investment allowed is rupees 1 crore.
  2. Large-scale Industries: If investment is more than rupees 1 crore on any industry, then it is known as a large-scale industry.