Test Booklet No.
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Paper-II
MANAGEMENT
Signature and Name of Invigilator
1. (Signature) .........................................
(Name) ................................................
2. (Signature) .........................................
(Name) ................................................
DEC -51213
Time Allowed : 1¼ Hours]
Number of Pages in this Booklet : 12
Instructions for the Candidates
1. Write your Seat No. and OMR Sheet No. in the space provided
on the top of this page.
2. This paper consists of 50 objective type questions. Each question
will carry two marks. All questions of Paper-II will be compulsory,
covering entire syllabus (including all electives, without options).
3. At the commencement of examination, the question booklet
will be given to the student. In the first 5 minutes, you are
requested to open the booklet and compulsorily examine it as
follows :
(i) To have access to the Question Booklet, tear off the
paper seal on the edge of this cover page. Do not accept
a booklet without sticker-seal or open booklet.
(ii) Tally the number of pages and number of questions
in the booklet with the information printed on the
cover page. Faulty booklets due to missing pages/
questions or questions repeated or not in serial
order or any other discrepancy should not be
accepted and correct booklet should be obtained
from the invigilator within the period of 5 minutes.
Afterwards, neither the Question Booklet will be
replaced nor any extra time will be given. The same
may please be noted.
(iii) After this verification is over, the OMR Sheet Number
should be entered on this Test Booklet.
4. Each question has four alternative responses marked (A), (B),
(C) and (D). You have to darken the circle as indicated below on
the correct response against each item.
Example : where (C) is the correct response.
A B D
5. Your responses to the items are to be indicated in the OMR
Sheet given inside the Booklet only. If you mark at any place
other than in the circle in the OMR Sheet, it will not be evaluated.
6. Read instructions given inside carefully.
7. Rough Work is to be done at the end of this booklet.
8. If you write your Name, Seat Number, Phone Number or put
any mark on any part of the OMR Sheet, except for the space
allotted for the relevant entries, which may disclose your
identity, or use abusive language or employ any other unfair
means, you will render yourself liable to disqualification.
9. You have to return original OMR Sheet to the invigilator at the
end of the examination compulsorily and must not carry it with
you outside the Examination Hall. You are, however, allowed
to carry the Test Booklet and duplicate copy of OMR Sheet on
conclusion of examination.
10. Use only Blue/Black Ball point pen.
11. Use of any calculator or log table, etc., is prohibited.
12. There is no negative marking for incorrect answers.
Seat No.
(In figures as in Admit Card)
Seat No. ..............................................................
(In words)
OMR Sheet No.
(To be filled by the Candidate)
[Maximum Marks : 100
Number of Questions in this Booklet : 50
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 DEC-51213/II

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Management
Paper II
Time Allowed : 75 Minutes] [Maximum Marks : 100
Note : This Paper contains Fifty (50) multiple choice questions, each question carries
Two (2) marks. Attempt All questions.

1. If the demand for a good is unit 4. Which parameters are important in

Phillips curve analysis ?
elastic, the coefficient of elasticity of
demand would be ........................... . (A) Inflation and money supply

(A) Zero (B) Inflation and unemployment

(B) One (C) Consumption and savings

(C) Infinity (D) Saving and investment

5. (i) Agricultural income tax in

(D) Less than zero
India is levied by the Union
2. The effect of imports on the circular
Government.
flow of income depends on :
(ii) Entertainment tax is levied by
(A) Outflow of income the State Governments
(B) Inflow of income What can you say about these
(C) Composition of imports statements ?

(D) Quality of imports (A) Both the statements are correct

3. The NNP is defined as : (B) Both the statements are

incorrect
(A) GNP + taxes
(C) Statement No (i) is correct and
(B) GNP + depreciation
Statement No (ii) is incorrect
(C) GNP – depreciation
(D) Statement No (i) is incorrect
(D) GNP + taxes – subsidies and statement No. (ii) is correct

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 DEC-51213/II

6. Which of the following has 9. Managerial Grid theory was

overlooked the significance of advocated by :

interpersonal behaviour in work (A) Robert House

settings ? (B) Blake and Mouton

(A) Industrial Psychology (C) Hersey Blanchard

(B) Human Relations (D) Fielder

10. Which of the following assumes that

(C) Scientific Management
effective communication forms an
(D) Modern Management
intrinsic factor of effective work and
7. Perceptual organisation is efficient problem solving ?

determined by : (A) Persuasion approach

(A) Functional factors (B) Innovative and creative

approach
(B) Mental set
(C) Problem solving approach
(C) Physiological factors
(D) Communication event approach
(D) Attitudinal factors
11. Which of the following is not usually
8. Job involvement is a type of : a group incentive plan ?

(A) Belief (A) Halsey incentive plan

(B) Value (B) Priestman bonus plan

(C) Attachment (C) Rucker incentive plan

(D) Towre’s incentive plan

(D) Attitude
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12. Subsistence allowance is paid to 15. The advantages of employing

employee when he/she is : various methods of job analysis

is :
(A) Suspended pending enquiry
(A) Cost
(B) Retrenched
(B) Accuracy
(C) Dismissed
(C) Complexity
(D) Superannuated (D) Participation by job

13. TAT stands for : incumbments and managers

16. Conflicts of interest among

(A) Training Analysis Test
stockholders, bondholders and
(B) Thematic Appreciation Test
managers is known as :

(C) Thematic Application Test (A) Stockholder problem

(D) Thematic Apperception Test (B) Bondholder problem

14. Appointment of welfare officer under (C) Managerial problem

Factories Act, 1948 is compulsory (D) Agency problem

where ................... employees are 17. When one divides “Riskless cash
employed. flows” by “Risky cash flows”, the
result is :
(A) 50
(A) Risk adjusted discount rate
(B) 500
(B) Certainty equivalent coefficient
(C) 1000
(C) Coefficient of variation
(D) 100
(D) Sensitivity coefficient

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 DEC-51213/II

18. 15% Rs. 200 face value debenture
is currently selling for Rs. 220, the
annual current yield would be
................. .
(A) 15%
21. Which of the following statements
reflect the “Marketing Concept”
Philosophy ?
(A) “You will not find a better deal
anywhere else”

(B) 13.64% (B) “Our organization does not

(C) 14.63% have a marketing department,
we have a customer
(D) 16%
department”
19. CAPM is used to calculate
................. . (C) “We are in the business of
making and selling superior
(A) Cost of debt capital
products”
(B) Cost of index capital
(D) “In case of choice between profits
(C) Cost of equity capital
and customer needs, profits will
(D) Cost of preference capital always win out”
20. Restructuring which refers to the 22. ‘Circle,’ ‘wedge’, ‘clover leaf’ in sales
changes in ownership, business mix,
are :
assets mix and alliances with a view
(A) General shapes of sales
to enhance the shareholder’s value
territories
is ..................... .

(A) Business Restructuring (B) Types of sales quota

(B) Asset Restructuring (C) Awards given to sales people to

motivate them
(C) Ownership Restructuring
(D) Control techniques used in sales
(D) Corporate Restructuring

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23. Bundling has proliferated in the 25. The total combined customer life-

services sector primarily because time values of all company’s current

and potential customers is known
of :
as :
(i) High fixed to variable cost ratio
(A) Customer value
(ii) Low fixed to variable cost ratio
(B) Customer equity
(iii) High level of interdependent
(C) Customer lifetime value
demand
(D) Customer gross value
The answer is :
26. Moving from the aggregate plan to

(A) (i) and (ii) are correct a master production schedule

requires :
(B) (i), (ii) and (iii) are correct
(A) Rough cut capacity planning
(C) (i) and (iii) are correct
(B) Sub-optimization
(D) (ii) and (iii) are correct
(C) Disaggregation
24. When we are seeking opinion from
(D) Strategy formulation
experienced executive members for
27. What type of control chart is used
forecasting demand we are using
to monitor the number of defects per
........................... . unit ?

(A) Delphi techniques (A) P-chart

(B) Time series analysis (B) R-chart

(C) Extrapolation method (C) C-chart

(D) X-bar chart

(D) Retail simulation

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28. While solving LPP through simplex 30. Which of the following is a decision

method, if an artificial variable making criterion that is used

for decision-making under
remains in the solution with a
risk ?
positive value after the optimal (A) Expected monetary value
solution has been obtained, the criterion

problem : (B) Hurwicz criterion (of realism)

(C) Optimistic (maximax) criterion
(A) is infeasible
(D) Equally likely criterion
(B) is optimal
31. What is the probability value of
(C) needs a new basis having 4 heads in 10 tosses of a fair
coin ?
(D) has more than one solution
(A) 0.621
29. A project has three paths : (B) 0.205

A-B-C has a length of 25 days (C) 0.815

(D) 0.935
A-D-C has a length of 15 days
32. In cluster sampling, clusters are :
A-E-C has a length of 20 days
(A) Heterogeneous among
Which of the following statements themselves

is correct ? (B) Homogeneous within

themselves
(A) A-D-C is the critical path
(C) Heterogeneous within
(B) A-B-C has the most slack themselves and Homogeneous
among themselves
(C) The project duration is 25 days
(D) Homogeneous within
(D) The project duration is 20 days themselves and Heterogeneous
among themselves

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33. Z-test is used as a hypothesis testing 36. In BCG matrix what is the label of
technique when : the horizontal axis ?

(A) Sample size is small (A) Relative market share

(B) Standard deviation is unknown (B) Business strength

(C) Sample size is large but (C) Industry growth rate

standard deviation is unknown
(D) Market growth rate
(D) Both (A) and (B)
37. The strategy that involves
34. A network uses a star topology if : concentrating on consumer or
(A) Computers are arranged in a end use applications that major
closed loop firms have neglected refers

(B) All computers are connected to to .................. .

a central point (A) Vacant niche strategy

(C) All computers are attached to (B) Specialist strategy

a single long cable
(C) Content follow strategy
(D) All computers are attached to
(D) Distinctive image strategy
multiple hierarchical cables
38. The three hardware areas in the
35. Which of the following is an example
McKinsey’s 7S framework are :
of Transaction Processing System
(TPS) ? (A) Staff, skills and style

(A) Business Forecasting System (B) Strategy, structure and systems

(B) Railway Reservation System (C) Staff, skills and systems

(C) Office Automation System (D) Skills, strategy and shared

(D) Executive Information System values

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39. Environmental and organisational 41. An important pitfall encountered in

appraisal are carried out in the stage the process of selecting a new
of : venture is :

(A) Awareness of legal issues

(A) Strategy evaluation
(B) Real insight into the market
(B) Strategy formulation
(C) Non-real insight into the
(C) Strategy implementation market

(D) Adequate understanding of

(D) Strategy control
technical requirements
40. The sequence of activities 42. ....................... is a mental image of a
representing the strategy process is : possible and desirable future state
of an organization.
(A) Strategic analysis, strategy
(A) Vision
selection, strategy
(B) Traits
implementation strategic
(C) Power
control
(D) Leadership

(B) Select strategy, generate 43. According to RBI, a small scale unit
is considered sick, if it has incurred
options, analyse strategy,
cash loss in the previous accounting
implement strategy year and is likely to continue to incur
cash loss to the extent of ...............
(C) Deliberate strategy, analyse,
of its net worth.
choose, implement
(A) 100%
(D) Appraisal of strength and (B) 75%
weakness, choice of strategy, (C) 60%
implementation, feedback (D) 50%
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44. In entrepreneurial training 48. What occurs when an employee
programmes Japanese industrialists
lay emphasis on ..................... . exposes an employer’s wrong doing

(A) Technological upgradation to outsiders ?

(B) Formal training (A) Fraud

(C) On the job training
(B) Whistle blowing
(D) Informal training
(C) Plagiarism
45. A desire to affect the behaviour of
other individuals and to control and (D) Mayhem
manipulate the surroundings refers
to : 49. ‘Desirable corporate governance : A
(A) nAch code’ was released in :
(B) nPow
(A) March 1982
(C) nAff
(B) April 1995
(D) nAct
46. Most companies begin the process of (C) March 1980
establishing organisational ethics
programmes by developing : (D) April 1998

(A) Ethics training programmes 50. The word ‘Triple Bottom line’
(B) Ethics enforcement mechanisms involves :
(C) Code of conduct
(A) Revenue, legal, ethical reporting
(D) Mandatory disclosure
(B) Financial, Social,
47. OECD is :
Environmental Corporate
(A) Organisation for Economic
Cooperation and Development reporting
(B) Organised Economic and (C) Environmental, Moral, Profit
Corporate Development
reporting
(C) Organisation for Ecological
Cooperation and Development (D) Financial, Social, Ethical
(D) Organised Ethical and Corporate reporting
Corporate Discussion

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 DEC-51213/II
ROUGH WORK

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