1T PRACTICE PAPER

Allowed:
90 minutes]
Time IMaximum Marks: 40)
Tie

O en
neer a l Instructions:

are compulsory,
lAll questions
carries 1 mark.
)Each question

Multiple Choice Questions

Planning is not mere guess work or wasteful thinking, it is based on analysis of facts and
Gaures." Identity the teature of planning being highlighted here.
Planning is futuristic
(a) (6) Planning is a continuous process
(c)Planning is goal-oriented
(d)Planning is a mental exercise
Ans. (d)
T h e v don't sell what they can make, but they make what they can sell.' The concept referred
the given statement is
in .

(a) Marketing concept (6) Societal concept

() Selling concept
() Production coneept
Ans. (a)

Organising is a process by which a manager:

3.
establishes order out of chaos
(a)
h) removes conflict among people over work/responsibility sharing
(c) creates an environment suitable for teamwork

(d) all of these

Ans. (d)
4. Principles of management are flexible because:
to be followed
absolutely.
(a) they are
() they are formed by practice and experimentation.

(c) they can be modified as per situation.

(d)they are universally applicable.

ns. (c)

Business Studies
 S. Which element of marketing makes the product available to the trget customer?

(a) Product (h) Promotion

(c) Physical distribution (d) Price

Ans. ()
6. We are the Best' Publie Schoo though is u disciplined organisation, it i
lacks well-delln
of the
rules and regulations. With passage of time, the management
r e proper rules and regulatios for the students and the teachers, the result
sehool finds.
esult of the
school will improve.
Which nature of
principles of management is highlhgntea neTe?
a) General guidelines (b) Cause and effect relationshin
(c) Universally applicability (d) Mainly behavioural
Ans. (h)
7. Which one of the
following is of organising
an importance
(a) Improves ereativity (b) Optimum utilisation of resources
(c) Leads to innovation (d) Guarantee success
Ans. (b)
8. A brand/part of a brand that is given legal proteetion is called:

(a) Trade mark (b) Brand name (c) og0 (d) Brand mark
Ans. (a)
9.
gives shape to an organisation structure.
(a) Extent of b) Span of management
delegation
(c) Number of employees (d) Planning
Ans. (b)
10. Planning results in decreasing
(a) Coordination (b) Proper use of resources
(c) Future Uncertainties (d) Control
Ans. (c)
11. According to_ principle of FW Taylor, the management should give due respect
to the constructive suggestions made
by the employees and the employees should be rewarded
for their suggestions.
(a) Science, not rule of thumb (b) Cooperatio, not individualism

()Unity of direction (d) None of the above

Ans. (b)
12. When can the planning process be ignored?
(a) In ordinary situation (b) In case of emergency
(c) Both (a) and (6) (d) Neither (a) nor (b)
Ans. (b)

112 Tagcther with" Competency Based and Objective Type Questions-12

 d to start a business of
. R selling dress material from her house. She u
surveys to find out nbout the
prelerenees of prospective ased on this, she
prepare. detailed nalysis of the business. customers. Bas
She, then made
about the fentures, quality,
deciding about
important
packaging, labelling and brandins
decisions
element of ing of the dress material.
ldentify
he
Marketing Mix discussed above.
(a) Promotion
(b) Market
(c) Product (d) Place
(c)
Ans.

i the
Identify the feature
feature of
of
co-ordination being
ca

14.
is
highlighted in the given statement.
-dination
Coordination not a one-time
function, it
controlling."
at begins the planning stage and continuc
(a) oordinatio ensures unity of action
is an all
(b)
Coordinati
pervasive function
Coordination a continuous process
is

Coordination is a deliberate function

Ans. (
the
1atch the steps of planning process in Column I with the tasks
5
and choose the correct alternative:
performed in Column l
Column I
Column II
A. Developing prenmises
() Weigh the pros and cons
B. Evaluating alternatives
(i) Monitoring the plans
C. Follow up action
(ii) Assumptions about future
A- (ii), B -

(), C -

(ii)
(a) 6) A- 6, B - (ii), C - (in)

(c) A- (ii), B
-

(ii), C- () (d)A- (ii), B - (), C- (i)

Ans. (d)
16, At what managerial level planning is needed?

(a) Top level

(b) Middle level
(c) Lower level
(d) All the levels
Ans. (d)
Dual Subordination can be avoided, by abiding with:
of command
(a) Unity b) Unity of direction
and Decentralisation
(c) Centralisation (d) None of these
Ans. (a)
1 Which of the following is the first step in the process of Organising?
(a) Departmentalisation
6) Assignment of duties
(c)ldentification and division of work
()Establishingreporting relationship
Ans. (c)

Business Studies 113

 Myntra, 1Tatacliq etc. for s..
Amazon, Flipkart, Snapdeal,
ost
of the companies a r e using
element of marketing
mix is affected
cted by it?
Which
neir products directly to consumers.

(b) Price mix

(c) Promotion mix (d) Place mix
(a) Product mix
Ans. (d)
duties which helps in:
0.
Organising provides clear description of jobs and related
(b) Better placement of employees
(a) Avoiding confusions and duplications
( Encouraging employees
()Better supervision of employees
Ans. (a)

Assertion-Reasoning Type MCQs

by statement of reason i
of assertion followed
a
questions (Q.21 to Q.24), statement is
n e given a

given. Choose the correct answer out of the following choices.

(a) Both Assertion (A) and Reason (R) are true and Reason (R) Is the correct explanation of

Assertion (A)
(0) Both Assertion (A) and Reason (R) are true but Reason (R) is not the correct explanation of

Assertion (A)
(c) Assertion (A) is true but Reason (R) is false
(d) Assertion (A) is false but Reason (R) is true
21. Assertion (A): Taylor's techniqueoffunctional foremanship is based on Fayol's principle of division
of work.
Reason (R): Taylor advocated separation of planning and execution functions of a foreman through
a planning and production in-charge under him. Each of the in-charge will have four personnel
working under him according to their specialisation.
Ans. (a)
22. Assertion (A): Standardisation aims at eliminating superfluous varieties, sizes and dimensions.
Reason (R): Simplification aims at eliminating unnecessary diversity of products which results in
savings of cost of labour, machines and tools.
Ans. (d)

23. Assertion (A): Planning facilitates decision-making.

Reason (R): A manager has to evaluate each alternative and select the nmost viable proposition.
Ans. (a)
24. Assertion (A): Advertising is a medium through which a large number of people can be reached
Over a vast geographical area.

Reason (R): Advertising is a personal method of promotion.

Ans. (c)

114 Tagethor with Competency Based and Objective Type Questions-12

 Case-Based MCQs
fol text
lowing t
.wing ext and answer
Read the
question numbers 25-28 on the basis of the same.
w o r
s in
k
in aa sshoe
s
ho. manulacturing company. There are set milestones or benchmarks for all wor
Pranav Shoes of different styles, sizes, colour and material are made. The company has carned a
n d a c t i v i t y

ion in the industry duc 1o its quality control. The

sales department found that there are
g o o d r e p u

which
t a t i

have lost its demand in the market. A son

meeting conducted among various departme was
designs
ecided that production of some superfluous
dec
it was

varieties, sizes and designs is to be

heads
and
s in the purchase departrment. His job is to purchase the material and heck itsstoppe
works
quality.
P
ana hen he purchases the material he gets the instruction from the seller that some ecial care
r a n a

This time

taken in
taken
in .cutting and handling the material. Pranav knows this information should be given
be
to
necds
ediately to to the production department before the assembling process starts. However, he finds tnar
his c o m p a n y ' s p o i policies only allow him to give the message to his immediate boss who will further pass
e e tto
this m e s s a g o his boss. Thee passing o1 this message will continue till it reaches the desired person in
duction department.
the pro re are set milestones or benchmarks for all work and activity. Which principle ot
25
is reflected here?
management
Unity of direction
(a)
Simplification and standardisation of work
Science, not rule of thumb
(c)
All of these
(d)
Ans. (6)
mecting was conducted among various department heads and it was decided that production
26.
af some superfluous varieties, sizes and designs is to be stopped.' What is the advantage of
following the principle referred above?
Motivates the employees
(a)
ADifferentiate among efficient and inefficient employees

(c) Saves the cost of labour, machine and tools

All of these
(d)
Ans. (c)
11 However, he finds that his company's policies only allow him to give the message to his
immediate boss who will further pass this message to his boss.' In case of emergency, Pranav

can directly communicate through:

(a) Scalar chain

(b) Gang plank

(c) Unity of command

(d) Order

Ans. (b)

Business Studies 115

 principles is witnessed by the
he company
en.

of management
W h i c h one
of the following importance

in the above case?

insights into reality

(a)Providing managers with useful

6) Fultilling social responsibility administration

(C) Optimum utilisation of resources and effective

(4) Meeting changing environment requirement

Ans. (c)
Kead the following text and answer question numbers 29-32 on the basis of the same.

Kalpish Ltd. is a company dealing in trading and distribution ot medical cqupments. The compan
recently imported 20,000 units of Oxymetres to test the Oxygen levels with the help of a chip basa
achine. Secing the increasing demand of this product amid the CORONA pandemic, it plans to ea-
Arn
gOod protit out of this deal. For deciding the marketing strategy, the General Manager of the compan
y
called a meeting of the marketing heads of different zones.
n the meeting, Mr. Akhil, the South Zone Marketing Head. suggested that since the machines wer
vere
Sophisticated they need to visit hospitals personally, to explain its working to the hospital staff wha

would be using the machines.

29. In the mecting, Mr. Akhil, the South Zone Marketing Head, suggested that since the
machines were sophisticated they need to visit hospitals personally, to explain its working
to the hospital staff who would be using the machines. Identify the element of Promotion
mix being highlighted in the above lines.

(a) Personal selling (b) Advertising

(c) Sales promotion (d) Public relations

Ans. (a)
30. For deciding the marketing strategy, the General Manager of the company called a meeting
of the marketing heads of different zones.' ldentify the function of marketing highlighted
in the above lines.

(a) Gathering and analysing market information

(6) Product designing and development

(c) Marketing planning

(d) Standardisation and grading
Ans. (c)

31. Which component of marketing mix has not been discussed in the above case?

(a) Product (b) Price

(c) Place (d) Promotion

Ans. (b)

116 sgether withCompetency Based and Objective Type Questions-12

 Seeing the increasing demand of this
out this deal.
ofr thisdeal.' Which product amid the
ad prolit CORONA pandemic, it
marketing philosophy have been plans to ear
LId.?

,)Production concept adopted by Kalpish

) Product concept (b) Selling concept
(d) Marketing concept
Ans. ( b )

et and answer
the followving

question numbers 33-36

Read

Ltd.
is a anufacturer
m of consumer goods,
located in
on the basis of the
same.
Sinmy
items, .sic
mu sic
instruments, etc. Recently, Mumbai. I1 deals with
tationery it
started items such as books,
has a
organisational structure with separate heads dealing in loptops and mobile
company

departmental
the d e
she heads looked for phones
The All
after the production, marketing and finance
departmenis.

the problems
of lack of co-ordination
hlems of products but times thcir at
Thisledto
to and activities overlapped.
acilitate
ialisation,
specialisation, Hemant Chauhan, the CEO of inter-departmental conflicts.
the
instrumenis, video
To
o lap
tapes. etc. under media and company decided group books, music
to
laptops and mobile
aany has
T h ecompany| a
organisational structure with separate phonesunder consumer electronics.
departments. Which heads for
production, marketing
33.

and
finance
type of structure the
1a) Functional structure company has?
(b) Relational structure
c) Divisional structure
(d) None of these
Ans. (a)

of
The type
of organisational structure which
organisat
makes training of
34.
on a limited range of skills is employees easier, as the 10cus
is only
(a) Horizontal structure
(b) Functional structure
(c) Divisional structure
(d) Network structure
Ans. (b)
15To facilitate specialisation, Hemant Chauhan, the CEO of the company decided to group
.music instruments, video tapes etc. under media
books, and laptops and mobile phones
.nder consumer electronics.while doing so Hemant Chauhan has performed a step in the
orocess of one of the functions of management which is:

(a) Setting objective (6) Departmentalisation

(c) Developing premises (d) None of these
Ans. (b)
36 The type of organisational structure suitable for business enterprises where a large variety
36.
of products are manufactured using different productive resources is:
(a) Network structure (b) Functional structure
(c) Divisional structure (d)None of these
Ans. (c)

Business Studies 117

 37-40 on the basis of the same.
ead the following text and answer auestion numbers
Cnin and Arvind after finishing their graduation under vocalional stream dccided to start thei

on commission basis. They also tho

travel agency
whic will book Rail Tickets and Air Tickets They discussed the idea with their
heir D. of
providing tickets wvith ten minutes through the use of
Ms. Pooja Sharma who liked the idea
intemet.
and suggested them to first anaiyse ihe Dusiness environm Professor
social, political elc. that may affees
ment
COnsists
of investors, competitors and other forces like he
, technological improvements and
told then about the
C S directly
n consumer
or indirectly. She further
preferences that were takine place and hence they should be awarc ol the environmes shifs
C d s and changes which may hinder their business performance.She emphasised on making
nental
deal with ihe situation effectiua
plans
mind the threat posed by the competitors, so that they can
Cping n

result beler tively.

business environment will
the n
This alignment of
S1.
business operations
with
*They also thought of providing tickets within ten minutes through the
performance
use of internas

Which business environment is reflected here?

(a) Social environment (b) Economic environment

(c) Political environment (d) Technological environment

Ans. (d)
6. and suggested them to first analyse the business environment which consists of investors
competitors and other forces like social, political etc. that may affect their business directly
Or indirectly.' Which feature of business environment is reflected here?

(a) Uncertain (b) Dynamie

(c) Specific and None of these
general forces (d)
Ans. (c)
39. "She further told
them about the technological improvements and shifts in
consumer
preterences that were taking place and hence they should be aware of the
trends and
environmental
changes which may hinder their business performance. Which importance of
environment scanning is referred here?
(a) ldentifying opportunities to get first mover advantage
(b) ldentifying threats to identify
early warning signals
(c) Tapping useful resources
(d) Coping with rapid changes
Ans. (b)
40. Proper understanding of business environment is not a
prerequisite for:
(a) tapping of useful resources
(b) identification of opportunities and threats
(c) formulation of strategies
(d) better coordination of employee efforts
Ans. (d)

118 7agether with Competency Based and Objective Type Questions -12