KENDRIYA VIDYALAYA REGIONAL OFFICE JAIPUR

PRE-BOARD QUESTION PAPER (TERM – II)

BUSINESS STUDIES (054)
Class XII Commerce Max Marks: 40 Time
allowed: 2 Hours
General Instructions:
- This is a Subjective Question Paper containing 12 questions.
- This paper contains 4 questions of 2 marks each, 4 questions of 3 marks each
and 4 questions of 5 marks each.
- 2 marks questions are Short Answer Type Questions and are to be answered in
30-50 words.
- 3 marks questions are Short Answer Type Questions and are to be answered in
50-80 words.
- 5 marks questions are Long Answer Type Questions and are to be answered in
80-120 words.
- This question paper contains Case/Source Based Questions.

S. Questions Marks
No.
1 Mr. Nagendra is the Human Resource Manager of Jai Bharat Hospital in Ahmedabad. 2
He has to appoint nurses for the hospital. Since patients in the hospital are of different
types, he wants to find out the candidates’ maturity and emotions in dealing with the
patients. He also wants to know about the candidates’ ability to make decision.
Describe two types of tests that Mr. Nagendra can use to meet his requirements.

2 Identify the markets highlighted in following statements: 2

(i) This market directly contributes to capital market.
(ii) This market deals in instrument whose maturity is up to one year.
(iii) It deals in medium and long-term securities.
(iv) It is also known as stock exchange and deals in sale and purchase of
previously issued securities.

3 A company has its own recruitment policy to fill the vacant posts with suitable 2
employees.
(i) Top most positions are being filled by contacting specialised agencies so as
to attract the most capable work force competitive organisation.
(ii) To foster the spirit of loyalty and motivate the employees the middle level
positions filled within the organisation.
Identify the sources of recruitment referred above.

4 ‘With the help of controlling function the management can know not only about the 2
deficiency in the performance but it also helps management to know whether
standards or plans are set correctly or not.’
Identify the importance of function of management discussed above and describe one
more importance of controlling.

5 Aarohan Ltd is not able to achieve its objective on analysing, they found that 3
employees were not given their best, so he decided to announce an incentive plan,
which offers various incentives to employee workers at different level for achieving
their target.
(i) Which element of directing is used by manager?
 (ii) Suggest incentives suitable for:
(a) Employees operating at lower level.
(b) Employees operating at higher level.

6 Differentiate between different Styles of Leadership. 3

Or
Differentiate between Formal and Informal Communication.

7 Enumerate any three factors affecting the working capital requirement of a company. 3

8 Pulkit Pvt Ltd is engaged in manufacturing machine components. The target 3

production is 300 units per day and the company had been successfully attaining the
target three months ago. Over the last three months, it has been observed that daily
production varies between 220 and 250 units.
Which function of management is required to correct the above case? State two steps
to be followed to correct the things.

9 Although businessmen are aware of his social responsibilities even then we come 5
across many cases of consumer exploitation. That is why the Government of India
provided various rights to all the consumers under Consumer Protection Act 2019.
Describe any five consumer rights.
Or
Describe various redressal agencies under the Consumer Protection Act, 2019
andtheir jurisdiction.
10 State any five regulatory functions of the Securities and Exchange Board of India. 5

11 Based on ‘Performance Appraisal Report’ the Human Resource Manager of ‘Zebra Ltd.’ 5
adopted the following ways of training for improving the quality of output and
providing more job satisfaction to the employees:
(i) Mr. Deepak was provided a dummy model of machinery to do practice on
it.
(ii) Mr. Arun was asked to work with an expert for specific period of time so
that he learns by observation.
(iii) Mr. Gopi was in the company so that he could practice the theoretical
knowledge acquired by him from his college.
Identify and explain the training methods in above cases.

12 Shivani Ltd. Is a company manufacturing cement. It has been consistently earning 5

profits for many years. This year too it has been able to generate enough profits. There
is availability of enough cash in the company and good prospects for growth. It is well
managed organisation and believes in quality, equal employment and good
remuneration practices. It has many shareholders who prefers to receive regular
income from their investment.
The above discussion on the company leads to various factors which decide how much
of the profits have to be distributed and how much should be retained by the company.
Quoting the lines from above discussion identify and explain any four such factors.
Or
Healthcare Ltd is a company engaged in production of organic food. Presently it sells
its products through indirect channels of distribution. The company is planning to
start its own showrooms and online portals. The finance manager suggested to use
debt to invest in own showrooms and online portals.
Company plans to raise debt capital of Rs. 40 lakhs through a loan from ICICI bank at
10% interest. The present capital base of the company is 9 lakhs equity shares of Rs.
10 each. The rate of tax is 30%.
In the context of above case:
Assuming expected rate of return same as current year, i.e., 15%, do you think the
decision to use debt is justified. Show your working clearly.