RADIANT ENGLISH ACADEMY

PIPLOD-UMRA, SURAT 7. PHONE: 9033007681/82, 7990725847

Final Examination (2023 – 24)
Class: XI Comm. Max. Marks 80
SUBJECT: Business Studies
Date: 09/02/2024 Total No. of Pages 05
SAMPLE PAPER Time: 3 Hours

General Instructions:
 This question paper contains 34 questions.
 Marks are indicated against each question.
 Question number 1 to 20 carry 1 mark each.
 Question number 21 to 24 carry 3 marks each.
 Question number 25 to 30 carry 4 marks each.
 Question number 31 to 34 carry 6 marks each.

1. Limit of investment in small scale industry is

a. 10 crore
b. 5 crore
c. 2 crore
d. 1 crore
2. __________ consists of various organisations owned and managed by the individuals.
a. Public sector
b. Private sector
c. Service sector
d. Manufacturing sector
3. State which of the following statements regarding reasons for international business are incorrect:
a. International business deals with more than one currency
b. It involves production or related activities within national boundaries
c. It deals with foreign exchange
d. All of these
4. Insurance serviceis for the purpose of ________.
a. Removing risk
b. Removing damages
c. Reducing impact of risk
d. All of these
5. B2C commerce means:
a. Firms interactions with other businesses
b. Firms internal processes
c. Firm’s interactions with customers
d. Firms interactions with government
6. Funds required for purchasing fixed assets is an example of:
a. Fixed capital requirement
b. Lease financing
c. Working capital requirement
d. Retained earnings
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7. ________ are called owners of the company.
a. Preference shareholders
b. Debenture holders
c. Equity shareholders
d. Public deposit holders
8. ________ are set up under Companies Act.
a. Co operatives
b. Partnership
c. Companies
d. Statutory corporation
9. Which of the following is a form of business organisation?
a. Sole proprietorship
b. Partnership
c. HUF
d. All of these
10. Which of the following statements is correct for retailers?
a. They undertake buying activities in bulk..
b. They undertake storage of goods on a large scale.
c. They come in direct contact with customers.
d. All of these
11. Stages in the formation of a public company are in the following order
a. Capital Subscription, Promotion, Incorporation, Commencement of Business
b. Incorporation, Capital Subscription, Promotion, Commencement of Business
c. Promotion, Commencement of Business, Incorporation, Capital Subscription
d. Promotion, Incorporation, Capital Subscription, Commencement of Business
12. Division of total capital of the company into smaller parts is called
a. Shares
b. Shareholders
c. Shareholdings
d. Preference shares
13. Conversion of raw materials into something more useful come under which industry?
a. Genetic
b. Manufacturing
c. Extractive
d. None of these
14. Which of the following isan environmental problem?
a. Deforestation
b. Global warming
c. Ozone depletion
d. All of these
15. Indian Railways is the example of __________ form of public enterprises?
a. Government company
b. Public corporation
c. Departmental undertaking
d. None of these
16. Construction of super highways is an example of which form of public sector enterprises?
a. PPP

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 b. Government company
c. Public corporation
d. MNC
17. Overdraft facility can be used from which account
a. Savings
b. Current
c. Fixed
d. Recurring
18. A retailer who sells goods at different places carrying goods on head or bicycle is
a. Street trader
b. Cheap jacks
c. Marker trader
d. Hawker
19. ________ is issued to assure the place of production of goods for the purpose of export.
a. Certificate of origin
b. Mate receipt
c. Bill of lading
d. None of these
20. Letter of credit is used for
a. Clearance at the port
b. Assurance of repayment by exporter
c. Credit worthiness of the exporter
d. None of these

21. Identify the following traits of business, profession & employment:

a) Hari sells mobile phones on behalf of his employer.
b) It requires minimum academic & other qualifications.
c) A hawker sells toys for children outside a function.
d) Dhruv is the manager of a mobile company.
e) V Sanjay is an advocate of High Court.
f) A person repairs scooters on roadside.

22. A, B & C are partners in a firm manufacturing auto parts. Their firm is not registered. In order to
increase the earnings of the firm, B decided to use low quality raw materials without the knowledge
of A & C. As a result, many accidents were reported by the consumers & a case has been filed
against the firm.
a) Is this wrong act of B binding on A & C?
b) State the feature related to it.
c) Can A & C file case against B & why?

23. Idea behind insurance is not to earn profit but to only compensate for the possible damages caused.
Identify the insurance principle from the statement. Explain one of the other principles.

24. Explain various services provided by retailers to the customers?

25.State and explain briefly the first four steps of executing the export trade.
OR
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 The government planned to begin a road project. The government needed management specialists
and financial help to complete it. The government contacted the private sector to fulfil this
requirement. Now, this project will be completed jointly by both the public sector and private sector.
What kind of partnership is it? Explain its features.

26.Differentiate between e-business & traditional business on the following basis:

a) Personal touch
b) Risk involved
c) Setting up cost
d) Human resource required

27.Rakhi Footwear’ deals in shoes. This company has opened 500 shops at different places of the whole
country. The speciality of the business of this company is that at all its shops the goods available are of the
same type & their price is also the same. By starting this type of business the company has done away with
the Middlemen. The people are happy to buy goods from the producer or manufacturer directly. Identify the
trade of ‘Rakhi Footwear’ & describe its features.

28.“Earning of profit isas important the objective of business as eating is the objective of living.” Do you agree
with this statement? Give reasons in support of your answer.

29.The board of directors of Neha Ltd. Proposed to the shareholders to replace the old machinery with anew
machinery having latest technology and better productivity. This would require an investment of Rs. 2 crore.
Directors suggested that 1 crore can be borrowed from the bank and for another 1 crore, retained earnings may
be used. The actual cost of machinery was Rs. 1.5 crore but the board of directors had an understanding with
the supplier that he will prepare an invoice of Rs. 2 crore and payback the difference to the directors in cash

30.Explain various benefits of running a business under sole proprietorship.

31.Lakshya is an NRI who came to India to visit her grandparents living in a small town of Jaipur. One day
during the absence of her grandfather when her grandmother fell sick, Lakshya decided to go to the market
and get the required items. Her grandmother told her, “there is no fixed shop retail store selling all goods under
one roof in this town. You have to buy items from traders who do not have fixed place to operate.”
She instructed Lakshya to :
a. Buy vegetables from the cart pushers who come to their doorsteps to supply fruits and vegetables.
b. Buy nail cutter and peacock feathers for pooja ghar from Som Bazaar which is held on every
second Monday of the month outside Shiv temple.
c. She will get magazine near bus stand from the retailers who sit on the pavements.
d. For small wooden handicrafts, she can find a temporary shop in the next lane which was hired by
the trader before a month only.
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Identify various types of retail trade discussed above. Also identify which type of retail store is not available
in Jaipur as per the grandmother and explain any 2 benefits of the identified retail store.

32.Define HUF and state its features

33.Rajiv fashion, a reputed garment manufacturing unit needs to find funds for its day to day expenses like
buying of raw materials, wages, rent, etc. The owner approaches his raw material supplier to extend him a
credit of two months so that he can get cloth for making garments without making immediate payment. The
supplier made an enquiry regarding Rajiv and found that his reputation of giving payment is not very good. In
the past the lenders were not very happy.
Identify type of source of funds & state it's merit

34.OLX and Qickr are examples of well-known websites used to conduct business. Tarasha’s sofa set got
spoiled in the rain. Her friend suggested that she should change the fabric so that it looks new and put it for
sale on Olx. Tarasha followed her friend’s advice and got her sofa repaired so that it looked better and uploaded
nicely clicked pictures on the website without disclosing the fact that it was damaged from the inside. She
found a buyer and sold it for Rs 10,000. After five days the buyer found the real state of the sofa set and called
Tarasha but she did not answer any of the calls.

a. Identify and explain the type of business mentioned above.

b. State two values overlooked by Tarasha.
c. State two features of the form of business identified in question (a)
OR
Explain various differences between equity and preference share as a source to raise finance.

----- ALL THE BEST -----

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