THE ASSAM VALLEY SCHOOL

Pre-Board Examination (2)

Founders’ Semester 2023-24

Class: 10 Max. Marks: 80

Subject: Commercial Studies Time:2hrs
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Answers to this paper must be written on the paper provided separately.
You will not be allowed to write in the first fifteen minutes.
This time is to be spent in reading the question paper.
The time given at the head of this paper is the time allowed for writing the paper.
Attempt all questions from Section A and any four questions from Section B.
The intended marks for questions or parts of questions are given in brackets. []
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SECTION A
(Attempt all questions.)
Question 1. Choose the correct answer to the questions from the given options. [16]
(i) The following training aims to provide broad training to enable the trainees to take up a wide variety of
tasks within his fields of specialisation
(a) Classroom training
(b) Case Studies
(c) Apprenticeship
(d) Vestibule training
(ii) Hull insurance is a type of __________ insurance.
(a) Fire
(b) Marine
(c) Life
(d) Health
(iii) It is a process of carefully screening the candidates to choose the most suitable
persons for the job vacancies to be filled in.
(a) Recruitment
(b) Selection
(c) Staffing
(d) Training

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(iv) Central bank is the __________ of the country's foreign currency reserves.
(a) Dealer
(b) Consumer
(c) Custodian
(d) User
(v) NPS stands for
(a) National Provident Scheme
(b) National Pension Scheme
© New Pension Scheme
(d) National Provision Scheme
(vi) Promotion motivates the employees if it is based on___________.
(a) Time
(b) Function
(c) Performance
(d) Training
(vii) A customer can withdraw or deposit money with the help of this machine by
inserting his/her card and typing his/her personal identity number:
(a) RTGS
(b) ATM
(c) NEFT
(d) IMPS
(viii) Expenses incurred to repair a second-hand machine, purchased by a firm, to make it usable are
treated under which expenditure?
(a) Revenue
(b) Capital
(c) Deferred Revenue
(d) Capital Loss
(ix) A trade union seeks to protect and promote the interests of__________
(a) Workers
(b) Employees
(c) Management
(d) Both (a) and (b)

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(x) Expenditure incurred to acquire fixed assets are called :
(a) Revenue Expenditure
(b) Outstanding Expenditure
(c) Capital Expenditure
(d) Prepaid Expenses
(xi) X insures his house against fire for ₹ 50,000.The house is put on fire by his neighbor Y.
X gets a claim of ₹50,000 from the insurance company and also recovers ₹30,000 from his
neighbor. X will have to return ₹30,000 to the insurance company.
Which principle of Insurance is highlighted in the given statement?
(a) Mitigation
(b) Indemnity
(c) Proximate Cause
(d) Subrogation
(xii) It is a type of card which is used for transactions made online through a computer
or a smartphone
(a) E-Wallet
(b) Debit Card
(c) Credit Card
(d) Virtual Card
(xiii) Assertion(A) : Internal recruitment simplifies the process of selection and placement.
Reason (R): Filling vacancies in higher jobs from within the organisation motivates the
employees to improve their performance through learning and practice.
(a) Both (A) and (R) are true, and (R) is the correct explanation of (A)
(b) Both (A) and (R) are true, and (R) is not the correct explanation of (A)
(c) (A) is true but (R) is false
(d) (A) is false but (R) is true
(xiv) _______________ is horizontal shifting of employees.
(a) Promotion
(b) Transfer
(c) Campus Recruitment
(d) employment Exchanges

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(xv) Central Bank is owned by the__________ whereas the commercial bank is owned
by shareholders
(a) Shareholders
(b) Government
(c) Specialised
(d) Individuals
(xvi)______________ is the type of selection tests which judges the emotional ability
which will help to judge work in group.
(a) Personality test
(b) Intelligence test
(c) Dexterity test
(d) Trade test
Question 2
Distinguish between
(i) Advertising and Publicity [2]
(ii) Marketing and Sales [2]
(iii) NEFT and IMPS [2]
(iv) Capital Expenditure and Revenue Expenditure [2]

Question 3
(i) What is Gratuity? [2]
(ii) ‘Selection is a negative process’. Why? [2]
(iii) What precautions should be taken while using Debit Card? [2]
(iv) Explain the ‘lender of last resort’ function of Central bank. [2]

Question 4
(i) Explain Application Blank as a step in the selection process. [2]
(ii) Define Intellectual Property Fraud. [2]
(iii) Distinguish between Life and Marine Insurance. [2]
(iv) What is Cyber Fraud? [2]

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 SECTION B
(Answer any four questions from this Section.)
Question 5

(a) Identify the concept being highlighted by the image given above. [1]
(b) Explain any two aspects of such form of advertising. [4]
(ii) Briefly explain any two reasons which make land transport more advantageous
than air freight. [5]
Question 6
(i) Briefly explain first five steps required in the selection process. [5]
(ii) Write a short note on: [5]
(a) Casual Callers (b) Placement Agencies
Question 7
(i) Explain Advertising Agency. [5]
(ii) Write a short note on: [5]
(a) Shares (b) Public Warehouse.
Question 8
(i) Discuss any five modules of ERP. [5]
(ii) Write a short note on: [5]
(a) Mobile wallets (b) Overdraft
Question 9
(a) Explain any two principles of Insurance. [5]

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(b) Read the case below and answer the questions that follow
Rita, Sita and Gita live in the same apartments. They used to meet and discuss their ideas. After discussing
the recent fire breakout in their area, they decided to take fire insurance for their house or work area. Rita
gets her house insured against fire for ₹1 lakh and during the policy period, her house gets damaged due to
fire and the actual loss amounts to ₹2.5 lakh. The insurance company acquired the scrap and approved her
claim. Sita gets her godown insured against fire for ₹1 lakh but does not take enough precautions to
minimize the chances of fire like installing fire extinguishers in the factory. During the policy, a fire takes
place in her godown and she does not take any preventive steps like throwing water and calling the
employees from the fire fighting department to control the fire. She suffered a loss of ₹1,20,000. Gita took
a fire insurance policy of ₹20 lakh for her factory at an annual payment of ₹24,000. In order to reduce the
annual premium, she did not disclose that highly explosive chemicals are being manufactured in her factory.
Due to a fire, her factory gets severely damaged. The insurance company refused to make payment for the
claim as it became aware of the highly explosive chemicals.
1. How much can Rita claim from the insurance company? [1]
1. ₹2.5 Lakhs 2. ₹1 Lakh 3. ₹2 Lakhs 4.None of the above
2. How much compensation can Sita get from the insurance company? [1]
1. ₹2,00,000 2.₹1,20,000 3.₹1,00,000 4. Nil
3. Which principle is violated in the case of Sita? [1]
1. Mitigation 2.Insurable Interest 3.Utmost Good Faith 4.Indemnity
4. How much amount is the insurance company liable to pay to Gita if she files a case
against it? [1]
1. ₹24,000 2. Nil 3. Insufficient information 4. ₹20 lakh
5. Which principle of Insurance is violated by Gita? [1]
1. Utmost Good Faith 2.Insurable interest 3.Subrogation 4.Proximate Cause

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Question 10
From the following Trial Balance of a trader, complete his Trading Account, Profit and Loss Account for
the year ended March 31, 2021 and also the Balance Sheet as on the same date. Stock as on March 31,
2021 was Rs. 3140

/-.
[10]

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