Assam Board Class 12 Sample Paper 2026 Business Studies

ASSAM BOARD

SAMPLE
PAPER
Practice Papers
Model Question Papers

Model Questions for class XII
BUSINESS STUDIES

Paper-1
1. Identify and state the step in the process of staffing under which the charge of the job is
given to the selected employee and he/she is introduced to his/her superiors,
subordinates and colleagues. Unit-6 2
2. KLM Bank Ltd. is a leading bank with various branches across the country. On 27th
Jan. 2022, it faced a sudden temporary shortage in cash balance in one of its branches.
On the same day, it was decided by its directors to borrow funds from another bank for
two days to maintain its cash reserve ratio.
Identify and explain the money market instrument used by KLM Bank Ltd. to meet its
short term funds requirement. Unit-9 2
3. Give the meaning of 'Communication' as an element of directing. Unit-7 2
4. Identify and state the function of management which ensures that the organizational
resources are being used effectively and efficiently for the achievement of pre-
determined goals. Unit-1 2
5. Nandita Srivastava is the Human Resource Manager of TM Infrastructure Ltd. It is one
of the largest construction companies in India. The company handles projects worth
more than 18,000 crore. 2
The responsibilities of Nandita Srivastava include searching and hiring suitable
people for different posts in the organization.
To measure certain characteristics of potential candidates, who apply for various
vacancies, she is required to conduct a series of selection tests appropriate for different
posts. These tests will help her to predict for which job the applicant will be successful,
if hired.
Explain any two types of selection tests that may be conducted by Nandita
Srivastava to select the most suitable persons. Unit-6 3
6. What is meant by non-monetary incentives? State any two non-monetary incentives.
Unit-7 3
OR
State any three benefits of training to the organization. Unit-6

7 State any three factors affecting working capital requirements of a company. 3
Unit-9

1

8 Explain how controlling helps in ‘accomplishing organisational goals’ and ‘judging
accuracy of standards’ Unit-8 3
9. Explain the following consumer rights provided under the Consumer Protection Act,
2019: Unit-11
(1) Right to safety
(ii) Right to be informed 5
OR
State any five responsibilities that should be kept in mind by a consumer while
purchasing and using/consuming goods and services. Unit-11
10. State any five functions of a ‘Stock Exchange’. Unit-9 5
11. Gautam Natarajan is the founder of 'Brewed Beans Coffee', a famous chain of 21 outlets
in South India, selling high quality filter coffee.
He is known for his leadership and vision. He believes that human resources, are the
most important assets of an organisation. He often quotes, "The right people can help
you take your business to the top, the wrong people can break your business." This is
the reason he considers the function of management that fills the various positions in
the organisation structure to be the most critical and fundamental to organisational
performance. Unit-1 5
(a) Identify the function of management that has been emphasised by Gautam
Natarajan.
(b) State any four points of importance of function identified in (a) above.
12. Anurag Tiwari is a famous news reader. He has recently started a news company Axis
Media Corporation Ltd.. The aim of this company is to launch a 24-hour Hindi news
channel to broadcast latest news from India and around the world.
For this new venture, the company will have to decide how to invest funds in
different assets. The purchase of few assets like equipment, computers, vehicles, etc
will involve committing the finance on a long-term basis. It will affect earning capacity
of the business in the long run. Therefore, the company needs to take the decision to
invest in such assets with utmost care.

(a) Identify and state the type of investment decision discussed in the above
paragraph. Unit-9

(b) State any three factors which affect the decision identified in (a) above. 5
OR

2

Reliable Labs Ltd. is a trusted name in diagnostic services with seven branches spread
across the city of Pune. The directors of this company have projected that with the rise
in health consciousness in the society and the rising burden of chronic diseases, the
demand for diagnostic tests is expected to grow in future. Considering this, they decided
to open branches of their diagnostic labs in Ahmedabad.

It was estimated that it will require 100 crore of additional funds. The directors have to
take the decision about how much funds should be raised from equity capital and how
much from debt. It will affect the overall cost of capital and the financial risk of the
company.
(a) Identify and state the financial decision discussed in the above paragraph.
(b) State any three factors that should be kept in mind by the Board of Directors
of 'Reliable Labs Ltd,’ while taking the decision identified in (a) above. 5
Unit-9

Paper-2
1. "Staffing ensures optimum utilisation of human resources”. Justify the statement by
giving any two points. Unit-6 2
2. ‘Promotion of fair practices and code of conduct in securities market’ is a function
performed by 'Securities and Exchange Board of India'.
State any two other functions of the same category. Unit-9 2
3. ‘Promotion stops infusion of new blood in the organisation.’ However, it is still being
used as a good source of filling the vacancies internally. State any two reasons for the
same. Unit-6 2
4. How does 'Controlling function of management motivate the employees and help them
in giving better performance? State. Unit-8 2
5. Tanushree is working in a multinational company. Her performance is appreciated by
everyone in the company. As an incentive, the company offered her to buy the shares of
the company at a price that is less than the market price.
(a) Name and give the meaning of the incentive offered to Tanushree.
(b) State any two more incentives of the same type. Unit-7 3
6. (a) What is meant by 'Leadership'? State any two leadership styles. Unit-7 3

OR
(b) State the last two steps in the process of 'Controlling' function of
management. Unit-8 3

3

7. Explain Private Placement' and 'e-IPOs' as methods of floatation of new
issues in the primary market. Unit-9 3
8. Name and give the meaning of the process which is career-oriented and designed to
help the employees in the progress towards maturity and actualisation of their potential
capabilities. Unit-6
9. (a) State any five remedies available to a consumer under the provisions of The
Consumer Protection Act, 2019. Unit-11 5
OR
(b) Explain the following rights of a consumer provided under The Consumer Protection
Act, 2019: Unit-11 5
(i) Right to Safety
(ii) Right to Seek Redressal
10. What is meant by a "Stock Exchange? State any three functions of a "Stock Exchange'.
Unit-9 2+3=5
11. Rahul has just completed his B.Tech. and joined a leading company manufacturing
inverters. To capture 70% of the market share, the company is planning to enter into the
manufacturing of solar inverters. To achieve this target it requires trained workforce.
The Human Resource Manager asked Rahul to give any five benefits to the
organisation, with reasons, for training the workforce. State the five points of benefits
of trained workforce to the organisation that might have been sent by Rahul in his reply
to the Human Resource Manager. 5
Unit-6
12. (a) Sahil is the Finance Manager of 'Knitwear Ltd'. The company is engaged in the
manufacturing of woolen clothes. The demand of the company's products is seasonal,
whereas the production continues throughout the year. Due to the quality of its
products, the company's business is spreading across the country. The company is
operating at a large scale having its regional offices in Northern, Southern, Eastern and
Western India. The performance of its each division is of very high level. For
uninterrupted availability of raw materials, the company requires high stock levels. Not
only this to face the competition and to meet the urgent orders of the customers, the
company also needs enough stock of finished goods.

Considering the above discussion state five factors affecting working capital
requirements of 'Knitwear Ltd.’ Unit-9 5
OR

4

(b) ‘Abhishek Engineering Ltd.,’ a leading manufacturer of steel rods wants to enter into the
business of manufacturing trucks. For this, the Finance Manager has to ensure the
availability of funds whenever required and its possible sources. He has to see that the
company does not raise funds unnecessarily. In this way he has to match the funds
requirement and their availability.
(i) Identify and give the meaning of the concept discussed in the above para which will
help the Finance Manager to achieve his objectives.
(ii) Also, state any three points of importance of the concept identified in (i) above.
Unit-9 5

Paper-3
1. Identify and state the step in the process of staffing which creates a pool of prospective
job seekers for vacancies in the organization. Unit-6 2
2. Gujarat Textiles Ltd. needs to raise a fund of 80 crore. It cannot afford the cost of
a public issue, so it was decided to allot its equity shares to institutional investors like
LIC and some selected investors.
Identify and explain the method of floating new issues used by Gujarat Textiles Ltd.
Unit-9 2
3. Give the meaning of ‘Autocratic style of Leadership.’ Unit-7 2
4. One of the functions of management completes one cycle of management process and
improves planning in the next cycle in the light of the problems that were identified in
the existing plans. Unit-1 & 8 2
Identify and state the function of management discussed above.
5. The Human Resource Department of Oberoi’s Airlines Pvt. Ltd. has recently selected
11 pilots. The new pilots have to handle sophisticated equipment. For this, the Human
Resource Manager wants to design an off-the-job training programme which will help
them to improve their performance on their jobs.

Identify and explain the method of training that can be used by the company in the
given situation. Unit-6 3
6. What is meant by financial incentives State any two financial incentives. 3

Unit-7
OR
State any three benefits of training to employees. Unit-6

5

7. State any three factors affecting dividend decision of a company. Unit-9 3
8. Explain how controlling helps in ‘making efficient use of resources and ‘improving
employee motivation. Unit-8 3
9. State any five reliefs available to a consumer if the consumer court is satisfied about the
genuineness of the complaint. Unit-11 5
OR
Explain the following rights of a consumer as per the Consumer Protection Act, 2019:
Unit-11 5
(ii) Right to safety
(ii) Right to consumer education.

10. What is meant by financial market’ State any four functions of financial market. 5
Unit-9
11. The Human Resource Manager of Alfa Ltd., a leading air-conditioner manufacturer
requires employees for various posts. He wanted to opt for a source of recruitment
where background of potential candidates is sufficiently known. He knew that
applicants introduced by present employees or their friends and relatives may prove to
be a good source of recruitment. Unit-6
(i) Identify the external source of recruitment discussed in the above paragraph.
(ii) State any four advantages of external sources of recruitment. 5

12. NB Ltd. is India’s largest manufacturer of cement. Its operations are spread throughout
the country with 17 modern cement factories. It has a work force of 9,000 persons.
Since its inception, the company has been a trendsetter for the cement industry. The
company is planning to grow in the long-run and wants to double its capacity in the
next 3 years.
For this the Finance Manager has to decide about the quantum of finance to be raised
from various long-term sources. For this he needs to identify various available sources
of funds and the proportion of funds from each source. 5
(i) Identify the financial decision to be taken by the Finance Manager. Unit-9
(ii) State any four factors which would affect the decision identified in (1)
above.

OR
Myra Ltd., manufacturing televisions, is planning to expand its business and requires
250 crore for the same. A number of projects are available to the company to invest in

6

and each project has to be evaluated carefully. The Finance Manager of the company,
has assessed the projects in terms of the rate of return from each project and wanted to
select the one with the higher rate of return. But before selecting the project he has to
take into consideration other factors also. 5
(ii) Identify and state the financial decision discussed in the above para graph.

(ii) Explain two other factors that the Finance Manager should consider
before selecting the project. Unit-9

Paper-4
(c) Virat has 2500 shares of Suraj Bulb Ltd. He received an offer from Suraj Bulb Ltd. to
purchase two shares for every ten shares held by him.
Identify and explain the method of floatation of new issue reflected in the above lines.
Unit-9 2
2. Identify and state the step of selection process which helps the Human Resource
Manager in eliminating unqualified job seekers on the basis of information supplied in
the application form. Also, list the next two steps involved in the process of selection.
Unit- 6 2
3. ‘Staffing is considered as a very important managerial function in all types of
7rganization7.’
In the light of the above statement, state any two benefits of staffing. Unit-6 2
4. ‘Analysing deviations’ and ‘taking corrective actions’ are the steps in the process of
one of the significant functions of management. Identify the function and list the first
three steps of the process of the function identified. Unit 8 2
5. GDFS Limited are the manufacturers of consumer goods. The demand for their
products was continuously declining after the outbreak of COVID-19. In spite of fall in
demand, the company assured its employees that no worker will be retrenched from the
job. Name the category of incentive and the incentive offered to the employees. Also
explain any two more incentives of the same category. Unit 7 3
6. State any three factors affecting the capital budgeting decision of a company. 3
Unit 9
7. (a) State any three features of motivation. Unit 7 3

OR
(b) Identify the function of management which is concerned with instructing, guiding,
7rganizati, motivating and leading people in the 7rganization to achieve its

7

objectives. Also, state any two features of the identified function of management.
Unit 7 3
8. Abhishek Limited is engaged in manufacturing of Air Purifiers. The target production is
500 Air Purifiers in a week. Over the last few months, it has been observed by the
Production Manager that the weekly production target was not achieved. 3
Identify the function and explain any two points of its importance. Unit 8
9. State any five functions of a Stock Exchange. Unit-9 3
10. (a) Explain the following redressal mechanisms available to a consumer under The
Consumer Protection Act, 2019: Unit -11 5
(i) District Commission.
(c) National Commission
OR
(b) Explain the following rights of a consumer as per The Consumer Protection Act,
2019:
(i) Right to Consumer Education
(ii) Right to Safety Unit-11 5

11. (a) Technology upgradation’ and ‘Level of collaboration’ affect one of the types of
capital requirements of the company. Identify the type of capital requirement affected
with reference to the above statement. Also, explain any other two factors, apart from
the ones stated above affecting the type of capital requirement identified. Unit 9 5
OR
(b) When the Return on Investment of the company is higher than Interest Rate on debt’, it
can use more debt in the capital structure of the company in order to increase its
Earning Per Share. Explain the given situation with the help of a suitable example. 5
Unit 9
12. After the outbreak of pandemic COVID-19, Yash Publishing Limited is planning to go
digital as the teachers and students are now more interested in E-content. After due
consultation with the top management, the company decided to publish E-books. For
the same, they hired a recruitment agency to tap the right talent for the job.

The company also approached a well-established university in the city of Indore to
recruit qualified personnel for various managerial positions. For the post of E-content

writer the company is using shine.com and monster.com.
(a) Identify and explain the function of management highlighted above.

8

(b) Quoting lines from the above, explain the types of external sources of
recruitment discussed in the para.
© State any two advantages of external sources of recruitment. Unit 6 5

Paper-6
1. Estimating manpower requirements is not merely knowing how many persons we need.
What else is needed while estimating manpower requirements? State any two points.
Unit 6 2
2. ‘Due to various malpractices and multiplied investors grievances the Govt. of India
decided to set-up a separate regulatory body to protect the interest of investors and to
regulate the securities market.’ 2
(a) Identify the regulatory body set-up by Govt. of India for the above stated
purpose. Unit 9
(b) State any one objective of the regulatory body identified in (a) above. Unit-9

3. External sources of recruitment may lead to dissatisfaction and frustration among
existing employees. They may feel that their chances of promotion are reduced.! Give
two situations when external sources may be used without dissatisfying the existing
employees. Unit- 6 2
4. The final step in the controlling process is taking corrective action, but when deviations
are within acceptable limits no corrective action is required. When and why corrective
action is required? State. Unit 8 2

5. Agrima, Arunima and Avika are pursuing MBA from a reputed institution, Now it is the
time of their placement. 3
Agrima wants to work in a company which would provide her more authority for
fulfilling her duties and will give recognition, rewards, perquisites and prestige of job.
Arunima wants to work in an 9rganization in which 9rganiza of individuals is
influenced by its characteristics like autonomy, reward orientation, consideration to
employees, risk taking etc

Avika wants to join the 9rganization which has appropriate skill development

programmes and sound promotion policy that encourages employees to exhibit
improved performance

9

Identify and state the incentives about which Agrima, Arununa and Avika are talking
about. Unit -7
6. (a) State any three points of importance of Controlling function of management. 3
Unit-8
OR
(b) State any three points of importance of “Directing function of management. 3
Unit-7
7. Explain ‘Private Placement’ and ‘Rights Issue’ as methods of floatation of new issues in
the primary market. Unit-9 3
8. Name and give the meaning of the concepts that are highlighted in the following
statements 3
(a) It improves the performance of employees on the current job or prepares them for
any intended job. Unit-6
(b) It not only improves the job performance of the employees but also brings
about growth of the personality
9. (a) Explain the following rights of a consumer as per the provisions of Consumer
Protection Act, 2019 5
(i) Right to Safety.
(ii) Right to be Informed Unit-11

OR
(b) State any five responsibilities of a consumer under Consumer Protection Act,
2019. Unit-11 5
10. What is meant by financial market? State any four functions of financial market. Unit-9
5
11. Asha is living in a small village of Rajasthan. Her mother has good culinary skills.
Inspired from her mother she joined a course of ‘Food and Beverages Production’ in
Jaipur. After completing her course she asked her mother to open a sweets shop in
Jaipur, to which her mother agreed. The business was doing well and had started
growing. To expand her business she felt the need of additional personnel. Instead of
selecting personnel from any other source she thought of helping her relatives and
appointed five of them. But after doing all efforts she found that none of her relatives

were providing satisfactory service leading to lower productivity. Also, the quality of
the products started deteriorating.

10

This made Asha to 11rganiz that the ability of an 11rganization to achieve its goals
depends upon the quality of its human resources. This was ignored by her at the time of
selecting the personnel for her expansion programme.

(a) Identify and state the function of management which could have helped Asha
at the time of fulfilling her need of additional personnel in the 11rganization.
(b) State any three benefits of the function identified in (a) above. Unit-6 2+3=5

12. (a) Ananta Ltd. is a company dealing in ready-made garments from last many
years. Recently the profit of the company have started increasing. The finance
manager decided to retain the profit instead of distributing it among shareholders.
2+3=5
(i) Identify and state the financial decision taken by finance manager in the
above case. Unit 9
(ii) State any three factors affecting the decision identified in (i) above. Unit-9

OR
(b) Ravi has joined as a finance manager in MTA Ltd. He had to arrange funds of rupees
one crore for the company. The Chief Executive Officer of the company wants to
arrange the funds by a public issue whereas the finance manager wants to have a mix of
debt and equity as this will determine the overall cost of capital and the financial risk of
the enterprise. 2+3=5

(ii) Identify and give the meaning of the financial decision suggested by the
finance manager in the above case. Unit 9
(ii) State any three factors affecting the decision identified in (i) above.

Paper-7
Questions 1 to 20 are Multiple Choice Questions (MCQs), carrying 1 mark each.
20×1=20
1. The next step in the process of selection after 'Job offer' is

(a) Medical examination
(b) Selection decision
(c) Employment interview

11

(d) Contract of employment Unit-6

2. In planning, generally managers have to follow pre-determined plans and they are not in
a position to change it. This statement highlights the following limitation of planning
(a) Planning may not work in a dynamic environment. Unit 4
(b) Planning does not guarantee success
(c) Planning leads to rigidity
(d) Planning is time-consuming

3. Identify the external source of recruitment illustrated by the picture given below: Unit 6

(a) Recommendation of Employees (b) Labour Contractors
(c) Campus Recruitment (d) Employment Exchange

4. Resident Welfare Association (RWA) of Noida, Sector 15 decided to organise Diwali
mela on the eve of Diwali. They listed all the activities to be done, grouped them as per
their nature and assigned the activities/duties to different people of their association.
After completion of the mela they found that it was not a success. While analysing the
reasons the President of RWA found that mere allocation of work was not enough in the
organisation. He found that an important step in the organising process was missing.
Identify the step from the following: Unit 5
(a) Assignment of duties
(b) Establishing authority and reporting relationships
(c) Identification and division of work
(d) Departmentalisation

12

5. Management helps in providing good quality products and services, creating
employment opportunities, adopting new technology for the greater good of the people
and leads the path towards growth and development. Unit-1
This highlights the following point of importance of management:
(a) Management helps in achieving group goals.
(b) Management creates a dynamic organisation.
(c) Management helps in the development of society.
(d) Management helps in achieving personal objectives.

6. Hitesh and Reena are entrepreneurs. They noticed that every year in the months of
November and December, Delhi, the capital city of India, witnesses poor air quality and
rise in pollution levels. They also observed that nowadays people are more concerned
about quality of life. Sensing the need, they were the first to bring into the market a new
'Anti-Pollution W-98 Mask' which was not only helpful in combating the pollution but
also in increasing the life expectancy of people. Their venture saw a massive success as
there was no competitor.

From the following, identify the importance of Business Environment highlighted
above: Unit 3
(a) Business Environment helps the firm to identify threats and early warning
signals.
(b) Business Environment helps in tapping useful resources.
(c) Business Environment helps in improving performance.
(d) Business Environment enables the firm to identify the opportunities and in
getting the first mover advantage.

7. Neeraj is the Director of "Tulip Public School' having 2000 students. There are two
Headmasters one for Senior classes and another for Junior classes. 50 teachers are under
the supervision of the Senior Headmaster and 60 teachers under the supervision of the
Junior Headmaster. No teacher working under the supervision of the Senior Headmaster
is happy and satisfied, which is affecting the result of the Senior classes. On the other
hand the teachers working under the supervision of the Junior Headmaster are

performing their duties willingly and achieving their objectives. All the teachers are
happy and satisfied. The Director, Neeraj can feel how nicely the Junior Headmaster
was managing his classes.

13

The characteristic of management discussed above is: Unit 1
(a) Management is a goal-oriented process
(b) Management is a dynamic function
(c) Management is an intangible force
(d) Management is a continuous process

8. Plastic utensils are often used as a low cost, convenient option for business or personal
use. These utensils are lightweight, easy to transport and can be disposed off easily
instead of cleaned and reused. But plastic utensils are harmful from health point of view
and create various environmental issues. Nowadays health and fitness trend is becoming
popular. People are looking for different alternatives and have started opting for paper-
made, steel or glass utensils which has tremendously increased the demand of these
products.

The above para discusses an important dimension of Business Environment which is:
(a) Economic Environment Unit 3
(b) Social Environment
(c) Technological Environment
(d) Political Environment
9. Which of the following function of management measures the progress of objectives
and guides the organisation to keep it on the right track so that organisational goals
might be achieved? Unit-1
(a) Planning (b) Staffing
(c) Directing (d) Controlling
10. 'AN Stationery Ltd. is manufacturing various items of stationery like pencils, erasers,
gel-pens, ball-pens, etc. The Production Manager, Ghanshyam is very particular about
the efficiency of production, which he measures by counting the number of pieces
produced and number of defective pieces in a batch. By doing this he is performing an
important function of management which is: Unit 8
(a) Directing (b) Controlling
(c) Organising (d) Planning

11. The method of training in which actual work environment is created in a classroom and

employees use the same materials, files and equipment that are required to be used by
them in their day-to-day working is: Unit 6
(a) Vestibule Training (b) Internship Training

14

(c) Induction Training (d) Apprenticeship Training
12. Statement I: For any exchange to take place it is important that there must be
at least two parties a buyer and a seller.

Statement II: Exchange can take place even if the buyers and sellers are not
able to communicate with each other.
Choose the correct option from the following: Unit 7
(a) Both Statement I and Statement II are correct.
(b) Both Statement I and Statement II are incorrect.
(c) Statement I is correct and Statement II is incorrect.
(d) Statement I is incorrect and Statement II is correct.

13. Match the following marketing philosophies given in Column I with their respective
meaning given in Column II. Unit-10

Column-I Column-II
P. The Product concept (i) It emphasizes on increasing the
profit through increased sales
volumes
Q. The Production concept (ii) It emphasizes on quality
performance and features of product
and thus profit maximization
through product improvement
R. The Selling concept (iii) It emphasizes on profit
maximization through volume of
production, thereby reducing the
cost of production.
S. The Marketing Concept (iv) It emphasizes on profit
maximization through customer
satisfaction, i.e. identifying the
needs of its present and prospective
buyers and satisfying them in an
effective manner

(a) P-(ii), Q-(iii), R-(i), S-(iv)
(b) P-(i), Q-(ii), R-(iv), S-(iii)

15

(c) P-(iii), Q-(i), R-(ii), S-(iv)
(d) P-(iv), Q-(iii), R-(i), S-(ii)
14. The function of Stock Exchange which helps in creating a continuous market where
securities are bought and sold is: Unit 9
(a) Safety of transactions
(b) Pricing of securities
(c) Providing liquidity and marketability to existing securities
(d) Contribution to economic growth
15. The marketing function which includes plan for increasing the level of production,
promotion of the products, etc. and specifies the action programmes to achieve these
objectives is: Unit-10
(a) Gathering and analysing market information
(b) Marketing planning
(c) Product designing and development
(d) Pricing of the product

16. Which of the following statements is incorrect? Unit-9
(a) The protective functions of the Securities and Exchange Board of India include
levying fee or other charges for carrying out the purposes of the Act.

(b) The development functions of the Securities and Exchange Board of India
include training of intermediaries of the securities market..

(c) The regulatory functions of the Securities and Exchange Board of India
include registration of collective investment schemes and mutual funds.

(d) The objectives of the Securities and Exchange Board of India. include
protecting the rights and interests of investors, particularly individual investors
and to guide and educate them.

17. "The use of debt increases the financial risk of a business. The factor determining the
choice of an appropriate capital structure of a company highlighted in the above
statement is: Unit 9
(a) Debt Service Coverage Ratio
(b) Risk consideration.

(c) Cost of debt
(d) Flexibility

16

18. 'A social process by which individual groups obtain what they need and want through
creating offerings and freely exchanging products and services of value with others' is
known as: Unit 10
(a) Marketing (b) Marketing mix
(c) Branding (d) Packaging

19. Which of the following statements is incorrect about Sales Promotion? Unit 10
(a) It includes short-term incentives which are designed to encourage the buyers
to make immediate purchase of a product or services.
(b) It includes all promotional efforts other than advertising, personal selling and
public relations.
(c) It includes only those activities that are used to provide long-term incentives
to boost the sales of a firm.
(d) It includes the activities which are undertaken to supplement other
promotional efforts such as advertising and personal selling.
20. Which of the following is not a factor affecting 'Financing Decision' of a Company:
Unit 9
(a) Cost
(b) Risk
(c) Cash flow position of a company
(d) Growth opportunities

21. After completing his MBA degree, Aman joined a multinational company Zeyovya Ltd.
His job demands long hours and commitment to the organisation. He is responsible for
integrating diverse elements and coordinating all the activities of the business and for its
impact on society. His job is complex and stressful. Unit-1
(a) Identify the level of management at which Aman joined the organisation.
(b) State any two functions to be performed by Aman at this level other than those
discussed in the para. 3
22. Yellow Pumpkin' is an Italian restaurant in Delhi, well known for its fresh and authentic
dishes including pasta, pizza, etc. It has been serving its customers for the last 20 years.
It had been winning various awards and recognition for its services.

During Covid-19, it suffered huge losses. As the effect of Covid reduced and the
business started picking up, the management of Yellow Pumpkin' also decided to go in
for home delivery service to increase its revenue and profit. For this they needed

17

support of their workers to work overtime. Yellow Pumpkin' entered into an agreement
with its workers to put in extra hours without additional payment to revive it out of
losses. In return, they promised to increase the wages of the workers when the mission
is accomplished. The workers put in extra hours as committed and in just three months,
the restaurant's business turned around and it became profitable again. Yellow Pumpkin'
honoured its commitment and not only increased the wages of the workers but also gave
them bonus as an additional incentive.
Identify and explain the principle of management followed by ‘Yellow Pumpkin' 3
Unit-2
23. (a) Explain any two features of 'Directing' function of management. Unit-7 3
OR
(b) Explain any two features of 'Motivation' as an element of Directing. 3
Unit-7
24. (a) State any three points that highlight the importance of financial planning.
Unit 9 3
OR
(b) State how the following factors affect the working capital requirements of a
company: Unit-9
(i) Seasonal Factors
(ii) Production Cycle
(iii) Operating Efficiency 3

25. (a) (i) Identify the process of choosing the best person from among the pool of the
prospective candidates. State the first step in the process identified.
(ii) In all cases, including highly specialised jobs, where the choice is very
narrow, the process identified in (i) above serves two important purposes.
State these purposes. Unit-6 4

OR
(b) Identify and explain the following: Unit 6 4

(i) The job-oriented process that increases knowledge and skills and enables the

employee to do the job better.
(ii) The career-oriented process of learning and growth that enables the overall
growth of the employee.

18

26. (a) State any four features of 'Leadership'. Unit-7 4
OR
(b) Give the meaning of 'Autocratic' and 'Democratic style of Leadership.

27. Considering the inadequate job opportunities and too many aspirants for jobs, 'Alen Pvt.
Ltd.' decided to give its employees certain stability about future income and work so
that they do not feel worried on these aspects. As a result, the employees of 'Alen Pvt.
Ltd.' are now working with greater zeal.
Identify the incentive discussed in the above lines and state three more incentives of the
same type. Unit-7 4

28. Give the meaning of 'Capital Market. Differentiate between 'Capital Market' and
'Money Market' on the basis of the following: Unit-9 4
(a) Participants
(c) Investment Outlay
(d) Duration

29. 'Hitesh Ltd.' is a well-known company in the cement industry since 1999. The company
has an authorised capital of 100 crore and is listed with a reputed stock exchange. The
value of its shares is increasing day-by-day due to increase in the demand for cement.
Unit-9

Now the company wants to enter into car manufacturing business. For this it requires
200 crore. The Finance Manager of the company decides to raise this capital by a public
issue.

(a) Identify the market in which the company's existing securities are being
traded.

(b) Name the market through which the company wants to raise its capital of
200 crore for its new business.

(c) Distinguish between the markets identified in (a) and (b) above on the basis
of any two points. 4
30. "Smart Watch Ltd. is a watch manufacturing company marketing smart-watches for

adults. The company now wants to manufacture smart-watches for children also. For
this it gathered and analysed market information, did marketing planning, product

19

designing and development, standardisation and also decided about the packaging,
labelling, branding, pricing, warehousing, transportation and distribution of these smart-
watches. Even after doing all the above stated activities the company is not picking up
the sales.

The Chief Executive Officer of the company asked the Marketing Manager to find out
the reason. The Marketing Manager investigated the matter and found out that his
marketing team had not performed the two important functions of marketing which may
help the company not only in boosting the sales but also in getting repeat sales.
Identify and explain the functions of marketing which were not performed by the
marketing team. Unit-10 4

31. (a) Explain the following characteristics of management: 6
(i) Management is a goal-oriented process
(ii) Management is a continuous

(iii) Management is all pervasive Unit-1
OR
b) Explain the following as nature of principles of management: 6

(i) Universal applicability
(ii) Flexible
(iii) Mainly behavioural Unit-2

32. (a) Explain the following points of importance of 'Organising' function of management: 6
(i) Benefits of specialisation
(ii) Clarity in working relationships
(iii) Adaptation to change Unit-5
OR
(b) Explain the following points of importance of Delegation': 6
(i) Effective management
(ii) Employee development

(iii) Better coordination Unit-5

33. Identify and explain the type of plans in the following cases: Unit-4 6

20

(a) 'Ananta Travel and Tourism Pvt. Ltd. is providing tourism and hospitality services to
its customers. To achieve its objectives the company prepares a comprehensive plan
taking into consideration the business environment

(b) Amit is Chief Executive Officer of Mannat Raj Industries. He developed the broad
parameters within which the managers may function. By doing so he tried to provide
a base for interpreting strategy which was stated in general terms.

34. Kartik is engaged in trading of Smart Televisions. He purchases these televisions from
'Vivek Electronics', the manufacturer. All the televisions are certified by Bureau of
Indian Standards. During Deepawali season, Vivek Electronics' supplied some defective
television sets to Kartik. Kartik is getting complaints about the televisions from almost
all the customers.
(a) Who amongst the following can exercise his/her 'Right' and against whom?
(i) Kartik
(ii) Vivek Electronics
(iii) Consumers

(b) Define 'Consumer as per the provisions of the Consumer Protection Act, 2019.
(c) State the 'Right' which can be exercised to get relief. Unit-11 6

Paper-8

Questions 1 to 20 are Multiple Choice Questions (MCQs), carrying 1 mark each.
20×1=20
1.'Coordination integrates the efforts of different departments and at different levels.
Unit 1
Identify the characteristic of coordination highlighted in the above statement
(a) Coordination ensures unity of action.
(b) Coordination is an all pervasive function.

(c) Coordination is a deliberate function.
(d) Coordination is the responsibility of all managers.

21

2. Which of the following are the examples of Legal Environment? Unit 3
(i) Advertisement of alcoholic beverages is prohibited
(ii) Decrease in interest rate on loans
(iii) Increase in demand for organic foods
(iv) Digilockers for storing documents
(v) In 1993, the Supreme Court passed an order to close the iron foundries
around Taj Mahal' at Agra

(a) (i) and (iv)
(b) (i) and (ii)
(c) (ii) and (iii)
(d) (i) and (v)
3. _______refers to retention of decision-making authority by higher management levels.
Unit-5
(a) Decentralisation
(b) Departmentalisation
(c) Span of Control
(d) Centralisation
4. Umang was working as a 'Production Manager' at 'LG Papers Ltd. The company had
launched new eco-friendly paper straws in the market. He was given a target of
producing 5,000 straws a day, by the General Manager. In spite of making the
employees work overtime, Umang could not meet the target.
On investigation, it was found that the employees had not received the right training to
manufacture these eco-friendly paper straws. So the employees were sent for special
training.
The function of management which helped Umang in identifying that he could not meet
the target is: Unit 8
(a) Planning
(b) Organising
(c) Directing
(d) Controlling
5. Statement 1: Management is multi-dimensional.

Statement II: The activities involved in managing an enterprise are common to
all organisations whether economic, social or political.
Choose the correct option from the options given below: Unit-1

22

(a) Statement I is true and II is false.
(b) Statement II is true and I is false.
(c) Both the statements are false.
(d) Both the statements are true.
6. Which of the following is not a step in the process of ‘controlling’ function of
management? Unit-8
(a) Setting performance standards
(b) Assignment of duties
(c) Taking corrective action
(d) Comparing actual performance with standards
7. ______ as an element of marketing mix includes the activities that make the firm's
products available to the target customers. Unit-10
(a) Promotion
(b) Place
(c) Product
(d) Price
8. The process of defining and grouping the activities of the enterprise and establishing
authority relationship among them is: Unit 5
(a) Directing
(b) Staffing
(c) Management
(d) Organising
9. Sangeeta visited 'Smile Dental Clinic' for treatment of toothache She observed that the
receptionist was seated at the reception desk, the place fixed for her. Dental instruments
were laid neatly in dental instrument trays and the used instruments were placed in the
sterilisation area. There was a fixed place for everything and it was present there. There
was no hindrance in the work of the dentist and she was working with her maximum
efficiency.
The principle of management followed at the 'Smile Dental Clinic' was:
(a) Equity
(b) Discipline
(c) Order

(d) Initiative Unit-2
10. Match the various characteristics of Business environment given in Column I with their
respective explanations in Column II:

23

Column I Column II
A. Dynamic nature (i) Environment is a phenomenon that is
relatively easier to understand in parts
but difficult to grasp in its totality.
B. Complexity (ii) Business environment differs from
country to country and even region to
region.
C. Relativity (iii) Business environment keeps on
changing, whether in terms of
technological improvement or shifts
in consumer preferences.
(a) A-(iii), B-(ii), C-(i)
(b) A-(ii), B-(iii), C-(i)
(c) A-(iii), B-(i), C(ii)
(d) A-(i), B-(ii), C-(iii) Unit-3

11. Management has its own vocabulary of terms and concepts. Managers need to
communicate with one another with the help of a common vocabulary for the better
understanding of their work situation."
Which characteristic of 'Management as a Science' is highlighted in the above
statement?
(a) Principles based on experimentation
(b) Systematised body of knowledge
(c) Universal validity
(d) Personalised application Unit-1
12. 'Alfanzo Ltd. is achieving all its objectives in an effective and efficient manner. It is
earning enough revenue to cover costs and the risks of the business. Now the company
wants to increase the sales volume, the capital investment, the number of employees
and the number of products also. Unit-1
By doing this, the management wants to achieve its following objective:
(a) Survival
(b) Profit

(c) Personal
(d) Growth

24

13. During the Covid-19 pandemic, the restaurant industry faced many challenges. The
slowdown led to huge decrease in demand. From April 2022, the effect of Covid started
reducing. The economy started picking up and a boom was noticed in the restaurant
industry. As a result, larger amount of working capital was required with increased
production and sales. Unit-9
The factor affecting the working capital requirement discussed above is:
(a) Seasonal factor
(b) Production cycle
(c) Operating efficiency
(d) Business cycle
14. Adapting to a change in consumer preference towards online shopping, 'Fast-Service'
started a grocery delivery app. It is a platform that ensures 10-minute deliveries of
groceries, Because of this service, Fast-Service' earned huge profit within a year. It
planned to expand its operations and decided to raise funds by directly issuing its
securities to investors. Unit-9
The market through which Fast-Service' has decided to raise funds for its expansion is:
(a) Money market
(b) Primary market
(c) Secondary market
(d) Both Primary and Secondary markets Unit-9
15. Capital Market instruments are riskier both with respect to returns and principal
repayment as compared to Money Market instruments'
This highlights the following point of difference between 'Capital Market' and 'Money
Market':
(a) Instruments
(b) Duration
(c) Safety
(d) Liquidity
16. Which of the following statements does not highlight the importance of financial
planning? Unit-9
(a) Detailed plans of action prepared under financial planning increase waste,
duplication of efforts and gaps in planning.

(b) It helps in forecasting what may happen in future under different business
situations.

25

(c) It provides a link between investment and financing decisions on a
continuous basis.
(d) It helps in avoiding business shocks and surprises and helps the company in
preparing for the future.
17. ‘Roma Ltd.’ identified the needs of the customers for the successful marketing of their
products. This was important for making an analysis of the available opportunities,
threats, weaknesses and strengths of the organisation and help in deciding what
opportunities can best be pursued by it. Unit-10
By doing so, which of the following functions of marketing is being performed by
'Roma Ltd.'?
(a) Standardisation and grading
(b) Product designing and development
(c) Marketing planning
(d) Gathering and analysing market information
18.

The symbol which appears on all the ‘Elegant’ cars and which is not utterable is known
as its:
(a) Brand (b) Brand name
(c) Brand mark (d) Trade mark Unit-10
19. ‘A good physical distribution system should provide for an accurate and speedy
processing of orders in the absence of which goods will reach the customers late or in
wrong quantity.’ Unit-10
The component of physical distribution highlighted above is:
(a) Warehousing (b) Order Processing

(c) Transportation (d) Inventory Control
20. ______involves a variety of programmes designed to promote or protect a company's
image and its individual products in the eyes of the public. Unit-10

26

(a) Personal selling (b) Public relations
(e) Sales promotion (d) Advertising
21. Hitesh is the Chief Executive Officer of 'Kids Garments Ltd. Due to festive season,
Hitesh got an additional order of 10,000 garments which he had to supply within two
days. Due to his goodwill in the market, he did not want to lose the order. So, he
decided to achieve the target by operating on double shifts. He achieved the target and
supplied the order within two days. But due to double shifts, his cost of production was
higher than the regular production cost. 3

Identify and give the meaning of the two concepts of management discussed in the
above para. Unit-1

22. The attitudes, skills and abilities of employees to perform specific jobs are increased by
adopting a specific process. This process benefits the organisation in many ways.
Unit-6
State any three benefits of this process to the organisation. 3
23. (a) (i) Name the process of holding securities in an electronic form.
(ii) Name any two participants of Money Market.
(iii) Name the depositories that hold securities in electronic form. Unit-9 3
OR
(b) State any three factors affecting the dividend decision. Unit-9 3
24. (a) Explain the following as points of importance of ‘Controlling’ function of
management: Unit-8 3
(i) Judging accuracy of standards
(ii) Making efficient use of resources
OR
(b) Explain the relationship between 'Planning' and 'Controlling with the help of
any three points. Unit-8 3
25. Nitya is a student of class XII of a well-known school. She has a preconceived notion
that her teacher always finds fault in her work. One day while checking the project
work of class XII, her teacher wanted to appreciate Nitya for her hard work and good
performance, but before she could complete her sentence, Nitya left the room without

listening to her teacher. Unit-7 4
(a) Identify the 'barrier to communication' and also the type/category of barrier to
which it is related.

27

(b) Explain two other communication barriers of the type/category identified in
(a) above.
26. ‘Zeto Ltd.’ offers its employees shares at a price which is less than the market price.
Unit-7
(a) Identify the incentive offered by the company and state the type of incentive
discussed above.
(b) State two other incentives of the type of incentive identified in (a) above. 4

27. Identify and give the meaning of the concepts highlighted in the following statements:
Unit-6
(a) The process of finding possible candidates for a job.
(b) An assessment of the number and types of human resources necessary for the
performance of various jobs.
(c) Introducing the selected employees to other employees and familiarising
them with the rules and policies of the organisation.
(d) It ensures that the organisation gets the best employees amongst the
employees available. 4
28. (a) Stock Exchange not only provides liquidity and marketability to existing
securities, but performs many other functions. 4
Explain any two such functions of Stock Exchange. Unit 9
OR
(b) Distinguish between primary market and secondary market on any four bases.
Unit-9 4
29. (a) State the role of consumer organisations and non-governmental organisations
for the protection and promotion of consumers interests on the basis of any
four points Unit-11 4
OR
(b) State any four reliefs available to the consumers if the consumer court is
satisfied about the genuineness of the complaint. Unit-11 4
30. (a) Explain the following principles of management. Unit-2 6
(i) Discipline
(ii) Unity of Command

(iii) Unity of Direction
OR
(b) Explain the following techniques of Scientific Management. 6

28

(i) Fatigue study
(ii) Motion study
(iii) Time study Unit-4
31. ‘Setting objectives is the first step in the process of one of the significant functions of
management.’ 6
(a) Identify the function of management referred above.
(b) State the next five steps of the process.

32. 'Sweets and More' is one of India's most popular brand for snacks and sweets. It offers a
wide range of sweets, namkeens, cookies and frozen foods. Unit 5
Its organisational structure comprises of separate business units in each of the above
categories. Each of these units have a manager responsible for performance, having
authority over the unit. Moreover, each of these units is multi-functional as within each
unit, different functions like production, marketing, finance, etc. are performed. Though
this kind of organisational structure leads to increased cost because of duplication of
activities across products, but it provides a proper basis for performance measurement
as revenues and costs related to each of these business units can be easily identified.
(a) Identify the organisational structure of 'Sweets and More'.
(b) State three advantages and two disadvantages of the organisational structure
identified in (a) above which are not discussed in the above case. 6
33. ‘X Ltd.’ is engaged in the manufacturing of cars. The company surveyed the market and
found that customers need a car which runs on eco-friendly fuel instead of petrol or
diesel. Keeping the needs of customers as well as social, ethical and ecological aspects
of marketing in mind, the company launched a new model of car that runs on bio-diesel.
The launch event was covered by the top news channels and newspapers. This was done
to disseminate information about the car and build goodwill of the business. X Ltd.'
understands that it is imperative to manage public opinion and company's relations with
the public on a regular basis. Unit-10
(a) Identify and explain the marketing philosophy involved in the above case.
(b) Identify and explain the communication tool that was used by the company.
(c) Explain any two other promotional tools that can be used by X Ltd.' to
achieve its objectives. 6

29

Paper-9
1. Akash works as a production manager in Elite Enterprises' manufacturing LED lights.
Due to festive season, there is lot of demand for their lights. Akash was given the task
of producing 100 units of LED lights 200 per unit within 5 days for an urgent order.
Akash was able to achieve the target of 100 units of LED lights within 5 days @  220
per unit. Unit-8 1
Identify from the following whether Akash is:
(a) Efficient only (b) Effective only
(c) Both efficient and effective (d) Neither efficient nor effective

2. Which of the following items is a component of economic environment? 1
(a) Expansion of transportation and communication services in Delhi.
(b) Facility of booking train tickets, through mobile apps.
(c) Restriction on 15-years-old petrol vehicles plying on roads in Delhu
(d) The Haryana Government's announcement of free bus rides for females on
the occasion of Rakshabandhan. Unit-3 b
3.

Identify the type of organization structure depicted in the above diagram: Unit-5 1
(a) Divisional structure.
(b) Functional structure
(c) Informal structure
(d) Both Informal and Functional structure
4. With a revolution taking place in the manufacturing of mobile phones with super class
cameras, the business of cameras in the consumer market has taken a hit. Studies show

that mobile phone photography has devastated the camera industry.
The dimension of business environment highlighted in the above case is:
(a) Economic Environment 1

30

(b) Technological Environment
(c) Social Environment
(d) Political Environment Unit-3
5. Which of the following features of 'Management as an Art' highlights that every
manager applies his knowledge of principles in his own way to deal with a given
situation? Unit-1 1
(a) Ethical code of conduct
(b) Existence of theoretical knowledge
(c) Personalised application
(d) Universal Validity
6. M/s J.K. Computers' is a small organisation engaged in assembling of computers. In this
organisation, decision making rests with top management while the middle level is
involved in only the implementation of plans. On the other hand, Progressive
Computers Ltd. is a large company where a number of people from each level are
involved in the decision-making process. Unit-2
The application of the principle of 'Centralisation and Decentralisaton' is different in the
two organisations as the situation in each enterprise is not same.
From the following identify the nature of principles of management: 1
(a) Mainly Behavioural (b) Contingent
(c) Flexible (d) Universal

7. The management of a bag manufacturing company has recently changed. Due to this, an
improvement can be felt in the way company functions. Now, targets are met according
to plans, whereas, earlier deadlines were never given importance. Now there is
orderliness, instead of chaos in the organisation and the employees are happy and
satisfied. 1
From the following identify the characteristic of management which is highlighted in
the above case: Unit-1
(a) Management is dynamic
(b) Management is a continuous process.
(c) Management is a group activity.
(d) Management is an intangible force.

8. In an organisation, coordination is the function of every manager, Top level managers
need to coordinate with their subordinates to ensure that the overall plans of the
orgamsation are duly carried out. Middle level managers coordinate with both the top

31

level and the supervisory level managers. Supervisory level managers coordinate the
activities of workers to ensure that work proceeds according to plans. Unit-1
The characteristic of coordination discussed in the above para is: 1
(a) Coordination is a continuous process.
(b) Coordination is a deliberate function.
(c) Coordination is the responsibility of all Managers.
(d) Coordination integrates group efforts.
9. Gitanjali Makan is a successful business leader. She believes that if jobs are made
interesting by including greater variety of work content and providing a meaningful
work experience, the jobs themselves become a source of motivation to individuals.
Unit-7 1
The non-financial incentive that has been discussed in the above case is :
(a) Employee participation
(b) Job Enrichment
(c) Career Advancement Opportunity
(d) Job Security
10. ‘RP Infotech Ltd.’ decided to approach 'Patel Engineering College' to recruit qualified
personnel for various technical jobs in its newly opened branch in Surat. Unit 6
Which source of recruitment from the following has been used by ‘RP Infotech Ltd.’ in
the above case: 1
(a) Direct Recruitment
(b) Placement Agencies and Management Consultants
(c) Campus Recruitment
(d) Recommendation of employees
11. An organization structure is deliberately designed by the top management to facilitate
smooth functioning of the organisation'. 1
Which of the following is not a feature of such a structure?
(a) It clarifies who has to report to whom
(b) There is systematic coordination among the various activities to achieve
organisational goals.
(c) The standards of behaviour evolve from group norms rather than officially
laid down rules and regulations.

(d) It places more emphasis on work to be performed than interpersonal
relationships among the employees. Unit-5

32

12. Statement-1: Capital market instruments are considered riskier both with respect to
returns and principal repayment.
Statement-II: Capital market investment generally yields a higher return for investors.
Unit 9 1
Choose the correct option from the options given below:
(a) Statement-I is true and II is false.
(b) Statement-II is true and I is false.
(c) Both the statements are true.
(d) Both the statements are false.

13. Match the various items of Column-1 with the respective statements in Column-II. 1
Unit-10
Column-1 Column-II
a. Advertising (i) Creates a positive image about
the company and its products.
b. Personal selling (ii) Paid form of impersonal communication.
c. Public relations (iii) Develop Personal relationship with the
prospective buyer.
a b c
(a) (ii) (iii) (i)
(b) (i) (iii) (ii)
(c) (iii) (ii) (i)
(d) (ii) (i) (iii)
14. When the proportion of debt and equity is such that it results in an increase in the value
of equity share the is/are said to be optimal. Unit-9 1
(a) working capital
(c) capital structure
(b) fixed capital
(d) Both (a) and (b)
15. The ______ function of marketing ensures the buyers that goods confirm to
predetermined standards of quality and reduces the need for inspection. It also ensures
that goods belong to a particular quality and helps in realising higher prices for high

quality output. Unit-10 1
(a) Product Designing and Development
(b) Standardisation and Grading

33

(c) Marketing Planning
(d) Branding
16. Which of the following statements is Not true for primary market? Unit-9 1
(a) There is no fixed Geographical location.
(b) Only buying of securities takes place, securities cannot be sold there.
(c) Prices are determined by demand and supply of the security.
(d) It directly promotes capital formation.
17. In which of the following situations, a company will fix high price for its product?
Unit-10 1
(a) When firm's objective is to obtain larger share of the market.
(b) When the firm is facing difficulties in surviving in the market because of
intense competition.
(c) When the firm wants to cover high cost of Research and Development to
attain product quality leadership.
(d) When the firm wants to maximise its total profit in the long run.
18. Which of the following will not be considered as consumers as per Consumer Protection
Act, 2019. Unit-11 1
(a) A person, who avails any service for a consideration which has been partly
paid.
(b) Any user of goods if such use is made with the approval of the buyer.
(c) A person who purchases goods through online means.
(d) A person who obtains goods for resale purposes,

19. As per Consumer Protection Act, 2019, 'the consumer has a right to get relief in case the
product or service falls short of his expectations.’ Unit-11
Which consumer right is discussed in the above statement? 1
(a) Right to be heard (b) Right to be assured
(c) Right to seek redressal (d) Right to safety
20. Which of the following is not a function of Securities and Exchange Board of India
(SEBI)? Unit 9 1
(a) Training of intermediaries of the securities market
(b) Controlling insider trading

(c) Registration of brokers and sub-brokers and other players in the market
(d) Pricing of securities

34

21. The students of Class XII of NK Senior Secondary School visited the Factory of Jaipur
Exports Private Limited a company manufacturing readymade garments. They observed
that different workers were allocated different tasks like cutting the fabric as per
specification, stitching dresses, putting buttons, ironing the finished dresses, packing
them and putting labels The Chief Executive Officer told the students that this results in
efficient and effective output. They also observed orderlines the factory as there was a
fixed place fur everything and it was present there.
The students later discussed with their Business Studies teacher and understood that
principles of management given by Fayol were being followed in the factory

Identify and explain the two principles of management that have been discussed in the
above case. Unit-2 3
22. Keshav Bannerjee is the Chief Executive Officer (CEO) of “Das Networking Ltd.’ a
leading IT company in Bengaluru. He believes that if needs of employees are taken care
of, the employees take good care of the customers. In this company various benefits are
provided to the employee to help them meet their medical and housing needs etc., while
in job. It is also providing benefits like gratuity at the time of their retirement. The
employees are provided various opportunities to attend skill development, programmes
to improve their skills and be promoted to the higher level Jobs. Unit 7
Identify and state the three incentives offered by the company in the above para to
improve the performance of its employees. 3

23. (a) Explain Vestibule Training as a method of training. Unit-6 3
OR
(b) Explain any three benefits of training to the employees. Unit-6 3

24. (a) State any three points of importance of Financial Planning.Unit-9 3
OR
(b) State any three factors that determine the requirement of fixed capital of a
company. Unit-9 3
25. (a) State the first four steps involved in the process of choosing the best
candidate out of a number of prospective candidates for a job. Unit-6 4

OR
(b) State any four benefits of using internal sources of recruitment. Unit-6 4

35

26. (a) Explain any two points highlighting the importance of 'controlling function of
management. Unit-8 4
OR
(b) Explain any two points describing the relationship between ‘planning’ and
‘controlling’. Unit-8 4
27. Balvinder is the Production Manager of ‘Pramod Tea Company’ in Guwahati. He gives
orders to his subordinates and expects that they obey those orders. He does not consult
them nor encourage them to participate in decision making. Unit-7
(i) Identify and state the leadership style adopted by Balvinder.
(ii) When can this style be effectively used by a manager? State. 4

28. Identify the financial decision that is concerned with deciding how much of the profit
earned by a company is to be distributed to shareholders and how much should be
retained in the business. Also state any three factors affecting the indentified decision.
Unit-9 4
29. Zenith Mall' is a famous shopping mall in Mumbai, owned by ‘Pinnacle Group.’ It is
very popular for its international and national brands of fashionable clothes, restaurants,
cinema halls and food courts.
The management of Pinnacle Group has decided to open a new branch of the mall in
Pune. This decision was very crucial for the management as it involves huge amounts.
Unit-9 4
(i) Identify and state the financial decision involved in the above case.
(ii) State any two factors affecting the decision identified in.
30. Rajneesh purchased a 500 ml bottle of fruit juice for 60 in Ahmedabad from a local
store. While consuming it, he found an insect floating in it. He sent a legal notice to the
company immediately and decided to approach a Consumer Dispute Redressal Agency
for a relief of 2 lakh. Unit-11
(i) Which Consumer Dispute Redressal Agency did Rajneesh approach out of the three-tier
machinery set up under Consumer Protection Act, 2019 for redressal?
(ii) If Rajneesh is not satisfied by the order of the above Agency, where can he appeal
against such order and within how many days?
(iii) State any two reliefs that can be granted to Rajneesh in the above case. 4

31. (a) Explain any three points that highlight the importance of ‘Management’. 6
Unit-1
OR
36

(b) Explain the following techniques of scientific management. 6
(i) Differential Piece wage system
(ii) Time Study
(iii) Method Study Unit-2
32. (a) Planning is important as it provides directions for action, reduces the risks of
uncertainty and facilitates decision making. Explain. Unit-5 6
OR
(b) Delegation of authority Develops employees', 'Motivates them' and Facilitates
growth. Explain how. 6
33. Maharana' is a famous take-away food outlet in Meerut. It is quite popular among local
people and travellers on the national highway.
It offers a wide variety of paranthas" and "sandwiches packed in special containers
which are designed and developed by them to keep the food hot and fresh.
Considering the tough competition in the nearby area, the prices have been set
reasonably low.
The owner Nirmal Singh spends huge sums of money to put large hoardings and
kiosks in the vicinity, to inform the people about the outlet's location and the special
items on its menu.
The firm is performing various marketing functions to achieve its marketing
objectives.
On the basis of the information given in the above case identify and explain any
three marketing functions.Unit-10 6
34. The Government of India in its budget for the financial year of 2021-22 reiterated its
support for Electric Vehicle sector. The Government launched several schemes and
incentives to boost their demand as well as to motivate manufacturers to invest in the
same. Inspired by these incentives and concerned about the environmental impact of gas
and diesel-powered engines, Nitin Kothari has set up an electric car manufacturing unit
at Bhilwara. He set a target of earning Return On Investment of 10% in the first year
itself and forecasted that the demand for electric cars will increase by 20 million in the
next few years.
The above case highlights the first two steps of the process of one of the important
functions of management.

(a) Identify the function of management discussed above.
(b) State the remaining steps required to complete the above process.Unit-4 6
Paper-10

37

1. Sarita bought a flat from Sugan Developers for 5 crore and was shocked to discover
that the quality of construction was bad, roof leaked during the rainy season and plaster
was coming off at various places. Which consumer forum should she approach for
redressal of her grievance? Unit-11 1
(a) District Commission
(b) State Commission
(c) National Commission
(d) Supreme Court
2. In a recent ruling, the Supreme Court of India has ordered an immediate stop on
commercial activities in a 500-metre radius of the Taj Mahal and asked Agra
Development Authority to ensure compliance of its directive. Which dimension of
business environment is reflected here? Unit-3 1
(a) Social
(b) Technological
(c) Legal
(d) Political
3. ‘Compro Solutions’ offers IT services to clients across the country. During Covid-19, to
accommodate changes taking place in the business. environment, it suitably modified its
organisation structure in a way that work from home became the new way of working
for all employees bringing cost benefits and flexibility in the organisation. Unit-5
The point of importance of organising discussed above is 1
(a) Benefits of specialisation
(b) Adaptation to change
(c) Development of personnel
(d) Clarity in working relationships
4. Which of the following is not a part of social environment of Business? Unit-3 1
(a) Life expectancy
(b) Education system and literacy rates
(c) Consumption habits
(d) Money supply in the economy

5. Which of the following is not a function of middle level management? Unit-1 1

(a) Analysing the business environment and its implications for survival of the
firm.
(b) Interpreting the policies framed by top management

38

(c) Ensuring that their department has necessary personnel
(d) Motivating people in their department to achieve desired objectives
6. These days consumers are making eco-friendly and healthy choices and are saying no to
all things made of plastic and replacing it with stainless steel and ceramic containers,
thus forcing business to change as well. Identify the feature of business environment
highlighted above: Unit-3 1
(a) Totality of external sources
(b) Specific and general forces
(c) Inter-relatedness
(d) Dynamic nature
7. Government of India demonetised notes of 500 and 1000 on November 8, 2016.
Demonetisation means: Unit-3 1
(a) They ceased to be legal tender except for a few specified purposes.
(b) These notes could not be banked but could be freely used otherwise.
(c) These notes could be converted into gold coins from Reserve Bank of India
(d) These notes could be used for household purposes but not for business
purposes.
8. Taylor called for complete mental revolution on the part of both management and
workers. It meant that management and workers should transform their thinking.
Management should share the gains of the company, if any, with the workers. At the
same time, workers should work hard and be willing to embrace change for the good of
the company. Unit-2 1
The principle of management highlighted above is:
(a) Science, not the Rule of Thumb
(b) Cooperation, not Individualism
(c) Harmony, not Discord
(d) Development of Each and Every Person to His or Her Greatest Efficiency and
Prosperity
9. Keya Ltd. is a large organisation manufacturing a popular brand of desi ghee and
supplying it to various states of India. They manufacture 10,000 litres of desi ghee
every day and pack in cartons of 250 ml, 500 ml and 1 litre sizes. The production
manager ensures that one out of every ten cartons of each size is checked for quality

control everyday. Unit-8 1
The step of the controlling process discussed in the above para is:
(a) Setting performance, standards

39

(b) Measurement of actual performance
(c) Comparison of actual performance with standards
(d) Analysing deviations
10. Prateek Singh opened a jewellery store Fashion Jewels' offering workwear, light
jewellery with modern designs for young working women. Good jewellery designs not
only made the jewellery attractive for young working women, but also gave him a
competitive edge in the market The jewellery was a hit with working women and
Fashion Jewels' was able to report a profit of 3 crore in the first year itself. The function
of marketing performed by Prateek Singh in the above case was: 1
(a) Packaging and labelling
(b) Promotion
(c) Customer support service
(d) Product designing and development Unit-10
11. The process that initiates implementation of plans by clarifying jobs and working
relationships and effectively deploying resources for attainment of identified and
desired results is known as: Unit-5 1
(a) Organising
(b) Controlling
(c) Staffing
(d) Planning
12. Identify the correct sequence of two-level-channel of distribution: Unit-10 1
(a) Manufacturer → Retailer → Agent → Customer
(b) Manufacturer → Consumer → Retailer → Wholesaler
(c) Manufacturer → Agent → Customer → Retailer
(d) Manufacturer → Wholesaler → Retailer → Consumer
13. _______has been established with the specific objective of providing a ready market for
money market instruments. Unit-9 1
(a) Discount Finance House of India
(b) Securities and Exchange Board of India
(c) Reserve Bank of India
(d) State Bank of India
14. Rahul wants to buy shares of 'Rexter Ltd.' which are being traded at the National Stock

Exchange. He feels that the share prices will go up in the future. Which market should
he approach for this purpose? Unit-9 1
(a) Money market

40

(b) Primary market
(c) Secondary market
(d) Both (b) and (c)
15. Statement 1: Values are general rules for behaviour of individuals in society
formed on the basis of common practice and principles after
research in work situations.
Statement II: While practising principles of management, values cannot be
neglected as businesses have to fulfil social and ethical
responsibilities towards society.
Choose the correct option from the options given below: Unit-2 1
(a) Statement I is true and II is false.
(b) Statement II is true and 1 is false.
(c) Both the statements are true.
(d) Both the statements are false.
16. Which of the following is a development function of Securities and Exchange Board of
India? Unit-9 1
(a) Training of intermediaries of the securities market
(b) Promotion of fair practices and code of conduct in the securities market
(c) Undertaking steps for investor protection
(d) Prohibition of fraudulent and unfair trade practices
17. The element of promotion mix which involves a variety of programmes designed to
promote or protect a company's image and its individual products in the eyes of the
public is: Unit-10 1
(a) Personal selling
(b) Public relations
(c) Marketing
(d) Sales promotion
18. The level of packaging of the chocolate shown in the picture below is: Unit-10 1

(a) Secondary packaging
(b) Transportation packaging

41

(c) Designer packaging
(d) Primary packaging
19. The process of holding securities in electronic form is called dematerialisation.
Unit-9
Which of the following statement does not relate to dematerialisation? 1
(a) Smooth transfer and settlement of trade through a single account in shares
(b) Demat securities can be pledged or hypothecated to get loans
(c) No danger of loss, theft or forgery of share certificates
(d) Existing physical shares cannot be converted into electronic form

20. Match the various communication barriers given in Column II with their respective
categories given in Column I: Unit-7 1
Column-I Column-II
P. Semantic Barriers (i) Distrust

Q. Psychological Barriers (ii) Lack of proper incentives

R. Organisational Barriers (iii) Symbols with different meanings

S. Personal Barriers (iv) Status

(a) P-(i), Q-(ii), R-(iii), S-(iv)

(b) P-(iv), Q-(iii), R-(i), S-(ii)

(c) P-(iii), Q-(i), R-(iv), S-(ii)

(d) P-(iii), Q-(ii), R-(iv), S-(D)

21. Praveen and Naveen are friends. Praveen became a professional after completing his
MBBS from 'Hindu Medical College'. Naveen completed his MBA from IIM,
Bangalore. In a discussion with Praveen, Naveen said. that he too is a professional and
is working with a multinational company as a senior manager getting a good package.
Praveen was not convinced about the fact that Naveen was a professional in spite of
being aware that nowadays there is increasing emphasis on managed business concerns.
Praveen gave three reasons in support of his opinion. Explain the three reasons that
Praveen might have given. Unit-1 3

22. Human resources are the most important asset of an organisation. The ability of an
organisation to achieve its goal depends upon the quality of its human resources. The
General Manager of Allied and Sons' appointed an IIM graduate, Pawan Rai,

42

specialised in finance as Marketing Manager. On monthly evaluation, it was found that
Pawan Rai's performance was not up to expectations and he was not able to meet the
monthly targets of the organisation. The Chief Executive Officer (CEO) of the company
asked for investigation into the matter. The CEO was told that Pawan Rai has a
specialisation in finance but was appointed as a Marketing Manager. The CEO
discussed this matter with the General Manager and explained to him the importance of
putting the right person at the right job. He further explained that it would not only lead
to higher performance but would also provide many other benefits. Besides the benefits
of putting the right man at the right job, state the three other benefits which the CEO
might have explained to the General Manager that are not given in the above para.
Unit-6 3
23. (a) Explain any three points of importance of 'Controlling function of
management. Unit-8 3
OR
(b) 'Planning and Controlling are inseparable twins of management." Explain the
relationship between planning and controlling with the help of any three points.
Unit-8 3
24. (a) Distinguish between 'Capital market' and ‘Money market’ on the basis of:
(i) Participants
(ii) Investment outlay
(iii) Safety Unit-9 3
OR
(b) State any three regulatory functions of the Securities and Exchange Board of
India.Unit-9 3
25. (a) Identify and explain the following: 4
(i) It is a job-oriented process which attempts to improve the performance of
employees on the current job and prepares them for any intended job.
(ii) It is a career-oriented process which enables the overall growth of the
employee. Unit-6
OR
(b) Explain any two sources of recruitment for various job positions which bring
new blood in the organisation and provide wider choice. Unit-6 4

43

26 (a) Identify and state any three features of the process of influencing people so
that they strive willingly and enthusiastically towards the achievement of group
goals. Unit-7 4
OR
(b) The process of stimulating people to action to accomplish desired goals is
based on certain assumptions. State four such assumptions. Unit-7 4
27. Managers in 'Galaxy Enterprises' faced lot of issues due to barriers in communication
leading to creation of an environment of distrust and misunderstanding. Unit-7
Suggest any four measures to improve communication effectiveness in 'Galaxy
Enterprises' 4
28. State any four factors affecting the decision which relates to how much of the profits
earned by a company will be distributed and how much will be retained in the business.
Unit-9 4
29. Kaveri is busy in preparing the financial blueprint for her organisation's future
operations. She feels that detailed plans of action reduce waste and duplication of
efforts. However, her friend, Sana feels that in an uncertain and dynamic world, this
type of planning may not work. Kaveri again stresses on her statement and explains
why this financial blueprint is important. Unit 4
Identify the concept and state three points of its importance in addition to those
explained in the above para. 4
30. 'MVT Ltd. is a leading cosmetic manufacturing company. It has its own consumer
service and grievance redressal centre to address consumer concerns. The mobile phone
number of the consumer service and grievance redressal cell is printed on the labels of
all its products as a policy to get feedback or complaints from their consumers. It also
runs various programmes to them in case a product or service falls short of their
expectations.
Explain the two rights of the consumers which are being promoted by the company.
Unit-11 4
31. (a) What is meant by ‘Formal Organisation’? State any four advantages of
Formal Organisation.Unit-5 6
OR
(b) Give the meaning of ‘Divisional Structure’ of an organization. State any four

advantage of this structure.Unit-5 6
32. (a) "The physical handling and movement of goods from the place of production to the
place of distribution is an important element of marketing mix.

44

(i) Name and state the element.
(ii) Explain any three main components of this element. Unit-10 6
OR
(b) ‘It is the single most important element affecting the revenue and profits of a
firm.’ Name and state this element of marketing mix. Explain any three factors
affecting the determination of this element of marketing mix. Unit-10 6
33. A famous cricket coach, Alam Raza was hired by Sports College, Indore to coach the
college cricket team for a National level competition. In the first meeting itself, the
Principal of the college announced that the players would enter into an agreement with
the college. The agreement would state the reporting time for players on the field and
other rules and regulations. Failure to obey the agreement and rules would lead to
judicious application of penalties. It was also announced by the College Principal that
the players would receive orders from the coach and they would all be responsible only
to the coach, to prevent confusion regarding tasks to be done. The coach was very
determined to train the players to win, as the entire responsibility was on his shoulders.
He promoted the spirit of mutual trust and belongingness among the team members
without which he felt it would be difficult to win. The players were also enthusiastic
and the training started in full swing. 6
Identify and explain the three principles of management discussed in the above case.
Unit 2
34. ‘Diamond Logistics Company’ had a turnover of 25 lakh during the year ended 31st
March, 2022. In a board meeting held on 15th April, 2022, it was decided to achieve a
turnover of 45 lakh for the next year. To accomplish this objective after taking into
consideration the business environment, a comprehensive plan was drawn. The Chief
Executive Officer (CEO) of the company also released a plan that would not only guide
the thinking of the managers and their decision-making but also channelise their
energies towards achievement of this target.
Identify and explain the three types of plans discussed in the above para. Unit-4 6

Paper-11
1. The next step in the "Selection Process' after 'Selection Decision' is – Unit-6 1
(A) Job Offer

(B) Medical Examination
(C) Selection Tests
(D) Contract of Employment

45

2. “The purpose of planning is to meet future events effectively to the best advantage of an
organisation.” This statement highlights which of the following features of planning?
Unit-4 1
(A) Planning focuses on achieving objectives.
(B) Planning involves decision-making.
(C) Planning is the primary function of management.
(D) Planning is futuristic.
3. Identify the External Source of Recruitment illustrated by the picture given below: 1

(A) Direct Recruitment (B) Casual Callers
(C) Advertisement (D) Labour Contractor Unit-6

4. ‘Cartoony Planet’ is a well-known indoor playground for organising parties for children
in Noida. It has many play-stations and it organises various activities for the kids to
enjoy. Looking at the increasing number of children visiting 'Cartoony Planet’, a new
indoor playground in the name of Tiny-Tots House' came up with advanced swings,
play stations and entertainment activities near ‘Cartoony Planet’.
To compete with the newly opened indoor playground, 'Cartoony Planet also added
some advance swings and entertainment activities to attract more children.
The above information highlights one of the features of ‘Business Environment’.
Indentify the feature from the following. 1
(a) Uncertainty (b) Dynamic Nature

(c) Relativity (d) Interrelatedness Unit-3

5. The obligation of a subordinate to properly perform the assigned duty is called : 1

46

(a) Authority (b) Responsibility
(c) Accountability (d) Decentralisation Unit-5
6. ‘Dolma' and 'Una' were gardeners with decades of hands-on experience. They were the
first ones to recognise the need of indoor gardens specially for plant-lovers living in
apartments. They took advantage of this opportunity and decided to offer beautiful
designing ideas for indoor gardening through their innovative venture 'My Space'.
'My Space' offered creative ideas like 'Garden wall', 'Hanging Garden', Window
Garden', Book-shelf garden and many more. Since there were no competitors they soon
became the market leaders in the field.
From the following points, identify the importance of Business Environment
highlighted above. Unit 3 1
(A) Business Environment helps the firm to identify threats and early warning
signals.
(B) Business Environment helps in tapping useful resources.
(C) Business Environment enables the firm to identify opportunities and getting
the first mover advantage.
(D) Business Environment helps in assisting in planning and policy formulation
7. 'Digilocker' is a flagship initiative of 'Ministry of Electronics and IT, Government of
India. It aims at digital empowerment of the citizens by providing access to authentic
digital documents such as academic certificates issued by different Examination Boards,
Driving Licenses, Vehicle registrations etc. in a digital fromat. Unit-3
The above para discusses a few dimensions of Business Environment. Identify the
correct dimensions from the following: 1
(A) Economic Environment and Technological Environment
(B) Social Environment and Economic Environment
(C) Social Environment and Political Environment
(D) Political Environment and Technological Environment
8 Different organisations have different goals. Zeepo' is an upcoming retail chain for
providing consumer goods door-to-door, the objective of this organisation is to increase
sales. Allie' is an educational organisation working with an objective of providing
education to under privileged children of the society. Management of each of these
organisations unite the efforts of their employees towards achieving organisational

goals. Unit-1
The characteristic of management discussed above is: 1
(A) Management is goal-oriented.

47

(B) Management is a continuous process
(C) Management is a dynamic function.
(D) Management is an intangible force.
9. ‘Whether the decisions have been translated into desired actions or not’ can be
confirmed by performing which of the following function of management? 1
(A) Planning (B) Organising

(C) Directing (D) Controlling Unit-1

10. Himanshu is working as a Marketing Manager in 'Suvidit-Air-Conditioners', a well
known brand in the field of air-conditioners. Till last month the company was able to
achieve its sales targets. But this month Himanshu observed that targets were not being
met and the number of air-conditioners sold was decreasing. He analysed the situation
and found that the new salesman appointed last month was not good and for this he took
necessary action. Unit-1
Which of the following function of management helped Himanshu to identify the
decrease in sale? 1
(A) Planning (B) Organising
(C) Directing (D) Controlling
11. The activities whose outcome not only improves the job performance but also help
individuals in the progress towards maturity and actualisation of their potential
capacities is known as 1
(A) Training. (B) education
(C) development. (D) performance appraisal. Unit-6
12. Statement-1: The concept of product relates to not only the physical product but
also the benefits offered by it from customer's point of view
Statement-II: The concept of product does not include the extended product by
way of after sale services, availability of spare parts, handling complaints etc
Choose the correct option from the following: Unit-10 1
(A) Both Statement-1 and Statement-II are correct.
(B) Both Statement-1 and Statement-II are incorrect.
(C) Statement-I is correct and Statement-II is incorrect
(D) Statement-I is incorrect and Statement-II is correct.

13. Match the factors affecting fixed capital requirements given in the Column-I with their
explanations given in Column-II. Unit-9 1
Column-I Column-II

48

a. Nature of i. A trading organization needs lower investments in
Business fixed assets as compared to a manufacturing
organization.
b. Technology ii. A textile manufacturing company is installing a
upgradation cement manufacturing plant and thus is investments
in fixed assets is increasing.
c. Diversification iii. A capital-intensive organization requires higher
investments in fixed assets as compared to labour-
intensive organization.
d. Choice of iv. Mobile phones became obsolete faster and are
Technique replaced much sooner than furniture or many other
assets. Hence these type of business require more
fixed capital.

a b c d
(A) i iv iii iv
(B) ii iii iv i
(C) iii ii i iv
(D) iv i iii ii
14. ______refers to the increase in profit earned by the equity shareholders due to the
presence of fixed financial charges like interest. Unit-9 1
(A) Capital structure
(B) Earning per share
(C) Trading on equity
(D) Return on investment
15. The most commonly used tool of promotion which is a paid form of communication
and in which the sponsor bears the cost of communicating with the prospects is:Unit-10
(A) advertising. (B) personal selling
(C) sales promotion (D) public relations. 1
16. Which of the following statements is incorrect? Unit-9 1
(A) Capital Market refers to facilities and institutional arrangements through
which long-term funds; both debt and equity are raised and invested.

(B) Secondary market is the market where securities are sold by the company to the
investor directly or through an intermediary.

49

(C) Primary Market is the Market where only buying of securities takes place.
Securities cannot be sold there.
(D) Money Market is a market for short term funds which deals in monetary
assets whose period of maturity is upto one year.
17. A name, term, sign, symbol, design or some combination of them used to identify the
products goods or services of one seller or group of sellers and to differentiate them
from those of the competitors is known as- Unit-10 1
(A) brand.
(C) brand name.
(B) brand mark.
(D) trade mark.
18. From the following, identify the channel of distribution in which goods pass from the
manufacturer to the retailers who, in turn, sell them to the final users. Unit-10 1
(A) One level channel (B) Two level channel
(C) Three level channel (D) Zero level channel
19. Which of the following statements is incorrect about Personal Selling? 1
(A) It is a direct face to face dialogue that involves an interactive relationship
between the seller and buyer.
(B) It refers to short-term incentives designed to encourage the buyers to make
immediate purchase of a product or service.
(C) It allows a sales-person to develop personal relationship with the
prospective customers.
(D) In this it is possible to take a direct feedback from the customer and to
adopt the presentation according to the needs of the prospects. Unit-10
20. Which of the following is NOT a factor affecting capital structure of a company? 1
(A) Cost of Debt
(B) Growth Opportunities
(C) Cash Flow Position
(D) Interest Coverage Ratio Unit-9
21. Monika, Rashmi and Garima are childhood friends. After completing their education,
Monika joined a school as a teacher. Rashmi joined a firm as a Chartered Accountant
and Garima as a General Manager in a Multi-National Company. After a long time in a

re-union function of the school, they met each other. Rashmi said that they were all
professionals now. Garima told Rashmi that she can say this about Monika and herself,
but not about her since Manager is not considered a full fledged professional.

50

Why did Garima say that she was not a professional? State any three points in support
of your answer. Unit-1 3
22. Vibhu joined as a Chief Executive Officer (CEO) of 'Mega Marut Ltd. a firm
manufacturing cars. On the first day he addressed his subordinates saying that
organisations should have a chain of authority and communication that runs from top to
bottom and should be followed by managers and the subordinates. He also added that
for routine matters a worker can not directly contact the CEO but in an emergency
he/she may contact directly. Unit-2
Vibbu discussed an important principle of management. Identify and explain the
principle with the help of an example. 3
23. (a) Explain (i) : Accomplishing organisational goals and (ii) Judging accuracy of
standards as importance of controlling function of management. Unit-8 3
OR
(b) Explain the following as steps in the process of controlling
(i) Setting performance Standards.
(ii) Measurement of actual performance. Unit-8
24. (a) State any three Development functions of Securities and Exchange Board of
India. Unit-9 3
OR
(b) State any three factors that affect the working capital requirements of a
company. Unit-9 3

25. (a) Filling vacancies for various job positions from within the organisations has
many benefits. State any four such benefits. Unit-6 4
OR
(b) Staffing not only helps in discovering and obtaining competent personnel for
various jobs but also ensures some more benefits to the organisation. State any four
such benefits. Unit-6 4
26. (a) State any four elements involved in the communication process. Unit-7 4
OR
(b) State any four semantic barriers of communication. Unit-7 4

27. Mahamana Enterprises is not only giving salary to its employees but it also offers bonus
to them over and above the salary. To further encourage the employees, it announced

51

that it will provide a share in the profits of the company to them. These incentives are
helpful in increasing the purchasing power of the employees.
State four other incentives of the type of incentive discussed in the above para. 4
Unit-7
28. State any four factors affecting the decision that determines the overall cost of capital
and the financial risk of the enterprise. Unit-9 4
29. Harish is working as a finance manager in ‘Kozee Softwares Ltd’. He has been awarded
‘Best employee of the year Award’ because of his foresightedness. He always aims at
smooth operations of all the financial activities by focusing on fund requirements and
their availability in the light of financial decisions. He takes into consideration the
growth, performance, investments and requirement of funds for a given period so that
financial resources are not left idle and don't unnecessarily add to the cost. Unit 9
By doing all this Harish strives to achieve the two main objectives of an important
concept of financial management. Identify the concept and explain its two objectives. 4
30. Sameeksha is a Class-XII student. having Business Studies as one of her subjects. After
studying 'Consumer Protection' as one of the chapters in Business-Studies, she tried to
apply the acquired knowledge while purchasing and using the goods. She is very fond
of cooking and always tries new recipies. This time she wants to purchase a Bread
Maker to prepare homemade bread. She checked online about the various brands of
Bread Maker' available in the market and compared their price, so that an intelligent and
wise choice can be made. Then she went to a near by market to buy it. Being an
informed consumer she looked for the Standardization Mark, negotiated the price
printed on the label, checked the date of manufacturing and asked for guarantee or
warranty of the product.
After satisfying with all the concerned information she purchased the Bread Maker' and
as a responsible consumer asked for the cash-memo After coming back home she
opened the packaging of the 'Bread Maker' and found an instruction booklet inside. She
carefully read all the instructions and operated the Bread Maker step-by-step and
succeeded in making nice 'Atta Bread for her family.
Sameeksha has fulfilled many responsibilities of a consumer while purchasing and
using the ‘Bread Maker’.
State any four responsibilities fulfilled by Sameeksha besides asking for a cash-memo.

Unit-11 4
31. (a). Explain : (i) ‘Science not Rule of Thumb’ as a principle of management and (ii)
‘Method Study’ and “Time Study” as techniques of Scientific Management. 6

52

Unit-2

OR
(b) Explain: (i) General Guidelines' as a feature of principles of management, (ii)
Providing managers with useful insights into reality and fulfilling social responsibilities
as significance of principles of management Unit-2 6
32. (a) Explain "Objectives' and 'Budget' as type of plans. Unit-4 6
OR
(b) Explain the following as limitations of planning: Unit-4 6
(i) Planning leads to rigidity.
(ii) Planning may not work in a dynamic environment.
33. Best Electronics started manufacturing washing machines under the brand name Amaze
Once the washing machines were manufactured, packaged, branded, priced and
promoted, they had to be made available to the customers at the right place, in the right
quantity and at the right time.
'Best Electronics' provided for accurate and speedy processing of orders so that the
washing machines reach the customers in time, in the right quantity and specifications.
They also ensured that the washing machines are physically made available to the
customers. Further, 'Best Electronics arranged for facilities to store the washing
machines at different locations near the market to minimize the charges on
transportation. Explain any three components of physical distribution discussed in the
above case. Unit-10 6
34. Due to spread of COVID-19 pandemic, employees of almost all the companies were
working online from their homes. In 2022 when most of the companies called them
back to their office and started working offline, Taty Software Ltd. still asked their
employees to work from home. Because of this, employees of Taty Software Ltd. were
feeling bored, hence for recreation they formed a cricket-club. They started meeting
every Saturday and Sunday on a ground near their office building. Unit-5
(i) Identify and state the type of organisation formed by the employees of Taty
Software Ltd!
(ii) Also, state any two advantages and two limitations of the type of organisation
identified in (i) above. 6

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Paper-12
Questions no. 1 to 20 are Multiple Choice Questions (MCQs), carrying 1 mark each.
20×1=20
1. For taking the company out of losses, Ravi Kumar took over as the Managing Director
of the struggling ‘Vova Watch Company’ in January 2020. As soon as he joined, he
tried to find out the reason for the company not doing well. He found that the
employees were not involved in decision-making and they had to just follow orders,
resulting in low morale of employees.
Recognising the need for change, Ravi Kumar started on a journey to bring back the
enthusiasm and motivation of the employees. He initiated open dialogues and
encouraged them to actively participate in decision-making. Together, they developed
action plans to address the company's challenges regarding outdated designs and
inefficient production processes etc.
As time passed, ‘Vova Watch Company’ transformed from a struggling enterprise to a
profit making enterprise. Identify the leadership style of Ravi Kumar: 1
(A) Autocratic leadership style
(B) Democratic leadership style
(C) Free-rein leadership style
(D) Both (A) and (B) Unit-7
2. Which of the following is an element of 'Social Environment'? Unit-3 1
(A) Rates of saving and investment
(B) Expectations from the workforce
(C) The nature of relationship of our country with foreign countries
(D) Planned outlay in public and private sectors
3. Statement I: Delegation is the entrustment of responsibility and authority to
another, and the creation of accountability for performance.
Statement II: Irrespective of the extent of delegated authority, the manager
shall still be accountable to the same extent as before delegation.
Choose the correct option from the following: Unit-5 1
(A) Statement I is true and Statement II is false.
(B) Statement II is true and Statement I is false.

(C) Both the Statements are true.
(D) Both the Statements are false.
4. ______refers to doing the task correctly and with minimum cost. Unit-1 1

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(A) Effectiveness (B) Coordination
(C) Process (D) Efficiency
5. ‘Dovex’ was a large company with a renowned name in healthcare industry,
specialising in the development and production of life saving medications and medical
devices. With a strong reputation for ethical practices, ‘Dovex’ attracted a large number
of investors who had great faith in the company's future. This allowed 'Dovex' to raise
capital easily from the market whenever expansion or new projects were to be
undertaken. As a result, it could pay high dividends to the shareholders. The factor
affecting dividend decision discussed above, which allowed Dovex' to pay high
dividends to the shareholders is: Unit-9 1
(A) Cash flow position (B) Stock market reaction
(C) Legal constraints (D) Access to capital market
6. “It is a career oriented process designed to help the employees in the progress towards
maturity and actualization of their potential capabilities.” Identify the process: Unit-6
(A) Staffing (B) Selection
(C) Development (D) Training 1
7. ‘SK Builders’ became the market leader in the designer house segment as it was the
first to recognize the need of using Artificial Intelligence in designing houses in the
changing environment of technological advancement. This highlights the following
point of importance of business environment: Unit-3 1
(A) It helps to identify threats and early warning signals.
(B) It enables the firm to identify opportunities and getting the first mover
advantage.
(C) It helps in tapping useful resources.
(D) It helps in improving performance.
8. In the market, prices are determined and decided by the management of the company.
Unit-9 1
(A) Primary (B) Secondary
(C) Money (D) Stock
9. The process of estimating fund requirements of a business and specifying the sources of
funds is called: Unit-9 1
(A) Capital structure (B) Financial planning

(C) Financial management (D) Capital budgeting
10. Statement I: A financial market facilitates the transfer of savings from savers
to investors.

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Statement II: It gives savers the choice of different investments and helps to
channelise surplus funds into the most productive use.
Choose the correct option from the following: 1
(A) Statement I is true and Statement II is false.
(B) Statement II is true and Statement I is false.
(C) Both the Statements are true.
(D) Both the Statements are false. Unit-9
11. Choose the incorrect statement from the following about functions of a Stock
Exchange: Unit-9 1
(A) Provides liquidity and marketability to new securities
(B) Ensures safety of transactions
(C) Contributes to economic growth
(D) Provides scope for speculation
12. Online retailer 'Bizen' has grown to be the biggest provider worldwide in the field of e-
commerce. Its revenues are growing steadily year after year It owes its success to the
rapid rate of digitisation and its organisational structure. Bizen's Managing Director,
Mohit makes strategic decisions and has control over the entire organisation. In 'Bizen',
jobs of similar nature are grouped together into Human Resource Department,
Marketing Department, Purchase Department and Research and Development
Department. These departments are further divided into sections and all departmental
heads report to Mohit who is the co-ordinating head. This ensures efficiency in the
utilization of manpower and minimizes duplication of efforts. The type of
organizational structure of 'Bizen' is: Unit-5 1
(A) Informal organisational structure
(B) Divisional organisational structure
(C) Functional organisational structure
(D) Both (B) and (C)
13. Match the terms given in Column I with their meanings in Column II: 1

Column –I Column-II

1. Placement (i) Introduction the selected employee to other employees and

familiarizing him with the rules and policies of the
organization.

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2. Recruitment (ii) It refers to the employee occupying the position or post for
which he/she been selected
3. Orientation (iii) Evaluating an employee’s current and/or past performance
as against certain predetermined standards.
(iv) The process of searching for prospective employees and
4. Performance stimulating them to apply for jobs in the organization
Apprasial

Choose the correct option from the following: Unit-6
(A) 1-(1), 2-(ii), 3-(iii), 4-(iv)
(B) 1-(ii), 2-4(iii), 3-(1), 4-(iv)
(C) 1-(ii), 2-(iv), 3-(1), 4-(iii)
(D) 1-(ii), 2-(1), 3-(iv), 4-(iii)
14. Plans are prepared for a specific period of time, may be for a month, a quarter or a year.
At the end of that period, there is a need for a new plan to be drawn on the basis of new
requirements and future conditions. The feature of planning reflected in the above lines
is: Unit-4 1
(A) Planning is futuristic (B) Planning is continuous
(C) Planning is pervasive (D) Planning is a mental exercise
15. The marketing management philosophy which uses availability and affordability as a
means to achieve the objectives is Unit-10 1
(A) Marketing concept (B) Selling concept
(C) Product concept (D) Production concept
16. Identify the tool of promotion used by 'Mehta Sons Garments' to boost its sales: Unit-10 1
(A) Advertising (B) Personal selling
(C) Sales promotion (D) Public relations

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17. Read the following statements: Assertion (A) and Reason (R). Choose the correct
alternative from the options given below: 1
Assertion (A): Many enlightened business firms have set up their own
consumer service and grievance cells.
Reason (R): The consumer has a right to file a complaint and to be heard in
case of dissatisfaction with a good or service. Unit-11
(A) Both Assertion (A) and Reason (R) are true and Reason (R) is the correct
explanation of Assertion (A).
(B) 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.
18. Which of the following is not a component of 'Physical Distribution"? Unit-10 1
(A) Inventory control (B) Standardisation and grading
(C) Order processing (D) Transportation
19. Beenu had a bookstore in Sabad called ‘Book-mark’. For years, the bookstore was
doing reasonably well but with the rise of digital books and online retailers, her sales
had declined. Beenu’s daughter, who had just completed her MBA with a specialisation
in marketing decided to launch a marketing campaign to revive the bookstore. The
campaign's focus was on the joy of reading books in physical form, the joy of turning
pages and the warm atmosphere of the bookstore. She organised story writing and other
competitions every weekend. The information of these was given to the parents and
children through television, radio, children's magazines, etc. Attractive prizes were
offered to the winners. This increased the footfall of the children and their parents and
the bookstore soon became popular. Unit-10
The tool of communication used by Beenu's daughter to revive the bookstore was: 1
(A) Advertising (B) Personal selling
(C) Sales promotion (D) Public relations
20. Best Electronics' is led by its visionary Chief Executive Officer, Nikhil. It has a
reputation for good quality products and customer service. Nikhil recognised the need
to continually innovate and provide customers with the latest products. He wanted the
company to be the market leader in electronics.

Nikhil knew that to realise his ambitious vision, he needed a clear and well-defined plan
that would provide broad contours of the company's business. His team conducted
extensive market research to uncover emerging trends, customer preferences, and

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potential competitors. On its basis, a plan was prepared defining the company's
direction and scope in the long run. On the implementation of the plan 'Best Electronics'
became the market leader in two years. The type of plan which helped Best Electronics'
to become the market leader was: Unit-4 1
(A) Policy (C) Strategy
(B) Rule (D) Procedure
21. (a) State any three features of business environment. Unit-3 3
OR
(b) State any three features of 'Demonetization' Unit-3 3

22. Kanav, after passing out of college with specialization in renewable energy, was
determined to start a solar power plant. The venture required heavy investment in plant
and machinery and less on manual labour. Kanav invested in the latest solar panel
technology and infrastructure and purchased the latest solar panels, inverters and battery
storage systems.
Despite the high risk and substantial investment, Kanav's business had good expansion
possibilities. The world was increasingly moving towards clean energy solutions, and
there was a growing demand for sustainable power sources. So, Kanav decided to create
a higher capacity to meet the anticipated demand quickly. This entailed further
investment in fixed assets which Kanav was able to arrange.
As the years passed, the solar power plant did very well and played a pivotal role in the
city's transition towards a greener and more sustainable future.
Identify and explain the two factors affecting the fixed capital requirements discussed in
the above case. Unit-9 3
23. A renowned car company named 'BB Motors' was known for producing high
performance cars. They were committed to ensure that its employees had the skills and
knowledge to build these innovative high-performance cars. To achieve this, they
implemented a unique approach for training The company transformed a section of its
factory into what they called the Learning Floor. Actual work environment was created
by allotting a specialized space. The space was equipped with a range of car
components, tools and sophisticated car equipment identical to those used on the factory
floor, where the company's employees would undergo their training.

Identify and explain the method of training used by 'BB Motors' to ensure that its
employees had the skills and knowledge to build innovative high-performance cars.
Unit-6 3

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