Series EF1GHIC SET~2

Q.P. Code 66/C/2

Roll No.

Candidates must write the Q.P. Code on:

the title page of the answer-book.

BUSINESS STUDIES

Fyfta 44:3 qU2

Time allowed : 3 hours Maximum Marks : 80

Aie/NOTE:
Please check that this question paper contains 19 printed pages.
E(i)

Q.P. Code given on the right hand side of the question paper should be written on the title ;
page of the answer-book by the candidate.

Please check that this question paper contains 34 questions.

Please write down the serial number of the question in the answer-book before:
attempting it.

yata 10.15 U t IÇ•T | 10. 15 # 10.30 TE S5 dAG I9T 4 :

15 minute time has been allotted to read this question paper. The question paper will be:
distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the students will read the:
question paper only and will not write any answer on the answer-book during this period.
P.T.0.
66/C/2 Page l
D

GeneralInstructions :
Read the following instructions very carefully and strictly follow them :
(i) This question paper contains 34 questions. Allquestions are compulsory.
(ii) Marksare indicated against each question.
(ii) Answers should be brief and to the point.
(iv) Answers toquestions carrying 3 marks may be from 50 to 75 words.
(v) Answers toquestions carrying 4 marks may be in about 150 words.
(vi) Answers to questions carrying 6 marks may be in about 200words.
(vii) Attempt all parts of a question together.

Questions 1 to 20 are Multiple Choice Questions (MCQs), carrying 1mark

each. 20x1=20

1, Statement I: Financial planning is essentially the preparation of

financial blueprint of an organisation's future operations.
Statement II: Financial planning is done only for long-term and focuses
on capital expenditure programmes only.
Choose the correct option from the options given below :
(a) Statement I is true and Statement II is false.
(b) Statement IIis true and Statement I is false.
(c) Both the statements are true.

(d) Both the statements are false.

2. Which of the following functions of management completes one cycle of

management process and improves planning in the next cycle ?
(a) Organising
(b) Staffing
(c) Directing
(d) Controlling
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 3. In organising process, which of the following step is performed just before
establishing reporting relationship between individuals ?
(a) Assignment of duties
(b) Identification and division of work
(c) Departmentalization
(d) Imparting training to employees
4. is a standing plan.
(a) Rule
(b) Budget
(c) Programme
(d) Strategy
5. Which of the following consumer rights under Consumer Protection Act,
2019 gives the freedom to consumers to access variety of products at
competitive prices ?
(a) Right to be informed
(b) Right to be assured/Right tochoose
(c) Right to consumer education
(d) Right to be heard
6. From 2003, all transactions in securities are to be settled within twodays
after the trade date. This system is known as :
(a) Rolling settlement system
(b) Rotational settlement system
(c) Automatic settlement system
(d) Mutual settlement system
7. provides the prescribed ways or manner in which a task has
to be performed, considering the objective.
(a) Method
(b) Budget
(c) Programme
(d) Procedure
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8. Project Nanhi Kali run by Shivam and Sohan Ltd. was started in 1998
and is one of the largest programmes that enables underprivileged girls
to complete 10 years of schooling. The project has impacted the lives of
over 5 lakh girls from low income group families across the country.
The objective achieved by Shivam and Sohan Ltd. by doing so is :
(a) Organizational objective
(b) Social objective
(c) Personal objective
(d) Both (a) and (c)
9. From the following, identify the Incorrect Statement as per Consumer
Protection Act, 2019 :
(a) National Commission has territorial jurisdiction over the whole
country for consumer protection.
(b) District Commission entertains complaints where value of goods or
services paid as consideration does not exceed 1crore.
(c) Appeal against District Commission's order can be filed in
National Commission.
(d) District Commission and State Commission are set by the State
Governments.

10. From the following, identify the statement which is correct about capital
budgeting decision
(a) These decisions are reversible.
(b) These decisions include committing huge amounts of finance on a
long-term basis, therefore need to be taken with utmost care.
(c) These decisions do not affect the earning capacity of the business
in the long run.
(d) Size of assets, profitability and competitiveness are not affected by
capital budgeting decisions.
11, Which of the following is not a disadvantage of functional structure of
organisation ?
(a) Less emphasis on overall enterprise objectives than the objectives
pursued by a functional head.
(b) A conflict of interests may arise when the interests of two or more
departments are not compatible.
(c) May lead to increase in costs since there may be duplication of
activities across products.
(d) It may lead to problems in coordination as information has to be
exchanged across functionally differentiated departments.
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12. Ashita works in a company where her basic task is to integrate diverse
elements and co-ordinate the activities of different departments
according to the overall objectives of the organisation. At which level of
management is Ashita working ?
(a) Top level management
(b) Middle level management
(c) Supervisory level management
(d) Both (b) and (c)
13. Which of the following is not a factor affecting price of a product or
service?
(a) Product cost
(b) Extent of competition in the market
(c) Government and legal regulations
(d) Standardization and Grading
14. Match the features of planning given in Column I with their respective
explanation given in Column II.
ColumnI Column II
A. Planning is a mental () Planning involves thorough examination
exercise
and evaluation of each alternative and
choosing the most appropriate one
B. Planning isall (ii) Planning is required at all levels of
pervasive management as well as in all
departments of the organisation
C. Planning involves (ii) Planning requires logical and systematic
decision-making thinking rather than guess work or
wishful thinking
(a) A-(i), B-(ii), C-(iii)
(b) A-(iii), B-(i), C-(i)
(c) A-(ii), B-(iii), C-(i)
(d) A-(i), B-(iii), C-(i)
15. Providing job security and pension plan, etc. will satisfy which of the
following needs of employees ?
(a) Basic physiological needs
(b) Safety/Security needs
(c) Belongingness needs
(d) Esteem needs
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 16. With rising pollution levels, consumers are becoming conscious about the
harmful effects of polluted air, so the demand for home air-purifiers is
increasing day-by-day. Which dimension of business environment is
discussed here ?
(a) Political Environment
(b) Technological Environment
(c) Economic Environment
(d) Social Environment
17. In advertising there is no direct face-to-face contact
and the advertiser'. The feature of advertising statedbetween
here is:
the prospect
(a) Paid form
(b) Impersonality
(c) Economical
(d) Identified sponsor
18. The picture given below depicts important information related to a
decision that a marketer has to take in the area of product.
Manufacturing Date : Organic Honey: Quantity:500 ml
10/3/23
Expiry Date: 10/3/25 No added sugar 100%
Orgaxic
Max. Retail Price: 500
HONEY pure

Manufacturer:
Organic Agro
products
Uttarakhand
Identify from the following the correct option:
(a) Branding
(b) Labelling
(c) Packaging
(d) None of the above

19. Managing public opinion of an organisation is an important task

performed by the marketing department'. It is included under which of
the following element of marketing mix ?
(a) Product mix (b) Place mix
(c) Price mix (d) Promotion mix
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20. Which of the following statements is Incorrect with respect to Autocratic
Leadership style ?
(a) Subordinates are expected to obey the orders of the leader.
(b) An autocratic leader does not wish to be contradicted.
(c) Subordinates are given high degree of independence.
(d) Quick decision-making is facilitated.
21. Burgers and Fudge' was among the first fast food chains in India which
pioneered the concept of family-style restaurants. However, over the
years it started losing business to multinational food chains like
McDonalds and Pizza Hut, etc. and soon had to shut down.
The reason to shut down was the inability of managers to identify,
understand, evaluate and to react to the forces external to their firm.
In the light of the above situation, explain with the help of any two
points, how understanding of business environment is important for
managers.

22. (a) Explain any three points that highlight the relationship between
planning and controlling' function of management. 3

OR
(b) Explain any two points of importance of directing' function of
management. 3

23. (a) State any three benefits of 'staffing function of management to the
organisation. 3

OR
(b) State any three benefits of training to employees.
24. Ananta Ltd. is afirm manufacturing electronic goods. To increase its
sales and earn profits, its General Manager, Kamal is thinking in
advance what to do and how to do it. He is also preparing forecasts to
reduce the risk of uncertainty and to achieve its targets.
By doing so Kamal is performing an important function of management.
Identify and state the function of management highlighted above. Also
3
state any two points of importance of this function.
PT.0.
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25.
Ankush bought a high end microwave on Diwali from a leading electronic
store. The microwave had ISI mark and Ankush diligently went through
the instruction manual so that he could use it properly. However, due to
faulty wiring there was a short-circuit in the microwave. He called up the
consumner helpline of the company many times but no solution was
provided by the company. Ankush now decided to file a case in the
Consumer court.

(a) Identify and explain the right which Ankush will exercise.
(b) State two responsibilities which Ankush had fulfilled while
purchasing and using the microwave. 4

26. Srijan, after completing his bachelor's degree in culinary arts from a
reputed institute, took over his family restaurant specialising in South
Indian dishes. This business was promoted by his grandfather many
years back in the form of a company. Now he wants to get the restaurant
renovated to open a special section for bakery products. It is estimated
that an investment of 5 crore will be required to execute this plan. At
present the cash flow position of the company is not strong and fixed
operating costs of business are also high.
Keeping in view the above situation, name with two reasons, the source
of finance which Srijan should choose for modernization and expansion of
his business. Also explain one more factor, apart from those stated above
which Srijan should keep in mind while taking this decision. 4

27. Explain the following as factors affecting the working capital

requirements of a business : 4

(i) Business cycle

(ii) Operating efficiency

28. (a) State any four points of difference between Primary Market' and
Secondary Market'. 4

OR
(b) State any four protective functions of Securities and Exchange
Board of India'. 4

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29.
Pallavi started a wedding planner company Dreams Unlimited' in 2016
and her target was to be amongst the top 10 companies in this field
within the next three years. For this she employed people having
different skills. She worked hard and united the efforts of different people
to achieve this goal. The requirements of the customers in this industry
changed very fast and the company adapted to keep pace with the
changing environment. As planned, the company achieved its target
within three years. All the employees of the organisation were happy and
satisfied and the effect of management was noticeable in the
organisation.
The way Pallavi was managing her business highlights some of the
features of management. By quoting lines from the above paragraph,
explain any two such features. 4

30. (a) Explain any two features of 'motivation' as an element of directing

function of management. 4

OR
4
(b) Explain the following as elements of communication process :
(i) Message
(ii) Encoding
(iii) Media
(iv) Decoding

31. F.M. Tech Ltd. is one of the leading information technology service
of the
provider company in Delhi. To enable smooth functioning
work
enterprise, job description and rules and procedures related to
boundaries of
processes are laid down. The company specifies clearly the
co-ordination
authority and responsibility and there is a systematic
goals.
among the various activities to achieve organisational
(a) Identify and explain the Type of organisation' discussed above.
(b) State any two advantages and two limitations of the Type of
6
organisation' identified in (a) above.
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66/C/2
32. Abhishek studied management principles and techniques of Henri Fayol
and F.W. Taylor when he was in class XII. Now he is trying to apply his
knowledge while doing his business. By using different techniques and
scientifically analysing work he found one best way of doing the job. By
removing unproductive movements of the workers he reduces the time to
complete the job. Not only this, to increase productivity and to regain
stamina he started giving more rest intervals to his employees. He
followed no discrimination policy on account of sex, religion,caste, etc. in
his organisation. He ensured that the compensation should be fair to
both,employees and the organisation.
ldentify and explain any two techniques of scientific management and
6
two principles of general management adopted by Abhishek.

33. (a) Explain any four psychological barriers of communication. 6

OR

(b) Explain any four merits of external sources of recruitment. 6

6
34. (a) Explain the following as functions of marketing :
(i) Gathering and analysing market information
(ii) Customer support services
(iüi) Pricing of product
OR

(b)
Explain the following as components of Physical Distribution : 6

(i) Order Processing

(ii) Transportation
(iii) Warehousing

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