COMMERCIAL STUDIES
Maximum Marks: 80
Time allowed: Two hours
Answers to this Paper must be written on the paper provided separately.
You will not be allowed to write during the first 15 minutes.
This time is to be spent in reading the question paper.
The time given at the head of this Paper is the time allowed for writing the answers.
Attempt all questions from Section A and any four questions from Section B.
The intended marks for questions or parts of questions are given in brackets [ ].
SECTION A (40 Marks)
(Attempt all questions from this Section.)
Question 1
Choose the correct answer to the questions from the given options. [16]
(Do not copy the questions, write the correct answers only.)
(i) Heavy expenditure on advertisement is classified as:
(a) Revenue Expenditure
(b) Capital Expenditure
(c) Deferred Revenue Expenditure
(d) Miscellaneous Expenditure
(ii) __________ expect the business organization to follow the laws and
regulations of the country.
(a) Suppliers
(b) Government
(c) Associates
(d) Owners
This paper consists of 7 printed pages and 1 blank page.
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(iii) Adulteration means cheating a consumer by:
(a) Giving less quantity of a product
(b) Charging unreasonably high prices
(c) Mixing of harmful substances in the product
(d) Keeping away information from the consumers
(iv) ___________ is an example of Capital Expenditure.
(a) Land and building
(b) Rent
(c) Repairs and maintenance
(d) Interest on loan
(v) The budget that forms the fundamental basis of all budgets and lays down the
revenue goals of an enterprise is the:
(a) Purchase Budget
(b) Sales Budget
(c) Cash Budget
(d) Production Budget
(vi) __________ is the process of carefully screening the candidates to choose the
most suitable persons for the job.
(a) Recruitment
(b) Selection
(c) Training
(d) Development
(vii) The fastest mode of transport for light weight goods of high value is:
(a) Airways
(b) Waterways
(c) Railways
(d) Roadways
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(viii) Commercial transactions in which an order is placed electronically is:
(a) NEFT
(b) E-Commerce
(c) RTGS
(d) Retailing
(ix) Internal stakeholders do NOT consist of:
(a) Suppliers
(b) Employers
(c) Employees
(d) Shareholders
(x) The consumer’s right to be protected against the marketing of goods which
are hazardous to life and property is __________.
(a) Right to safety
(b) Right to seek redressal
(c) Right to be heard
(d) Right to be informed
(xi) Rent received by a business firm is an example of:
(a) Revenue receipt
(b) Capital receipt
(c) Capital expenditure
(d) Deferred revenue expenditure
(xii) Any tangible material offered for sale and which can be replaced is a
__________.
(a) Price wars
(b) Service
(c) Product
(d) Sales
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(xiii) Two popular mobile wallets are:
(a) Swiggy and Zomato
(b) Instagram and Snapchat
(c) Google Pay and Paytm
(d) RTGS and NEFT
(xiv) The insurer is liable for insured perils only and not for unexpected uninsured
ones. This is the principle of:
(a) Indemnity
(b) Utmost good faith
(c) Subrogation
(d) Causa Proxima
(xv) The Chief of the Reserve Bank of India is called:
(a) The Governor
(b) The Chairman
(c) The Finance Secretary
(d) The President
(xvi) Warehouses licensed by the government and established specifically for
storage of dutiable goods are called:
(a) Private warehouses
(b) Bonded warehouses
(c) Public warehouses
(d) Cold storages
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Question 2
Write any two differences between:
(i) Central Bank and Commercial Bank [2]
(ii) Advertising and Sales promotion [2]
(iii) Capital and Revenue Receipts [2]
(iv) Debit card and Credit card [2]
Question 3
(i) What is Social Advertising Media? [2]
(ii) What is Recruitment? [2]
(iii) What is a Budget? [2]
(iv) Mention any two expectations of Employees. [2]
Question 4
(i) What is an Overdraft? [2]
(ii) What is Pricing? [2]
(iii) Define Fixed Costs with an example. [2]
(iv) Briefly explain Health Insurance. [2]
SECTION B (40 Marks)
(Attempt any four questions from this Section.)
Question 5
(i) Mention two merits and three demerits of Road Transport. [5]
(ii) Write short notes on: [5]
(a) Debentures
(b) False Accounting Fraud
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Question 6
(i) Describe any two functions of the Central Bank. [5]
(ii) Explain the following Consumer Rights: [5]
(a) Right to be Informed
(b) Right to Seek Redressal
Question 7
(i) Explain any two modules of Enterprise Resource Planning. [5]
(ii) Explain the importance of Warehousing. (Any five points) [5]
Question 8
(i) Explain the two methods of Training. Give an example for each. [5]
(ii) Mention five points of distinction between a Product and a Service. [5]
Question 9
(i) Describe the two sources of Internal Recruitment. [5]
(ii) Write short notes on: [5]
(a) IMPS
(b) Direct Costs
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Question 10
[10]
Prepare a Trading, Profit and Loss Account of XYZ, for the year ending on
31st March, 2022 and a Balance Sheet as on 31st March, 2022.
Particulars Amount Amount
(Dr.) Rs. (Cr.) Rs.
Capital 1,00,000
Furniture 20,000
Purchases 1,50,000
Debtors 2,00,000
Interest Received 4,000
Salaries 30,000
Sales 3,21,000
Purchase Returns 5,000
Wages 20,000
Rent 15,000
Sales Return 10,000
Carriage outwards 7,000
Creditors 1,26,000
Printing and Stationery 8,000
Insurance 12,000
Opening Stock 50,000
Office Expenses 12,000
Bank Overdraft 2,000
Drawing 24,000
5,58,000 5,58,000
Total
Closing Stock was valued at Rs.60,000 on 31st March, 2022.
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