Class 12 BST
Class 12 BST
Class 12 BST
General instructions :
1 This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answers should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75
words.
5. Answers to the questions carrying 4 marks may be about 150
words.
6. Answers to the questions carrying 6 marks may be about 200
words.
7. Attempt all parts of the questions together
Q. QUESTIONS MARKS
NO.
1. Identify the reason which makes management important in the light of 1
the fact that it is generally seen that individuals in an organization resist
change, as a change often means moving from a familiar, secure
environment into a newer and a more challenging one.
a. Management helps in achieving group goals.
b. Management creates a dynamic organization
c. Management increases efficiency
d. Management helps in the development of society.
3 The economic survey 2019 suggest that the psychological biases can be 1
used in the realm of tax compliance. It is in favour of using religious
norms such “dying in debt is a sin” to improve tax compliance.
Identify the related dimensions of business environment.
5 Yash runs a logistic company. The tour InchargeS of each trip in the 1
company are expected to submit a report to the event manager on the
completion of every trip.
Identify the step in the controlling process being described in the above
lines.
(a) Setting of standards
(b) Measurement of actual performance
(c) Taking corrective action
(d) Analysing the deviations
6 In a marketing firm, the financial manager pay more attention towards 1
an increase of 3% in the marketing cost as compared to a 15% increase
in the courier expenses.
Identify the concept being used by the manager.
(a) Management by exception
(b) Critical point control
(c) Corrective action
(d) None of the above
7 Jai is working as marketing manager in a company. he has been given 1
the task of selling 1,00,000 units of a product at the cost of Rs. 100 per
unit with in 20 days. He is able to sell all the units with in the stipulated
time, but had to sell last 1,000 units at 20% discount in order to
complete the target. In such a situation, he will be considered to be
(a) An efficient manager
(b) An effective manager
(c) Both effective and efficient manager
(d) None of the above
8 Risahabh has joined as a creative head in an entertainment company. He 1
always ensures that the work has been divided into small and
manageable activities and also the activities of similar nature are
grouped together.
Identify the related step in organising process being mentioned in the
above lines.
(a) Identification and division of work
(b) Departmentalisation
(c) Assignment of duties
(d) Establishing reporting relationship
9 Lakshay has been given the task of arranging for five-day conference for 1
foreign delegates. In order to smooth functioning of the event, he has
made two people as co-ordinators to take care of activities related to
registration and refreshment.
Identify the function of management being carried out by Lakshay.
(a) Planning
(b) Staffing
(c) Organising
(d) directing
10 The growing awareness about healthcare has led to an increase in the 1
demand for healthcare products and services in the country.
Identify the feature of business environment being described in the
above case.
(a) Dynamic nature
(b) Uncertainty
(c) Relativity
(d) interrelatedness
11 Which of the following is not a component of specific forces of business 1
environment?
(a) Technological conditions
(b) Customers
(c) Employees
(d) investor
12 Statement-I Transportation helps in creating time utility and 1
warehousing helps in creating place utility
Statement-II The process of classification of products into different
groups on the basis of their important characteristics is known as
standardization.
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
14 Keeping in view the recent trends of sales regression, sona limited has 1
decided to offer a flat 15% discount on all the products. Identify the
related function of marketing being described in the given lines.
(a) Packaging and labelling
(b) Branding
(c) Pricing
(d) promotion
15 Good health limited has decided to launch a new range of water bottles 1
with in built water purifier. Instead of marketing the product by is
generic name, the company has decided to call it ‘Purifire’. Identify the
type of marketing function being described in the given lines.
(a) Packaging and labelling
(b) Branding
(c) Pricing
(d) promotion
16 Sugandha purchased a pack of crayons for her daughter from nearby 1
stationery shop. She noticed that the crayons were packed in a portable
transparent plastic bag.
Identify the level of packaging being described in the above case.
(a) Primary packaging
(b) Secondary packaging
(c) Transportation packaging
(d) None of the above.
Read the following text and answer question No.17-20 on the basis
of the same:
OR
Money market is essentially a market for short term funds. In the light of
this statement state any three features of money market.
25 In an interview with a leading news channel, Mr. Ramesh Kwatra, 4
CEO of ‘Get My Job’ has suggested that the Companies which want
more and more people to apply for jobs in their organization
should make the process for applying for jobs easier and candidate
friendly.
Name and explain the next two steps which follow the step, in the
process of the function of management being discussed above.
26 Pranav is a supervisor at ‘Ghan Shyam Cake and Biscuits Factory’. The 4
factory produces 10,000 packets of cake and biscuits every day. As a
supervisor Pranav ensures that work goes on smoothly and there is
no interruption in production. He is a good leader who gives orders
only after consulting his subordinates, working out the policies with
the acceptance of the group. Identify and explain the leadership style
being adopted by Pranav.
27 Explain any Four points that highlight the importance of directing 4
function of Management.
Or
OR
Explain any four factors that affect the choice of capital structure of a
company
29 Raghu wants to start a business of selling Simple masks after the 4
outbreak of the global pandemic of COVID-19. Due to the uncertain
market conditions he wants to make a low investment in fixed
capital. Suggest how the decisions related to the choice of technique
and financing alternatives can help Raghu in ensuring a low
investment in fixed capital requirements.
30 Explain the following rights of consumers provided by Consumer 4
Protection Act, 1986:-
(a) Right to Information
(b) Right to seek redressal
31 Haryaram’ is a famous chain selling a large variety of products in the 6
indian market. Their products include chips, biscuits, sweets and
squashes. It charges a comparatively higher price than its competitors as
it sells quality products. Besides, it offers regular discounts to its
customers and easy credit terms to its retailers. It has five of its own
retail shops. It also sells its products through various grocery stores to
that the products are made available to customers at the right place, in
the right quantity and at the right time. It regularly uses different
communication tools to increase its sales.
The above para describes the combination of elements marketing mix
used by Haryaram to prepare its market offering. Identify and explain
the elements.
Or
After acquiring the necessary knowledge and skills on starting an
Aloevera Farm. Ashok wanted to be the leading manufacturer of
Aloevera products worldwide. He observed that the products were
expensive as the demand of the products was more than supply. He was
also keen to promote methods and practices that were economically
visible, environmentally sound and at the same time protecting public
health.
Ashok's main consideration was about the amount of money paid by the
consumers in consideration of the purchase of Aloevera products. He
also thought that competitors prices and their anticipated reactions to
be considered for this.
Since he was entering into a new market, he felt that he may not be able
to cover all costs. He knew that in the long run the business will not be
able to survive unless all costs are covered in addition to a minimum
profit.
(b) Explain briefly any four factors discussed in the above case related
to the concept so identified.
32 Explain the following principles of Management: 6
(1) Discipline
(2) Scalar chain
(3) Stability of tenure of personnel
33 Rishu, Ashu and Ravi have decided to start a business of manufacturing 6
toys. They identified the following main activities which they have to
perform; Purchase of raw materials, Purchase of machinery, Production
of toys, Arrangement of finance, Sale of toys, Identifying the areas
where they can sell their toys Selection of employees In order to
facilitate the work they thought that four managers should be appointed
to look after Production, Finance, Marketing’ Personnel. Identify the
function of management involved in the abovementioned para. Quote
the lines from the above para which help you in identifying this function.
State the steps followed in the process of this function of management.
34 Planning is worth the huge costs involved? Do you agree? Explain 6
any four reasons in support of your answer.
OR
“If the project is important then more alternatives should be
generated and thoroughly discussed amongst the members of the
organisation.” Identify and explain the step in the process of planning
being discussed above. Also explain the remaining steps which will
have to be carried out to complete the process.
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-2
CLASS – XII SUBJECT: BUISNESS STUDIES
General Instructions:
(i) This question paper contains 34 questions.
(ii) Answers to questions carrying 1 mark may be from one word to one sentence.
(iii) Answers to questions carrying 3 marks may be from 50 – 75 words.
(iv) Answers to questions carrying 4 marks may be about 150 words.
(v) Answers to questions carrying 6 marks may be about 200 words.
(vi) Attempt all parts of a question together Marks are given at the end of each question
(a) Globalisation
(b) Demonetization
(c) Liberalisation
(d) none of these
(a) Man
(b) Material
(c) Money
(d) All of these
(a) Purchaser
(b) Seller
(c) Product
(d) Market
OR
(a) Coordination
(b) Supervision
(c) Controlling
(d) Motivation and Leadership
Read the following text and answer questions no.17-20 on the basis of
the same topic:
Mansi, a shoe manufacturer for school students, decided to maximise
her profit by producing and distributing at large scale and thereby
reducing the Average Cost of production.
11 Name the marketing management philosophy Mansi is following. 1
(a) Product concept
(b) Production concept
(c) Channel concept
(d) Selling concept
12 1
Which one of the following is a marketing management philosophy?
(a) Societal marketing concept.
(b) Distribution concept
(c) Direct marketing concept
(d) Channel concept
13 Main focus of this marketing management philosophy is 1
(a) Aggressive advertisement
(b) Distribution concept
(c) Maximise the quality of product
(d) Maximise the quantity of product
14 Which marketing management philosophy is most concerned about the 1
customer
(a) Product concept
(b) Production concept
(c) Marketing concept
(d) Selling concept
15 The economic survey 2019 suggest that the psychological biases can be 1
used in the realm of tax compliance. It is in favour of using religious
norms such “dying in debt is a sin” to improve tax compliance.
i) Settlement of order
c) (iii);(ii);( ii);(i)
d) (ii);(iii);(iv);(i)
20 Since more number of people have become more beauty and health 1
conscious, our economy has witnessed an unprecedented surge in the
number of health and beauty spas and wellness clinics. Related feature
of business environment being described in the above lines is —
(a) Totality of external forces
(b) Dynamic nature
(c) Interrelatedness
(d) Relativity
DESCRIPTIVE QUESTIONS
OR
Identify the missing force in the above case and list its two
characteristics.
24 Mr. Anil has been appointed by Suntech Ltd to ensure that the 3
performance of employees is going as per the plans made. In the report
which he submitted to the management, he mentioned that carriage
charges had risen by 8 % however labour absenteeism had increased
from the previous year from 5 % to 15 %. He felt that this increase in
absenteeism required immediate action of management on priority
basis.
OR
1. Right to be heard
27 4
Saraha Ltd is a company manufacturing cotton yarn. It has been
consistently earning good profit for many years. This year too, it has
been able to generate enough profits. There is availability of enough
cash in the company and good prospectus for growth in future. It is a
well managed organization and believes in quality, equal employment
opportunities and good remuneration practices. It has many
shareholders who prefer to receive a regular income from their
investments. It has taken a loan of Rs 40 Lakhs from IDBI and is bound by
certain restrictions on the payment of dividend according to the terms of
loan agreement. The above discussions about the company lead to
various factors which decide how much of the profits should be retained
and how much has to be distributed by the company.
Quoting lines from the above discussion identify and explain any four
such factors.
28 4
Mr. Vaibhav Garg holds the designation of finance manager in “Jai Shree
Limited”. Last year performance of his department was as per
expectation. Currently, he is preparing financial blue print of the next
five years. To Begin with he tired to forecast the sales in the next five
years. It is so because it is the sales on which depends the need for the
fixed and working capital. Thus an estimate was made with regard to
both these items. Similarly he collected data in respect of possible profits
in the coming years. In this way one can know how much of capital will
be available from within the business. The rest of the funds will be
arranged from outside the business. He is also thinking about the sources
of finance to be adopted outside the business.
OR
31 The sales manager of Sell Well Ltd. Visited a hospital to sell his 6
company’s products. The purchase manager of the hospital was keen to
purchase the products in fact for all the branches of his hospital across
India but he asked the sales manager to give 30% discount. Though the
manager knew it was a big order and company would be able to make
profits even after offering 30% discount but he could not offer prices
better than the price he had been given by the sales director. He tried to
contact the director but he was unavailable. As a result the order could
not be finalized.
Identify and explain the limitations of planning the sales manager had to
face while discussing order with the prospective customer.
32 Identify and explain the promotional tool of marketing mix which plays a 6
persuasive, service and informative role and thereby links a business firm
to its customers. Also explain by giving any five reasons how this tool
helps in increasing the sales of businessmen.
OR
33
1. Rajvir works as a plant superintendent in a carpet making factory. In 6
order to complete the export orders on time, the production manager
asks him to make the workers work over time whereas the finance
manager is strictly against this practice because it will increase the cost
of production. Moreover, Rajveer feels that since the company is
manufacturing handmade carpets as well as machine made carpets there
is lot of overlapping of activities. Therefore, ther should be two separate
divisions for both of them wherein each division should have its own in
charge, plans and execution resources.
In context of the above case:
a. Identify and explain the principle of management which is being
violated.
b. Also identify the principle of management that Rajveer feels
should be implemented in the factory
c. Give any two differences between the principle of management as
identified in part (a) and part (b) respectively.
OR
2. th
Davinder is a class 12 commerce student in a reputed school in Punjab.
Satinder and his elder brother who is doing his Masters in Hospital
Administration from Delhi after completing his B.Sc course. During
vacations when Satinder comes home, Davinder shows him the business
studies project that he is preparing on the topic “Principles of
management”. Satinder tells him that these principles are also a part of
MBA course curriculum at the beginner’s level as they form the core of
management in practice. But he finds these principles are different from
those of pure science.
In context of the above case:
a. Outline the concept of principles of management
b. Why does Satinder find the principles of management different
from those of pure science?
c. Why do the principles of management form the core of
management in practice? Explain by giving any two points
highlighting the importance of principles of management.
34 Bhuvan and Co. are running a shoe manufacturing company successfully. 6
So they planned to expand their business activities by adding more line
of products, i.e, leather bags, belts, and garments. Which type of
structure would you recommend after expansion and why?
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-3
CLASS – XII SUBJECT: BUISNESS STUDIES
TIME: 3 HOURS MM:80
General instructions:
1. This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answer should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the questions together.
2 The Reserve Bank of India reduces CRR (Cash Reserve Ratio) by 0.5% to 1
control recession. This is related to which dimension of Business
Environment
(a) Political Environment (b) Economic Environment
(c) Social Environment (d) Legal Environment
6 The forces in Business Environment that effect all the business houses are known 1
as
(a) General (b) Specific
(c) Particular (d) Influential
7 With the introduction of mineral water bottle in India, Bisleri was able to capture 1
the big market share in India. Which importance of Business Environment is
highlighted here:
(a) Helps in Policy Making
(b) Identifying threat and getting warning signals
(c) Helps in tapping resources
Help to identify opportunities and getting first mover advantage
8 In order to enter into profession one has to acquire an educational degree by 1
clearing specified examination conducted by registered institutes. Which feature
of profession is being revealed?
(a) Restricted entry (b) Ethical code of conduct
(c) Professional association (d) Well defined body of knowledge
9 ________________ not only help in keeping a track on the progress of activities 1
but also ensures that activities conform to the standards set in advance so that
organisational goals are achieved.
(a) Planning
(b) Organising
(c) Controlling
Directing
10 Controlling function of an organisation is _________________ 1
(a) Forward looking
(b) Backward looking
(c) Forward as well as backward looking
None of the above
11 _____________ is a process by which the manager brings order out of chaos, 1
removes conflict among people over work or responsibility sharing and creates
an environment suitable for teamwork.
(a) Planning
(b) Controlling
(c) Organising
(d)Directing
12 A bottle of hair oil is an example of 1
(a) Primary packaging
(b) Secondary packaging
(c) Transportation packaging
(d)Sales promotion
13 The firm’s ability to borrow at a lower rate increases its capacity to employ 1
higher debt. The factor affecting the choice of capital structure refers to is :-
a. Floatation cast
b. Cost of debt
c. Cost of Equity
d. .Control
14 ……………………. Is a number assigned to each transaction by the stock 1
exchange and is printed on the contract note.
a. Client code no.
b. Unique order no.
c. Permanent account no.
d. Depository participant no.
15 One of the important decision areas under the marketing function of 1
…………………is managing inventory.
a. Branding
b. Pricing
c. Promotion
d. Physical Distribution
16 Which of the following sentence is incorrect? 1
a. Stock Exchange provides liquidity to newly issued securities.
b. Process of holding shares in electronic form is known as
Dematerialization
c. SEBI performs the regulatory function of controlling insider trading and
imposing penalties for such practices.
d. Capital markets consists of commercial banks, development banks and
stock exchanges
17 Apart from consumer satisfaction which concept pays more attention to ethical 1
and ecological aspects of marketing?
a. Selling Concept
b. Marketing Concept
c. Production Concept
d. societal Marketing concept
a. Product
b. Market offering
c. Physical distribution
d. Value
19 Which of the statement about advertisement is incorrect? 1
a. It is personal form of communication
b. It is a paid form of communication
c. It is a mass selling technique
d. .It is inflexible as the message cannot be adjusted to the needs of the
buyer
20 Name the process which helps in determining the objectives, polices, procedures 1
programs and budget to deal with the financial activities of the enterprise.
a. Financial Management
b. Financial planning
c. Capital Structure
d. Trading on Equity
21 Vijay was working in ‘Apex Ltd’, a company manufacturing air purifiers. He 3
found that the profits had started declining from the last six months. Profit has an
implication for the survival of the firm, so he analyzed the business environment
to find out the reasons for this decline.
(a) Identify the level of management at which Vijay was working.
(b) State two other functions being performed by Vijay.
22 Based on “Performance Appraisal Report (2022),the HR manager of ‘Gamman 3
Ltd.’ Adopted the following ways of training for improving the quality of output
and providing more job satisfaction to the employees:
(i) Mr. Ganesh was in the company so that he could practice the
theoretical knowledge acquired by him from his college. (ii) Mr. Rahul
was provided a dummy model of machinery to do practice on it.
(iii) Mr. Shekhar was asked to work with an expert for specific period of time so
that he learns by observation.
Identify the technique of training discussed in above cases (i ,ii, iii).
23 Rudrakshi Ltd. Is engaged in manufacturing high end luxury pens. The target 3
production is 700 units daily. The company had been successfully attaining this
target until three months ago. Over the last few month,it has been observed that
daily productions varies between 600-650 units.
Discuss the steps involved in the process of an important function discussed
above.
OR
State any three points of importance of controlling.
25 Teja Ltd. received 22,495 applications for the post of fifty supervisors. 4
Preliminary, screening was done and 3,545 applications were filtered. Various
steps of selection process were taken and finally fifty candidate as supervisor
were selected. They were directly posted to their respective posts. After one-
month performance appraisal of these candidates conducted. It was found that
out of 50, eight were not able to perform as per standards as they were facing
practical problems while handling machines.
(i) In your opinion, what should be done to improve the performance of these
eight supervisors.
(ii) How an organisation can be benefited by improving the skill level of
employees.
26 Pramod was supervisor at a ‘Annapurna Aata’ factory. The factory was 4
producing 200 quintals of aata every day. His job was to make sure that the work
went on smoothly and there was no interruption in production. He was good
leader who would give orders only after consulting his subordinates and work
out the policies with the acceptance of the group.
Identify and describe the leadership style being adopted by Pramod.
Write two benefits of the leadership style being adopted by Pramod.
OR
Rahim was working in enterprise on daily wages basis. It was difficult for him to
fulfill the basic needs of his family. His daughter fell ill. He had no money for his
daughter’s treatment. To meet the expenses of her treatment, he participated in a
cycle race and won the prize money. The cycle company offered him a
permanent pensionable job, which he happily accepted.
(a) Identify the needs of Rahim that are satisfied by the offer of cycle
company.
(b) Also, explain other needs of Rahim followed by above that are still to be
satisfied.
27 A Public transport corporation has hired 1000 buses for the different routes for 4
the passengers of metropolitan city. Most of the 3000 crewmen of these buses
have been found to be unsatisfactorily dealing with public and daily customers.
They seem to be little interested in the job and the job seem to have lost all
meaning to them.
As manager of the public transport company what financial and nonfinancial
incentives will you use to improve the working of crewman in above case? State
any two of each type of incentives
28 Explain any four factors that affect the fixed capital requirement of a company. 4
OR
Explain any four factors that affect the choice of capital structure of a company.
29 Somnath Ltd. is engaged in the business of export of garments. In the past, the 4
performance of the company had been up to the expectations. In line with the
latest technology, the company decided to upgrade its machinery. For this, the
Finance Manager, Dalmia estimated the amount of funds required and the
timings. This will help the company in linking the investment and the financing
decisions on a continuous basis and preparing the financial blueprint of the future
financial activities. Dalmia therefore began with the profit estimates in the
business. For the remaining funds he is trying to find out alternative sources from
outside.
Identify the financial concept discussed in the above para. Also state the
objectives to be achieved by the use of financial concept, so identified.
30 Explain the following rights of consumer protection as per consumer protection 4
act 2019. (a) Right to information (b) Right to be heard.
31 In one of the principles of scientific management, Taylor emphasizes that there 6
should be equal division of work and responsibility between workers and
management and management should work almost side by side with workers
helping them and neither management nor workers should think about their own
benefits:
(i) Identify the principle and explain it.
(ii) State any other two scientific principles and briefly explain them.
OR
Explain the following principles of management in details:-
a. Scalar Chain
b. Esprit De Corps
c. Order
32 After completing the diploma in bakery, Priya started an outlet in food court 6
of a mall, she decided to sell five types of pizzas and low sugar muffins. With
proper planning, she was ready to face the uncertainties and also ensure that
there was no duplication of work. In a very short period of time, her business
got a good name in the market. Identify the points of importance of planning
highlighted in above para.
OR
(a) Identify the concept used by Samir Gupta through which he was able to
steer his company to greater heights.
(b) Also explain any five points of importance of this concept.
34 Various tools of communication are used by the marketers to promote their 6
products.
(a) Why do companies use all tools at the same time?
(b) Name and explain the most commonly used non-personal tool of
promotion which is paid for by the marketer.
(c) Which tool of promotion will primarily be used for the following?
(i) To promote or protect a company’s image or its individual products.
(ii) An existing product meant for mass usage by literate people.
(iii) To introduce a new product to a particular class of people through door-
to-door visits.
(iv) To attract attention of the people by using incentives.
END OF THE PAPER
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-4
CLASS – XII SUBJECT: BUISNESS STUDIES
TIME: 3 HOURS MM:80
General instructions:
1 This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answers should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the questions together
Q QUESTION MARKS
NO
1 Classmate a well renowned brand of ITC use eco-friendly and elemental 1
chlorine free paper and no tree from natural forest was cut to make notebook.
Which objective of management is achieved by management?
a) Social objective
b) Personal objective
c) Organizational objective
d) Economical objective
2 Elon Musk completed the $44 billion acquisition of Twitter on October 28. 1
Elon Musk, currently the sole director and CEO of Twitter, has authorised
employees from his other companies to work at the social media giant, a
report in CNBC has said. Which objective of management is achieved by
management?
a) Social objective
b) Personal objective
c) Organizational objective
d) Economical objective
3 Match on the basis of the roles performed by the foreman- 1
Column A Column B
(i) Specify route of production (a) Gang boss
Q. 2. Suhasini a home science graduate from a reputed college has recently done a cookery course. She wished to start her
own venture with a goal to provide ‘health food’ at reasonable price. She discussed her idea with her teacher (|mentor)
who encouraged her. After analyzing various options for starting her business venture, they shortlisted the option to sell
ready made and ‘ready to make’ vegetable shakes and sattu milk shakes. Then they both weighed the pros and coris of
both the shortlisted optins.
1. Name the function of management being discussed above and give any one of its characteristics.
2. Also briefly discuss any three limitations the function discussed in the case. (5 marks)
Q. 3. A company is manufacturing garments. The manager wants to increase profits by purchasing new high speed
machines or increasing the sale price or using waste material in manufacturing stuffed toys.
He decided that ‘using waste material’ to increase the profit is the best solution for him.
Q. 4. Two year ago, Madhu completed her degree in food technology. She worked for sometime in a company that
manufactured chutneys, pickles and murabbas. She was not happy in the company and decided to have her own organic
food processing unit for the same. She set the objectives and the targets and formulated an action plan to achieve the
same.
One of her objectives was to earn 10% profit on the amount invested in the first year. It was decided that raw materials like
fruits, vegetables, spices, etc. will be purchased on three months credit from farmers cultivating only organic crops. She
also decided to follow the steps required for marketing of the products through her own outlets. She appointed Mohan as
the Production Manager who decided that exact manner in which the production activities were to be carried out. Mohan
also prepared a statement showing the number of workers that will be required in the factory throughout the year. Madhu
informed Mohan about her area wise sales target for different products for the forthcoming quarter. While working on the
production table, a penalty of Rs. 100 per day for not wearing caps, gloves and apron was announced.
Quoting lines from the above paragraph, identify and explain the different types of plans discussed.
Q. 5. During partition, Kundan Lal came to Mumbai from Lahore with a lot of wealth. Keeping in view his innate ability to
visualize and create things, he decided to work as a junior assistant in a film studio. Over a period of time, as he gained
experience and his work was well acclaimed, he decided to set up his own film studio. Initially he was himself looking into
every aspect of the business, but as his work increased manifolds and his own productivity reduced with age, he hired
Jummy as manager. Jimmy being immature in his work started giving bookings for the studio haphazardly. He would never
decide anything in advance or do any kind of forecasting of events. This led to lot of confusions and conflicts. As a result,
the goodwill earned by Kundan Lal over the years began to decline.
In context of the above case:
1. Identify and explain the function of management which Jimmy failed to perform by quoting lines form the paragraph.
2. Describe briefly any two features of the function of management as identified in part (a).
Q. 6. After completing a diploma in Bakery and Patisserie, Payal sets up a small outlet at Goa Airport to provide a healthy
food option to the travellers. To begin with, she has decided to sell five types of patties, three type of pizzas and low sugar
muffins in four flavours. Thus, by deviding in advance what to do and how to do, she is able to reduce the risk of uncertainty
and avoid overlapping and wasteful activities. But sometimes her planning does not work due to some unavoidable
circumstances like cancellation of flights due to bad weather conditions, government alert etc. which adversely affects her
clientele.
In context of the above case:
1. Identify and explain the points highlighting the importance of planning mentioned in the above paragraph.
2. Describe briefly the limitation of planning which adversely affects Payal’s business.
Q. 7. Rahul, a worker, is given a target of assembling two computers per day. Due to his habit of doing things differently,
an idea struck him which would not only reduce the assembling time of computers but would also reduce the cost of
production of the computers. Rahul’s supervisor instead of appreciating him, ordered him to complete the work as per the
methods and techniques decided earlier as nothing could be changed at that stage.
The above para describes one of the limitation of planning function of management. Name that limitation. (1 mark)
Q. 8. ABC Ltd. has a plan of increasing profits by 20%. It has devoted a lot of time and money to this plan. But the
competition starts increasing, so it could not change its plan to b eat its competitors because huge amount of money had
already been devoted to the pre-decided plan. It caused losses to the company.
Explain any two limitations of planning highlighted in the above case. Also, quote the lines from it. (4 marks)
Q. 9. In ‘Chak De India’ movie, Shahrukh Khan becomes the coach of the girls’ hockey team. He knows that he has to prepare
the girls for the international hockey matches and bring the world cup after winning. For this he prepares a long-team plan
and thinks the ways how to bet the competitors. He coaches the girls to play in different ways like defensive, offensive,
etc. at the outset of a match he explains who will open the match, and how the ball will be passed by one player to another
step by step.
Identify four types of plan that are highlighted in the above case, quoting the lines from it. (4 marks)
Q. 10. Flipkart is an e-commerce company founded in the year 2007 by Sachin Bansal and Binny Bansal. The company is
registered in Singapore, but has its headquarters in Bangaluru, India. The company seeks to increase traffic (more clicks on
their products) and boost sales and revenue through integration of Mobile Apps, Display, Pay Per Click and search Engine
Optimization. In order to dispel the feat of people related to shopping online, Flipkart was the first company to implement
to popular ‘Cash on Delivery’ facility. All the products sold by the company under a particular category may have different
return/replacement period. Flipkart allows multiple payment options such as cash on delivery, credit or debit card
transactions, net banking, e-gift voucher and card swipe on delivery. The company operates both ways when an order is
received. The products for which it holds inventory are dispatched by it directly. For the products they do not store in
inventory, they just send the order received by them to the supplier who ships it. The company plans to spend about Rs.
75 crores on e-Commerce advertising in the year 2016. Flipkart reserves the right to terminate your membership and/or
refuse to provide you with access to the website if it is brought to Flipkart’s notice or if it iis discovered that you are under
the age of 18 years. This is because as per the Indian contract Act, 1872, the minors, un-discharged insolvents, etc. are not
eligible to use the website.
In context of the above case, identify and explain the different types of plans being used by Flipkart by quoting lines the
paragraph.
Q. 11. An electronic company is facing a problem of declining market share due to increased competition from other new
and existing players in the market. Its competitors are introducing lower price models for mass consumers who are price
sensitive. For quality conscious consumers, company is introducing new model LED TV and DVD players with added features
and new technological advancements. For this, the company raises extra funds Rs. 5 crore form banks.
Name the type of plan the company is preparing. State the steps which the company follows to implement this plan quoting
the line from the above para. (4 marks)
Q. 12. Arush joins as a sales manager of a company dealing in naturotherapy produces. Being proficient in his work, he
knew that without good planning he will not be able to organise, direct, control or perform any of the other managerial
functions efficiently and effectively. Only on the basis of sales forecasting, he would assist in the preparation of the annual
plans for its production and sales. Besides, he will have to prepare sales plans regularly on weekly, monthly, quarterly and
half yearly basis. While preparing the sales forecasts, he undertakes intellectual thinking involving foresight, visualization
and issued judgement rather than wishful thinking or guess work. Most importantly, all these planning activities will be
meaningful only if they will coincide with the purpose for which the business is being carried out.
In context of the above case, identify the various features of planning highlighted in the above paragraph by quoting lines
from it.
Q. 13. Zyesha Ltd. is a company which manufactures leather bags. The CEO of the company wants to increase their sales
and earn more profits. The consulted with a management consultant who suggested the top management of the company
tow rok hard in thinking about the future in making business prediction and achieve the targets since the business
environment keeps on changing whether in terms of technological improvement, shifts in consumer preferences or entry
of new competitors in the market.
Q. 14. Lira Ltd. is a company manufacturing designer socks. While making its plan, the company takes into consideration
the business environment. It constantly adapt itself to changes in environment by making changes in its plan. However, it
becomes difficult for the managers of the company to accurately foresee future trends in the environment. Competition in
the market upsets its financial plans; then sales targets have to be revise3d and, accordingly cash budgets also need to be
modified since they are based on sales figures.
1. What characteristic features of business environment are highlighted in the above lines? State any two.
2. State and explain the limitation of planning highlighted in the above lines.
3. Identify any two types of plan mentioned in the above pare by quoting the lines from it. (6 marks)
Q. 15. Pan Masala and Sons is a manufacturer of tobacco products. It decided to increase profits by at least 20% in the next
quarter. It has many options:
Q. 16. A reputed car manufacturing company in NCR is facing the problem of decline in its market share due to its internal
mismanagement. Therefore it has planned to increase its production capacity at its Gurgaon plant by manufacturing low
price eco-friendly cars for price sensitive consumers and introducing new models with added features for quality conscious
consumers. For this the company issues shares to the public and raises Rs. 150 crore.
The company purchases more machinery required to increase production.
Q. 17. ‘Agile Ltd.’ is a well-known automobile manufacturing company in India. The company plans to increase the sale of
its sedan cars by 20% in the next quarter. In order to achieve the desired target, the marketing team of the company
considers the impact of policy of the government towards diesel vehicles and the level of competition in this segment of
cars. They explore the various available option like offering more discount to dealers and customers, providing more
customer friendly finance options, lucky draws on test drives, increasing advertising, offering more of free accessories on
the purchase of the car, etc. a thorough analysis of the various available options is done keeping in view the relative viability
of each option. The company decides to pursue the option of offering more discount to dealers and customers in order to
boost the sale of sedan cars. In order to implement the plan,, they determine the various discount packages and
communicate the same to their product dealers. To make the prospective consumers aware about the new available
benefits, advertisements are made through various sources of print and electronic media. The market analysts of the
company keep a close watch on the revenue from the sedan cars to study the effect of new initiatives by the company to
promote its sales.
In context of the above case:
Q. 18. Palvinder, is working as a supervisor in Alpha Ltd. To achieve the target he wants to try a new method and different
way of allocating the work. His superior did not permit him and forced him to do the work strictly as per the plan.
(i) Name the limitation of planning indicated in above case.
(ii) Name the value overlook by Palvinder’s superior.
Q. 19. The management of ABC Ltd. set up the target of selling 10,000 units per week and made all their plans based on this
target. But due to change in technology adapted by competitors which reduced their cost, the ABC Ltd. could not achieve
their target.
(i) Identify the limitation of planning discussed in the above para.
(ii) State any other two limitations.
Q. 20. Alpha Ltd. spent a lot of money to hire specialized people for framing their plans and collecting important facts from
environment. The company cut done their cost by cancelling the employee’s trip for recreation.
(i) Name the limitation of planning mentioned in above para.
(ii) Name the value overlook by management.
Q. 21. ABC Ltd. announced a plan nobody would smoke in the organization premises and they further added that certain
penalty will be imposed on employees, overlooking this.
(i) Name the type of plan related to above para.
(ii) Name the feature of that plan.
(iii) Name the values emphasized by the company.
Q. 22. Alpha Ltd. has a plan of increasing profit by 20%. The company spent lot of time and money to frame and implement
this plan. The competition start increasing, so it could not change its plan to beat its competitors because huge amount of
money is already spent. State any two limitations of planning.
Q. 23. ‘Natural disaster like floods in Gujarat has been responsible for failure of production and sales plans of Jindal Textile
Industry.’ Which limitations of planning is highlighted in the given statement? State any three such limitations. (3)
ANSWERS
Ans 1. Strategy
Ans 2.
1. Planning.
Characteristic of planning
Planning focuses on achieving objectives
1. Limitation of planning
Ans 3.
● Objectives:
“One of her objectives was to earn 10% profit on the amount invested in the first year.”
● Policy:
“It was decided that the raw materials like fruits, vegetables, spices, etc. will be purchased on three months credit from
farmers cultivating only organic crops.”
● Method:
“The exact manner in which the production activities are to be carried out.”
● Procedure:
“She also decided to follow the steps required for marketing of the products through her own outlets.”
● Rule:
“While working on the production Table, a penalty of Rs. 100 per day for not wearing caps, gloves and aprons was announced.”
Ans 5.
Planning is deciding in advance what to do, how to do, when to do and who has to do it.It is one of the basic managerial
functions.Thus, it involves setting objectives and developing an appropriate course of action to achieve those objectives.
● Planning is pervasive:
● Planning involves decision-making:
Ans 6.
1. The paints highlighting the importance of planning mentioned in the above paragraph are described below:
● Reduces the risk of uncertainty:
● Avoiding overlapping and wasteful activities:
2. The limitation of planning which adversely affects Payal’s business is:
3. Planning may not work in a dynamic environment:
1. ‘ABC Ltd. has devoted a lot of time and money to its plan.’
Planning leads to rigidity. Following a pre-decided plan, when circumstances change, may not turn out to be in the
organization’s interest.
Ans 9.
Ans 10. The different types of plans being used by Flipkart are listed below:
● Objectives:
“The company seeks to increase traffic (more clicks on their products) and boost sales and revenue through integration of
Mobiles Apps, Display, Pay Per Click and Search engine Optimization.”
● Strategy:
“In order to dispel to fear of people related to shopping online, Flipkart was the first company to implement the popular ‘Cash
On Delivery’ facility.”
● Policy:
“All the products sold by the company under a particular category may have different return/replacement period.”
● Method:
“Flapkart allows multiple payment options such as cash on delivery, credit or debit card transactions, net banking, e-gift
voucher and card swipe on delivery.”
● Procedure:
“The company operataes both ways when an order is received.The products for which it holds inventory are dispatched by it
directly.For the products they do not store in inventory, they just send the order received by them to the supplier who ships
it.”
● Budget:
“The company plans to spend about Rs. 75 crores on e-Commerce advertising in the year 2016.
● Rule:
Flipkart reserves the right to terminate your membership and/or refuse to provide you with access to the Website if it is
brought to Flipkart’s notice or if it is discovered that you are under the age of 18 years.This is because as per the Indian
Contract Act, 1872, the minors, un-discharged insolvents etc. are not eligible to use the Website.”
Ans 11. The type of plan needed to be prepared under this situation is ‘Strategy’.
Steps involved in preparing this plan are:
(i) Determining long-term objectives:
(ii) Adopting a particular course of action:
(iii) Allocating resources necessary to achieve the objectives:
Ans 12. The features of planning highlighted in the above paragraph are explained below:
1. Planning is a primary function: “… without good planning he will not be able to organise, direct, control or perform any of the
other managerial functions efficiently and effectively.”
2. Planning is futuristic: “Only on the basis of sales forecasting, he would assist in the preparation of the annual plans for its
production and sales.”
3. Planning is continuous: “Besides, he will have to prepare sales plans regularly on weekly, monthly, quarterly and half yearly
basis.”
4. Planning is a mental exercise: “While p repairing the sales forecasts he undertakes intellectual thinking involving foresight,
visualization and issued judgment rather than wishful thinking or guess work.”
5. Planning focuses on achieving objectives: “Most importantly, all these planning activities will be meaningful only if they will
coincide with the purpose for which the business is being carried out.”
Ans 13.
1. Planning
It involves setting objectives and developing appropriate course of action to achieve these objectives. Dreams (e.g. increase
sales, earn more profits, etc.) can be turned into reality only if business managers think in advance on what to do and how to
do it.
Ans 14.
1. (i) Business environment is dynamic as it keeps on changing.
(ii) Business environment is uncertain as it is difficult for the managers to accurately foresee future trends in the environment.
2. Planning may not work in a dynamic environment.
The organisation has to constantly adapt itself to changes in environment by making changes in its plans.However, since
planning cannot foresee everything, there may be obstacles to effective planning.
3. (i) Strategy – ‘while making its plan, the company takes into consideration the business environment.’
(ii) Budget – ‘Competition in the market upsets its financial plans; then sales targets have to be revised and accordingly cash
budgets also need to be modified since they are based on sales figures.”
Ans 15.
1. Planning
2. Steps involved in planning process:
1. Values neglected:
Ans 16.
1. Strategy
2. Steps involved in preparing a strategy are:
1. Value:
Ans 17.
1. Planning is the function of management which is being described in the above paragraph.
2. The various steps involved in the planning process are explained below:
1. Setting objectives: “The company plans to increase the sale of its sedan cars by 20% in next quarter.”
2. Developing Premises: “In order to achieve the desired target the marketing team of the company considers the impact of
policy of the government towards diesel vehicles and level of competition in this segment of cars.”
3. Identifying alternative courses of action:“They explore the various available options like offering more discount to dealers and
customers, providing more customer friendly finance options, lucky draws on test drives, increasing advertising, offering more
of free accessories on the purchase of the case, etc.”
4. Evaluating alternative courses: “A thorough analysis of the various available options is done keeping in view the relative
viability of each option.”
5. Selecting an alternative: “The company decides to pursue the option of offering more discount to dealers and customers in
order to boost the sale of sedan car.”
6. Implement the plan: "In order to implement the plan, they determine the various discount packages and communicate the
same to their product dealers.To make the prospective consumers aware about the new available benefits, advertisements
are made through various sources of print and electronic media.”
7. Follow up action: “The market analysts of the company keep a close watch on the revenue from the sedan cars to study the
effect of new initiatives by the company to promote its sales.”
Ans 18.
Ans 19.
(i) Planning may not work in dynamic environment.
(ii) Any two limitations: 1. Planning reduces creativity 2. Planning involve huge cost.
Ans 20.
Ans 21.
(i) ‘Rule’ is the type of plan.
(ii) Rules are very Rigid.
(iii) Values: (a) Respect towards environment
(b) Follow discipline and order.
Ans 22.
(i) Planning involve huge cost.
(ii) Planning is time consuming.
(iii) Planning may not work in dynamic environment.
1. Change in government policies (e.g. tax rates, bank rate, etc.) may lead to failure of planning.
2. Changes in the strategies of competitors also lead to failure of planning many tiems.
3. Rapid technological changes may affect planning.
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-5
CLASS – XII SUBJECT: BUISNESS STUDIES
TIME: 3 HOURS MM:80
General instructions:
1. This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answer should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the questions together.
Q QUESTION MARKS
1 The feature of profession not present in management is __________. 1
2 ________ is a process of learning and growth 1
a) Training
b) Education
c) Development
d) None of the above
3 Why is working capital important? 1
(a) To buy land
(b) To buy building
(c) To make payment for routine expenses
(d) To buy machine
4 Trading on equity takes place when ________________. 1
a) ROI < Interest on debt
b) ROI > Interest on debt
c) ROI < ROE
d) ROI > ROE
5 The general management principles were given by ___________. 1
6 A treasury bill is 1
a) An instrument to borrow short term funds
b) An Instrument to borrow long term funds
c) Capital market instrument
d) None of the above
7 ‘Providing finance at 0%’ which of the following adopts this method. 1
(a) Advertisement (b) Personal Selling (c) Sales Promotion (d) Publicity
8 Scientific management means ________. 1
9 A company offers a pack of half kg of sugar with purchase of half kg of wheat 1
flour. Identify method of sales promotion.
10 Canara Bank wants to open a new branch of its bank. What is this decision called? 1
11 Which function of management relates to assigning duties, grouping tasks, 1
establishing authority and allocating resources to carry out a plan?
12 Which of the following is not an element of marketing mix? 1
a) Place
b) Price
c) Packaging
d) Promotion
13 Which of the following does not characterise the business environment? 1
(a) Uncertainty (b) Employees (c) Relativity (d) Complexity
14 The third step of planning process is __________ 1
17 District Commission handle complains when the value of goods and services along 1
with compensation claim does not succeed
a) 10,00,00,000
b) 15,00,00,000
c) 20,00,00,000
d) 1,00,00,000
18 1
Espirit De Corps means _________________
25 Nitish went to a shop to purchase a shirt. The shopkeeper offered him three colours 4
of shirts. Nitish asked him to show him the shirt which was on display. The
shopkeeper told him that he could not buy that shirt and would have to choose
from the options provided by him. Out of necessity and lack of time Nitish
purchased a shirt out of the shirts shown by the shopkeeper. He paid him cash and
didn’t take the cash memo. Later, when he wore the shirt at home and was about to
leave, he found one button of the shirt missing. He went to the shop the next day
and asked for replacement. The shopkeeper bluntly denied that the shirt was
purchased from him.
33 Energy drinks India Ltd.’ has scanned a profitable opportunity for marketing of 6
soft drinks with ‘Indian Traditional Flavour’. The company wants to market its
products in India and in neighbouring countries. A Board meeting of the company
was held on 14.12.2015 wherein the marketing manager was asked to give a
presentation to develop this market offering.
For this it was also decided to set-up its manufacturing unit in a village of Bihar.
This will not only help in the development of the village but will also provide
employment to the youth of the village. The marketing manager chooses a
combination of variables to prepare its market offering. He used a set of marketing
tools that firm will use to pursue its marketing objectives in the target market.
i.Name and state the concept of marketing used by the marketing manager for
creating its market offering.
ii.Also, explain briefly the various elements of this concept.
iii.State any two values that the company wants to communicate to the society.
Or
After doing a diploma in entrepreneurship, Farihad started his own confectionary
business. He started doing a lot of hard work and used the recipes taught by his
grandmother in various preparations. He also learnt many recipes from online sites
and television programmes. He decided to keep the price of the products low
initially and also informed his customers about the goodness of the items sold by
them. However, he didn’t mention on the package of each item weather it
contained eggs or not. As a result, vegetarian people became hesitant in buying
things from his shop as they had to verbally inquire from him about the inclusion
of eggs in the preparation of various items.
In the context of the above case:
Name the important aspect related to the marketing of products which has been
ignored by Farihad.
Explain briefly any three functions performed by the aspect as identified in part
(a).
Mention the right of consumer being violated by Farihad
34 Suhasini a home science graduate from a reputed college has recently done a 6
cookery course. She wished to start her own venture with a goal to provide ‘health
food’ at reasonable price. She discussed her idea with her teacher (mentor) who
encouraged her. After analyzing various options for starting her business venture,
they shortlisted the option to sell readymade and ‘ready to make’ vegetable shakes
and sattu milk shakes. Then, they both weighed the pros and cons of both the
shortlisted options. a) Name the function of management being discussed above
and give any one of its characteristics. b) Also briefly discuss any four limitations
of the function discussed in the case.
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-6
CLASS – XII SUBJECT: BUISNESS STUDIES
General instructions:
1. This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answer should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the questions together.
7. Human Resource Department of any organisation has to ensure the adequate number 1
of employees available throughout the organisation. At which level a human
resource manager works?
a) Top-level management
b) Middle-level management
c) All of these
d) Operational management
8. Which principle of management suggests that employees should be treated with 1
justice and kindness.
9. Match the following and select the appropriate option. 1
(i) Setting objectives (a) Assumption about future
(ii) Developing Premises (b) Monitoring the plans
(iii) Evaluating alternatives (c) Increase in sales by 20%
(iv) Follow-up action (d) Weigh the pros and cors
i. (i) - (c), (ii) - (a), (iii) - (d), (iv) - (b)
ii. (i) - (c), (ii) - (a), (iii) - (b), (iv) - (d)
iii. (i) - (d), (ii) - (b), (iii) - (a), (iv) - (c)
iv. (i) - (d), (ii) - (c), (iii) - (a), (iv) - (b)
10. Mr. Raghav, Finance manager of Manav InfraTech Pvt. Ltd., prepared a detailed 1
plan of financial needs of the firm in coming six months and the sources from where
funds will be acquired to meet out these needs as company is planning to open a new
branch in other states of India. Identify the financial concept discussed here:
a) Working capital
b) Business cycle
c) Financial planning
d) Capital structure
11. Mr. X purchased a car for Rs. 15 lakhs but he is not satisfied with the quality and 1
performance of the car. The company of the car did not provide any remedy to him.
Under which authority of Consumer Protection Act, 2019 can he file an appeal?
a) National Commission
b) None of these
c) District Commission
d) State Commission
12. Which of the following is not a feature of controlling? 1
a) The nature and extent of control doesn't remain same at all levels of
2/8
management.
b) Controlling is a continuous process.
c) The nature and extent of control remains same at all levels of
management.
d) Controlling is pervasive
13. The National Stock Exchange of India was recognized as stock exchange in the year: 1
a) 1992
b) 1993
c) 1995
d) 1994
14. The forces relating to scientific improvements and innovations which provide new 1
ways, methods and techniques of producing goods and services and operating a
business is:
3/8
d) Medical examination
19. Which amount of the following statements is true? 1
i. Higher competition requires larger stocks to meet urgent orders
from customers which results into requirement of more working
capital.
ii. The companies having growth prospects require lesser amount
of working capital.
iii. If the rate of inflation is high, an organisation is required
to invest less in working capital.
iv. All of the above
a) Option (iv)
b) Option (i)
c) Option (iii)
d) Option (ii)
20. In order to make the Annual Day of the school a successful event, the Headmistress 1
of the school segregated all the activities into task groups each one dealing with a
specific area. For instance, decorations, refreshments, backstage support, etc. Each
group was put under the charge of one teacher. Identify the function of management
performed by the Headmistress by dividing the activities and assigning the duties?
a) Planning
b) Directing
c) Staffing
d) Organising
21. Ramesh is working under the guidance of Harish, a carpenter, for the last three years 3
to learn the different skills of this job. Name and explain the method of training
Ramesh is undergoing Apprenticeship programmes.
22. Sunidhi has started a designer studio in the basement of her residence after 3
completing her masters in fashion designing. She has appointed ten employees to
take care of the various aspects of the work. She interacts regularly with each
employee to tell exactly what is expected of him/her and what he/she needs to do to
be regarded as a good performer. At the same time she allows a free work
environment wherein the employees openly chit chat with each other in order to
fulfil their social and emotional needs. Sometimes, these interactions also lead to
spreading rumours which are not authentic.
In context of the above case:
a. Name and explain the two types of communication being referred to in the above
paragraph.
b. How does effective communication increases managerial efficiency?
The two types of communication being referred to in the above paragraph are formal
communication and informal communication.
4/8
OR
Aarav was working as a supervisor with ‘Neer Purifier Ltd.’ which was producing
water purifiers. The target of the company was to produce 200 water purifiers every
day. His job was to make sure that work goes on smoothly and there was no
interruption in production. To achieve this, he always gives orders and insists that
they are obeyed. He believes that reward or punishment both can be given depending
upon the performance. Identify and describe the leadership style being adopted by
Aarav.
23. Three groups of employees of ‘Gama Limited' are working at different posts. The 3
first group of employees is responsible for the welfare and survival of the
organisation. In order to discharge its responsibility properly, this group
continuously keeps a watch over the Business Environment. With a view to coping
with the changes going on in the Business Environment, this group immediately
discusses the change to be brought about in the company's plans. The second group
of employees is responsible for maintaining quality and safety standards, and
minimising wastages. The responsibility of the third group of employees is to
explain the policies decided by the top management and developing the feeling of
cooperation among all the departments of the company.
a. Identify the concept of management described in the paragraphs given
above.
b. Identify the three types of concept identified in 6a’ by quoting the
relevant lines.
24. Star Ltd. is in need of finance to expand the business. The finance manager, Sumit, is 3
looking into different sources of funds available. After doing the cost and risk
analysis, he found debt as the best option but as the company has to pay huge
insurance premium for the plant and machinery and lease for the building, the
decision was taken to raise funds through equity. Identify and explain the factor
which affected this decision.
OR
Differentiate between money market and capital market.
25. Few years ago, there were many malpractices and unfair trading practices like price 4
rigging, unofficial premium on new shares etc. Al these had eroded investors'
confidence and multiplied their grievances. To overcome these, Government of India
decided to set up a separate regulatory body for this purpose.
(a) Name the separate body set up by the Government of India.
(b) List its three regulatory functions.
26. "If you try to control everything, you may end up in controlling nothing". Comment. 4
OR
How does control simplify the task of a supervisor?
27. Himesh is working as a supervisor in a company. Due to his hard work, he is 4
5/8
promoted to the post of Production Manager. Now the post of supervisor is vacant
and no one can be transferred or promoted to this post. Name the source of
recruitment the company will use to fill up this post. State any three advantages of
using this source of recruitment.
OR
Distinguish between external and internal sources of recruitment
28. Which process prepares a blue print of an organizations future preparations relating 4
to finance? Give any three reasons why this process is needed?
29. Neha was a regional sales manager in ‘Good Look Garments Ltd. ‘for ten years. On 4
the retirement of the marketing manager, Neha applied for the same post as she was
extremely ambitious and had dedicated all her energies to obtain the post of a
marketing manager. However, the top management of the company decided to fill
this post by selecting a better person from outside the company. Because of this
Neha was heart-broken and her performance declined. When the new marketing
manager joined, one of her major problems was how to motivate and inspire Neha to
her former level of performance.
Suggest any three non-financial incentives that the new marketing manager
may use to motivate Neha.
30. State any four reliefs available to a consumer under the provision of CPA, 1986. 4
31. Ferro Ltd., manufactures scooters, is facing a lot of problem of declining market 6
share due to increased competition from the new and existing players in the market.
Its competitors are introducing low priced model for price sensitive customers and
scooters with added features and technological advancements for quality conscious?
(a) Which type of plan should be formulated by Ferro Ltd.? What can be the
derivative plans?
(b)What can be the limitations of this plan?
(c) How can these limitations be removed?
OR
Amit Sports Ltd. was in the business of manufacturing treadmills and had a
monopoly in the market. The business was doing very well and the company was
consistently able to meet its objective of 20% increase in sales year after year
Encouraged by the good track record, Mr. Akhil, the Managing Director of the
company, kept an ambitious target of 30%o increase in sales for the next year. The
same year, two competitors entered the market and the company could not achieve
its targets. Identify and explain any three limitations of one of the functions of
management because of which the company was not able to meet its targets.
32. Voltage fluctuations have been common and quite high in India. They harm our 6
electrical appliances like televisions, refrigerators, and air conditioners, often
leaving them in a permanently damaged condition. N-Guard Company decided to
manufacture stabilizers for North India where the voltage fluctuation ranges from
220 V to 230 V.
6/8
Once the demand for North India was taken care of, they decided to launch
stabilizers of varying voltages from 90 V 260 V for meeting the requirements
of voltage fluctuations in other regions of India also. Three engineers were
appointed for the South, West and East regions of India, as the voltage was
different in all the three regions. Though all the engineers were appointed to
manufacture stabilizers, the product differed from region to region.
a. Identify the organizational structure of the N-Guard Company.
b. State any two advantages and two limitations of the structure
identified in the above para.
33. Subramanium & Co., an Aggarbatti manufacturing company in Bengaluru, have two 6
offices in the city within 10 km area. It manufactures Aggarbatties under the brand
name ‘Aeroplane’. It is famous for its sandal and rose flavoured Aggarbatties.
Mahesh and Rahul are accountants in each of the office having same qualification
and work on the same post and perform same nature of work. In spite of that,
Mahesh is getting salary of Rs. 20,000 and Rahul is getting Rs. 16,000 per month.
There is no logic behind this difference in salary.
Management is also frustrated when they see that staff relating to production
department is wasting its time in gossiping with sales department and members of
sales team sitting in finance department. People and materials are not in suitable
places.
(a) Mention the Fayol’s principles of management violated in the given company.
Also give one advantage of principles identified in above (a)
(b) Explain the principle of Espirit De Corps.
OR
Briefly explain any three of the following principles of management given by Henry
Fayol:
(i) Unity of command
(ii) Order
(iii) Equity
(vi) Subordination of individual interest to general interest.
34. Advertisement is an important business activity. On the one hand, it makes available 6
to the people information regarding different new and old products and on the other,
it is also a source of living for many persons. Impressed by these traits of
advertisement Tanu, Manu and Sanchit, three students of Class-XII made up their
mind to go ahead with project work on an advertisement. All the three conversed
with the people about advertisement. Each one of them, on the basis of his survey,
concluded as under:
i. Tanu opined that advertisement costs get transferred to
consumers in the form of high prices.
ii. Manu was of the opinion that advertisement showed reality in
a twisted form. iii. Sanchit maintained that advertisement was
turning people from reality to artificiality.
7/8
a. What do the above remarks about advertisement hint at? Clarify it.
b. Identify two values that advertisement presents to society.
8/8
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-7
CLASS – XII SUBJECT: BUISNESS STUDIES
TIME: 3 HOURS MM:80
General instructions:
1 This question paper contains 34 questions.
9 1
Recently, Yamini purchased a pack of dog food for her pet. It
was nowhere mentioned on the pack that it had to be mixed in
lukewarm water in order to ensure easy digestion. Therefore,
Yamini kept serving the food to her pet by mixing it in cold
water. As a result, her pet fell ill and had to be hospitalised.
Identify the right of consumers being ignored by the company
marketing the pet food.
a) Right to consumer education
b) Right to information
c) Right to choose
d) Right to be heard
10 Mr. X is working in a toy factory. The management asked him to 1
work overtime so as to produce more in order to meet the
increasing demand in the market. But he was not paid extra
wages for extra time worked by him. Which principle of
management is overlooked?
a. Equity
b. Scalar chain
c. Remuneration of employees
d. Order
OR
OR
The workers of Vyam Ltd. are unable to work on new and hi-
tech machines imported by the company to fulfill the increased
demand. Therefore, the workers are seeking extra guidance from
the supervisors.
The supervisor is overburdened with the frequent calls of
workers.
Suggest how the supervisor, by increasing the skills and
knowledge of workers, can make them handle their work
independently?
Also state any three benefits that the workers will derive by the
decision of the supervisor.
27 Explain briefly any four factors that affect the fixed capital 4
requirements of a company.
OR
‘Agile Ltd.’ is a well-known automobile manufacturing company
in India. The company plans to increase the sale of its sedan cars
by 20% in the next quarter. In order to achieve the desired target,
the marketing team of the company considers the impact of
policy of the government towards diesel vehicles and the level of
competition in this segment of cars. They explore the various
available options like offering more discount to dealers and
customers, providing more customer friendly finance options,
lucky draws on test drives, increasing advertising, offering more
of free accessories on the purchase of the car, etc. A thorough
analysis of the various available options is done keeping in view
the relative viability of each option. The company decides to
pursue the option of offering more discount to dealers and
customers in order to boost the sale of sedan cars. In order to
implement the plan, they determine the various discount
packages and communicate the same to their product dealers. To
make the prospective consumers aware about the new available
benefits, advertisements are made through various sources of
print and electronic media. The market analysts of the company
keep a close watch on the revenue from the sedan cars to study
the effect of new initiatives by the company to promote its sales.
In context of the above case:
OR
General instructions:
1. This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answer should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75
words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the questions together.
Q QUESTIONS M
1. In an Organisation , sales person is asked to clinch a deal with a buyer and is 1
allowed to give 10% discount by the marketing manager .But finance
department tells him not to offer more than 5 % discount . Which principle
of management is overlooked here?
(a) Unity of command (c) Unity of direction
(b) Authority and responsibility (d)Division of work
2. ‘Through the orders and decision of various commissions and agencies at 1
centre , state or local level the Indian Government is playing a very
significant role in balancing the use of human and machine power.’ Identify
the dimension of Business Environment highlighted here.
(a) Legal Environment (c ) Social Environment
(b) Political Environment (d) Economic Environment
6. "... gathered information from the potential market and analyzed that the 1
demand for wall-mounted coolers is increasing day by day." Identify the
step involved in the function of management.
(a) Setting Objectives
(b) Developing Premises
(c) Identifying alternative courses of action
(d) Evaluating alternative courses
Case Study 1
The Research & Development department of Healthy Production Lad. has
decided to diversify from manufacturing health drinks to cereals made from
millets. They are well aware of the fact that the company will have to
communicate to the people the benefits of eating millets. For this purpose,
they plan to sponsor various events like marathons and encourage people
to switch to healthy eating through newsletters.
A meeting was held wherein a brainstorming session took place to decide
the name by which the company will sell its products. In the meeting, it was
also decided that the company will spend a lot in advertising, sales
promotion efforts, the ype of packaging, product differentiation, credit
facility and customer services. This will give the company a competitive
freedom in fixing price of its products. The company also decided that its
products will be distributed effectively throughout the country through its
agents, the
wholesalers and retailers.
17. Which of the following helps to eliminate the use of stock certificates by 1
placing stock transactions on computers?
(a) Demat account
(b) Securities Exchange Commission
(c) Depository Trust Company
(d) Federal Depository Insurance Corporation
OR
Explain the steps to be followed in the process of controlling function of
management after setting standards.
23. Ankur is working as a production manager in an organisation. His 3
subordinate Saurabh discussed with him a method of production which will
reduce the cost of production. But due to some domestic problems and
Ankur’s mind being preoccupied he is not in a position to understand the
message. Saurabh got disappointed by this. Identify the factor which acts as
a communication barrier. Explain three other factors of the same group of
communication barriers.
24. Raghav is engaged in ‘Transport business’ .Identify the working capital 3
requirements of Raghav stating the reason in support of your answer.
Raghav also wants to expand and diversify his transport businesss.
Explain any two factors that will affect his capital requirements.
OR
State any three protective functions of Securities and Exchange Board of
India (SEBI).
25. The SEBI has imposed a penalty of Rs.7,269.5 crore on Pearls Agrotech 4
Corporation Limited (PACL) and its four directors — Tarlochan Singh,
Sukhdev Singh, Gurmeet Singh and Subrata Bhattacharya who had
mobilised funds from the general public through illegal collective
investment schemes in the name of purchase and development of
agriculture land. While imposing the penalty, the biggest in its history,
Securities and Exchange Board of India (SEBI) said the company deserved
"maximum penalty" for duping the common man. Its Prevention of
Fraudulent and Unfair Trade Practices Regulations provides for "severe to
severe penalties" for dealing with such violations. As per SEBI norms, it can
impose a penalty of Rs.25 crore or three times of the profit made by
indulging in fraudulent and unfair trade practices and in the present case,
the regulator has imposed a fine equivalent to three times of the illicit
gains. In context of the above case:
a. State the objectives of setting up SEBI.
b. Identify the type of function performed by SEBI by quoting lines from the
paragraph.
26. What is meant by Selection? Explain any three steps involved in the process 4
of selection of employees.
OR
Explain in brief the various steps involved in the process of staffing
27. Energy drinks India Ltd.' have scanned a profitable opportunity for 4
marketing of soft drinks with Indian Traditional Flavour. The company wants
to market its products in India and in neighbouring countries. A Board
meeting of the company was held on 14-12-2022 where in the marketing
manager was asked to give a presentation to develop this market offering.
For this it was also decided to set-up its manufacturing unit in a village of
Bihar. This will not only help in the development of the village but will also
provide employment to the youth of that village. The marketing manager
chooses a combination of variables to prepare its market offering. He used
a set of marketing tools that firm will use to pursue its marketing objectives
in the target market.
(a) Name and state the concept of marketing used by the marketing
manager for creating its market offering.
(b) Also, explain briefly the various elements of this concept.
(c) State any two values that the company wants to communicate to the
society.
28. After passing his secondary school examination, David left the school at the 4
age of 15 years and started getting training under his father. His father, a
renowned electrician, had worked for many companies. He everyday
started accompanying his father on work and watched him carefully while
working. David was a good learner and learnt the techniques of work
quickly. Now his father started passing on the tricks of the trade to David.
With the passage of time David acquired a Kiel level skill and became a well
known electrician at Indore. Big business houses started calling him for
electrical wiring.
(a) Name the method of training discussed in the above para.
(b) State any three benefits which David could get on being trained.
29. There are two managers, Rahul and Pawan. Rahul is saying that ‘Controlling 4
is forward looking whereas according to Pankaj ‘Controlling is looking back’.
Who is correct? Explain why?
OR
Vishesh works as an interior designer. He gets a contract to redesign a play
school. He employs three painters on the site assuming that an average
painter will be able to paint 10 desks in a day. At the end of the first day of
their work, Vishesh finds that the painter A, painter B, and painter C have
painted 12, 14 and 15 desks respectively. On comparing the actual
performance with the planned performance, he realises that the standard
set by him is too low. Consequently, he decides to review and revise the
standard and raise it.
In the context of the above case:
a. Identify the function of management being performed by Vishesh.
b. "Planning and controlling are both backwards-looking as well as forward-
looking functions." Explain the statement with reference to the above
paragraph.
30. Rajat a Sales Manager, achieved his sales targets one month in advance. 4
This achievement was displayed on the notice board and a certificate for
the best performance was awarded to him by the CEO of the company
On the basis of the given information about, Rajat a Sales Manager answer
the following question:
(a) Name the incentive provided to Rajat.
(b) Identify the type of incentive.
(c) List any two other incentives of the type identified in part (b).
31. Advertisement is an important business activity. On the one hand, it makes 6
available to the people information regarding different new and old
products and on the other, it is also a source of living for many persons.
Impressed by these traits of advertisement Tanu, Manu and Sanchit, three
students of Class-XII made up their mind to go ahead with project work on
an advertisement. All the three conversed with the people about
advertisement. Each one of them, on the basis of his survey, concluded as
under: i. Tanu opined that advertisement costs get transferred to
consumers in the form of high prices. ii. Manu was of the opinion that
advertisement showed reality in a twisted form. iii. Sanchit maintained that
advertisement was turning people from reality to artificiality. a. What do
the above remarks about advertisement hint at? Clarify it. b. Identify two
values that advertisement presents to society
OR
General instructions:
1 This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answer should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 worlds.
5. Answers to the questions carrying 4 marks may be about 150 worlds.
6. Answers to the questions carrying 6 marks may be about 200 worlds.
7. Attempt all parts of the questions together. 2020-21
General instructions:
1 This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answer should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 worlds.
5. Answers to the questions carrying 4 marks may be about 150 worlds.
6. Answers to the questions carrying 6 marks may be about 200 worlds.
7. Attempt all parts of the questions together. 2020-21
Q. MARKS
NO.
1. Which of the following is true? 1
(a) Coordination is not equally important at all levels of management
(b) Coordination has no importance
(c) Coordination is equally important at all levels of management
(d) None of these.
3 The economic survey 2019 suggest that the psychological biases can be 1
used in the realm of tax compliance. It is in favour of using religious
norms such “dying in debt is a sin” to improve tax compliance.
Identify the related dimensions of business environment.
OR
Money market is essentially a market for short term funds. In the light of
this statement state any three features of money market.
25 In an interview with a leading news channel, Mr. Ramesh Kwatra, 4
CEO of ‘Get My Job’ has suggested that the Companies which want
more and more people to apply for jobs in their organization should
make the process for applying for jobs easier and candidate friendly.
Name and explain the next two steps which follow the step, in the
process of the function of management being discussed above.
26 Pranav is a supervisor at ‘Ghan Shyam Cake and Biscuits Factory’. 4
The factory produces 10,000 packets of cake and biscuits every day.
As a supervisor Pranav ensures that work goes on smoothly and there
is no interruption in production. He is a good leader who gives orders
only after consulting his subordinates, working out the policies with the
acceptance of the group. Identify and explain the leadership style being
adopted by Pranav.
27 Explain any Four points that highlight the importance of directing 4
function of Management.
OR
OR
Explain any four factors that affect the choice of capital structure of a
company
29 Raghu wants to start a business of selling Simple masks after the 4
outbreak of the global pandemic of COVID-19. Due to the uncertain
market conditions he wants to make a low investment in fixed capital.
Suggest how the decisions related to the choice of technique and
financing alternatives can help Raghu in ensuring a low investment in
fixed capital requirements.
30 Explain the following rights of consumers provided by Consumer 4
Protection Act, 2019:-
Ashok's main consideration was about the amount of money paid by the
consumers in consideration of the purchase of Aloevera products. He also
thought that competitors prices and their anticipated reactions to be
considered for this.
Since he was entering into a new market, he felt that he may not be able
to cover all costs. He knew that in the long run the business will not be
able to survive unless all costs are covered in addition to a minimum
profit.
(b) Explain briefly any four factors discussed in the above case related to
the concept so identified.
32 Explain the following principles of Management: 6
(1) Discipline
(2) Scalar chain
(3) Stability of tenure of personnel
33 Rishu, Ashu and Ravi have decided to start a business of manufacturing 6
toys. They identified the following main activities which they have to
perform; Purchase of raw materials, Purchase of machinery, Production
of toys, Arrangement of finance, Sale of toys, Identifying the areas where
they can sell their toys Selection of employees In order to facilitate the
work they thought that four managers should be appointed to look after
Production, Finance, Marketing’ Personnel. Identify the function of
management involved in the abovementioned para. Quote the lines from
the above para which help you in identifying this function. State the steps
followed in the process of this function of management.
34 Planning is worth the huge costs involved? Do you agree? Explain 6
any four reasons in support of your answer.
OR
GENERAL INSTUCTIONS:
1. This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answers should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the question together.
Q.NO. QUESTIONS MARKS
1. Mr. Tim, the Managing Director of ABC Ltd. appointed Production 1
manager, Mr. Jim who was assisted by Mr. Sin who was to take care of
ensuring the proper and safe working conditions for workers. Where will
Mr. Sin be placed in the management hierarchy?
(a) Middle level
(b) Top level
(c) Operational level
(d) All levels
2. To conserve tigers, D Ltd. started an awareness campaign “Save our 1
tigers”. Which objective of Management is highlighted here?
(a) Organisational
(b) Personal
(c) Social
(d) Both (b) and (c)
3. From the following two statements, choose the correct statement: 1
Statement I: Scientific principles have universal application.
Statement II: Management is an art.
Choose the correct option from the options given below:
(a) Statement I is correct but statement II is wrong.
(b) Statement I is wrong but statement II is correct.
(c) Both the statements are correct.
(d) Both the statements are incorrect.
4. Identify the function of Stock Exchange: 1
(a) Trading and settlement procedure
(b) Depository participants
(c) Pricing of securities
(d) Dematerialisation
5. Which of the following statements is incorrect? 1
(a) Marketing is a social process
(b) Focus of the marketing activities is on customer needs
(c) Marketing is merely a post production activity.
(d) Marketing mix is a wider term than product mix.
6. A major decision area under one of the functions of marketing is the 1
decision regarding marketing intermediaries to be used. Name the function.
(a) Physical Distribution
(b) Gathering and analysing market information
(c) Promotion
(d)Transportation
7. With the introduction of mineral water bottle in India, Bisleri was able to 1
capture a big market share in India. Which importance of Business
Environment is highlighted here?
(a) Identifying opportunities and getting first mover advantage
(b) Identifying threat and getting warning signals
(c) Helps in tapping resources
(d) Helps in policy making
8. Hero, an Indian company entered into a joint venture with Honda, a 1
Japanese company. Which level of management was responsible to form
the company ‘Hero Honda’?
(a) Middle level management
(b) Top level management
(c) Operational level management
(d) Shop-floor
9. “It may be difficult to know the extent of the relative impact of the social, 1
economic, political, technological or legal factors on change in demand of
a product in the market.”
Which feature of Business environment is highlighted by this point?
(a) Inter-relation
(b) Dynamic
(c) Relativity
(d) Dynamic
10. Maruti company was the first company to understand the need of middle 1
class people and launched the small car concept and availed…………….
(a) Improvement in performance
(b) Warning signal
(c) First mover advantage
(d) None of the above
11. When mismatch between plan and actual performance is due to under or 1
over stating of plan, then it is called:
(a) Strategic Control
(b) Operational Control
(c) Situational Control
(d) All of the above
12. Assertion (A): Identification and division of work is the first step in 1
organizing.
Reason (R): Organising involves identification and division of work that
has to be done in accordance with previously determined plans.
(a) Both A and R are true and R is correct explanation of A
(b) Both A and R are true and R is not the correct explanation of A
(c) (A) is true but (R) is false
(d) (A) is false but (R) is true
13. Which type of Organisational Structure will you suggest for a firm which 1
has diversified activities and operations requiring a high degree of
specialization?
(a) Centralised structure
(b) decentralised structure
(c) Divisional structure
(d) Functional structure
14. From the following two statements, choose the correct statement: 1
Statement I: Under Critical Point Control, manager critically observes and
takes action on every deviation.
Statement II: In Controlling, standards can be set in both qualitative and
quantitative terms.
Choose the correct option from the options given below:
(a) Statement I is correct but statement II is wrong.
(b) Statement I is wrong but statement II is correct.
(c) Both the statements are correct.
(d) Both the statements are incorrect.
15. ………………………….refers to producing goods of predetermined 1
specifications which help in achieving uniformity and consistency in the
output.
(a) Gathering and analysing market information
(b) Grading
(c) Standardisation
(d) Market planning
16. From the following two statements, choose the correct statement: 1
Statement I: To meet floatation cost, firms generally issue commercial
bills.
Statement II: Under Private placement, shares are never issued to general
public.
(a) Statement I is correct but statement II is wrong.
(b) Statement I is wrong but statement II is correct.
(c) Both the statements are correct.
(d) Both the statements are incorrect.
17. From the following two statements, choose the correct statement: 1
Statement I: The interest paid on call money is called call rate
Statement II: Treasury bills are also called zero coupon bonds.
(a) Statement I is correct but statement II is wrong.
(b) Statement I is wrong but statement II is correct.
(c) Both the statements are correct.
(d) Both the statements are incorrect.
18. If a firm requires two crores for six months time to keep the stock of raw 1
material, it should approach:
(a) Capital market
(b) Money market
(c) Both (a) and (b)
(d) None of the above
19. Face Creams come in tubes which are thrown by the consumers after the 1
creams are utilised.
Tube of face cream represents which level of packaging?
(a) Primary package
(b) Secondary packaging
(c) Transportation packaging
(d) Speciality packaging
20. Match the concept of marketing in column I with their respective key 1
terms in column II
Column I Column II
A.Marketing concept (i) Profit through sales volume
B. Selling Concept (ii) Profit through customer satisfaction
C. Product Concept (iii) Profit through product quality
(a) A-(i), B-(ii), C-(iii)
(b) A-(ii), B-(iii), C-(i)
(c) A-(iii), B-(i), C-(ii)
(d) A-(ii), B-(i), C-(iii)
21. Briefly explain any three techniques of Scientific Management as given by 3
F.W. Taylor.
22. Jatin, who has recently received an award for the best talented manger, is a 3
very able manager. He has helped the starting of various halted projects by
guiding his subordinates and removing their doubts through proper
directing. This has helped the workers acheive their targets on time. He
knows that every member of the team is important for the completion of a
project. So, he guides his team in such a manner that every single effort of
every employee matters and is directed towards the achievement of
objectives. There is a lighter side of his personality. He is very jovial. He
cares about his team. This has helped him bring cooperation and
commitment among his team members thus bringing a unique balance
between activities and the groups. However this has not prevented him
from having a keen vision of a leader. Whenever the subordinates have
rejected any change, he has tried to bring their cooperation by proper
explanation and consistent efforts in making them understand the value of
bringing these changes. The top level management also sees a big role for
him in the future.
By quoting lines from the above identify and explain these features.
OR
Discuss the concept of Planning in the light of the following features:
(i) Planning involves decision making
(ii) Planning is continous
(iii) Planning is goal-oriented
34. Rumi was a student of Business Studies of Class XII. Her father was a 6
farmer who grew different varieties of rice and was well-versed in the
various aspects of rice cultivation. He was also selected by the government
for a pilot-project on rice cultivation. As a project work in Business
Studies, she decided to study the feasibility of marketing good quality rice
at a reasonable price. Her father suggested her to use the Internet to gather
customers’ views and opinions. She found that there was a huge demand
for packaged organic rice. She knew that there were no predetermined
specifications in case of rice because of which it was difficult to achieve
uniformity in the output. To differentiate the product from its competitors,
she gave it the name of ‘Malabari Organic Rice’ and classified it into three
different varieties, namely — Popular, Classic and Supreme, based on the
quality. She felt that these names would help her in product differentiation.
Explain the three functions of marketing with reference to the above
paragraph.
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-12
CLASS – XII SUBJECT: BUISNESS STUDIES
GENERAL INSTUCTIONS:
1. This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answers should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75
words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the question together.
S.NO. QUESTIONS MARKS
1. Management is said to be poor if it is: 1
(a) Efficient but ineffective
(b) Effective but inefficient
(c) Both effective and efficient
(d) Neither effective nor efficient
2. What distinguishes a successful manager from a less successful one is the 1
ability to put the principles into practice.” Which aspect of the nature of
management is highlighted in the above statement?
(a) Management as a science
(b) Management as an art
(c) Management as a profession
(d) Management is an intangible force
3. Which level of management is responsible for the welfare and survival of 1
the organisation?
(a) Top level
(b) Middle level
(c) Supervisory level
(d) All levels
4. ………………………….is a framework within which organizational 1
activities are performed.
(a) Span of management
(b) Organizational Structure
(c) Management by exception
(d) All of the above
5. Mayank, the General Manager of Dinesh equipments , perform the 1
managerial functions of planning, organizing, staffing, directing and
controlling as an ongoing process. Which feature of Management is
highlighted here?
(a) Group activity
(b) Dynamic function
(c) Continous process
(d) Multidimensional
6. The form of organisation known for giving rise to rumors is known as: 1
(a) Formal organisation
(b) Decentralised organisation
(c) Informal organisation
(d) Centralised organisation
7. The health and fitness trend has become popular among large number of 1
urban people. This created a demand for products like organic food, diet
soft drinks, gyms, food supplements etc. Which dimension of business
environment is reflected here?
(a) Technological environment
(b) Economic environment
(c) Social environment
(d) Political environment
8. Indian ethnic wear like sarees are in great demand in India but Italy does 1
not have such a high demand for the same. Which feature of business
environment has been reflected here?
(a) Inter-relatedness
(b) Uncertainty
(c) Complexity
(d) Relativity
9. Statement I: Business environment is mostly certain and can be predicted 1
Statement II: Technological and political changes can always be
anticipated.
Choose the correct option given below:
(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
10. Identify the incorrect statement: 1
(a) Money market instruments are safer with minimum risk of default.
(b) Money market instruments are more liquid than capital market
instruments.
(c) Money market instruments are for a maximum tenure of one year.
(d) Investment in money market instruments entails huge sums of money.
11. Controlling is: 1
(a) forward looking
(b) backward looking
(a) both forward and backward looking
(a) none of these
12. Management by exception differentiates between: 1
(a) Standards and output
(b) Planned and actual performance
(c) Critical and simple problems
(d) Input and Output
13. Government of India set up a regulatory body to check on various unfair 1
trade practices like price rigging, unofficial premium in new issues,
unofficial private placements.
(a) SEBI
(b) NSDL
(c) RBI
(d) ASSOCHAM
14. Akhter is working in Zeedan Ltd. as a financial advisor. The company has 1
plans to diversify in overseas markets. This would result in increase in the
price of the shares. Akhter has advised his brother Anwar to purchase
shares of Zeedan Ltd. Anwar purchased the shares as advised by brother.
Which function of SEBI prohibits such malpractice?
(a) Regulatory function
(b) Development function
(c) Protective function
(d) All of the above
15. Under which of the following methods, securities are not issued directly 1
to the public but are offered through intermediaries like issuing houses or
stock brokers?
(a) Offer through prospectus
(b) Offer for sale
(c) Private placement
(d) E-IPO
16. Which concept of Marketing is highlighted in the lines “it helps in 1
satisfaction of customers and does not leave any industrial waste after
manufacturing”?
(a) Product
(b) Production
(c) Selling
(d) Societal marketing
17. Which element of Marketing is highlighted in the lines “the company also 1
rolled out an advertisement on major TV channels to boost the sales of the
drug”?
(a) Product
(b) Price
(c) Physical distribution
(d) Promotion
18. A brand or part of the brand that is given legal protection is called 1
………………..
(a) Brand mark
(b) Trade mark
(c) Agmark
(d) Patent
19. A major decision area under one of the functions of marketing is the 1
decision regarding marketing intermediaries to be used. Name the
function.
(a) Physical distribution
(b) Product distribution
(c) Branding
(d) None of the above
20. Which of the following statements is incorrect? 1
(a) Marketing is a social process
(b) Focus of the marketing activities is on customer needs
(c) Marketing is merely a post production activity.
(d) Marketing mix is a wider term than product mix.
21. Success of Dabbawala (who carry tiffins to offices) of Mumbai is an 3
example of which aspect of management? Explain the importance of that
aspect.
22. “Our assets walk out of the door each evening, we have to make sure that 3
they come back the next morning”. This statement relates to which
function of management? State two points of importance of this function.
23. Explain ‘Critical point control’ with respect to Analysing deviations. 3
OR
Explain ‘Management by exception’ with respect to Analysing deviations.
1 ____________ involves synchronisation of the different actions or efforts of the various units of an 1
organisation
Which level of management is responsible for the welfare and survival of the organisation?
2 1
(a) Top level of management
(b) Middle level of management
(c) Supervisory level
(d) Both (b) and (c)
A manager should replace ‘I’ with ‘We’ in all his conversations with workers to foster
3 1
teamspirit. Which principle of management is being highlighted here?
4 External environment trends and changes that may hinder a firm’s performance 1
(a) Opportunities
(b) Strength
(c) Weakness
(d) Threat
5 Foreign companies had extreme difficulty to cut through the beureaucratic red tapism of Indian 1
official permits.Which dimension of business environment does it relate to?
(a) Social
(b) Political
(c) Legal
(d) Technological
6 Positive external trends or changes that may help a firm to improve its performance 1
(a) Opportunities
(b) Strength
(c) Weakness
(d) Threat
7 The manufacturing sector was the worst performer during the lockdown period. Which dimension of 1
business environment does it relate to?
(a) Social
(b) Political
(c) Legal
(d) None of the above
Read the following text and answer question No.8-11 on the basis of the same 1
These days, the development of a country is also judged by its system of transferring finance to
the sector where it is needed most. To give strength to the economy, SEBI is undertaking
measures to develop the capital market. In addition to this, there is another market in which
unsecured and short term debt instruments are actively traded everyday. These markets together help
the savers and investors in directing the available funds into their most productive investment
opportunity.
What type of function is SEBI performing in the above mentioned paragraph
8
(a) Regulatory
(b) Development
(c) Protective
(d) All of the above
9. In addition to this , there is another market in which unsecured and short term debt instruments are 1
actively traded everyday. Which market is being referred here
(a) Capital Market
(b) Primary Market
(c) Money Market
(d) Secondary Market
11 State true or false- Short term debt instrument are always unsecured. 1
provides a rational approach for setting objectives and developingappropriate
12. 1
courses of action for achieving predetermined objectives.
20 The function of management which is concerned with informing the customers about the firm’s 1
product is
(a) Market Analysis
(b) Standardisation
(c) Promotion
(d) Grading
21 Anul Ltd and Akash Ltd are two competing local diary companies producing ice creams. During 3
the past financial year, Anul Ltd had manufactured 1,00,000 ice creams at a total cost of Rs 5,65,000
and Akash Ltd had also produced 1,00,000 ice creams at a cost of Rs 5,25,000. Which company is
more efficient? Give reason in support of your answer.
Explain ‘Internship training’ and ‘apprenticeship training’ and classify them as on-the-job and off-the-
22 3
job methods of training.
23 “In large organisations, certain pieces are checked at random for quality . This is known as sample 3
checking.”
The above statement depicts a step of a function of management. Name the step referred here and
state the next two steps of that function of marketing.
OR
State three ways in which a good control system helps the organisation
25 Muskan Electrical Limited is involved in manufacturing generators and invertors in Delhi. But its 4
main sales were from Uttar Pradesh and Haryana where electricity cut was a routine problem. Sales
in Delhi have gone down after privatisation in the electricity sector. But the company has assured
their employees that in spite of recession, no worker will be retrenched from the job.
(a) Name and explain the type of incentive offered to the employees.
(b) Explain one more incentive of the same category.
Someone has rightly said:
26 4
“If you wish to plan for a year, sow
seeds,
If you wish to plan for 10 years,
plant trees,
If you wish to plan for a lifetime,
develop people.”
Identify the two concepts reflected in the above paragraph and state three differences
27 Tata International Ltd. earned a net profit of Rs.50 crores. Ankit the finance manager of Tata 4
International Ltd. wants to decide how to appropriate these profits. Identify the decision that Ankit
will have to take and also discuss any five factors which help him in taking this decision.
“It is a process of making subordinates to act in a desired manner to achieve certain organizational
28 4
goals”
The above statement refers to an element of a function of management. Identify and define the
element and state the other elements of the function of management.
OR
Explain any two style of leadership.
Bhawan is a patient of high blood pressure . He takes medicines on regular basis . This medicine
29 4
comes under the category of prescription medicine which are sold to the customers only on
prescription by a registered medical practitioner . However at many places , this practice is not
followed. Mr. Bhawan is a salesman , he keeps on touring. On one such tour, he purchased medicines
for blood pressure. While purchasing the medicine neither he looked for expiry date nor obtain a cash
memo . Since the expiry date of medicine was already over, it reacted and Bhawan became seriously
ill. This lead to Bhawan incurring a huge amount on his medical treatment. After regaining health he
claimed damages from the medicine manufacturer,.Company refused to pay anything .
(1) What precautions should Bhawan take while purchasing the medicines?
(2) What rights of Bhawan have been infringed by the company ?
It is essentially the preparation of a financial blueprint of an organisation’s future operations. 4
30
What concept is the above statement related to. Identify and define it. Also state its twin objectives
OR
One of the important decisions under financial management relates to the financing pattern or the
proportion of
the use of different sources in raising funds.
What is the above pattern known as? Explain its components
Explain the following principles of Henri Fayol
31 6
(a) Unity of Command
(b) Order
(c) Espirit de corps
OR
Explain the principles of scientific management
A company is manufacturing washing machines. There is a well defined system of jobs with a clear
32 6
and definite authority, responsibility and accountability in the company. But people are not allowed to
interact beyond their officially defined roles. As a result the company is not able to adapt to the
changing business environment. The workforce is also not motivated due to lack of social interaction.
The company is facing problems of procedural delays and inadequate recognition to creative talents.
(d) State the type of organization referred in the above paragraph and explain any three features of
such an organisation
(ii) Suggest how the organization can overcome the problems faced by it.
Sometimes plans to be drawn up take so much of time that there is not much time left for their
33 6
implementation.
What feature does the above statement states about planning. . Explain five such type of features..
OR
“This is the real point of decision making”
The above statement refers to a step in the planning process. Name and explain the step. Also explain
the four steps preceeding the above mentioned steps.
Raman, Joginder, John, Iqbal and Shreya are friends. They are operating different business. Each one 6
34
has his/her own concept regarding operating their business. Raman believes in producing products at
a large scale. Thereby decreasing the average cost of the products and selling it at a reasonable price.
Joginder focuses on providing best quality products because he believes that a customer always
wishes to buy a good quality product. The price of the product is secondary, John is of the belief that
most important aspect of business is sales and so he undertakes aggressive selling & promotional
effort. Iqbal believes that his firm can achieve its goals only by identifying the needs of the customer
& satisfying them better than the competitors. Shreya on the other hand feels that her firm has a
responsibility towards the society as well. So she provides customer satisfaction along with using
techniques which are environmental friendly.
(a) What are the Marketing concepts followed by each of them? Quote from the above lines.
(b) Which philosophy will be effective in the present circumstances ?
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-14
General Instructions :
2 Golden Globe is organizing shows internationally for the last thirty years. Their 1
shows have been successful across the globe. Off late, their shows are not as
popular as they were in the past. After analyzing, they are thinking of bringing
necessary changes in their shows to gain popularity. Identify which characteristic
of management is reflected in above situation.
a. Management is dynamic
b. Management is goal-oriented
c. Both (a) and (b)
d. None of these
6 ‘To get the benefit of the hi-tech consumers who made use of 1
computer more in their lives, TATA Sons even launched a website for e-
greetings.’ Which dimension of business environment is reflected here?
(a) Social environment
11 ‘If anything goes wrong with the performance of key activities, the entire 1
organization suffers. Therefore, the organization should focus on them’. Explain
the concept.
a. Management by exception
b. Budgetary control
c. Critical Point control
d. Corrective Measure
13 Charu is a chartered accountant in Prakash Ltd. During the course of meeting with 1
directors, she came to know that as against the previous years, this year company
is going to declare handsome dividend. Often it is observed that when such news
becomes public, then the share market jumps up. Considering it, Charu purchased
large number of company’s shares before this news reached the public. Identify
the type of malpractice used by Charu.
a. Insider trading
b. Forged transfer
c. Both (a) and (b)
d. None of these
14 Pranjal has 500 shares of L&T. L&T comes out with a fresh issue of shares and 1
Pranjal received an offer to buy 1 share of L&T for every 5 shares held by him.
Which method of floating new issue is indicated in this case?
a. Bonus issue
b. Private placement
c. Right issue
d. All of these
15 Nisha, a school bag manufacturer, decided to improve the product of 1
maximization and thus added a water bottle holder to the existing design. Identify
the marketing management philosophy adopted by Nisha.
a. Selling concept
b. Product concept
c. Production concept
d. Marketing concept
18 Unilever has found a new way to make ice creams by using an ingredient called 1
‘Ice Structuring Protein (ISP)’ which is widely found in nature especially, in fishes
which allows them to survive in freezing arctic waters. Combining ISP with
stabilizer technology, it allows making ice creams that don’t melt so easily
thereby making it more convenient for small children and consumers to eat ice-
cream in hot countries. Identify the component of marketing mix being taken into
consideration by the company.
a. Price
b. Product
c. Place
d. Promotion
19 Supriya’s grandmother who was unwell, called her and gave her a gift packet. 1
Supriya opened the packet and saw many crumpled share certificates inside. Her
grandmother told her that they had been left behind by her late grandfather.
As no trading is now done in physical form, Supriya wants to know the process by
adopting which she is in a position to deal with these certificates.
Identify the process.
20 Match the the marketing concepts in column A with their main focus in column B 1
:
COLUMN A COLUMN B
(i) Production concept a. Quality of goods
(ii) Product concept b. Selling goods by hook or crook
(iii) Marketing concept c. Quantity of goods
(iv) Selling concept d. Customer satisfaction
21 3
Your grandfather has retired as the Director of a manufacturing company. At
which level of management was he working? Different types of functions are
performed at this level. State any two functions.
22 3
Distinguish between internal and external sources of recruitment on the basis of
economy, quality of recruitment and time involved.
23 3
“Controlling is a continuous activity in an organization.” Explain.
Or
Explain “measurement of actual performance” as a step of controlling process.
24 3
Give the meaning of both the segments of financial market.
Or
Explain the following money market instruments :
(a) Treasury bill
(b) Call money
25 4
The workers of “Skyhigh Ltd.” are unable to work on new and hi-tech machines
imported by the company to fulfill the increased demand. Therefore, the workers
are seeking extra guidance from the supervisor. The supervisor is overburdened
with the frequent calls of the workers. Suggest how the supervisor, by increasing
the skills and knowledge of the workers, can make them handle their work
independently.
Also, state any three benefits that the workers will derive by the decision of the
supervisor.
26 4
Ram was working as a supervisor with “Aqua Purifier Ltd.” which was producing
water purifiers. The target of the company was to produce 200 water purifiers
every day. His job was to make sure that work goes on smoothly and there was
no interruption in production. To achieve this, he always gives orders and insists
that they are obeyed. He believes that reward or punishment both can be given
depending upon the performances.
Identify and describe the leadership style being adopted by Ram.
27 4
Alisha Ltd. assured their employees that despite of recession, no worker will be
retrenched from the job.
(i) Name and explain the type of incentive offered to the employees.
(ii) Explain one more incentive of the same category.
Or
What do you mean by Laissez-faire leadership? State its features. Name any other
type of leadership style.
28 4
What is meant by “Long-term Investment Decision”? State any three factors
which affect the long term investment decisions.
Or
What do you mean by fixed capital? What are the factors affecting fixed capital
(any 3 )?
29 4
The directors of Mahajan Ltd. have decided to expand the business activities by
increasing the stock of raw materials and finished goods at an estimated cost of
₹50 lakhs. As a finance manager of the company, advise the directors about the
methods open to the company to raise necessary finance for this purpose.
30 4
What kind of cases can be filed in a State Commission?
31 6
Explain the following principles of management:
a) Subordination of individual interest to general interest.
b) Stability of tenure.
c) Espirit de corps
32 6
‘Unforeseen events and changes, rise in costs and prices, environmental changes,
governmental interventions, legal regulations, all affect business plan.’ In the light
of the statement state any three limitations of planning function of management.
Also write any three external limitations of planning .
Or
Explain the steps in the planning process.
33 6
Madhav, Rakesh and Anirudh have decided to start a business of manufacturing
toys. They identified the following main activities which they have to perform:
In order to facilitate the work they thought that four managers should be
appointed to look after Production, Finance, Marketing and Personnel.
34 6
“Though branding adds to the cost, it provides several advantages to the
consumers”. In the light of the statement, state any three advantages of branding
to customers.
Also give the benefits to marketers.
Or
Define the three levels of packaging. Also explain any three functions of
packaging.
KENDRIYA VIDYALAYA SANGATHAN, JAMMU REGION
SAMPLE PAPER SET-15
CLASS – XII SUBJECT: BUISNESS STUDIES
General instructions:
1 This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answer should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 worlds.
5. Answers to the questions carrying 4 marks may be about 150 worlds.
6. Answers to the questions carrying 6 marks may be about 200 worlds.
7. Attempt all parts of the questions together
1. Identify and explain the quality of management that Kartik has introduced in the
working of the production department as a corrective measure to control the
output of the workers.
Or
1) Scalar chain
2) Division work
22 ‘If anything goes wrong with the performance of key activities, the entire 3
organisation suffers. Therefore, the organisation should focus on them.’ Explain
the statement with a suitable example.
or
By quoting the lines Identify the importance of one of the function of management
highlighted in above case?
24 Distinguish between Capital market and money Market on the basis of following- 3
(i) Participants (ii) Duration and (iii)Instruments
25 (a) Name the one method of floatation of issues in the primary market. 4
(b) Name and describe the privilege given to existing shareholders to subscribe to
new issues.
Or
1. Raj an has an option of taking loan from his relatives. These people have
assured him to give loan at a low interest rate. So he decides to use debt as
a source of financing his project. Now he goes to different relatives and
friends to see if he can get a cheaper source of debt with even lower rate of
interest.
2. Prerak Iron Ltd. is thinking of raising finance to further its projects overseas.
For this the company is observing the other companies’ raising of finance.
Their debt-equity ratios are being thoroughly studied by the financial
experts of the company.
3. A company is trying to raise funds after consulting the experts. The owner
of the company has decided to find out the banks which can grant loan
under norms. He will assure that all norms are followed by the company. He
has also decided to gain knowledge about the SEBI guidelines related to
public issues of shares and debentures.
4. The management of a company is very much concerned about the latest
happenings in the stock market. They always want to know whether the
conditions in the stock market are bullish or bearish so that they may know
the feasible time to grow money by issue of shares.
27 Reena purchased one litre of pure desi ghee from a shopkeeper. After using it, she 4
had doubts that it was adulterated. She sent it for a laboratory test which
confirmed that the ghee was adulterated.
State any four reliefs available to Reena if she complains and the consumer court is
satisfied about the genuineness of the complaint
Or
Explain two types of tests that Mr. Murthy can use to meet his requirements.
29 Name the element of directing function under which 4
(1) the superiors oversee the activities of their subordinates.
(2) the superiors assure the subordinates that their needs will be taken care of.
(3)the superior attempts to influence the behaviour of people at work towards the
realization of specified goals
(4) the superior share information with the subordinates in order to reach common
understanding.
30 Mr. Nath, a recently appointed production manager of Suntech Ltd., has decided to 4
produce jute bags instead of plastic bags as these are banned by the government.
He set a target of producing 1000 jute bags a day. It was reported that the
employees were not able to achieve the target. After analysis, he found that
employees were demotivated and not putting in their best for achieving the target.
Mr. Nath’s behaviour is good towards the employees. His attitude is always
positive. So, he announced various incentive schemes for the employees like:
Or
1. Identify and briefly explain the concept used by Aman Chadha in the
above case which helped him in focusing on objectives.
2. Also, state any four points of importance of the concept identified in
(a) above.
33 Naman and Govind after finishing their graduation under vocational stream 6
decided to start their own travel agency which will book Rail Tickets and Air Tickets
on commission basis. They also thought of providing tickets within ten minutes
through the use of internet. They discussed the idea with their Professor Mr.
Mehta who liked the idea and suggested them to first analyse the business
environment which consists of investors’, competitors and other forces like social,
political etc. that may affect their business directly or indirectly. He further told
them about the technological improvements and shifts in consumer preferences
that were taking place and hence they should be aware of the environmental
trends and changes which may hinder their business performance. He emphasised
on making plans keeping in mind the threat posed by the competitors, so that they
can deal with the situation effectively. This alignment of business operations with
the business environment will result in better performance.
34 Ganga, a commerce student, argue in a class debate that planning ends with the 6
selection of best alternative. But Parvathy of same class opposed the argument
stating the planning continues even after the selection of best alternative.
a) To whom do you agree?
b) Explain the steps to be followed after the selection of best alternative.
Or