CLASS 12 BUSINESS STUDIES
MCQ QUESTION AND ANSWERS BASED ON CASE BASED
AND ASSERTION – REASON MODEL
ANSWERS ARE PROVIDED AT THE END OF EACH SECTION.
EACH QUESTION CARRIES ONE MARK EACH
CHAPTER 1 NATURE AND SIGNIFICANCE OF MANAGEMENT
CASE BASED QUESTIONS:
QUESTION NO.1 TO 4 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
Mayra Ltd. received a new order of 30,000 toys. Mr. Abhilash, the production manager is expected to
deliver goods in fifteen days otherwise the contract will be null and void. To retain the customers,
Abhilash outsourced the production of 15,000 toys and delivered the order on time. The outsourcing of
production resulted in increase in cost by 50%. Mayra Ltd. uses environment friendly methods of
production and disposes off the waste material by either recycling it or using the same for landfill in such a
manner that the aquatic life is not disturbed."
1 Which concept of management is being adhered to here by Mr. Abhilash?
(A)Effectiveness
(b) Efficiency
(c) Both a. and b.
(d) None of these
2 Which concept of management is being overlooked by Mr. Abhilash?
(A)Effectiveness
(b) Efficiency
(c) Both a. and b.
(d) None of these
3 At which level of management is Mr. Abhilash working?
(A)Top level
(b) Middle level
(c) Lower level
(d) Shop floor level
4 Which objective of management is fulfilled by Mayra Limited?
(A)Organisational
, (b) Personal
(c) Social
(d) None of these
QUESTION NO.5 TO 7 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
Ankush Ltd is engaged in manufacturing of electrical appliances .Mr Ankush found that the profits had
started declining from the last 6 month. Profit has an implementation for the survival of the firm, so he
analysed the business environment to find out the reason for the decline. Also the company has been
facing problem for the last few years because of the chaos between two departments ie (production
department and sales department).Sales department blames Production department for delaying
production. Production department blames sales department for poor sales. The force that initiate two
department is missing. So Mr Ankush integrates the effort of these departments into a uniform plan of
action to active better organisational results. He also gives instructions to his managers so that desired
action may be taken to achieve the target on time.Various incentive are also offered to them for achieving
desired target on time.
5 At which level of management is Mr Ankush working?
(A) top level
(b) middle level
(c) lower level
(d) shop floor level
6 Which is the force that Is missing in the given paragraph?
(A) cooperation
(b) coordination
(c) Authority and responsibilities
(d) planning
7 Which function of management is highlighted in the lines "He also gives instructions ......... Time"?
(A) planning
(b) organising
(c) staffing
(d) directing
QUESTION NO.8 TO 11 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
Mona is the branch manager of Mitushi Handicrafts Pvt Ltd. The company's objective is to promote the
, sales of Indian Handlooms .It sales fabrics, furnishing readymade and household items are made out of
traditional Indian fabrics. Mona decides quantities, variety, colour and texture of all the above items and
and then allocates resources for their purchase from different suppliers .She appoints the team of designers
and crafts people in the company who developed some prints for bed cover in bright colour on silk.
Although the product look very attractive and impressive, they were relatively expensive and on the front
of affordability of an average customer. Mona suggest that they should keep the silk bed cover for special
festive occasions and offer the cotton bed cover on a regular basis to keep cost under control.
8 "She appoints a team of designers and craft people in the company, who developed some prints for bed
cover in bright colour on silk" which function of management is highlighted in the statement?
(A) controlling
(b) staffing
(c) planning
(d) directing
9 In the above case "company's objective is to promote the sales of Indian Handlooms and Handicrafts
production" the above line focus on which feature of management?
(A) Management is an initiative force
(b) Management is a goal oriented process
(c) Management is pervasive in nature
(d) Management is a continuous process
10 With reference to the case, at which level of management Mona is working?
(A) lower level
(b) top level
(c) middle level
(d) shop floor level
11 Mona suggest that they should keep the silk bed cover for special festive occasions and offer the cotton
bed cover on a regular basis to keep cost under control" Which function of management is highlighted over
here?
(A) controlling
(b) staffing
(c) organizing
(d) planning
QUESTION NO.12 TO 15 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
, Soft-core Ltd.is a company which has improved its functioning by proper management. The company has
been successful in deciding and completing targets. In the previous meeting, it was decided that in coming
years, the company could show increase in the number of workers, number of products produced and also
the sales turnover. However, recently it earned a negative reputation under the impact of resignations put
forth by two of its departmental heads. These departmental heads were experts in their fields. One was
leading the marketing department and the other was a scientist of repute who headed the manufacturing
department. In the top level management meeting, it was found that such departmental heads who were
specialists in their areas cannot be tackled by unity of command. They were egoistic as they were
specialists. After the meeting, things started to change for the organisation as all the departments started to
work with one single target of giving back the company its lost fame. There was a combined effort which
doubled the revenue of the organisation. A special regulation system of including every level manager was
brought into action. Thus, the overall functioning of the organisation improved.
12 Identify the feature of management highlighted in the given case.
(A) Management is an intangible force
(b) Management is multidimensional
(c) Management is a goal-oriented process
(d) Management is all pervasive
13 Identify the type of objective being discussed from the given Line stated............. company could show
increase in the number of workers, number of products produced and also the sales turnover."
(a) Organisational
(b) Personal
(c) Social
(d) None of these
14 The concept of management missing in the Soft-core Ltd, Company is:
(A) cooperation
(b) coordination
(c) control
(d) direction
15 Identify the feature of coordination being discussed from the given line: ................. as all the departments
started to work with one single target of giving back the company its lost fame."
(a) Unity of action
(b) Responsibility of all managers
(c) Pervasive
MCQ QUESTION AND ANSWERS BASED ON CASE BASED
AND ASSERTION – REASON MODEL
ANSWERS ARE PROVIDED AT THE END OF EACH SECTION.
EACH QUESTION CARRIES ONE MARK EACH
CHAPTER 1 NATURE AND SIGNIFICANCE OF MANAGEMENT
CASE BASED QUESTIONS:
QUESTION NO.1 TO 4 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
Mayra Ltd. received a new order of 30,000 toys. Mr. Abhilash, the production manager is expected to
deliver goods in fifteen days otherwise the contract will be null and void. To retain the customers,
Abhilash outsourced the production of 15,000 toys and delivered the order on time. The outsourcing of
production resulted in increase in cost by 50%. Mayra Ltd. uses environment friendly methods of
production and disposes off the waste material by either recycling it or using the same for landfill in such a
manner that the aquatic life is not disturbed."
1 Which concept of management is being adhered to here by Mr. Abhilash?
(A)Effectiveness
(b) Efficiency
(c) Both a. and b.
(d) None of these
2 Which concept of management is being overlooked by Mr. Abhilash?
(A)Effectiveness
(b) Efficiency
(c) Both a. and b.
(d) None of these
3 At which level of management is Mr. Abhilash working?
(A)Top level
(b) Middle level
(c) Lower level
(d) Shop floor level
4 Which objective of management is fulfilled by Mayra Limited?
(A)Organisational
, (b) Personal
(c) Social
(d) None of these
QUESTION NO.5 TO 7 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
Ankush Ltd is engaged in manufacturing of electrical appliances .Mr Ankush found that the profits had
started declining from the last 6 month. Profit has an implementation for the survival of the firm, so he
analysed the business environment to find out the reason for the decline. Also the company has been
facing problem for the last few years because of the chaos between two departments ie (production
department and sales department).Sales department blames Production department for delaying
production. Production department blames sales department for poor sales. The force that initiate two
department is missing. So Mr Ankush integrates the effort of these departments into a uniform plan of
action to active better organisational results. He also gives instructions to his managers so that desired
action may be taken to achieve the target on time.Various incentive are also offered to them for achieving
desired target on time.
5 At which level of management is Mr Ankush working?
(A) top level
(b) middle level
(c) lower level
(d) shop floor level
6 Which is the force that Is missing in the given paragraph?
(A) cooperation
(b) coordination
(c) Authority and responsibilities
(d) planning
7 Which function of management is highlighted in the lines "He also gives instructions ......... Time"?
(A) planning
(b) organising
(c) staffing
(d) directing
QUESTION NO.8 TO 11 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
Mona is the branch manager of Mitushi Handicrafts Pvt Ltd. The company's objective is to promote the
, sales of Indian Handlooms .It sales fabrics, furnishing readymade and household items are made out of
traditional Indian fabrics. Mona decides quantities, variety, colour and texture of all the above items and
and then allocates resources for their purchase from different suppliers .She appoints the team of designers
and crafts people in the company who developed some prints for bed cover in bright colour on silk.
Although the product look very attractive and impressive, they were relatively expensive and on the front
of affordability of an average customer. Mona suggest that they should keep the silk bed cover for special
festive occasions and offer the cotton bed cover on a regular basis to keep cost under control.
8 "She appoints a team of designers and craft people in the company, who developed some prints for bed
cover in bright colour on silk" which function of management is highlighted in the statement?
(A) controlling
(b) staffing
(c) planning
(d) directing
9 In the above case "company's objective is to promote the sales of Indian Handlooms and Handicrafts
production" the above line focus on which feature of management?
(A) Management is an initiative force
(b) Management is a goal oriented process
(c) Management is pervasive in nature
(d) Management is a continuous process
10 With reference to the case, at which level of management Mona is working?
(A) lower level
(b) top level
(c) middle level
(d) shop floor level
11 Mona suggest that they should keep the silk bed cover for special festive occasions and offer the cotton
bed cover on a regular basis to keep cost under control" Which function of management is highlighted over
here?
(A) controlling
(b) staffing
(c) organizing
(d) planning
QUESTION NO.12 TO 15 ARE BASED ON THE PARA GIVEN BELOW. CHOOSE THE
CORRECT OPTION GIVEN BELOW FOR EACH QUESTION:
, Soft-core Ltd.is a company which has improved its functioning by proper management. The company has
been successful in deciding and completing targets. In the previous meeting, it was decided that in coming
years, the company could show increase in the number of workers, number of products produced and also
the sales turnover. However, recently it earned a negative reputation under the impact of resignations put
forth by two of its departmental heads. These departmental heads were experts in their fields. One was
leading the marketing department and the other was a scientist of repute who headed the manufacturing
department. In the top level management meeting, it was found that such departmental heads who were
specialists in their areas cannot be tackled by unity of command. They were egoistic as they were
specialists. After the meeting, things started to change for the organisation as all the departments started to
work with one single target of giving back the company its lost fame. There was a combined effort which
doubled the revenue of the organisation. A special regulation system of including every level manager was
brought into action. Thus, the overall functioning of the organisation improved.
12 Identify the feature of management highlighted in the given case.
(A) Management is an intangible force
(b) Management is multidimensional
(c) Management is a goal-oriented process
(d) Management is all pervasive
13 Identify the type of objective being discussed from the given Line stated............. company could show
increase in the number of workers, number of products produced and also the sales turnover."
(a) Organisational
(b) Personal
(c) Social
(d) None of these
14 The concept of management missing in the Soft-core Ltd, Company is:
(A) cooperation
(b) coordination
(c) control
(d) direction
15 Identify the feature of coordination being discussed from the given line: ................. as all the departments
started to work with one single target of giving back the company its lost fame."
(a) Unity of action
(b) Responsibility of all managers
(c) Pervasive
