Business studies Class XII Quiz-1

Business studies Class XII Quiz-1

Quiz

 

1. A bottle of Anti- dandruff shampoo mentions ' Clean your hair and get rid of dandruff in one squeeze'. The product related decision involved is
   1.   Branding
   2.   Product quality
   3.   Packaging
   4.   Labelling
2. The allocative function of Financial market helps in ________
   1.   Bringing transparency in trading procedure
   2.   Earning higher rate of return to household sector
   3.   Better functioning of depository
   4.   Determining the prices of securities
3. Mr. Vivek is working as the General Manager of Oshin Hotels Ltd. Mr. Vivek observed that Government was taking a special interest in the Tourism industry as this sector is an important source of foreign exchange and employment promotion. On the basis of this news, the company decided to set up hotels at several tourist places. Oshin Hotels Ltd. established 50 hotels before other companies considered this issue. Very soon, this brand Oshin Hotels Ltd. became well known in the market. Identify the importance of business environment described here.
   
   1.   It enables the firm to identify opportunities and getting the first mover
      advantage.
   2.   It helps the firm to identify threats and early warning signals.
   3.   It helps in tapping useful resources.
   4.   It helps in improving performance.
4. The Board of directors of Medex Pharma Ltd. decided to issue debentures worth ₹40 lakhs in order to finance a major Research and Development project. This would increase the Debt Equity ratio from 1:1 to 2:1.However, at
   the same time it would increase the Earnings per share.
   The reason that will justify the above situation is:
   1.   Unfavourable financial leverage, as the financial risk will be higher.
   2.   Unfavourable financial leverage, as return on investment is lower than the
      cost of debt.
   3.   Favourable financial leverage as debt is easily available
   4.   Favourable financial leverage, as return on investment is higher than cost of debt
5. STATEMENT I: Electronic holdings can be converted into physical certificates with the process of dematerialisation. STATEMENT II: There is no danger of theft, loss or forgery of share certificates in dematerialisation. Choose the correct option from the following:
   1.   Statement I is true and II is false
   2.   Statement II is true and I is false
   3.   Both the statements are true
   4.   Both the statements are false
6. With the presence of women in the workforce, there has been a shift towards formal wear, increased demand of electronic gadgets and increase in demand of cosmetics. The related dimension of business environment referred in the above lines is:
   
   1.   Technological environment.
   2.   Social environment
   3.   Political environment.
   4.   Economic environment
7. Name the function of marketing which is effective in bringing repeat sales from the customers and developing brand loyalty for a product.
   1.   Standardization and grading
   2.   Promotion
   3.   Customer support services
   4.   Packaging and labelling
8. Concentration of decision making functions at the apex of management hierarchy is called __________
   1.   Decentralisation.
   2.   Delegation
   3.   Organisational structure.
   4.   Centralisation
9. SEBI calls for information and issues a show cause notice to stock exchange and its officials seeking explanation and conducting audit and enquiry. Which function is SEBI performing?
   1.   Regulatory function
   2.   Development function
   3.   Protective function
   4.   Both Regulatory and protective function.
10. IND Dyechem Ltd. is a chemical manufacturing company producing dyes and pigments both for domestic and international market. It has enjoyed a considerable market share but lately, it has been facing problems in terms of target sales and customer satisfaction. This is due to the reason that new entrants have emerged with better technology and competitive pricing. The Chairman of the company addressed this issue in the departmental meeting. The production head, Mr. Kamble, advised the Chairman to revamp the system and take immediate necessary actions to rectify the problem so that sales are achieved as per the plans. Identify the relevant function of management being discussed here.
    
    1.   Organising
    2.   Staffing
    3.   Controlling
    4.   Planning
11. Choose the incorrect statement about pricing objectives as a factor affecting the price of a product.
    1.   If a firm's objective is to maximize profits in the short run, it should charge maximum price for its products.
    2.   If a firm's objective is to capture market share, it should keep low price of its product.
    3.   If a firm wants to attain product quality leadership, it should charge lower prices.
    4.   If a firm is facing problems in survival due to stiff competition, it may offer discount on its products.
12. Some employees have been assigned the job of measuring the output in an objective and reliable way. They are applying different techniques for achieving this aim. Some of these are personal-observation, sample-checking etc. They are also keeping the units of measurement same as that of the units in the standards. Name the step of ‘Controlling process applicable in the above paragraph.
    1.   Analysing deviations
    2.   Comparing actual performance with standards.
    3.   Establishing standards.
    4.   Measurement of actual performance
13. Name the function of management that acts as a means for translating plans into action.
    
    1.   Planning
    2.   Directing
    3.   Organising
    4.   Controlling
14. The aim of demonetisation was not to____________
    
    1.   Curb corruption
    2.   Reduce the prices of real estate
    3.   Withhold the accumulation of black money generated by undeclared
       income
    4.   Counterfeit the use of high denomination notes for illegal activities
15. Statement I: For products requiring long term storage like agricultural products, the warehouses are located near to the market. Statement II: Higher the level of inventory, higher will be the level of service to customers but the cost of carrying the inventory will also be high. Choose the correct option from the following:
    
    1.   Statement I is true and II is false
    2.   Statement II is true and I is false
    3.   Both the statements are true
    4.   Both the statements are false
16. Read the following statements: Assertion (A) and Reason(R). Choose the correct alternative from those given below: ASSERTION (A): Management is concerned with efficient use of resources. REASONING (R): For management both efficiency and effectiveness need to be balanced. Alternatives:
    
    1.   Both Assertion (A) and Reason (R) are true and Reason (R) is the correct
       explanation of Assertion (A).
    2.   Both Assertion (A) and Reason (R) are true and Reason (R) is not the
       correct explanation of Assertion (A)
    3.   Assertion (A) is true but Reason (R) is False
    4.   Assertion (A) is False but Reason (R) is True
17. ‘Pace.’ is a reputed Chartered Accountant firm which renders services to big MNC’s. The Chartered Accountants of the firm are required to travel to Delhi and NCR for which they use company’s cars. The firm decided to convert its Petrol cars to Electric cars in order to improve the quality of life of people. Identify the dimensions of business environment
    1.   Political and Legal environment
    2.   Legal and Social environment
    3.   Technological and Political environment
    4.   Social and Technological Environment
18. From the following which is not a relevant feature of management as science:
    1.   Principles are based on the basis of experimentation
    2.   Systematized body of knowledge
    3.   Based on practice and creativity
    4.   Universal Validity
19. Identify the point of significance of management illustrated in the picture.
    
    
    1.   Management helps in achieving group goals
    2.   Management helps in achieving personal objectives
    3.   Management helps in development of society
    4.   Management increases efficiency
20. It plays an important role at the awareness stage and develops product preferences with the aim of making sale.
    
    1.   Personal selling
    2.   Sales Promotion
    3.   Advertising
    4.   Public Relations