Business studies Mcqs, Accounts Mcqs, Business studies notes,Quiz and case Based Questions, Quizizz

  Question Bank  NATURE AND SIGNIFICANCE OF MANAGEMENT Q.1 Rama Clothes ltd.’s target is to produce 20,000 shirts per month at a cost of Rs.500/- per shirt. The production manager achieved this target at a cost of Rs.450/- per shirt. Do you think the manager is effective and efficient?  Q.2 An educational institution as well as a business organization both need to be managed. Which characteristic of management is highlighted here?   Q.3 “In an organization, the employees are happy and satisfied, there is no chaos and the effect of management is noticeable.” Which characteristic of management is highlighted by this statement?  Q.4 In order to be successful an organisation must change its goals according to the needs of environment. Which characteristic of management is highlighted here?  Q.5 Management is multi-dimensional. Give any 2 dimensions of it. Q.6 One of the objectives of management is to consistently create economic value for various constitue...

 UNIT  – 4 BUSINESS SERVICES Nature of Services – There is five basic features of service called five “I”s, they are as follows: 1. Intangibility – Services are intangible. We cannot touch or taste or feel them. E.g. one cannot taste a doctor’s treatment, only can experience it. 2. Inconsistency – Services are provided depending upon the demands and expectations of different customers as and when it is needed. Service providers should adjust their offer to closely meet the requirements of the consumers. E.g. Service given by the mobile service providers. 3. Inseparability – Services are produced and consumed at a time. But in case of goods it is not so. 4. Inventory – (No Inventory) since there are not tangible components in services, they cannot be stored for future use. 5. Involvement – It implies the participation of the customer in the service delivery process. Types of Services 1. Business Services – Business includes trade and aids to trade. Banking, Insurance, Transpor...

UNIT – 10 FINANCIAL MARKET Meaning – Financial market is a market for the creation and exchange of financial assets such as shares, debentures, bonds and government securities. It is a network of institutions which provide short, medium and long term funds. Financial markets make possible the transfer of money from the investors to the entrepreneurial borrowers. Actually they bring together the lenders of funds and borrowers of funds.  Allocation of funds – There are two alternatives through which allocation of funds can be done – banks and financial markets. Household savers can deposit their surplus funds with banks. Banks then lend these funds to business firms. Household savers can also invest their savings in financial market directly by purchasing shares and debentures offered by business firms. Both banks and financial markets are competing financial intermediaries. Functions of financial market 1. Mobilize savings and channelize them into most productive purposes – It of...

Unit – 9 FINANCIAL MANAGEMENT  Introduction Money required for carrying out business activities is called business finance. Finance is needed to establish a business, to run it, to modernize it, to expand or diversify it. Meaning of Financial Management Financial management is the activity concerned with the planning, raising, controlling and administering of funds used in the business. It is concerned with optimal procurement as well as usage of finance. It aims to reduce the cost of funds. It also aims at ensuring availability of enough funds whenever required as well as avoiding idle finance. Objectives of Financial Management (A) Primary Objective: • Wealth Maximisation:The main objective of Financial management is to maximise shareholder’s wealth. Example- If Mr. X purchases 100 shares @ ` 100 of ABC Ltd. his wealth in company’s is ` 10,000/-. After some time, the market price of share increases to ` 130/-. Therefore, his wealth would be ` 13,000/-. His wealth increases by ` 3...

  UNIT-10 FINANCIAL MARKETS Financial Market is a market for creation and exchange of financial assets like shares, bonds etc. It helps in mobilising savings and channelizing them into the most productive uses. It helps to link the savers and the investors by mobilizing funds between them. The persons or institutions by which allocation of funds is done are called Financial Intermediaries. They bring together borrowers and lenders and make funds available to those willing to pay for their use,  Functions of Financial Markets  1. Mobilisation of Savings and channeling them into the most productive uses : Financial market facilitates the transfer of savings from savers to investors and thus helps to channelize surplus funds into the most productive use.  2. Helps in Price Determination : Financial Market helps in interaction of savers and investors which in turn helps in the determination of prices of the financial assets such as shares, debentures etc.  3. Prov...