CBSE practice Questions

Business Studies class 12 paper for Practice

cbse business studies class 12 questions

Question papers for class 12 Business Studies:

1 mark Questions

Question: Identify the nature of management when it is practiced as personal application of existing knowledge to achieve desired results.

Question: The task of management is to make people work towards achieving the organizational goals, by making their strengths effective and their weaknesses irrelevant. Identify the dimension of management.

Question: “Management is a soft science.” How?

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Question: How does Co-partnership motivate the employees?

Question: Getting work done through people“ is a major task for the manager. Managing people has two dimensions. Explain.

Question: What is Critical Point control?

Question: At which level of management the managers are responsible for the welfare and survival of the organization?

Question: What is Management by Exception?

Question: Name the level to which the Principal of an educational institution belongs. Give reason.

Question: Why is it said that “ controlling is looking back”?

Question: ‘Controlling is forward looking.’ How?

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Question: Why is it easy to fix responsibility in formal organization?

Question: What is financial leverage?

Question: Debt normally does not cause a dilution of control. Give reason.

Question: What does higher business risk indicate?

Question: What are the various segments of NSE?

Question: A manager should replace ‘I’ with “We” in all his conversations with  the workers to foster team spirit. Identify the principle of management.

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Question: According to Taylor there should be an equal division of work and responsibility between workers and management. Name the principle of Scientific Management given by Taylor.

Question: When is financial leverage called favourable?

Question: Give the meaning of ‘ Placement’ as a step in the process of Staffing.

Question: Why fixing of responsibility is not easy in informal organization?

Question: How does communication establish effective leadership?

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Question: State any one ‘Developmental function’ of Securities and Exchange Board of India (SEBI).

Question: State any one advantage of training of employees.

3 marks Questions

Question: Differentiate between Policy and Rule.

Question: Explain how Principles of Management:
(i) Provide useful insight into reality.
(ii) Help in thoughtful decision making.

Question: Differentiate between ‘Objective’ and ‘Strategy’ as types of plans.

Question: Distinguish between Capital Market and Money Market.

Question: Explain how Principles of Management help in:
(a) Meeting changing environment requirements.
(b) Making scientific decisions.

Question: Is Coordination needed at all levels of management? Explain how?

Question: What is Net Working Capital? Explain the link between operating cycle and working capital.

Question: Why management of fixed capital or capital budgeting decisions are important?

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Question: Which process prepares a blue print of an organisation’s future preparations relating to finance? Give any two reasons why this process is needed?

Question: “Management brings order to endeavours.” Explain.

Question: “Principles of management should be distinguished from Techniques of management.” Do you agree? Give the Difference between the two. (any two)

Question: Distinguish between internal and external sources of recruitment on the basis of (a) economy (b) quality of recruitment.

Question: Despite the internal sources of recruitment being economical, why do the companies not always use this source? Give any three reasons.

Question: Give three points of importance of the process which is performed with the aim of ensuring that enough funds are available with the firm at the right time.

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Question: Name the two parts of the capital market. Give any two differences between them.

Question: In an organization Ramesh, a global operation manager, was also given the task of looking after domestic market. Which principle of management is disregarded and briefly explain this principle.

Question: Name and explain the principle of management which requires judicious application of penalties by the management.

4 marks Questions

Question: Name the function of management which requires taking remedial action. Also explain its limitations.

Question: In absence of efficient management, the resources will remain resources and cannot be converted into finished products.”Comment( any four reasons)

Question: Explain ‘controlling’ as a function of management. How are ‘ controlling’ and ‘planning’ related?

Question“Management is the process of working with and through others to effectively achieve organizational objectives by efficiently using limited resources in the changing environment.” In the light of the above statement, explain any four features of management.

Question: “Planning is an important function of management.” State any four reasons.

Question: “If we delegate authority, we multiply it by two, if we decentralize it, we multiply it by many.” In the light of this statement, explain any four points of importance of decentralization.

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Question: “It is only through motivation  which the managers can inspire their subordinates to give their best to the organization.” In the light of this statement, explain any four points of importance of motivation.

Question: “A successful enterprise has to achieve its goals effectively and efficiently.” Explain with example.

Question: “Like a thread in a garland, coordination is a part of all management functions.” Comment with examples.

Question: “Decentralisation is an optional policy.” Explain why an organization would choose to be decentralised.

Question: Describe the following methods of training:
(a) Apprenticeship training
(b) Vestibule training.

Question: “Failing to plan is planning to fail.” Comment.

Question: What is the importance of staffing to a business organization.

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Question: In an organization there are many leaders. But a good leader must be a distinguished one. Suggest any a good leader must possess.

5 marks questions

Question: Explain any five points which clarify how understanding of Business Environment helps the Managers.

Question: “Management of every enterprise can be benefitted from being aware of different dimensions of business environment.” Explain these dimensions.

Question: Management is regarded as an Art by some, as Science or as an inexact Science by others. The truth seems to be somewhere in between. “In the light of this statement explain the true nature of management.

Question: A, B, C, D , E and F were chitchatting about the behaviour of the superior in a canteen. Explain the type of Communication it is, along with its networks.

Question: Explain Semantic barriers of communication.

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Question: “Interaction among people at work gives rise to a network of social relationship among employees.” Which form of organization the statement refers. State any two merits and two demerits of such form of organization to the company.

6 marks questions

Question: “Coordination is implicit and inherent in all functions of management.” Comment.

Question: “Coordination is the orderly arrangement of group efforts to provide unity of action in the pursuit of common purpose.” In the light of this statement, explain the nature of coordination.

Question: Consumer Protection Act provides some rights to the consumers. Explain them.

Question: Explain the following principles of management given by Fayol with examples:
(i) Espirit De corps.
(ii) Order
(iii) Stability of Personnel

Question: Do you think Management has the characterstics of a full fledged profession? Give reasons for your answer.

Question: “Management is considered to be an Art.” Do you agree? Explain giving reasons, in favour of your answer.

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Question: Explain type of organizational structure which is designed to group similar or related jobs together? Explain any two advantages and disadvantages each of such organization.

Question: A shop keeper sold you some spices, claiming that those were pure. Later a laboratory test showed that those were adulterated. What precautions should you have taken before buying and what remedies are available to you for the wrong Act?

Question: Explain the following principles of management:
(a) Discipline
(b) Parity of Authority and Responsibility
(c) Subordination of Individual interest to General Interest.

Question: Explain any four functions of ‘ Stock Exchange’.

Question: Explain any four methods of floatation of new issue in the ‘Primary Market.’

Question: Explain any six factors that determine the choice of capital structure.

Question: You are the Financial Manager of a newly established company. The directors have asked you to determine the amount of Fixed Capital requirement of the company. Explain any six factors that you will consider while determining the Fixed capital requirement for the company.

Question: “Securities and Exchange Board of India (SEBI) is the watchdog of the securities market.” Do you agree? Give reasons in support of your answer.

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Question: Explain how principles of management help in
(a) Providing managers with useful insight into reality
(b) Optimum utilization of resources and effective administration
(c) Management training, education and research

Question: Explain the following principles of management:
(a) Equity
(b) Remuneration of Employees
(c) Unity of Direction

Question: Every Manager has to take three major decisions while performing the finance function. Explain them.

Question: Explain how principles of management help in
(a) Meeting changing environment requirements
(b) Making scientific decisions
(c) Fulfilling social responsibility

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Question: What is meant by Net Working capital? Explain any five factors which affect the requirements of working capital in a company.

Question: State the reliefs available to consumer on complaints filed by them.

Question: Explain the responsibilities of Consumer.

Question: Explain the functions of secondary market.

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Vishal Arora

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