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Board Paper of Class 12-Commerce 2014 Business Studies All India(SET 3) - Solutions

General Instructions:
(i) Answer to questions carrying 1 mark may be from one word to one sentence.
(ii) Answer to questions carrying 3 marks may be from 50 to 75 words.
(iii) Answer to questions carrying 4-5 marks may be about 150 words.
(iv) Answer to questions carrying 6 marks may be about 200 words.
(v) Attempt all parts of a question together.
  • Question 1
    Give any two characteristics of 'Organizational Climate' that influence the behaviour of individuals and act as a non-financial incentive. VIEW SOLUTION
  • Question 2
    What is meant by 'Decoding' as an element of communication? VIEW SOLUTION
  • Question 3
    'Providing the social security and welfare of employees' is one of the specialised activities performed by Human Resource Management. Mention any two other specialised activities of Human Resource Management. VIEW SOLUTION
  • Question 4
    How are employees motivated to improve their performance when the organisation uses internal sources of recruitment? State. VIEW SOLUTION
  • Question 6
    State the objective of 'Financial Management'. VIEW SOLUTION
  • Question 7
    What is meant by 'Management of Work'? VIEW SOLUTION
  • Question 8
    What is included in 'Legal Environment' of Business? State. VIEW SOLUTION
  • Question 9
    Define 'organizing' as a function of management. VIEW SOLUTION
  • Question 10
    Give the meaning of 'Responsibility' as an element of delegation. VIEW SOLUTION
  • Question 11
    Give the meaning of 'Method' as a type of plan. VIEW SOLUTION
  • Question 13
    Explain any three functions performed by a supervisor that are vital to any organisation. VIEW SOLUTION
  • Question 14
    ABC Crackers Ltd., a fire-cracker manufacturing company launched some new products on the eve of Diwali in the market, which attracted many buyers. To meet the increased demand, the company employed people from nearby villages where there is a lot of unemployment. Because of the good behaviour of the management with the employees, more and more people wanted to join the company. As the products were in great demand in the market, a competitor imitated the products. The products of the competitor were not accepted by the consumers as it was a status symbol to buy the products of ABC Crackers Ltd. because of their quality.

    (a) Identify and explain the product-related decision because of which consumers preferred the products of ABC Crackers Ltd.
    (b) Also identify any two values which ABC Crackers Ltd. wanted to communicate to the society. VIEW SOLUTION
  • Question 15
    'Stock Exchange not only contributes to the economic growth, but performs many other functions'. Explain any three such functions. VIEW SOLUTION
  • Question 16
    Huma is working in a company on a permanent basis. As per the job agreement she had to work for 8 hours a day and was free to work overtime. Huma worked overtime, due to which she fell ill and had to take leave from her work. No one showed concern and enquired about her health. She realised that she was fulfilling only some of her needs while some other needs still remained to be fulfilled.
    (i) By quoting the lines from the above para, identify the needs of Huma which she is able to fulfil.
    (ii) Also explain two other needs of Huma followed by the above needs, which still remained to be satisfied. VIEW SOLUTION
  • Question 17
    State any three functions performed by consumer organizations for protection and promotion of interests of consumers. VIEW SOLUTION
  • Question 18
    Explain the following Rights of Consumers :
    (i) Right to be Informed
    (ii) Right to seek Redressal VIEW SOLUTION
  • Question 19
    Give the meaning of 'Investment' and 'Financing' decisions of financial management. VIEW SOLUTION
  • Question 20
    State any four advantages of external sources of recruitment. VIEW SOLUTION
  • Question 21
    Mega Ltd. was manufacturing water-heaters. In the first year of its operations, the revenue earned by the company was just sufficient to meet its costs. To increase the revenue, the company analysed the reasons of less revenues. After analysis, the company decided
    (i) to reduce the labour cost by shifting the manufacturing unit to a backward area where labour was available at a very low rate.
    (ii) to start manufacturing solar water-heaters and reduce the production of electric water-heaters slowly. 
    This will not only help in covering the risks, but also help in meeting other objectives too.

    (a) Identify and explain the objectives of management discussed above.
    (b) State any two values which the company wanted to communicate to the society. VIEW SOLUTION
  • Question 22
    Explain the concept of 'Business Environment' and any three features of it. VIEW SOLUTION
  • Question 23
    Principles of Taylor and Fayol are mutually complementary. One believed that the management should share the gains with the workers, while the other suggested that employees compensation should depend on the earning capacity of the company and should give them a reasonable standard of living.
    Identify and explain the principles of Fayol and Taylor referred to in the above para. VIEW SOLUTION
  • Question 24
    What is meant by 'Personal Selling'? Explain any three qualities of a good salesman. VIEW SOLUTION
  • Question 26
    Differentiate between 'Capital Market' and 'Money Market' on the basis of the following:
    (i) Participants
    (ii) Instruments
    (iii) Duration
    (iv) Investment outlay
    (v) Liquidity VIEW SOLUTION
  • Question 27
    Explain the relationship between planning and controlling.

    OR

    Explain the various steps in the process of controlling. VIEW SOLUTION
  • Question 28
    Explain the following functions of marketing:
    (i) Product designing and development
    (ii) Standardization and Grading
    (iii) Customer Support Services
    (iv) Pricing of products
    OR

    'Though advertising is one of the most frequently used media of promotion of goods and services, yet it attracts lot of objections.' Explain any four such objections. VIEW SOLUTION
  • Question 29
    With the help of any four points, explain the crucial role that organizing plays in an enterprise.

    OR

    Explain the concept of 'Functional Structure' of an organisation. Also, explain any four disadvantages of functional structure. VIEW SOLUTION
  • Question 30
    Explain the following as factors affecting the requirement of working capital:
    (i) Business cycle
    (ii) Operating efficiency
    (iii) Availability of raw material
    (iv) Level of competition
    OR

    Explain the following as factors affecting dividend decision:
    (i) Stability of earnings
    (ii) Growth opportunities
    (iii) Cash flow position
    (iv) Taxation policy VIEW SOLUTION
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