CBSE Class 12 Business Studies Organising VBQs Set 02

Question. Name the function of management which helps in the formulation of future plans, in the light of the problems that were identified and thus, helps in better planning in the future period.
(a) Planning
(b) Organising
(c) Directing
(d) Controlling
Answer: (d) Controlling

Question. It leads to effective management as by relieving the employees from doing routine work, it provides them with time to excel in new areas. Identify the concept:
(a) Decentralisation
(b) Delegation
(c) Authority
(d) None of the options
Answer: (b) Delegation

Question. When decision making authority is being retained by higher management levels, an organization is said to be:
(a) Delegation
(b) Decenteralization
(c) Fragmented
(d) None of the options
Answer: (a) Delegation

Question. Harsh is running a company where he sells variety of goods such as textiles, garments, cosmetics etc. He follows an organization structure. Identify the organizational structure here.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional structure

Question. There is concentration of decision-making authority at higher or top levels of management. It refers to a situation where all decisions on all matters are taken by one or a few managers at relatively higher levels. Identify the concept of organizing.
(a) Delegation
(b) Centralization
(c) Authority
(d) Responsibility
Answer: (b) Centralization

Question. Divine Ltd. is a leading soap manufacturing company. They want to diversify into textiles. Identify the type of structure that should be followed by Divine Ltd.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Functional structure

Question. Supermart is an organisation in which only the managers are the leaders. Identify the type of organisation.
(a) Formal
(b) Informal
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Formal

Question. Amol works as a manager who supervises all the situations and functionalities related to a particular department. Here the authority is more than the other type of organisation structure. Identify the type of structure.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Functional structure

Question. When decision making authority is retained by higher management levels, an organization is said to be:
(a) Decentralized
(b) Centralized
(c) Delegation of Authority
(d) None of the options
Answer: (b) Centralized

Question. Amber was the first content manager in his company. He gains experience of all the related functions like HR, Marketing, Finance, etc. Identify the type of organisation.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional structure

Question. Chaman runs a company in Gurgaon. The company is known for its product specialisation and has a lot of reputation in the market. Identify the type of organization structure:
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional structure

Question. An obligation of a subordinate to complete an assigned task given by his superior. Identify the element of delegation.
(a) Authority
(b) Accountability
(c) Responsibility
(d) None of the options
Answer: (c) Responsibility

Question. Answerability of the subordinate about the final result of the assigned task. Identify the element of delegation.
(a) Authority
(b) Accountability
(c) Responsibility
(d) None of the options
Answer: (b) Accountability

Question. Rohan runs a garments manufacturing company. He wants to diversify into cosmetics, and footwear. Identify the organizational structure here.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional structure

Question. Aman runs a clothing company. There is lot of chaos in the organization. He decided to do grouping of similar activities into departments, units, sections etc. using several criteria as a basis to facilitate specialization. Identify the step of organizing process referred here.
(a) Identification and division of work
(b) Departmentalization
(c) Assignment of duties
(d) Establishing reporting relationship
Answer: (b) Departmentalization

Question. Which of the following is not a part of organising process?
(a) Assigning of duties
(b) Departmentalisation
(c) Decentralisation
(d) Establishing authority-responsibility relationship
Answer: (c) Decentralisation

Question. Due to proper organizing and division of work, Lenux Ltd. goes for systematic assignment of jobs among the employees, which importance of organizing is highlighted here?
(a) Benefits of specialization
(b) Clarity in working relationship
(c) Adaptation to change
(d) Effective administration
Answer: (a) Benefits of specialization

Question. Karan is running a laptop manufacturing company. He focuses on product specialisation. Identify the organizational structure here.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Functional structure

Question. Rohit works in a hotel as a senior chef. He enhances the status of subordinates and motivated them to improve their performance. Identify the concept of organising.
(a) Delegation
(b) Decentralisation
(c) Formal communication
(d) Authority
Answer: (a) Delegation

Question. Organising helps in optimum utilisation of resources. Which type of resources does it refer?
(a) Centralisation
(b) Delegation
(c) Development of Personnel
(d) None of the options
Answer: (c) Development of Personnel

Question. Rohit was the first content manager in his company. He gains experience of all the related functions like HR, Marketing, Finance, etc. Identify the type of organization structure.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional structure

Question. Amol works as a manager who supervises all the situations and functionalities related to a particular department. Here the authority is more than the other type of organization structure. Identify the type of structure.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional structure

Question. Edu power is a leading EdTech company. It is deliberately created by top management. Identify the type of organization.
(a) Formal organisation
(b) Informal organisation
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Formal Organisation

Question. Sushant runs a software company. Now he wants to open a retail company. The size of organisation is large and there is a need for higher degree of specialization. Identify the organizational structure here.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Functional structure

Question. Bablu works in a Xerox Ltd. This organization does not follow the scalar chain. Identify the type of organization.
(a) Formal organization
(b) Informal organization
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Informal organization

Question. Vrinda Ltd., grows, so it needs to add more employees, create new departments, and introduce new levels of management. Identify the type of organizational structure:
(a) Divisional
(b) Functional
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional

Question. It leads to effective management as by relieving the employees from doing routine work, it provides them with time to excel in new areas. Identify the concept.
(a) Decentralization
(b) Delegation
(c) Authority
(d) None of the options
Answer: (b) Delegation

Question. Corex Ltd. is pursuing diversified activities which require a high degree of specialization. Identify the type of structure that should be followed by Corex Ltd.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Functional structure

Question. “The entire work is divided in such a manner that each activity is properly managed.” Identify the statement and choose the correct answer.
(a) Assignment of duties
(b) Establishing reporting relationships
(c) Departmentalization
(d) Identification and division of work
Answer: (d) Identification and division of work

Question. Due to organizational structure, it becomes easy to expand operations, new divisions, departments, and products. Identify the importance of organisation function from the following given points.
(a) Effective administration
(b) Development of personal
(c) Expansion and growth
(d) None of the options
Answer: (c) Expansion and growth

Question. An organisational structure is not subject to change even if people are leaving or transferred. Identify the statement and choose the correct answer.
(a) Development of personnel
(b) Adaption to change
(c) Clarity in working relationships
(d) Benefits of specialization
Answer: (b) Adaption to change

Question. Which term denotes “The number of subordinates that can be effectively managed by a superior”?
(a) Span of control
(b) Informal organisation
(c) Responsibility
(d) None of the options
Answer: (a) Span of control

Question. Uranus Limited is a company dealing in metal products. The work is mainly divided into functions including production, purchase, marketing, accounts and personnel. Identify the type of organisational structure followed by the organisation.
(a) Functional Structure
(b) Relational structure
(c) Divisional structure
(d) None of the options
Answer: (a) Functional Structure

Question. Which of the following is not true?
(a) Delegation is a tool used to get subordinates to perform tasks and duties identified during decentralisation.
(b) Decentralisation requires delegation tool to grant authority and power to the subordinates.
(c) Decentralisation means that control and decision making lies only with the top management
(d) All of the options
Answer: (c) Decentralisation means that control and decision making lies only with the top management

Question. For delegation to be effective, it is essential that responsibility be accompanied with necessary
(a) authority
(b) manpower
(c) incentives
(d) promotions
Answer: (a) authority

Question. Rishabh has joined as a Creative Head in an entertainment company. He always ensures that the work has been divided into small and manageable activities and also the activities of similar nature are grouped together. Identify the related step in organising process being mentioned in the above lines.
(a) Identification and division of work
(b) Departmentalisation
(c) Assignment of duties
(d) Establishing reporting relationships
Answer: (b) Departmentalisation

Question. Sunrise Ltd., grows, so it needs to add more employees, create new departments and introduce new levels of management. Identify the type of organizational structure :
(a) Divisional
(b) Functional
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional

Question. Kunal opens a retail mart in a local market. As he knows it will be impossible for him to handle all work alone, he appoints Manak to perform tasks on his behalf thereby reducing his workload. This decision provided Kunal with more time to concentrate on important matters:
(a) Delegation
(b) Decentralization
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Delegation

Question. Damara Ltd. is engaged in manufacturing televisions. The target of the organisation is to manufacture 500 TV’s a day. There is an occupational specialisation in the organisation which promotes efficiency of employees. There is no duplication of efforts in such type of organisation structure. Identify the type of organisation structure discribed above.
(a) Functional structure
(b) Divisional structure
(c) Decentralisation
(d) Delegation
Answer: (b) Divisional structure

Question. Deepak runs a software company. Now he wants to open a retail company. The size of organization is large and there is a need for higher degree of specialization. Identify the organizational structure here :
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Functional structure

Question. Ram industry manufactures office furniture. To improve its growth potential and increase market share the company choose to diversify its operations to improve its growth potential and increase market share. Many alternatives were generated for the purpose and were thoroughly discussed amongst the members of the organisation, as the project was important. After evaluating the various alternatives Shyam, the managing director of the company decided that they should add ‘home interiors and furnishings’ as a new line of business activity. Choose the framework, which the diversified organisation should adopt, to enable it to cope with the emerging complexity?
(a) Functional
(b) Divisional
(c) Both (a) and (b)
(d) None of the options
Answer: (b) Divisional

Question. Kiran opens a retail mart in a local market. As she knows it will be impossible for her to handle all work alone, she appoints Mahesh to perform tasks on her behalf thereby reducing her workload. This decision provided Kiran with more time to concentrate on important matters:
(a) Delegation
(b) Decentralization
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Delegation

Question. A man is running a fashion store. He sells variety of goods such as textiles, garments, cosmetics etc. He follows an organisation structure. Identify the organisational structure here.
(a) Divisional structure
(b) Functional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Divisional structure

Question. Aman runs a factory wherein he manufactures leather shoes. The business is doing well and he intends to expand by diversifying into leather bags as well as leather jackets. Which type of organization structure would you recommend for his expanded organization?
(a) Functional structure
(b) Divisional structure
(c) Both (a) and (b)
(d) None of the options
Answer: (a) Functional structure