CBSE Class 11 Business Studies Social Responsibilities of Business and Business Ethics MCQs Set 01

Question. Responsibility towards the government is _________
(a) Safety of investments provided by shareholders
(b) Pay taxes regularly and honestly
(c) Supply of goods at a reasonable price to consumers
(d) None of the options

Answer: B

Question. Objectives of the environment protection act are
(a) To co-ordinate the activities of the various regulatory agencies already in existence
(b) To appoint environment officers to check environmental pollution
(c) To improve the quality of life
(d) All of the options

Answer: A

Question. Which of the following is not the social responsibility of business firms towards its investors:
(a) To ensure safety of capital
(b) To give appropriate safety
(c) To ensure proper utilization of capital
(d) To give proper dividend

Answer: B

Question. The need for social responsibility arises due to the ______
(a) Firm’s interest
(b) Interest of society
(c) Both firm’s and society interest
(d) None of the options

Answer: C

Question. Which of the following institution provides financial assistance towards balanced regional development and development of management education in the country?
(a) Industrial development bank of India (IDBI)
(b) Industrial Finance Corporation of India (IFCI)
(c) Life insurance Corporation of India (LIC)
(d) Industrial Credit and Investment Corporation of India (ICICI)

Answer: A

Question. Business people have the skills to solve
(a) All social problems
(b) All economic problems
(c) No social problems
(d) Some social problems

Answer: D

Question. Which one of the following is known as the Risk capital?
(a) Equity shares
(b) Debentures
(c) Retained earnings
(d) Preference shares

Answer: A

Question. Respecting the religious sentiments and dignity of people while advertising for a product is ______
(a) Economic responsibility
(b) Legal responsibility
(c) Ethical responsibility
(d) None of the options

Answer: C

Question. _______ damages the quality of land making it unfit for agriculture or plantation.
(a) Land Pollution
(b) Air Pollution
(c) Noise Pollution
(d) Water Pollution

Answer: A

Question. Equity share capital represents ______of the company.
(a) Permanent capital
(b) Fixed capital
(c) Working capital
(d) Fluctuating capital

Answer: A

Question. An enterprise must behave as good citizens. This is an example of its responsibility towards.
(a) Owners
(b) workers
(c) consumers
(d) community

Answer: D

Question. Why business ethics are important?
(a) It formulates the firm’s image and builds the brand
(b) It influences the buying decision of the customers
(c) Build confidence within employees
(d) All of the options

Answer: D

Question. Every business has a responsibility to operate within the laws of the land as per the ______
(a) Legal responsibility
(b) Financial responsibility
(c) Economic responsibility
(d) None of the options

Answer: A

Question. If you believe in making decisions for the good of most people, you can be described as following which school of thought?
(a) utilitarianism
(b) teleology
(c) deontology
(d) egoism

Answer: A

Question. If business is to operate in a society which is full of diverse and complicated problems, it may have
(a) Little chance of success
(b) Great chance of success
(c) Little chance of failure
(d) No relation with success or failure

Answer: A

Question. Environmental protection can best be done by the efforts of
(a) Business people
(b) Government
(c) Scientists
(d) All the people

Answer: D

Question. Business people have the skill to involve
(a) Some social problems
(b) All economic problems
(c) No social problems
(d) All social problems

Answer: A

Question. The main cause of water pollution is ______
(a) Waste dumping
(b) Industrial waste
(c) Chemical
(d) All of the options

Answer: D

Question. Business ethics are necessary for:
(a) General employees
(b) Middle level Employees
(c) High level employees
(d) All of the options

Answer: D

Question. Social responsibility of a business is________what is written in the law:
(a) Restricted to
(b) Not more than
(c) More than
(d) Equal to

Answer: C

Question. Business people have the skills to solve:
(a) All social Problems
(b) some Social problems
(c) No any Social problem
(d) All economic problems

Answer: B

Question. ADRs are issued in
(a) USA
(b) China
(c) India
(d) Canada

Answer: A

Question. The responsibility which is not codified in any law is termed as
(a) Legal responsibility
(b) Economic responsibility
(c) Ethical responsibility
(d) Discritionary responsibility

Answer: C

Question. Why business ethics are important?
(a) It formulates the firm’s image and builds the brand
(b) It influences the buying decision of the customers
(c) Build confidence within employees
(d) All of the options

Answer: D

Question. An enterprise should avoid bad smoky chimneys is an example of its responsibility towards
(a) Workers
(b) Government
(c) Community
(d) Customers

Answer: D

Question. Funds required for purchasing current assets are known as
(a) Working capital
(b) Fixed capital
(c) Lease financing
(d) Retained earnings

Answer: A

Question. Which statement is true?
(a) Human values system plays a vital role in total quality management
(b) Values give the real meaning to total quality management effort
(c) Total quality management is a corporate management strategy
(d) All of the options

Answer: D

Question. Social responsibility can be divided in………parts
(a) 1
(b) 2
(c) 3
(d) 4

Answer: A

Question. Social responsibility is
(a) Broader than legal responsibility
(b) Same as a legal responsibility
(c) Narrower than legal responsibility
(d) None of the options

Answer: A

Question. ________is the problems in the society,________is the environment for a firm to conduct its business:
(a) Less; less
(b) More; better
(c) Less; better
(d) More; more

Answer: C

Question. Companies do not have to be socially responsible to whom:
(a) Customers
(b) Investors
(c) Society
(d) Competitors

Answer: D

Question. Carbon monoxide emitted by automobiles directly contributes to
(a) Air pollution
(b) Noise pollution
(c) Water Pollution
(d) Land pollution

Answer: A

Question. Providing charitable contributions to educational institutions is ________
(a) Legal responsibility
(b) Economic responsibility
(c) Discretionary responsibility
(d) None of the options

Answer: C

Question. Public Deposits are the deposits that are directly raised from
(a) The public
(b) The auditors
(c) The owners
(d) The directors

Answer: A

Question. ________ management has a crucial role in guiding the entire organization towards ethically upright behavior.
(a) Lower
(b) Middle
(c) Top
(d) None of the options

Answer: C

Fill in the Blanks:

Question. The enterprise must respect the democratic rights of the workers to form __________.
Answer: trade unions

Question.The social responsibility may respect the aspirations of society along with __________ interest.
Answer: Profit

Question. To generate more employment opportunities is the social responsibility of business towards __________ .
Answer: society

Question. The company must take about poor quality, adulteration, avoiding practices of misleading and dishonest advertising is the responsibility of business towards__________.
Answer: consumer

Question. Protecting the natural environment is the example of social responsibility of business towards __________ .
Answer: community

True / False:

Question. Ethics is important for the top level management only.
Answer: False

Question. Professional managers are interested in satisfying multiplicity of interst groups then profit goals
Answer: True

Question. Ethics are concerned with establishing linkages between individual good and social good
Answer: True

Question. The only obligation of business towards its employees is to pay them well so that they work to their maximum capacity.
Answer: False

Question. “Mental disorder” is the example of Land pollution.
Answer: False

Pictorial Questions:

Question. Identify the element of the business ethics depicted in the picture below.

Answer: Publication of Code of Conduct

Question. Write the social responsibility of an enterprise to be assumed in the given case.

Answer: No Over Pricing of the products

Question. Which element of Business ethics is shown in the given picture?

Answer: Measuring Results

Question. Towards which interest group the social responsibility is shown in the given picture?

Answer: Shareholders

Question. One of the argument for the social responsibility is expressed in the given picture. Identify that.

Answer: Availability of Resources with the business Firm