CUET Business Studies Sample Paper Set B

Question. Functions of entrepreneurship include which of the following?
a) Innovation and creativity
b) Risk taking and achievement
c) Research
d) All of the above

Answer : D

Question. The process that activates the entrepreneurs to exert a high level of effort for the achievement of his/her goals is called
a) Attitude
b) Values
c) Motivation
d) None of these

Answer : C

Question. Which of the following behaviours is not associated with a successful entrepreneurship?
a) R & D
b) Running your business on a day-to-day basis
c) Continuous innovation and urgency
d) Production as per customer’s requirement

Answer : B

Question. The following is not an objective of management
a) earning profit
b) growth of the organisation
c) providing employment
d) policy making

Answer : D

Question. Identify the role of middle level management from the following.
a) To implement the policies framed by top management.
b) To maintain close contacts with operative level so as to evaluate the performance.
c) To assign duties and responsibilities to lower levelmanagers.
d) All of the above

Answer : D

Question. Without coordination, directing is impossible and of no worth if there is lack of coordination between superiors and
a) managers
b) directors
c) subordinates
d) All of these

Answer : C

Question. Which of the following is not an essential organisational objective of management?
a) Survival
b) Eco-friendly production
c) Growth
d) Profit

Answer : B

Question. Planning gives direction, reduces the impact of change, minimises waste and redundancy and
a) establishes chaos among departments
b) sets the basis used for promotion of individuals within the organisation
c) planning guarantees safeguard from external environment
d) sets the standards used in controlling

Answer : D

Question. Name the type of plan, which is in the form of general statements and channelises energies towards a particular direction.
a) Budget
b) Rule
c) Policy
d) Method

Answer : C

Question. “Planning involves application of mind and foresight”. What importance of planning is highlighted here?
a) Promotes innovative ideas
b) Facilitates decision-making
c) Establishes standard
d) Provides direction

Answer : A

Question. The highest level need in the need Hierarchy of Abraham Maslow.
a) Safety need
b)Belongingness need
c) Self-actualisation need
d) Prestige need

Answer : C

Question. Identify the need in which an employee desires self-respect, recognition and status.
a) Security needs
b) Social needs
c) Esteem needs
d) Self-actualisation needs

Answer : D

Question. ABC company Ltd wants to motivate its employees by providing them bonus on the occasion of Diwali. It can pay the bonus
a) in cash only
b) in kind
c) in cash or in kind
d) transferable coupons

Answer : C

Question. The process of influencing the behaviour of people by making them strive voluntarily towards the achievement of goals is called as
a) leadership
b) controlling
c) coordinating
d) None of these

Answer : A

Question. Ajay Thakur, chairperson of Thakur Enterprises misses no opportunity to praise his subordinates for their good work. Which element of directing is highlighted?
a) Communication
b) Supervision
c) Motivation
d) Leadership

Answer : C

Question. The National Stock Exchange of India was recognised as stock exchange in the year
a) 1992
b) 1993
c) 1994
d) 1995

Answer : A

Question. Under which of the following methods, securities are not issued directly to the public, but are offered through intermediaries like issuing houses or stock brokers?
a) Offer through prospectus
b) Offer for sale
c) Private placement
d) e-IPO

Answer : B

Question. Which of the following is a depository formed for the purpose of ensuring free transferability of securities in India?
a) NSDL
b) RBI
c) SEBI
d) None of these

Answer : A

Question. Which market helps in channelising surplus funds into the most productive uses?
a) Financial market
b) Wholesale market
c) Retail market
d) None of these

Answer : A

Question. Which of the following statement best describes the principle of ‘Division of work’?
a) Work should be divided into small tasks
b) Labour should be divided
c) Resources should be divided among jobs
d) It leads to specialisation

Answer : A

Question. Which of the following are the statement of fundamental truth, which serve as guidelines for decisions and actions of managers?
a) Values of management
b) Principles of management
c) Techniques of management
d) None of the above

Answer : B

Question. Which technique of scientific management suggests that, a disciplinarian should be appointed under the planning incharge, in order to maintain discipline among workers?
a) Harmony, not discord
b) Cooperation not individualism
c) Functional foremanship
d) None of the above

Answer : C

Question. Which principle means that an employee should receive orders from one superior only?
a) Coordination
b) Unity of command
c) Discipline
d) Unity of direction

Answer : B

Question. Grouping of activities on the basis of functions is a part of
a) decentralised organisation
b) divisional organisation
c) functional organisation
d) centralised organisation

Answer : C

Question. If a firm wants to diversify its business into different products and expand to different territories, which organisation structure would be suited for this firm?
a) Divisional structure
b) Functional structure
c) Informal structure
d) Network structure

Answer : A

Question. An organisation structure in which various departments are created on the basis of products, territory or region is called a
a) divisional structure
b) functional structure
c) matrix structure
d) staff structure

Answer : A

Question. Being answerable to the final outcome is a phrase which can be associated with
a) authority
b) duty
c) responsibility
d) accountability

Answer : D

Question. Which of the following is not an importance of controlling?
a) Judging accuracy of standards
b) Effective use of resources
c) Ensures order and discipline
d) Exploitation of resources

Answer : D

Question. In controlling process, while setting performance standards, standards can be set
a) in quantitative terms only
b) in qualitative terms only
c) Both (a) and (b)
d) in subjective terms

Answer : C

Question. Which of the following is an advantage of critical point control and management by exception?
a) Saves time
b) Better utilisation of managerial talent
c) Facilitates delegation of authority
d) All of the above

Answer : D

Question. Bajaj, the operation manager set a limit of 5% deviation in production and decided to take corrective action only if deviations occurred beyond 5%. Name the concept applicable here.
a) Coordination
b) Management principles
c) Management by exception
d) Critical point control

Answer : C

Question. Which of the following refers to that process of assigning a distinctive name or symbol to a product, by which it can be known, remembered and identified?
a) Trademark
b) Product mix
c) Branding
d) Packaging

Answer : C

Question. Which of the following refers to the process of designing a small slip or complex graphics that are a part of package, which denotes its nature, content and usage?
a) Branding
b) Packing
c) Labelling
d) None of these

Answer : C

Question. When Sarita opened the door on hearing the doorbell, a person was standing who was selling Britannica world ‘encyclopedia’. Here, Britannica is using which element of promotion mix?
a) Public relation
b) Sales promotion
c) Advertising
d) Personal selling

Answer : D

Question. Which of the concepts ensures profit through product quality?
a) Production
b) Product
c) Selling
d) Marketing

Answer : B

Question. Kalash Dairy Products Ltd. is a successful business of making milk. They decided to put a hologram seal on the packet to ensure that product is not tampered with. Which decision is taken here?
a) Labelling
b) Branding
c) Standardising
d) Packaging

Answer : D

Question. Identify the examples of changes in business environment that affect business enterprises.
a) Increase in taxes by government can make products expensive, causing reduced demand
b) Change in taste and fashion may shift demand
c) Technological improvements may render existing products obsolete
d) All of the above

Answer : D

Question. Which dimension of business environment requires putting a statutory warning on the packets of tobacco products?
a) Technological environment
b) Economic environment
c) Legal environment
d) All of the above

Answer : C

Question. What is included in legal environment of business?
a) Several acts passed by government
b) Court judgements
c) Statutory warning prescribed under law
d) All of the above

Answer : D

Question. The ……… means the sum total of all individuals, institutions and other forces that are outside the control of a business enterprise but that may affect its performance.
a) management principles
b) business environment
c) economic environment
d) social environment

Answer : B

Question. Recruitment of employees from external sources increases dissatisfaction among the present employees as their chances of ............... are reduced.
a) promotion
b) voluntary retirement
c) salary increment
d) None of these

Answer : A

Question. Which of the following is not a benefit of training and development to employees?
a) Improved skills and knowledge
b) Increased efficiency
c) Increased satisfaction and morale
d) Results in higher profits

Answer : D

Question. The process of introducing the selected employee to other employees and making him familiar with rules and policies of the organisation is known as
a) orientation
b) compensation
c) promotion
d) career planning

Answer : A

Question. Current assets are those assets which get converted into cash
a) within six months
b) within one year
c) between one and three years
d) between three and five years

Answer : B

Question. Current assets of a business firm should be financed through
a) current liability only
b) long-term liability only
c) both types (i.e. long and short-term liabilities)
d) None of the above

Answer : C

Question. The risk of default on payment of borrowed funds is known as
a) operating risk
b) financial risk
c) business risk
d) None of these

Answer : B

Question. Which of the following statement is incorrect?
a) Current assets are usually more liquid than fixed assets
b) Current assets contribute less to the profits than fixed assets
c) B/R, debtors, stock, etc are fixed assets
d) Fixed assets are financed through long-term liabilities

Answer : C

Question. Which of the following is a reason why a businessman should lay emphasise on the protection of consumers and their interests?
a) For long-term profit maximisation
b) For fulfilling social responsibility
c) To avoid government intervention
d) All of the above

Answer : D

Question. Who among the following can be President of the National Consumer Dispute Redressal Commission?
a) Judge of a High Court
b) Judge of a Supreme Court
c) Lawyer of a High Court
d) Lawyer of a Supreme Court

Answer : B

Question. Which of the following points highlight the importance of consumer protection from consumer’s point of view?
a) Consumer ignorance
b) Unorganised consumer
c) Widespreal exploitation of consumer
d) All of the above

Answer : D