Business Studies 2019 All India - Set-1

General Instructions:

1. This question-paper contains five Sections – A, B, C, D and E.
2. Section – A contains questions 1 to 8 carrying one mark each. Answer to these questions may be given in one word or a sentence.
3. Section – B contains questions 9 to 13 carrying three marks each, answers to these questions may be in 50 to 75 words.
4. Section – C contains questions 14 to 19 carrying four marks each. Answers to these questions may be in about 120 words.
5. Section – D contains questions 20 to 22 carrying five marks each. Answers to these questions may be in about 150 words.
6. Section – E contains questions 23 to 25 carrying six marks each. Answer to these questions may be in about 200 words.

1. There is no over-all choice in the question paper, however an internal choice has

been provided in 3 questions of one mark, 2 questions of three marks 2 questions of four marks, 1 question of five marks and 1 question of six marks. You have to attempt only one of the choices in such questions.

Question 1

Various input resources are required by management to complete a task effectively and efficiently. Name any two.

SOLUTION:

Money and persons are two input resources that are required by management to complete a task effectively and efficie.

Question 2

OR

Define 'Organising'.

What is meant by 'Delegation'?

SOLUTION:

Organising refers to the procedure of aligning various activities in an organisation in a certain specific order. It involves designing the roles of the personnel such that the efforts by the employees along with the resources are coordinated towards the accomplishment of the organisational goals. OR

Delegation refers to the transfer of authority and responsibility by the superior to his or her subordinates.

Question 3

All business firms would like to increase their sales and earn profits to be successful. All managers dream of these. To turn their dreams into reality, managers need to work hard in thinking about the future, in making business predictions and achieving targets.

The above lines describe one of the functions of management. Identify and define this function.

SOLUTION:

'Planning function' of management is defined by the lines given in the question. Planning is the process of setting goals and objectives, formulating alternative courses of action and, finally, deciding an appropriate action from the various available alternatives. All this is done for a specific period of time.

Question 4

Differentiate between 'Democratic' and 'Laissez-fair' style of leadership.

OR

Differentiate between 'Formal Communication' and 'Informal Communication' on the basis of 'Meaning'.

SOLUTION:

Basis Democratic Style Laissez-faire Style

Decision- _eader takes decisions in Subordinates are provided maximum

making consultation with the freedom and are encouraged to take

power lsubordinates. decisions independently OR Basis Formal Communication Informal Communication

Arises from formal rules and Arises from social interactions among the Origin employees beyond the official boundaries of

policies of the organisation

authority

Question 5

How does 'Cost of Debt' affect the capital structure of an enterprise?

OR

How does 'Cost of Equity' affect the capital structure of an enterprise?