Business Studies 2019 Abroad - Set-3

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

State any two reliefs available to the consumer if the consumer court is satisfied about the genuineness of the complaint.

SOLUTION:

Two reliefs available to the consumer if the consumer court is satisfied about the genuineness of the complaint are:

1. Repair the defective goods or remove the deficiency in service
2. Refund the price that was paid by the consumer for the good or service

Question 2

Koby Ltd. is an 87-year-old reputed consumer goods company. It is known for offering good quality electronic products at reasonable prices. It has branches all over India. It has a large shareholder base. The shareholders desire that some dividend is paid every year on their investments. Company's management understands that it is important to keep the shareholders happy and satisfied. As a matter of policy, they declare a certain amount of dividend every year out of profits rather than reinvesting the whole as retained earnings.

Identify the factor affecting dividend decision being highlighted in the above situation.

SOLUTION:

The factor affecting dividend decision being highlighted in the above situation is 'shareholders' preference'. While distributing the dividends, a company must also keep in mind the preferences of its shareholders. For instance, if the shareholders prefer at least a certain minimum amount of dividend, then the company is likely to declare the same.

Question 3

Mahima Jain is the Senior Manager in the Advisory Services Department of Kodes Ltd. She regularly prepares performance reports of her subordinates as a part of the appraisal

Identify the step of the controlling process performed by her.

SOLUTION:

The step of the controlling process performed by her by preparing performance reports of her subordinates as a part of the appraisal is the measurement of actual performance.

Question 4

Ravi Jain was the Chief Executive Officer of Nath Traders. He was worried about the heavy expenditure on advertising. He asked his Finance Manager, Mohit Verma to know the views of the Sales Manager and his team regarding this expenditure. Mohit Verma was thinking of calling a meeting of the Sales Manager and his team after tea- break. But by chance at the time of tea-break, Mohit Verma met with the Sales Manager and his team in the canteen. They all discussed about this expenditure and finalised to give suggestion to reduce this expenditure.

Identify the type of organisation which helped the Finance Manager Mohit Verma, the Sales Manager and his team in finalising the suggestion.

SOLUTION:

Informal Organisation helped the Finance Manager Mohit Verma, the Sales Manager and his team in finalising the suggestion.

Question 5

Principles of management equip the managers to foresee the cause and effect relationships of their decisions and actions so that the wastages associated with a trial and error approach can be overcome.

Identify the point of significance of principles of management highlighted here.

SOLUTION:

The point of significance of principles of management highlighted here is that 'Management principles help in optimum utilisation of resources and effective administration'.

Question 6