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Business-studies Set-3 Maximum Marks: 90 Time allowed: 3 hours General Instructions: (i) Answer to questions carrying 1 mark may be from one word to one sentence. (ii) Answer to questions carrying 3 marks may be from 50 to 75 words. (iii) Answer to questions carrying 4-5 marks may be about 150 words. (iv) Answer to questions carrying 6 marks may be about 200 words. (v) Attempt all parts of a question together. (vi) Question Nos. 1 to 8 are very short-answer questions carrying 1 mark each. (vii
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    Material downloaded from htt://mCBSEuide.com and htt://onlineteachers.co.in  Business-studies Set-3 Time allowed: 3 hours Maximum Marks: 90 General Instructions:  (i) Answer to questions carrying 1 mark may be from one word to one sentence. (ii) Answer to questions carrying 3 marks may be from 50 to 75 words. (iii) Answer to questions carrying 4-5 marks may be about 150 words. (i) Answer to questions carrying ! marks may be about 00 words. () Attem#t a$$ #arts of a question toget%er. (i) &uestion 'os. 1 to  are ery s%ort-answer questions carrying 1 mark eac%. (ii) &uestion 'os.  to 13 carry 3 marks eac%. (iii) &uestion 'os. 14 to 1 carry 4 marks eac%. (i*) &uestion 'os. 0 to carry 5 marks eac%. (*) &uestion 'os. 3 to 5 carry ! marks eac%. SECTI! #$ 'ame t%e marketing function w%ic% is concerned wit% informing t%e customers about t%e firm+s #roducts. #% ,ad%ika and ani w%o are young fas%ion designers $eft t%eir ob wit% a famous fas%ion designer c%ain to set-u# a com#any +/as%ionate t. td.+ 2%ey decided to run a boutique during t%e day and coac%ing c$asses for entrance e*amination of 'ationa$ nstitute of /as%ion esigning in t%e eening. /or t%e coac%ing centre t%ey %ired t%e first f$oor of a nearby bui$ding. 2%eir maor e*#ense was money s#ent on #%otoco#ying of notes for t%eir students. 2%ey t%oug%t of buying a #%otoco#ier knowing fu$$y t%at t%eir sca$e of o#erations was not sufficient to make fu$$ use of t%e #%otoco#ier. n t%e basement of t%e bui$ding of +/as%ionate t. td.+ raeen and ,ames% were carrying on a #rinting and stationery business in t%e name on +'eo rints t. td.+ ,ad%ika a##roac%ed raeen wit% t%e #ro#osa$ to buy a #%otoco#ier oint$y w%ic% cou$d be used by bot% of t%em wit%out making se#arate inestment raeen agreed to t%is. dentify t%e factor affecting fi*ed ca#ita$ requirements of +/as%ionate t. td.+ #3 2%e si6e of assets t%e #rofitabi$ity and com#etitieness are affected by one of t%e financia$ decisions. 'ame and state t%e decision. #& +anagement is t%e #rocess of getting t%ings done.+ 8tate t%e meaning of t%e term +#rocess+ used in t%is statement. #' anu boug%t a #acket of c%i#s from a $oca$ s%o#kee#er and found t%at t%e ingredients gien on t%e $abe$ were not $egib$e. 9e com#$ained about it to t%e com#any. 2%e com#any sent a written a#o$ogy stating t%at t%ey wi$$ make sure t%at e*isting #ackets are wit%drawn from t%e market and new #ackets wit% $egib$e $abe$s are soon made aai$ab$e. 8tate t%e consumer rig%t w%ic% anu e*ercised. #( 'ame t%e ty#e of +organisationa$ structure+ w%ic% #romotes efficiency in uti$isation of man#ower. #) :ie t%e meaning of +accountabi$ity+ as an e$ement of de$egation. #* 8tate t%e ro$e of +ins#ector+ in +functiona$ foremans%i#.+ #9 As%is% t%e arketing 9ead ,aman t%e Assistant anager and ;yoti t%e 9uman ,esource anager of +8enor <nter#rises td.+ decided to $eae t%e com#any.    Material downloaded from htt://mCBSEuide.com and htt://onlineteachers.co.in  2%e =%ief <*ecutie >fficer of t%e com#any ca$$ed ;yoti t%e 9uman ,esource anager and requested %er to fi$$ u# t%e acancies before $eaing t%e organisation. nforming t%at %er subordinate iss A$kaandit was ery com#etent and trustwort%y ;yoti suggested t%at if s%e cou$d be moed u# in t%e %ierarc%y s%e wou$d do t%e needfu$. 2%e =%ief <*ecutie >fficer agreed for t%e same. iss A$kaandit contacted +?eit% ,ecruiters+ w%o adertised for t%e #ost of marketing %ead for +8enor <nter#rises td. 2%ey were ab$e to recruit a suitab$e candidate for t%e com#any. ,aman+s acancy was fi$$ed u# by screening t%e database of unso$icited a##$ications $ying in t%e office. (a) 'ame t%e interna$@e*terna$ sources of recruitment used by +8enor <nter#rises td.+ to fi$$ u# t%e aboe state acancies. (b) A$so state any one merit of eac% of t%e aboe identified source of recruitment. #$0 r. 8anay 'e%ra was t%e =%airman of +2aran ank.+ 2%e bank was earning good #rofits. 8%are%o$ders were %a##y as t%e bank was #aying regu$ar diidends. 2%e market #rice of t%eir s%ares was a$so steadi$y rising. 2%e bank was about to announce taking oer of +ena ank.+ r. 8anay 'e%ra knew t%at t%e s%are #rice of +2aran ank+ wou$d rise on t%is announcement. eing a #art of t%e bank %e was not a$$owed to buy s%ares of t%e bank. 9e ca$$ed one of %is ric% friends 8ud%ir and asked %im to inest ,s 5 crores in s%ares of %is bank #romising %im t%e ca#ita$ gains. As e*#ected t%e s%are #rices went u# by 40B and t%e market #rice of 8u%ir+s s%ares was now ,s 7 crores. 9e earned a #rofit of ,s crores. 9e gae ,s 1 crore to r. 8anay 'e%ra and ke#t ,s 1 crore wit% %imse$f. >n regu$ar ins#ection and by conducting enquiries of t%e brokers ino$ed 8ecurities and <*c%ange oard of ndia (8<) was ab$e to detect t%is irregu$arity. 2%e 8< im#osed a %eay #ena$ty on r. 8anay 'e%ra. y quoting t%e $ines from t%e aboe #ara identify and state any two functions t%at were #erformed by 8< in t%e aboe case. #$$ 8tate any t%ree functions #erformed by non-goernmenta$ organisations for consumer #rotection. #$% r. 8%ub%endu ose is t%e owner of +ikmac <nter#rises+ carrying on t%e business of manufacturing arious kinds of biscuits. 2%ere was a $ot of discontentment in t%e organisation and t%e targets were not being met. 9e asked %is son 'aa$ w%o %ad recent$y com#$eted %is A to find out t%e reason. 'aa$ found t%at a$$ decision making of t%e enter#rise were in t%e %ands of %is fat%er. 9is fat%er didn+t be$iee in %is em#$oyees. As a resu$t bot% t%e em#$oyer and t%e em#$oyees were not ab$e to understand eac% ot%ers message in t%e same sense. 2%us t%e em#$oyees were not %a##y and targets were not met. (a) dentify any two communication barriers because of w%ic% ikmac <nter#rises was not ab$e to ac%iee its target. (b) 8tate one more barrier eac% of t%e ty#es identified in (a) aboe. #$3 <*#$ain any t%ree #oints of im#ortance of #$anning. #$& +A$fa td.+ was dea$ing in renewab$e energy. 2o get t%e business t%e team $eader and %is team used to trae$ to different states to gie #resentation to t%eir c$ients. As #er t%e #o$icy of t%e com#any t%e $eader used to trae$ by air w%ereas %is team trae$$ed by road@train. t was not on$y time consuming but a$so at time forced fema$e team members to trae$ a$one. As a resu$t t%e subordinates were not acting in a desired manner to ac%iee organisationa$ goa$s. 2%e =<> came to know about it. 9e ca$$ed t%e team $eader discussed t%e matter wit% %im and decided to c%ange t%e trae$ #o$icy of t%e com#any. t was decided t%at a$$ t%e    Material downloaded from htt://mCBSEuide.com and htt://onlineteachers.co.in  members inc$uding t%e $eader wou$d trae$ toget%er in future and wou$d usefu$$y uti$ise t%e trae$$ing time in discussion wit% t%e subordinates about #resentation to be gien to t%e c$ients. 2%is made a #ositie im#act and eery member of t%e team started acting in a manner as desired by t%e team $eader. 8tate t%e features of t%e e$ement of t%e function of management used by t%e =<>. #$' A com#any was marketing +water #urifiers+ w%ic% were ery #o#u$ar due to t%eir qua$ity and after sa$es serices #roided to t%e customers. 2%e com#any was a $eading com#any in t%e market and earning %uge #rofit. ecause of %uge #rofits t%e com#any ignored t%e after sa$es serices. As a resu$t its re$ations wit% t%e customers got s#oi$ed and t%e image of t%e com#any was damaged in t%e #ub$ic. 2o# anagement become concerned w%en t%e #rofits for t%e current quarter fe$$ stee#$y. >n ana$ysis it was reea$ed t%at ignoring t%e after sa$es serices was its reason. 2%erefore t%e com#any took a$$ #ossib$e measures to #rotect and #romote its faourab$e image in t%e eyes of t%e #ub$ic. As a resu$t t%e goodwi$$ of t%e com#any im#roed in t%e society. (a) 'ame and state t%e communication too$ used by t%e marketer in t%e aboe case to im#roe its image. (b) A$so e*#$ain ro$e of t%e too$ as identified in #art (a). #$( A recent rate cut in t%e interest on $oans announced by t%e anks encouraged Amit a science student of rogressie 8c%oo$ to take a $oan from 8tate ank of ndia to e*#eriment and dee$o# cars to be #owered by fue$ #roduced from garbage. 9e dee$o#ed suc% a car and e*%ibited it in t%e 8cience /air organised by irectorate of <ducation. 9e was awarded first #ri6e for %is inention. dentify and e*#$ain t%e dimensions of business enironment discussed in t%e aboe case. #$) +8tee$o td.+ decided to set-u# its stee$ manufacturing factory in t%e backward area of >rissa w%ere ery $ess ob o##ortunities were aai$ab$e. eo#$e of t%at area we$comed t%is effort of +8tee$o td.+ 2o attract #eo#$e to work in its factory it a$so decided to #roide many ot%er faci$ities $ike sc%oo$ %os#ita$ market etc. in t%e factory #remises. +8tee$o td.+ started earning %uge #rofits. Anot%er com#eting com#any asked its #roduction manager +As$am+ to inestigate t%e reasons of earning %uge #rofits by +8tee$o td.+ As$am found t%at in bot% t%e com#anies t%ere was systematic coordination among t%e arious actiities to ac%iee organisationa$ goa$s. <ery em#$oyee knew w%o was res#onsib$e and accountab$e to w%om 2%e on$y difference was t%at in %is organisation communication took #$ace on$y t%roug% t%e sca$ar c%ain w%ereas +8tee$o td.+ was a$$owing f$ow of communication in a$$ t%e directions as #er t%e requirement w%ic% $ead to faster s#read of information as we$$ as quick feedback. (a) dentify t%e ty#e of organisation w%ic% #ermits +8tee$o td.+ t%e f$ow of communication in a$$ t%e directions. (b) 8tate anot%er adantage of t%e ty#e of organisation identified in (a) aboe. (c) 8tate any two a$ues w%ic% +8tee$o td.+ wanted to communicate to t%e society. #$* <*#$ain any four #oints t%at %ig%$ig%t t%e nature of #rinci#$es of management. #$9 8tate any four met%ods of f$oatation of new issues in t%e #rimary market. #%0 Arun is working in a mu$tinationa$ com#any in :urgaon. 9e was running tem#erature for t%e $ast many days. C%en %is b$ood was tested %e was found #ositie for dengue wit% a ery $ow #$ate$et count. 2%erefore %e was admitted in t%e %os#ita$ and a b$ood transfusion was adised by t%e doctors. >ne of %is co$$eagues sent a te*t message about it to %is immediate su#erior +r. 'arain+. +r. 'arain+ in turn sent a te*t message to t%e em#$oyees of t%e organisation requesting t%em to donate b$ood for Arun. C%en t%e :enera$ anager came to    Material downloaded from htt://mCBSEuide.com and htt://onlineteachers.co.in  know about it %e ordered for fumigation in t%e com#any #remises and c$ean$iness of t%e surroundings. (a) /rom t%e aboe #ara quote $ines t%at indicate forma$ and informa$ communication. (b) 8tate any two features of informa$ communication. (c) dentify any two a$ues t%at are being communicated to t%e society in t%e aboe case. #%$ 2wo years ago ad%u com#$eted %er degree in food tec%no$ogy. 8%e worked for sometime in a com#any manufacturing c%utneys #ick$es and murabbas. 8%e was not %a##y in t%e com#any and decided to %ae %er own organic food #rocessing unit for t%e same. 8%e set t%e obecties and t%e targets and formu$ated action #$an to ac%iee t%e same. >ne of %er obectie was to earn 10B #rofit on t%e amount inested in t%e first year. t was decided t%at raw materia$s $ike fruits egetab$es s#ices etc. wi$$ be #urc%ased on t%ree mont%s credit from farmers cu$tiating organic cro#s on$y. 8%e a$so decided to fo$$ow t%e ste#s required for marketing of t%e #roducts t%roug% %er own out$ets. 8%e a##ointed o%an as a roduction anager w%o decides t%e e*act manner in w%ic% t%e #roduction actiities are to be carried out. o%an a$so #re#ared a statement s%owing t%e number of workers t%at wi$$ be required in t%e factory t%roug%out t%e year. ad%u informed o%an about %er sa$es target for different #roducts areawise for t%e fort%coming quarter. C%i$e working on t%e #roduction tab$e a #ena$ty of ,s 100 #er day for not wearing t%e ca#s g$oes and a#ron was announced. &uoting $ines from t%e aboe #ara identify and e*#$ain t%e different ty#es of #$ans discussed. #%% <*#$ain t%e re$ations%i# between contro$$ing and #$anning functions of management. #%3 As%ima #urc%ased a bott$e of tomato-sauce from t%e $oca$ grocery s%o#. 2%e information #roided on t%e bott$e was not c$ear. 8%e fe$$ sick on consuming it. 8%e fi$ed a case in t%e istrict /orum under =onsumer rotection Act and got t%e re$ief. (a) dentify t%e im#ortant as#ect neg$ected by t%e marketer in t%e aboe case. (b) <*#$ain brief$y t%e functions of t%e as#ect identified in (a) aboe. #%& +iyo td.+ is a com#any manufacturing te*ti$es. t %as a s%are ca#ita$ of ,s !0 $ak%s. 2%e earning #er s%are in t%e #reious year was ,s 0.50. /or diersification t%e com#any requires additiona$ ca#ita$ of ,s 40 $ak%s. 2%e com#any raised funds by issuing 10B debentures for t%e same. uring t%e current year t%e com#any earned #rofit of ,s  $ak%s on ca#ita$ em#$oyed. t #aid ta* D 40B. (a) 8tate w%et%er t%e s%are%o$ders gained or $ost in res#ect of earning #er s%are on diersification. 8%ow you ca$cu$ations c$ear$y. (b) A$so state any t%ree factors t%at faour t%e issue of debentures by t%e com#any as #art of its ca#ita$ structure. #%' <*#$ain any four #oints of im#ortance of management.
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