BST (BUSINESS STUDIES) SAMPLE PAPER CLASS 12

CBSE Board exam 2020: With back to back papers, we have reached the midway of the CBSE class 12th Board exams. Students are indulged in deep revision cycles and in a marathon of covering sample papers and last year's question papers so as to grab that perfect score. The Central Board of Secondary Education has scheduled the class 12th Business studies paper for july 9, 2020.

ALL THE STUDENTS ARE REQUIRED SAMPLE PAPERS FOR PRACTICE ..

SO HERE WE ARE PROVIDING YOU FREE SAMPLE PAPER WITH STANDARDS QUESTIONS  UNDER THE EYES OF FAMOUS AUTHOR ALKHA DHAWAN

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                                        SAMPLE PAPER  1                                 

                                                    SECTION A

1.”management has to see that task are completed and goals are achieved with the least amount of resources at a minimum cost” identify the two relaeated concepts of management.

(a) coordination and effiecency(b) efficiency and effectiveness
(c) planning and effectiveness(d) none of the above  (1)

2 iT Act as the winding force between departments and ensure that all action is aimed                      at achieving the goals of the organisation identify the related features of coordination

 (a) coordination integarates group efforts

 (b) coordination ensures unity of action   
 (c) coordination is a continuous process
 (d) coordination is all pervasive function  (1)

         

3. “Every organisation whether it is government on a privately owned business or a company in the private sector required planning” name the feature of planning highlighted in the above statement

(a) Management is an intangible force (b) Management is a group activity
(c) Management is all pervasive (d) Management is multidimensional  (1)

4. As a financial manager of a pharmaceutical company, Anansh has prepared a
statement of expenses, revenue and income for the next financial year. Identify the
type of one of the functions of management mentioned above.
(a) Policy (b) Procedure (c) Budget (d) Programme  (1)

5. Priyanshu has decided to work as a stock broker, so he visits his friend Harsh
for guidance. Harsh is a leading stock broker. Harsh tells him to first apply
for registration to the Securities and Exchange Board of India (SEBI) as it is
compulsory for all stock brokers under the SEBI Act. What type of the function is
being performed by SEBI through this condition?
(a) Regulatory function
(b) Protective function
(c) Developmental
(d) All of the above   (1)

6. Name the type of financial decisions that affects both liquidity and profitability of
a business firm.
(a) Capital structure decision
(b) Working capital decision
(c) Financial decision
(d) Investment decision   (1)

7. Arpita is the marketing manager of a 'Muskaan Ltd.' a company providing dental
care services in various parts of the country. Now, the company is planning to sell
its dental care products online. Identify the type of distribution channel that the
company plans to adopt.
(a) Zero level channel
(b) One level channel
(c) Two level channel
(d) Indirect channel   (1)

8. Manoranjan' is a leading telecommunications company in India. On taking
the annual subscription of a DTH connection the company is charging only for
11 months and offering one month free subscription. Identify the component of
promotion mix adopted by the company to boost its sales.
(a) Advertising
(b) Personal selling
(c) Sales promotion   (1)

9. It is necessary that goods and services must be made available to the customers at
the right place, in the right quantity and at right time. Name any one component
of this element  (1)

10. Nirv Ltd. was a market leader in the Healthcare segment, but with the entry of
MNCs its market share is declining. In order to deal with the situation General
Manager of the company started sharing some of his authority with the Assistant
General Manager. Gradually Assistant General Manager also started feeling
overburdened. Therefore, with the approval of the General Manager he dispersed
some of his authority to different levels throughout the organization. Identify the
concept of management it been described above.  (1)

          11. Raj, decided to start a campaign to create awareness among people for developing
clean surroundings in their area. He created a team of 20 members of local residents. To achieve the desired goal various activities were identified like buying of necessary things like blue and green dustbins, disposable bags, brooms, etc collection of garbage; disposal of garbage, etc. and the work was allocated to different members. Identify the function of management being described in the above paragraph.  (1)

12. The---------------------- of management determines the number of levels of management in
the organisational structure of an enterprise.  (1)

13. Sudipta is running tiffin service in Bangalore under the name 'Corporate Dabba'
She always deals with the lazy personnel sternly to send the message that everyone
is equal in the eyes of management. Identify the principle of management adopted
by Sudipta.
(a) Order
(b) Equity    (c) Esprit De Corps    (d) Discipline  (1)

14. Mr. Kapoor, a recently appointed production manager of a company found that
employees were demotivated and not putting in their best for achieving the
target. So he decided to introduce various incentive schemes for the employees
like performance bonus, certificate for best performance, rewarding an employee
for giving valuable suggestions etc. Identify the type of plan - on the basis of
useability being described above.  (1)

15. Srishti is running restaurant in Haldwani under the name 'Eat Out'. Recently she
has decided to make a few changes in the menu based on the changing preferences
of the consumers like she has added two sugar free sweets and removed three
deep fried items.
Identify the characteristic of management which is highlighted in the above
paragraph.
(a) Management is a goal-oriented process
(b) Management is multidimensional
(c) Management is a dynamic function
(d) Management is an intangible force  (1)

16. The Manager is required to make certain assumptions about the future, which are
the form the basis upon which plans are to be drawn. What are these assumptions
called?  (1)

17. Which component of capital structure determines the overall financial risk? (1)

18. Name any one money market instruments. (1)

19. Geet's grandmother gave her a gift packet on her birthday. Geet opened the packet
and saw many wrinkly share certificates inside. Her grandmother told her that
her grandfather had left them for Geet in his will. As no trading is now done in
physical form, Identify the process through which she will be in a position to deal
with these certificates.  (1)

20. After completing his graduation when Jay went to his ancestral village with his
parents he noticed that although the villagers were literate but did not find anything
wrong with many malpractices practices. Most of the fruit and vegetable vendors
were not using weights but stones instead to weigh and sell their merchandise.
The food products which were made locally did not have ‘FPO mark'. So to create
awareness among villagers about their rights Jay decided to distribute handouts.
State the 'Right' which Jay has exercised by doing so.
(a) Right to be heard
(b) Right to seek redressal
(c) Right to consumer education (d) Right to safety (1)

                                         SECTION B
21. At Wipro, Project Readiness Program (PRP) a 68 day structured training program is
offered to all campus recruits coming from varied background (Engineers + Non-
engineers) to be trained on essential behavioral and technical skills that prepare
them to work in live customer projects. E-learning has been introduced in this
training for engineering campus new hires. About 25% of the training duration has
been adopted in E-Learning mode.
(a) Identify the method of training being described in the above paragraph. Will
it be categorised as an off the job training method why or why not?
(b) Name any two other methods of training which fall in the same category
training methods.  (3)

22. Aakriti has decided to set up a designer studio in a posh market in Udaipur.
Through a survey she has assessed that the level of competition in this segment is
high and the demand for the product is elastic in nature. Describe briefly any three
factors which Aakriti has not assessed so far and are likely to affect her pricing
decisions. (3)

23. Vasu runs a chain of Quick Service Restaurant in various parts of Delhi. Through,
feedback from the customers he has analysed that there is a need for improving
customer satisfaction in his self-service outlets. So, he sets standards in terms of
time taken by a customer to wait for a table, time taken by him to place the order
and time taken to collect the order. Moreover, he deploys a team of executives to
study the actual pattern of these activities in all of his QSR chain outlets and give
him a report on their assessment.
In context of the above case:
(a) Identify the function management being performed by Vasu.
(b) Explain briefly the two steps involved in this function, which are mentioned in
the above paragraph.  (3)

24. “This approach is applicable in the cases of unsought goods like life insurance,
vacuum cleaner, fire fighting equipments including fire extinguishers. These
companies are seen having a strong network of sales force. This concept is
applicable for the firms having over capacity in which their goal is to sell what
they produce than what the customer really wants.'  (3)

In context of the above case
(a) Identify the marketing concept being referred to in the above paragraph
(b) Name any two promotional techniques that the business firms following this
concept are likely to adopt
(c) State the means and ends of the type of marketing concept as identified in par
(a) of the question  (3)

25. Name the process by which allocation of funds can be done. What are the two
major alternative mechanisms through which this can be done and how? (3)

                                                   OR

State any three features of money market.  (3)

                                                   SECTION C
26. Aavush joins a e-commerce company as a delivery executive. His, Area Team
Leader Shekar is very happy with his performance. However, after a few months,
due to some family problems Aayush becomes irregular to work and is not able to
meet the work related deadlines. As a result, Shekar is not able to realize his team
targets.
Can Shekar absolve himself of his accountability to the extend of work assigned to
Aayush. Explain by giving a suitable reason.  (4)

27. Naveen has started with a private taxi service business in Rajasthan under the name
'Sarthi'. The use of appropriate incentives to the 'Sarthi' drivers encourages them
to drive on the 'Sarthi' system when i) riders need them most and ii) when they
will make the most money. Thus when they drive more, they earn more. "TPH"
stands for "trips per hour." !!!!! refers to how many trips a driver completes in
1 hour. TPH is calculated per period. Each weekday morning, weekday evening
and each weekend day is counted as a separate period. Moreover, he is offering a
special health package for the day-long driving, free insurance and job security to
the drivers.
In context of the above case:
(a) Keeping in view the Maslow's need hierarchy theory mention the various
types of human need of the drivers that Naveen seeks to fulfil through these
incentives.
(b) Give any two assumptions related to Maslow Need Hierarchy Theory. (4)

28. Name and explain the incentive bonus plan suggested by Taylor. (4)

                                                 OR
Describe briefly any two principles of scientific management. (4)

                                               SECTION D
29. Distinguish between training and development on the basis of level of persons
involved and purpose. (5)
                                                       Or
Different types of selection tests may be carried out in order to evaluate a candidate
on different parameters. Explain(5)

30. After completing a course in jewellery designing Kashish has recently opened a
jewellery showroom in Gurgaon under the name "Glamo'. She intends to increase
her clientele by 25% during the forthcoming festival season by pushing the sales
of handmade jewellery both in traditional as well as modern designs and thereby
carving a niche for the business.
In context of the above case:
(i) Identify the two different types of plans that Kashish proposes to implement
by quoting lines from the paragraph.
(ii) Give any four differences between the two types of plans as identified in
part (i).  (5)

31. Ranjeet is a labour contractor in Faridabad. He provides labour which is highly
experienced and skilled in all types of construction work. But over the years,
there has been a considerable drop in his business. This is primarily a result of
his dogmatic approch towards his workers. He adopts the method of one-way
communication and doesn't like to seek any advice or opinions from his them.
He always deducts the wages of workers or stop increments for any kind of
discrepancies in their work with respect to the set targets.
In the above context:
(i) Identify the kind of the incentives being used by Ranjeet due to which the
labour turnover of his business is high.
(ii) Name and explain the style of leadership adopted by Ranjeet?
(iii) State any two features of leadership.  (5)

                                                SECTION E
32. Identify and explain the related feature of business environment for each of the
following cases:
(i) There is a growing concern for the rapid rise in obesity across the world. The
main cause of which has been identified as our modern lifestyles, including
our reliance on the car, TVs, computers, desk-bound jobs and high-calorie
food. Obesity reduces life expectancy mainly because of the increased risk of
cardiovascular disease and diabetes. Therefore, many companies are offering
new health products and services that products and services aim to help
change people's life styles.
(ii) The “McAlooTikki burger” is not available anywhere but in the Indian outlets
of McDonalds.
(iii) Over the years, "Teleface Ltd.' had been enjoying good market share in
telecom sector, but with the entry of ‘Alliancetech Ltd.' a new competitiorin the market, the competition in the telecom segment has intensified and is
likely to squeeze the market share of Teleface Ltd.

(iv) 'Suhana' is an alumni of National Institute of Fashion Technology and has
15 years. She, offers high-end apparels with a designer tag for every occasion
been running a shopping arcade in Hauz Khas Village in Delhi for the past
for both men and women. She shares that many a times people in fashion
industry have to suffer major losses due to constant changes in fashion (6)

33. "Relish Ltd.' is a name in the food industry to reckon with. It runs over 150
franchises in India and around the world. It is one of the first restaurants to
offer the Punjabi cuisine to the rest of the world and many other famous dishes
including malai kofta, tandoori chicken, butter chicken and dal makhani. Now,
the company has decided to make an entry into the branded and packaged foods
business the market with a series of new launches. The company is planning to
set up a composite foods manufacturing facility in Bengaluru shortly, involving an
investment of up to 3 700 crores out of which * 400 crores will be raised through
equity so as to make its capital structure optimal.
In context of the above case:
(a) Outline the concept of capital structure. When is a capital structure of a
company said to be optimal?
(b) Compute the value of financial leverage only with reference to the fresh capital
being raised by the company.
(c) How does financial leverage affect the cost of capital and financial risk of a
business?  (6)

                                                            Or
Rajani, after acquiring a degree in Hotel Management joined her family business
of manufacturing dairy products. The business had been established by her
great grandfather and enjoyed a good reputation. Since she wanted to undertake
modernisation of the existing business to introduce the latest manufacturing
processes and diversify into the organic food segment it would require an
additional capital of 50 Crores. The fixed operating costs of the business were
high and the cash flow position was weak. She also noticed that the stock market
index was going through a bullish phase.
(a) Keeping the above considerations in mind, name the source of finance Rajani
should not choose for financing the modernization and expansion of her
business. Give one reason in support of your answer.
(b) Explain any two other factors, apart from those stated in the above situation,
which Rajani should keep in mind while taking this decision.  (6)

34. Explain briefly the three tier judiciary system for the redressal of consumer
grievances set up under the Consumer Protection Act. (6)
                                                     Or
What are consumer organisations? Outline their any five functions? (6)

                                                           SAMPLE PAPER  2

                                                      SECTION A
1. Anuradha has been selling home made cakes, cookies and breads which are made
to order. Over the past one year she has witnessed a sudden surge in her business
during festival season due to the growing preferences of people for hygiene and
quality. Identify the related dimension of business environment.
(a) Economic dimension
(b) Social dimension
(c) Political dimension
(d) Technological dimension   (1)

2. The principles of management not universally valid like the principles of pure
science. True/False  (1)

3. Name the type of comprehensive plan which is used for accomplishing an
organisation objectives.
(a) Policy
(b) Strategy (c) Programme
(d) Procedure   (1)

4. Tego Ltd. is a popular automobile company in India. The company sales targets
of the company were adversely affected for a few months due to the ban imposed
on sales of diesel vehicles with 2000 cc engine and above in the National Capital
Region (NCR). Identify the related limitation of planning because of which the
company was not able to achieve its targets.  (1)
(a) Planning leads to rigidity
(b) Planning may not work in a dynamic environment
(c) Planning does not guarantee success
(d) Planning reduces creativity

5. 'Exploration Ltd.' is planning to raise an issue of 3,000 non-convertible debentures
(NCDs) of face value of ? 10 lakh aggregating ? 300 crore through private placement.
Name the type of financial market being approached by the company.   (1)
(a) Primary market
(b) Secondary market
(c) Money market
(d) None of the above

6. Iqbal has started a small take away restaurant near a multi speciality hospital. He
is on good terms with Salman, a grocery shopkeeper who sells him goods on one
month credit. the working capital needs of Iqbal will be-------------   (1)

7. What is a registered brand name called?  (1)

8. Saurabh filed an appeal against the order of State Commission before the National
Commission. In case he is not satisfied with the order passed by the National
Commission the order be challenged any further? True False  (1)

9. Bela is the owner of Sukham Enterprises' carrying on the business of manufacturing
various kinds of medical equipments. There is a lot of discontentment in the
organisation because all decision making of the enterprise are in her hands as she
doesn't believe in his employees. Identify the communication barrier being created
by Bela.
(a) Personal barriers
(b) Psychological barriers
(c) Semantic barriers
(d) Organisational barriers   (1)

10. The vacancy for the post of supervisor in a school was filled up by screening
the database of unsolicited applications lying in the office. Name the internal /
external sources of recruitment used to fill up the above stated vacancy.  (1)

11. Aruna has decided that raw materials like fruits, vegetables,
spices etc. will be purchased on three months credit from farmers cultivating organic crops only for her food processing business. Identify the type of plan being followed by Aruna. (1)

 
12. On knowing that one of the employees of his company has met with an accident
and is in need of blood urgently for surgery, Mr. Pushkar immediately sent a
message to all his employees on a WhatsApp group urging them to donate blood.
Identify the type of communication being described in the above lines.  (1)

13. Name the process in which candidates are eliminated at every stage and a few
move on to the next stage till the right type of candidate is found. (1)

14. It is one of the basic managerial functions and requires that before doing something,
the manager must prepare an idea of how to work on a particular task. It provides
ample scope for creativity and innovation and seeks to bridge the gap between
where we are and where we want to go. Name the function of management
referred above.  (1)

15 ------------involve shifting of an employee from one job to another, one.
department to another or from one shift to another, without a substantive change
in the responsibilities and status of the employee.  (1)

16. While in search of markets abroad, the MNC found that in India, the reform process
was underway with the aim of accelerating the pace of economic growth. The
company decided to take advantage of simplified export procedure and removal
of quantitative as well as tariff restrictions in India. In the above paragraph,
concept related to government policy have been discussed. Identify it.  (1)

17. On the introduction of Goods and Services Tax Act Mahur, an established
businessman, attended browsed through various websites to understand the
concept. He wanted to use these forecasts to reduce the uncertainty in making
decisions for the future in his business. Name the step in the planning process that
is being discussed in the above paragraph.  (1)

18. It refers to the process of stiimulating people to act in a desired manner to achieve
certain organisational goals.
(a) Supervision
(b) Communication
(c) Motivation
(d) Leaders  (1)

19. A----------leader believes in giving complete freedom to their subordinates
so as to enable them their own targets and also determine the ways of achieving
them.  (1)

20. Under this method of training the trainee is kept under guidance of a master
worker for a prescribed period of time.
(a) Apprenticeship training
(b) Internship training
(c) Vestibule training
(d) None of the above   (1)

                                                              SECTION B
21. State any three features of controlling.  (3)

22. Describe the various levels of packaging in the process of marketing of goods? (3)

23. State any three functions of a stock exchange. (3)
                                          Or
State any three protective functions of SEBI. (3)

24. Mr. Nikhil a production manager in ‘D. Kumar Ltd.'contacted Mr. Kabir marketing
manager on intercom to discuss about schedule of product delivery.
(a) Identify the type of communication being referred to in the above line.
(b) State the two categories in which this type of communication can be further
classified(3)

25. Luv has decided to start a professional acting school after completing a course
from Royal Central School of speech and drama, University of London. His friend
attitude, aptitude, commitment, loyalty are perceived as important qualities by all
types of organizations because the right people can help you take your business to
the top, the wrong people can break your business. State any three benefits of the
function of management being referred to by Subham. (3)

                                      SECTION C
26. Explain briefly any four features of management.  (4)
                                    Or

Define the term coordination and explain its importance.  (4)

27. On the persisting request his wife Arpha, Sultan bought the tickets of the one day
international match to be played at Holkar stadium, Indore between India and
South Africa from a black-marketer who was selling them at 10 times the price.
In context of the above case:
(a) State the related responsibility that Sultan has failed to fulfil as a consumer.
(b) Give any one other responsibility of a consumer while purchasing, using and
consuming goods and services.
(c) Discuss briefly any two points highlighting the importance of consumer
protection from the consumers' point of view  (4)

28. "Organising involves a series of steps that need to be taken in order to achieve the
desired goal." Explain.  (4)

                                                    SECTION D
29. Vivan runs a business consultancy firm in Delhi. His team of management
consultants provide specialised services keeping in view the clients' most critical
issues and help them to maintain a competitive edge. Vivan recently visited one of
his clients, Mr. Ranveer Prakash who is running a garment manufacturing unit and
is making losses. On, introspection of the working model of his unit Vivan realised
that a lot of wastages is associated with a trial-and-error approach followed by
his employees. Therefore, he advised him to replace traditional methods through
work study with scientific methods as it would result in saving of human energy
as well as wastage of time and materials. But, Vivan really appreciated Mr. Ranveer
Prakash for providing good working conditions to his employees and using solar
energy in his factory.
In context of the above case:
(a) Identify the principle of scientific management being referred to in the above
paragraph.
(b) Explain the technique of work study.  (5)

30. Briefly explain any five points highlighting the importance of directing as a
function of management.  (5)

                             Or
Briefly explain any five semantic barriers to communication.  (5)

31. Bunny open a retail mart in a local market. As he knows it will be impossible for
him to handle all work alone so he appoints Naina to perform routine tasks on
his behalf thereby reducing his workload. As a result this decision Bunny is left
with more time to concentrate on important matters. Besides he recruits ten other
persons as support stall. Five years later, as his business carns a good name for
itsell he opens another outlet in the city. Considering Naina's competence he gives
the independent charge of running the new outlet to her. Thereby empowering her
autonomy in functioning of the outlet.
In the context of the above case:
(I) Identify the two concepts which reflects the transition in the role of Naina in
the above paragraph.
(II) Give any three differences between the two concepts as identified in part (i) of
the question
(iii) What are the factors that Bunny must consider while giving the independent
charge of the new outlet to Naina?  (5)

                                                  SECTION E
32. 'Winning Edge Ltd.' is a successful education and training company in Nainital.
There are separate departments for finance, marketing, research & development
and human resource development. The working culture is such that both the
employees and management honour their commitments without any prejudice
towards one another. In order to avoid dual subordination the limits for discounts,
credit period etc. are set before hand in connotation with the finance manager
so that a marketing executive can clinch a deal with a buyer on his own or in
consultation with the marketing manager only. There are two separate divisions
in the company namely; Education department and Training department. Each
division should have its own incharge, plans and execution resources and no
account does the working of these two divisions overlap. Identify and explan the
various principles of management being followed by the company.  (6)
                                                            Or
Mehul has been running successfully a logistics business for past many years.
He has a strong conviction that the business managers should keep themselves
abreast of changes in the business environment to be able to encash all forthcoming
'opportunities' and deal with threats' effectively. In light of these statements
explain briefly any four points highlighting the need to understand business
environment by the business managers.  (6)

33. Ranbir is working as a financial manager in an dairy products company. One of
his key function starts with an estimate of the sales which are likely to happen in
the next five years. Based on these, the financial statements are prepared keeping
in mind the requirement of funds for investment in the fixed capital and working
capital. Then the expected profits during the period are estimated so that an idea can
be made of how much of the fund requirements can be met internally i.e., through
retained earnings (after dividend payouts). This results in an estimation of the
requirement for external funds. Further, the sources from which the external funds
requirement can be met are identified and cash budgets are made, incorporating
these factors.
In context of the above case:
(a) Identify the concept related to business finance being discussed in the above
paragraph.
(b) State any five points highlighting the importance of the concept as identified
in part (a) of the question.  (6)
                                                 Or
Takdhir Ltd. is a large credit worthy company operating in the Lucknow. It is an
export oriented unit, dealing in exclusive chicken work. Due to certain issues firm
is unable to get an uninterrupted supply of raw material and the duration of the
production cycle has also increased. Moreover, the suppliers of raw material who
were earlier selling on credit are asking the company, for advance payment or
cash payment on delivery. The company is facing a liquidity crisis. The CEO of
the company feels that taking a bank loan is the only option with the company to
meet its short term shortage of cash. As a finance manager of the company name
and explain the alternative to bank borrowing that the company can use to resolve
the crisis.  (6)

34. Deepak is doing a diploma course in marketing management. In the last
class his teacher had explained to them that there are large number of factors
affecting marketing decisions, which can broadly be divided into two categories:
(i) controllable factors, and (ii) non-controllable factors. Based on this discussion,
each student has been asked to prepare a start up business plan highlighting those
controllable factors which can be influenced at the level of the firm, to achieve
marketing success. Deepak has decided to prepare a business plan for the launch
of organic bakery products.
Describe briefly the various controllable factors that Deepak will consider while
preparing his start up business plan.  (6)

                                    Or
Keeping in view the growing demand for cloth bags, Apar and Viharika decided
to open a small business unit under the brand name 'Vatika'. They decided to pack
these bags in the lot of three units of varying sizes.
In context of the above case:
(a) Identify the product related decision which has been overlooked by Apar and Viharika
(b) State briefly any five functions related to the decision as identified in part (a) of the question.  (6)

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