This quiz works best with JavaScript enabled. Home > Cbse > Class 12 > Commerce > Business Studies > Class 12 Business Studies Chapter 2 Principles Of Management – Quiz 15 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 2 Principles Of Management Quiz 15 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is the role of leadership in Human Resource Management? A) To manage financial resources. B) To inspire and motivate employees. C) To enforce strict policies. D) To oversee production processes. Show Answer Correct Answer: B) To inspire and motivate employees. 2. ..... involves a Look ahead in business A) Business planning. B) Business strategy. C) Business policies. D) Business forecasting. Show Answer Correct Answer: D) Business forecasting. 3. Which type of environment is best suited for mechanistic organizations? A) Manufacturing. B) Stable. C) Service. D) Dynamic. Show Answer Correct Answer: D) Dynamic. 4. Science-not rule of thumb means A) Only Work Study. B) Rules dictated by Managers. C) Applying scientific principles in factory. D) Rules dictated by Workers. Show Answer Correct Answer: C) Applying scientific principles in factory. 5. Which of the following management functions are closely related? A) Planning and Organizing. B) Staffing and Control. C) Planning and Control. D) Planning and Staffing. Show Answer Correct Answer: C) Planning and Control. 6. In the context of management evolution, which concept did F. W. Taylor emphasize? A) Scientific management. B) Contingency management. C) Bureaucratic management. D) Administrative management. Show Answer Correct Answer: A) Scientific management. 7. It is the sum total of the knowledge we have to accomplish the desired objectives. A) TECHNOLOGY. B) POLITICAL. C) ENVIRONMENTAL. D) SOCIO-CULTURAL. Show Answer Correct Answer: A) TECHNOLOGY. 8. The Japanese business emphasis is on collective decision making, whereas the American emphasis is on individual responsibility. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 9. In which semester is the Principles of Management course offered? A) Semester 1. B) Final Semester. C) Semester 2. D) Semester 3. Show Answer Correct Answer: A) Semester 1. 10. A floor manager of a mall is very capable as he utilises all the functions of management. He lays stress on developing mutual trust and spirit of cooperation amongst the employees. Under his guidance the employees admit that they learn a lot and are able to meet their targets. This has led to increase in their salaries. Which principle of management is followed here? A) Initiative. B) Stability of Personnel. C) Equity. D) Espirit de corps. Show Answer Correct Answer: D) Espirit de corps. 11. The principle of 'Unity of Direction' in management states that: A) Each group of activities with the same objective must have one head and one plan. B) There should be a clear line of authority from top to bottom. C) Employees should receive orders from one superior only. D) The interests of one person should not take priority over the interests of the organization as a whole. Show Answer Correct Answer: A) Each group of activities with the same objective must have one head and one plan. 12. Benchmarking refers to: A) Comparing with best practices. B) Random checking. C) Internal audit. D) Copying blindly. Show Answer Correct Answer: A) Comparing with best practices. 13. Which principles of management is violated if an employee is asked to receive orders from two superiors? A) UNITY OF DIRECTION. B) UNITY OF COMMAND. C) INITIATIVE. D) EQUITY. Show Answer Correct Answer: B) UNITY OF COMMAND. 14. A culture usually starts with an organisation setting out their business vision, ..... and values/ethos A) Future. B) Aims. C) Vision. D) Mission. Show Answer Correct Answer: D) Mission. 15. What is the significance of understanding organizational structure? A) To create chaos. B) To enhance communication and efficiency. C) To discourage teamwork. D) To limit employee roles. Show Answer Correct Answer: B) To enhance communication and efficiency. 16. Who is the current Managing Director of Saxon Fields Theme Park Ltd? A) Chris Smith. B) Sam Smith. C) Steven Smith. D) Nina Smith. Show Answer Correct Answer: D) Nina Smith. 17. What is the definition of leadership? A) The process of monitoring and evaluating the performance of subordinates. B) The process of directing and influencing the task-related activities of group members. C) The process of organizing and coordinating the work of employees. D) The process of managing and controlling the behavior of others. Show Answer Correct Answer: B) The process of directing and influencing the task-related activities of group members. 18. Importance of management are all except A) Improve research. B) Reduce quality. C) Increase efficiency. D) Provide vision & mission. Show Answer Correct Answer: B) Reduce quality. 19. What data did Steven and Sam present to Nina during the meeting? A) Employee turnover, customer satisfaction, and sales revenue. B) Customer satisfaction, ranking amongst visitor attractions in the UK, and employee satisfaction. C) Employee satisfaction, net profit, and ranking amongst visitor attractions in the UK. D) Sales revenue, net profit, and employee turnover. Show Answer Correct Answer: C) Employee satisfaction, net profit, and ranking amongst visitor attractions in the UK. 20. What does the principle of Unity of Command ensure? A) Employees can choose their own superiors. B) Employees are not required to follow commands. C) Employees receive instructions from one superior only. D) Employees receive instructions from multiple superiors. Show Answer Correct Answer: C) Employees receive instructions from one superior only. 21. A system of co-operative activities of two or more persons is called ..... A) Control. B) Department. C) Organization. D) Co-ordination. Show Answer Correct Answer: C) Organization. 22. 2) Management principles provide ..... guideline in tackling organizational situation. A) Specific. B) Different. C) General. D) None of the above. Show Answer Correct Answer: C) General. 23. Imagine a Mexican car manufacturer who wanted to export its automobiles to Guatamala. Knowledge that the distribution of income with the country is unequial and about 75% of the population is below the poverty line would be a component of the ..... environment. A) Demographic. B) .Economic. C) Technological. D) Sociocultural. Show Answer Correct Answer: B) .Economic. 24. Organizations use Management to accomplish the work that is required to achieve the goals. A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) TRUE. 25. A teacher carefully selects teaching methods and activities that directly support the intended learning competencies for the subject. The teacher ensures that assessments measure what was taught and that students are progressing toward the expected learning outcomes. What of the following best describes the teacher's approach? A) Capacity Building. B) Instructional Consistency. C) Curriculum Alignment. D) Data-Driven Decision Making. Show Answer Correct Answer: C) Curriculum Alignment. 26. What are the key characteristics of an effective leader? A) Micro-management, poor communication, lack of integrity. B) Technical expertise, introverted personality, lack of empathy. C) Good communication, decision-making skills, empathy, integrity, and the ability to inspire and motivate others. D) Indecisiveness, lack of motivation, dishonesty. Show Answer Correct Answer: C) Good communication, decision-making skills, empathy, integrity, and the ability to inspire and motivate others. 27. ..... is the process of setting organizational goals and set ways on how to achieve those goals. A) Leading. B) Organizing. C) Controlling. D) Planning. Show Answer Correct Answer: D) Planning. 28. An individual who is subject to the authority and control of another person is called a/an A) Administrator. B) Manager. C) Subordinate. D) None of the above. Show Answer Correct Answer: C) Subordinate. 29. Which expectancy theory linkage explains the degree to which a student desires a good job? A) Valence. B) Expectancy. C) Effort to performance. D) Input to outcome. Show Answer Correct Answer: B) Expectancy. 30. ..... refers to a continuing decision which applies to repetitive situations. A) Forecasting. B) Planning. C) Order. D) Policies. Show Answer Correct Answer: D) Policies. 31. This plays an important role in motivating the workers of a company A) Unity of Direction. B) Unity of Command. C) Remuneration. D) Discipline. Show Answer Correct Answer: C) Remuneration. 32. Q3) According to Fayol, the principle of management that suggests there should be a single, coordinated plan of action for the organization is A) Unity of command. B) Unity of direction. C) Scalar chain. D) Initiative. Show Answer Correct Answer: B) Unity of direction. 33. Lean manufacturing aims at: A) Waste elimination. B) Increasing overhead. C) Worker exploitation. D) None. Show Answer Correct Answer: A) Waste elimination. 34. Who wrote the famous book "General and Industrial Management" . A) Henry Fayol. B) F.W. Taylor. C) All the above. D) None of the above. Show Answer Correct Answer: A) Henry Fayol. 35. All departmental activities are aligned with organizational goals. Which principle is applied? A) Unity of Direction. B) Unity of Command. C) Discipline. D) Order. Show Answer Correct Answer: A) Unity of Direction. 36. Which of the following is an example of organizational structure? A) A marketing plan for a new product. B) A CEO followed by VPs and managers. C) A training program for employees. D) A budget allocation for departments. Show Answer Correct Answer: B) A CEO followed by VPs and managers. 37. How many principles did Henry Fayol propose? A) 14. B) 12. C) 10. D) 16. Show Answer Correct Answer: A) 14. 38. Describes what an organization is striving to become, and thus provides guidance to organizational members. A) Objective. B) Vision statement. C) Goal. D) Mission statement. Show Answer Correct Answer: B) Vision statement. 39. Which of the following is NOT listed as a key aspect of Corporate Social Responsibility (CSR)? A) Environmental Sustainability. B) Stakeholder Engagement. C) Product Pricing. D) Social Welfare. Show Answer Correct Answer: C) Product Pricing. 40. Alternatives that an organization chooses from its operations across several industries and several markets is called: A) Business-level strategy. B) Functional-level strategy. C) Corporate-level strategy. D) Market-level strategy. Show Answer Correct Answer: D) Market-level strategy. 41. When one party's consent has been caused as a result of mistake of law, the contract is: A) Unlawful. B) Voidable. C) Void. D) Unenforceable. Show Answer Correct Answer: C) Void. 42. Strategic planning is ..... A) Unit Planning. B) Annual Planning. C) Short Term Planning. D) Long Term Planning. Show Answer Correct Answer: D) Long Term Planning. 43. Ramesh, a team leader at XYZ Corp, is known for his autocratic leadership style. He makes all decisions without consulting his team members and expects strict obedience. Identify the management principle that Ramesh is not adhering to in his leadership approach. A) Centralization. B) Subordination of Individual Interest to General Interest. C) Unity of Direction. D) Initiative. Show Answer Correct Answer: B) Subordination of Individual Interest to General Interest. 44. Jasmine's Florist employs on average 112 people per year. Last year 22 people left. Calculate the labour turnover A) 19.6%. B) 18.6%. C) 16.6%. D) None of the above. Show Answer Correct Answer: A) 19.6%. 45. Which of the following is a crucial aspect of strategic planning? A) T is a broad concept that consists of business and corporate strategy. B) It is an overall concept that consists of strategy formulation and implementation. C) It is a broad concept that consists of environmental and internal analysis. D) It is a general concept that consists of business inputs and outputs. Show Answer Correct Answer: B) It is an overall concept that consists of strategy formulation and implementation. 46. Ethical business practices in CSR involve promoting fairness, transparency, and honesty in dealings with customers, employees, suppliers, and other stakeholders. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 47. Competitors have launched a new advertising campaign A) Weakness. B) Strength. C) Opportunity. D) Threats. Show Answer Correct Answer: D) Threats. 48. Planning requires application of the mind involving foresight, intelligent imagination and sound judgement. It means A) Planning is pervasive. B) It is a primary functionof management;. C) Planning is an intellectual process. D) Planning focuses on achieving objectives. Show Answer Correct Answer: C) Planning is an intellectual process. 49. Ram was getting instructions from eight superiors at the same time ..... Which principle is violated. A) Unity of command. B) Coordination. C) Functional foremansip. D) None of the above. Show Answer Correct Answer: A) Unity of command. 50. ..... can be changed or modified according to the situation. A) Universal application. B) Flexibility. C) Effect of relationship. D) Nature behaviour. Show Answer Correct Answer: B) Flexibility. 51. The principles are guidelines to action but do not provide readymade, straitjacket solutions to all managerial problems. This is so because: A) The application of principles can be changed as per requirements. B) Real business situations are very complex and dynamic and are a result of many factors. C) Principles are like different tools serving different purposes, the manager must decide which tool to use under what circumstances. D) All the above. Show Answer Correct Answer: B) Real business situations are very complex and dynamic and are a result of many factors. 52. Which method of job evaluation involves ranking jobs based on their requirements? A) Point rating method. B) Ranking method. C) Factor comparison method. D) Classification method. Show Answer Correct Answer: B) Ranking method. 53. Fulfilling ..... responsibility is one of the Significance of Principles of Management. A) Corporate. B) Social. C) Corporate Social. D) Consumer. Show Answer Correct Answer: B) Social. 54. What is the focus of the principle of Remuneration of Employees? A) Remuneration should be based on favoritism. B) Only salary matters, not benefits. C) Fair and adequate compensation for services. D) Employees should work for free. Show Answer Correct Answer: C) Fair and adequate compensation for services. 55. Employees are treated kindly but firmly. Which principle is involved? A) Initiative. B) Equity. C) Authority. D) Discipline. Show Answer Correct Answer: B) Equity. 56. Nearly all organizations that interact with their environment and depend on them for survival should be viewed as ..... A) Closed system. B) Covertn system. C) Open system. D) Synergistic systems. E) Entropoic system. Show Answer Correct Answer: C) Open system. 57. How many levels are there in Maslow's Hierarchy of Needs? A) 5. B) 6. C) 7. D) 4. Show Answer Correct Answer: A) 5. 58. What does the principle of Division of Work imply? A) Tasks should be completed without specialization. B) All employees should perform the same tasks. C) Tasks should be divided into smaller parts. D) Tasks should be assigned randomly. Show Answer Correct Answer: C) Tasks should be divided into smaller parts. 59. Durability refers to A) It's a guarantee. B) Life span before replacement. C) Service life. D) Full life. Show Answer Correct Answer: B) Life span before replacement. 60. A breach of contract A) Is not recongnised under the India Law. B) Gives one more chance to defaulting party to perform the contract. C) Discharges the other party form performing his obligations. D) )Does not discharge the other party form performance. Show Answer Correct Answer: C) Discharges the other party form performing his obligations. ← PreviousNext →Related QuizzesCommerce QuizzesClass 12 QuizzesClass 12 Business Studies Chapter 2 Principles Of Management Quiz 1Class 12 Business Studies Chapter 2 Principles Of Management Quiz 2Class 12 Business Studies Chapter 2 Principles Of Management Quiz 3Class 12 Business Studies Chapter 2 Principles Of Management Quiz 4Class 12 Business Studies Chapter 2 Principles Of Management Quiz 5Class 12 Business Studies Chapter 2 Principles Of Management Quiz 6Class 12 Business Studies Chapter 2 Principles Of Management Quiz 7Class 12 Business Studies Chapter 2 Principles Of Management Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books