This quiz works best with JavaScript enabled. Home > Cbse > Class 12 > Commerce > Business Studies > Class 12 Business Studies Chapter 2 Principles Of Management – Quiz 34 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 2 Principles Of Management Quiz 34 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What does the Scalar Chain principle refer to? A) A flexible communication structure. B) A chain of command that is informal. C) No need for communication in management. D) Clear lines of authority and communication. Show Answer Correct Answer: D) Clear lines of authority and communication. 2. Who is released the scientific management theory? A) David Taylor. B) Taylor Davidson. C) Frederick W. Taylor. D) Taylor Henry. Show Answer Correct Answer: C) Frederick W. Taylor. 3. Which of the following is a characteristic of a formal organization? A) Spontaneous decision-making. B) Informal communication. C) Defined roles and responsibilities. D) Flexible structure. Show Answer Correct Answer: C) Defined roles and responsibilities. 4. What does DEI stand for? A) Diversity, Equity, and Inclusion. B) Development, Education, and Innovation. C) Data, Evaluation, and Integration. D) Design, Engineering, and Implementation. E) Digital, Engagement, and Interaction. Show Answer Correct Answer: A) Diversity, Equity, and Inclusion. 5. Companies engage in practices that minimize their negative environmental impact. This is known as ..... A) Financial Leverage. B) Product Diversification. C) Environmental Sustainability. D) Market Expansion. Show Answer Correct Answer: C) Environmental Sustainability. 6. Right to transfer Share is restricted in A) Private Company. B) Public Company. C) Charted Company. D) Holding Company. Show Answer Correct Answer: A) Private Company. 7. Regulatory agencies were created by the Government to protect the public from certain business practices or to protect organizations from one another. An example is the Securities and Exchange Commission (SEC) A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) TRUE. 8. How did Maslow described motivation? A) Based on achievement. B) With regards to two subjects. C) In terms of a hierarchy of needs. D) According to hygiene factors. Show Answer Correct Answer: C) In terms of a hierarchy of needs. 9. Which is not the inseparable features of delegation? A) Relationship. B) Accountability. C) Authority. D) Responsibility. Show Answer Correct Answer: A) Relationship. 10. The main reason why Principles of Management do not provide readymade solutions for all management problems is that A) They act as general guidelines for business-related issues. B) The real business issues are pretty complex. C) The real business issues are very dynamic. D) All of the above. Show Answer Correct Answer: D) All of the above. 11. Pure science principles are rigid, whereas management principles are relatively ..... A) Contingent. B) Flexible. C) Dependent. D) Absolute. Show Answer Correct Answer: B) Flexible. 12. Which of the following is a function of how much decision-making authority is pushed down to lower levels in the organization? A) Centralization. B) Power. C) Span of control. D) Departmentalization. Show Answer Correct Answer: D) Departmentalization. 13. Which one of the following types of conflict is based on how the work gets done? A) Task conflict. B) Process conflict. C) Role conflict. D) Relationship conflict. Show Answer Correct Answer: B) Process conflict. 14. XYZ Ltd groups all activities having the same objective under one plan and one head. This reflects which principle? A) Unity of Command. B) Authority. C) Unity of Direction. D) Centralisation. Show Answer Correct Answer: C) Unity of Direction. 15. Plan developed for recurring situations A) Standing Plans. B) Single use Plans. C) None of the above. D) None of the above. Show Answer Correct Answer: A) Standing Plans. 16. ..... is referred to as "doing things right"; ..... is referred to as "doing the right things." A) Economy, efficacy. B) Efficiency; economy. C) Efficacy; effectiveness. D) Efficiency; effectiveness. Show Answer Correct Answer: D) Efficiency; effectiveness. 17. Which management principle states that work should be divided so that each person will perform a specialized portion? A) Division of work. B) Chain of command. C) Unity of direction. D) Unity of command. Show Answer Correct Answer: A) Division of work. 18. Which of the following is a benefit of scientific decisions? A) Less information. B) Better outcomes. C) Increased uncertainty. D) Higher costs. Show Answer Correct Answer: B) Better outcomes. 19. Ethical responsibilities include meeting other social expectations, not written as ..... A) Contract. B) Story. C) Law. D) Poem. Show Answer Correct Answer: C) Law. 20. Henri Fayol, a French industrialist, first analyzed what managers do and divided that work into functions The study of the management function that defines goals and establishes strategies to achieve them is called: A) Leading. B) Organizing. C) Controlling. D) Planning. Show Answer Correct Answer: D) Planning. 21. Grapevine communication can not flourish in all types of organisations A) A.True. B) B.False. C) All the above. D) None of the above. Show Answer Correct Answer: B) B.False. 22. ..... training is given in the latest development in the field of technology is known as A) Refresher. B) Induction. C) Job. D) Craft. Show Answer Correct Answer: A) Refresher. 23. The function of management that involves forecasting the future and deciding in advance is: A) Staffing. B) Directing. C) Planning. D) Organising. Show Answer Correct Answer: C) Planning. 24. Maslow was a psychologist who developed a theory of motivation A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 25. According to this principle of scientific management, "Scientific management has for its foundation the firm conviction that true interest of the management and workers are one and the same; the prosperity for the employer cannot exist for a long time unless it is accompanied by prosperity for the employees and vice versa." A) Science, not rule of thumb. B) Harmony, not discord. C) Co-operation, not indivisualism. D) All of the above. Show Answer Correct Answer: B) Harmony, not discord. 26. Which of the following is a method used in Compliance-Based Ethics Programs? A) Creating a values-based framework. B) Encouraging ethical decision-making based on fairness. C) Creating codes of conduct, policies, and procedures that outline specific rules and standards. D) Promoting profit maximization. Show Answer Correct Answer: C) Creating codes of conduct, policies, and procedures that outline specific rules and standards. 27. The Roles of Managers was researched and Consolidated by A) W. Edward Demings. B) F.W Taylor. C) Henry Mintzberg. D) Joseph M. Juran. Show Answer Correct Answer: C) Henry Mintzberg. 28. District Clothier applied for a patent for a new kind of undergarment that incorporated a refrigerated gel pack for marathon runners to keep them cool. This company demonstrated A) Efficiency. B) Responsiveness. C) Empowerment. D) Quality. E) Innovation. Show Answer Correct Answer: E) Innovation. 29. According to ..... , the most effective management theory or idea depends on the kinds of problems or situations that managers are facing at a particular time and place.Select one: A) Contingency approach. B) Bureaucratic management. C) Scientific management. D) Human relations management. E) Administrative managemen. Show Answer Correct Answer: A) Contingency approach. 30. Although management principles may not give a ready-made solution to all problems, a manager may stress the primacy of the organization's aim in dealing with a scenario of conflict between two departments. Which of the management principles is emphasised above? A) Flexible. B) General Guidelines. C) Universal applicability. D) Contingent. Show Answer Correct Answer: B) General Guidelines. 31. Why is communication important in management? A) Improving the Controlling and Decision-Making Functions. B) Supporting the Planning and Organizing Functions. C) Enhancing the Leading and Motivating Functions. D) All of above. Show Answer Correct Answer: D) All of above. 32. Which of the following is not a principle of management according to Henri Fayol? A) Scalar chain. B) Unity of command. C) Centralization. D) Division of labor. Show Answer Correct Answer: B) Unity of command. 33. Students developing new wellness activities is an example of: A) Order. B) Initiative. C) Discipline. D) Remuneration. Show Answer Correct Answer: B) Initiative. 34. Who is the Curr ent Governor of RBI. A) Raghuram Rajan. B) Urjit Patel. C) D. Subbarao. D) Shaktikanta Das. Show Answer Correct Answer: D) Shaktikanta Das. 35. Which type of managers are responsible for reporting to middle managers? A) Executive managers. B) Employees. C) Managers. D) Team leaders. Show Answer Correct Answer: C) Managers. 36. Strategic plans cover a broader view of the organization and include the formulation of goals, whereas operational plans define ways to: A) Minimize the number of employees. B) Provide the most efficient methods of production. C) Maximize the organization's profits. D) Achieve the goals. Show Answer Correct Answer: D) Achieve the goals. 37. Which of the following highlights the significance of controlling? A) Ensures order and discipline. B) Helps achieving organisational goals. C) Efficient use of Resources. D) All. Show Answer Correct Answer: D) All. 38. Employees will be promoted on the basis of seniority is an example of ..... A) Methods. B) Policy. C) Procedures. D) Rules. Show Answer Correct Answer: B) Policy. 39. What does the P-O-L-C framework stand for? A) Planning, Organizing, Leading, Controlling. B) Planning, Organizing, Learning, Controlling. C) Planning, Organizing, Leading, Communicating. D) Planning, Operating, Leading, Controlling. Show Answer Correct Answer: A) Planning, Organizing, Leading, Controlling. 40. When managers give goals to employees, they must always: A) Use employee-recognition as a reward. B) Provide feedback to the employees. C) Let the employees participate in setting the goals. D) All of the given options. Show Answer Correct Answer: D) All of the given options. 41. Micropreneurs-start a viable organization for lifetimeSerial-start many organizations A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: B) FALSE. 42. Which principle of management focuses on 'Scalar Chain'? A) Division of Work. B) Unity of Direction. C) Order. D) Chain of Command. Show Answer Correct Answer: D) Chain of Command. 43. .... often refers to "the art of getting things done through the efforts of other people." A) Leadership. B) Empowerment. C) Management. D) Organizational readiness. Show Answer Correct Answer: C) Management. 44. What does the principle of Initiative encourage? A) Management to control all decisions. B) Limiting creativity in the workplace. C) Employees to take independent action. D) Employees to avoid taking action. Show Answer Correct Answer: C) Employees to take independent action. 45. What is the name for a leader that shares responsibility and seeks the well-being of those who work under them? A) Introspective Leaders. B) Servant Leaders. C) Intrinsic Leaders. D) Qualified Leaders. Show Answer Correct Answer: B) Servant Leaders. 46. To manage is to forecast and plan, to organize, to compound, to co-ordinate and to control. This definition was given by ..... A) Henri Fayool. B) Henry Fayol. C) Henri Fay. D) Henri Fayoll. Show Answer Correct Answer: B) Henry Fayol. 47. A management function that involves working with and through people to accomplish organizational goals A) Planning. B) Organizing. C) Leading. D) Controlling. Show Answer Correct Answer: C) Leading. 48. Management is best described as a process of ..... A) Controlling only. B) Planning and staffing only. C) Getting things done through people. D) Doing tasks individually. Show Answer Correct Answer: C) Getting things done through people. 49. What is the grade range for a 'C'? A) 70-79%. B) 60-69%. C) 90-100%. D) 80-89%. Show Answer Correct Answer: A) 70-79%. 50. A manager supervises first-line managers and is responsible for finding the best way to use resources to achieve organizational goals. A) Top manager. B) Middle manager. C) Supervisor. D) Team leader. Show Answer Correct Answer: B) Middle manager. 51. Method Study means A) Employing physical method. B) Employing scientific method. C) Employing innovative method. D) All of the above. Show Answer Correct Answer: B) Employing scientific method. 52. The classical period is also called as ..... A) The Scientific management period. B) The Unscientific management period. C) The Neo classical period. D) The Modern period. Show Answer Correct Answer: A) The Scientific management period. 53. Which types of global organization combines elements of both centralization and decentralization in its operations? A) Global Corporation. B) Multinational Corporation (MNC). C) International Corporation. D) Transnational Corporation. Show Answer Correct Answer: D) Transnational Corporation. 54. Reservation in Government sectors was initiated so that people with disabilities are ensured equal job opportunities. This is an example for A) Equity. B) Equality. C) Both A and B. D) None of the above. Show Answer Correct Answer: A) Equity. 55. Contingency management is about: A) Considering risks, doing an assessment just in case!. B) Managing depending on the situation. C) Managing by the objectives of the business. D) Assessing risks and looking for ways to minimize it. Show Answer Correct Answer: D) Assessing risks and looking for ways to minimize it. 56. Who Are Managers? A) *Someone who coordinates and oversees the work of other people so that organizational goals can be accomplished. B) *They may be male or female. C) *They can be young or old. D) None of the above. Show Answer Correct Answer: A) *Someone who coordinates and oversees the work of other people so that organizational goals can be accomplished. 57. What does the principle of Authority and Responsibility imply for PE teachers in schools? A) Teachers must follow orders from students. B) Teachers should focus only on grading. C) Teachers must have the right to give orders and take responsibility. D) Students decide class structure. Show Answer Correct Answer: C) Teachers must have the right to give orders and take responsibility. 58. Setting the organization's goals and deciding how best to achieve those goals is defined as: A) Organizing. B) Planning and Decision Making. C) Controlling. D) Leading. Show Answer Correct Answer: B) Planning and Decision Making. 59. The Wealth of Nations A) Adam Smith. B) Fredrick Taylor. C) All the above. D) None of the above. Show Answer Correct Answer: A) Adam Smith. 60. Which of management function involves bringing people together and ensuring that they work toward common goals? A) Planning. B) Leading. C) Controlling. D) Organizing. Show Answer Correct Answer: B) Leading. ← 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