This quiz works best with JavaScript enabled. Home > Class 12 > Class 12 Business Studies Chapter 4 Planning – Quiz 14 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 4 Planning Quiz 14 (25 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. In traditional goal setting, goals set by top managers flow down through the organization and become subgoals for each organizational area A) TRUE. B) FALSE. C) All the above. D) None of the above. Show Answer Correct Answer: A) TRUE. 2. The final task in the financial section of a feasibility study is performing a(n) A) Annual review. B) Organizational assessment. C) Estimate of revenues. D) Profitability analysis. Show Answer Correct Answer: D) Profitability analysis. 3. Which of the following best defines the term variable cost? A cost which: A) Stays the same regardless of output. B) Changes according to output. C) Changes with time. D) Changes according to revenue. Show Answer Correct Answer: B) Changes according to output. 4. What is a standard? A) The examination of an organization's internal strengths and weaknesses. B) The special capabilities of a company that allow it to create a product or service that is measurably better than any competing company. C) A specific measure against which something is judged. D) Guidelines used in making decisions regarding specific, recurring situations. Show Answer Correct Answer: C) A specific measure against which something is judged. 5. Which of the following is a major problem that an entrepreneur might encounter when writing a business plan for the first time? A) To explain the business idea and where it came from. B) Forecasting product sales accurately. C) To include details about the owners. D) To find an appropriate format to present the plan. Show Answer Correct Answer: B) Forecasting product sales accurately. 6. Which step in the planning process involves analyzing the current conditions of the business, competition, and target market? A) Situational Analysis. B) Generating Alternatives. C) Evaluating Options. D) Goal Setting. Show Answer Correct Answer: A) Situational Analysis. 7. The SAC is on A) Next Monday. B) Next Tuesday. C) Next Wednesday. D) Tomorrow. Show Answer Correct Answer: B) Next Tuesday. 8. Competition in the market can also upset financial plans, sales targets have to be revised accordingly, cash budget also needed to be modified. Identify the limitation of planning. A) (i) Planning may not work in dynamic environment. B) (ii) Planning leads to rigidity. C) (iii) Planning is time consuming. D) (iv) Planning involves decision making. Show Answer Correct Answer: A) (i) Planning may not work in dynamic environment. 9. A Vision Statement is? A) Short term. B) Long term. C) Informal plan. D) Step by step plan. Show Answer Correct Answer: B) Long term. 10. New age entreprenuers see an inrease in ..... A) Pure entrepreneurs. B) Social Media entrepreneurs. C) Utilitarian entreprenuers. D) Social revolt. Show Answer Correct Answer: C) Utilitarian entreprenuers. 11. Assertion (A):Budget is a fundamental planning instrument. Reason (R):Making a budget involves forecasting, therefore, it clearly comes under planning. A) Both A and R are true and R is the correct explanation of A. B) Both A and R are true but R is not the correct explanation of A. C) A is true but R is false. D) A is false but R is true. Show Answer Correct Answer: A) Both A and R are true and R is the correct explanation of A. 12. What information about the creators of the business is usually provided in a business description? A) Titles and responsibilities, experience. B) Marketing strategy, financial plan. C) Products or services, location. D) Titles and salaries, number of employees. Show Answer Correct Answer: A) Titles and responsibilities, experience. 13. In business planning, what does SWOT stand for? A) Strengths, Weaknesses, Opportunities, Threats. B) Strategies, Workflows, Objectives, Targets. C) Systems, Work, Operations, Tactics. D) Sales, Workforce, Output, Trends. Show Answer Correct Answer: A) Strengths, Weaknesses, Opportunities, Threats. 14. Which of the following is not an invention of the Neolithic Period? A) Tool Building. B) Glass Making. C) Herding. D) Pottery. Show Answer Correct Answer: B) Glass Making. 15. Which of the following defines the term revenue? A) The money the business makes after total costs are deducted. B) The money the business makes after variable costs are deducted. C) The money the business makes from selling its goods or services. D) The money the business makes after fixed costs are deducted. Show Answer Correct Answer: C) The money the business makes from selling its goods or services. 16. A manager assigns his stock clerks to particular aisles to stock the shelves. A) Planning. B) Organizing. C) Leading. D) Controlling. E) Staffing. Show Answer Correct Answer: B) Organizing. 17. Why is it important to have a business plan? A) To clearly identify in writing all aspects of your business. B) To increase the risk. C) To avoid showing to potential investors. D) To reduce the clarity of business aspects. Show Answer Correct Answer: A) To clearly identify in writing all aspects of your business. 18. What is the purpose of writing a business plan? A) To brainstorm ideas. B) To turn an idea into actionable steps. C) To pitch on TV. D) To wait for the next business venture. Show Answer Correct Answer: B) To turn an idea into actionable steps. 19. What is the purpose of the professional fees worksheet in a feasibility study? A) To outline the costs of various professional services involved in the project. B) To estimate ongoing costs of the project. C) To assess potential risks and uncertainties. D) To evaluate the market conditions. Show Answer Correct Answer: A) To outline the costs of various professional services involved in the project. 20. A manager goes through resumes to determine the best candidates for the job opening. A) Planning. B) Organizing. C) Leading. D) Controlling. E) Staffing. Show Answer Correct Answer: E) Staffing. 21. The cost of ERP is ..... A) Depends on the package. B) Depends on available resources. C) Technology used. D) All the above. Show Answer Correct Answer: D) All the above. 22. In business terms, what is a 'benchmark'? A) A standard or point of reference in measuring performance. B) A financial statement. C) A type of investment. D) A marketing strategy. Show Answer Correct Answer: A) A standard or point of reference in measuring performance. 23. How does limiting a company's scope benefit the company? A) It makes it easier to produce a high quality product. B) It allows the company to hire more employees. C) All the above. D) None of the above. Show Answer Correct Answer: A) It makes it easier to produce a high quality product. 24. What is a line organization? A) Being able to trace all authority and responsibility in a direct line from the top executive down to the lowest employee level in the organization. B) The examination of the organization's internal strengths and weaknesses. C) The obligation to accept responsibility for the outcomes of assigned tasks. D) The right to make decisions about work assignments and to require other employees to perform assigned tasks. Show Answer Correct Answer: A) Being able to trace all authority and responsibility in a direct line from the top executive down to the lowest employee level in the organization. 25. What is meant by the term "mission statement" ? A) A broad statement of a business purpose and goals/objectives. B) A plan of action for future years. C) A plan of missions in overseas markets/countries. D) Statement read by a business's CEO during a press conference. Show Answer Correct Answer: A) A broad statement of a business purpose and goals/objectives. ← PreviousNext →Related QuizzesClass 12 Business Studies Chapter 4 Planning Quiz 1Class 12 Business Studies Chapter 4 Planning Quiz 2Class 12 Business Studies Chapter 4 Planning Quiz 3Class 12 Business Studies Chapter 4 Planning Quiz 4Class 12 Business Studies Chapter 4 Planning Quiz 5Class 12 Business Studies Chapter 4 Planning Quiz 6Class 12 Business Studies Chapter 4 Planning Quiz 7Class 12 Business Studies Chapter 4 Planning Quiz 8Class 12 Business Studies Chapter 4 Planning Quiz 9Class 12 Business Studies Chapter 4 Planning Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books