Free CBSE Business Studies Multiple Choice Questions for Class 12 along with answers Chapter 8: Controlling. Business Studies MCQs for Class 12 chapter-wise with answers are prepared based on the current exam pattern. Students can tackle MCQs with answers to realise their spadework level.
1. In a marketing firm, the Financial Manager pays more attention towards an increase of 3% in the marketing cost as compared to a 15% increase in the courier expenses. Identify the concept being used by the manager.
(a) Management by exception
(b) Critical point control
(c) Corrective action
(d) None of the above
Answer: (b) Critical point control
2. Reducing the workers, absenteeism in a factory by 20% is an example of _____.
(a) Quantitative standard
(b) Qualitative standard
(c) Deviation
(d) None of the above
Answer: (a) Quantitative standard
3. Which of the following is not important for controlling function?
(a) It ensures order and discipline.
(b) It restricts coordination in action.
(c) It helps in judging the accuracy of standards.
(d) It improves employee motivation.
Answer: (b) It restricts coordination in action.
4. Controlling is known as a backward-looking function because _____.
(a) It relates to a future course of action.
(b) It is like a post-mortem of the past activities
(c) To find out deviation, it aims at improving future performance.
(d) All of the above
Answer: (b) It is like a post-mortem of the past activities
5. Which of the following statements does not highlight the relationship between planning and controlling?
(a) Planning and controlling are separable twins of management.
(b) Planning without controlling is meaningless; controlling without planning is blind.
(c) Planning is prescriptive, controlling is evaluative.
(d) Planning and controlling are interrelated and interdependent.
Answer: (a) Planning and controlling are separable twins of management.
6. The need for the controlling function is felt in _____.
(a) Business organisations
(b) Political organisations
(c) Social organisations
(d) All of the above
Answer: (d) All of the above
7. It is the process of ensuring that events conform to plans.
(a) Planning
(b) Controlling
(c) Organising
(d) Directing
Answer: (b) Controlling
8. In an artificial plant manufacturing unit, the standard output set for a worker is 50 units per day. Dinesh produces 48 units in one day. In the given case, the value of deviation is _____.
(a) -2
(b) + 2
(c) 98
(d) None of the above
Answer: (a) -2
9. The controlling function is performed by _____.
(a) Top-level management
(b) Lower level management
(c) Middle level management
(d) All of the above
Answer: (d) All of the above
10. When the deviations between the actual performance and the planned performance are within the limits ________.
(a) A limited corrective action is required
(b) No corrective action is required
(c) A major corrective action is required
(d) None of the above
Answer: (b) No corrective action is required
11. Controlling function brings the management cycle back to the _____.
(a) Organising function
(b) Directing function
(c) Planning function
(d) None of the above
Answer: (c) Planning function
12. This concept of Control Management is based on the belief that if you try to control everything, you may end up controlling nothing.
(a) Critical point control
(b) Key result areas
(c) Management by exception
(d) Deviations
Answer: (c) Management by exception
13. Identify the correct sequence of the steps involved in the controlling process.
(a) Measurement of actual performance, Taking corrective action, Setting performance standards, Comparison of actual performance with standards, Analysing deviations
(b) Comparison of actual performance with standards, Setting performance standards. Measurement of actual performance, Analysing deviations, Taking corrective action
(c) Setting performance standards, Measurement of actual performance, Comparison of actual performance with standards, Analysing deviations, Taking corrective action
(d) Taking corrective action, Measurement of actual performance, Comparison of actual performance with standards, Analysing deviations, Setting performance standards
Answer: (c) Setting performance standards, Measurement of actual performance, Comparison of actual performance with standards, Analysing deviations, Taking corrective action
14. Deviations are said to be positive in nature when _____.
(a) Planned performance is more than the actual performance
(b) Actual performance is more than the planned performance
(c) Both planned and actual performances are the same
(d) None of the above
Answer: (b) Actual performance is more than the planned performance
15. Which of the following is a technique used for measuring actual performance?
(a) Random sampling
(b) Personal observation
(c) Performance reports
(d) All of the above
Answer: (d) All of the above
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