Students who are going to appear for CBSE Class 12 Examinations are advised to practice the CBSE sample papers given here which is designed as per the latest Syllabus and marking scheme as prescribed by the CBSE is given here. Paper 6 of Solved CBSE Sample Papers for Class 12 Business Studies is given below with free PDF download solutions.<\/p>\n
Time: 3 Hours<\/strong> General Instructions<\/strong><\/p>\n (i) Answer to questions carrying 1 mark may be from one word to one sentence. Questions<\/strong><\/p>\n Question 1: State the dimension of business environment being discussed above.<\/p>\n Question 2: Question 3: Question 4: Question 5: Question 6: Question 7: Question 8: Question 9: Question 10: Question 11: Question 12: Question 13: Question 14: Question 15: Question 16: Question 17: Question 18: Question 19: Question 20: Question 21: Question 22: Question 23: Question 24: Question 25: Answers<\/strong><\/p>\n Answer 1: Answer 2: Answer 3:<\/p>\n Answer 4: Answer 5: Answer 6: Answer 7: Answer 8: Answer 9: Answer 10: Answer 11: Answer 12: (ii) Selection<\/strong> – Selection of personnel is a series of steps by which candidates are screened to find out which of them is best suited for a particular job. It is the process of dividing the applicants into two categories, namely,<\/p>\n Selection is a very comprehensive and complex process which involves a number of steps such as employment tests, interview, medical examination, etc. Answer 13: Answer 14: Answer 15: Answer 16: Answer 17: Answer 18: (ii) Transportation<\/strong> – Transportation means physical movement of goods from one place to another. Roadways, railways, shipping, etc., are used in transportation. Transportation is an important activity because most of the markets are geographically separated. Answer 19: A business enterprise is an economic institution and therefore, economic environment exercises significant influence on business. For example, reduction in rate of interest reduces the cost of capital and thus encourages more investment in business operations. Similarly taxation policy, monetary policy and industrial policy of the government influences the working of the organisation. A rise in the disposable income of people due to increase in national income creates increasing demand for products.<\/p>\n Answer 20: (b) Recruitment is the concept used by the firm to attract more workers for the firm. (c) Following are the merits of external sources of recruitment (Any two):<\/p>\n Answer 21: (b) Following are the limitations of planning :<\/p>\n Answer 22: Words with different meanings – Sometimes, sender of the message uses a word having several meanings. The receiver of message may perceive the meaning wrongly leading to communication problems. For example, value has different meanings.<\/p>\n Answer 23: (ii) Initiative –<\/strong> Initiative is the power of thinking out a plan and ensuring its successful implementation. It stimulates human endeavour. In other words, initiative means eagerness to initiate action without being asked to do so. Employees at all levels should be allowed to take initiative in work related matters. In an organisation, initiative on the part of its employees can become a great source of strength for it. One of the characteristics of management mentioned in the given para is that management is a group activity.<\/p>\n (iii) Management is a group activity –<\/strong> Management comes into picture where groups of persons are involved in working towards a common objective. Where a single individual works for his individual goals, management has no role to play.<\/p>\n Answer 24: Answer 25: We hope the CBSE Sample Papers for Class 12 Business Studies Paper 6 help you. If you have any query regarding CBSE Sample Papers for Class 12 Business Studies Paper 6, drop a comment below and we will get back to you at the earliest.<\/p>\n","protected":false},"excerpt":{"rendered":" CBSE Sample Papers for Class 12 Business Studies Paper 6 are part of CBSE Sample Papers for Class 12 Business Studies Here we have given CBSE Sample Papers for Class 12 Business Studies Paper 6. CBSE Sample Papers for Class 12 Business Studies Paper 6 Board CBSE Class XII Subject Business Studies Sample Paper Set […]<\/p>\n","protected":false},"author":9,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[6805],"tags":[],"yoast_head":"\n
\nMaximum Marks: 80<\/strong><\/p>\n
\n(ii) Answer to questions carrying 3 marks may have about 50 to 75 words.
\n(iii) Answer to questions carrying 4 – 5 marks may have about 150 words.
\n(iv) Answer to questions carrying 6 marks may have about 200 words.
\n(v) Attempt all the parts of a question together.<\/p>\n
\nBeni, after completing her MBA, took up a job with a multinational company named ‘Fortio’. The company was paying good salary and perks to its employees. The wages were within the paying capacity of the company that provided the employees a reasonable standard of living. The company also had a good work-culture and the behaviour of superiors was very good towards their subordinates. Beni was very happy in this organisation, but due to long working hours she did not have time to cook her meal. She had to depend upon outside food, which was deteriorating her health.
\nShe observed that this problem was faced by many of her colleagues, not only in her company but also in many other companies. This was because of increase in the number of working women and non-availability of hygienic home-cooked food. She identified this as a great opportunity and decided to give up her job to supply packaged home-cooked food to office goers at a reasonable price. At the end of the day she was also distributing the left-over food in the nearby night-shelters.<\/p>\n
\nWhat was the primary objective of demonetisation announced in 2016 by the Prime Minister Sh. Narendra Modi ?<\/p>\n
\nGive any two examples of single use plan.<\/p>\n
\nLaxmi Chemicals Ltd., a soap manufacturing company, wanted to increase its market share from 30% to 55% in the long run. A recent report submitted by the Research & Development Department of the company had predicted a growing trend of herbal and organic products. On the basis of this report the company decided to diversify into new variety of soaps with natural ingredients having benefits and fragrances of Jasmine, Rose, Lavender, Mogra, Lemon Grass, Green Apple, Strawberry etc. The Unique Selling Proposition (USP) was to promote eco\u00acfriendly living in the contemporary life style. The company decided to allocate \u20b9 30 crores to achieve the objective.
\nIdentify the type of one of the functions of management mentioned above which will help the company to acquire dominant position in the market.<\/p>\n
\nReshu’s father has gifted her shares of a large cement company, with which he had been working. The securities were in physical form. She already has a bank account and does not possess any other forms of securities.
\nShe wished to sell the shares and approached a registered broker for the purpose. Mention one mandatory detail which she will have to provide with the broker.<\/p>\n
\nHow do rising prices affect the requirement of working capital of an organisation ?<\/p>\n
\nGood Living Ltd. manufactures mosquito repellent tablets. These tablets are packed in strips of 12 tablets each. Each of these strips are packed in a cardboard box, 48 such boxes are then placed in a big corrugated box and delivered to various retailers for sale. State the purpose of packaging the tablets in a corrugated box.<\/p>\n
\nShreemaya Hotel in Indore was facing a problem of low demand for its rooms due to off season. The Managing Director (MD) of the hotel, Mrs Sakina was very worried. She called upon the Marketing Manager, Mr Kapoor for his advice. He suggested, that the hotel should announce an offer of ‘3 Days and 2 Nights hotel stay packaged with free breakfast and one day religious visit to Omkarehswar and Mahakaleshwar Temples’. The MD liked the suggestion very much. Identify the promotional tool, which can be used by the hotel, through which large number of prospective pilgrimage tourists, all over the country and also abroad, can be reached, infonned and persuaded to use the incentive.<\/p>\n
\nThe marketing manager of an organisation has been asked to achieve target sales of 100 generators per day. He delegates the task to 10 sales managers working under him. Two of them could not achieve their respective target. Is the marketing manager responsible ? Briefly explain the relevant principle in support of your answer.<\/p>\n
\nABC Crackers Ltd., a fire-cracker manufacturing company launched some new products on the eve of Diwali in the market, which attracted many buyers. To meet the increased demand the company employed people from nearby villages where there is a lot of unemployment. Because of the good behaviour of the management with the employees, more and more people wanted to join the company. As the products were in great demand in the market, a competitor imitated the products. The products of the competitor were not accepted by the consumers as it was a status symbol to buy the products of ABC Crackers Ltd. because of their quality. Identify and explain the product-related decision because of which consumers preferred the products of ABC Crackers Ltd.<\/p>\n
\n‘If anything goes wrong with the performance of key activities, the entire organisation suffers. Therefore, the organisation should focus on them\/ Explain the statement with a suitable example.<\/p>\n
\nAakanksha, Nikita and Parishma are the owners of a handicraft unit in the urban area of Dibrugarh in Assam, which is involved in the manufacturing and marketing of Sital Pati, traditional mats and Jappi (the traditional headgear). They decided to shift this manufacturing unit to a rural area with an objective of reducing the cost and providing job opportunities to the locals.
\nThey followed the functional structure in this organisation with a view to increasing managerial and operational efficiency.
\nThey assessed and analysed the type and number of employees required, keeping in mind that they had to encourage the women, and the people with special needs belonging to the rural area.
\nState the next three steps that they will have to undertake, for obtaining a satisfied workforce for their handicraft unit.<\/p>\n
\nSaqib Ltd. is a large credit worthy company operating in the Kashmir Valley. It is an export oriented unit, dealing in exclusive embroidered shawls. The floods in the Valley have created many problems for the company. Many craftsmen and workers have been dislocated and raw material has been destroyed. The firm is therefore, unable to get an uninterrupted supply of raw material, and the duration of the production cycle has also increased. To add to the problems of the organisation, 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.
\nAs a finance manager of the company name and explain the alternative to bank borrowing that the company can use to resolve the crisis.<\/p>\n
\nKiran Industries is a company manufacturing office furniture. The company chose to diversify its operations to improve its growth potential and increase market share. As the project was important many alternatives were generated for the purpose and were thoroughly discussed amongst the members of the organisation. After evaluating the various alternatives Sukhvinder, the Managing Director of the company decided that they should add ‘Home Interiors and Furnishings’ as a new line of business activity.<\/p>\n\n
\nMrs Rajlaxmi is working as the Human Resource Consultant in a firm manufacturing cosmetic, which is facing a problem of high employee turnover. The CEO of the company has invited suggestions from her for retaining the talented employees and reducing the employee turnover. Mrs Rajlaxmi recommends that the good employees be rewarded in a way that it creates a feeling of ownership among the employees and at the same time makes them contribute towards the growth of the organisation.<\/p>\n\n
\nDifferent techniques were developed by Taylor to facilitate principles of scientific management. One of the technique suggests that each worker should be supervised by different specialists in different phases of his job.
\nIdentify the technique and explain it.<\/p>\n
\nSupriya’s grandmother who was unwell, called her and gave her a gift packet. Supriya opened the packet and saw many crumpled share certificates inside. Her grandmother told her that they had been left behind by her late grandfather.
\nAs no trading is now done in physical form, Supriya wants to know the process by adopting which she is in a position to deal with these certificates.<\/p>\n\n
\n“Every time I travelled, people asked me to bring them chips, khakra and pickles from all over the country”, says Anoushka. Finally, she and her colleague, Sumeet, decided to make a business out of it. They launched a facebook page, asked people what they wanted, and they came up with a list of about 100 places and tied up with two dozen vendors to begin with. They were servicing people from Jaipur who wanted spices from Kerala, people from Panipat who wanted halwa from Jammu and people from Delhi who ordered for fresh tea leaves from Darjeeling. Through their business they wished to bridge the gap between sellers and buyers. The business is now worth millions.
\nExplain any two important activities that Anoushka and Sumeet will have to be involved in for making the goods available to the customers at the right place, in the right quantity and at the right time.<\/p>\n
\nOn November 8, 2016 the Prime Minister of India Sh. Narendra Modi announced that the Government of India has withdrawn the old \u20b9 500 and \u20b91,000 currency notes as an official mode of payment. Demonetisation is an example of a key component of the business environment. Name the components and explain it in brief.<\/p>\n
\nJoseph Bros, was a firm manufacturing jute lamp shades. It uses left over jute pieces from various jute factories to manufacture economical lamp shades which are supplied to various hotels in nearby towns. It employs men and women from nearby villages as workers for creating good lamp shade designs.
\nJoseph Bros, is not able to meet its targets. Namish, the supervisor of the company, was told to analyse the reasons for the poor performance. Namish found following problems and suggested certain solutions in the working of the business. The number of workers employed was less than what was required for the work. As a result, the existing workers were overburdened. The firm decided to search for new workers and it asked the present employees to introduce candidates or recommend their friends and relatives to the firm. This enabled the firm in “putting people to jobs” and assured attainment of objectives according to plans.<\/p>\n\n
\nSuhasini a home science graduate from a reputed college has recently done a cookery course. She wished to start her own venture with a goal to provide ‘health food’ at reasonable price. She discussed her idea with her teacher (mentor) who encouraged her. After analysing various options for starting her business venture, they shortlisted the option to sell readymade and ‘ready to make’ vegetable shakes and sattu milk shakes. Then, they both weighed the pros and cons of both the shortlisted options.<\/p>\n\n
\nNeeraj, a sales representative of ‘Omida Ltd.’ has changed seven jobs in the last one year. He is a hard working person but is not able to finalise deals with the customers due to his inadequate vocabulary and omission of needed words. Sometimes he uses wrong words because of which intended meaning is not conveyed. All this created a mis-understanding between him and his clients.<\/p>\n\n
\nNutan Tiffin Box Service was started in Mumbai by Mumbai Dabbawalas. The Dabbawalas who are the soul of entire Mumbai aim to provide prompt and efficient services by providing tasty homemade tiffin to all office goers at right time and place. The service is uninterrupted even on the days of bad weather, political unrest and social disturbances. Recently they have started online booking system through their website ‘mydabbawala.com’. Owing to their tremendous popularity amongst the happy and satisfied customers and members, the dabbawalas were invited as guest lecturers by top business schools. The Dabbawalas operate in a group of 25 – 30 people along with a group leader. Each group teams up with other groups in order to deliver the tiffin on time. They are not transferred on frequent basis as they have to remember the addresses of their customers. They follow certain rules while doing trade – No alcohol during working hours; No leave without permission; Wearing of white cap & carrying ID cards during business hours.
\nFurther, employees are encouraged to develop and carryout their plans for improvements in the activities of the organisation.
\nRecently on the suggestion of a few self-motivated fellow men, the dabbawalas thought out and executed a plan of providing food left in tiffins by customers to slum children. They have instructed their customers to place red sticker if food is left in the tiffin, to be fed to poor children later.
\nState the principles of management given by Fayol and one characteristic of management mentioned in the above case.<\/p>\n
\nShalini, after acquiring a degree in Hotel Management and Business Administration took over her family food processing company of manufacturing pickles, jams and squashes. The business was established by her great grandmother and was doing reasonably well. However the fixed operating costs of the business were high and the cash flow position was weak. She wanted to undertake modernisation of the existing business to introduce the latest manufacturing processes and diversify into the market of chocolates and candies. She was very enthusiastic and approached a finance consultant, who told her that approximately \u20b950 lakh would be required for undertaking the modernisation and expansion programme. He also informed her that the stock market was going through a bullish phase.<\/p>\n\n
\nShalini should keep in mind while taking this decision.<\/li>\n<\/ol>\n
\nAman a degreeholder in Entrepreneurship came to know about Piplantri Village located in Rajasthan, where in 2006 an initiative was started, in which 111 trees are planted every time a girl child is born.
\nTo keep termites away from the trees the villagers have planted 2.5 million Aloe Vera plants around the trees. This has turned the village into an oasis, as the planting of trees led to higher water levels.
\nAman decided to visit the village to start a business unit, for the processing and marketing of Aloe Vera into juices, gels and other products.
\nHowever, on visiting the village Aman found that the villagers were suffering exploitation at the hands of local merchants who were engaged in unscrupulous, exploitative trade practices like hoarding and black marketing of food products and also selling unsafe, adulterated products ‘ to the villagers.
\nAfter looking at their plight instead of a business organisation he decided to set up an organisation for the protection and promotion of the consumer interest of the villagers.
\nState the functions that the organisation established by Aman will be performing.<\/p>\n
\nSocial dimension.<\/p>\n
\nTo curb black money.<\/p>\n\n
\nThe given para mentions the strategy as a type of plan which will help the company to acquire dominant position in the market. Hence, management function is ‘planning’.<\/p>\n
\nReshu will have to provide with the broker her Permanent Account Number (PAN).<\/p>\n
\nRising prices will lead to higher amount of working capital of an organisation because the organisation will require more amount to maintain same volume of production and sales activities.<\/p>\n
\nThe purpose of packaging the tablets in a corrugated box is to facilitate storage, identification and transportation of tablets.<\/p>\n
\nAdvertising can be used by the hotel to reach, inform and persuade the tourists all over the country.<\/p>\n
\nYes, the marketing manager is responsible.
\nIt is due to the principle of absolute responsibility, an important principle of delegation. According to principle of absolute responsibility, authority can be delegated but responsibility cannot be delegated by a manager. The manager continues to remain responsible or accountable to his own superior for the tasks which he may have assigned to his subordinates. Hence, manager cannot escape from responsibility for any default on the part of his subordinates.<\/p>\n
\nThe product-related decision because of which consumers preferred the products of ABC Crackers Ltd. is Branding.
\nBranding means giving a name, sign symbol, design or a combination of them to product by which it should become known by the consumers. The main purpose of branding is to distinguish a 1 manufacture’s product from the rival products. Thus, branding helps in creating product differentiation. Branding helps the customers in identifying the products. This results in repeat purchase of the products. Branding ensures a particular level of quality of the product. Use of branded goods adds to status symbol of customers.<\/p>\n
\nThe given statement highlights the principle of ‘critical point control’ while analysing the deviations.
\nThe principle of ‘critical point control’ emphasises that the management of an organisation K should have its focus on deviations in the key areas i.e., deviations critical to performance of key activities. For example, if postal expenses increase by 10 per cent, the deviation is not important to require managerial attention. But, if cost of direct materials rise by even 1 per cent, it should receive immediate attention. Therefore, it is rightly said, “if you try to control everything you may end up by controlling nothing”. More a manager concentrates his energies on important deviations, the more effective will be the process of controlling.<\/p>\n
\nAfter the process of manpower planning, Aakanksha, Nikita and Parishma should undertake following steps for obtaining workforce :
\n(i) Recruitment<\/strong> – Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the organisation. Following are two sources of recruitment:<\/p>\n\n
\n
\n(iii) Orientation and placement<\/strong> – Placement is the process of fitting the selected person to the right job. Orientation is the task of introducing and familiarising the new employee to the rules and policies of the organisation.<\/p>\n
\nAs a finance manager of company, I shall opt for one of the money market instruments, preferably commercial paper. Commercial paper is a short-term unsecured promissory note, negotiable and transferable by endorsement and delivery with a fixed maturity period. Following are the features of a commercial paper :<\/p>\n\n
\n(a) Divisional structure is the framework which the diversified organisation should adopt.
\nOne of the reason in support of divisional structure is that divisional structure facilitates growth and expansion as new divisions can be added without disrupting the existing operations by merely adding another divisional head and staff for the new product line.
\n(b) Following are the limitations of the divisional structure :<\/p>\n\n
\n(a) The given para highlights the financial incentive to be adopted by the firm. Among the financial incentives, the above mentioned para mentions co-partnership as financial incentive.
\n
\nCo-partnership –<\/strong> Under the scheme of co-partnership, a worker gets his usual wages, a share in the profit of the company and a share in the management of the company as well. Co-partnership implies both profit-sharing and control sharing.
\n(b) Following are some of the other financial incentives :<\/p>\n\n
\nThe technique of scientific management discussed in above case is functional foremanship. Under the scientific management, there should be specialisation in the administrative and organisa- tidnal set-up of the plan. For this, Taylor suggested functional foremanship. In this way, a worker is supervised by several specialist foremen. This is shown in following figure :
\n![\"CBSE](\"https:\/\/farm5.staticflickr.com\/4902\/46298693051_ace0f3b9b7_o.png\")
\nFollowing are the features of functional foremanship :<\/p>\n\n
\n(a) Supriya should adopt the process of dematerialisation.
\nDematerialisation of shares means a process of converting the physical form of shares into electronic form. Under dematerialisation, an investor holds the various securities as an electronic balance in an account. Dematerialisation requires an investor to open an account with a depository participant.
\n(b) Following are the reasons to Supriya why dealing with shares in physical form had been stopped:<\/p>\n\n
\nFor making the goods available to the customers at the right place, in the right quantity and at the right time, following activities relating to physical distribution are required :
\n(i) Order processing<\/strong> – Order placement is the first step. Order processing cycle involves the following:<\/p>\n\n
\n(iii) Warehousing –<\/strong> Warehousing refers to an activity of holding the goods in perfect state to create time utility. The purpose of warehousing is to provide safety and protection of goods. Warehousing is needed when there is difference between the time of consumption and time of production.<\/p>\n
\nDemonetisation is a component of economic environment of business.
\nEconomic environment refers to broad characteristics of the economic system in which a business enterprise operates. Following are the components of economic environment:<\/p>\n\n
\n(a) In the given situation, following functions of management are being performed by the firm:<\/p>\n\n
\nJoseph Bros, is relying on recommendations of employees of external sources of recruitment.<\/p>\n\n
\n(a) Planning is the function of management being discussed in the given para.
\nOne of the characteristics of planning is that planning is a mental exercise. Planning implies ability to think out ways to benefit from the opportunities which have yet to arise. Planning is a mental activity. Planning requires application of mind involving foresightedness, intelligent imagination and judgment. Managers have to consider various courses of action, evaluate the merits and demerits of every course of action and then finally decide which course of action may suit them best. The quality of planning will vary according to quality of mind of the manager.<\/p>\n\n
\n(a) Communication barrier discussed above is badly expressed message.
\n(b) The category of badly expressed message is semantic barrier. Semantic barriers of communication are the problems or obstructions in the process of encoding and decoding of message into words or impressions.
\n(c) Following are other important semantic barriers :<\/p>\n\n
\n(a) (i)<\/strong> Principle of Discipline –<\/strong> Discipline in the context of management means obedi\u00acence, proper conduct in relation to others and complying with the rules and regulations of the organisation. Smooth running of business requires discipline. Discipline is required not only on the part of workers but also on the part of management. It is facilitated if there are good supervisors at all levels, rules are clear, and penalties are imposed with fairness.
\nThe positive effect of principle of discipline is to ensure smooth running of business.<\/p>\n
\n(a) Shalini should not choose ‘debt’ as a source of finance for financing the modernisation and expansion of her business.
\nThe main reason for our suggestion is that the cash flow position of the firm is weak and as a result, the firm may not be able to honour fixed cash payment obligations.
\n(b) Following are the other factors which Shalini should keep in mind while taking the decision relating to source of finance :<\/p>\n\n
\nAman has set up a non-government organisation (NGO) for the protection and promotion of the consumer interest. Such organisation will perform following functions :<\/p>\n\n