CUET Business Studies Previous Year Solved Paper 1 (16 July 2022 Slot-1) - Humanities/Arts MCQ

Organising includes appointing assignments, gathering tasks into offices, designating authority, and distributing assets across the association. During the organising process, administrators coordinate employees, assets, procedures, and policies to work with the objectives distinguished in the plan.

Functional structure is roost suitable when the size of the organisation is large, has diversified activities and operations requires a high degree of specialisation.

Centralisation refers to the retention of decision making authority. Centralisation implies a situation where the decision making power is retained by the top level management. Under such a system, other levels of management do not have a right to intervene in policy making.

The correct answer is D: C and E only.

Consumer responsibilities refer to the duties and obligations that consumers should be aware of and follow when purchasing, using, and consuming goods and services. The options C and E listed below are examples of consumer responsibilities:

C. Choose only legal goods and services:

• Consumers should only purchase and use goods and services that are legal and ethically sound.
• This includes avoiding counterfeit products, illegal drugs, and services that are prohibited by law.
• By choosing legal goods and services, consumers can support businesses that operate ethically and responsibly.

E. Form consumer societies which would play an active part in educating consumers:

• Consumer societies and organizations can help educate consumers about their rights and responsibilities.
• These groups can raise awareness of consumer issues, promote ethical business practices, and advocate for stronger consumer protection laws.
• By participating in or supporting consumer societies, consumers can help create a more informed and empowered consumer base.

Options A, B, and D are not examples of consumer responsibilities, as they are actions that businesses and service providers should take to ensure their products and services meet consumer needs and expectations.

Section 20 of the Consumer Protection Act, 1986 deals with the National Commission. It consists of the President and four Members

Ecomark or Eco mark is a certification mark issued by the Bureau of Indian Standards (the national standards organization of India) to products conforming to a set of standards aimed at the least impact on the ecosystem.

Caveat Venditor is a Latin maxim meaning ‘let the seller beware’.

The correct order of the given steps of the staffing process, considering that a pool of eligible candidates has been created already, is: Option A:

Let's break down each step in this order:

Selection (D)

• In this step, the organization chooses the most suitable candidates from the pool of eligible applicants.
• Various techniques, such as interviews, tests, and background checks, are used to evaluate and compare the candidates' qualifications and skills.

Placement and Orientation (B)

• Once the candidates are selected, they are assigned to their respective positions within the organization.
• During orientation, new employees are introduced to the company's culture, policies, and procedures, as well as their specific job responsibilities.

Training and Development (A)

• This step involves providing the necessary training and development programs to help employees improve their skills and competencies.
• Training can be on-the-job or off-the-job, and it may include workshops, seminars, or e-learning courses.

Performance Appraisal (E)

• In this step, the organization evaluates the employees' performance against predetermined standards and objectives.
• The assessment may be based on various factors, such as job knowledge, quality of work, productivity, and teamwork.
• Performance appraisals are essential for identifying employees' strengths and weaknesses, which can be used to plan further training and development programs.

Promotion and Career Planning (C)

• Finally, organizations must plan and manage employees' career paths to retain and motivate them.
• This step involves identifying potential candidates for promotion, providing them with opportunities for growth, and preparing them for higher-level roles.
• Career planning also includes succession planning, which ensures that the organization has a pipeline of qualified candidates for key positions in the future.

The correct answer is B:

**Selection Process Sequence**

A. **Preliminary screening:**

• - Review of job applications and resumes
• - Shortlisting of candidates based on qualifications and experience

B. Selection test:

• Conducting aptitude, skills, or personality tests
• Evaluating candidates' suitability for the position

D. Employment interview:

• Conducting face-to-face, phone, or video interviews
• Assessing candidates' communication skills, motivation, and cultural fit

E. Reference and background checks:

• Contacting previous employers or other references
• Verification of employment history, education, and other credentials

C. Selection decision:

• Analyzing assessment results, interviews, and reference checks
• Choosing the most suitable candidate(s) for the position

This sequence ensures that the hiring process is efficient and effective in identifying the most qualified candidates. By following these steps, employers can make informed decisions and select the best candidates for their organization.

Proper staffing ensures continuous survival and growth of an enterprise through succession planning for managers

According to Koontz & O’Donell, staffing “involves manning the organisation structure through proper and effective selection, appraisal and development of personnel to fill the roles designed on the structure”.

The correct answer is B:  

A. Reference and background check:

• Before making a selection decision, employers typically conduct reference and background checks on potential candidates. This step helps ensure that the candidate has the necessary qualifications, experience, and character traits for the job.

D. Selection decision:

• Based on the information gathered during the application, interview, and reference check stages, the employer makes a decision on which candidate is the best fit for the job.

C. Medical examination:

• Some employers require candidates to undergo medical examinations to ensure they are physically and mentally fit for the job. This step is particularly important for positions that involve manual labor, safety-sensitive tasks, or high levels of stress.

B. Job offer:

• Once a candidate has been selected and passed any required medical examinations, the employer extends a formal job offer. This offer typically includes details about the position, salary, benefits, and start date.

E. Control of employment:

• After the candidate has accepted the job offer, the employer begins the onboarding process. This includes completing necessary paperwork, providing orientation and training, and integrating the new employee into the organization.

By following this sequence, employers can ensure a thorough and effective selection process that leads to hiring the best candidate for the job.

Legal environment

Interrelatedness.Different elements of business environment are closely inter-related and interdependent. A change in one element affects the other elements.

• Suhana is applying the theories and concepts she learned during her MBA program to solve managerial problems in her job.
• Art involves the application of practical knowledge, personal skills, and creativity to achieve desired results.
• In this case, Suhana is using her personal skills and knowledge of management to tackle various challenges in her role as a Marketing Manager.
• Management as an art emphasizes the importance of experience, practice, and individual creativity in managing different situations and achieving organizational goals.
• Therefore, the nature of management demonstrated by Suhana can be best described as management as an art, as she is applying her learned knowledge and skills to solve problems and achieve success in her career.

It helps in Achieving Group Goals - It arranges the factors of production, assembles and organizes the resources, integrates the
resources in effective manner to achieve goals

Efficiency is also increased when for the same benefit or outputs, fewer resources are used and less costs are incurred

A financial decision which is concerned with deciding how much of the profit earned by the company should be distributed among shareholders (dividend) and how much should be retained for the future contingencies (retained earnings) is called dividend decision

The companies that prefer collaborations or joint ventures need less fixed capital as these companies can share plants and machinery with the collaborators. However, if a company prefers to operate its business as an independent unit, then it will require more fixed capital.

The correct answer is D: A, C, and E only.

Capital structure is the mix of debt and equity that a company uses to finance its operations and growth. There are several factors that can affect a company's capital structure, including:

A. Cash flow position:

• Companies with strong and stable cash flows can support a higher level of debt in their capital structure.
• Firms with less predictable cash flows may need to rely more on equity financing to reduce the risk of defaulting on debt obligations.

C. Stock market conditions:

• Favorable stock market conditions can make it easier and more cost-effective for companies to issue new shares of stock to raise capital.
• In contrast, unfavorable market conditions can make it more difficult and expensive to issue equity, which may lead companies to rely more on debt financing.

E. Cost of equity:

• The cost of equity is the return required by shareholders for investing in a company's stock.
• A higher cost of equity means that a company must generate greater returns to satisfy its shareholders, which can influence the company's choice of capital structure.
• If the cost of equity is high, a company may choose to finance its operations through debt, which typically has a lower cost of capital.

Other factors that can impact capital structure, but are not included in the answer options, are:
- Company's risk profile
- Tax considerations
- Financial flexibility
- Management's preferences and philosophy
- Industry norms and practices

Good sense and experience are needed to ensure fairness to all employees, who should be treated as fairly as possible,” according to Fayol

Broad and general guidelines for decision-making

A – 1100 B – 720 C – 1000
A = 22 × 50
B = 18 × 40
C = 20 × 50

Performing and exercising such power under Securities Contracts (Regulation) Act 1956, as may be delegated by the Government of India

Representatives of trading members:-The Board of NSE comprises senior executives from promoter institutions and eminent professionals, without having any representation from trading members

The forces of demand and supply- market conditions

Commercial bills, also a money market instrument, works more like the bill of exchange. Businesses issue them to meet their short-term money requirements. These instruments provide much better liquidity