CBSE Business Studies Past year paper Delhi (Set - 2) - 2017, Class 12 | Additional Study Material for Commerce PDF Download

 Page 1


  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
CBSE 
Class XII Business Studies 
Delhi Board Paper Set 2 – 2017 
 
Time: 3 hrs Max. Marks: 80 
 
Note:  
? Please check that this question paper contains 12 printed pages. 
? Code number given on the right hand side of the question paper should be written on the 
title page of the answer-book by the candidate.  
? Please check that this question paper contains 25 questions. 
? Please write down the Serial Number of the question before attempting it. 
? 15 minutes time has been allotted to read this question paper. The question paper will be 
distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the students will read the 
question paper only and will not write any answer on the answer-book during this 
period. 
  
General Instructions: 
(i) All questions in both the sections are compulsory.  
(ii) Marks for questions are indicated against each question. 
(iii) Questions No. 1 – 8 are very short-answer questions carrying 1 mark each. They are 
required to be answered in one sentence each. 
(iv) Questions No. 9 – 13 are short answer questions carrying 3 marks each. Answers to 
them should normally not exceed 50 – 75 words each. 
(v) Questions No. 14 – 19 are also short answer questions carrying 4 marks each. 
Answers to them should normally not exceed 150 words each. 
(vi) Question No.  20 – 22 are long-answer questions carrying 5 marks each. Answers to 
them should normally not exceed 150 words each.  
(vii) Question No. 23 – 25 are long-answer questions carrying 6 marks each. Answers to 
them should normally not exceed 200 words each.  
(viii)  Answers should be brief and to the point and the above word limits should be 
adhered to as far as possible. 
 
1. What is meant by ‘financial management’?  [1] 
 
2. Why is 'employment interview' conducted in the process of selection?  [1] 
 
3. Sunita took her niece. Aishwarya for shopping to 'Benetton' to buy her a dress on the 
occasion of her birthday. She was delighted when on payment for the dress she got a 
discount voucher to get 20% off for a meal of Rs 500 or above at a famous eating joint.  
Identify the technique of sales promotion used by the company in the above situation? [1] 
 
Page 2


  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
CBSE 
Class XII Business Studies 
Delhi Board Paper Set 2 – 2017 
 
Time: 3 hrs Max. Marks: 80 
 
Note:  
? Please check that this question paper contains 12 printed pages. 
? Code number given on the right hand side of the question paper should be written on the 
title page of the answer-book by the candidate.  
? Please check that this question paper contains 25 questions. 
? Please write down the Serial Number of the question before attempting it. 
? 15 minutes time has been allotted to read this question paper. The question paper will be 
distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the students will read the 
question paper only and will not write any answer on the answer-book during this 
period. 
  
General Instructions: 
(i) All questions in both the sections are compulsory.  
(ii) Marks for questions are indicated against each question. 
(iii) Questions No. 1 – 8 are very short-answer questions carrying 1 mark each. They are 
required to be answered in one sentence each. 
(iv) Questions No. 9 – 13 are short answer questions carrying 3 marks each. Answers to 
them should normally not exceed 50 – 75 words each. 
(v) Questions No. 14 – 19 are also short answer questions carrying 4 marks each. 
Answers to them should normally not exceed 150 words each. 
(vi) Question No.  20 – 22 are long-answer questions carrying 5 marks each. Answers to 
them should normally not exceed 150 words each.  
(vii) Question No. 23 – 25 are long-answer questions carrying 6 marks each. Answers to 
them should normally not exceed 200 words each.  
(viii)  Answers should be brief and to the point and the above word limits should be 
adhered to as far as possible. 
 
1. What is meant by ‘financial management’?  [1] 
 
2. Why is 'employment interview' conducted in the process of selection?  [1] 
 
3. Sunita took her niece. Aishwarya for shopping to 'Benetton' to buy her a dress on the 
occasion of her birthday. She was delighted when on payment for the dress she got a 
discount voucher to get 20% off for a meal of Rs 500 or above at a famous eating joint.  
Identify the technique of sales promotion used by the company in the above situation? [1] 
 
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
4. Meca Ltd. a reputed automobile manufacturer needs Rupees ten crores as additional 
capital to expand its business. Atul Jalan, the CEO of the company wanted to raise funds 
through equity. On the other hand the Finance Manager, Nimi Sandev said that the public 
issue may be expensive on account of various mandatory and non-mandatory expenses. 
Therefore, it was decided to allot the securities to institutional investors. 
Name the method through which the company decided to raise additional capital. [1] 
 
5. Differentiate between 'formal' and 'informal' organisation on the basis of 'origin.' [1] 
 
6. Give the meaning of 'motivation' as an element of directing. [1] 
 
7. Alpha Enterprises is a company manufacturing water geysers. The company has a 
functional structure with four main functions Production, Marketing, Finance and Human 
Resource. As the demand for the product grew, the company decided to hire more 
employees.  
Identify the concept which will help the Human Resource Manager in deciding the actual 
number of persons required in each department. [1] 
 
8. Hina Sweets is a renowned name for quality sweets since 1935. Harsh the owner of Hina 
Sweets was worried as the sales had declined during the last three months. When he 
enquired from the Sales Manager, the Sales Manager reported that there were some 
complaints about the quality of sweets. Therefore Harsh ordered for sample checking of 
sweets. 
Identify the step taken by Harsh that is related to one of the functions of management. [1] 
 
9. Explain briefly 'discipline' and 'scalar chain' as principles of general management. [3] 
 
10. State any three limitations of planning. [3]  
 
11. Explain any three points that highlight the importance of directing function of 
management. [3] 
 
12.  Ginika, Tanish and Rohit were friends from college days and now they are doing different 
kinds of business. They regularly meet and discuss their business ideas and exchange notes 
on customer satisfaction, marketing efforts, product designing, selling techniques, social 
concerns etc. 
In one of such meetings, Ginika drew the attention of Tanish and Rohit towards the 
exploitation of consumers. She told that most of the sellers were exploiting the consumers 
in various ways and were not paying attention towards the social, ethical and ecological 
aspects of marketing, whereas she was not doing so. 
Tanish told that they were under pressure to satisfy the consumers, but stated that the 
consumers would not buy or not buy enough unless they were adequately convinced and 
motivated for the same.  
Page 3


  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
CBSE 
Class XII Business Studies 
Delhi Board Paper Set 2 – 2017 
 
Time: 3 hrs Max. Marks: 80 
 
Note:  
? Please check that this question paper contains 12 printed pages. 
? Code number given on the right hand side of the question paper should be written on the 
title page of the answer-book by the candidate.  
? Please check that this question paper contains 25 questions. 
? Please write down the Serial Number of the question before attempting it. 
? 15 minutes time has been allotted to read this question paper. The question paper will be 
distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the students will read the 
question paper only and will not write any answer on the answer-book during this 
period. 
  
General Instructions: 
(i) All questions in both the sections are compulsory.  
(ii) Marks for questions are indicated against each question. 
(iii) Questions No. 1 – 8 are very short-answer questions carrying 1 mark each. They are 
required to be answered in one sentence each. 
(iv) Questions No. 9 – 13 are short answer questions carrying 3 marks each. Answers to 
them should normally not exceed 50 – 75 words each. 
(v) Questions No. 14 – 19 are also short answer questions carrying 4 marks each. 
Answers to them should normally not exceed 150 words each. 
(vi) Question No.  20 – 22 are long-answer questions carrying 5 marks each. Answers to 
them should normally not exceed 150 words each.  
(vii) Question No. 23 – 25 are long-answer questions carrying 6 marks each. Answers to 
them should normally not exceed 200 words each.  
(viii)  Answers should be brief and to the point and the above word limits should be 
adhered to as far as possible. 
 
1. What is meant by ‘financial management’?  [1] 
 
2. Why is 'employment interview' conducted in the process of selection?  [1] 
 
3. Sunita took her niece. Aishwarya for shopping to 'Benetton' to buy her a dress on the 
occasion of her birthday. She was delighted when on payment for the dress she got a 
discount voucher to get 20% off for a meal of Rs 500 or above at a famous eating joint.  
Identify the technique of sales promotion used by the company in the above situation? [1] 
 
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
4. Meca Ltd. a reputed automobile manufacturer needs Rupees ten crores as additional 
capital to expand its business. Atul Jalan, the CEO of the company wanted to raise funds 
through equity. On the other hand the Finance Manager, Nimi Sandev said that the public 
issue may be expensive on account of various mandatory and non-mandatory expenses. 
Therefore, it was decided to allot the securities to institutional investors. 
Name the method through which the company decided to raise additional capital. [1] 
 
5. Differentiate between 'formal' and 'informal' organisation on the basis of 'origin.' [1] 
 
6. Give the meaning of 'motivation' as an element of directing. [1] 
 
7. Alpha Enterprises is a company manufacturing water geysers. The company has a 
functional structure with four main functions Production, Marketing, Finance and Human 
Resource. As the demand for the product grew, the company decided to hire more 
employees.  
Identify the concept which will help the Human Resource Manager in deciding the actual 
number of persons required in each department. [1] 
 
8. Hina Sweets is a renowned name for quality sweets since 1935. Harsh the owner of Hina 
Sweets was worried as the sales had declined during the last three months. When he 
enquired from the Sales Manager, the Sales Manager reported that there were some 
complaints about the quality of sweets. Therefore Harsh ordered for sample checking of 
sweets. 
Identify the step taken by Harsh that is related to one of the functions of management. [1] 
 
9. Explain briefly 'discipline' and 'scalar chain' as principles of general management. [3] 
 
10. State any three limitations of planning. [3]  
 
11. Explain any three points that highlight the importance of directing function of 
management. [3] 
 
12.  Ginika, Tanish and Rohit were friends from college days and now they are doing different 
kinds of business. They regularly meet and discuss their business ideas and exchange notes 
on customer satisfaction, marketing efforts, product designing, selling techniques, social 
concerns etc. 
In one of such meetings, Ginika drew the attention of Tanish and Rohit towards the 
exploitation of consumers. She told that most of the sellers were exploiting the consumers 
in various ways and were not paying attention towards the social, ethical and ecological 
aspects of marketing, whereas she was not doing so. 
Tanish told that they were under pressure to satisfy the consumers, but stated that the 
consumers would not buy or not buy enough unless they were adequately convinced and 
motivated for the same.  
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
Rohit stressed that a company cannot achieve its objectives without understanding the 
needs of the customers. It was the duty of the businessmen to keep consumer satisfaction 
in mind because business is run by the resources made available to them by the society. He 
further stated that he himself was taking into consideration the needs of the customers. 
Identify the various types of thinking that guided Ginika, Tanish and Rohit in te making 
efforts of their business. Also, state one more feature of the various types of thinking 
identified that is not given in the above para. [3] 
  
13. Somnath Ltd. is engaged in the business of export of garments. In the past, the performance 
of the company had been up-to the expectations. In line with the latest technology, the 
company decided to upgrade its machinery. For this, the Finance Manager. Dalmia 
estimated the amount of funds required and the timings. This will help the company in 
linking the investment and the financing decisions on a continuous basis. Dalmia therefore, 
began with the preparation of a sales forecast for the next four years. He also collected the 
relevant data about the profit estimates in the coming years. By doing this, he wanted to be 
sure about the availability of funds from the internal sources of the business. For the 
remaining funds he is trying to find out alternative sources from outside. 
Justify the financial concept discussed in the above para. Also state the objectives to be 
achieved by the use of financial concept, so identified. [3] 
 
14. Sanchit, after completing his entrepreneurship course from Sweden returned to India and 
started a coffee shop 'AromaCoffeeCan' in a famous mall in New Delhi. The speciality of the 
coffee shop was the special aroma of coffee and wide variety of flavours to choose from. 
Somehow, the business was neither profitable nor popular, Sanchit was keen to find tout 
the reason. He appointed Sandhya, an MBA from a reputed college, as a Manager to find out 
the causes for the same.  
Sandhya took feedback from the clients and found out that though they loved the special 
unique aroma of coffee but were not happy with the long waiting time being taken to 
process the order. She analysed and found out that there were many unnecessary 
obstructions in between which could be eliminated. She fixed a standard time for 
processing the order. 
She also realised that there were some flavours whose demand was not enough. So, she 
also decided to stop the sale of such flvaours. As a result with in a short period Sandhya was 
able to attract the customers.  
Identify and explain any two techniques of scientific management used by Sandhya to solve 
the poblem. [3] 
 
15. Ashutosh Goenka was working in 'Axe Ltd.', a company manufacturing air purifiers. He 
found that the profits had started declining from the last six months. Profit has an 
implication for the survival of the firm, so he analysed the business environment to find out 
the reasons for this decline. 
(a) Identify the level of management at which Ashutosh Goenka was working. 
(b) State three other function being performed by Ashutosh Goenka. [4] 
Page 4


  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
CBSE 
Class XII Business Studies 
Delhi Board Paper Set 2 – 2017 
 
Time: 3 hrs Max. Marks: 80 
 
Note:  
? Please check that this question paper contains 12 printed pages. 
? Code number given on the right hand side of the question paper should be written on the 
title page of the answer-book by the candidate.  
? Please check that this question paper contains 25 questions. 
? Please write down the Serial Number of the question before attempting it. 
? 15 minutes time has been allotted to read this question paper. The question paper will be 
distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the students will read the 
question paper only and will not write any answer on the answer-book during this 
period. 
  
General Instructions: 
(i) All questions in both the sections are compulsory.  
(ii) Marks for questions are indicated against each question. 
(iii) Questions No. 1 – 8 are very short-answer questions carrying 1 mark each. They are 
required to be answered in one sentence each. 
(iv) Questions No. 9 – 13 are short answer questions carrying 3 marks each. Answers to 
them should normally not exceed 50 – 75 words each. 
(v) Questions No. 14 – 19 are also short answer questions carrying 4 marks each. 
Answers to them should normally not exceed 150 words each. 
(vi) Question No.  20 – 22 are long-answer questions carrying 5 marks each. Answers to 
them should normally not exceed 150 words each.  
(vii) Question No. 23 – 25 are long-answer questions carrying 6 marks each. Answers to 
them should normally not exceed 200 words each.  
(viii)  Answers should be brief and to the point and the above word limits should be 
adhered to as far as possible. 
 
1. What is meant by ‘financial management’?  [1] 
 
2. Why is 'employment interview' conducted in the process of selection?  [1] 
 
3. Sunita took her niece. Aishwarya for shopping to 'Benetton' to buy her a dress on the 
occasion of her birthday. She was delighted when on payment for the dress she got a 
discount voucher to get 20% off for a meal of Rs 500 or above at a famous eating joint.  
Identify the technique of sales promotion used by the company in the above situation? [1] 
 
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
4. Meca Ltd. a reputed automobile manufacturer needs Rupees ten crores as additional 
capital to expand its business. Atul Jalan, the CEO of the company wanted to raise funds 
through equity. On the other hand the Finance Manager, Nimi Sandev said that the public 
issue may be expensive on account of various mandatory and non-mandatory expenses. 
Therefore, it was decided to allot the securities to institutional investors. 
Name the method through which the company decided to raise additional capital. [1] 
 
5. Differentiate between 'formal' and 'informal' organisation on the basis of 'origin.' [1] 
 
6. Give the meaning of 'motivation' as an element of directing. [1] 
 
7. Alpha Enterprises is a company manufacturing water geysers. The company has a 
functional structure with four main functions Production, Marketing, Finance and Human 
Resource. As the demand for the product grew, the company decided to hire more 
employees.  
Identify the concept which will help the Human Resource Manager in deciding the actual 
number of persons required in each department. [1] 
 
8. Hina Sweets is a renowned name for quality sweets since 1935. Harsh the owner of Hina 
Sweets was worried as the sales had declined during the last three months. When he 
enquired from the Sales Manager, the Sales Manager reported that there were some 
complaints about the quality of sweets. Therefore Harsh ordered for sample checking of 
sweets. 
Identify the step taken by Harsh that is related to one of the functions of management. [1] 
 
9. Explain briefly 'discipline' and 'scalar chain' as principles of general management. [3] 
 
10. State any three limitations of planning. [3]  
 
11. Explain any three points that highlight the importance of directing function of 
management. [3] 
 
12.  Ginika, Tanish and Rohit were friends from college days and now they are doing different 
kinds of business. They regularly meet and discuss their business ideas and exchange notes 
on customer satisfaction, marketing efforts, product designing, selling techniques, social 
concerns etc. 
In one of such meetings, Ginika drew the attention of Tanish and Rohit towards the 
exploitation of consumers. She told that most of the sellers were exploiting the consumers 
in various ways and were not paying attention towards the social, ethical and ecological 
aspects of marketing, whereas she was not doing so. 
Tanish told that they were under pressure to satisfy the consumers, but stated that the 
consumers would not buy or not buy enough unless they were adequately convinced and 
motivated for the same.  
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
Rohit stressed that a company cannot achieve its objectives without understanding the 
needs of the customers. It was the duty of the businessmen to keep consumer satisfaction 
in mind because business is run by the resources made available to them by the society. He 
further stated that he himself was taking into consideration the needs of the customers. 
Identify the various types of thinking that guided Ginika, Tanish and Rohit in te making 
efforts of their business. Also, state one more feature of the various types of thinking 
identified that is not given in the above para. [3] 
  
13. Somnath Ltd. is engaged in the business of export of garments. In the past, the performance 
of the company had been up-to the expectations. In line with the latest technology, the 
company decided to upgrade its machinery. For this, the Finance Manager. Dalmia 
estimated the amount of funds required and the timings. This will help the company in 
linking the investment and the financing decisions on a continuous basis. Dalmia therefore, 
began with the preparation of a sales forecast for the next four years. He also collected the 
relevant data about the profit estimates in the coming years. By doing this, he wanted to be 
sure about the availability of funds from the internal sources of the business. For the 
remaining funds he is trying to find out alternative sources from outside. 
Justify the financial concept discussed in the above para. Also state the objectives to be 
achieved by the use of financial concept, so identified. [3] 
 
14. Sanchit, after completing his entrepreneurship course from Sweden returned to India and 
started a coffee shop 'AromaCoffeeCan' in a famous mall in New Delhi. The speciality of the 
coffee shop was the special aroma of coffee and wide variety of flavours to choose from. 
Somehow, the business was neither profitable nor popular, Sanchit was keen to find tout 
the reason. He appointed Sandhya, an MBA from a reputed college, as a Manager to find out 
the causes for the same.  
Sandhya took feedback from the clients and found out that though they loved the special 
unique aroma of coffee but were not happy with the long waiting time being taken to 
process the order. She analysed and found out that there were many unnecessary 
obstructions in between which could be eliminated. She fixed a standard time for 
processing the order. 
She also realised that there were some flavours whose demand was not enough. So, she 
also decided to stop the sale of such flvaours. As a result with in a short period Sandhya was 
able to attract the customers.  
Identify and explain any two techniques of scientific management used by Sandhya to solve 
the poblem. [3] 
 
15. Ashutosh Goenka was working in 'Axe Ltd.', a company manufacturing air purifiers. He 
found that the profits had started declining from the last six months. Profit has an 
implication for the survival of the firm, so he analysed the business environment to find out 
the reasons for this decline. 
(a) Identify the level of management at which Ashutosh Goenka was working. 
(b) State three other function being performed by Ashutosh Goenka. [4] 
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
 
16. Give the meaning of ‘procedure’ and rule as types of plans. [4] 
 
17. Umang Gupta is the Managing Director of Denver Ltd. The company had established a good 
name for itself and had been doing well. It was known for timely completion of orders. The 
Production Manager, Ms. Kanta was efficiently handling the processing of orders and had a 
team of fourteen motivated employees working under her. Everything was going on well. 
Unfortunately she met with an accident. Umang knew that in the absence of Ms. Kanta, the 
company may not be able to meet the deadlines. He also knew that not meeting the 
deadlines may lead to customer dissatisfaction with the risk of loss of business and 
goodwill. So, he had a meeting with his employees in which accurate and speedy processing 
of orders was planned. Everybody agreed to work as team because the behaviour of Umang 
Gupta was positive towards the employees of the organisation. Hence everyone put in extra 
time and efforts and the targets were met on time.  
Not only this, Umang visited Ms. Kanta and advised her to take sufficient rest. 
(a) Identify the leadership style of Umang Gupta and draw a diagram depicting the style. 
(b) State any two values highlighted by the behaviour of Umang Gupta. [4] 
 
18.  Explain briefly 'transfers' and 'promotions' as internal sources of recruitment.  [4] 
 
19. These days, the development of a country is also judged by its system of transferring 
finance from the sector where it is in surplus to the sector where it is needed most. To give 
strength to the economy, SEBI is undertaking measures to develop the capital market. In 
addition to this there is another market in which unsecured and short-term debt 
instruments are actively traded everyday. These markets together help the savers and 
investors in directing the available funds into their most productive investment 
opportunity. 
(a) Name the function being performed by the market in the above case. 
(b) Also, explain briefly three other functions performed by this market. [4] 
 
20. Indian Youth Organisation (IYO) organised a visit of its members to an old age home to 
inculcate the habit of social work among them. The visit revealed that the living conditions 
of the inmates of the old age home were not hygienic. So, the IYO members decided to clean 
the premises. During their cleanliness drive, they realised that the old age home also 
required pest control. But some of the inmates of old age home were reluctant for it 
because they believed that the pest control may create health problems for them. IYO, 
therefore decided to provide ethical, safe and odourless pest control. They showed to the 
inmates of old age home a pamphlet of the proposed pest control product which promised 
easy, inexpensive and long lasting pest control. The inmates happily agreed and the pest 
control was carried out. It worked for a fortnight but to their dismay the effect started 
wearing off. IYO contacted the pest control company which kept on postponing their visit. 
After waiting for a month, IYO filed a case in the consumer court.  
The consumer court was satisfied about the genuineness of the complaint and issued 
Page 5


  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
CBSE 
Class XII Business Studies 
Delhi Board Paper Set 2 – 2017 
 
Time: 3 hrs Max. Marks: 80 
 
Note:  
? Please check that this question paper contains 12 printed pages. 
? Code number given on the right hand side of the question paper should be written on the 
title page of the answer-book by the candidate.  
? Please check that this question paper contains 25 questions. 
? Please write down the Serial Number of the question before attempting it. 
? 15 minutes time has been allotted to read this question paper. The question paper will be 
distributed at 10.15 a.m. From 10.15 a.m. to 10.30 a.m., the students will read the 
question paper only and will not write any answer on the answer-book during this 
period. 
  
General Instructions: 
(i) All questions in both the sections are compulsory.  
(ii) Marks for questions are indicated against each question. 
(iii) Questions No. 1 – 8 are very short-answer questions carrying 1 mark each. They are 
required to be answered in one sentence each. 
(iv) Questions No. 9 – 13 are short answer questions carrying 3 marks each. Answers to 
them should normally not exceed 50 – 75 words each. 
(v) Questions No. 14 – 19 are also short answer questions carrying 4 marks each. 
Answers to them should normally not exceed 150 words each. 
(vi) Question No.  20 – 22 are long-answer questions carrying 5 marks each. Answers to 
them should normally not exceed 150 words each.  
(vii) Question No. 23 – 25 are long-answer questions carrying 6 marks each. Answers to 
them should normally not exceed 200 words each.  
(viii)  Answers should be brief and to the point and the above word limits should be 
adhered to as far as possible. 
 
1. What is meant by ‘financial management’?  [1] 
 
2. Why is 'employment interview' conducted in the process of selection?  [1] 
 
3. Sunita took her niece. Aishwarya for shopping to 'Benetton' to buy her a dress on the 
occasion of her birthday. She was delighted when on payment for the dress she got a 
discount voucher to get 20% off for a meal of Rs 500 or above at a famous eating joint.  
Identify the technique of sales promotion used by the company in the above situation? [1] 
 
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
4. Meca Ltd. a reputed automobile manufacturer needs Rupees ten crores as additional 
capital to expand its business. Atul Jalan, the CEO of the company wanted to raise funds 
through equity. On the other hand the Finance Manager, Nimi Sandev said that the public 
issue may be expensive on account of various mandatory and non-mandatory expenses. 
Therefore, it was decided to allot the securities to institutional investors. 
Name the method through which the company decided to raise additional capital. [1] 
 
5. Differentiate between 'formal' and 'informal' organisation on the basis of 'origin.' [1] 
 
6. Give the meaning of 'motivation' as an element of directing. [1] 
 
7. Alpha Enterprises is a company manufacturing water geysers. The company has a 
functional structure with four main functions Production, Marketing, Finance and Human 
Resource. As the demand for the product grew, the company decided to hire more 
employees.  
Identify the concept which will help the Human Resource Manager in deciding the actual 
number of persons required in each department. [1] 
 
8. Hina Sweets is a renowned name for quality sweets since 1935. Harsh the owner of Hina 
Sweets was worried as the sales had declined during the last three months. When he 
enquired from the Sales Manager, the Sales Manager reported that there were some 
complaints about the quality of sweets. Therefore Harsh ordered for sample checking of 
sweets. 
Identify the step taken by Harsh that is related to one of the functions of management. [1] 
 
9. Explain briefly 'discipline' and 'scalar chain' as principles of general management. [3] 
 
10. State any three limitations of planning. [3]  
 
11. Explain any three points that highlight the importance of directing function of 
management. [3] 
 
12.  Ginika, Tanish and Rohit were friends from college days and now they are doing different 
kinds of business. They regularly meet and discuss their business ideas and exchange notes 
on customer satisfaction, marketing efforts, product designing, selling techniques, social 
concerns etc. 
In one of such meetings, Ginika drew the attention of Tanish and Rohit towards the 
exploitation of consumers. She told that most of the sellers were exploiting the consumers 
in various ways and were not paying attention towards the social, ethical and ecological 
aspects of marketing, whereas she was not doing so. 
Tanish told that they were under pressure to satisfy the consumers, but stated that the 
consumers would not buy or not buy enough unless they were adequately convinced and 
motivated for the same.  
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
Rohit stressed that a company cannot achieve its objectives without understanding the 
needs of the customers. It was the duty of the businessmen to keep consumer satisfaction 
in mind because business is run by the resources made available to them by the society. He 
further stated that he himself was taking into consideration the needs of the customers. 
Identify the various types of thinking that guided Ginika, Tanish and Rohit in te making 
efforts of their business. Also, state one more feature of the various types of thinking 
identified that is not given in the above para. [3] 
  
13. Somnath Ltd. is engaged in the business of export of garments. In the past, the performance 
of the company had been up-to the expectations. In line with the latest technology, the 
company decided to upgrade its machinery. For this, the Finance Manager. Dalmia 
estimated the amount of funds required and the timings. This will help the company in 
linking the investment and the financing decisions on a continuous basis. Dalmia therefore, 
began with the preparation of a sales forecast for the next four years. He also collected the 
relevant data about the profit estimates in the coming years. By doing this, he wanted to be 
sure about the availability of funds from the internal sources of the business. For the 
remaining funds he is trying to find out alternative sources from outside. 
Justify the financial concept discussed in the above para. Also state the objectives to be 
achieved by the use of financial concept, so identified. [3] 
 
14. Sanchit, after completing his entrepreneurship course from Sweden returned to India and 
started a coffee shop 'AromaCoffeeCan' in a famous mall in New Delhi. The speciality of the 
coffee shop was the special aroma of coffee and wide variety of flavours to choose from. 
Somehow, the business was neither profitable nor popular, Sanchit was keen to find tout 
the reason. He appointed Sandhya, an MBA from a reputed college, as a Manager to find out 
the causes for the same.  
Sandhya took feedback from the clients and found out that though they loved the special 
unique aroma of coffee but were not happy with the long waiting time being taken to 
process the order. She analysed and found out that there were many unnecessary 
obstructions in between which could be eliminated. She fixed a standard time for 
processing the order. 
She also realised that there were some flavours whose demand was not enough. So, she 
also decided to stop the sale of such flvaours. As a result with in a short period Sandhya was 
able to attract the customers.  
Identify and explain any two techniques of scientific management used by Sandhya to solve 
the poblem. [3] 
 
15. Ashutosh Goenka was working in 'Axe Ltd.', a company manufacturing air purifiers. He 
found that the profits had started declining from the last six months. Profit has an 
implication for the survival of the firm, so he analysed the business environment to find out 
the reasons for this decline. 
(a) Identify the level of management at which Ashutosh Goenka was working. 
(b) State three other function being performed by Ashutosh Goenka. [4] 
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
 
16. Give the meaning of ‘procedure’ and rule as types of plans. [4] 
 
17. Umang Gupta is the Managing Director of Denver Ltd. The company had established a good 
name for itself and had been doing well. It was known for timely completion of orders. The 
Production Manager, Ms. Kanta was efficiently handling the processing of orders and had a 
team of fourteen motivated employees working under her. Everything was going on well. 
Unfortunately she met with an accident. Umang knew that in the absence of Ms. Kanta, the 
company may not be able to meet the deadlines. He also knew that not meeting the 
deadlines may lead to customer dissatisfaction with the risk of loss of business and 
goodwill. So, he had a meeting with his employees in which accurate and speedy processing 
of orders was planned. Everybody agreed to work as team because the behaviour of Umang 
Gupta was positive towards the employees of the organisation. Hence everyone put in extra 
time and efforts and the targets were met on time.  
Not only this, Umang visited Ms. Kanta and advised her to take sufficient rest. 
(a) Identify the leadership style of Umang Gupta and draw a diagram depicting the style. 
(b) State any two values highlighted by the behaviour of Umang Gupta. [4] 
 
18.  Explain briefly 'transfers' and 'promotions' as internal sources of recruitment.  [4] 
 
19. These days, the development of a country is also judged by its system of transferring 
finance from the sector where it is in surplus to the sector where it is needed most. To give 
strength to the economy, SEBI is undertaking measures to develop the capital market. In 
addition to this there is another market in which unsecured and short-term debt 
instruments are actively traded everyday. These markets together help the savers and 
investors in directing the available funds into their most productive investment 
opportunity. 
(a) Name the function being performed by the market in the above case. 
(b) Also, explain briefly three other functions performed by this market. [4] 
 
20. Indian Youth Organisation (IYO) organised a visit of its members to an old age home to 
inculcate the habit of social work among them. The visit revealed that the living conditions 
of the inmates of the old age home were not hygienic. So, the IYO members decided to clean 
the premises. During their cleanliness drive, they realised that the old age home also 
required pest control. But some of the inmates of old age home were reluctant for it 
because they believed that the pest control may create health problems for them. IYO, 
therefore decided to provide ethical, safe and odourless pest control. They showed to the 
inmates of old age home a pamphlet of the proposed pest control product which promised 
easy, inexpensive and long lasting pest control. The inmates happily agreed and the pest 
control was carried out. It worked for a fortnight but to their dismay the effect started 
wearing off. IYO contacted the pest control company which kept on postponing their visit. 
After waiting for a month, IYO filed a case in the consumer court.  
The consumer court was satisfied about the genuineness of the complaint and issued 
  
 
CBSE XII  | Business Studies 
Delhi Board Paper Set 2 ? 2017 
 
     
 
necessary directions to the pest control company. 
(a) State any six directions that might have been issued by the court. 
(b) Also, identify any two values that are being communicated by IYO to the society. [4] 
 
21. Metlapp Networks and Technologies Ltd. is a leader in technology innovation in the 
United States, creating products and solutions for connecting the world. It has a large 
research and development team which invented the first smart watch, named as W-7. 
The watch besides showing the time also monitors few health parameters like heart 
beat, blood pressure etc. 
 
While in search of markets abroad, the company found that in India, the reform process 
was underway with the aim of accelerating the pace of economic growth. The company 
decided to take advantage of simplified export procedure and removal of quantitative as 
well as tariff restrictions in India.  
 
It set up its office in Jamnagar with a view to capture the Indian market. In a short span of 
time, the company emerged as a market leader. Success of the company attracted many 
other players to enter the market. Competition resulted in reduction in prices, there-by 
benefiting the customers. 
 
(a) In the above paragraph, two major concepts related to government policy have been 
discussed. Identify and explain these concepts.  
(b) Also, explain briefly any three impacts of these concepts on Indian business and 
industry. [5] 
 
22. Describe briefly the relationship between controlling and planning. [5] 
 
23.  Mediquip Ltd. is a company dealing in distribution of medical equipments. The 
company recently imported 15000 units of sugar testing machines to test the sugar 
levels without taking blood samples. For deciding the marketing strategy, the Chief 
Executive Officer of the company called a meeting of the marketing heads of different 
zones. 
 
In the meeting, Sandeep, the North Zone Marketing Head, suggested that since the 
machines were sophisticated they need to visit hospitals to personally, explain its 
working to the hospital staff who would be using the machines. He also suggested that 
additional trained people may be recruited for the same.  
Himanshu, another Zonal Head, added that since lot of money had been spent on the 
import of the machines, the company was short of funds to pay to the additional staff as 
suggested by Sandeep.