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 Page 1


 
 
                 
Roll Number 
   
Code Number 
A 
 
General Instructions: 
1. All questions are compulsory.  
2. Answer to questions carrying 1 mark may be from one word to one sentence  
3. Answer to questions carrying 3 marks may be from 50-75 words  
4. Answer to questions carrying 4-5 marks may be about 150 words  
5. Answer to questions carrying 6 marks may be about 200 words 
1. Define business. 1 
2. `Industry and Commerce are interchangeable terms’. Do you agree with this statement? 
Give reasons. 
1 
3. Enumerate any two merits of sole proprietorship. 1 
4. Define a Joint stock company. 1 
5. What do you understand by Public Enterprises? 1 
6. In whose name government purchases the shares of a government company? 1 
7. Name the type of deposit which is suitable for business organisations. 1 
8. In the context of modern world, state e-banking. 1 
9. Explain any 3 characteristics of business. 3 
10. Explain any 3 limitations of partnership form of business organization. 3 
11. Differentiate between a public company and a private company. 3 
12. Explain the following types of partners: 
a) Nominal partner b) Secret partner c) Partner by estoppels 
 
3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES  
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 2


 
 
                 
Roll Number 
   
Code Number 
A 
 
General Instructions: 
1. All questions are compulsory.  
2. Answer to questions carrying 1 mark may be from one word to one sentence  
3. Answer to questions carrying 3 marks may be from 50-75 words  
4. Answer to questions carrying 4-5 marks may be about 150 words  
5. Answer to questions carrying 6 marks may be about 200 words 
1. Define business. 1 
2. `Industry and Commerce are interchangeable terms’. Do you agree with this statement? 
Give reasons. 
1 
3. Enumerate any two merits of sole proprietorship. 1 
4. Define a Joint stock company. 1 
5. What do you understand by Public Enterprises? 1 
6. In whose name government purchases the shares of a government company? 1 
7. Name the type of deposit which is suitable for business organisations. 1 
8. In the context of modern world, state e-banking. 1 
9. Explain any 3 characteristics of business. 3 
10. Explain any 3 limitations of partnership form of business organization. 3 
11. Differentiate between a public company and a private company. 3 
12. Explain the following types of partners: 
a) Nominal partner b) Secret partner c) Partner by estoppels 
 
3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES  
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 2 of 2 
 
13. Explain any 3 demerits of a Hindu Undivided Family (HUF) business. 3 
14. What are the different kinds of organisations that come under the public sector? Explain 
briefly. 
3 
15. Briefly explain the primary functions of Commercial banks. 3 
16. Dalda Oil Mills produce refine oil. The entire production of oil produced by Dalda Oil 
Mills is purchased by Raga Oil Depot, who in turn sells it to various retailers. Mrs. Aashi 
purchased 3 kg of Dalda Oil from Balaji Groceries. Name the following: 
 
a) Manufacturer           b) Whole saler         c) Retailer          d) Consumer 
 
4 
17. Give any four distinct features of Global enterprises that distinguish them from other 
private and public sector companies. 
 
4 
18. Mr. Rohan has taken a life insurance policy from LIC, hiding the fact that he is a heart 
patient. Later he dies of severe heart attack. Is insurance company liable to pay the 
insured amount to legal heirs of Rohan? Which value is violated by Rohan? 
 
4 
19. Meera wants to start a business of manufacturing garments from handmade cotton. What 
possible risks she can face in carrying out this business and if her business is successful, 
what values will it add to society? 
 
5 
20. What do you know about Memorandum of Association of a Joint stock company? What 
are its clauses? 
 
5 
21. To promote a Joint stock company, what series of steps are required to be conducted? 
Give your answer highlighting the steps of promotion. 
 
5 
22. Multinational corporations are considered a mixed blessing to developed countries. Do 
you agree? Give reasons in support of your answer. 
 
5 
23. Discuss the different types of life insurance policies offered by life insurance companies. 5 
24. What do you mean by auxiliaries to Trade? Explain any 5 of them.  6 
25. Explain the factors that influence the choice of a suitable form of business organization. 6 
26. You belong to a middle class family. In order to increase your earning, you want to start 
a provision store which sells good quality products only. As per your judgement, which 
form of organization is better for you and what values will it serve? 
 
6 
27. Explain any 6 principles of insurance. 6 
End of the Question Paper 
 
Page 3


 
 
                 
Roll Number 
   
Code Number 
A 
 
General Instructions: 
1. All questions are compulsory.  
2. Answer to questions carrying 1 mark may be from one word to one sentence  
3. Answer to questions carrying 3 marks may be from 50-75 words  
4. Answer to questions carrying 4-5 marks may be about 150 words  
5. Answer to questions carrying 6 marks may be about 200 words 
1. Define business. 1 
2. `Industry and Commerce are interchangeable terms’. Do you agree with this statement? 
Give reasons. 
1 
3. Enumerate any two merits of sole proprietorship. 1 
4. Define a Joint stock company. 1 
5. What do you understand by Public Enterprises? 1 
6. In whose name government purchases the shares of a government company? 1 
7. Name the type of deposit which is suitable for business organisations. 1 
8. In the context of modern world, state e-banking. 1 
9. Explain any 3 characteristics of business. 3 
10. Explain any 3 limitations of partnership form of business organization. 3 
11. Differentiate between a public company and a private company. 3 
12. Explain the following types of partners: 
a) Nominal partner b) Secret partner c) Partner by estoppels 
 
3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES  
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 2 of 2 
 
13. Explain any 3 demerits of a Hindu Undivided Family (HUF) business. 3 
14. What are the different kinds of organisations that come under the public sector? Explain 
briefly. 
3 
15. Briefly explain the primary functions of Commercial banks. 3 
16. Dalda Oil Mills produce refine oil. The entire production of oil produced by Dalda Oil 
Mills is purchased by Raga Oil Depot, who in turn sells it to various retailers. Mrs. Aashi 
purchased 3 kg of Dalda Oil from Balaji Groceries. Name the following: 
 
a) Manufacturer           b) Whole saler         c) Retailer          d) Consumer 
 
4 
17. Give any four distinct features of Global enterprises that distinguish them from other 
private and public sector companies. 
 
4 
18. Mr. Rohan has taken a life insurance policy from LIC, hiding the fact that he is a heart 
patient. Later he dies of severe heart attack. Is insurance company liable to pay the 
insured amount to legal heirs of Rohan? Which value is violated by Rohan? 
 
4 
19. Meera wants to start a business of manufacturing garments from handmade cotton. What 
possible risks she can face in carrying out this business and if her business is successful, 
what values will it add to society? 
 
5 
20. What do you know about Memorandum of Association of a Joint stock company? What 
are its clauses? 
 
5 
21. To promote a Joint stock company, what series of steps are required to be conducted? 
Give your answer highlighting the steps of promotion. 
 
5 
22. Multinational corporations are considered a mixed blessing to developed countries. Do 
you agree? Give reasons in support of your answer. 
 
5 
23. Discuss the different types of life insurance policies offered by life insurance companies. 5 
24. What do you mean by auxiliaries to Trade? Explain any 5 of them.  6 
25. Explain the factors that influence the choice of a suitable form of business organization. 6 
26. You belong to a middle class family. In order to increase your earning, you want to start 
a provision store which sells good quality products only. As per your judgement, which 
form of organization is better for you and what values will it serve? 
 
6 
27. Explain any 6 principles of insurance. 6 
End of the Question Paper 
 
Page 1 of 4 
 
EXPECTED VALUE POINTS AND SCHEME OF EVALUATION 
Q.N
O. 
Answers 
Marks 
 
1. Business is an economic activity which is concerned with the purchase and production and 
sale of goods with a view to earn income in the form of profit. 
1 
2. No, Industry is concerned with the production of goods while commerce is concerned with 
the distribution of goods. 
1 
3. 1. quick decision making 
2. Ease of formation 
3. confidentiality 
4. Direct incentive 
5. Sense of accomplishment 
( any two) 
½*2=1 
4. Joint stock company is a voluntary association of individuals for profit having a capital 
divided into transferable shares, the ownership of which is the condition of membership. 
1 
5. Public enterprises are those enterprises which are managed or owned partly/wholly by 
central/state governments or by both. 
1 
6. In the name of President of India. 1 
7. Current account  1 
8. E-banking is electronic banking or banking using electronic media  1 
9. Characteristics of business: 
1) Economic activity 
2) Production of goods and services 
3) Sale or exchange of goods and services 
4) Dealings on a regular basis 
5) Profit earning 
6) Uncertainty of returns 
7) Element of risk 
1*3=3 
10. Limitations of partnership form of business: 
1) Unlimited liability 
2) Limited resources 
3) Possibility of conflicts 
4) Lack of continuity 
5) Lack of public confidence 
(any three) 
 
1*3=3 
11. Public Company                                                       Private company 
Minimum 7  members                                             Minimum 2 members 
1+1+1=3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES SET A 
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 4


 
 
                 
Roll Number 
   
Code Number 
A 
 
General Instructions: 
1. All questions are compulsory.  
2. Answer to questions carrying 1 mark may be from one word to one sentence  
3. Answer to questions carrying 3 marks may be from 50-75 words  
4. Answer to questions carrying 4-5 marks may be about 150 words  
5. Answer to questions carrying 6 marks may be about 200 words 
1. Define business. 1 
2. `Industry and Commerce are interchangeable terms’. Do you agree with this statement? 
Give reasons. 
1 
3. Enumerate any two merits of sole proprietorship. 1 
4. Define a Joint stock company. 1 
5. What do you understand by Public Enterprises? 1 
6. In whose name government purchases the shares of a government company? 1 
7. Name the type of deposit which is suitable for business organisations. 1 
8. In the context of modern world, state e-banking. 1 
9. Explain any 3 characteristics of business. 3 
10. Explain any 3 limitations of partnership form of business organization. 3 
11. Differentiate between a public company and a private company. 3 
12. Explain the following types of partners: 
a) Nominal partner b) Secret partner c) Partner by estoppels 
 
3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES  
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 2 of 2 
 
13. Explain any 3 demerits of a Hindu Undivided Family (HUF) business. 3 
14. What are the different kinds of organisations that come under the public sector? Explain 
briefly. 
3 
15. Briefly explain the primary functions of Commercial banks. 3 
16. Dalda Oil Mills produce refine oil. The entire production of oil produced by Dalda Oil 
Mills is purchased by Raga Oil Depot, who in turn sells it to various retailers. Mrs. Aashi 
purchased 3 kg of Dalda Oil from Balaji Groceries. Name the following: 
 
a) Manufacturer           b) Whole saler         c) Retailer          d) Consumer 
 
4 
17. Give any four distinct features of Global enterprises that distinguish them from other 
private and public sector companies. 
 
4 
18. Mr. Rohan has taken a life insurance policy from LIC, hiding the fact that he is a heart 
patient. Later he dies of severe heart attack. Is insurance company liable to pay the 
insured amount to legal heirs of Rohan? Which value is violated by Rohan? 
 
4 
19. Meera wants to start a business of manufacturing garments from handmade cotton. What 
possible risks she can face in carrying out this business and if her business is successful, 
what values will it add to society? 
 
5 
20. What do you know about Memorandum of Association of a Joint stock company? What 
are its clauses? 
 
5 
21. To promote a Joint stock company, what series of steps are required to be conducted? 
Give your answer highlighting the steps of promotion. 
 
5 
22. Multinational corporations are considered a mixed blessing to developed countries. Do 
you agree? Give reasons in support of your answer. 
 
5 
23. Discuss the different types of life insurance policies offered by life insurance companies. 5 
24. What do you mean by auxiliaries to Trade? Explain any 5 of them.  6 
25. Explain the factors that influence the choice of a suitable form of business organization. 6 
26. You belong to a middle class family. In order to increase your earning, you want to start 
a provision store which sells good quality products only. As per your judgement, which 
form of organization is better for you and what values will it serve? 
 
6 
27. Explain any 6 principles of insurance. 6 
End of the Question Paper 
 
Page 1 of 4 
 
EXPECTED VALUE POINTS AND SCHEME OF EVALUATION 
Q.N
O. 
Answers 
Marks 
 
1. Business is an economic activity which is concerned with the purchase and production and 
sale of goods with a view to earn income in the form of profit. 
1 
2. No, Industry is concerned with the production of goods while commerce is concerned with 
the distribution of goods. 
1 
3. 1. quick decision making 
2. Ease of formation 
3. confidentiality 
4. Direct incentive 
5. Sense of accomplishment 
( any two) 
½*2=1 
4. Joint stock company is a voluntary association of individuals for profit having a capital 
divided into transferable shares, the ownership of which is the condition of membership. 
1 
5. Public enterprises are those enterprises which are managed or owned partly/wholly by 
central/state governments or by both. 
1 
6. In the name of President of India. 1 
7. Current account  1 
8. E-banking is electronic banking or banking using electronic media  1 
9. Characteristics of business: 
1) Economic activity 
2) Production of goods and services 
3) Sale or exchange of goods and services 
4) Dealings on a regular basis 
5) Profit earning 
6) Uncertainty of returns 
7) Element of risk 
1*3=3 
10. Limitations of partnership form of business: 
1) Unlimited liability 
2) Limited resources 
3) Possibility of conflicts 
4) Lack of continuity 
5) Lack of public confidence 
(any three) 
 
1*3=3 
11. Public Company                                                       Private company 
Minimum 7  members                                             Minimum 2 members 
1+1+1=3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES SET A 
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 2 of 4 
 
Maximum unlimited                                                 Maximum 200 members 
Minimum 3 directors                                               Minimum 2 directors 
Minimum 5 lakh capital                                           Minimum 1 lakh capital   
Index of members compulsory                              Index of members                                                                                             
                                                                                     not compulsory 
transfer of shares possible                                      transfer of shares not    
                                                                                     possible 
Prospectus compulsory                                           No need of prospectus. 
(any three) 
12. a) Nominal partner: 
A partner who allows the use of his name by a firm, but does not contribute capital or 
take part in management of the business 
b) Secret Partner: 
A partner whose association with the firm is unknown to general public 
c) partner by estoppel 
            A person is considered as a partner by estoppel, if through his conduct or behavior, 
he gives an impression to others that he is a partner of the firm. 
1*3=3 
13. Demerits of HUF 
1) Limited resources 
2) Unlimited liability of Karta 
3) Dominance of Karta 
4) Limited managerial skills 
 ( any three) 
1=1+1=3 
14. 1) Departmental Undertaking: These enterprises are established as departments of the 
ministry and are considered part or an extension of the ministry itself. 
 
2) Statutory corporation: It is public enterprise formed by passing a special act in the 
parliament. 
 
3) Government company: Company which is owned by the government with 
 
atleast 51% of shares are held by the government. 
1+1+1=3 
15. Primary functions of commercial banks: 
a) Acceptance of deposits 
b) Lending of loans 
(with explanation) 
1 
½*2=3) 
16. 1)Manufacturer- Dalda Oil Mills 
2) Whole saler- Raga Oil Depot 
3) Retailer- Balaji Groceries 
4) Consumer- Mrs.Aashi 
1*4=4 
17. Features of global enterprises: 
1) Huge capital resources 
2) Foreign collaboration 
3) Advanced technology 
4) Marketing strategies 
5) Expansion of market territory 
6) Centrailised control 
1*4=4 
18. No, Insurance company is not liable to pay the insurance amount as he has violated the 
principle of atmost good faith. 
The value violated by Rohan is honest behavior. 
1+2+1=4 
Page 5


 
 
                 
Roll Number 
   
Code Number 
A 
 
General Instructions: 
1. All questions are compulsory.  
2. Answer to questions carrying 1 mark may be from one word to one sentence  
3. Answer to questions carrying 3 marks may be from 50-75 words  
4. Answer to questions carrying 4-5 marks may be about 150 words  
5. Answer to questions carrying 6 marks may be about 200 words 
1. Define business. 1 
2. `Industry and Commerce are interchangeable terms’. Do you agree with this statement? 
Give reasons. 
1 
3. Enumerate any two merits of sole proprietorship. 1 
4. Define a Joint stock company. 1 
5. What do you understand by Public Enterprises? 1 
6. In whose name government purchases the shares of a government company? 1 
7. Name the type of deposit which is suitable for business organisations. 1 
8. In the context of modern world, state e-banking. 1 
9. Explain any 3 characteristics of business. 3 
10. Explain any 3 limitations of partnership form of business organization. 3 
11. Differentiate between a public company and a private company. 3 
12. Explain the following types of partners: 
a) Nominal partner b) Secret partner c) Partner by estoppels 
 
3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES  
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 2 of 2 
 
13. Explain any 3 demerits of a Hindu Undivided Family (HUF) business. 3 
14. What are the different kinds of organisations that come under the public sector? Explain 
briefly. 
3 
15. Briefly explain the primary functions of Commercial banks. 3 
16. Dalda Oil Mills produce refine oil. The entire production of oil produced by Dalda Oil 
Mills is purchased by Raga Oil Depot, who in turn sells it to various retailers. Mrs. Aashi 
purchased 3 kg of Dalda Oil from Balaji Groceries. Name the following: 
 
a) Manufacturer           b) Whole saler         c) Retailer          d) Consumer 
 
4 
17. Give any four distinct features of Global enterprises that distinguish them from other 
private and public sector companies. 
 
4 
18. Mr. Rohan has taken a life insurance policy from LIC, hiding the fact that he is a heart 
patient. Later he dies of severe heart attack. Is insurance company liable to pay the 
insured amount to legal heirs of Rohan? Which value is violated by Rohan? 
 
4 
19. Meera wants to start a business of manufacturing garments from handmade cotton. What 
possible risks she can face in carrying out this business and if her business is successful, 
what values will it add to society? 
 
5 
20. What do you know about Memorandum of Association of a Joint stock company? What 
are its clauses? 
 
5 
21. To promote a Joint stock company, what series of steps are required to be conducted? 
Give your answer highlighting the steps of promotion. 
 
5 
22. Multinational corporations are considered a mixed blessing to developed countries. Do 
you agree? Give reasons in support of your answer. 
 
5 
23. Discuss the different types of life insurance policies offered by life insurance companies. 5 
24. What do you mean by auxiliaries to Trade? Explain any 5 of them.  6 
25. Explain the factors that influence the choice of a suitable form of business organization. 6 
26. You belong to a middle class family. In order to increase your earning, you want to start 
a provision store which sells good quality products only. As per your judgement, which 
form of organization is better for you and what values will it serve? 
 
6 
27. Explain any 6 principles of insurance. 6 
End of the Question Paper 
 
Page 1 of 4 
 
EXPECTED VALUE POINTS AND SCHEME OF EVALUATION 
Q.N
O. 
Answers 
Marks 
 
1. Business is an economic activity which is concerned with the purchase and production and 
sale of goods with a view to earn income in the form of profit. 
1 
2. No, Industry is concerned with the production of goods while commerce is concerned with 
the distribution of goods. 
1 
3. 1. quick decision making 
2. Ease of formation 
3. confidentiality 
4. Direct incentive 
5. Sense of accomplishment 
( any two) 
½*2=1 
4. Joint stock company is a voluntary association of individuals for profit having a capital 
divided into transferable shares, the ownership of which is the condition of membership. 
1 
5. Public enterprises are those enterprises which are managed or owned partly/wholly by 
central/state governments or by both. 
1 
6. In the name of President of India. 1 
7. Current account  1 
8. E-banking is electronic banking or banking using electronic media  1 
9. Characteristics of business: 
1) Economic activity 
2) Production of goods and services 
3) Sale or exchange of goods and services 
4) Dealings on a regular basis 
5) Profit earning 
6) Uncertainty of returns 
7) Element of risk 
1*3=3 
10. Limitations of partnership form of business: 
1) Unlimited liability 
2) Limited resources 
3) Possibility of conflicts 
4) Lack of continuity 
5) Lack of public confidence 
(any three) 
 
1*3=3 
11. Public Company                                                       Private company 
Minimum 7  members                                             Minimum 2 members 
1+1+1=3 
 
 
FIRST TERM EXAMINATION 
 
 BUSINESS STUDIES SET A 
CLASS: XI Time Allotted: 3 Hrs 
Max. Marks: 90 
Page 2 of 4 
 
Maximum unlimited                                                 Maximum 200 members 
Minimum 3 directors                                               Minimum 2 directors 
Minimum 5 lakh capital                                           Minimum 1 lakh capital   
Index of members compulsory                              Index of members                                                                                             
                                                                                     not compulsory 
transfer of shares possible                                      transfer of shares not    
                                                                                     possible 
Prospectus compulsory                                           No need of prospectus. 
(any three) 
12. a) Nominal partner: 
A partner who allows the use of his name by a firm, but does not contribute capital or 
take part in management of the business 
b) Secret Partner: 
A partner whose association with the firm is unknown to general public 
c) partner by estoppel 
            A person is considered as a partner by estoppel, if through his conduct or behavior, 
he gives an impression to others that he is a partner of the firm. 
1*3=3 
13. Demerits of HUF 
1) Limited resources 
2) Unlimited liability of Karta 
3) Dominance of Karta 
4) Limited managerial skills 
 ( any three) 
1=1+1=3 
14. 1) Departmental Undertaking: These enterprises are established as departments of the 
ministry and are considered part or an extension of the ministry itself. 
 
2) Statutory corporation: It is public enterprise formed by passing a special act in the 
parliament. 
 
3) Government company: Company which is owned by the government with 
 
atleast 51% of shares are held by the government. 
1+1+1=3 
15. Primary functions of commercial banks: 
a) Acceptance of deposits 
b) Lending of loans 
(with explanation) 
1 
½*2=3) 
16. 1)Manufacturer- Dalda Oil Mills 
2) Whole saler- Raga Oil Depot 
3) Retailer- Balaji Groceries 
4) Consumer- Mrs.Aashi 
1*4=4 
17. Features of global enterprises: 
1) Huge capital resources 
2) Foreign collaboration 
3) Advanced technology 
4) Marketing strategies 
5) Expansion of market territory 
6) Centrailised control 
1*4=4 
18. No, Insurance company is not liable to pay the insurance amount as he has violated the 
principle of atmost good faith. 
The value violated by Rohan is honest behavior. 
1+2+1=4 
Page 3 of 4 
 
19.  
Causes of Business risks: 
1)Natural risks 
2) Human risks 
3) Economic risks 
4) other causes 
Values added to the society: 
a) Promotion indegeneous industry  
b) Increasing employment opportunities 
(4+1=5) 
20. Memorandum of association is the constitution of the joint stock company which defines 
the objectives of the company. 
Its clauses are: 
a) Name clause b) Registered office clause c) Objects clause d) Liability clause e) 
capital clause f) Association clause 
1+4=5) 
21. Steps of promotion: 
a) Identification of business opportunity 
b) Feasibility studies 
c) Name approval 
d) Fixing signatories to the MOA 
e) Appoint of professionals 
f) Preparation of necessary documents 
g) Payment of fees 
(any five) 
(1*5=5) 
22. Benefits of MNCs to Host countries: 
1) Creating employment opportunities 
2) Inflow of foreign capital 
3) Source of advanced technology 
4) Improves standard of living 
5) Helps in the growth of domestic firms 
 
Adverse impacts upon host country: 
a) Disregard of political priorities 
b) Deplete natural resources 
c) Create Monopoly powers 
d) Transfer of obsolete technology 
e) Threat to National sovereignty. 
1*5=5) 
23. 1) Whole life policies 
2) Endowment policy 
3) Joint Life policy 
4)Annuity policy 
5) Children’s endowment policy 
1*5=5 
24.  Auxiliaries to trade are those which assist or support trade.  
1) Transportation 
2) Banking 
3) Insurance 
4) Warehousing 
5) Advertising 
6) communication 
 
(1+5=6) 
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