Friday, 30 January 2015


ECONOMICS                                                                                 M.M. 70
  1.    Define commercialization of agriculture.                                                                  (1)
   2   When was the planning commission set up?                                                           (1)
   3.    Out of loss making and profit making PSUs, which should be privatized?             (1)
    4.    What was the major reason for the low population growth in China?                    (1)
    5.    ‘ Decline of handicraft industry adversely affected the Indian economy’. Comment.                                                                                                                  (3)
    6.    ‘ Green revolution experienced the success in two phases’. Justify.                     (3)
    7.    Mention any three changes made by the globalization of the Indian economy.    (3)
    8.    State the various factors that led to the rapid growth in economic development in China.                                                                                                                       (3)
    9.    Discuss the industrial sector reforms introduced under the new economic reforms.                                                                                                                     (4)
  10. Compare India and China on the basis of:
a)    People below poverty line                c) Growth rate of population
b)    GDP                                                                                                               (4)
   11. “ Subsidies put a huge burden on the government’s finances, but are necessary for poor and marginal farmers”. Comment.                                                                            (4)
   12. Discuss the similarities in the developmental strategies followed by India and Pakistan.                                                                                                                  (6)
   1 .   Can the  same activity be economic and non- economic. State Example.         (1)   
   2.   Construct Price and quantity index from the following data using Paasche’s Method:                                                                                                                                   (3)
Commodity                   Base Year                                                  Current Year
                               Price              Quantity                                Price               Quantity       
Bread                       40p                    6                                        30p                   7
Meat                         45p                   4                                        50p                  5
Tea                           90p                   0.5                                     40p                  1.5

    3.   Find out the frequency distribution and ‘more than’ cumulative frequency table:
Price (Rs.) below-    10      20      30      40      50       60
Quantity (Kg)-           17      22      29      37      50      60                                    (4)

    4.   For the data given below find graphically the following:
     a)    Two quartiles
     b)    The central 50% limit of the age
      c)    The no. of workers falling in the age group of 28-57 years
Age in years                                                      No of workers
20-24                                                                                      5
25-29                                                                                      10
30-34                                                                                      15
35-39                                                                                      25
40-44                                                                                      65
45-49                                                                                      40
50-54                                                                                      23
55-59                                                                                      10
60-64                                                                                      5
65-69                                                                                      2                           (6)
    5.    Calculate standard deviation of the following data by direct and actual mean method:                                                                                                              (6)

Size:              4    5     6    7    8    9    10
Frequency:     6    12   15  28  20  14    5

     6.    The coefficient of rank correlation of marks obtained by 10 students In English and Economics was found to be 0.5. It was later discovered that the difference in ranks was wrongly taken as 3 instead of 7. Find the correct coefficient of rank correlation.                                                                                                           (6)
SECTION-C     (OTBA)                                                                     (5+5)
    1.    Explain rippling effect with the help of an example.
    2.    Discuss the reasons for the rise in suicidal cases among the farmers of Punjab.

Monday, 8 December 2014

Business Studies Sample paper

Business Studies

1. What is meant by ‘Effectiveness in Management’?                                                  1 
2. How does coordination ensure unity of action in Management                                                1 
3. Define ‘Planning premises’                                                                  
4. National Vritech Ltd. has grown in size. It was a market leader but with changes in business environment and with the entry of MNCs its market share is declining. To cope up with the situation CEO starts delegating some of his authority to the General Manager, who also felt himself overburdened and with the approval of CEO disperses some of his authority to various levels throughout the organization. Identify the concept of management discussed above.
5. Which component of capital structure determines the overall financial risk?                                        
6. Amit is running an ‘Advertising agency’ and earning a lot by providing this service to big industries. State whether the working capital requirement of the firm will be ‘less’ or ‘more’. Give reason in support of your answer                                                                                                                                                  1 
7. Zoom Udyog, a car manufacturing Co., has started its business with Zoom 800 and slowly launched Zoom-1000, Wagon-Z, Swy-fy etc. and offered various services like after sale service, availability of spare parts etc. Identify the element of marketing mix referred here.                                                                                                                            
8. Himesh after completing his graduation started working with a multinational company in Delhi. But due to ill health of his parents he had to go back to his village. There he noticed that the villagers were literate but ignorant about their rights. Many vegetable vendors were using stones as weights to sell their vegetables. Some shopkeepers were selling food items without having ‘FPO mark’. Villagers did not find anything wrong with these practices. So to create awareness among villagers Himesh decided to publish a weekly Journal ‘Jan Jagriti’. State the ‘Right’ whichHimesh has exercised by doing so.

9. State any three advantages that a functional structure offers to an organization.

10. ‘Choice of an appropriate channel of distribution is very important marketing decision which affects the performance of an organization’. Explain any two factors on which the choice of an appropriate channel depends.
11. Zenith Ltd. is a highly reputed company and many people wanted to join this company. The employees of this organization are very happy and they discussed how they came in contact with this organization. 
Aman said that he was introduced by the present Sales manager, Mr. John. Benu said that he had applied through the newspaper and was appointed as H.R Manager. 
Vaibhav said that he was neither related to any of the employee of the organization nor there was any advertisement in the newspaper even then he was directly called from IIM Ahmedabad from where he was about to complete his MBA. 
a) The above discussion is indicating an important function of management. Name the function of management 
b) The management function identified in part (a) follows a particular process. Explain the step of this process which is being discussed in the above para. 1+2 
12. Supriya’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.  As 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. 
a) Identify and state the process. 
b) Also give two reasons to Supriya why dealing with shares in physical form had been stopped. 1+2 
13. The barriers to effective communication exist in all organizations. Explain any three measures to overcome these barriers.
14. Define Business Environment. State any three of its features. 4
15. Mr. Ajay after completing MBA from USA comes to India to start a new business under the banner Ecom Creations Ltd. He launches a new product in e-learning for Senior Secondary School students in Commerce stream, which already has an established market in UK and USA but not in India. His business starts flourishing in India. Now more Indian companies entered into the market with other subjects also. 
Identify and quote the lines from above para which highlight the significance of understanding business environment.
16. Rajeev, the owner of Pathways constructions decided to start a campaign to create awareness among people for developing clean surroundings in their area. He formed a team of 10 members to list the different ways for cleaning the surroundings. One suggested to take the help of local residents, another suggested that they may involve school going children in their venture. One more suggestion was to take the help of unemployed youth. On evaluation of different ways, it was decided to take the help of local residents. To achieve the desired goal various activities were identified like 
a) Purchase of necessary items like dustbins, garbage bags, brooms, etc.; 
b) Collection of garbage; 
c) Disposal of garbage, etc. 
After identification of different activities the work was allocated to different members. 
i. Identify the concepts of management involved in the above situation and quote the lines which help in their identification. 
ii. Also identify the values which the company wants to communicate to the society
17. Blue Heavens Ltd. purchased a new hi-tech machine from Germany for manufacturing high quality auto components in a cost effective manner. But during the production process, the manager observed that the quality of production was not as per standard. On investigation it was found that there was lack of knowledge amongst the employees of using these hi-tech machines. So, frequent visit of engineers was required from Germany. This resulted in high overhead charges. (i) Suggest what can be done to develop the skills and abilities of employees for producing high quality products by using these hi-tech machines. Also state how the employees or the organization will benefit from your suggestion.
18. Explain any four functions of financial market.
19. Radha found a worm crawling out of newly opened tetra pack of a juice manufactured by a reputed company, Zest, Ltd.. She went back to the shopkeeper from whom the pack was purchased who directed her to call up the customer care centre. When all her efforts failed, she went to a consumer activist group to seek help. The group decidedto help Radha and take measures to impose restrictions on the sale of the firm’s products of the particular batch and urge customers to refrain from buying the products of the company. Zest Ltd. lost its image in the market. The CEO gives the responsibility of bringing back the lost image of the company to a Manager. 
a) Identify the concept of Marketing Management which will help the Manager getting the firm out of the above crisis. 
b) Also explain the role of above identified concept by stating any two points.

20. A company is manufacturing washing machines. There is a well defined system of jobs with a clear and definite authority, responsibility and accountability in the company. But people are not allowed to interact beyond their officially defined roles. As a result the company is not able to adapt to the changing business environment. The workforce is also not motivated due to lack of social interaction. The company is facing problems of procedural delays and inadequate recognition to creative talents. 
(i) Suggest how the organization can overcome the problems faced by it. 
(ii) Give any two benefits it will derive from your suggestion.

21. State the importance of directing function of management.

22. Mr. Nath, a recently appointed production manager of Suntech Ltd. has decided to produce jute bags instead of plastic bags as these are banned by the government. He set a target of producing 1000 jute bags a day. It was reported that the employees were not able to achieve the target. After analysis he found that employees were demotivated and not putting in their best for achieving the target. Mr. Nath’s behavior is good towards the employees. His attitude is always positive. So he announced various incentive schemes for the employees like:
  • Installing award or certificate for best performance 
  • Rewarding an employee for giving valuable suggestions 
  • Congratulating the employees for good performance 
a) Identify the functions of management highlighted in the above paragraph. 
b) State the‘incentive’ under which the employees are motivated. 
c) State any two values which the production manager wants to communicate to the society by his work and behaviour. 

23. Explain the following principles of management given by Fayol.
a) Unity of command 
b) Order 

24. It is necessary that goods and services must be made available to the customers at the Right place, in the right quantity and at right time.
a) Name and explain the concerned element of Marketing Mix given above. 
b) Explain the components of this element 

25. Tata International Ltd. earned a net profit of Rs.50 crores. Ankit the finance manager of Tata International Ltd. wants to decide how to appropriate these profits. Identify the decision that Ankit will have to take and also discuss any five factors which help him in taking this decision. 6

Monday, 24 November 2014

Sample Questions of Commerce Olympiad

1. Various steps of accounting process are
(i) Recording,
(ii) Summarizing,
(iii) Identifying the financial transaction
(iv) Classifying
(v) Communicating
Identify from the following, which is the correct order of above steps
(a) (i), (ii), (iii), (iv), (v)
 (b) (i), (iii), (iv), (ii), (v)
(c) (iii), (i), (iv), (ii), (v)
(d) (iii), (i), (iv), (v), (ii)

2. Which of the following qualitative features of accounting is reflected, when accounting policies and
conventions are followed consistently ?
(a) Reliability
(b) Understandability
(c) Relevance
(d) Comparability

3. Window dressing in accounting refers to-
(a) Showing more or less profit than true and fair profit
(b) Showing more profit than true profit
(c) Showing less profit than true profit
(d) Disclosure of information about accounting policies

4. Capital is the –
(a) Excess of external liabilities over the assets
(b) Excess of assets over the external liabilities
(c) Excess of external liabilities over fixed assets
(d) Excess of assets over internal liabilities

5. The term “purchase” is used only for purchase of _______________and is never used for the purchase of
(a) Assets, Investment
(b) Assets, Goods
(c) Intangible assets, Goods
(d) Goods, Non current assets

6. Cash discount is allowed at the time of ________
(a) Receiving early payment of due amount
(b) Sale of goods in bulk quantity
(c) Both at the time of sale of goods and receiving the payment
(d) Making payment for purchase of goods

7. Which accounting principle is followed when a firm makes provision for doubtful debts on debtors ?
(a) Consistency
(b) Materiality
(c) Going concern
(d) Prudence

8. All the following items are classified as fundamental accounting assumptions EXCEPT –
(a) Consistency
(b) Business entity
(c) Going concern
 (d) Accrual

9. Mr. Harish purchased a motorcycle for his son on credit and recorded it as purchase of asset in the business books. He has violated –
(a) Money measurement principle
(b) Periodicity
(c) Consistency
 (d) Accounting entity principle

10. Name the principle which treats all rupees alike whether it is rupee of year 1972 or 2012 –
(a) Money measurement principle
 (b) Periodicity principle
(c) Consistency principle
 (d) Accounting Entity

11. The adjustments for outstanding expenses, prepaid expenses, accrued income and unearned income are
made as per which of the following accounting principle ?
(a) Entity
(b) Periodicity
(c) Matching
(d) Conservatism

12. “IFRS” stands for
(a) Indian Financial Reporting System
(b) International Financial Reporting Standards
(c) Internal Financial Recording System
(d) International Financial Reporting System

13. Which of the following is the source voucher/document ?
(a) Debit voucher
(b) Credit voucher
(c) Transfer voucher
 (d) Invoice

14. In Accounting equation outstanding rent is an example of –
(a) Increase in Assets and decrease in Capital
(b) Increase in Liability and decrease in Capital
(c) Decrease in Liability and Capital
(d) Increase in Assets and Capital

15. Credit means-
(a) Increase in Assets
(b) Increase in Liability
(c) Decrease in Liability
(d) Decrease in Capital

16. Which of the following is the odd one out with reference to the nature of accounts ?
(a) Interest A/c
 (b) Outstanding Interest A/c
(c) Advance Interest A/c
(d) Accrued Interest A/c

17. While passing an entry for purchase of goods of the list price of ` 10,000 from Mr. Vikas who allowed 10%
trade discount and 5% cash discount. ___________A/c will be debited with ______________
(a) Purchases, ` 10,000
 (b) Purchases, ` 8,500
(c) Vikas, ` 8,550
(d) Purchases, ` 8,550

18. The debit balance of a personal account is __
(a) Cash in hand
(b) Amount receivable
(c) Income earned
(d) Amount payable

19. Which of the following accounts are normally balanced __
(a) Personal and Nominal accounts
 (b) Real and Nominal accounts
(c) Personal and Real accounts
(d) Personal, Real and Nominal accounts

20. Which document is sent to a customer when he returns the goods, which were sold to him on credit ?
(a) Credit Note
 (b) Cheque
(c) Debit Note
 (d) Return Invoice
21. Furniture used by a Furniture dealer for furnishing his office will be credited to___
(a) Furniture A/c
(b) Cash A/c
(c) Sales A/c
(d) Purchases A/c

22. Which of the following transactions will result in lower balance in the bank column of Cash Book in
comparison to Pass Book ?
(a) Interest credited by Bank, not recorded in Cash Book
(b) Bank charges not recorded in Cash Book
(c) Cheques sent to bank, but not yet credited
(d) Cheques paid into bank, and duly collected

23. Overdraft as per Pass Book is ` 10,000, Cheques deposited but not credited ` 2,500. What will be the balance as per Cash Book ?
(a) Overdraft ` 7,500
 (b) Favourable Balance ` 7,500
(c) Favourable Balance `12,500
(d) Overdraft ` 2,500

24. A cheque issued for ` 108 was recorded twice in the Cash Book. When the balance as per Cash Book is
taken as base, while preparing the Bank Reconciliation Statement __
(a) ` 108 will be substracted
 (b) ` 216 will be added
(c) ` 216 will be substracted
 (d) ` 108 will be added

25. The Trial Balance checks
(a) Honesty of Book keeper
 (b) Systematic recording of transactions
(c) Arithmetical accuracy of books
(d) Frauds of Accountant

26. Purchase of computer for office worth ` 24,000 has been debited to office expenses A/c. Which type of
error is this ?
(a) Clerical error
(b) Error of Principle
(c) Error of Omission
(d) Error of Commission

27. Which of the following errors will not affect the Trial Balance ?
(a) Wrong carry forward balance of an account
(b) Wrong totalling of an account
(c) Omission of an account from the Trial Balance
(d) Posting in wrong account on correct side

28. Purchased goods from Kavish for ` 4,800 but was recorded to the debit of Kavish as ` 8,400. In the rectifying entry, Kavish's A/c will be ________
(a) Credited with ` 13,200
 (b) Debited with ` 3,600
(c) Credited with ` 4,800
(d) Debited with ` 13,200

29. In which of the following errors, Suspense account will be opened in rectifying entry ?
(a) Goods worth ` 4,800 withdrawn by proprietor omitted to be recorded
(b) Goods returned by Naresh` 480 was recorded in sales book
(c) Ramesh who owed us ` 400 has been credited with ` 4,000
(d) Sales of ` 1,296 to Rohitwas entered in the sales book as ` 1,269

30. Which of the following is NOT an error of commission ?
(a) A sale of ` 1,080 not recorded in books at all
(b) Instead of crediting Nidhi, Vidhi is credited
(c) Rent paid to landlord was posted to Landlord's A/c
(d) A purchase of ` 480 was wrongly posted to sales A/c

Attempt ANY ONE Section out of Section A and Section B
Section - A
(From Q. No. 31 to 40)
31. Depreciation is provided on___
(a) Current Assets
(b) Intangible Assets
(c) Tangible Fixed Assets
(d) Fictitious Assets

32. Which of the following is not the cause of depreciation ?
(a) Physical wear and tear
(b) Expiry of period
(c) Expiry of legal rights
 (d) Theft of an asset
33. A machine was purchased on 1 April, 2011 for ` 5,00,000 and on 1 October, 2011 a new machine is added for ` 2,00,000. Calculate the balance of machine account, on March 31, 2012 if depreciation is charged @ 20% p.a on Written Down Value.
(a) ` 6,00,000
 (b) ` 5,60,000
(c) ` 6,60,000
(d) ` 5,80,000

34. X Ltd. Purchased a machine on 1.1.2012 for ` 2,40,000. Installation expenses were ` 20,000. Residual value of machinery after 5 years ` 10,000. On 1.7.2012, repair expense was incurred to the extent of ` 4,000. Depreciation is provided @20% by Straight Line Method. Find out the amount of depreciation for
the fourth year.
(a) ` 50,000
(b) ` 34,000
(c) ` 42 ,000
 (d) ` 50,800

35. Which of the following statements are correct about “Provisions’
i. Provision is a charge against profit of an enterprise
ii. Provision is created out of profit
iii. Creation of provision is necessary for a business
iv. Provision is created to meet a known liability
(a) i,ii and iii
(b) ii and iv only
(c) i,iii and iv
 (d) i and iv only

36. Who pays the noting charges initially, when an endorsed bill is dishonoured ?
(a) Drawer
(b) Drawee
(c) Endorser
(d) Endorsee

37. What will be the due date, If a bill is drawn on 13 July, 2012 for 30 days ?
(a) 15 August, 2012
 (b) 14 August, 2012
(c) 17 August, 2012
 (d) 16 August, 2012

38. On 1.1.2012 X draws a bill on Y for ` 1,50,000 for 3 months. X got the bill discounted on 4.2.2012 @ 12%
p.a. What will be the amount of discount ?
(a) ` 3,000
(b) ` 6,000
(c) ` 18,000
(d) ` 4,500

39. On 1.6. 2007 X draws a bill on Y for ` 25,000. At maturity Y requests X to accept ` 5,100 in cash (including
noting charges ` 100). For the balance X draws a bill on Y for two months at 12% p.a. What will be the
amount of interest.
(a) ` 410
 (b) ` 420
(c) ` 440
(d) ` 400

40. A bill of ` 1,50,000 was discounted by A with his banker of ` 1,45,500. At maturity the bill returned
dishonored, the noting charges being ` 200. How much amount will the banker deduct from A's bank
balance at the time of such dishonor ?
(a) ` 1,45,500
(b) ` 1,45,700
(c) ` 1,50,200
(d) ` 1,50,000
(From Q. No. 41 to 50)
41. Huge expenses incurred on advertising campaign for a soft drink is which type of expenditure ?
(a) Revenue Expenditure
 (b) Capital Expenditure
(c) Deferred Revenue Expenditure
 (d) Prepaid Expenditure

42.. Life Insurance premium paid by a proprietor ` 3,000 appearing in the Trial Balance will be-
(a) Debited to Profit and Loss A/c
(b) Credited to Profit and Loss A/c
(c) To be shown in Dr. of P&L A/c and deducted from capital
(d) Deducted from capital

43. Profit and Loss A/c of a business shows its.
(a) Financial performance at a particular date
(b) Financial performance for an accounting period
(c) Financial position at a particular date
(d) Financial position for an accounting period

44. Kriti's Trial balance as at 31 December 2012 contains the following information : 12% Bank loan ` 40,000,
Interest paid ` 3,800. How much amount of interest will be debited to Profit and Loss A/c
(a) ` 4,800
(b) ` 5,000
(c) ` 1,000
(d) ` 3,800

45. Closing stock appearing in Trial Balance is shown_
(a) Only on the debit side of Trading A/c
(b) Only on the credit side of Trading A/c
(c) Only on the Asset side of Balance Sheet
(d) On Credit side of Trading A/c and Asset side in Balance Sheet

46. Trial balance as on 31 December, 2012 shows Debtors ` 5,00,000, Bad Debts ` 15,000 and Provision for
Doubtful Debts ` 1,00,000
Additional Information:
(i)                  Further Bad Debts are ` 25,000
(ii)                (ii) Maintain provision@ 10% on debtors
By what amount will the P&L A/c be debited ?
(a) ` 87,500
(b) ` 1,00,000
(c) ` 47,500
(d) None of the above

47. From the following calculate total sales of XYZ Ltd.
Opening Stock :` 50,000, Purchases : ` 1,00,000, Manufacturing Expenses : ` 30,000., Net Profit is `
25,000, Gross Profit on sales is 20%
(a) ` 45,000
(b) ` 2,25,000
(c) ` 2,40,000
(d) ` 2,00,000

48. Under the liquidity approach of marshalling of Assets and Liabilities
(a) The most liquid assets are presented at the bottom of Balance Sheet
(b) The least urgent payment are presented at the top of the Balance Sheet
(c) The least urgent payment are presented at the bottom of the Balance Sheet
(d) The least liquid assets are presented at the bottom of the Balance Sheet

49. Select the odd one:
(a) Goodwill
(b) Trade Debtors
(c) Outstanding Telephone Bills
 (d) Rent Receivable

50. Which of the following would not be transferred to Profit and Loss A/c, while preparing Final Accounts ?
(a) Accumulated Depreciation
 (b) Bad Debts
(c) Discount Allowed

 (d) Bad Debts recovered