Sample Paper For class 11

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No. of Questions: 49 Roll No.
Sample Paper
TERM-1 EXAMINATION (2022-23)
CLASS: XI
SUBJECT: BUSINESS STUDIES
TIME: 03 HOURS M.M. : 80
General Instructions:
 Answers to questions carrying 1 mark may be from one word to one sentence.
 Answers to questions carrying 3 marks may be from 50-75 words.
 Answers to questions carrying 4-5 marks may be about 150 words.
 Answers to questions carrying 6 marks may be about 200 words.
 Marks of the questions are cited against them.
 Read the question paper very carefully before attempting questions.
Q. No. Multiple Choice Questions
Marks
allocated
1.
Which of the following types of business do you think a sole proprietorship
firm of organization would be more suitable, and why?
(a) Grocery store
(b) Legal consultancy
(c) Internet café
(d) None of the above
(1)
2.
Centralised control in MNC’s implies control exercised by
(a) Branches
(b) Subsidiaries
(c) Headquarters
(d) Parliament
(1)
3.
DTH services are provided by
(a) Transport companies
(b) Banks
(c) Cellular companies
(d) None of the above
(1)
4.
E-commerce does not include:
(a) A business’s interactions with its suppliers
(b) A business’s interactions with its customers
(c) Interactions among the various departments within the business
(d) Interactions among the geographically dispersed units of the business
(1)
5.
Social responsibility is:
(a) Same as legal responsibility
(b) Broader than legal responsibility
(c) Narrower than legal responsibility
(d) None of them
(1)

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6.
Equity shareholders are called:
(a) Owners of the company
(b) Partners of the company
(c) Executives of the company
(d) Guardian of the company
(1)
7.
ADRs are issued in
(a)China
(b)India
(c)USA
(d) Canada
(1)
8.
At least 10 adults, no maximum limit in case of_________.
(a) Joint stock company
(b) Hindu Undivided Family Business
(c) Cooperative Society
(d) None of the above
(1)
9.
The occupation in which people work for others and get remunerated in return is
known as:
(a) Business
(b) Profession
(c) None of these
(d) Employment
(1)
10.
Which of the following cannot be classified as an auxiliary to trade?
(a) Insurance
(b) Warehousing
(c) Transport
(d) Mining
(1)
11.
The capital of a company is divided into number of parts each one of which are
called
(a) Dividend
(b) Profit
(c) Interest
(d) Share
(1)
12.
Which of the following is a characteristic of a co-operative?
(a) Profits are not subject to income tax
(b) One vote per share
(c) Dividends are paid on a per share basis
(d) All of the above
(1)

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13.
Hindu Succession Act was passed in _____________.
(a) 1960
(b) 1932
(c) 1956
(d) 1952
(1)
14.
Which of the following enterprises may benefit the most by an established brand
name at the time of incorporation?
(a) Government Company
(b) Statutory corporations
(c) Departmental Undertaking
(d) Joint Venture
(1)
15.
The shares of a Government Company are purchased in the name of which of the
following?
(a) The Indian Government.
(b) The President of India.
(c) The Chief Minister of the state, where the head office of the company lies.
(d) The Managing Director of the company
(1)
16.
Which of the following is not applicable in life insurance contract?
(a) Conditional contract
(b) Unilateral contract
(c) Indemnity contract
(d) None of the above
(1)
17.
Both Sellers and buyers are business firms, under ___type of e-commerce
transaction
(a) B2B Commerce
(b) C2B Commerce
(c) B2C Commerce
(d) C2C Commerce
(1)
18.
Under what method payment is made at the time of physical delivery of goods
(a) Cash on delivery
(b) Debit card payment
(c) Credit card payment
(d) Prepaid amount
(1)
19.
That an enterprise must behave as a good citizen is an example of its
responsibility towards
(a) Owners
(b) Workers
(c) Consumers
(1)

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(d) Community
20.
Which of the following does not contribute to the development of a manager’s
standard of ethics?
(a) Competitor behavior
(b) Society’s norms and values
(c) Individual life experiences
(d) Environmental situations
(1)
21.
Ethics is important for
(a) Top management
(b) Middle-level managers
(c) Non-managerial employees
(d) All of them
(1)
22.
Internal sources of capital are those that are
(a) Generated through outsiders such as suppliers
(b) Generated through loans from commercial banks
(c) Generated through issue of shares
(d) Generated within the business
(1)
23.
Money obtained by issue of shares is known as ___________
(a) Debts
(b) Share Capital
(c) Loans
(d) Reserve Funds
(1)
24.
_____________ was the first company in India to issue convertible zero interest
debentures in January 1990.
(a) Mahindra and Mahindra
(b) Adani Enterprise
(c) Tata Motors
(d) Reliance Limited
(1)
Answer the following questions in one word or in one sentence.
25. Define Social Responsibility. (1)
26. Do, business people have skill to tackle social problems? (1)
27. What type of industry are poultry farms and dealing with saplings of plants? (1)
28. Name the economic activity, which involves specialized knowledge and in which entry
is restricted.
(1)
29. In case of heavy loss, creditors can claim the recovery of their dues from the personal
assets of sole proprietor. Which feature of sole proprietor is highlighted here?
(1)

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30. Give two functions of e-banking. (1)
31. Define the term ‘Bank’. (1)
32. What does ‘e’ stand for in e-commerce? (1)
True or False
State the following questions with reasons whether the following statements
are True or False.
33. Co-operative society was originated in England and Germany. (1)
34. Company is a word of French language. (1)
35. After getting maturity then member of family can become partner of family business. (1)
36. The maturity period of commercial Paper ranges from 90 to 364 days. (1)
37. Assist in Capital formation is not a function of Insurance. (1)
38. The Head of Joint Hindu Undivided Family Business is called ‘Karta’. (1)
39. The Industries which provides support services to other industries are known as
Primary Industries
(1)
40. The occupation in which people work for others and get remunerated in return is
known as Business.
(1)
Very Short Answer Type Questions
41. What are the advantages and disadvantages of admitting a partner in a sole
proprietorship form of business?
(3)
42. Explain in brief the various types of business finance and their uses (3)
Short Answer Type Questions
43. Draw a chart showing the classification of Business Activities. (4)
44.
Malhotra Ltd is a company established in India. They extended their operations to the
Dubai and USA by establishing places of business in these countries.
(a) Identify the type of company Malhotra Ltd is?
(b) State any of its four features.
(4)
45. “A business owes certain obligations towards different group”. Identify those
groups and explain the obligations of business towards those groups.
(4)
Long Answer Type Questions
46.
Www.olx.com and qicker.com are examples of well known websites used to
conduct business. Tarasha’s sofa set got spoilt in rain. Her friend suggested
that she should change the fabric so that it looks new and put it for sale on olx.
Tarasha followed her friend’s advice and got her sofa repaired so that it looked
better and uploaded nicely clicked pictures on the website without disclosing
(5)

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the fact that it was damaged from inside. She found a buyer and sold it for Rs
10,000. After five days the buyer found the real state of sofa set and called
Tarasha but she did not answer any of the call.
a) Identify the type of business highlighted in the above case.
b) Identify any two values which are overlooked by Tarasha.
c) Explain any two benefits and limitations of e-business
47. Give a comparative study between e-business and traditional business.(Any 5
Points)
(5)
Very Long Answer Type Questions
48.
What is the difference between a Joint Stock Company and a Cooperative
Society? Explain.
Or
What factors are important to be considered while starting a business?
Explain.
(6)
49. Discuss the sources from which a large industrial enterprise can raise capital
for financing modernization and expansion.
(6)
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