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CS - Business Management, Ethics and Communication (...

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The Greek word 'nomos' means

  1. control

  2. norm

  3. management

  4. business


Correct Option: C
Explanation:

The word 'management' has its origin in the Greek word ‘nomos’, which means ‘management’.

The essence of management which is all pervasive and permeates every function of management is

  1. staffing

  2. coordination

  3. reporting

  4. budgeting


Correct Option: B
Explanation:

Since coordination is all pervasive and permeates through every function of management, it is considered as the overall function or the essence of management.

Budget preparation is primarily a planning process whereas its administration is a part of

  1. implementation

  2. controlling

  3. payments

  4. approval process


Correct Option: B
Explanation:

Administration is a part of controlling.

Differential piece rate system was devised by

  1. Henri Fayol

  2. Henry Lawrence Gantt

  3. Frederick Taylor

  4. Peter Drucker


Correct Option: C
Explanation:

Under differential piece rates of wage payment, workers attaining or exceeding the standard draw their pay at a higher rate and those falling short of the standard are compensated at a lower wage rate. This system was devised by Frederick Taylor.

_____________ organisation refers to an organisation where relationship between people is based not on procedures, but on personal attitudes, prejudices and also on the likes and dislikes of people.

  1. Informal

  2. Formal

  3. Normal

  4. Mutual


Correct Option: A
Explanation:

Informal organisation refers to an organisation where relationship between people is not based on procedures, but on personal attitudes, prejudices, likes and dislikes. There always exists an informal organisation in a formal organisation and every management has to recognise this fact.

__________ denotes answerability for the accomplishment of the task assigned by a superior to his/her subordinate.

  1. Delegation of power

  2. Authority

  3. Accountability

  4. Centralisation


Correct Option: C
Explanation:

Accountability denotes answerability for the accomplishment of the task assigned by a superior to his/her subordinate.

Line type of structure is the _______ pattern of organisation

  1. modern

  2. oldest

  3. most expensive

  4. flexible


Correct Option: B
Explanation:

Line type of structure is the oldest pattern of organisation. In this form of organisation, a supervisor exercises direct supervision over a subordinate. Under the organisation, authority flows from the person at the top to the person at the lowest ring of the organisation.

Planning may call for a change in the existing

  1. accounting concepts

  2. government mandates

  3. governance standards

  4. procedures and policies


Correct Option: D
Explanation:

Procedures, rules and policies, once established, are difficult to change. Planning, on the other hand, may call for a change in the existing procedures and policies.

Henri Fayol defined _________ as "the right to give orders and exact obedience".

  1. delegation

  2. authority

  3. accountability

  4. reporting


Correct Option: B
Explanation:

Henry Fayol defined authority as “the right to give orders and exact obedience” and viewed this as an official authority.

Delegation is a process and _________ is the situation produced by a larger delegation of authority down the levels of an organisation.

  1. centralisation

  2. accountability

  3. decentralisation

  4. responsibility


Correct Option: C
Explanation:

Decentralisation should not be confused with delegation of authority. Decentralisation is basically concerned with attitude and philosophy of the organisation and management. It is not merely a process involving the handing over a part of the authority to the subordinates. Delegation is a process and decentralisation is the situation produced by a larger delegation of authority down the levels of an organisation.

__________ means systematic evaluation of the personality and performance of each employee by his supervisor or some other person trained in the techniques of merit rating.

  1. Training and development

  2. Peformance appraisal

  3. Human Resource Management

  4. Behaviourally Anchored Rating


Correct Option: B
Explanation:

Performance appraisal means systematic evaluation of the personality and performance of each employee by his supervisor or some other person trained in the techniques of merit rating.

Recruitment is the development and maintenance of adequate manpower resources. It involves the creation of a pool of available labour upon whom the organisation can draw when it needs additional employees. The given statement is an observation of

  1. Edwin B. Flippo

  2. Dale S. Beach

  3. Peter Drucker

  4. Douglas McGregor


Correct Option: B
Explanation:

Dale S. Beach observed, “Recruitment is the development and maintenance of adequate manpower resources. It involves the creation of a pool of available labour upon whom the organisation can draw when it needs additional employees.”

Human Resource Management is that part of management which is concerned with _________ and their relationship with an enterprise.

  1. board of directors

  2. society at large

  3. regulators

  4. the employees


Correct Option: D
Explanation:

Human Resource Management is that part of the process of management specifically concerned with the people employed in an organisation. Its purpose is to establish and maintain sound relations at all levels of the organisation and to secure the effective use of personnel by ensuring such conditions of employment as well as to attain for these personnel social satisfaction, which they tend to naturally seek within their working environment.

An activity is probably ethical if

  1. it is approved by most individuals in the organisation and is customary in the industry

  2. it is approved by most individuals in the organisation

  3. it is customary in the industry

  4. it is legal


Correct Option: D
Explanation:

An activity is probably ethical if it is legal.

Grapevine consists of a complex network of _________ communication.

  1. crosswise

  2. formal

  3. informal

  4. None of these


Correct Option: C
Explanation:

Any informal communication about company and personal matters outside the official network constitutes grapevine. Thus, grapevine consists of a complex network of informal communication taking place all day long in the workplace.

__________ coordination refers to that coordination in which a superior authority coordinates his/her work with that of his/her subordinates and vice versa.

  1. Internal

  2. Vertical

  3. Horizontal

  4. External


Correct Option: B
Explanation:

In vertical coordination, a superior authority coordinates his/her work with that of his/her subordinates and vice versa. Sales manager coordinates his/her work with the activities of the sales supervisor. Similarly, the sales supervisor is required to have coordination and a cordial relationship with his/her superiors.

_________ is the process of adjusting future actions based upon information about past performance.

  1. Ratio analysis

  2. Organisational suitability

  3. Feedback

  4. Network analysis


Correct Option: C
Explanation:

Feedback is the process of adjusting future actions based upon the information about past performance. It is based upon interdependence of different parts of a system.

An efficient system of control encourages top management to go in for ________ of authority.

  1. centralisation

  2. decentralisation

  3. classification

  4. None of these


Correct Option: B
Explanation:

An efficient system of control encourages top management to go in for decentralisation of authority. With controls, managers can foster decision-making at lower levels without losing ultimate control.

___________ is an important function of management which involves communicating and providing leadership to the subordinates and motivating them to contribute to the best of their capacity for the achievement of organisational objectives.

  1. Motivation

  2. Directing

  3. Discipline

  4. Coordination


Correct Option: B
Explanation:

Directing is an important function of management which involves communicating with and providing leadership to the subordinates and motivating them to contribute their best for the achievement of organisational objectives.

Investors are concerned about the _________ of the company in which they invest.

  1. ethics, social responsibility and reputation

  2. employees

  3. executive compensation

  4. profitability


Correct Option: D
Explanation:

Investors are concerned only about the profitability of the company in which they invest.

________ is an approach that organisations use to improve their internal processes and increase customer satisfaction.

  1. Total Quality Management (TQM)

  2. Customer Management

  3. Risk Management

  4. Financial Management


Correct Option: A
Explanation:

Total Quality Management (TQM) is an approach that organisations use to improve their internal processes and increase customer satisfaction. When properly implemented, it can lead to decreased costs related to corrective or preventative maintenance, better overall performance, and an increased number of satisfied and loyal customers.

Price skimming is an ethical issue covered under

  1. ethics in compliance

  2. ethics in marketing

  3. ethics in finance

  4. ethics in production


Correct Option: B
Explanation:

Marketing ethics is the area of applied ethics which deals with the moral principles behind the operation and regulation of marketing. The ethical issues confronted in this area include:

  1. Pricing: Price fixing, price discrimination, price skimming
  2. Anti-competitive practices like manipulation of supply, exclusive dealing arrangements, tying arrangements, etc.

Anti-competitive practices include

  1. insider trading

  2. grey markets

  3. employment of child labour in production activities

  4. tying arrangements


Correct Option: D
Explanation:

Anti-competitive practices include manipulation of supply, exclusive dealing arrangements, tying arrangements, etc.

___________ is the relation between various elements of financial statements expressed in mathematical terms.

  1. Ratio analysis

  2. Management audit

  3. Internal audit

  4. PERT


Correct Option: A
Explanation:

Ratio analysis is the relation between various elements of financial statements expressed in mathematical terms. It helps to understand profitability, liquidity and solvency of a firm.

The ethics in Human Resource Management (HRM) cover those ethical issues arising around the

  1. society-employer relationship

  2. customer-employee relationship

  3. employer-state relationship

  4. employer-employee relationship


Correct Option: D
Explanation:

The ethics of Human Resource Management (HRM) cover those ethical issues arising around the employer-employee relationship, such as the rights and duties owed between the employer and the employee.

Spending money on restoring the environment, affected out of products of inherently dangerous nature is known as

  1. business ethics

  2. corporate philanthropy

  3. whistleblowing

  4. corporate leadership


Correct Option: A
Explanation:

Spending money on restoring the environment, affected out of products of inherently dangerous nature is known as business ethics. Business ethics may be defined as a set of moral rules and principles to protect the interests of customers, employers, society, business unit itself and the industry as a whole.

Mohan joined a company as Chief Finance Officer (CFO). He observed that the company is involved in concealing tax and engaged in other malpractices. He brought this fact to the notice of the Income Tax Authorities. This action of Mohan would be termed as

  1. cartelisation

  2. misconduct

  3. ethical wrong

  4. whistleblowing


Correct Option: D
Explanation:

Whistleblowing is the process where a person informs about misdoings or makes a public disclosure of corruption or wrongdoing. Hence, the action of Mohan would be termed as whistleblowing.

Gestures cannot be used in

  1. oral communication

  2. body language

  3. written communication

  4. informal communication


Correct Option: C
Explanation:

Gestures can be used for non-verbal communication and written communication is a means of verbal communication. Hence, gestures cannot be used for written communication.

The rules or principles that define right or wrong conduct are known as

  1. ethics

  2. customer satisfaction

  3. ethical conflict

  4. None of these


Correct Option: A
Explanation:

Mackenzie defines ethics as “the study of what is right or good in human conduct” or the “science of the ideal involved in human life”. So, it is clear that ethics is the study which determines rightness or wrongness of actions.

________ also serves to inform employees of the vision that the company's executives have for the company's image and goals.

  1. Customer Feedback

  2. Code of Ethics

  3. Ethics Coach

  4. Mission


Correct Option: D
Explanation:

Mission serves to inform employees of the vision that the company's executives have for the company's image and goals.

A situation requiring a choice between equally undesirable alternatives or any difficult or perplexing situation or problem is known as a

  1. trivial

  2. cognition

  3. dilemma

  4. veteran


Correct Option: C
Explanation:

Dilemma is a situation requiring a choice between equally undesirable alternatives or any difficult or perplexing situation or problem. Veteran is a person who has had long service or experience in a particular occupation or field. Trivial means 'of little significance or value'.  Cognition means the mental action or process of acquiring knowledge and understanding through thought, experience and senses.

‘To play second fiddle’ means

  1. to play the violin

  2. to meddle with something

  3. to take a subordinate part

  4. to cheat


Correct Option: C
Explanation:

To play second fiddle means to take a subordinate part.

Seven C's of effective communication do not include

  1. consideration of sender

  2. courtesy towards recipient

  3. correctness of facts

  4. concreteness in presentation


Correct Option: A
Explanation:

 Seven C's of effective communication are:

  1. Clarity of expression
  2. Completeness of information
  3. Conciseness of message
  4. Concreteness in presentation
  5. Courtesy towards recipient
  6. Correctness of facts
  7. Consideration for the receiver 

The flow or pattern of communication can be

  1. downward

  2. upward

  3. diagonal or horizontal

  4. All of the above


Correct Option: D
Explanation:

The flow of communication in an organisation depends on its size, structure and philosophy. The flow or pattern of communication may be downward, upward, diagonal or horizontal.

___________ means incapable of making mistakes.

  1. Intelligent

  2. Infallible

  3. Incongruous

  4. Indispensable


Correct Option: B
Explanation:

Infallible means incapable of making mistakes.

Organisations publish ______ when they have to procure goods and services on a large scale or get projects executed.

  1. purchase requisition

  2. tender notices

  3. purchase order

  4. None of these


Correct Option: B
Explanation:

Organisations publish tender notices when they have to procure goods and services on a large scale to get projects executed. Tender notices may be defined as invitations to submit “bids to provide such goods/services at quoted prices and subject to stated conditions”.

A company operates its bank account only through

  1. a shareholder

  2. investors

  3. persons authorised by the Board of Directors

  4. company secretary


Correct Option: C
Explanation:

A company begins its operations by opening a current account. The company operates the account through one or more authorised signatories who may even be changed by the Board of Directors.

__________ are made in order to voice a grievance and to secure a relief.

  1. Business Communication

  2. Invoice

  3. Public Notices

  4. Representations


Correct Option: D
Explanation:

Representations are made in order to voice a grievance and to secure a relief.

When an organisation needs to share important information with members of general public, it drafts a/an

  1. public notice

  2. office memorandum

  3. agreement

  4. representation


Correct Option: A
Explanation:

Public notice is given by an organisation when it needs to share important information with the members of general public, such as a change of name or representative and invitation, which are generally sent when the occasion is very formal.

__________ is neither entered into books of account nor charged to the account of the recipients.

  1. Delivery Challan

  2. Invoice

  3. Credit/Debit Note

  4. Proforma Invoice


Correct Option: D
Explanation:

A Proforma Invoice is different insofar as it is for the sake of form only. It is neither entered into books nor charged to the account of the recipients. It may be used for several purposes including: as a quotation, to enable calculation of taxes and duties payable, etc.

A/An ______ does not have a salutation and complimentary close.

  1. purchase order

  2. external letter

  3. call letter

  4. memo


Correct Option: D
Explanation:

Memos are used commonly for issuing instructions to the staff, changes in the policy inviting suggestions, giving information, making requests, etc. A memo is different from a letter, both in format and in its effect on the addressee. It is important to note that a memo does not have a salutation and complimentary close. But the subject is clearly written and underlined.

Memorandums are preferred when one needs to convey information

  1. urgently

  2. in writing

  3. telephonically

  4. verbally


Correct Option: B
Explanation:

Memorandum at best means a note or record for future use. Memorandums are preferred when one needs to convey information in writing.

A good press release should not be

  1. factual

  2. lengthy

  3. news value

  4. format based


Correct Option: B
Explanation:

One of the essentials of a good press release is it should be brief and not lengthy. The Chiefs of Bureaus are known to strike out large parts of press releases received by them daily. One cannot blame them because they are parting with precious space and time. Therefore, the chances of including a press release increases if we keep it brief.

______ option forbids unwanted e-mails from entering the inbox.

  1. Interface

  2. Spam

  3. Protocols

  4. Jargon


Correct Option: B
Explanation:

Unsolicited or Junk mails can be filtered by using the ‘spam’ option, which forbids unwanted e-mails from entering the inbox. 

The meaning of Latin phrase ab initio is

  1. from the origin

  2. from the beginning

  3. from the middle

  4. from the ages


Correct Option: B
Explanation:

From the beginning - ab initio From the origin - ab origin 

Which of the following is the main function of an apostrophe (')?

  1. To point the reader's attention forward

  2. To separate two or more independent clauses

  3. To denote possession and other kinds of relationships

  4. To link contracting statements


Correct Option: C
Explanation:

An apostrophe (’) is used to denote possession and other kinds of relationships.

Which of the following is/are definite article(s)?

  1. A

  2. An

  3. The

  4. All of the above


Correct Option: C
Explanation:

'The' is called a definite article because it normally points out some particular person or thing. For example, he saw the doctor, meaning some particular doctor.

When goods are returned by a customer, which of the following is issued to the customer for the value of the goods returned?

  1. Debit Note

  2. Proforma Invoice

  3. Invoice

  4. Credit Note


Correct Option: D
Explanation:

Credit Note is a document sent by a seller to a buyer to rectify an error of overcharge in an invoice or to allow credit for goods returned.

Which of the following sentences is grammatically correct?

  1. A snake was kill by me.

  2. You are request to come daily.

  3. Company secretaries are also known as governance professionals.

  4. Mahesh is more intelligent student of the class.


Correct Option: C
Explanation:
  1. A snake was killed by me.
    1. You are requested to come daily.
    2. Mahesh is the most intelligent student of the class.

Which of the following is a passive voice of "Shah Jahan built Taj Mahal."?

  1. Taj Mahal is built by Shah Jahan.

  2. Taj Mahal was built by Shah Jahan.

  3. Taj Mahal was build by Shah Jahan.

  4. Taj Mahal built by Shah Jahan.


Correct Option: B
Explanation:

Active Voice - Shah Jahan built Taj Mahal. Passive Voice - Taj Mahal was built by Shah Jahan.

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