KENDRIYA VIDYALAYA SANGATHAN REGIONAL OFFICE BHOPAL

Half Yearly Examination 2022-23

Class XI
Subject- Business Studies (054)

Set-1

Maximum Time- 3 hours Maximum Marks- 80

General instructions :

1 This question paper contains 34 questions.

2. Marks are indicated against each question.
3. Answers should be brief and to the point.
4. Answers to the questions carrying 3 marks may be from 50 to 75 words.
5. Answers to the questions carrying 4 marks may be about 150 words.
6. Answers to the questions carrying 6 marks may be about 200 words.
7. Attempt all parts of the questions together.
Q. NO. QUESTIONS MARKS
1 Following are the characteristics of business risks. One of them is not correct. Identify it. 1
(a) Loss is the reward for risk bearing
(b) Business risks are due to uncertainties
(c) Risk is an essential component of every business
(d) Degree of risk depends mainly upon the nature and size of business
2 Tea is produced mainly in Assam . Cotton in Gujarat and Maharashtra, Jute in West 1
Bengal and Sugar in Uttar Pradesh. But these goods are required for consumption in
different parts of the country. For this purpose ………………….. is very important.
(a) Banking and Finance
(b) Advertising
(c) Insurance
(d) Transport and Communication
3 The purpose of this study is to assess if the raw materials and technology required to 1
pursue a particular business proposal are easily available
(a) Economic feasibility Study
(b) Financial Feasibility study
(c) Technical Feasibility study
(d) None of the above
4 Application for the name approval of the company is made to 1
(a) Securities Exchange Board of India
(b) Registrar of the companies
(c) Government of India
(d) State Government in which Company is going to be registered
5 Assertion (A): personal assets of the partner may be used to pay off business debts in 1
case of insufficiency of business assets
Reason (R): Partners of the firm have unlimited liability
a) Both the statements (A) and (R) are correct and (R) is the right explanation of (A)
b) Both the statements (A) and (R) are correct and (R) is not the right explanation of
(A)
c) Statement (A) is correct but statement (R) is incorrect
d) Statement (A) is incorrect but statement (R) is correct
6 Which government enterprise is registered under Indian Companies Act, 2013? 1
(a) Departmental undertaking (b) Public corporation
(c) Government company (d) Partnership companies
7 Which of the following is a merit of Departmental Undertaking 1
(a) Operational Flexibility (b) Bureaucracy and Conservative approach
(c) Autonomous Set up (d) Answerable to Parliament
8 “Irrespective of members come and go; shares are bought and sold, dividends are 1
earned and distributed; such a form of a business organisation goes on”, which
characteristics of a business organization are highlighted in the above mentioned lines?
(a) Perpetual succession (b) Separate legal entity
(c) Artificial person (d) Profit sharing
9 The shares of a Central Government Company registered in the state of Maharashtra 1
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.
10 Match the ‘forms of public enterprises’ in column I with their respective example in 1
column II.
Column “I” Column “II”
A. Statutory corporation (i) Railway
B. Government company (ii) Reserve Bank of India
C. Departmental undertaking (iii) National Fertilizers Ltd.
(a) A-(i) B-(ii) C- (iii) (b) A- (iii) B- (i) C-(ii)
(c) A- (i) B- (iii) C- (ii) (d) A-(ii) B- (iii) C-(i)
11 ------------- Account is opened by businessmen who have a number of regular 1
transactions with the bank, both deposits and withdrawals.
(a) Saving Bank Account (b) MOD Account
(b) Fixed Deposit Account (d) None of the Above
12 Rajesh insures his house for Rs. 5,00,000 with Mic Insurance Company and For Rs. 1
10,00,000 from Mac Insurance Company. Due to Flood the loss incurred in house is
worth Rs. 4,80,000. Now the liability of Mic and Mac insurance company respectively
will be
(a) Rs.2,40,000 and Rs. 2,40,000 (b) Rs. 1,60,000 and Rs. 3,20,000
(c)Rs. 4,80,000 and Rs. 0 (d) Rs. 0 and Rs. 4,80,000
13 When a ship is insured against any type of danger, it is known as 1
(a) Life insurance (b) Fire insurance
(c) Hull insurance (d) None of the above
14 Which of the following is not the Elements of Fire Insurance 1
(a) The insured must have insurable interest both at the time of insurance and at
the time of loss.
(b) The contract is based on utmost good faith.
(c) This contract is a contract of strict indemnity.
(d) None of The above.
15 OLX market place is a platform for buying and selling goods such as electronics, 1
furniture, household goods, cars and bikes. It connects local people to buy, sell or
exchange used goods by making it fast and easy for anyone to post a advertisement
through their mobile phone or on the web. Identify the component of e–business being
described in the given case.
(a) C2C (b) B2B (c) B2C (d) C2B
16 Withdrawal of money from ATM is an example of ……… transaction. 1
(a) C2B (b) C2C (c) B2C (d) B2B
17 Statement (I) e-business is one of the most speedy modes of doing business. 1
Statement (II) e-business offers the convenience of doing business 24 hours × 7 days a
week.
(a). Statement I is true and II is false
(b). Statement II is true and I is false
(c). Both the statements are true
(d). Both the statements are false
18 Craft enterprises pays wages to its employees at a rate, which is much lower than the 1
minimum wages prescribed by the government. The working conditions in the factory
are inappropriate as there is lack of proper ventilation and there is a strict, rule against
formation of trade union. Against, which ‘Group’, Craft Enterprises has ignored the
social responsibility?
(a) Consumers (b) Workers
(c) Society (d) Shareholders
19 Kratika Ltd. is a well-known company in telecom sector. The company is committed to 1
treat everyone fairly with respect and dignity, regardless of difference in age, caste,
creed, gender etc. . Identify towards which interest group, company is fulfilling its social
responsibility?
(a) Government (b) Consumer
(c) Community (d) Employees
20 Which of the following statement is incorrect 1
(a) Ethical behaviour is above the behaviour required by law
(b) Top management plays a crucial role in guiding ethical behaviour
(c) Employees should not be involved in developing ethical programme
(d) None of the above.
21 Saloni, Rupali, Mukesh and Rakesh - all the four are members of the same family. Saloni 3
passed her M.B.B.S examination recently. Immediately, she got the job of a doctor in a
government hospital. Rupali has completed her studies in engineering and has given her
interview for the post of a production manager in Sharda Cement Limited. She is waiting
for the result and is quite hopeful of her getting selected. Mukesh has his own transport
company. His company has about 150 vehicles. He had to suffer a heavy loss because of
the pandemic Corona (Covid-19). His company is on the edge of getting closed. Rakesh
is working in the Research and Development Department of Balaji Services Limited. His
full attention is focused on effecting innovation in the services provided by his company.
He knows that in order to sustain for a long-time in market, it is necessary to do
something new and better.
(a) Identify the class of company (Industry) in which Rupali has given her interview.
(b) Which business risk is Mukesh’s company struggling against?
(c) Identify the type of work done by Mukesh.
22 “Registration provides a conclusive proof of the existence of the firm, It is optional to 3
get a firm registered”. However, non-registration deprives the firm from a number of
benefits. Explain any three demerits of non-registration of a firm.
23 It is the oldest form of business organization, under the control of concerned minister of 3
the department, which is answerable to government through Parliament.
(a) Identify the form of public enterprise mention above.
(b) Explain any two limitation of Such enterprise.
(OR)
It is the organization which is formed by a Special Act of Parliament. The Act defines
their powers, objects and privileges.
(a) Identify the form of public enterprise mentioned above.
(b) Explain any two characteristics of such enterpriseother than mentioned above.
24 Explain the followings- 3
(a) Saving Bank Account.
(b) Multiple Option Deposit Account.
(c) Recurring Deposit Account.
(OR)
Explain the Followings-
(a) Insurable interest (b) VSAT services
(b) RTGS
25 “It refers to those economic activities, which are connected with the production or 4
purchase and sale of goods or supply of services with the main object of earning profit.”
Identify the term which is mention in this para and explain any four characteristics of
the term identified.
(OR)
(a) Explain the meaning of Hundi
(b) Explain about any three leading trade centers in ancient India
26 “It is a form of business organization which is owned, managed and controlled by a 4
single individual, who is the recipient of all profits and bearer of all the risks”.
(a) Identify the form of business organization which is discussed in above para.
(b) Also explain any three characteristics of the identified form of business
organization.
(OR)
“It is a voluntary association of persons formed for mutual benefit. Its primary motive is
welfare of the members”.
(a) Identify the form of business organization which is discussed in above lines.
(b) Also explain any three characteristics of the identified form of business
organization.
27 Rakesh, a resident of Chennai, works as a mechanic in a factory set up by a gigantic 4
corporation which produces mobile handsets. This business organisation has its
operations in a number of countries. Due to some changes taking place in their strategy
of doing business, their headquarters in U.S.A. have decided to close down this factory
in Chennai and because of their this decision, hundreds of employees like Rakesh, who
were employed in that factory are loosing their jobs.
(a) Name the type of enterprise/corporation where Rakesh works.
(b) Mention any three features of such enterprises.
28 Explain the following Terms- 4
(a) Bank Draft
(b) Bank Overdraft
(c) Cash Credit
(d) E-banking
29 Explain difference between E-Business & Traditional Business on the following basis. 4
(i) Ease of Formation
(ii) Physical Presence
(iii) Cost of Setting up
(iv) Operating Cost
30 “It refers to the combination of moral principles ,values and norms that govern the 4
business decision and actions.”
(a) Identify the concept which is mentioned in above lines.
(b) Explain the elements of such concept which is identified in the above para. (any
three)

31 Navodit & Yash are good friends. Navodit charges fees from his clients by rendering his 6
personalised, expert services. Yash earns profit by providing transport facilities to the
public. While Navodit follows the code of conduct at the time of dealing with his clients,
Yash also tries to maximise his profits by being polite with his customers, fulfilling his
promises and being sensitive towards the needs of his customers.

(a) Name the type of economic activities Navodit and Yash are engaged in.

(b) Differentiate in both types of economic activities identified in (a) on the basis of
(i)‘Capital Investment’
(ii) ‘Risk’
(iii) Reward
(iv) Code of Conduct
(v) Qualification
32 The whole family of Rama Narayan is busy in a special kind of business. They are running 6
a business organisation which is found only in India. Except Rama Narayan, the liability
of all the other members is limited. Rama has a friend whose name is Mr Maya. He is
also running a special kind of business. He has established a company in which he is the
only shareholder. In other words, he himself has invested the whole capital. He has
nominated his wife in the company. Mr Maya has two sons, Krishna and Shyam. Krishna
has completed his studies of M.B.A. and Shyam, his engineering studies. Krishna has
been selected for the post of finance manager in a company. A special characteristic of
his company is that there is a ban on the transfer of its shares. On the other hand,
Shyam, too has been selected for the post of production manager in another company.
At the time of his interview, Shyam made a special observation that out of the total
number of seven of his interviewers, five of them were directors of the company.
(a) Identify the business organisation being run by Rama Narayan.
(b) Identify the company being run by Mr Maya.
(c) Identify Mr Krishna’s company, in which he is selected for the post of finance
manager.
(d) To which class does Mr Shyam’s company belong?
(e) What term is used for Rama Narayan in his business? Explain any one feature of
his form of business organization.
33 What is e-Business? Explain any Five benefits of e-Business. 6
(OR)
Explain the scope of E-Business.

34 Identify the followings 6

i) A contract of insurance is a contract of uberrimae fidei, i.e. a contract based
on utmost good faith. It means that the insurer and the insured should
display good faith towards each other by voluntarily making full, accurate
disclosure of all facts, material to the risk being proposed and the insurer
should make clear all the terms and conditions in the insurance contract.
ii) It means some financial interest in the subject matter of the insurance
contract. The insured must have an interest in the subject matter of
insurance in such a way that he stands to benefit by its safety and stands to
suffer loss if it is damaged.
iii) It means security against loss. According to this principle, the insurer
undertakes to put the insured, in the event of loss, in the same position that
he occupied immediately before the happening of the event insured against.
iv) When the loss is the result of two or more causes, the proximate cause
means the direct, the most dominant and most effective cause of which the
loss is the natural consequence. The insurer is liable to compensate for the
loss only if the proximate cause is covered under the policy.
v) According to this principle, after the insured is compensated for the loss or
damage to the property insured by him/her, the right of ownership of such
property passes on to the insurer.
vi) This principle suggests that it is the right of an insurer to call upon other
liable insurers to contribute for the loss of payment. It implies that in case of
double insurance, the insurers are to share the losses in proportion to the
amount assured by each of them.

(OR)
As a part of Digital India campaign the government aims to create a Digitally
empowered economy that is faceless, paperless and cashless.

In context of above para

Briefly explain various types of Digital payments (any six)