Class 12 Business Studies | State Board Board | Mixed Level Practice Test - 35 Questions (2026)

๐Ÿ“˜ Business Studies ๐ŸŽ“ Class 12 ๐Ÿ›๏ธ State Board โšก Mixed ๐Ÿ“ 35 Questions

Practice Business Studies for Class 12 State Board. 35 questions. AI-generated test series on Gyanzo.

35
Questions
State Board
Board
Mixed
Difficulty
14
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๐Ÿ“‹ Questions in This Test

Q1 MCQ

Which of the following is NOT a function of management?

A Planning
B Organizing
C Staffing
D Auditing
Q2 MCQ

The process of assigning duties, grouping tasks, establishing authority and allocating resources required to carry out a specific plan is known as:

A Planning
B Organizing
C Directing
D Controlling
Q3 MCQ

Which principle of management, given by Fayol, advocates 'One boss for one worker'?

A Unity of Direction
B Unity of Command
C Scalar Chain
D Equity
Q4 MCQ

The marketing philosophy that holds that achieving organizational goals depends on determining the needs and wants of target markets and delivering the desired satisfactions more effectively and efficiently than competitors do, is known as:

A Production Concept
B Product Concept
C Selling Concept
D Marketing Concept
Q5 MCQ

Which of the following is NOT a component of the marketing mix?

A Product
B Price
C Promotion
D People
Q6 MCQ

The process of selecting the best candidate for a job from a pool of applicants is called:

A Recruitment
B Selection
C Training
D Placement
Q7 MCQ

Which of the following is an example of 'Capital Market Instrument'?

A Treasury Bills
B Commercial Paper
C Equity Shares
D Certificate of Deposit
Q8 MCQ

The main function of SEBI is to protect the interest of:

A Companies
B Government
C Investors
D Financial Institutions
Q9 MCQ

A company has current assets of $5,00,000$ and current liabilities of $2,50,000$. What is the current ratio?

A 0.5:1
B 1:2
C 2:1
D 1:1
Q10 MCQ

Which of the following is NOT a type of 'Fixed Capital' requirement?

A Purchase of Land
B Purchase of Machinery
C Payment of Salaries
D Construction of Building
Q11 MCQ

Which function of management involves setting objectives and developing appropriate courses of action to achieve these objectives?

A Directing
B Planning
C Controlling
D Organizing
Q12 MCQ

The principle of management which emphasizes 'one head one plan' is:

A Unity of Command
B Unity of Direction
C Scalar Chain
D Equity
Q13 MCQ

Which of the following is NOT a component of the business environment?

A Technological Environment
B Political Environment
C Internal Environment
D Social Environment
Q14 MCQ

Which of the following is the last step in the staffing process?

A Recruitment
B Selection
C Placement and Orientation
D Training and Development
Q15 MCQ

The type of organizational structure that combines functional and divisional structures is known as:

A Functional Structure
B Divisional Structure
C Matrix Structure
D Informal Structure
Q16 MCQ

Which element of directing involves overseeing the work of subordinates by their superiors?

A Motivation
B Leadership
C Communication
D Supervision
Q17 MCQ

Which of the following is a type of financial market that deals with short-term securities?

A Capital Market
B Money Market
C Primary Market
D Secondary Market
Q18 MCQ

The process of classifying products into different groups based on their characteristics is known as:

A Branding
B Packaging
C Grading
D Labeling
Q19 MCQ

If a company's total assets are $500,000$, total liabilities are $200,000$, and equity is $300,000$, what is the debt-equity ratio?

A 0.5:1
B 0.67:1
C 1:1
D 1.5:1
Q20 MCQ

Which of the following is NOT a function of SEBI?

A Regulating stock exchanges
B Promoting fair practices in securities markets
C Setting interest rates for banks
D Protecting the interests of investors
Q21 MCQ

The principle of 'scalar chain' is related to:

A Division of work
B Authority and responsibility
C Unity of command
D Line of authority
Q22 MCQ

Which level of management is responsible for the welfare and survival of the organization?

A Top-level management
B Middle-level management
C Lower-level management
D All of the above
Q23 MCQ

Which of the following is a type of financial incentive?

A Promotion
B Recognition
C Stock option
D Job security
Q24 MCQ

Which of the following is NOT an element of the marketing mix?

A Product
B Price
C Promotion
D Planning
Q25 MCQ

The process of identifying and choosing the best course of action is called:

A Planning
B Organizing
C Directing
D Decision-making
Q26 MCQ

Which of the following is an example of 'internal source of recruitment'?

A Placement agencies
B Advertisements
C Promotions
D Campus recruitment
Q27 MCQ

A company's current ratio is 2:1 and its liquid ratio is 1:1. If its current liabilities are \$200,000, what is the value of its inventory?

A \$100,000
B \$200,000
C \$300,000
D \$400,000
Q28 MCQ

Which of the following communication barriers arises from different interpretations of words?

A Semantic barrier
B Psychological barrier
C Organizational barrier
D Personal barrier
Q29 MCQ

Which of the following is the first step in the controlling process?

A Taking corrective action
B Measuring actual performance
C Analyzing deviations
D Setting performance standards
Q30 MCQ

The process of dividing work into manageable activities and then grouping these activities is:

A Planning
B Organizing
C Directing
D Controlling
Q31 MCQ

The type of organizational structure where jobs are grouped based on product lines is called:

A Functional Structure
B Divisional Structure
C Formal Structure
D Informal Structure
Q32 MCQ

Which of the following is NOT a method of training?

A Apprenticeship
B Vestibule Training
C Job Rotation
D Demotion
Q33 MCQ

Which element of directing involves supervising, guiding, and motivating subordinates?

A Motivation
B Leadership
C Communication
D Delegation
Q34 MCQ

If a company's Return on Investment (ROI) is 20% and the desired ROI is 25%, the deviation is:

A 5% favorable
B 5% unfavorable
C 45% favorable
D 45% unfavorable
Q35 MCQ

Which of the following is NOT a type of financial market?

A Money Market
B Capital Market
C Commodity Market
D Barter Market

โ“ Frequently Asked Questions

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This Business Studies test for Class 12 State Board contains 35 questions.

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This test is designed for State Board Class 12 students studying Business Studies.

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