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CBSE · Class 12 · Business Studies

Controlling quiz

Q01
MCQ

Controlling is the:

(a) first function of management
(b) last function of management
(c) only function of top management
(d) function of the personnel department (1 mark)
Q02
MCQ

Which step of controlling involves comparing actual performance with standards?

(a) First
(b) Second
(c) Third
(d) Fifth (1 mark)
Q03
MCQ

Management by exception means:

(a) every deviation is reported to top management
(b) only significant deviations beyond the permissible limit are reported
(c) no deviation is reported
(d) employees control themselves (1 mark)
Q04
MCQ

Controlling is:

(a) backward looking only
(b) forward looking only
(c) both backward and forward looking
(d) neither (1 mark)
Q05
MCQ

Planning is a prerequisite for:

(a) controlling
(b) staffing only
(c) recruitment
(d) motivation only (1 mark)
Q06
MCQ

Focusing control on key result areas that affect the entire organisation is called:

(a) management by objectives
(b) critical point control
(c) budgetary control
(d) management audit (1 mark)
Q07
MCQ

Which of the following is a limitation of controlling?

(a) Ensures order
(b) Improves motivation
(c) Little control on external factors
(d) Facilitates coordination (1 mark)
Q08
MCQ

Taking corrective action is the:

(a) first step
(b) third step
(c) fourth step
(d) fifth step (1 mark)
Q09
MCQ

Controlling helps in judging the accuracy of:

(a) recruitment
(b) standards
(c) advertising
(d) prices (1 mark)
Q10
MCQ

Measurement of performance by sample checking is commonly used in:

(a) planning
(b) quality control in a factory
(c) recruitment
(d) training (1 mark)
Q11
Short

Explain how controlling helps in accomplishing organisational goals. (2 marks)

Q12
Short

Why should standards be set in quantitative terms as far as possible? (2 marks)

Q13
Short

How does controlling ensure order and discipline? (2 marks)

Q14
Short

Give two examples of standards that can be set in qualitative terms. (2 marks)

Q15
Short

Why is controlling considered costly for small organisations? (2 marks)

Q16
Short

How does controlling improve employee motivation? (2 marks)

Q17
Short

State two possible corrective actions when deviation is due to defective material. (2 marks)

Q18
Short

Why do employees sometimes resist controls? Give an example. (2 marks)

Q19
Short

Explain how controlling facilitates coordination. (2 marks)

Q20
Short

Distinguish between planning and controlling on two bases. (2 marks)

Q21
Numerical

A sales team had a target of 1,200 units in a month and sold 1,056 units. Calculate the deviation and the percentage deviation. If the permissible limit is 10%, should the matter be reported to the top management? (3 marks)

Q22
Numerical

A factory's standard rejection rate is 2%. Out of 25,000 units produced, 750 were rejected. Calculate the actual rejection rate and the excess rejections. (3 marks)

Q23
Numerical

The budgeted expenditure on advertising was Rs 12 lakh and the actual was Rs 13.8 lakh. Calculate the deviation and percentage deviation. Is this deviation positive or negative for the firm? (3 marks)

Q24
Numerical

A call centre targets average call handling time of 6 minutes. In a sample of five calls, times were 5, 7, 8, 6 and 9 minutes. Calculate the average time and its deviation from the standard. (3 marks)

Q25
Numerical

A school aims at 95% attendance. In a class of 40 students over 25 working days, total attendance was 920. Calculate the actual attendance percentage and the shortfall from the standard. (3 marks)

Q26
Case

Read the passage and answer the questions. A shoe manufacturer fixed a standard of 0.5% defective pairs. Each week the quality team inspected a sample and found 1.2% defects. On investigation, they found that a new adhesive supplier was the cause, and the supplier was changed. (i) Identify the steps of controlling described. (ii) Quote lines for each step. (iii) Which step is not explicitly mentioned? (5 marks)

Q27
Case

Read the passage and answer the questions. In a supermarket, the store manager noticed that a 2% increase in the cost of carry bags did not matter much, but a 2% increase in the cost of fresh produce wastage significantly reduced profits. (i) Identify the control concept. (ii) Explain why the manager should focus on produce wastage. (iii) State one benefit of this concept. (5 marks)

Q28
Case

Read the passage and answer the questions. A company's manager says, "We set our targets at the start of the year and review them every month. When we fall short, we find out why and revise our methods for the next year." (i) Identify the relationship between two functions. (ii) Explain how the manager's approach is both backward looking and forward looking. (iii) State one importance of controlling shown. (5 marks)

Q29
Case

Read the passage and answer the questions. A tea estate could not set quantitative standards for employee morale and customer satisfaction. Its control system also became very costly, and workers protested against CCTV cameras. (i) Identify three limitations of controlling. (ii) Explain each. (iii) Suggest how the estate can overcome one of them. (5 marks)

Q30
Case

Read the passage and answer the questions. A car maker sets a standard of 40 hours of labour per car. In one month, actual time was 46 hours per car. The production manager found that the workers were new and lacked training. (i) Calculate the deviation and percentage deviation. (ii) Identify the cause and the corrective action. (iii) Name the step of controlling at which the cause was found. (5 marks)

Q31
Long/Diagram

Explain the steps of the controlling process with a flowchart and examples from a manufacturing firm. (6 marks)

Q32
Long/Diagram

Explain the importance of controlling with six points and draw a chart summarising them. (6 marks)

Q33
Long/Diagram

Explain the relationship between planning and controlling. Draw a diagram showing how they are interrelated. (6 marks)

Q34
Long/Diagram

Explain the limitations of controlling. Draw a chart showing each limitation with a suggested remedy. (6 marks)

Q35
Long/Diagram

Explain critical point control and management by exception with examples. Draw a diagram showing the range of acceptable deviation and the zone requiring management action. (6 marks)

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