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Commerce Set 1 2015-2016 ISC (Arts) Class 12 Question Paper Solution

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Commerce [Set 1]
Marks: 100Academic Year: 2015-2016
Date & Time: 1st April 2016, 2:00 pm
Duration: 3h

Part - l
[20]1 | Answer briefly each of the questions (i) to (x) :
[2]1.i

State two components of the legal environment of a business concern.

Concept: Dimensions of Business Environment - Macro
Chapter: [1] Business Environment
[2]1.ii

Why is working capital also known as circulating capital? 

Concept: Concept of Fixed and Working Capital
Chapter: [2.01] Capital
[2]1.iii

What is meant by participating preference shares?

Concept: Types of Shares - Preference Shares Equity Shares
Chapter: [2.02] Sources of Finance for a Joint Stock Company
[2]1.iv

Give three differences between advertising and personal selling. 

Concept: Elements of Promotion Mix
Chapter: [4.02] Marketing Mix
[2]1.v

Why is feedback an important element in the communication process?

Concept: Concept of Communication
Chapter: [3.05] Functions of Management
[2]1.vi

Explain the principle of Esprit de corps as advocated by Henry Fayol.

Concept: Structure of Organisation
Chapter: [3.05] Functions of Management
[2]1.vii

What is meant by a product?

Concept: Marketing Mix - Product Mix
Chapter: [4.02] Marketing Mix
[2]1.viii

Explain the meaning of coordination, as a function of management.

Concept: Coordination as an Essence of Management
Chapter: [3.05] Functions of Management
[2]1.ix

What are bonus shares?

Concept: Finance for a Joint Stock Company - Bonus Shares
Chapter: [2.02] Sources of Finance for a Joint Stock Company
[2]1.x

Explain the concept of management by exception.

Concept: Management by Exception
Chapter: [3.05] Functions of Management
Part - II
[12]2 | Answer any five questions :
[3]2.i

Explain any three external elements of the micro business environment.

Concept: Dimensions of Business Environment - Micro
Chapter: [1] Business Environment
[4]2.ii

Briefly explain any two sources of short term finance.

Concept: Short-term Sources of Funds - Factoring
Chapter: [2.02] Sources of Finance for a Joint Stock Company
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[5]2.iii

Explain the meaning of debentures. State any four disadvantages of debentures.

Concept: Meaning and Concept of Debentures
Chapter: [2.02] Sources of Finance for a Joint Stock Company
[12]3
[4]3.i

Write any four features of equity shares.

Concept: Types of Shares - Preference Shares Equity Shares
Chapter: [2.02] Sources of Finance for a Joint Stock Company
[8]3.ii

Explain any four factors that affect the capital structure of a company.

Concept: Concept of Fixed and Working Capital
Chapter: [2.01] Capital
[12]4
[3]4.i

Briefly explain any three demerits of public deposits.

Concept: Short-term Sources of Funds - Public Deposits
Chapter: [2.02] Sources of Finance for a Joint Stock Company
[4]4.ii

Differentiate between the line organisation and line and staff organisation.

Concept: Concept of Line and Staff
Chapter: [3.05] Functions of Management
[5]4.iii

Write five features of an informal business organisation.

Concept: Structure of Organisation
Chapter: [3.05] Functions of Management
[12]5
[3]5.i

Why is management considered as a science? 

Concept: Importance of Business Environment
Chapter: [1] Business Environment
[4]5.ii

Differentiate between centralization of authority and decentralization of authority.

Concept: Comparison Between Delegation and Decentralization
Chapter: [3.05] Functions of Management
[5]5.iii

State and explain the principles of management as laid down by F. W.Taylor.

Concept: Concept of Principles of Management
Chapter: [3.04] Principles of Management
[12]6

Explain any three objectives of management.

Concept: Concept of Management
Chapter: [3.01] Management
[3]6.i
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[4]6.ii

Explain the terms : 
(i) Labelling
(ii) Packaging

Concept: Marketing Mix - Product Mix
Chapter: [4.02] Marketing Mix
[5]6.iii

Discuss the first five steps involved in the process of staffing.

Concept: Staffing - Selection Process
Chapter: [3.05] Functions of Management
[12]7
[3]7.i

Distinguish between method and procedure.

Concept: Concept of Planning
Chapter: [3.05] Functions of Management
[4]7.ii

What is marketing? State two features of the modern concept of marketing? 

Concept: Concept of Marketing
Chapter: [4.01] Marketing: Concept and Functions
[5]7.iii

Explain the need for consumer protection.

Concept: Concept of Consumer Protection
Chapter: [4.03] Consumer Protection
[12]8
[3]8.i

State three objectives of sales promotion.

Concept: Elements of Marketing Mix
Chapter: [4.02] Marketing Mix
[4]8.ii

Explain the meaning of e-banking. State any three features of e-banking.

Concept: Online Payments, E-banking
Chapter: [2.03] Banking - Latest Trends
[5]8.iii

Explain five factors that affect the pricing decision of a product.

Concept: Marketing Mix - Product Mix
Chapter: [4.02] Marketing Mix
[12]9
[4]9.i

Write a short note on: SWOT analysis.

Concept: S.W.O.T. Analysis
Chapter: [1] Business Environment
[4]9.ii

Write short notes on: Marketing research.

Concept: Concept of Marketing
Chapter: [4.01] Marketing: Concept and Functions
[4]9.iii

Write short notes on: Bank overdraft.

Concept: Different Types of Short Term Financial Assistance by Commercial Banks
Chapter: [2.02] Sources of Finance for a Joint Stock Company
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