MCQ on Planning Class 12 Business Studies

MCQ on Planning Class 12 Business Studies includes Multiple choice questions on Introduction, Meaning, Importance, Features & Limitations of Planning and Planning Process. Answers to Planning Class 12 MCQ Business Studies CBSE are available after clicking on the answer.

MCQ on Planning Class 12 Business Studies

Topic 1 – Introduction, Meaning, Importance, Features & Limitations of Planning




1. Planning involves which of the following : –
a) What to do ?
b) How to do ?
c) Who will do it ?
d) All of the above

Answer

Answer: (d) All of the above


 

2. Planning and “Going with the flow’ are : –
a) Same
b) Different

Answer

Answer: (b) Different


 

3. Planning means to bridge the gap between
a) Present and future
b) Past and future
c) Past and present
d) None of the above

Answer

Answer: (a) Present and future


 

4. Which of the following factor depict the importance of planning ?
a) Unity of action
b) Unity of direction to employees efforts
c) Both a and b
d) None of the above

Answer

Answer: (c) Both a and b


 

5. Planning : –
a) Reduces the risk of uncertainty ;
b) Reduces overlapping and wasteful activities
c) Promotes innovative ideas
d) All of the above

Answer

Answer: (d) All of the above





6. Planning : –
a) Facilitates decision making
b) Establishes standard for controlling
c) Both a and b
d) None of the above

Answer

Answer: (c) Both a and b


 

7. Which of the following is a feature of planning :
a) Planning is primary function of management
b) Planning focuses on achieving objective
c) Planning is pervasive
d) All of the above

Answer

Answer: (d) All of the above


 

8. Which of the following is a feature of planning :
a) Planning is continuous
b) Planning is futuristic
c) Planning is a mental exercise
d) All of the above

Answer

Answer: (d) All of the above


 

9. Planning is primary function of management because : –
a) It is done before doing anything ;
b) Planning is looking forward
c) Planning helps in setting up the base for other activities
d) All of the above

Answer

Answer: (d) All of the above


 

MCQ on Planning Class 12 Business Studies

10. Planning is pervasive means planning is required : –
a) Somewhere
b) Nowhere
c) Everywhere
d) All of the above

Answer

Answer: (c) Everywhere


 

12. Read the following statements of Assertion(A) and Reason(R) and choose the correct alternative:

Assertion(A) – Planning bridges the distance among from wherein we’re to wherein we need to go
Reason(R) –  Planning includes setting goals and generating appropriate sources of course to achieve those goals

(a) Both A and R are correct
(b) A is correct R is incorrect
(c) Both A and R are correct and R is the correct explanation of A
(d) Both A and R are correct and R is not the correct explanation of A

Answer

Answer: (d) Both A and R are correct and R is not the correct explanation of A





13. Read the following statements of Assertion(A) and Reason(R) and choose the correct alternative:

Assertion(A) – Planning is the initial step in management.
Reason(R) –  Planning  involves thinking before doing anything as certain objectives are identified and strategies are devised for its subsequent realization.

(a) Both A and R are correct
(b) A is correct R is incorrect
(c) Both A and R are correct and R is the correct explanation of A
(d) Both A and R are correct and R is not the correct explanation of A

Answer

Answer: (c) Both A and R are correct and R is the correct explanation of A


 

14. Read the following statements of Assertion(A) and Reason(R) and choose the correct alternative:

Assertion(A) – Planning promotes revolutionary ideas
Reason(R) – Planning presents the requirements towards which the real overall performance may be measured and evaluated

(a) Both A and R are correct
(b) A is correct R is incorrect
(c) Both A and R are correct and R is the correct explanation of A
(d) Both A and R are correct and R is not the correct explanation of A

Answer

Answer: (d) Both A and R are correct and R is not the correct explanation of A


 

15. Read the following statements of Assertion(A) and Reason(R) and choose the correct alternative:

Assertion(A) – Uncertainty is reduced by planning.
Reason(R) – Uncertain occurrences or changes can be anticipated and avoided with proper planning.

(a) Both A and R are correct
(b) A is correct R is incorrect
(c) Both A and R are correct and R is the correct explanation of R
(d) Both A and R are correct and R is not the correct explanation of R

Answer

Answer: (c) Both A and R are correct and R is the correct explanation of R





16. Read the following statements of Assertion(A) and Reason(R) and choose the correct alternative:

Assertion(A) – Making decisions is an important component of planning.
Reason(R) – when there is just one possibility left only then planning is required.

(a) Both A and R are correct
(b) A is correct R is incorrect
(c) Both A and R are correct and R is the correct explanation of R
(d) Both A and R are correct and R is not the correct explanation of R

Answer

Answer: (b) A is correct R is incorrect


 

17. Read the following statement given below and choose the correct alternative

Statement 1 : Planning is the most challenging activity for the management as it guides all future actions.
Statement2 : Sometimes the costs incurred for the planning  may not justify the benefits derived from the plans

(a) Both are correct
(b) Both are incorrect
(c) Statement 1 is correct and statement 2 is incorrect
(d) Statement 1 is incorrect and statement 2 is correct

Answer

Answer: (a) Both are correct


 

18. Rahul establishes a modest outlet in his neighbourhood to give his freelance services to businesses after getting a diploma in animation and filmmaking. To begin, he has opted to market his gaming and computer programming services. He can lessen the risk of confusion and avoid overlapping and unnecessary tasks by planning ahead of time what to accomplish and how to do it. However, owing to unforeseen factors such as network troubles and others, his planning does not always work, which has a negative impact on her customers. In light of the preceding scenario answer the given questions:

Which function of management is Rahul utilizing in the above case-

(a) Organising
(b) Directing
(c) Staffing
(d) planning

Answer

Answer: (d) planning






19. Rachna Mills Ltd. has the greatest market share, accounting for 34% of the total. The policy of the company is to only sell for cash. The initial company’s dominance in the business was threatened in 2015 when other companies began selling pulses on a credit basis as well. Rachna Mills Ltd. ‘s managers, on the other hand, continued to rely on past successful ideas that didn’t work because the environment isn’t static. Rachna Mills Ltd sales fell as a result of this.

Which feature of planning does the above case highlight-

(a) Planning does not guarantee success
(b) Planning reduces creativity
(c) Planning leads to rigidity
(d) Planning involves huge costs

Answer

Answer: (a) Planning does not guarantee success


 

20. “Teser Automobiles” was a vehicle and motorbike manufacturer with a dominance on the market. The company was doing extremely well, constantly exceeding its goal of a 13 percent rise in sales across the board. Encouraged by the positive track record, the company’s managing director set a big dream of a 25% growth in sales for the next year. In the same year, two new competitors entered the market, and the company was unable to reach its goal. From this case, identify the limitation of function of management because of which Teser Automobiles was not able to achieve their target-

(a) It reduces creativity
(b) It may not work in a dynamic environment
(c) It does not guarantee success
(d) Both a and b

Answer

Answer: (b) It may not work in a dynamic environment


 

MCQ on Planning Class 12 Business Studies – Topic 2 – Planning Process

Q1. Which of the following is not a step of planning process?
a) Evaluating alternative courses
b) Implementing the plan
c) Developing Premises
d) Controlling

Answer

Answer: (d)Controlling

 






Q2. Which of the following is the first step in the planning process?
a) Evaluating alternative courses
b) Setting Objective
c) Developing Premises
d) Implementing the plan

Answer

Answer: (b)Setting Objective


 

Q3. “The manager is required to make certain assumptions about the future”. Which step of planning process is mentioned in this statement?
a) Evaluating alternative courses
b) Setting Objective
b) Developing Premises
c) Implementing the plan

Answer

Answer: (c)Developing Premises


 

Q4. “The positive and negative aspects of each proposal need to be evaluated in the light of the objective to be achieved.” Which step of planning process is mentioned in this statement?
a) Evaluating alternative courses
b) Identifying alternative courses of action
c) Selecting an alternative
d) Implementing the plan

Answer

Answer: (a)Evaluating alternative courses


 

Q5. After setting objective and developing premises what is the next step in planning process?
a) Evaluating alternative courses
b) Identifying alternative courses of action
c) Selecting an alternative
d) Implementing the plan

Answer

Answer: (b)Identifying alternative courses of action






Q6. Which step in planning process is concerned with putting the plan into action?
a) Evaluating alternative courses
b) Identifying alternative courses of action
c) Selecting an alternative
d) Implementing the plan

Answer

Answer: (d)Implementing the plan


 

Q7. “The manager will have to apply permutations and combinations and select the best possible course of action.” Which step of planning process is mentioned in this statement?
a) Evaluating alternative courses
b) Identifying alternative courses of action
c) Selecting an alternative
d) Implementing the plan

Answer

Answer: (c)Selecting an alternative


 

MCQ on Planning Class 12 Business Studies

Q8. Which of the following is the last step in the planning process?
a) Evaluating alternative courses
b) Identifying alternative courses of action
c) Follow-up action
d) Implementing the plan

Answer

Answer: (c)Follow-up action






Q9. Arrange the following in chronological order.

  1. Evaluating alternative courses
  2. Identifying alternative courses of action
  3. Follow-up action
  4. Setting Objectives
  5. Implementing the plan
  6. Developing Premises
  7. Selecting an alternative

a) 4,6,2,1,7,5,3
b) 3,6,7,1,2,5,4
c) 1,5,2,4,7,6,3
d) 4,1,5,6,7,2,3

Answer

Answer: (a)4,6,2,1,7,5,3


 

Q10. What is the next step after selecting the alternative in planning process?
a) Evaluating alternative courses
b) Identifying alternative courses of action
c) Selecting an alternative
d) Implementing the plan

Answer

Answer: (d)Implementing the plan


 

11. What are the remaining steps that the organisation is likely to follow-
(a) Selecting the best alternative
(b) Follow-up plan
(c) Evaluating the alternative course
(d) All of the above

Answer

Answer: (d) All of the above


 

12. Read the following statement given below and choose the correct alternative
Statement 1 : Assumptions are the base material upon which plans are to be drawn and these assumptions are called Planning premises.
Statement2 : After Developing premises the next step in the planning process is Evaluating the alternative courses of action.

(a) Both are correct
(b) Both are incorrect
(c) Statement 1 is correct and statement 2 is incorrect
(d) Statement 1 is incorrect and statement 2 is correct

Answer

Answer: (c) Statement 1 is correct and statement 2 is incorrect






13. “The company’s market analysts keep a close eye on revenue from mobile phones and accessories in order to assess the impact of new measures to boost sales.” Identify the step in the planning process highlighted in the above statement-

(a) Follow-up action
(b) Implementing the plan
(c) Selecting an alternative
(d) Identifying the alternative courses of action

Answer

Answer: (a) Follow-up action



 

14. Which of the following steps is not a part of the planning process-

(a) Setting objectives
(b) Developing premises
(c) Viewing physical facilities and actions
(d) Follow-up action

Answer

Answer: (c) Viewing physical facilities and actions


 

15. Following the implementation of the “Goods and Services Tax, “business professionals began analysing and anticipating its effects on various sectors and industries. Naman, the managing partner, went to a few conferences to get a better understanding of the problem. He wanted to use these forecasts and conjectures to help him make future business decisions with less insecurity. Identify the step followed by Naman from the planning process in the above case-

(a) Identifying various courses of action
(b) Developing premises
(c) Setting objectives
(d) Follow-up plan

Answer

Answer: (b) Developing premises





Business Studies Class 12 MCQs – Term 1

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