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Tuesday, February 12, 2019

Business Studies Multiple Choice Questions - Organising

Unit – 5: Organising
Objective Questions (1 mark)
Q.1 What is meant by organising?
Ans: Organising can be defined as identifying and grouping different activities in the organisation and bringing together the physical, financial and human resources for the achievement of specific goal of organisation.

Q.2 Mention various types of organisation.
Ans: Formal and Informal organisation
Q.3. Name the organisation which is based on rules and procedures.
Ans: Formal Organisation
Q.4. Name the organisation in which employees are allowed to communicate freely and friendly and there are no rules and regulations.                                               
Ans: Informal organisation
Q.5. In which structure of organisation there is scope for spread of rumours?
Ans: Informal
Q.6. Out of formal and informal organisation which is dependent upon which?
Ans: Informal organization depends on formal organization.
Q.7. How is informal organisation created?        2010
Ans: Informal organisation is created spontaneously by the employees working together and interacting with each other. It is an unintentional creation.
Q.8. Which level of managers are responsible for determining formal organisation?
Ans: Top level management
Q.9. Name the type of organisation which does not have any predetermined objectives.
Ans:  Informal organisation
Q.10. Give the meaning of organisation as structure.  2007
Ans: Organisation structure can be defined as a framework within which managerial and operating tasks are performed. It specifies the relationship between people, work, and resources.
Q.11. A company is manufacturing cosmetics, readymade garments, toilet items and biscuits. What kind of organization structure is suitable for this company?
Ans:  Divisional organization structure (Multi Products Company)
Q.12. Which organizational structure is suitable for a uni-product manufacturing company?
Ans: Functional organization structure
Q.13. Authority can be delegated, but what cannot be delegated?
Ans: Responsibility
Q.14. Mention the essential elements of delegation of authority.
Ans: Authority, Responsibility and Accountability
Q.15. Can responsibility be delegated?                 2008, 2010, 2013
Ans: According to the principle of absolute responsibility, authority can be delegated but responsibility can’t be delegated by a manager. The manager remains responsible our accountable to his own superior for the tasks which he may assign to his subordinate.
Q.16. A subordinate receives orders from whom?
Ans: Superior
Q.17. What is the basis of functional organisation?
Ans: Specialisation
Q.18. A superior is responsible to his subordinates.                        2008
Ans: This statement is false.
Q.19. What is decentralization?
Ans: Decentralization means the delegation of all decision making functions to the lower level of the hierarchy. Decision making authority is shared with lower levels of Management Mangers have more freedom of action. It is suitable for large organisation.
Q.20. Define span of control.
Ans: It refers to the number of subordinates coming under direct control and supervision of the superior.
Q.21. “Delegation can take place without decentralisation”. Explain.                    2009
Ans: This statement is true because delegation is necessary in every organisation but decentralisation is not necessary.
Q.22. Authority always flows downwards, while responsibility always flows upwards.                  2009, 2018
Q.23. Authority flows downward from whom to whom?
Ans: From Superior to Subordinates

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