Question : Planning is the _______ function of management.
Option 1: First
Option 2: Second
Option 3: Third
Option 4: Fourth
Correct Answer: First
Solution : Every manager's first responsibility is to plan. The manager cannot perform any other function unless the planning function is completed.
As a result, option 1 is the correct answer.
Question : Case Study 4:
PQR Inc. is a global corporation with a diversified portfolio. The company is planning to expand its operations into new markets and needs a skilled workforce. Evaluate the following scenarios and choose the correct option:
Question:
PQR Inc. plans to hire employees with international experience to facilitate its expansion. What source of recruitment is being utilized here?
Option 1: Employee referrals
Option 2: Internal sources
Option 3: External sources
Option 4: Campus placements
Correct Answer: External sources
Solution : The correct answer is (c) External sources
When PQR Inc. plans to hire employees with international experience to facilitate its expansion, it is utilizing external sources of recruitment. External recruitment involves attracting and hiring individuals from outside the organization. In this case, the company is seeking candidates with specific international experience to bring in diverse perspectives and skills for the expansion into new markets.
Question : Case Study: XYZ Ltd. - Raising Finance for Expansion
XYZ Ltd. is a growing company that manufactures electronic gadgets. The company has been successful in the market and is planning to expand its operations. To finance this expansion, XYZ Ltd. is considering various sources of business finance.
Questions : Equity Shares and Preference Shares
Preference shareholders of XYZ Ltd. are entitled to:
Option 1: Convert their shares into debentures
Option 2: Voting rights in company decisions
Option 3: A fixed dividend before equity shareholders
Option 4: A share of the company's profits after equity shareholders
Correct Answer: A fixed dividend before equity shareholders
Solution : The correct answer is (c) A fixed dividend before equity shareholders
Preference shareholders are entitled to receive a fixed dividend at a predetermined rate before any dividend is paid to equity shareholders. This characteristic distinguishes them from equity shareholders, who may receive variable dividends based on the company's profitability and decisions made by the board of directors. However, preference shareholders typically do not have voting rights in the company's decisions, and their shares usually cannot be converted into debentures.
Question : What was a key focus of the Sixth Five-year Plan in India after the suspension of the planning process?
Option 1: Rapid industrialization
Option 2: Agricultural reform
Option 3: Poverty alleviation
Option 4: Technological innovation
Correct Answer: Poverty alleviation
Solution : After the suspension of the planning process, the Sixth Five-year Plan in India focused on poverty alleviation, aiming to improve the living standards of the country's poorest citizens.
Question : Case Study: XYZ Ltd. - Raising Finance for Expansion
XYZ Ltd. is a growing company that manufactures electronic gadgets. The company has been successful in the market and is planning to expand its operations. To finance this expansion, XYZ Ltd. is considering various sources of business finance.
Questions : Debentures and Financial Instruments
What is the primary difference between debentures and equity shares?
Option 1: Debentures provide ownership rights
Option 2: Equity shares pay fixed interest
Option 3: Debentures are issued to employees only
Option 4: Equity shares require repayment at maturit
Correct Answer: Debentures provide ownership rights
Solution : The correct answer is (a) Debentures provide ownership rights
Debentures represent a form of debt where the holders (debenture holders) are creditors to the company and do not possess ownership rights in the company. They are entitled to receive a fixed rate of interest and the repayment of the principal amount at maturity.
On the other hand, equity shares represent ownership in the company and provide shareholders with ownership rights, including voting rights and the right to share in the company's profits (through dividends). Unlike debentures, equity shares do not involve fixed interest payments or repayment at maturity.
Question : Case Study 72
OPQ Corporation is a conglomerate planning to trade its shares on a stock exchange. The company's management is reviewing the roles of stockbrokers.
Question :
What type of broker offers advice to clients and executes orders on their behalf?
Option 1: Full-service broker
Option 2: Discount broker
Option 3: Floor broker
Option 4: Specialist broker
Correct Answer: Full-service broker
Solution : The correct answer is (a) Full-service broker
A full-service broker is a type of broker that offers a wide range of services to clients, including investment advice, research, financial planning, and execution of orders on behalf of their clients. They provide personalized assistance and guidance to help clients make informed investment decisions. In addition to executing trades, they often offer comprehensive financial services, portfolio management, and recommendations based on their expertise and analysis of the market. Clients typically pay higher fees or commissions for the additional services and advice provided by full-service brokers.
Question : Which agency of the Indian government conducts the National Sample Survey on employment?
Option 1: Reserve Bank of India (RBI)
Option 2: Ministry of Finance
Option 3: Ministry of Statistics and Programme Implementation
Option 4: Planning Commission of India
Correct Answer: Ministry of Statistics and Programme Implementation
Solution : The correct answer is (c) Ministry of Statistics and Programme Implementation
The National Sample Survey on employment in India is conducted by the Ministry of Statistics and Programme Implementation (MoSPI). MoSPI is responsible for collecting, analyzing, and disseminating official statistical data in India. It conducts various surveys and studies to gather data on a wide range of socio-economic aspects, including employment.
The data collected through the NSS on employment is used for monitoring and evaluating employment trends, labor market conditions, and policy formulation related to employment and labor force development in India. It plays a crucial role in providing insights into the dynamics of the labor market and informing decision-making by policymakers, researchers, and other stakeholders.