Business studies mcqs Quiz-4

When does the Earning Per Share (EPS) of the company rise with higher debt?

• When the rate of return on investment is lower than the rate of interest.

• When the rate of interest is more than the rate of return

• When the rate of return on investment is higher than the rate of interest.

• None of the above

Select the process that enables the management to foresee the fund requirements.

• Financial decision

• Dividend decision

• Financial planning

• Financial management

Which of the following is incorrect with regard to the National Commission?

• A complaint can be made to the National Commission when compensation exceeds ` 1 crore.

• The members are appointed by central government.

• Where the aggrieved party directly approaches National Commission, the case

  can be taken to the Supreme Court of India.

• None of the above

Control is_______.

• backward looking

• forward as well as backward looking

• forward looking

• None of the above

All other managerial functions are performed within the framework of the plans drawn. Identify the related feature of planning.

• Planning is futuristic

• Planning is pervasive

• Planning is primary function of management

• Planning focuses on. achieving objectives

If a manager wants to introduce new accounting system, then there may be initial resistance from

accounting staff. But, if manager explains the purpose, provides training and motivates them with

incentive, the staff may cooperate with manager. Which importance of directing is highlighted here?

• Provides stability

• Facilitates change

• Means of motivation

• Initiate action

The working capital of a company is calculated by

• Quick Assets – Quick Liability

• Current Assets – Current Liability

• Current Liabilities – Current Assets

• Current Assets/Current Liabilities

For the purpose of selecting employees for the post of ‘sales executives’ for its retail outlets, Reliance Fresh conducted a recruitment programme at Delhi University. Considering the vast number of job seekers, group discussions were conducted and the candidates who were selected had to face interviews and then they were offered job if they passed such interviews. Such programmes are often known as

• campus selection

• direct recruitment

• advertisement

• campus recruitment

Which principle of scientific management discards the old approach of rule of thumb?

• Cooperation, not individualism

• Science, not rule of thumb

• Harmony, not discord

• None of the above

Denial has joined as a Creative Head in an entertainment company. He always ensures that the work has been divided into small and manageable activities and also the activities of similar nature are grouped together. Identify the related step in organising process being mentioned in the above lines.

• Assignment of duties

• Establishing reporting relationships

• Identification and division of work

• Departmentalisation