D.C.M Group of Schools 16.

Ramesh has done Post Graduate Diploma in Clothing and Textiles from a premier
institute. Though he does not have any business experience, he wants to open his
XI Assignment own business of manufacturing readymade garments of the latest fashion. These
Business Studies (Ch.1) garments will be sold in Indian markets as well as exported to prominent foreign
countries. In this context, the following questions arise:-
1. ‘Giving priority to service instead of economic self-interest’, which type of economic (i) Is his lack of business experience a significant risk for the business? If yes, in
activity is it? (1) what way?
2. ‘Profit is not only an objective of business, but it is the necessity of business also’. Give (ii) What are the other risks that are involved in the garment business?
one reason in favour of your answer. (1) Answer the above questions(4)
3. Everest Industries Limited, which is engaged in cement manufacturing, has initiated a 17. To which Auxiliary to Trade is related the following statement?
project involving Rs.5 crore for developing residential houses for weaker sections of the (i) There is a lot of risk in Business.
society residing in the vicinity of the cement factory. What type of objective is the (ii) Information in business has a special significance.
company pursuing? (1) (iii) Business can’t be run without funds.
4. A person sells his new car at a profit. Can such dealing be stated as a business (iv) To do business material has to be purchased from far off places.(4)
activity?(1) 18. Differentiate between the following activities into business, profession and
5. Mention the aspect of business which includes all those activities which are concerned Employment.
with moving goods & services from producers to consumers.(1) (i) Mohan is selling books on behalf of his employer.
6. In Which economic activity a person cannot transfer his interest?(1) (ii) Reeta is practising law or doing legal practice.
7. Under which manufacturing industry the manufacturing of cement, lime stone, gypsum (iii) Rattan is running his private clinic.
and coal can be placed?(1) (iv) A cart-vendor is selling toys in a fair.(4)
8. Business supplies goods and service to meet material needs of humans for 19. A famous doctor charges highly for consultation from his patients and refuses
financial gain. Discuss. (3) to treat the poor patients without consultation charges. He pays attention to the
9. Parveen and Ajay are two friends. Both of them are doing different business. medical representatives and agents of Pharma Co. and takes gifts and
Praveen’s business is facing change in fashion and change in prices and he is commission from them also.
also very upset because of tough competition. On the other hand, there is a In your view, is it professional behaviour of a doctor? Is he following the code of
great hurdle in Ajay’s business because of the dishonesty of employees, conduct of doctor? (4)
dishonesty of customers and strikes and lockouts. Point out the type of business 20. Anamika joined her father’s business. She received a monthly salary. Her elder
risk the two friends are undergoing/ suffering from? (4) brother is an established lawyer and helps his father whenever needed. Their
10. Chhavi cooks food at home. She takes the food to street market for sale. On mother is a house wife and supervises house work. She gets pocket money from
the way she finds few poor hungry children. She gives some food to them and her husband. Name the economic activities in which Anamika, her father, her
sells the rest. Explain how the two activities different from each other? (4) mother and her brother are engaged in and distinguish them on the basis of (i)
11. Mr. Govind is going for a foreign assignment for a period of three years. He Reward/return (ii) Capital invested (iii) Risk. (iv)Nature of work(v)objective(5)
sold all his furniture and earned money more than he spent to purchase the 21.‘Profit is not only an objective of business, but it is the necessity of business also.
same. Will it be considered as a business? Also explain the characteristic of Do you agree with this statement? Give reasons in favour of your answer.
business which is being stressed upon in the above said example. (1+5) (5 marks)
13. Business is prone to various risks. Explain the nature of risk.(4) 22.Risk in business is not by choice but a compulsion. Comment. Discuss its three
14.“In business, there are some activities which provide support to performing nature and three causes. (6)
activities related to industry and trade explain these activities.(5) 23.Ramesh has a computer shop and sells and repairs computers. Name the type of
15.“A business is started and run for earning profit but there is a possibility that activity in which he is engaged and explain its characteristics.(1+5)
business may not earn profit at all and may incur loss.” Mention the element 24.A business organisation while pursuing its economic objectives also tries to achieve
which is associated with this phenomenon and explain any four factors which social objectives. What is the need for a business to pursue social objectives? State
are responsible for this. (1+5) and explain any four social objectives.(2+4)