Check the below NCERT MCQ Questions for Class 12 Business Studies Chapter 8 Controlling with Answers Pdf free download. MCQ Questions for Class 12 Business Studies with Answers were prepared based on the latest exam pattern. We have provided Controlling Class 12 Business Studies MCQs Questions with Answers to help students understand the concept very well.

Controlling Class 12 MCQs Questions with Answers

Question 1.
Which one of the following is not a feature of controlling?
(a) Continuous process
(b) Action-oriented
(c) Keeping employees busy
(d) Pervasive function

Answer

Answer: (c) Keeping employees busy


Question 2.
Which one of the following is not an importance of controlling?
(a) Better coordination
(b) Better use of resources
(c) Better planning
(d) Better grievance handling

Answer

Answer: (d) Better grievance handling


Question 3.
Which one of the following is a step of controlling?
(a) Assessing personnel required
(b) Taking corrective action
(c) Assessing environment
(d) Taking disciplinary action

Answer

Answer: (b) Taking corrective action


Question 4.
___ is the process of ensuring that actual results are in accordance with planned results.
(a) Controlling
(b) Coordinating
(c) Planning
(d) Directing

Answer

Answer: (a) Controlling


Question 5.
___ is the focus point for a manager while controlling, as controlling at every step is not possible
(a) Controlling
(b) Coordinating
(c) Critical point control
(d) Both (a) and (b)

Answer

Answer: (c) Critical point control


Question 6.
Controlling is ___.
(a) Forward looking
(b) Backward looking
(c) Continous process
(d) All of these

Answer

Answer: (d) All of these


Question 7.
In a marketing firm, the Financial Manager pays more attention towards an increase of 3% in the marketing cost as compared to a 15% increase in the courier expenses. Identify the concept being used by the manager.
(a) Management by exception
(b) Critical point control
(c) Corrective action
(d) None of the above

Answer

Answer: (b) Critical point control


Question 8.
Reducing the workers, absenteeism in a factory by 20% is an example of
(a) Quantitative standard
(b) Qualitative standard
(c) Deviation
(d) None of the above

Answer

Answer: (a) Quantitative standard


Question 9.
The need for the controlling function is felt in
(a) Business organisations
(b) Political organisations
(c) Social organisations
(d) All of the above

Answer

Answer: (d) All of the above


Question 10.
When the deviations between the actual performance and the planned performance are within the limits
(a) A limited corrective action is required
(b) No corrective action is required
(c) A major corrective action is required
(d) None of the above

Answer

Answer: (b) No corrective action is required


Question 11.
The comparison of actual performance with the planned performance becomes easier if the standards are set in
(a) Qualitative terms
(b) Quantitative terms
(c) Either of the above
(d) None of the above

Answer

Answer: (b) Quantitative terms


Question 12.
Identify the correct sequence of the steps involved in the controlling process.
(a) Measurement of actual performance, Taking corrective action, Setting performance standards, Comparison of actual performance with standards, Analysing deviations
(b) Comparison of actual performance with standards, Setting performance standards. Measurement of actual performance, Analysing deviations, Taking corrective action
(c) Setting performance standards, Measurement of actual performance, Comparison of actual performance with standards, Analysing deviations, Taking corrective action
(d) Taking corrective action, Measurement of actual performance, Comparison of actual performance with standards, Analysing deviations, Setting performance standards

Answer

Answer: (c) Setting performance standards, Measurement of actual performance, Comparison of actual performance with standards, Analysing deviations, Taking corrective action


Question 13.
Deviations are said to be positive in nature when
(a) Planned performance is more than the actual performance
(b) Actual performance is more than the planned performance
(c) Both planned and actual performances are same
(d) None of the above

Answer

Answer: (b) Actual performance is more than the planned performance


Question 14.
The controlling function is performed by
(a) Top level management
(b) Lower level management
(c) Middle level management
(d) All of the above

Answer

Answer: (d) All of the above


Question 15.
Om Prakash has set up a small business unit for the manufacturing of detergent. In order to market the detergent in the local residential areas, he has appointed a team of ten salesmen. Each salesman is expected to sell at least 200 units of the detergent within a week’s time. Identify the point of importance of controlling being highlighted in the above case.
(a) Controlling helps in judging accuracy of standards.
(b) It ensures efficient use of resources.
(c) It helps in improving employee motivation.
(d) It facilitates co-ordination in action.

Answer

Answer: (c) It helps in improving employee motivation.
Explanation:
By making employees aware of the expected performance


Question 16.
Which of the following is not an importance of controlling function?
(a) It ensures order and discipline.
(b) It restricts co-ordination in action.
(c) It helps in judging accuracy of standards.
(d) It improves employee motivation.

Answer

Answer: (b) It restricts co-ordination in action.
Explanation:
It facilitates co-ordination in action


Question 17.
Yash runs a logistic company. The Tour Incharges of each trip in the company are expected to submit a report to the Event Manager on the completion of every trip. Identify the step in the controlling process being described in the above lines.
(a) Setting of standards
(b) Measurement of actual performance
(c) Taking corrective action
(d) Analysing the deviations

Answer

Answer: (b) Measurement of actual performance


Question 18.
Controlling is known as a backward-looking function because
(a) It relates to future course of action.
(b) It is like a post-mortem of the past activities
(c) To find out deviation, it aims at improving future performance.
(d) All of the above

Answer

Answer: (b) It is like a post-mortem of the past activities


Question 19.
In an artificial plants manufacturing unit, the standard output set for a worker is 50 units per day. Dinesh produces 48 units in one day. In the given case, the value of deviation is
(a) -2
(b) + 2
(c) 98
(d) None of the above

Answer

Answer: (a) -2


Question 20.
This concept of Control Management is based on the belief that if you try to control everything, you may end up controlling nothing.
(a) Critical point control
(b) Key result areas
(c) Management by exception
(d) Deviations

Answer

Answer: (c) Management by exception


True or False

State with reasons whether the following statements are True or False.

1. Controlling helps in achieving organisational objectives.

Answer

Answer: True; by suggesting corrective action, if required.


2. Control by action involves reporting of exceptional deviation between actual performance and standard performance to top management.

Answer

Answer: False; management by exception involves such reporting.


3. Management by exception is controlling performance in key result areas.

Answer

Answer: False; controlling performance in key result areas is critical point control.


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