Competitive Exams: Commerce MCQs (Practice-Test 72 of 99)

  1. Consider the following stages in delegation of authority:

    1. Creation of obligation

    2. Determination of results expected

    3. Assignment of duties

    4. Authorisation for actions

    The correct sequence of these stages is

    1. 1, 2, 3, 4

    2. 2, 1, 4, 3

    3. 2, 3, 4, 1

    4. 1, 3, 4, 2

  2. Consider the following stages in Management by Exception

    1. Setting criteria that the management will use to follow progress towards organisational objectives

    2. Measurement of current performance in the organisation

    3. Making comparison of actual and planned performance and identifying the exceptions

    4. Decision-making prescribing the action to be taken

    The correct sequence of these stages is

    1. 2, 3, 4, 1

    2. 2, 1, 3, 4

    3. 1, 3, 2, 4

    4. 1, 2, 3, 4

  3. The delegation of authority from higher to lower levels of an organisation is called

    1. Diminution of authority

    2. Division of labour

    3. Departmentalisation

    4. Decentralisation

  4. In an organisation, performance appraisal is NOT expected to

    1. integrate and coordinate the endeavour of individuals

    2. monitor the efforts of inviduals

    3. provide a means of correcting or commending the efforts of individuals

    4. calculate the living wage of the worker

  5. A collection of duties, tasks and responsibilities assigned to a single individual is

    1. occupation

    2. position

    3. job

    4. grade

  6. Consider the following steps in Management of change:

    1. Identifying the elements to be changed

    2. Identifying need for change

    3. Assessing change forces

    4. Implementing change

    The correct sequence of these steps is

    1. 1, 2, 3, 4

    2. 2, 1, 3, 4

    3. 1, 3, 2, 4

    4. 2, 3, 1, 4

  7. Consider the following statements: The difference between office systems and routines are that the

    1. systems are plans while routines are procedures

    2. systems are all-inclusive while routines are parts of systems

    3. systems are people oriented while routines are financial in nature

    4. systems are the goals while routines are the means

    Which of the above statements are correct?

    1. 1, 2 and 3

    2. 1 and 2

    3. 1, 3 and 4

    4. 2 and 4

  8. Computerised communication system existing within an organisation is called

    1. Internet

    2. Extranet

    3. Local Area Network

    4. Intranet

  9. The Board's Report shall give the prescribed particulars of employees, who are in receipt of yearly remuneration, which is not less than

    1. Rs. 1.44 lakhs

    2. Rs. 3 lakhs

    3. Rs. 6 lakhs

    4. Rs. 12 lakhs

  10. The provisions relating to inter-corporate loans are interalia laid down in

    1. Section 370 of the Companies Act, 1956

    2. Section 372 of the Companies Act, 1956

    3. Section 372 A of the, Companies Act, 1956

    4. Section 371 of the Companies Act, 1956

  11. The books of account of a company should be preserved for a period of not less than

    1. 2 years

    2. 5 years

    3. 8 years

    4. 10 years

  12. In the Balance Sheet, under the subheading ‘current liabilities and provisions’ disclosure of the name (s) of small-scale industries/undertakings is required if the company owes a sum

    1. exceeding Rs. 1 lakh as outstanding for more than 6 months

    2. not exceeding Rs. 1 lakh as outstanding for more than 6 months

    3. exceeding Rs. 1 lakh as outstanding for more than 30 days

    4. exceeding Rs. 50, 000 as outstanding for more than 2 months

  13. Investor Education and Protection Fund is required to be established by

    1. the Central Government

    2. the SEBI

    3. over the Counter Exchange

    4. the National Stock Exchange

  14. If an auditor, after his appointment, becomes disqualified as specified in Section 226 − 3 and 4 of the Companies Act, 1956

    1. the appointing authority will ask him to vacate his office

    2. the Company Law Board will ask him to tender his resignation

    3. he will be deemed to have vacated his office

    4. the Institute of Chartered Accountants of India will terminate him from office

  15. According to Companies Act, when the dividend proposal is exceeding 20 per cent of the paid-up capital, the amount to be transferred to reserve shall not be less than

    1. 7.5 per cent of the current profit

    2. 10 per cent of the current profit

    3. 12.5 per cent of the current profit

    4. 15 per cent of the current profit