Please refer to Chapter 5 Organising MCQ Class 12 Business Studies with answers below. These multiple-choice questions have been prepared based on the latest NCERT book for Class 12 Business Studies. Students should refer to MCQ Questions for Class 12 Business Studies with Answers to score more marks in Grade 12 Business Studies exams. Students should read the chapter Organising and then attempt the following objective questions.

MCQ Questions Class 12 Business Studies Chapter 5 Organising

The Organising MCQ Class 12 Business Studies provided below covers all important topics given in this chapter. These MCQs will help you to properly prepare for exams.

Question. Name the process which co-ordinates human efforts, assembles resources and integrates both into a unified whole to be utilised for achieving specified objectives,
(a) Management
(b) Planning
(c) Organising
(d) Directing

Question. For Delegation to be effective it is essential that response be accompanied with ncessary :
(a) Authority
(b) Man power
(c) Incentives
(d) Promotions

Question. There is no discipline in organisation :
(a) Divisional organisation
(b) Functional organisation
(c) Formal organisation
(d) Informal organisation

Question. It refers to the number of subordinates that can be effectively managed by a superior,
(a) Organisational structure
(b) Informal organisation
(c) Span of management
(d) None of the above

Question. Identify the type of organisational structure which makes training of employees easier, as the focus is only on a limited range of skills.
(a) Network structure
(b) Divisional structure
(c) Functional structure
(d) Matrix structure

Question. Which of the following is not a demerit of functional structure?
(a) It places more emphasis on the objectives pursued by a functional head than on overall enterprise objectives.
(b) It may lead to conflict of interests among departments due to varied interests.
(c) It leads to occupational specialisation.
(d) It may lead to difficulty in co-ordination among functionally differentiated departments.

Question. Which of the following is not a demerit of formal organisation?
(a) It may lead to procedural delays.
(b) It may lead to spreading of rumours.
(c) It emphasises on following rigidly laid down policies.
(d) It places more importance on work rather than the relationships.

Question. Responsibility is of:
(a) Subordinate
(b) Officer
(c) Both (a) and (b)
(d) None of these

Question. Wrong organisation structure prevents business performance upto the extent that it destroys it. This statement is of……………:
(a) Drucker
(b) Allen
(c) Terry
(d) Taylor

Question. Which of the following is not an element of delegation?
(a) Responsibilty
(b) Authority
(c) Accountability
(d) Decentralisation

Question. It is the obligation of a subordinate to properly perform the assigned duty.
(a) Responsibility
(b) Authority
(c) Accountability
(d) All of the above

Question. When decision-making authority is retained organisation is said to be by higher management levels, an
(a) Decentralised
(b) Centralised
(c) Fragmented
(d) None of the above

Question. Organising involves organisation of which of the following resources
(a) Men,
(b) Material,
(c) Money
(d) All of the above

Question. Proper assignment of job and clear job roles and job description helps in avoiding
(a) Overlapping of work
(b) Duplication of work
(c) Both A and B
(d) None of the above

Question. Clear distinction between job roles of various people helps in : –
(a) Increase the work load
(b) Minimization of wastage
(c) Reducing the productivity of the people
(d) All of the above

Question. Clear distinction between job roles of various people helps in : –
(a) Increase the work load
(b) Minimization of wastage
(c) Reducing the productivity of the people
(d) All of the above

Question. When managers are made responsible for coordinating a particular number of jobs effectively is called
(a) Adaptation
(b) Span of control
(c) Coordination
(d) Job design

Question. Organising can be defined as:-
(a) Identifying & grouping various activities
(b) Establishing productive relations for the achievement of goals
(c) Both (a) & (b)
(d) None of the above

Question. Organising process includes one of the following:
(a) Grouping of activities
(b) Prescribing disciplinary action
(c) Determining objectives
(d) Prescribing work schedule

Question. One of the following is an advantage of functional structure:
(a) Responsibility for end results
(b) Flexibility
(c) Personalised attention
(d) Easier employee learning

Question. Degree of decentralisation indicates
(a) degree of authority delegation.
(b) degree of responsibility.
(c) degree of power delegation.
(d) degree of accountability.

Question. _ is the organisational structure in which activities are grouped on the basis of products.
(a) Divisional structure
(b) Functional structure
(c) Formal
(d) Informal

Question. _ cannot be delegated.
(a) Authority
(b) Responsibility
(c) Accountability
(d) Both (a) and (b)

Question. It is defined as the framework within which managerial and operating tasks are performed.
(a) Span of management
(b) Organisational structure
(c) Informal organisation
(d) None of the above

Question. It refers to the number of subordinates that can be effectively managed by a superior,
(a) Organisational structure
(b) Informal organisation
(c) Span of management
(d) None of the above

Question. One of the following is an advantage of functional structure:
(a) Responsibility for end results
(b) Flexibility
(c) Personalised attention
(d) Easier employee learning

Question. Degree of decentralisation indicates
(a) degree of authority delegation.
(b) degree of responsibility.
(c) degree of power delegation.
(d) degree of accountability.

Question. Responsibility is derived from
(a) Authority
(b) Formal position
(c) Accountability
(d) All of the above

Question. Organising process includes one of the following:
(a) Grouping of activities
(b) Prescribing disciplinary action
(c) Determining objectives
(d) Prescribing work schedule

Question. Organising process includes one of the following:
(a) Grouping of activities
(b) Prescribing disciplinary action
(c) Determining objectives
(d) Prescribing work schedule

Question. __ is the organisational structure in which no department is responsible for end results.
(a) Divisional structure
(b) Functional structure
(c) Formal
(d) Informal 

Question. When decision-making authority is retained organisation is said to be by higher management levels, an
(a) Decentralised
(b) Centralised
(c) Fragmented
(d) None of the above

Question. Name the process which co-ordinates human efforts, assembles resources and integrates both into a unified whole to be utilized for achieving specified objectives,
(a) Management
(b) Planning
(c) Organizing
(d) Directing

Question. It helps the managers to ensure that their subordinate discharges his duties properly.
(a) Responsibility
(b) Authority
(c) Accountability
(d) All of the above

Question. Which of the following cannot be delegated?
(a) Responsibility and accountability
(b) Authority and responsibility
(c) Accountability and responsibility
(d) All of the above

Question. Under this type of organizational structure, manpower is grouped on the basis of different products manufactured.
(a) Divisional structure
(b) Functional structure
(c) Network structure
(d) Matrix structure

Question Uranus Limited is a company dealing in metal products. The work is mainly divided into functions including production, purchase, marketing, accounts and personnel. Identify the type of organizational structure followed by the organisation.
(a) Functional structure
(b) Relational structure
(c) Divisional structure
(d) None of the above

Question: The purpose of one of the step of organizing process is to avoid duplication and sharing of burden among employees. Select the appropriate step of organizing process out of the following options:
(a) Identification and division of work
(b) Departmentalization
(c) Assignment of Duties
(d) Establishing reporting relationships

Question: It provides much needed stability to the enterprise as it can continue to grow in spite of transition. Identify the importance of organizing highlighted in above case.
(a) Clarity in working relationships
(b) Optimum utilization of resources
(c) Adaptation to change
(d) Effective administration

Question. Organising process involves:
(a) Grouping of identical work
(b) Division of a work
(c) Assigning work to appropriate persons
(d) None

Question. The steps of organisation process are :
(a) 2
(b) 4
(c) 6
(d) 8

Question. A Network of Social relationship that arises spontaneous due to interaction at work is called :
(a) Formal organisation
(b) Informal organisation
(c) Decentralisation
(d) Delegation

Question. Which of the following is not a feature of functional structure?
(a) It promotes functional specialisation.
(b) Managerial development is difficult.
(c) It is easy to fix responsibility for performance.
(d) It is an economical structure to maintain.

Question. Indigo Limited has a staff of 300 people which is grouped into different departments. The organisational structure depicts that 100 people work in Production department, 150 in Finance department, 20 in Technology department and 30 in Human Resource department. Identify the type of organisational structure being followed by the company.
(a) Functional structure
(b) Divisional structure
(c) Informal structure
(d) None of the above

Question. _ is the organisational structure in which activities are grouped on the basis of products.
(a) Divisional structure
(b) Functional structure
(c) Formal
(d) Informal

Question. In which respect does formal organisation differ from informal organisation?
(a) Production process
(b) Structuring
(c) Financial procedure
(d) Purchasing

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