Please refer to Chapter 4 Planning 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 Planning and then attempt the following objective questions.

MCQ Questions Class 12 Business Studies Chapter 4 Planning

The Planning 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. Which of the following is a feature of planning:-
(a) Focuses on achieving goals
(b) Pervasive
(c) Mental exercise
(d) All of the above

Question. ______ forecasts the sales of different products in each area for particular month:-
(a) Sales budget
(b) Sales accounts
(c) Sales cost
(d) None of the above

Question. _ are relevant to recurring activities.
(a) Single-use plans
(b) Standing plans
(c) Objectives
(d) Programmes

Question. Which of the following is not correct?
(a) Planning is a continuous process
(b) Planning focuses on achieving objectives
(c) Planning reduces the profitability
(d) Planning is futuristic

Question. Planning is a __________
(a) Useless Function
(b) One time process
(c) Mental Exercise
(d) Obsolete Concept

Question. They provide a basis for interpreting strategy, which is usually stated in general terms.
(a) Policies
(b) Procedures
(c) Objectives
(d) Programmes

Question. Pervasiveness of planning indicates that planning
(a) is a top management function.
(b) extends throughout the organisation.
(c) is a future-oriented activity.
(d) is the first element of management process.

Question. Which of the following is not a feature of planning?
(a) Planning is time-consuming
(b) Planning is pervasive
(c) Planning is futuristic
(d) To achieve objectives

Question. The first step of planning is __________
(a) Selecting an alternative
(b) Implementing the plan
(c) Follow up action
(d) Setting objectives

Question. Estimated cash inflows and cash outflows are _________
(a) Rules
(b) Budget
(c) Procedure
(d) Programme

Question. Which of the following type of plan do not allow for any flexibility or discretion.
(a) Rule
b) Policy
c) Strategy
(d) Procedure

Question. Which of the following is an assumption of rationality to rational decision making?
(a) Preferences are clear
(b) Final choice will maximise payoff
(c) The problem is clear and unambiguous
(d) All of the above

Question. Making decisions on the basis of experience, feelings and accumulated judgement is called as __________.
(a) Decision making
(b) Structured problems
(c) Intuitive decision making
(d) None of the above

Question. Plans can be implemented after the _______________
(a) Selecting an alternative
(b) Setting objectives
(c) Follow up action
(d) Developing premises

Question: Name the function of management which involves setting objectives and developing appropriate courses of action to achieve these objectives.
(a) Directing
(b) Organising
(c) Planning
(d) Staffing

Question: Name the type of budget which is prepared to determine the net cash position.
(a) Purchase budget
(b) Sales budget
(c) Cash budget
(d) Production budget

Question. Training, lectures and seminars are ____________
(a) Rules
(b) Procedure
(c) Strategy
(d) Method

Question. Name the function of management which involves setting objectives and developing appropriate courses of action to achieve these objectives.
(a) Directing
(b) Organising
(c) Planning
(d) Staffing

Question: A strategy is a comprehensive plan which will not include this dimension
(a) Determining long term objectives
(b) Adopting a particular course of action
(c) The ends which the management seeks to achieve by its operations
(d) Allocating resources necessary to achieve the objective

Question: According to a survey, these days the young children have more power in purchasing decisions than ever before. The parents seek their kids’ opinions about all kinds of once-adult decisions, including where to go for dinner, what kind of car to buy, even what to wear,”. Therefore, the retailers are adapting to this by enhancing their kids’ sections. If the children want to shop in the store for their clothes, then there’s a greater chance the parent will also see something they want to buy as well. Identify the type of plan being described in the above lines.
(a) Programme
(b) Method
(c) Strategy
(d) Rule

Question: Identify the correct sequence of steps involved in the planning process.
(a) Evaluating alternative courses, Identifying alternative course of actions, Setting objectives, Developing premises
(b) Setting objectives, Identifying alternative course of actions, Evaluating alternative courses, Developing premises
(c) Setting objectives, Developing premises, Identifying alternative course of actions, Evaluating alternative courses
(d) Setting objectives, Developing premises, Identifying alternative course of actions, Evaluating alternative courses

Question: It helps to save time, money and effort, and increases efficiency.
(a) Procedure
(b) Programme
(c) Rule
(d) Method

Question: Swatch Ltd. plans to earn a 20% return on its investment in a new project. Identify the type of plan being described in the above lines.
(a) Method
(b) Strategy
(c) Programme
(d) Objective

Question. Number of part-time members in NITI Aayog is
(a) 5
(b) 10
(c) Not exceeding 2
(d) 2

Question. Who presides over the National Development council:
(a) Prime Minister
(b) Home Minister
(c) Vice- President
(d) RBI Governor

Question. Minimum age for membership of panchayat is
(a) 18 years
(b) 21 years
(c) 35 years
(d) None of these.

Question. “Growth with social justice and Equality” was focus of :
(a) Ninth five year plan
(b) Eight five year plan
(c) Tenth five year plan
(d) None of these

Question. The Balwant Rai Mehta Committee was appointed by
(a) The Government of India
(b) The Planning Commission
(c) Central Election Commission
(d) None of these

Question. NITI AYOG was established on
(a) 15th August 2015
(b) 26th January 2015
(c) 2nd October 2015
(d) 1st January 2015

Question. The form of Participation where the primary stakeholders participate in the discussion and analysis of pre-determined objectives is called
(a) Empowerment participation
(b) Participation by collaboration
(c) Participation by consultation
(d) Passive participation

Question.’Twenty point programme’ was launched in the year
(a) 1969
(b) 1975
(c) 1977
(d) 1980
(e) none of these

Question. It is not always true that just because a plan has worked before it will work again. Identify the related limitation of planning.
(a) Planning leads to rigidity.
(b) Planning reduces creativity.
(c) Planning may not work in a dynamic environment.
(d) Planning does not guarantee success.

Question. Which of the following is not a feature of planning?
(a) Planning is futuristic.
(b) Planning is pervasive.
(c) Planning establishes standards for controlling.
(d) Planning focuses on achieving objectives.

Question. There are two types of plans ____________
(a) Single use plan and Standing plan
(b) Single use and Double use plan
(c) Traditional Plan and Modern Plan
(d) Short term and Medium term plan

Question: Which of the following statements is not true with reference to planning?
(a) Planning is a pre-requisite for controlling
(b) Planning does not lead to rigidity
(c) Planning enables a manager to look ahead and anticipate changes
(d) Planning facilitates co-ordination among departments and individuals in the organisation

Question.- _____________ seeks to bridge the gap between where we are and where we want to reach?
(a) Organizing
(b) Staffing
(c) Planning
(d) Directing

Question.- Departments and individuals in the organization are able to work in coordination. Which importance of planning is highlighted in the above statement?
(a) Planning provides direction.
(b) Planning reduces overlapping and wasteful activities.
(c) Planning reduces the risk of uncertainty.
(d) Planning facilitates decision making.

Question.- Planning ensures clarity in thought and action, work is carried out smoothly without interruptions. Which importance of planning is highlighted in the above statement?
(a) Planning provides direction.
(b) Planning reduces overlapping and wasteful activities.
(c) Planning reduces the risk of uncertainty.
(d) Planning facilitates decision making.

Question.- Which feature of planning is highlighted in the above case?
(a) Planning focuses on achieving objectives.
(b) Planning is continuous.
(c) Planning is the primary function of management.
(d) Planning is pervasive.

Question.- Planning requires logical and systematic thinking rather than guesswork or wishful thinking. Which feature of planning is highlighted in the above case?
(a) Planning focuses on achieving objectives.
(b) Planning is a mental exercise.
(c) Planning is the primary function of management.
(d) Planning is pervasive.

Question.- Identify the type of plan which provides broad contours of an organization’s business.
(a) Objective
(b) Policy
(c) Strategy
(d) Procedure

Question. What is known as the primary function of management?
(a) Controlling
(b) Organising
(c) Planning
(d) Staffing

Question. What to do and how to do is concerned with______
(a) Controlling
(b) Organising
(c) Planning
(d) None of the above

Question. Planning helps in reducing the __________
(a) Direction for action
(b) Decision making
(c) Memory
(d) Risk of uncertainty

Question. Decision-making is the case of
(a) Planning
(b) Organising
(c) Staffing
(d) Directing

Question. -is a comprehensive plan for achieving its objectives.
(a) Strategy
(b) Method
(c) Rule
(d) Policy

Question. They represent the end point of planning.
(a) Rules
(b) Methods
(c) Objectives
(d) Policies

Question. The basic role of strategy is to provide
(a) setting procedures.
(b) direction for action
(c) direction for motivation.
(d) direction for control

Question. __ is a statement of expected results in numerical terms.
(a) Forecast
(b) Budget
(c) Plan
(d) Estimate

Question. ______ type of plan is not likely to be repeated in future:-
(a) Standing plan
(b) Programme
(c) Single use plan
(d) Method

Question. The main purpose of Rule is:
(a) To decide that when is to be done
(b) To set the organizational objectives
(c) To Maintain Discipline
(d) To choose the best alternative

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