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Meaning of business and management. - SS2 Commerce Past Questions and Answers - page 1

1

What is the primary purpose of a business?

A

Generating profit

B

Providing social services

C

Creating employment opportunities

correct option: a

Generating profit

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2

Which of the following is NOT a characteristic of a business?

A

Non-profit orientation

B

Production of goods or services

C

Production of goods or services

correct option: a

Non-profit orientation

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3

What is the main responsibility of managers in an organization?

A

Maximizing personal wealth

B

Setting organizational goals

C

Setting organizational goals

correct option: b

Setting organizational goals

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4

Which function of management involves allocating resources and coordinating activities?

A

Organizing

B

Planning

C

Controlling

correct option: b

Organizing

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5

What is the ultimate outcome desired by businesses?

A

Economic growth

B

Profitability

C

Employee happiness

correct option: b

Profitability

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6

Define business in simple terms.

Business refers to the activities involved in producing, distributing, and exchanging goods or services for the purpose of making a profit.

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7

What are the key functions of management?

The key functions of management are planning, organizing, leading, and controlling. Planning involves setting goals and deciding on the best course of action. Organizing involves arranging resources and coordinating activities. Leading involves guiding and motivating employees. Controlling involves monitoring performance and ensuring that goals are achieved.

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