Commerce Accountancy

Business and Project Management

1,444 Questions

Business and project management focus on organizational resources, strategic planning, and time management techniques used to achieve corporate objectives. It includes theories of administration and continuous improvement processes. Review these commerce and management questions to prepare for business administration sections in competitive exams.

Strategic managementTime managementOrganizational resourcesAdministration principles

Business and Project Management Questions

Multiple choice

In companies with only record clerk, the average clerk spends more than 500 hours a year just in order to maintain the index of location of records at the office. Currently available high-speed specialized computers if installed shall reduce time required to find the records by about 75 percent. Therefore, purchasing the new computer will save money for any such company whose record clerk spends time on finding records.

Which of the following is an assumption necessary to the author's argument?

  1. Purchasing and maintaining the high-speed computers would cost less than does 125 hours of the average record clerk's time.

  2. The high-speed computer is no more expensive than are simple computers.

  3. The high-speed computer is as easy to operate, as are presently used computers at the office.

  4. On average, clerk' salary are rising and the prices of high-speed computers are remaining constant.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

t, the time saved must be more valuable than the equipment bought. Therefore, if the 500 hours a record clerk spends making index of records will be cut in by 75 percent using new high speed machine, (A) that high speed machine must cost less to buy and maintain than it would cost to pay a secretary for 125 hours, which is the time he'll save with the new machine.

Multiple choice

Which of the following systems includes the number of decisions in the operational management and the same at the middle management that are based on one or two aspects of a decision making situation?

  1. Tactical information system

  2. Status enquiry system

  3. Abstract system

  4. Closed system

  5. Probabilistic system
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The number of decisions in the operational management and the same at the middle management are such that they are based on one or two aspects of a decision making situation.

Multiple choice

Which of the following systems is used by senior manager or top management to plan the objectives of their organizations, and to assess whether the objectives are being met in practice?

  1. Closed system

  2. Abstract system

  3. Strategic information system

  4. Operational information system

  5. Output
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

It is used by senior managers or top management to plan the objectives of their organizations, and to assess whether the objectives are being met in practice.

Multiple choice

Which of the following is a measure of how well a proposed system solves the problems at hand?

  1. Operational feasibility

  2. Economic feasibility

  3. Technical feasibility

  4. Schedule feasibility

  5. Resource feasibility
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Operational feasibility is a measure of how well a proposed system solves the problems, and takes advantage of the opportunities identified during scope definition and how it satisfies the requirements identified in the requirements analysis phase of system development.

Multiple choice

Chief Executive is entrusted with

  1. entire powers of management

  2. substantially, the entire powers of management

  3. Both (1) and (2)

  4. None of these
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

CEO of company is entrusted with substantial powers of management.

Multiple choice

Directions: Read the following passage/information and answer the question that follows.

The unfortunate thing about corporates falling sick is that they fail to heed the warning signals. And it's far too late before they take steps to stem the tide. That's where the turnaround strategy comes in. It helps companies to reverse the wrong moves they may have taken so that they can bounce back into the black.

The turnaround strategy ______.

  1. is used at the lowest point of a business's existence

  2. does not refer to moves that immediately address an error in the system as it arises

  3. is a method of ensuring a business return to profitability after drastic measures

  4. is an often ignored strategy and comes in only as a last-ditch effort
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

The turnaround strategy comes in when wrong steps have already affected the system. Therefore, it does not refer to moves that immediately address an error. Hence, (2) is the answer.

Multiple choice

Which study examines the marketability of the product?

  1. Resource feasibility

  2. Market research study and analysis

  3. Cultural feasibility

  4. Economic feasibility

  5. Technology and system feasibility
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

This is one of the most important sections of the feasibility study as it examines the marketability of the product.

Multiple choice

Consider the following statements:

Performance budgeting is a system of resource allocation that

  1. organises the budget document by operations and programmes.

  2. links performance levels of operations and programmes with specific budget.

Which of the statements given above is/are correct?

  1. Only 1

  2. Only 2

  3. Both 1 and 2

  4. Neither 1 nor 2
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Performance budgeting is a results-oriented approach that organizes the budget by operations and programs (Statement 1) rather than traditional line-item classification. It also establishes a direct link between performance levels/outputs and the allocated budget (Statement 2), requiring measurable performance indicators. Both statements are correct.

Multiple choice

Which of the following are among the 14 principles of management in the classical management work of Henri Fayol?

  1. Personnel tenure
  2. Unity of command
  3. Core competence
  4. Scalar chain Select the correct answer using the code given below

  1. Only 1,2 and 3

  2. Only 2 and 4

  3. Only 1 and 3

  4. 1,2,3 and 4
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Henri Fayol's 14 principles of management include 'unity of command' (employees should receive orders from one superior) and 'scalar chain' (clear chain of authority from top to bottom). However, 'core competence' is a modern strategic management concept from Prahalad and Hamel (1990s), not part of Fayol's classical management work. 'Personnel tenure' is also not among Fayol's 14 principles, though stability of tenure is.

Multiple choice

Which one of the following statements is not correct?

Wider span of control is consistent with efforts of the organizations to

  1. get closer to customers

  2. get closer to employees

  3. get strict in controlling the functions

  4. improve supervision
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A wider span of control means fewer hierarchical layers, which helps organizations get closer to customers (flatter structure, faster response) and employees (less bureaucracy, more autonomy). It does NOT improve supervision - in fact, supervision becomes more challenging when one manager oversees many subordinates. Option D correctly identifies that improving supervision is NOT consistent with wider span of control.