ORGANISATION OF COMMERCE AND MANAGEMENT FEBRUARY 2014

Maharashtra Board Class 12 OCM

Solved Question Paper with Analysis

Q1. A. Select the correct option and rewrite the sentence. (5 Marks)

1. A sole trading concern ensures ____________ business secrecy.

• a. minimum
• b. maximum
• c. limited

Answer: A sole trading concern ensures maximum business secrecy.

2. An electronic facility for transferring funds through the internet is called __________ transfer.

• a. cash
• b. net banking
• c. credit

Answer: An electronic facility for transferring funds through the internet is called net banking transfer.

3. A business organization is a part of ____________.

• a. industry
• b. government
• c. society

Answer: A business organization is a part of society.

4. ____________ is the President of the State Commission.

• a. The District Court Judge
• b. The Supreme Court Judge
• c. The High Court Judge

Answer: The High Court Judge is the President of the State Commission.

5. According to the principle of ____________, all employees should be given fair treatment.

• a. authority
• b. discipline
• c. equity

Answer: According to the principle of equity, all employees should be given fair treatment.

Q1. B. Match the pairs. (5 Marks)

Group 'A'

1. Private Company
2. Overdraft
3. ATM
4. Consumer Protection Act
5. Controlling

Group 'B'

1. Minimum 7 members
2. Saving Account
3. 1996
4. Electronic Business
5. Current Account
6. Maximum 50 members
7. Automatic Teller Machine
8. 1986
9. Individual Taste
10. To take corrective action

Solution:

Group 'A'	Correct Match from Group 'B'
a. Private Company	6. Maximum 50 members
b. Overdraft	5. Current Account
c. ATM	7. Automatic Teller Machine
d. Consumer Protection Act	8. 1986
e. Controlling	10. To take corrective action

Q1. C. Provide a word, phrase, or term for each statement. (5 Marks)

1. The business organization which has a minimum of ten members. Co-operative Society

2. The type of warehouse where easily perishable goods are stored. Cold Storage

3. An activity motivated by profit. Business

4. Father of scientific management. F.W. Taylor

5. A function where the right people are given the right jobs. Staffing

Q2. Distinguish between the following (Any Three) [15 Marks]

• 1. Sole Trading Concern and Partnership Firm
• 2. Road Transport and Rail Transport
• 3. Private Company and Public Company
• 4. State Commission and National Commission
• 5. Planning and Controlling

Q3. Write short notes on (Any Three) [15 Marks]

• 1. Types of Partners
• 2. Advantages of Outsourcing
• 3. Rights of Consumers
• 4. Importance of Principles of Management
• 5. Importance of Directing

Q4. State with reasons whether the following are True or False (Any Three) [15 Marks]

• 1. The main purpose of a cooperative organization is to earn profit. [False]
• 2. Transport is useful in raising the standard of living. [True]
• 3. It is easier to set up e-business as compared to traditional business. [True]
• 4. Management should avoid workers' participation while making decisions. [False]
• 5. Coordination is needed at all levels of management. [True]

Q5. Attempt the following (Any Two) [10 Marks]

• 1. State social responsibilities of a business towards the government.
• 2. State the importance of consumer protection.
• 3. State any five principles of management given by Henri Fayol.
• 4. State the characteristics of an entrepreneur.

Q6. Answer the following (Any One) [10 Marks]

• Define 'joint stock company' and explain its merits and demerits.
• OR
• Define 'insurance' and explain the various principles of insurance.

Important OCM Board Exam Questions

The following are links to other highly probable questions for the board exam, categorized by question type.

Distinguish Between

• Co-operative Society and Joint Stock Company
• Current Account and Savings Account
• District Forum and State Commission

Short Notes

• Advantages of E-business
• Types of Banks
• Principles of Insurance

Answer in Brief

• Define Bank and explain different types of banks.
• Define a Sole Trading Concern and explain its merits and demerits.
• Define ‘Planning’ and explain its importance.

Glossary of Key Terms

Sole Trading Concern

A type of business owned, managed, and controlled by a single individual. The owner has unlimited liability and enjoys all profits while bearing all losses alone.

Net Banking

An electronic payment system that enables customers of a bank or other financial institution to conduct a range of financial transactions through the institution's website.

Equity (Principle of Management)

The principle that managers should be fair and impartial when dealing with employees. It combines kindliness and justice and ensures that all employees are treated equally.

State Commission

A consumer dispute redressal forum established under the Consumer Protection Act at the state level. It handles complaints where the value of goods or services and compensation claimed is between ₹20 lakhs and ₹1 crore.

Co-operative Society

A voluntary association of persons who join together for mutual benefit. The primary motive is service to its members, not profit maximization. It requires a minimum of 10 members to be formed.

Overdraft

A credit facility provided by a bank that allows a current account holder to withdraw more money than is available in their account, up to a specified limit.

E-business

The use of electronic means, especially the internet, to conduct business activities. This includes buying and selling goods (e-commerce), as well as servicing customers and collaborating with business partners.

Outsourcing

The business practice of hiring a party outside a company to perform services or create goods that were traditionally performed in-house by the company's own employees and staff.

Indemnity (Principle of Insurance)

A principle stating that the insurer agrees to pay the insured for financial losses, aiming to restore them to the financial position they were in before the loss occurred, but not to profit from it. This principle does not apply to life insurance.