Q1:

Business Environment

Easy

"The health and fitness trend has become popular among many urban dwellers. This has created a demand for products like organic food, gyms, bottled (mineral) water and food supplements". Identify the component of the business environment highlighted in the aforesaid statement.

Answer options
Option 2
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 1

Q2:

Controlling

Easy

From the options given below, identify the steps that are involved in the process of ensuring that actual activities conform to planned activities:

(A) Setting performance standards and measurement of actual performance

(B) Comparison of actual performance with standards

(C) Taking corrective action

(D) Analysis of deviations

Choose the correct answer from the options given below:

Answer options
Option 1
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 2

Q3:

Marketing

Easy

Which of the following components are important activities involved in physical distribution?

Answer options
Option 1
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 3

Q4:

Entrepreneurship Development

Easy

"Entrepreneurship is not a mysterious gift or charm and something that happens by chance! It is step by step and a purposeful activity". Identify the characteristic of entrepreneurship highlighted in the aforesaid statement.

Answer options
Option 4
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 4

Q5:

Business Environment

Easy

Match List-I with List-II

List-IList-II
ComponentDimension of Business Environment
(A) The nature of the relationship of our country with foreign countries(I) Economic Environment
(B) Scientific improvements(II) Social Environment
(C) Rates of saving and investment(III) Political Environment
(D) Attitudes towards product innovations(IV) Technological environment

Choose the correct answer from the options given below:

Answer options
Option 4
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 5

Q6:

Marketing

Easy

The buyers are willing to spend a lot of time and effort on the purchase of _________.

Answer options
Option 3
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 6

Q8:

Marketing

Easy

If a firm's objective is to obtain a larger share of the market, it will keep the price of its products at ________ levels so that ________ number of people are attracted to purchase the product.

Answer options
Option 1
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 8

Q9:

Principles of Management

Medium

"A manager can leave routine decision-making to his subordinates and deal with exceptional situations which require her/his expertise by following the principles of delegation". Identify the significance of the management principle highlighted in the aforesaid statement.

Answer options
Option 4
Correct Answer
Explanation for 2025: 3 June Shift 2 BST question 9

Q10:

Staffing

Easy

Human Resource Management includes many specialised activities and duties which the human resource personnel must perform. Identify such activities from the options given below:

(A) Developing compensation and incentive plans.

(B) Training and development of employees for efficient performance and career growth.

(C) Analysing jobs, collecting information about jobs to prepare job descriptions.

(D) Recruitment, i.e., search for qualified people

Choose the correct answer from the options given below:

Answer options

Q11:

Business Finance

Easy

Identify the correct sequence of the process of financial planning from the options given below:

(A) The preparation of a sales forecast.

(B) Estimates showing expected profits are made to know how much fund requirements can be met internally.

(C) The preparation of financial statements.

(D) Estimation of the requirement for external funds.

Choose the correct answer from the options given below:

Answer options

Q12:

Directing

Easy

Match List-I with List-II

List-IList-II
Elements of CommunicationNature
------
(A) Media(I) The path through which the encoded message is transmitted to the receiver.
(B) Decoding(II) All those actions of the receiver indicating that he has received and understood the message from the sender.
(C) Feedback(III) The process of converting encoded symbols of the sender.
(D) Noise(IV) Hindrance to communication.

Choose the correct answer from the options given below:

Answer options

Q13:

Organising

Medium

Divisional structure is suitable for which of the following business enterprises?

  1. A large-sized organization requiring functional specialization.
  2. Organisation has diversified activities where emphasis is placed on specific functions.
  3. An organization where operations require a high degree of specialization
  4. Organization producing a large variety of products using different productive resources
Answer options

Q14:

Staffing

Medium

Identify the benefits offered to the organization through proper staffing.

  1. Helps in discovering and obtaining competent personnel for various jobs.
  2. It contributes to lower performance of employees, by putting the right person in the right job.
  3. Ensures the temporary survival and growth of the enterprise through the succession planning for managers.
  4. Helps to ensure limited utilization of human resources.
Answer options

Q15:

Consumer Protection

Easy

"The consumer has a right to get relief against unfair trade practices, restrictive trade practices or unscrupulous exploitation in case the product or a service falls short of his expectations". Which consumer right has been exhibited in this statement?

Answer options

Q16:

Organising

Medium

Identify the advantages of the functional structure from the options given below.

  1. (A) It leads to occupational specialisation since emphasis is placed on specific functions. This promotes efficiency in the utilisation of manpower as employees perform similar tasks within a department and are able to improve performance.
  2. (B) It promotes control and coordination within a department because of similarity in the tasks being performed.
  3. (C) It promotes flexibility and initiative because each unit functions as an autonomous sector, which leads to faster decision-making.
  4. (D) It helps in increasing managerial and operational efficiency and this results in increased profit.

Choose the correct answer from the options given below:

Answer options

Q17:

Staffing

Easy

Identify the correct sequence of the process of selection from the options given below.

A. Selection Decision

B. Reference and Background Checks

C. Job Offer

D. Medical Examination

Choose the correct answer from the options given below:

Answer options

Q18:

Business Environment

Easy

"At times, it may be difficult to know the extent of the relative impact of the social, economic, political, technological or legal factors on changes in demand for a product in the market". Identify the feature of the business environment highlighted in the aforesaid statement.

Answer options

Q19:

Entrepreneurship Development

Easy

Identify from the options given below, the competency of an entrepreneur, which focuses on "observing the symptoms, diagnosing and curing".

Answer options

Q20:

Business Finance

Medium

Which of the following is not a factor affecting the working capital requirements of a business firm?

Answer options

Q21:

Nature & Significance

Easy

"The common thread that runs through all activities such as purchase, production, sales, and finance to ensure continuity in the work of the organization, for achieving harmony among individual efforts towards the accomplishment of group goals". Identify the concept of management highlighted in the aforesaid statement.

Answer options

Q22:

Directing

Easy

Match List-I with List-II

List-IList-II
AspectsType of needs
(A) Stability of income(I) Safety/Security Needs
(B) Hunger & thirst(II) Physiological Needs
(C) Self-respect & autonomy(III) Affiliation/Belonging Needs
(D) Acceptance and friendship(IV) Esteem Needs

Choose the correct answer from the options given below:

Answer options

Q23:

Directing

Medium

A good manager __________ through praise and criticism in such a way that it brings out the best in the employee.

Answer options

Q24:

Consumer Protection

Easy

Which of the following responsibilities a consumer should keep in mind while purchasing, using and consuming goods and services?

Answer options

Q25:

Staffing

Easy

Identify the benefits of training and development activities for employees from the options given below:

(A) Improved skills and knowledge due to training lead to a better career for the individual.

(B) Increased performance by the individual helps him to earn more.

(C) Training increases the satisfaction and morale of employees.

(D) Training reduces absenteeism and employee turnover.

Choose the correct answer from the options given below:

Answer options

Q26:

Controlling

Easy

"A good control system enables management to verify whether the standards set are accurate and objective". Identify the importance of controlling highlighted in the aforesaid statement.

Answer options

Q27:

Controlling

Easy

Which step of controlling states that "performance should be measured in an objective and reliable manner"?

Answer options

Q28:

Organising

Medium

Identify the advantages of formal organization from the options given below.

(A) It is easier to fix responsibility since mutual relationships are clearly defined.

(B) There is no ambiguity in the role that each member has to play as duties are specified. This also helps in avoiding duplication of effort.

(C) It helps to fulfill the social needs of the members and allows them to find like minded people. This enhances their job satisfaction since it gives them a sense of belongingness in the organisation.

(D) Unity of command is maintained through an established chain of command.

Choose the correct answer from the options given below:

Answer options

Q29:

Organising

Easy

Which of the following is not a valid aspect of formal organization ?

Answer options

Q30:

Nature & Significance

Easy

Efficiency is increased when for the same benefit or outputs _________.

Answer options

Q31:

Planning

Easy

Identify the type of plan which provides the manner in which a task has to be performed considering the objective.

Answer options

Q32:

Principles of Management

Easy

"According to Taylor, there should be an almost equal division of work and responsibility between workers and management. All day long, the management should work almost side by side with the workers helping, encouraging and smoothing the way for them". Identify the principle of scientific management highlighted in the aforesaid statement.

Answer options

Q34:

Marketing

Medium

List–I (Functions of Marketing)List–II (Description/Function)
(A) Customer Support Services(I) Classification of products into different groups
(B) Standardisation(II) Identification of the needs of customers
(C) Grading(III) Collection and analysis of market-related information
(D) Gathering and Analysing Market Information(IV) Producing goods according to predetermined specifications
Answer options

Q35:

Staffing

Medium

Match List-I with List-II

List-IList-II
Types of TrainingAspects
(A) Internship Training(I) Puts the trainee under the guidance of a master worker.
(B) Job Rotation(II) Employees learn their jobs on the equipment they will be using, but the training is conducted away from the actual workplace.
(C) Apprenticeship Programmes(III) A joint programme of training in which educational institutions and business firms cooperate.
(D) Vestibule Training(IV) Shifting the trainee from one department to another or from one job to another.

Choose the correct answer from the options given below:

Answer options

Q37:

Staffing

Easy

Identify the correct sequence of the process of staffing from the options given below:

(A) Estimating the Manpower Requirements

(B) Recruitment and Selection

(C) Placement and Orientation

(D) Training and Development

Choose the correct answer from the options given below:

Answer options

Q38:

Nature & Significance

Medium

Identify the basic features of "Management as an Art".

(A) Universal Validity

(B) Existence of theoretical knowledge

(C) Based on creativity

(D) Personalised Application

Choose the correct answer from the options given below:

Answer options

Q39:

Planning

Medium

Since planning is an activity, there are certain logical steps for every manager to follow. Identify the correct sequence from the options given below:

  1. Selecting an alternative: This is the real point of decision-making.
  2. Evaluating alternative courses: The next step is to weigh the pros and cons of each alternative. The best plan has to be adopted and implemented.
  3. Follow-up action: Monitoring the plans is equally important to ensure that objectives are achieved.
  4. Implement the plan: This is concerned with putting the plan into action.

Choose the correct answer from the options given below:

Answer options

Q41:

Directing

Easy

Everyone realised that Kalyani Joshi was extremely ambitious and was seeking a higher-level management position. When one of her sales representatives did a good job, she would attempt to take the credit. However, if a problem arose, she thought it was not her fault. For Adarsh, the general manager, providing good and effective direction is a challenging task as it involves many complexities. Adarsh, the general manager, has to deal with people like Kalyani Joshi with diverse backgrounds and expectations. This complicates the directing process. Adarsh is of the viewpoint that directing techniques must help every individual in the organisation to contribute to his maximum for achievement of organisational objectives. Adarsh holds a convincing thought that employee rewards and work efficiency are complimentary to each other. Adarsh ensured that every person in his organisation should receive instructions from one superior only. Adarsh also ensured that appropriate motivational and leadership techniques should be used while directing the people based on subordinate needs, capabilities, attitudes and other situational variables. Adarsh tried to maintain effective managerial contact across all the levels in the organisation, making direction effective. He conveyed clear instructions to create total understanding to subordinates.

"Adarsh is of the viewpoint that directing techniques must help every individual in the organisation to contribute to his maximum for achievement of organisational objectives". Which of the following guiding principles of directing has been highlighted in the aforesaid statement?

Answer options

Q42:

Directing

Easy

Everyone realised that Kalyani Joshi was extremely ambitious and was seeking a higher-level management position. When one of her sales representatives did a good job, she would attempt to take the credit. However, if a problem arose, she thought it was not her fault. For Adarsh, the general manager, providing good and effective direction is a challenging task as it involves many complexities. Adarsh, the general manager, has to deal with people like Kalyani Joshi with diverse backgrounds and expectations. This complicates the directing process. Adarsh is of the viewpoint that directing techniques must help every individual in the organisation to contribute to his maximum for achievement of organisational objectives. Adarsh holds a convincing thought that employee rewards and work efficiency are complimentary to each other. Adarsh ensured that every person in his organisation should receive instructions from one superior only. Adarsh also ensured that appropriate motivational and leadership techniques should be used while directing the people based on subordinate needs, capabilities, attitudes and other situational variables. Adarsh tried to maintain effective managerial contact across all the levels in the organisation, making direction effective. He conveyed clear instructions to create total understanding to subordinates.

"Adarsh tried to maintain effective managerial contact across all the levels in the organisation, making direction effective. He conveyed clear instructions to create total understanding to subordinates". Which of the following guiding principles of directing has been highlighted in the aforesaid statement?

Answer options

Q43:

Directing

Easy

Everyone realised that Kalyani Joshi was extremely ambitious and was seeking a higher-level management position. When one of her sales representatives did a good job, she would attempt to take the credit. However, if a problem arose, she thought it was not her fault. For Adarsh, the general manager, providing good and effective direction is a challenging task as it involves many complexities. Adarsh, the general manager, has to deal with people like Kalyani Joshi with diverse backgrounds and expectations. This complicates the directing process. Adarsh is of the viewpoint that directing techniques must help every individual in the organisation to contribute to his maximum for achievement of organisational objectives. Adarsh holds a convincing thought that employee rewards and work efficiency are complimentary to each other. Adarsh ensured that every person in his organisation should receive instructions from one superior only. Adarsh also ensured that appropriate motivational and leadership techniques should be used while directing the people based on subordinate needs, capabilities, attitudes and other situational variables. Adarsh tried to maintain effective managerial contact across all the levels in the organisation, making direction effective. He conveyed clear instructions to create total understanding to subordinates.

"Adarsh holds a convincing thought that employee rewards and work efficiency are complimentary to each other". Which of the following guiding principles of directing has been highlighted in the aforesaid statement?

Answer options

Q44:

Directing

Easy

Everyone realised that Kalyani Joshi was extremely ambitious and was seeking a higher-level management position. When one of her sales representatives did a good job, she would attempt to take the credit. However, if a problem arose, she thought it was not her fault. For Adarsh, the general manager, providing good and effective direction is a challenging task as it involves many complexities. Adarsh, the general manager, has to deal with people like Kalyani Joshi with diverse backgrounds and expectations. This complicates the directing process. Adarsh is of the viewpoint that directing techniques must help every individual in the organisation to contribute to his maximum for achievement of organisational objectives. Adarsh holds a convincing thought that employee rewards and work efficiency are complimentary to each other. Adarsh ensured that every person in his organisation should receive instructions from one superior only. Adarsh also ensured that appropriate motivational and leadership techniques should be used while directing the people based on subordinate needs, capabilities, attitudes and other situational variables. Adarsh tried to maintain effective managerial contact across all the levels in the organisation, making direction effective. He conveyed clear instructions to create total understanding to subordinates.

"Adarsh ensured that every person in his organisation should receive instructions from one superior only". Which of the following guiding principles of directing has been highlighted in the aforesaid statement?

Answer options

Q45:

Directing

Easy

Everyone realised that Kalyani Joshi was extremely ambitious and was seeking a higher-level management position. When one of her sales representatives did a good job, she would attempt to take the credit. However, if a problem arose, she thought it was not her fault. For Adarsh, the general manager, providing good and effective direction is a challenging task as it involves many complexities. Adarsh, the general manager, has to deal with people like Kalyani Joshi with diverse backgrounds and expectations. This complicates the directing process. Adarsh is of the viewpoint that directing techniques must help every individual in the organisation to contribute to his maximum for achievement of organisational objectives. Adarsh holds a convincing thought that employee rewards and work efficiency are complimentary to each other. Adarsh ensured that every person in his organisation should receive instructions from one superior only. Adarsh also ensured that appropriate motivational and leadership techniques should be used while directing the people based on subordinate needs, capabilities, attitudes and other situational variables. Adarsh tried to maintain effective managerial contact across all the levels in the organisation, making direction effective. He conveyed clear instructions to create total understanding to subordinates.

"Adarsh ensured that proper motivational and leadership techniques should be used while directing the people based on subordinate needs, capabilities, attitudes and other situational variables". Which of the following guiding principles of directing has been highlighted in the aforesaid statement?

Answer options

Q46:

Business Finance

Easy

Aval Ltd. is engaged in the business of the export of canvas goods and bags. In the past, the performance of the company was above expectations. In line with the latest demand in the market, the company decided to venture into leather goods for which it required specialized machinery. For this, the Finance Manager Prabhu prepared a financial blueprint for the organization's future operations to estimate the amount of funds required and the timings with the objective to ensure that enough funds are available at the right time. He also collected the relevant data about the profit estimates for the coming years. By doing this, he wanted to be sure about the availability of funds from the internal sources of the business. For the remaining funds, he is trying to find alternative sources from outside. The company is willing to go for a public issue of shares and debentures to be made under SEBI guidelines. Public issue of shares and debentures requires considerable outlay of funds too. Due to extensive operations, the manager is of the viewpoint that a company may have to ensure that earnings before interest and taxes of a company should cover the interest obligation. The manager also felt that the cash profits generated by the operations need to be compared with the total cash required for the service of the debentures and the preference share capital.

"The company is willing to go for a public issue of shares and debentures to be made under SEBI guidelines". Identify the factor affecting capital structure highlighted in the aforesaid statement.

Answer options

Q47:

Business Finance

Easy

Aval Ltd. is engaged in the business of the export of canvas goods and bags. In the past, the performance of the company was above expectations. In line with the latest demand in the market, the company decided to venture into leather goods for which it required specialized machinery. For this, the Finance Manager Prabhu prepared a financial blueprint for the organization's future operations to estimate the amount of funds required and the timings with the objective to ensure that enough funds are available at the right time. He also collected the relevant data about the profit estimates for the coming years. By doing this, he wanted to be sure about the availability of funds from the internal sources of the business. For the remaining funds, he is trying to find alternative sources from outside. The company is willing to go for a public issue of shares and debentures to be made under SEBI guidelines. Public issue of shares and debentures requires considerable outlay of funds too. Due to extensive operations, the manager is of the viewpoint that a company may have to ensure that earnings before interest and taxes of a company should cover the interest obligation. The manager also felt that the cash profits generated by the operations need to be compared with the total cash required for the service of the debentures and the preference share capital.

"Finance Manager Prabhu prepared a financial blueprint for the organization's future operations to estimate the amount of funds required and the timings with the objective to ensure that enough funds are available at the right time". Identify the concept of financial management highlighted in the aforesaid statement.

Answer options

Q48:

Business Finance

Easy

Aval Ltd. is engaged in the business of the export of canvas goods and bags. In the past, the performance of the company was above expectations. In line with the latest demand in the market, the company decided to venture into leather goods for which it required specialized machinery. For this, the Finance Manager Prabhu prepared a financial blueprint for the organization's future operations to estimate the amount of funds required and the timings with the objective to ensure that enough funds are available at the right time. He also collected the relevant data about the profit estimates for the coming years. By doing this, he wanted to be sure about the availability of funds from the internal sources of the business. For the remaining funds, he is trying to find alternative sources from outside. The company is willing to go for a public issue of shares and debentures to be made under SEBI guidelines. Public issue of shares and debentures requires considerable outlay of funds too. Due to extensive operations, the manager is of the viewpoint that a company may have to ensure that earnings before interest and taxes of a company should cover the interest obligation. The manager also felt that the cash profits generated by the operations need to be compared with the total cash required for the service of the debentures and the preference share capital.

"Public issue of shares and debentures requires considerable outlay of funds at the time of issue too". Identify the factor affecting capital structure highlighted in the aforesaid statement.

Answer options

Q49:

Business Finance

Easy

Aval Ltd. is engaged in the business of the export of canvas goods and bags. In the past, the performance of the company was above expectations. In line with the latest demand in the market, the company decided to venture into leather goods for which it required specialized machinery. For this, the Finance Manager Prabhu prepared a financial blueprint for the organization's future operations to estimate the amount of funds required and the timings with the objective to ensure that enough funds are available at the right time. He also collected the relevant data about the profit estimates for the coming years. By doing this, he wanted to be sure about the availability of funds from the internal sources of the business. For the remaining funds, he is trying to find alternative sources from outside. The company is willing to go for a public issue of shares and debentures to be made under SEBI guidelines. Public issue of shares and debentures requires considerable outlay of funds too. Due to extensive operations, the manager is of the viewpoint that a company may have to ensure that earnings before interest and taxes of a company should cover the interest obligation. The manager also felt that the cash profits generated by the operations need to be compared with the total cash required for the service of the debentures and the preference share capital.

"Due to extensive operations, the manager is of the viewpoint that a company may have to ensure that earnings before interest and taxes of a company should cover the interest obligation". Identify the factor affecting capital structure highlighted in the aforesaid statement.

Answer options

Q50:

Business Finance

Easy

Aval Ltd. is engaged in the business of the export of canvas goods and bags. In the past, the performance of the company was above expectations. In line with the latest demand in the market, the company decided to venture into leather goods for which it required specialized machinery. For this, the Finance Manager Prabhu prepared a financial blueprint for the organization's future operations to estimate the amount of funds required and the timings with the objective to ensure that enough funds are available at the right time. He also collected the relevant data about the profit estimates for the coming years. By doing this, he wanted to be sure about the availability of funds from the internal sources of the business. For the remaining funds, he is trying to find alternative sources from outside. The company is willing to go for a public issue of shares and debentures to be made under SEBI guidelines. Public issue of shares and debentures requires considerable outlay of funds too. Due to extensive operations, the manager is of the viewpoint that a company may have to ensure that earnings before interest and taxes of a company should cover the interest obligation. The manager also felt that the cash profits generated by the operations need to be compared with the total cash required for the service of the debentures and the preference share capital.

Which financial ratio will establish the relation between the cash profits generated by the operations and the total cash required for the service of the debentures and the preference share capital?

Answer options

CUET Business Studies 2025 3 June Shift 2 Past Year Question Paper

Every question from the CUET Business Studies 2025 3 June Shift 2 paper is here in full, with the correct answer and a step by step solution for each one. It is completely free, there is no login and no paywall, and you can read the whole paper online or download it to revise offline.

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CUET Business Studies past year questions (PYQs) are the closest thing to the real exam, so working through them is the quickest way to learn the paper pattern, the marking scheme and the level of difficulty to expect on the day.