Chapter-7-Directing 

  • Board
    CBSE
  • Textbook
    NCERT
  • Class
    Class 12
  • Subject
    Business Studies
  • Chapter
    Chapter-7-Directing 
  • Chapter Name
    Chapter 7 Directing
  • Category
    CUET (Common University Entrance Test) UG

MCQ-Based Questions for CUET Business Studies Chapter-7-Directing 

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Practice Questions for CUET Business Studies chapter-7-Directing SET-1

Business Studies - MCQ on Directing

Class XII

Q.1. The actual work after hiring people starts with

a. directing function.

b. planning function.

c. controlling function.

d. organising function.

Answer:

(a)

Explanation: Once the planning is done, organisation structure is designed and various people are fitted into that organisation structure. In this way, the company is ready to start work. People are given orders and instructions to conduct their jobs. This activity of ordering and instructing people is called directing function of management. Directing means moving into action.

Q.2. The function of management that involves supervision is called

a. planning.

b. organising.

c. directing.

d. controlling.

Answer:

(c)

Explanation: Directing function of management involves supervising people at work, issuing orders and instructions and making changes in them so they best fit the actual situation.

Q.3. Motivation is a part of directing function of management. Motivation helps in

a. minimising labour turnover and absenteeism.

b. increasing labour turnover and absenteeism.

c. increasing cost of production.

d. reducing the morale of employees.

Answer:

(a)

Explanation: Motivated employees perform their tasks with dedication and zeal. They develop a proud feeling about their jobs. In this way, they provide stability to the organisation.

Q.4 According to Maslow’s Need Hierarchy theory, the number of the types of needs is

a. two.

b. four.

c. five.

d. seven.

Answer:

(c)

Explanation: Maslow devised five types of needs, viz. physiological, safety, social, esteem or ego and self-actualisation needs.

Q.5. The purpose of giving various kinds of incentives to the employees is

a. to create organisation structure.

b. to motivate them.

c. to increase cost of production.

d. to start informal communication.

Answer:

b

Explanation: The objective of giving incentives to the employees is to increase production. The production can be increased when employees work harder. Motivation is the driving force that helps the employees to work harder.

Q.6. Non-financial incentives are the incentives that cannot be measured in terms of money. An example of non-financial incentive is

a. appreciation.

b. bonus.

c. commission.

d. profit-sharing.

Answer:

(a)

Explanation: Appreciation is a non-financial incentive because it cannot be measured in monetary terms. It is a source of motivation because it induces the employees to perform better in their jobs.

Q.7. In the process of communication, decoding means

a. defining ethical code.

b. putting information into words.

c. interpreting information from the message.

d. defining code of conduct.

Answer:

(c)

Explanation: Decoding means deriving meaning from the information given in the message sent by the sender to the receiver or receivers.

Q.8. The type of communication that keeps the managers informed about the progress of work and employees’ performance is called

a. downward communication.

b. upward communication.

c. horizontal communication.

d. diagonal communication.

Answer:

(b)

Explanation: Through upward communication, subordinates send their work reports and suggestions to their seniors in the organisation hierarchy. Upward communication helps the managers locate the difficulties in operations and removing them on the basis of information received from subordinates.

Q.9. Supervision leads to

a. huge wastage of time and resources.

b. increased working hours.

c. minimum wastage of time and resources.

d. low morale of employees.

Answer:

(c)

Explanation: Supervision helps in minimising the wastage of time because the misuse of time is checked and corrected by the supervisor at the earliest. Effective supervision helps in checking whether the work being done is as per the time schedule or not and making corrections.

Q.10. One of the disadvantages of informal communication is that

a. it may create rumours.

b. it is slow.

c. it is systematic.

d. it follows scalar chain.

Answer:

(a)

Explanation: It’s a big drawback of informal communication that it may create rumors. Rumors are distorted facts of information. They can demotivate employees if they carry negative information, e.g., the information about retrenchment or stiffening of the terms of employment.

Q.11. Motivation helps in

a. increasing cost of production.

b. increasing the manpower.

c. reducing the cost of production.

d. decreasing the morale of employees.

Answer:

(c)

Explanation: Motivation reduces cost because it induces the employees to devote their best efforts to achieve higher performance. When quality of goods improves, wastages are minimized, and thus cost is minimised.

Q.12. One of the advantages of formal communication is that

a. its source cannot be located.

b. it creates confusion.

c. its source can be located.

d. it is unsystematic.

Answer:

(c)

Explanation: In formal communication, the source of information is clear and can be located easily. Formal communication is generally done in writing and it works as evidence.

Q.13. The function of management that involves issuing instructions to subordinates, supervising employees while working, motivating as well as creating an environment where they can perform to the best of their abilities, is called

a. planning.

b. staffing.

c. controlling.

d. directing.

Answer:

(d)

Explanation: Directing function starts the actual work at the work floor. In direction, employees are guided to perform in the attainment of organisational goals.

Q.14. The activity of making reports of the performance of the workers, their suggestions and grievances, is a part of

a. supervision.

b. planning.

c. departmentalisation.

d. informal communication.

Answer:

(a)

Explanation: It is one of the functions of the supervisor to send weekly or monthly reports regarding the performance of their workers. The supervisor also informs the upper management about the suggestions and grievances of the workers.

Q.15 One of the advantages of oral communication is that

a. it provides written record.

b. the facts can be verified.

c. it is suitable for emergency situations.

d. it is suitable for lengthy messages.

Answer:

(c)

Explanation: Oral communication is suitable for emergency situations because it is fast and the information can be transferred within seconds to enable the required action to be taken instantly. Written communication can aggravate problems in emergency situations because the recipient may know about the adverse situation after it has actually occurred.

Q.16. According to Maslow’s Need Hierarchy theory, needs of respect, recognition, self-respect etc. come under

a. safety needs.

b. social needs.

c. self-actualisation needs.

d. ego or esteem needs.

Answer:

(d)

Explanation: These needs are ego and esteem needs. These needs of an employee can be satisfied by an employer by giving rewards and recognition to an employee.

Q.17. Bonus is a type of

a. non-financial incentives.

b. communication channel.

c. financial incentives.

d. informal organisation.

Answer:

(c)

Explanation: Bonus is given to employees when they perform better than a particular level. This is a financial incentive because it is given in money.

Q.18. One of the disadvantages of informal communication is that

a. it is systematic.

b. it follows the official chain.

c. it is unsystematic.

d. it is slow.

Answer:

(c)

Explanation: It is difficult to trace the source of informal communication. It is also difficult to ascertain the path through which it travels. If the informal communication circulates wrong information, the people through whom it passes may deny knowing the source of that information.

Q.19. The function of management that comes right after staffing function is called

a. planning.

b. controlling.

c. organising.

d. directing.

Answer:

(d)

Explanation: After hiring people in the organisation as per staffing process, the next step is to instruct and suggest them the way of doing their jobs in the office.

Q.20. The need hierarchy theory of motivation has been developed by

a. Hanry Fayol.

b. F W Taylor.

c. Abraham H Maslow.

d. Koontz and O’Donnell.

Answer:

(c)

Explanation: Abraham H Maslow developed need hierarchy theory. He divided human needs in five categories in order of their priority, viz. physiological, safety, social, esteem or ego and self-actualisation needs.

Q.21. Informal communication takes place

a. inside official channel of communication.

b. for issuing orders.

c. outside the official channel of communication.

d. for communicating grievances.

Answer:

(c)

Explanation: Informal communication develops itself by the interaction of the employees. There is no role of official efforts and official chain of command in creating informal organisation. People come together in informal organisation to share their feelings and commonalities.

Q.22. The function of management in which a manager makes a balance between individual and organisational goals, and helps the employees believe that their personal goals will be achieved along with the attainment of organisational goals is called

a. planning function.

b. organising function.

c. directing function.

d. controlling function.

Answer:

(c)

Explanation: In the directing function of management, a manager makes a balance between personal goals of the employees and the overall organisational goals. A manager insists his subordinates in achieving the organisational goals and convinces them that their personal goals and organisational goals are interrelated and will be achieved simultaneously.

Q.23. Inspiring people to work better by offering rewards and recognitions is called

a. negative motivation.

b. neutral leadership.

c. positive motivation.

d. supervision.

Answer:

(c)

Explanation: Inducing people to work better by placing rewards and recognition for better performers is called positive motivation. This is based on the positive assumption about human behaviour. This is also called “Theory Y” of motivation.

Q.24. One of the means of written communication is

a. telephone.

b. letters

c. face to face interaction.

d. social interaction.

Answer:

(b)

Explanation: Letters are the means of written communication as they transfer information in written form.

Q.25. Mr Sunil has joined Ambition Pvt Ltd as executive in Accounts department. He has not been informed about the procedures to be followed and the precautions to be taken while doing the tasks. The function of management, which is not being correctly implemented here, is

a. planning.

b. organising.

c. directing.

d. controlling.

Answer:

(c)

Explanation: The activity of supervision has been ignored in Ambition Pvt Ltd. In supervision, the employees are given instructions and orders as to how they are supposed to perform their jobs.

Q.26. One of the disadvantages of informal communication is that

a. it is slow.

b. it is unsystematic.

c. it follows scalar chain.

d. the content of message can be distorted.

Answer:

(d)

Explanation: People communicate verbally in informal communication. When the same information is transferred verbally from one person to another, it gets distorted after a certain time due to convenient additions and deletions of facts by the persons transferring this kind of information.

Q.27. Ensuring safety of employees and equipments is a task performed under

a. supervision.

b. motivation.

c. controlling.

d. planning.

Answer:

(a)

Explanation: It is the responsibility of the supervisor to ensure that the workers know the right way of producing goods such that there is no accident and the goods produced are of the standard quality.

Q.28 Forcing people to perform better and threatening them with punishment for non-accomplishment of targets is called

a. positive motivation.

b. supervision.

c. coordination.

d. negative motivation.

Answer:

(d)

Explanation: Getting employees to perform better by threatening them with penalties is called negative motivation. It is called negative motivation because this implies a negative approach towards human behaviour and their intentions towards work. This is also called “Theory X” of motivation.

Q.29. Exchange of information and facts through spoken words is called

a. written communication.

b. unity of command.

c. oral communication.

d. unity of direction.

Answer:

(c)

Explanation: Oral communication means interacting orally. This is a method of communication.

Q.30. Inspiring people to perform better in the attainment of common goals is called

a. supervision.

b. motivation.

c. departmentalisation.

d. informal organisation.

Answer:

(b)

Explanation: Motivation means inducing workers to outperform their past performances. Through motivation, employees are influenced to perform better.

Q.31. Transferring of information from subordinates to superior is called

a. upward communication.

b. horizontal communication.

c. diagonal communication.

d. downward communication.

Answer:

(a)

Explanation: This is upward communication because the information is passed from lower position to upper position in the organisational hierarchy. Upward communication includes work summaries, performance reports, suggestions, grievances and feedback from employees to their managers.

Q.32. One of the means of oral communication is

a. email.

b. telephone.

c. circular.

d. correspondence.

Answer:

(b)

Explanation: Telephone is a means of oral communication because people interact on it verbally.

Q.33. Job enrichment means increasing the quality and quantity of the work done by the subordinates. This is done to make the job more interesting and challenging for the employees. Job enrichment is a type of

a. job rotation.

b. non-financial incentive.

c. job analysis.

d. financial incentive.

Answer:

(b)

Explanation: Job enrichment is a kind of non-financial incentive. Job enrichment motivates employees because it helps them learn new and difficult things, which will ultimately help them to grow in the organisation.

Q.34. One of the limitations of written communication is that

a. it is appropriate for lengthy messages only.

b. it is difficult to maintain secrecy.

c. it is fast.

d. it provides written record.

Answer:

(b)

Explanation: It is difficult to maintain secrecy in written communication. Written communication can be leaked orally in informal groups or through informal communication.

Q.35. One of the advantages of formal communication is that

a. it is unsystematic.

b. it is fast.

c. it keeps the message intact.

d. it flows through informal channel.

Answer:

(c)

Explanation: In formal communication, a message is normally written and it deals with the official information. Written facts cannot be distorted. If official information is distorted, it is easy to locate and take action against the person responsible for its distortion.

Practice Questions for CUET Business Studies chapter-7-Directing SET-2

Q.36. Status barrier, language barrier, intention barrier, perceptual barrier and channel distortion are some of the

a. barriers to organisation.

b. barriers to selection.

c. barriers to planning.

d. barriers to communication.

Answer:

(d)

Explanation: These are some of the barriers of communication. Status barrier says that a higher-level manager may not listen carefully to someone who is junior to him in the hierarchy. Language barrier says that the communication may not be conveyed correctly if sender and receiver do not speak a common language. Intention barrier says that the communication may not give correct information, if the receiver does not want to listen to the sender of the information. Perceptual barrier says that the sender may listen to the part of message that interests him and ignore the rest. Channel distortion means several people speaking at the same time that makes it difficult to understand the message.

Q.37. Issuing instructions to subordinates about the time within which a task is to be performed is a part of

a. supervision.

b. motivation.

c. leadership.

d. departmentalisation.

Answer:

(a)

Explanation: One of the functions of a supervisor is to inform the subordinates about the sequence in which an activity has to be performed and the respective time to be taken in performing them.

Q.38. The two forms of organisational communication are

a. formal and informal.

b. written and oral.

c. internal and external.

d. Chain pattern and circle pattern.

Answer:

(a)

Explanation: Types of communication mean the nature of its contents whether official or non-official. Formal communication deals with official information and informal communication deals with both official and non-official information. Formal communication is generally written but it can be oral also in emergency situations. Informal communication is generally oral but it can be written also in the cases when clarity and originality of information is to be maintained.

Q.39. One of the means of written communication is

a. telephone.

b. personal interaction.

c. E-mail.

d. social gathering.

Answer:

(c)

Explanation: E-mails provide written information, which is provided in written communication.

Q.40. Offering challenging jobs to employees, providing competition to them, appreciating their work, giving them social recognition for their performance, providing them valuable suggestions and giving them participation in decision-making are the types of

a. financial incentives.

b. needs.

c. informal organisation.

d. non-financial incentive.

Answer:

(d)

Explanation: These are types of non-financial incentives as they do not involve any monetary payment to employees. They involve recognising the employees as a valuable resource to organisation and making them feel that the organisation cares for them.

Q.41. The method in which each person gets information from one person that is their immediate boss and passes the information to one person who is their immediate subordinate is called

a. wheel pattern.

b. Y pattern.

c. chain pattern.

d. circle pattern.

Answer:

(c)

Explanation: It is called chain pattern as each member is attached to the other, thus forming a chain.

Q.42. One of the advantages of oral communication is that

a. it is slow.

b. it provides written records.

c. it doesn’t clarify doubts.

d. it maintains secrecy.

Answer:

(d)

Explanation: It is easier to maintain secrecy in oral communication because it cannot be leaked or verified.

Q.43. Transferring of information from superior to subordinate is called

a. upward communication.

b. horizontal communication.

c. diagonal communication.

d. downward communication.

Answer:

(d)

Explanation: Downward communication means passing on information from a higher level in organisation hierarchy to a lower level in hierarchy. Policies, procedures and programmes of the management pass to the middle and lower level of management through downward communication.

Q.44. Transmitting information in written words is called

a. oral communication.

b. written communication.

c. verbal communication.

d. unity of direction.

Answer:

(b)

Explanation: Sharing information in writing is called written communication because there is a proof of record in black and white.

Q.45. According to Maslow’s Need Hierarchy theory, needs of shelter, clothing, security etc. come under

a. safety needs.

b. physiological needs.

c. ego needs.

d. social needs.

Answer:

(a)

Explanation: Safety needs refers to the need of having security from adverse conditions. An organisation can fulfill these needs of the employees by giving them job security and retirement benefits.

Q.46. Lack of supervision leads to

a. better utilisation of resources.

b. poor utilisation of resources.

c. minimising the production time.

d. minimising the costs.

Answer:

(b)

Explanation: In the absence of supervision, employees may deviate from the standard procedures of production. In this way, they may produce poor quality goods. If this is supervised at the earliest, employees are corrected at the right time and they start to perform in the desired manner.

Q.47. One of the disadvantages of formal communication is that

a. it is quick.

b. it is systematic.

c. its source can be located.

d. it is slow.

Answer:

(d)

Explanation: Formal communication has to pass through the formal channel of authority. Following the line of authority may take longer time for the information to reach its destination because it has to pass through many executives in its way.

Q.48. The activity in which efforts are made to improve the working conditions of the employees is called

a. supervision.

b. leadership.

c. motivation.

d. departmentalisation.

Answer:

(a)

Explanation: It is the responsibility of the supervisor to make constant efforts to improve the working conditions of the employees. The supervisor makes various suggestions to middle and upper management to improve the working conditions of the employees so that their morale and spirits remain high.

Q.49. The activity of sharing ideas, feelings, emotions and opinions is called

a. motivation.

b. leadership.

c. informal organisation.

d. communication.

Answer:

(d)

Explanation: Communication involves written, verbal and non-verbal sharing of information between two or more persons. Non-verbal communication means sharing the information through gestures.

Q.50. One of the advantages of written communication is that

a. it is suitable in emergency situations.

b. the sender cannot be located.

c. the responsibility cannot be fixed.

d. it is suitable for lengthy information.

Answer:

(d)

Explanation: Written communication is suitable for long messages because in oral communication, some facts may be forgotten. In written messages, the receiver has ample time to read the whole message and understand it.

Q.51. According to Maslow’s Need Hierarchy theory, needs of affection, belonging, friendship, etc. are discussed under

a. safety needs.

b. social needs.

c. self-actualisation needs.

d. ego or esteem needs.

Answer:

(b)

Explanation: These needs are the social needs of a person. Organising can satisfy these needs of employees by encouraging teamwork and strengthening the informal organisation.

Q.52. The function of management that initiates action in the organisation is called

a. organising.

b. planning.

c. controlling.

d. directing.

Answer:

(d)

Explanation: Direction is the function of management that materialises planning. Planning, organising and staffing are the preparatory functions of management but the actual work starts with the directing function of management.

Q.53. One of the advantages of written communication is that

a. it is taken more seriously.

b. it cannot be verified.

c. responsibility cannot be fixed.

d. it is fast.

Answer:

(a)

Explanation: Written communication is taken more seriously because it serves as a record, if the recipient does not act upon it.

Q.54. The other name of informal communication is

a. scalar chain.

b. chain of command.

c. grapevine.

d. esprit de corps.

Answer:

(c)

Explanation: Informal communication is also called grapevine because its origin and path cannot be easily located.

Q.55. One of the limitations of oral communication is that

a. the receiver may not take the information seriously.

b. it is fast.

c. it is not suitable for complicated matters.

d. the doubts can be clarified at the earliest.

Answer:

(a)

Explanation: In oral communication, information is transferred verbally so the receiver may not take it seriously. One of the main limitation of oral communication is there is no record of it.

Q.56. Sharing information through official channel of scalar chain is called

a. informal communication.

b. job specification.

c. formal communication.

d. grapevine.

Answer:

(c)

Explanation: Passing the information through proper channels of the organisation structure is called formal communication.

Q.57. Job security is a type of

a. financial incentive.

b. job rotation.

c. job specification.

d. non-financial incentive.

Answer:

(d)

Explanation: Job security fulfills the safety needs of the employees. Satisfying needs of the employees helps in motivating them. This is a type of non-financial incentive because this does not result in monetary expenditure for the organisation.

Q.58. Flow of communication among persons occupying same positions in the organisation is called

a. upward communication.

b. diagonal communication.

c. downward communication.

d. horizontal communication.

Answer:

(d)

Explanation: In horizontal communication, different departmental heads or executives of same level meet and share information. This is called horizontal communication because the positions of the sender and the receiver of the information in this case do not share a senior-junior relationship. They are equally ranked. The example of horizontal communication is the meeting between production manager and purchase manager to discuss how much raw material should be purchased so that the production does not face shortage or excess of raw material.

Q.59. One of the advantages of informal communication is that

a. its source can be located.

b. It is not reliable.

c. it is slow.

d. it is fast.

Answer:

(d)

Explanation: Informal communication doesn’t travel by formal channel of command and communication. It is verbal and verbal information reaches its destination quickly through telephone or face-to-face contact. Formal communication is normally in written form and it takes time for the written document to reach its destination.

Q.60. Clarity, completeness, brevity and timeliness are some of the

a. principles of management.

b. principles of leadership.

c. principles of communication.

d. principles of functional foremanship.

Answer:

(c)

Explanation: These are the principles of communication. Clarity means the message should be clear and not ambiguous. Completeness means the message should provide complete information to the receiver. Brevity means the message should be concise. Timeliness mean that the information should reach the receiver within the prescribed time.

Q.61. One of the advantages of oral communication is that

a. it is slow.

b. it helps to clarify complicated matters.

c. it provides written records.

d. it is taken more seriously.

Answer:

(b)

Explanation: It is easy to clarify complicated matter if the communication is oral. For oral communication involves two-way interaction, which helps to clarify doubts instantly.

Q.62. According to Maslow’s Need Hierarchy theory; the needs of water, air, food and sleep come under

a. social needs.

b. safety needs.

c. ego needs.

d. physiological needs.

Answer:

(d)

Explanation: These are the basic needs for the survival of any human being so they are called physiological needs.

Q.63. The last step in the process of communication is

a. decoding.

b. receiving the information.

c. feedback.

d. encoding.

Answer:

(c)

Explanation: Communication process is complete when the receiver conveys the sender his feedback on the message, which he received from the sender.

Q.64. Letters, circulars, notices and reports are examples of

a. informal communication.

b. encoding.

c. decoding.

d. formal communication.

Answer:

(d)

Explanation: These are a part of formal information passed through superiors to subordinates or vice versa. Formal channel of communication is used to pass on the order and instructions to subordinates. Subordinates use this channel of communication to pass on reports, suggestions and feedbacks to their superiors.

Q.65. Mr Avinash is a quality analyst in a telecom company. He has suggested some improvements for quality enhancement of the operations. The company rewarded him with Rs 10,000 for his suggestions. This incentive is a type of

a. financial incentive.

b. salary.

c. non-financial incentive.

d. increment.

Answer:

(a)

Explanation: This is a type of financial incentive because Mr Avinash has been rewarded for his extra contribution to the organisation in terms of money.

Q.66. One of the disadvantages of formal communication is that

a. it is quick.

b. it is systematic.

c. its source can be located.

d. employee may conceal facts for fear of criticism.

Answer:

(d)

Explanation: In formal communication, sender may conceal the facts for which he thinks he would be criticised. They may hide their mistakes in the communication.

Q.67. Encoding in the process of communication means

a. interpreting the information.

b. defining the code of conduct.

c. translating ideas and information into words.

d. defining ethical code.

Answer:

(c)

Explanation: Encoding means translating information and facts into a message.

Q.68. According to Maslow’s Need Hierarchy theory, the needs of achieving goals and objectives are discussed under

a. social needs.

b. safety needs.

c. self-actualisation needs.

d. physiological needs.

Answer:

(c)

Explanation: Self-actualisation needs are related to the goals of an individual. Goals keep changing after being achieved. An organisation can satisfy these needs of an employee by giving them challenging jobs.

Q.69. The activity of influencing the behaviour of employees so that they willing and enthusiastically contribute to the attainment of organisational goals is called

a. supervision.

b. leadership.

c. communication.

d. informal organisation.

Answer:

(b)

Explanation: Leadership means inspiring people towards a common goal, so that they make efforts in the desired direction wholeheartedly.

Q.70. One of the advantages of formal communication is that

a. it creates ambiguity.

b. it is systematic.

c. it ignores the sender.

d. it ignores the receiver.

Answer:

(b)

Explanation: Formal communication flows through the systematic channel of scalar chain. It states in a very clear-cut manner as to who is to receive the information.

Q.71. The works manager, accounts executive and factory supervisor are interacting with each other in the lunchtime while watching a cricket match. They are involved in

a. formal communication.

b. scalar chain.

c. informal communication.

d. motivation.

Answer:

(c)

Explanation: These three executives of different positions and departments are indulging in informal communication. Informal communication means sharing viewpoints and feelings with each other. It is also right to say that they are a part of informal organisation.

Q.72. The flow of communication of two persons in different departments in which one of them is on a higher positions and the other is on a lower position in the hierarchy is called

a. diagonal communication.

b. horizontal communication.

c. downward communication.

d. upward communication.

Answer:

(a)

Explanation: In diagonal communication, two persons of different designations and from different departments interact with each other. For example, sales manager may ask production executive to change the design of some products as per customer’s requirements. Diagonal communication breaches one principle of management, which is unity of command.

Q.73. One of the advantages of formal communication is that

a. it creates ambiguity.

b. it is easy to fix responsibility.

c. it ignores the sender.

d. it ignores the receiver.

Answer:

(b)

Explanation: In formal communication, it is easy to locate the source of information because it is written. It provides clarity of the content, the sender and the receiver.

Q.74. Suhasini is an executive in a limited company. She has been awarded a certificate of excellence in the Reward and Recognition Programme held by the company at the end of the month for her excellent performance during the last month. This solicitation by the company to Suhasini is called

a. financial incentive.

b. annual appraisal.

c. performance bonus.

d. non-financial incentive.

Answer:

(d)

Explanation: This is a type of non-financial incentive because this is a motivation that does not involve monetary payment to the employee. This kind of incentive fulfils the social needs of recognition of an employee.

Q.75. Motivation and leadership are a part of

a. planning function.

b. staffing function.

c. organising function.

d. directing function.

Answer:

(d)

Explanation: Motivating people is a part of directing function of management. Motivation means inducing people to perform better. Leadership means leading and persuading people to achieve organisational goals so that the goals are accomplished in time and with quality.

Business Studies - MCQ on Directing

Practice Questions for CUET Business Studies chapter-7-Directing SET-3

Q.1. Directing means

Giving orders to workers.

Giving instructions to workers

Giving instructions and guiding people.

None of these.

Answer:

Exp: Directing means giving instructions and guiding people.

Q.2. Which of the following is a feature of Directing

Continuous Process Exist at every level of management

Flows from top to bottom

All the above

Directing is a Continuous Process which exist at every level of management

Q.3. Which of the following is not an element of Directing:

Supervision

Planning

Motivation

Leadership

Answer:

Exp: planning is not a part of Directing.

Q.4. Which of the following is not relevant to the Supervision:

It maintains day-to-day contact

It maintains friendly relations with workers.

It acts as a link among the personnel of Top Level management.

It plays a key role in maintaining group unity.

Answer:

Exp: It acts as a link between the workers and management.

Q.5. Who tells that motivation is the process of stimulating people to action to accomplish desired goals

Fred Luthans

Dubin

Mc Farland

William G Scout

Answer:

Exp: William G Scout states the motivation as the process of stimulating people to action to accomplish desired goals.

Q.6. Motivation process is based on

Basic Needs

Human Needs

Social Needs

Organisational Needs

Answer:

Exp: Motivation process is based on Human Needs.

Q.7. Who proposed Need Hierarchy Theory of Motivation

Taylor

Maslow

Dubin

Scout

Answer:

Exp: Maslow published the theory of motivation in a classic paper in 1943.

Q.8. Which of the following is a Basic Psychological Needs

Hunger

Security

Safety

Self-respect

Answer:

Exp: Hunger is the basic psychological need.

Q.9. Which of the following is a Safety Need

Hunger

Thirst

Pension Plan

Self-respect

Answer:

Exp: Pension Plan is the safety need.

Q.10. Which of the following is an Esteem Need

Hunger

Thirst

Pension Plan

Self-respect

Answer:

Exp: Self-respect is an esteem need.

Q.11. Which of the following is an example of financial incentive

Pay

Profit sharing

Bonus

All of the above

Answer:

Exp: All of the above are the example of financial incentives.

Q.12. Which of the following is not an example of financial incentive

Pay

Status

Profit sharing

Bonus

Answer:

Exp: Status is an example of non-financial incentives.

Q.13. Which of the following is an example of Non-financial incentive

Pay

Profit sharing

Job security

Bonus

Answer:

Exp: Job security is an example of non-financial incentives.

Q.14. Which of the following is not an example of Non-financial incentive

Status

Job security

Bonus

None of these

Answer:

Exp: Bonus is an example of financial incentives.

Q.15. Which of the following is example recognition of employee

Praising the employee for good performance.

Installing awards

Distributing mementos

All of the

Q.16. Pension is a/an

Bonus

Retirement Benefit

Incentives

None of these

Answer:

Exp: Pension, PF etc are the examples of retirement benefits.

Q.17. Aziz Prem Ji is concerned with

Microsoft

Wipro

Infosys

Tata

Answer:

Exp: Aziz Premji is concerned with Wipro.

Q.18. When was Infosys started

1980

1981

1982

1983

Answer:

Exp: NRN Murthy started Infosys in 1981.

Q.19. Which of the following is/are correct regarding the qualities of a good leader

A leader should have motivational skills.

A leader should have good knowledge.

A leader should not have attractive personality.

A leader should have self confidence.

Answer:

Exp: A leader should have attractive personality.

Q.20. Encoding means:

Sending messages

Converting message into communication symbols.

Converting communication symbols into message.

None of these

Answer:

Exp: Encoding is the process of Converting message into communication symbols.

Q.21. Which of the following is a type of Informal communication.

Free flow

Single chain

Grapewine

Inverted V

Answer:

Exp: Grapewine is also known as informal communication.

Q.22. Premature evaluation is a type of

Organisational Barrier

Psychological Barrier

Semantic Barrier

None of these.

Answer:

Exp: Sometimes people evaluate the message before the sender completes his message.

Q.23. Grapevine refers to

A vine of grapes.

A type of grapes.

A barrier to communication

Informal Communication.

Answer:

Exp: Informal Communication is also known as grapevine.

Q.24. The process of converting encoded symbols is known as

Coding

Encoding

Decoding

None of these

Answer:

Exp: Decoding is the process of converting encoded symbols of the sender.

Q.25. Communication is the exchange of

Ideas

Views

Facts and feelings

All of the above

Answer:

Exp: Communication is the process of exchange of Ideas, Views, Facts and feelings.

Q.26. The path through which the encoded message is transmitted:

Encoding

Decoding

Media

Feedback

Answer:

Exp: The encoded message is transmitted through a path called media.

Q.27. Which of the following is an example of noise

Poor telephone connection

Idle receiver

Confusing symbols

All of the above.

Answer:

Exp: Noise is an obstruction or hindrance to communication.

Q.28. Upward communication refers to the flow of communication:

From sender to receiver

From superior to subordinate

From subordinate to superior

None of these

Answer:

Exp: Upward communication refers to the flow of communication from subordinate to superior.

Q.29. Informal communication is also known as grapevine as:

It is not in proper order.

It is not effective.

It spreads throughout the organisation.

None of these

Answer:

Exp: Informal communication spreads throughout the organisation.

Q.30. All subordinate under one superior communicate through him:

Single chain

Wheel

Circular

Free flow

Answer:

Exp: In wheel communication all subordinate under one superior communicate through him.