CBSE Class 11 Business Studies Sample Paper 1: Chapters 1–6

Class 11 Business Studies Chapter Sample Question Paper 1 (Chapters 1 to 6)

Our vision was to provide a Class 11 Business Studies practice paper that reflects what you can expect in the BST school exam.

On this page, you can practice the entire question paper for Business Studies Class 11.

This question paper includes the following chapters:

1. Nature and Purpose of Business
2. Forms of Business Organisations
3. Public, Private and Global Enterprises
4. Business Services
5. Emerging Modes of Business
6. Social Responsibility of Business and Business Ethics

Let's start the question paper to score well in your examinations.

CBSE Class 11 Business Studies Question Paper

Maximum Marks: 80

Time: 3 Hours

General Instructions:

1. There are 34 questions in the question paper.
2. All questions are compulsory.
3. Question nos. 1 to 20 carry 1 mark each.
4. Question nos. 21-24 are short answer type–I questions carrying 3 marks each.
5. Question nos. 25-30 are short answer type–II questions carrying 4 marks each.
6. Question nos. 31-34 are long answer type questions carrying 6 marks each.

Q1. OLX is an example of C2C commerce. Quikr is another example of C2C Commerce.

1. Both statements are correct
2. Both statements are incorrect
3. First statement is true, second is false
4. First statement is false, second is true

Q2. Identify the following example:

1. Statutory Corporation
2. Public company
3. Government company
4. Departmental Undertaking

Q3. Public sector organizations may either be partly or wholly owned by the ___________ government.

1. State
2. Central
3. Foreign
4. Central or state

Q4. _____________ is the best form of organization, where national security is concerned.

1. Private Company
2. Public Company
3. Departmental Undertaking
4. None of these

Q5. Which government enterprise is registered under the Indian Companies Act?

1. Departmental undertaking
2. Public corporation
3. Government company
4. Partnership companies

Q6. Assertion (A): The Central Government of India has established a department which is considered as an extension of the ministry itself.
Reason (R): LIC is an example of such a department.
Based on the above Assertion and Reason, choose the correct answer from the options given below.

1. Both Assertion and Reason are correct, and the Reason is a correct explanation of the Assertion.
2. Both Assertion and Reason are correct, but the Reason is not a correct explanation of the Assertion.
3. The Assertion is correct, but the Reason is incorrect.
4. Both the Assertion and Reason are incorrect.

Q7. Ramesh is presenting himself as a partner of ABC Associates through his conduct or behavior. Clients dealing with the firm accept him as a partner due to his self-acclaimed attitude of being a partner of the firm. Which type of partner is Mr. Ramesh referred to in the above case?

1. Active Partner
2. Sleeping Partner
3. Secret Partner
4. Partner by Estoppel

Q8. Amar, Biraj, Sachin, Rohit, and Ishant have decided to start a partnership to complete a specific project within 2 years. It has been unanimously decided among them to contribute equally towards meeting the budgeted expenditure of the project and to share profits or losses equally. As per the agreement, the partnership business will come to an end on completion of the project. Which type of partnership is referred to in the above case?

1. Partnership at will
2. Particular Partnership
3. General Partnership
4. Limited Liability Partnership

Q9. A bank, which occupies a central position in the monetary and banking system of the country and has a superior financial authority, is called?

1. Central Bank
2. Co-operative Bank
3. Commercial Bank
4. Exchange Bank

Q10. Assertion (A): The subject matter of life insurance is human life.
Reason (R): Marine insurance has the element of protection only.
Based on the above Assertion and Reason, choose the correct answer from the options given below.

1. Both Assertion and Reason are correct, and the Reason is a correct explanation of the Assertion.
2. Both Assertion and Reason are correct, but the Reason is not a correct explanation of the Assertion.
3. The Assertion is correct, but the Reason is incorrect.
4. Both the Assertion and Reason are incorrect.

Q11. Aish, a KVS employee, is posted in Gujarat, 1600 km away from his hometown. His friend needs Rs. 20,000 and requests Aish for the amount. Aish sends the amount by digital mode. It is:

1. RTGS
2. NEFT
3. Both A and B
4. None of the above

Q12. UPI stands for-

1. Unique Payment Introduction
2. Union Payment Interface
3. Upper Payment Interface
4. Unified Payment Interface

Q13. Under which policy, is policy money payable after the assured attains a certain age in monthly, quarterly, half-yearly, or annual installments-

1. Whole Life Policy
2. 10 Years Policy
3. Fire Policy
4. Annuity Policy

Q14. The industries which provide support services to other industries are known as:

1. Primary industries
2. Secondary industries
3. Commercial industries
4. Tertiary industries

Q15. Rehat is an NGO operating in the district of Rajkot since 2010. It deals with providing medicines and other medical facilities to the rural, backward, and below-poverty-line people in the district. In case of need, arrangements are made by the NGO to shift critical patients to referred hospitals. Name the type of human activities performed by the NGO.

1. Economic Activities
2. Non-Economic Activities
3. Wasteful Activities
4. None of the above

Q16. Afsana is a practicing Chartered Accountant. She has her C.A. Firm in Hyderabad, Telangana. She deals in providing Income Tax and GST-related services to her clients with very reasonable consultancy fees. Identify the types of economic activities performed by Afsana as referred to in the above case.

1. Business
2. Profession
3. Employment
4. None of the above

Q17. Cyclones caused a lot of damage to the street vendors and retail stores in the state. Rahim, owner of a Grocery Shop, suffered a lot because of cyclonic effects. The government declared a relief package for the affected people of the affected areas. Identify the type of risk caused to the shopkeepers highlighted in the above case.

1. Natural Cause
2. Human Cause
3. Economic Cause
4. None of the above

Q18. Business risk is not likely to arise due to:

1. Change in government policy
2. Good management
3. Employee dishonesty
4. Power failure

Q19. Name the two broad categories of business activities.

1. Trade and commerce
2. Trade and Industry
3. Industry and commerce
4. None of these

Q20. Identify an auxiliary to trade from the image.

1. Mining
2. Extractive industries
3. Warehousing
4. Transport

Q21. It is the oldest and most traditional form of organizing public enterprises. The Government functions through these departments. Explain the merits and limitations of this public sector unit.

Q22. At the refinery, a chemist named Alex meticulously separated crude oil into its usable components. Miles away, a technician named Maya was combining various powders to create a new batch of cement. Meanwhile, a line manager named Paul oversaw the many stages of converting raw sugarcane into refined sugar. Finally, a skilled engineer named Amelia carefully brought together engines and chassis to build a new car on the factory floor. Identify any three types of industries and explain them.

Q23. Explain the limitations of the "Sole Proprietorship" form of business.

Q24. Explain any three principles of Insurance.
OR
Explain Marine Insurance.

Q25. Automakers Inc. uses a private company network to collaborate. The Design Department uploads new car designs to the intranet, which the Manufacturing Department then accesses. The Inventory Department tracks car parts on the system, and the Manufacturing Department sends electronic requests for more parts when needed. The HR department manages employee information and schedules, while the Sales and Marketing departments use the system to track sales data and plan strategies. This interconnected system allows for efficient and collaborative business operations.

Identify and explain the scope of E-Business based on the case study. Also, explain any other scope.

OR

Rekha, visiting Delhi, was surprised when her friend Rita suggested they go shopping "well past midnight." Confused, Rekha questioned who would be open. Rita clarified they would be shopping online, over the internet. Though she had heard of it, Rekha had never tried it and was full of questions about how it worked, what was for sale, and how payment and delivery were handled.

Rita demonstrated by logging into a major online shopping site, showing Rekha how to browse, add items to a cart, and check out. Rekha was amazed by the convenience and the vast possibilities, from clothes to groceries, all delivered to her doorstep. Eager to explore, they decided to start by ordering some books. Rekha felt a sense of empowerment as a new world opened to her.

Which concept of business does this case reflect? State three of its benefits.

Q26. Kundli Manesar Expressway Ltd. In this 135 km expressway, land has been provided by the government, and the surface has been laid out by the company. Identify and explain the type of business organization.

Q27. Explain the following types of digital payments:

1. UPI
2. Digital Wallets
3. PoS
4. Internet Banking

Q28. Sarah’s new bakery faced an unexpected challenge when a major road construction project began right outside her shop. The constant noise and traffic diversion led to a dramatic drop in customers. Her once-bustling shop now sat empty for hours. She had invested her life savings, expecting steady profits, but was now facing the very real possibility of a loss. Sarah had to innovate quickly, introducing a new delivery service to mitigate the uncertainty and keep her dream from crumbling.

Explain the "Nature" of the concept described in the case.

Q29. Explain the following postal services:

1. Speed Post
2. Courier
3. Parcel
4. Registered Post

Q30. State any four advantages of a Joint Stock Company.

Q31. Identify the form of business from the lines: “a voluntary association of persons, who join together with the motive of welfare of the members.” Explain all its features.

OR

Explain the concept of Business Ethics.

Q32. A contract in which the insurer, in consideration of a certain premium, either in a lump sum or by other periodical payments, agrees to pay the assured, or to the person for whose benefit the policy is taken, the assured sum of money on the happening of a specified event contingent on human life or at the expiry of a certain period.

Identify the type of insurance and explain its types.

Q33. Sunil ran a bustling cafe, earning money by selling goods and services to the community. Across the street, Dr. Anjali, with a certificate of practice, earned a living by providing personalized care for her patients. Meanwhile, their friend Rohan, who worked as a software engineer, received a steady amount from his employer.

Differentiate on any 6 bases among the three types of economic activities.

Q34. An enterprise that has a huge industrial organization which extends their industrial and marketing operations through a network of their branches in several countries.

Identify the type of organization and describe any five of its features.

The End

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A List of Notes:

Chapter 1  |  Chapter 2  |  Chapter 3  |  Chapter 4  |  Chapter 5  |  Chapter 6  |  Chapter 7  |  Chapter 8  |  Chapter 9  |  Chapter 10

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