CBSE Class 12 Business Studies Chapter 8 Worksheet: Controlling

Class 12 Business Studies Chapter 8 Worksheet (Controlling)

Do you want a new worksheet mainly focused on Class 12 Business Studies Chapter 8 (Controlling)?

If this is the case, then you have visited the right place.

In this worksheet, you can cover principles of controlling, steps in the controlling process, importance of controlling, management by exception, critical point control, performance measurement, deviations, and corrective actions through practice-based questions. 

All this educational content has been designed for Class 12 students to pursue board exam preparation, revision, and self-assessment.

Before you proceed, below are the quick details:
  • Class: 12
  • Subject: Business Studies
  • Chapter Number: 8
  • Chapter Name: Controlling

Table of Contents

Questions Answers

Let's start the worksheet.

Questions

Q1. Identify an important principle of management control in which only significant deviations which go beyond the permissible limit should be brought to the notice of management.

  1. Management by control
  2. Control by exception
  3. Critical point control
  4. (a) & (b)

Q2. The Production Manager of Tesla Ltd. finds out that the cost of raw material per unit has increased by ₹8, and there is also an increase in the courier charges by ₹20. The Production Manager decided to focus attention on the increase in the cost of raw material. The manager followed:

  1. Critical Point Control
  2. Management by Exception
  3. Organising
  4. None of these

Q3. Arrange the steps involved in the process of controlling in the correct sequence:

  1. Comparison of actual performance with standards
  2. Setting performance standards
  3. Taking corrective action
  4. Measurement of actual performance
  5. Analysing deviations
  1. (ii), (iv), (i), (v), (iii)
  2. (ii), (i), (v), (iii), (iv)
  3. (iii), (i), (iv), (ii), (v)
  4. (ii), (v), (iv), (iii), (i)

Q4. Raman and Vasudev were two employees who were embezzling an import-export company in Varanasi where they were working. The finance manager of the company, Sampat Singh, became suspicious of the two employees when he realised that their activities were not being performed as per the plans. He installed a software program that could secretly log every single stroke of the suspects' computer keys and send an encrypted email report to the Cyber Police. The police were able to catch the two dishonest employees red-handed and arrest them. Identify the function of management being discussed above.

  1. Staffing
  2. Coordination
  3. Controlling
  4. Organising

Q5. Sundaram Handloom Industries is a company specially manufacturing bed covers/bed sheets. Mr. Binoy is the production manager in the company. His design team developed some prints for bed covers in bright colours on silk. Although they look very impressive, the use of silk made the product too expensive for the average customer. Praising the effort, Mr. Binoy suggested that they keep the silk bed cover for special occasions like Diwali and offer the bed covers on a regular basis. Name the function of management which is indicated above.

  1. Planning
  2. Organising
  3. Directing
  4. Controlling

Q6. Some employees have been assigned the job of measuring the output in an objective and reliable way. They are applying different techniques for achieving this aim. Some of these are personal observation, sample checking, etc. They are also keeping the units of measurement the same as those of the units in the standards. Name the step of the 'Controlling Process' applicable in the above paragraph.

  1. Analysing deviations
  2. Comparing actual performance with standards
  3. Establishing standards
  4. Measurement of actual performance

Q7. Assertion (A): Controlling can prevent deviations.

Reason (R): Controlling helps in minimising deviations by taking actions and decisions that reduce their recurrence.

  1. Both Assertion (A) and Reason (R) are true, and Reason is the correct explanation of Assertion.
  2. Both Assertion (A) and Reason (R) are true, and Reason is not the correct explanation of Assertion.
  3. Assertion (A) is true, Reason (R) is false.
  4. Assertion (A) is false, Reason (R) is true.

Q8. Spiceworks, a company providing financial services to its clients, is keeping a close check on the employees' activities by using biometric and retina scanning as modes of accessing the office premises, in order to ensure greater security of information in the organisation.

Choose the correct point of significance of controlling highlighted above:

  1. Controlling helps in achievement of organisational goals.
  2. Controlling helps in ensuring order and discipline.
  3. Controlling helps in improving employees' motivation.
  4. Controlling enables optimum utilisation of resources.

Q9. "Controlling is an indispensable function of management. Without controlling, the best of plans can go awry." Do you agree? Explain any two reasons in support of your answer.

Q10. "It is generally believed that measurement of performance should be done after the task is completed." Identify and explain the step in the process of the function of management being discussed above and the step followed by the same in the process.

Q11. Top management plans for the entire organisation. According to these plans, the organisational structure is developed and staffed. In order to ensure that these plans are executed according to plans, directing is required. Any discrepancies between actual and realised activities are then taken care of at the stage of controlling. Name and explain the process highlighted above which started at the planning stage itself and is implicit and inherent in all the functions of management in an organisation.

Q12. Many organisations experience that employees are reluctant to do the work though they have the capability to do so. At the same time, monetary rewards do not produce the desired change in behaviour as higher-level needs start to dominate in them. Suggest any four ways by which goal-directed behaviour can be induced in employees in the above situation.

Answers (Coming Soon)

The End
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A List of Notes:

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