management objective questions and answers

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management objective questions and answers
Objective Questions and Answers for Management Students
Multiple choice questions management
Business Management Objective Questions And Answers
1. Supply of a commodity is a:

(a) Stock concept

(b) A flow concept

(c) Both (a) and (b)

(d) None of the above.

Ans:- ( b)

2. Consideration is synonymous with:

(a) Task

(b) Relations

(c) Style

(d) Altitude

Ans:- (b)

3. UNO has the maximum dues on:

(a) India

(b) Mexico

(b) USA

(d) Japan

Ans:- (c)

4. Put into chronological order on the basis of development:

1. Law of   demand

2: Law of   indifference

3. .Law of diminishing marginal utility

4. Revealed preference curve

5. Indifference curve


(a) 1,  2, 3,  4,  5  (b) 1,  5,  3,  4,  2

(c) 1,  3, 2, 5, 4   (d) 1, 3, 4,  2,  5

Ans:- (c)

5. Match the following:


A. Principle of Economics

B. Diamond Water. Paradox

C. Value and Capital

D. Asian Drama

E. Language of Economics


1. Gunner   Myrdal

2. J. K.    Galbraith

3. Alfred   Marshall

4. J. R.     Hicks

5. Adam     Smith


A    B    C   D    E

(a)  1     2     3    5    4

(b)  2     4     3    5    1

(c)  5     2     3    1    4

(d)  3     5     4    1    2

Ans:- (d)

6. The demand for pepper is likely to have a  low  price elasticity because it:

1. Involves only a small proportion of consumers expenditure

2. It is single-use goods

3. Has no close substitutes

4. Can readily be foregone

(a) 1 and 2 (b) 1  and 3

(c) 2 and 3 (d) 2 and  4

Ans:- (c)

7. The basic feature of oligopoly is:

(a) Many sellers

(b) Only one seller

(c) A few sellers

(d) Infinite sellers .

Ans:- (c)

8. Assertion (A): According to Taylor, one best way of doing each task leads to increase in productivity in organisation.

Reason (R) It was the management responsibility alone to find out this one best way.


(a) A and R are true and R is the correct explanation of A.

(b) A and R are true but R is not the correct explanation of A.

(c) A is true but R is false.

(d) A is false but  R is true.

Ans:- (b)

9 The principles of organisation propounded by Fayol are:

(a) Scalar Chain, Co-ordinating, Remuneration and Unity of Command.

(b) Discipline, Order, Equity and Initiative

(c) Division of work, Authority, Unity of Direction and Commanding.

(d) Division of work, scalar chain, stability of Tenure  and  Organising

Ans:- (b)

10. The Scientific Management is based upon which of the following assumption?

1. Application of the scientific methods to organisational problems leads to efficiency.

2. The good worker is one who accepts orders, but does not initiate actions.

3. Worker is more important than the work.

4. Each worker is interested in maximising his monetary rewards.

Select the correct code:

(a) 1, 2 and 3    (b) 1, 2 and 4

(c) 2, 3 and 4    (d) 1, 2, 3 and 4

Ans:- (b)

11. Assertion (A) : Scientific Management is also called the physiological organisational theory. Reason (R) : Scientific Management is concerned with only that range of human behaviour which relates to production.


(a) A and R are true and R is the correct explanation of A.

(b) A and R are true but R is not the correct explanation of A.

(c) A is true but R is false.

(d) A is false but R is true.

Ans:- (a)

12. Arrange the following experiments conducted by Elton Mayo in the chronological order.

1. Bank Wiring Experiment

2. Textile Mill Experiment

3. Illumination Experiment

4. Mass Interviewing Programme

Select the correct code

(a) 2, l, 3  and  4

(b) 2, 3, 4 and  1

(c) l,  2,  3 and  4

(d) 2,  3, 1 and  4

Ans:- (b)

13. According to Neo-classical theory, an organisation is:

(a) A structure with well defined functions

(b) A structure with well defined objectives

(c) A group of people with a  common objectives

(d) A structure with order and objective rationality

Ans:- (c)

14. Match the following:


A. Classical

B. Human Relations

C. Behavioural

D. Systems


1. Fact-Orientation.

2. Environment

3. Structure

4. Informal Organisations

5. Incentives to work


A  B   C   D

(a)  4   2    1   3

(b)  1   4    3   2

(c)  3   2    4   5

(d)  3   4   1   2

Ans:- (d)

15. Assertion (A) : Functionally, a leader is partly a manager.

Reason (R) : A leader does all the management functions.


(a) A and R are true and R explains A.

(b) A and R are true but R does not explain A.

(c) A is true but R is false.

(d) A is false but R is true.

Ans:- (c)

16. Match the following:


A. Fayol        B. Simon

C. Shannon   C Weiner


1.Grape—vine   2. Cybernetics

3.Gang plank      4. Noise


A  B  C   D

(a) 3   4  2   1

(b) 3  1   4   2

(c) 3   2  4   1

(d) 3   4  1   2

Ans:- (b)

17.The process theories of motivation includes the method of:

1.  Victor  Vroom

2.  Haridi  Kelly

3.  Mc    Gregor

4.  Porter  Lawler


(a) 1, 2, 3 and 4 (b) l,  2  and  3

(c) l,  2  and   4  (d) 2   and 4

Ans:- (c)

18. Which of the following are true about Herberg’s motivations?

1. They are related to job content

2. Their presence leads to satisfaction

3. Their absence leads to dissatisfaction

4. They reflect the Abraham nature of man

5. They reflect the Adam nature of man


(a)  l,  2,  3  and  4   (b) l,  2, 3 and5

(c)  1, 2  and  5         (d) l, 2 and   4

Ans:- ( d)

19. Who wrote Management and Moral?

(a) Taylor

(b) Roethliberger

(c) Riggs

(d) None of these

Ans:- (b)

20. Who wrote Policy and Management’?

(a) Dimock

(b) Gulick

(c) Apply by

(d) Max Weber

Ans:- (c)

21. Methods for forecasting human resource needs can be classified as either:

(a)  Judgmentally or contingency based

(b)  Situationally or mathematically based

(c)  Judgmentally or mathematically based

(d)  None of the  above.

Ans:- (d)

22. HRD. Systems or processes may include the following Process mechanisms or sub-systems:

(a) Career planning man power planning and collective bargaining.

(b) Performance planning appraisal, motivation and grievance handling.

(c) Performance appraisal, career planning organization development.

(d) Training and development, communication and quality of work life.

Ans:- (c)

23. Man can’t live bread alone he wants:

(a) Better Wages

(b). Due recognition

(c) Better wages and due recognition

(d) None of the above

Ans:- ( c)

24. Management is bound for labour welfare:

(a) Within the factory only

(b) Outside the factory only

(c) Both of the above

(d) None of the above

Ans:- (c)

25. To Channelise the activities of the workers and to induce them to work is

(a) Control

(b) Co-ordination

(c) Motivation.

(d) None of these

Ans:- (b)

26. Consider the following elements in a feedback loop is:

1. Identification of deviations

2, Measurement of actual performance

3. Actual performance

4. Comparison of actual against standards

The correct sequence of these elements in the feedback loop is:

(a) 3,  2, 1,   4   (b) 3, 2, 4, 1

(c) 2,  3,  l,.  4   (d) 3, 2, 4, 1

Ans:- (a)

27. Assertion (A) : MBO is effective way of planning and organising the work.

Reason (R) : Employees participate in setting the objectives.

(a) Both A and R true and R is the correct explanation of A.

(b) Both A and R are true but R is NOT a correct explanation of A.

(c) A is true but R is false.

(d) A is false but R is true.

Ans:- (c)

28. Match List-I (Activity) with List-II (Associated organisation) and select the correct answer by using the codes given below the lists:

List-I    List-II

A. Mutual Fund              1. Stock Exchange

B. Public issue of            2. Assets management company


C. Forward trading         3. Merchant banking

D. Option pricing           4. Forex market


A    B   C    D

(a) 3    2    4     1

(b) 3    2    1    4

(c) 2    3    1    4

(d) 2    3   4     1

Ans:- (d)

29. Assertion (A) : The investors in the capital market have been showing a decisive shift in favour of fixed income instruments.

Reason (R) : The debt instruments have active secondary market.

(a) Both A and R are true and.R is the correct explanation of A.

(b) Both A and R are true but R is not a correct explanation of A.

(c) A is true but R is false.

(d) A is false but R is true.


30. Which of the following are the methods of market new issues of securities?

I. Listing of securities

II. Jobbers and brokers

III. Private placement of securities

IV. Privileged subscriptions

Select the correct answer using the codes given below


(a) I and II

(b) II and III

(c) III and IV

(d) I, II, III and IV

Ans:- (c)

31. The maximum number of partners in a firm for a general business is

(a) 7

(b) 10

(c)  50

(d) 20

Ans:- (d)

32. The term ‘Capitalisation’ is used in relation to:

(a) Sole-proprietorship

(b) Partnership1r

(b) Joint Stock Companies

(d) Co-operative Societies

Ans:- (c)

33. Under-Capitalisation can be remedied by:

(a) Issue of Bonus shares

(b) Redemption of preference shares

(c) Redemtion of debentures

(d) Reduction of  interest  of debentures

Ans:- (a)

34. Working Capital is represented by

(a) Current liabilities

(b) Current assets minus current liabilities

(c) Total assets minus current liabilities

(d) Cash-in hand plus stock-in-trade

Ans:- (b)

35. Which of the following is not a component of the new issue market?

(a) Stock exchange

(b) Unit Trust of India

(c) Financial Institution like IFC, IDBI

(d)  LIC

Ans:- (a)

36. Under writers are persons who:

(a) Purchase the shares and debentures of a company.

(b) Work as agents of the company for the sales of shares and debentures.

(c) Manage the issue of shares and debentures.

(d) Undertake to buy those shares and debentures not subscribed for the public.

Ans:- (d)

37. Which one of the following statements is correct?

(a) Business policy is another name for long range planning

(b) Strategic planning is the function of middle management

(c) Operational planning is the function of top management

(d) Strategic planning is largely influenced by external environment

Ans:- (d)

38. Assertion (A) : Larger number of people report to one manager,

Reason (R) : Organisation has a tall structure

(a) Both A and R are true and R is the correct explanation of A.

(b) Both A and R are true but R is not the correct explanation of A.

(c) A is true but R is false.

(d) A is false but R is true.

Ans:- (b)

39. The term ‘Organisational Climate’ best represents

(a) Human environment prevailing in an organisation

(b) Union-management relations within an organisation

(c) Problems introduced by faculty organisational structure

(d) Socio-cultural environment in an organization

Ans:- (a)

40. T Q M’s major emphasis is on:

(a) Product quality

(b) Company profitability

(c) Customer delight

(d) Employee training

Ans:- (a)

41. Brainstorming is used by the management for:

(a) Work allocation on the shop floor

(b) Generating alternative for problem solving

(c) The promotion of research and development

(d) Training employees.

Ans:- (b)

42. Winters’ method incorporates various components such as random, trend, seasonality and corrects the smoothing constants every period. It is therefore natural that this method is better than the simple exponential smoothing and decomposition methods:

(a) True

(b) Decomposition method is better as it isolates each component and later assembles them

(c) Simple exponential smoothing with appropriate oice of the smoothing constant is certainly superior

(d) None of the above

Ans:- (d)

43. Tracking Signals can:

(a) Measure forecast quality

(b) Track the demand

(b) Be useful only when the demand fluctuations are large

(d) None of the above

Ans:- (a)

44. In locating fire stations, the major criterion would be:

(a) To minimise trport or travel costs of the fire engines

(b) To minimise the response time

(c) To maximise the utilisation of the invested facilities

(d) None of the above

Ans:- (b)

45. When coefficient of  skewness is zero the distribution is

(a) J-shaped

(b) U-shaped

(c) Symmetrical

(d) L-shaped

Ans:- (c)

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