We have compiled NCERT MCQ Questions for Class 11 Business Studies Chapter 1 Nature and Purpose of Business with Answers Pdf free download. MCQ Questions for Class 11 Business Studies with Answers were prepared according to the latest question paper pattern. Practicing these Nature and Purpose of Business Class 11 Business Studies MCQs Questions with Answers really effective to improve your basics and learn all the key concepts.
Nature and Purpose of Business Class 11 MCQs Questions with Answers
Choose the correct answer
Question 1.
Which of the following does not characterise business activity :
(a) Production of goods and services
(b) Presence of risk
(c) Sale or Exchange of goods and services
(d) Salary or wages.
Answer
Answer: (d) Salary or wages.
Question 2.
The industries which provide support services to other industries are known as :
(a) Primary industries
(b) Secondary industries
(c) Commercial industries
(d) Tertiary industries.
Answer
Answer: (d) Tertiary industries.
Question 3.
Which of the following cannot be classified as an objective of business :
(a) Investment
(b) Productivity
(c) Innovation
(d) Profit Earning.
Answer
Answer: (a) Investment
Question 4.
Business risk is not likely to arise due to :
(a) Change in govt, policy
(b) Good management
(c) Employee dishonesty
(d) Power failure.
Answer
Answer: (b) Good management
Question 5.
Specialized knowledge and skill is needed in :
(a) Employment
(b) Non-Economic activity
(c) Profession
(d) None of these.
Answer
Answer: (c) Profession
Question 6.
The rework of risk is :
(a) Success
(b) Failure
(c) Profit
(d) Loss
Answer
Answer: (c) Profit
Question 7.
It is not included in code of conduct:
(a) Rules
(b) Dishonesty
(c) Integrity
(d) Morality
Answer
Answer: (b) Dishonesty
Question 8.
Which has the large scope :
(a) Trade
(b) Commerce
(c) Industry
(d) Business
Answer
Answer: (b) Commerce
Question 9.
Which of the following cannot be classified as an auxiliary to trade :
(a) Mining
(b) Insurance
(c) Warehousing
(d) Transport.
Answer
Answer: (a) Mining
Question 10.
Which of the broad categories of industries covers oil refinery and sugar mills :
(a) Primary
(b) Secondary
(c) Tertiary
(d) None of these.
Answer
Answer: (b) Secondary
Question 11.
The occupation in which people work for others and get remunerated in return is known as :
(a) Business
(b) Employment
(c) Profession
(d) None of them.
Answer
Answer: (b) Employment
Question 12.
Free Guidance by a teacher to his son is :
(a) An economic activity
(b) Profession
(c) Employment
(d) A non-economic activity.
Answer
Answer: (d) A non-economic activity.
Question 13.
Capital is not an essential element in :
(a) Employment
(b) Profession
(c) Business
(d) None of these
Answer
Answer: (a) Employment
Question 14.
Economic activity = ……….. + ………. :
(a) Business + Profession
(b) Profession + Employment
(c) Business + Employment
(d) Business + Profession + Employment
Answer
Answer: (d) Business + Profession + Employment
Question 15.
Business is :
(a) Art
(b) Science
(c) Both (a) and (b)
(d) None of these
Answer
Answer: (c) Both (a) and (b)
True or false
1. Human activities directed towards acquisition of wealth are called economic activities.
Answer
Answer: True
2. All business risk are controllable.
Answer
Answer: Flase
3. Risk element is compulsory for business.
Answer
Answer: True
4. Commerce is an indifferent part of business.
Answer
Answer: Flase
5. Doctors treats her mother is a economic activity.
Answer
Answer: Flase
6. Business needs economic activities at regular interval.
Answer
Answer: True
7. Teacher teaches his son at home is a economic activity.
Answer
Answer: False
15. Postal Department is a part of Tertiary Sector.
Answer
Answer: True
16. Activities performed for self-satisfaction and to fulfil social obligations are known as economic activities.
Answer
Answer: True
17. Activities based on specialized knowledge, training and experience is called profession.
Answer
Answer: True
18. Only economic activities are included in business.
Answer
Answer: True
19. Non-Economic activities are those which gives mental satisfaction.
Answer
Answer: True
20. The main reason of risk in business is uncertainty of business.
Answer
Answer: True
21. Creating new customer is a important objective of business.
Answer
Answer: Flase
22. Employment needs capital.
Answer
Answer: Flase
Fill in the blanks :
1. Business is a …….. activities.
Answer
Answer: Economic
2. There are some ……. of business towards society.
Answer
Answer: Moral duties
3. A human activities of business which is related with sale or purchase of goods is for earning …….
Answer
Answer: Wealth
4. The risk element in business is called ……..
Answer
Answer: Business risk
5. For getting services on the basis of contract from men or Institution is called ……….
Answer
Answer: Service
6. Business is …… both.
Answer
Answer: Art and science
7. Business is undertaking within the boundries of a country is called ……
Answer
Answer: Internal Trade.
8. External Trade are of …….. types.
Answer
Answer: 3
9. Parameter of profession is …..
Answer
Answer: Earning profit
10. Commerce, Industries and ……. are the elements of business.
Answer
Answer: Trade
11. Profit is the reward of …….
Answer
Answer: Risk
12. ………. activities measured in monetary terms.
Answer
Answer: Economic
13. The economic activities on the basis of special knowledge, training and experiences are called ………
Answer
Answer: Profession.
14. Profession needs ……… skill.
Answer
Answer: Specific.
15. In business all the ……… services of men are included.
Answer
Answer: Economic activities
16. Business gives inspiration of ……..
Answer
Answer: Skill
17. ……. is a base of industry.
Answer
Answer: Commerce
18. Services are provided for ……….
Answer
Answer: Payment
19. ….. is transferable.
Answer
Answer: Business.
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