Planning
Question : Case Study 2:
XYZ Ltd. is a well-established pharmaceutical company that is planning to diversify its product range. The HR department is faced with the challenge of sourcing and training employees for the new divisions. Evaluate the following scenarios and choose the correct option:
Question:
XYZ Ltd. believes in a decentralized approach to training, where employees can choose from a range of workshops based on their preferences. What term best describes this approach?
Option 1: Induction
Option 2: Employee referrals
Option 3: Employee turnover
Option 4: Employee engagement
Correct Answer: Employee engagement
Solution : The correct answer is (d) Employee engagement
The decentralized approach to training at XYZ Ltd., where employees can choose from a range of workshops based on their preferences, best aligns with the concept of employee engagement. Employee engagement refers to the level of involvement,
Question : Assertion-Reason Questions: Chapter - Sources of Business Finance
Questions : Business Finance and Its Meaning
Assertion: Need for business finance arises due to various uncertainties and risks associated with business activities.
Reason: Financial planning eliminates all forms of business risk and uncertainties.
Option 1: Both assertion and reason are true, and the reason is the correct explanation of the assertion.
Option 2: Both assertion and reason are true, but the reason is not the correct explanation of the assertion.
Option 3: Assertion is true, but the reason is false.
Option 4: Both assertion and reason are false.
Correct Answer: Assertion is true, but the reason is false.
Solution : The correct answer is (c) Assertion is true, but the reason is false.
The assertion is true. Businesses face uncertainties and risks regularly, such as market fluctuations, economic changes, competition, and other variables. Business finance is needed to
Question : Case Study 13:
XYZ Corporation is a conglomerate planning to diversify its operations by entering the renewable energy sector.
Question :
XYZ Corporation is diversifying into the renewable energy sector. What type of financial instrument might it use to raise capital for this new venture?
Option 1: Commercial paper
Option 2: Equity share
Option 3: Debenture
Option 4: Treasury bill
Correct Answer: Equity share
Solution : The correct answer is (b) Equity share
Equity shares are a type of security that represents ownership in a company. When a company sells equity shares, it is raising capital from investors. Equity shares are a good option for companies that are looking to
Question : Questions : Business Finance and Its Meaning
Statement 1: Financial planning plays a vital role in allocating funds optimally.
Statement 2: Financial planning focuses solely on marketing and sales strategies.
Option 1: Statement 1 is true, and statement 2 is false.
Option 2: Statement 1 is false, and statement 2 is true.
Option 3: Both statements 1 and 2 are true.
Option 4: Both statements 1 and 2 are false.
Correct Answer: Statement 1 is true, and statement 2 is false.
Solution : The correct answer is (a) Statement 1 is true, and statement 2 is false.
Statement 1 is true. Financial planning plays a vital role in allocating funds optimally across various activities and departments within a business. It
Question : Case Study: PQR Enterprises - Funding Strategies for Diversification
PQR Enterprises is a well-established conglomerate planning to diversify its business operations. The company is evaluating various sources of business finance to support its diversification plans.
Questions : Business Finance and Diversification
What is the primary objective of financial planning for PQR Enterprises?
Option 1: Maximizing market share
Option 2: Achieving diversification
Option 3: Achieving long-term financial goals
Option 4: Meeting short-term operational needs
Correct Answer: Achieving long-term financial goals
Solution : The correct answer is (c) Achieving long-term financial goals
Financial planning involves formulating strategies to manage finances effectively to attain long-term financial objectives. It encompasses various aspects such as budgeting, forecasting, investment planning, risk management, and aligning financial activities with the company's
Question : Case Study: PQR Educational Institute
PQR Educational Institute is a well-reputed school offering various academic programs. They are planning to introduce new co-curricular activities to enhance students' overall development.
The type of plan that PQR Educational Institute should develop to implement the new co-curricular activities is:
Option 1: Tactical plan
Option 2: Strategic plan
Option 3: Contingency plan
Option 4: Operational plan
Correct Answer: Strategic plan
Solution : The correct answer is (b) Strategic plan
A strategic plan is designed to outline an organization's long-term goals and objectives. It involves making decisions on allocating resources and setting priorities to achieve these overarching goals. In the case of PQR Educational Institute, a strategic
Question : Case Study 4:
PQR Inc. is a global corporation with a diversified portfolio. The company is planning to expand its operations into new markets and needs a skilled workforce. Evaluate the following scenarios and choose the correct option: Question:
PQR Inc. offers training programs to new employees joining from different regions to help them adapt to the company's culture. What staffing process is this reflective of?
Option 1: Recruitment
Option 2: Selection
Option 3: Training and development
Option 4: Performance appraisal
Correct Answer: Training and development
Solution : The correct answer is (c) Training and development
When PQR Inc. offers training programs to new employees joining from different regions to help them adapt to the company's culture, it reflects the training and development aspect of staffing. Training programs are designed to
Question : Case Study: DEF Healthcare Solutions
DEF Healthcare Solutions is a healthcare startup that aims to provide affordable medical services to underserved areas. The company is in the early stages of development and is looking for ways to expand its reach.
Question: The limitation of planning that DEF Healthcare Solutions may face during expansion is:
Option 1: Lack of employee motivation
Option 2: Ignoring external factors
Option 3: Inflexibility in adapting to changes
Option 4: Restricting communication with clients
Correct Answer: Inflexibility in adapting to changes
Solution : The correct answer is (c) Inflexibility in adapting to changes
Inflexibility in adapting to changes is One of the limitations of planning is that the business environment is dynamic, and unexpected changes can occur. If the plan is too rigid and
Statement 1: Need for business finance arises due to various risks and uncertainties in business activities.
Statement 2: Financial planning eliminates all uncertainties in business operations.
Statement 1 is true. The need for business finance often arises due to various risks and uncertainties associated with business activities. Risks such
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