Question : How did the suspension of the Five-year Plans impact India's approach to economic planning?
Option 1: It led to a shift towards a completely market-driven economy.
Option 2: It resulted in the adoption of ad-hoc annual plans.
Option 3: It initiated a move towards a socialist economy.
Option 4: It caused a permanent halt to economic planning.
Correct Answer: It resulted in the adoption of ad-hoc annual plans.
Solution : The suspension of the Five-year Plans in India resulted in the adoption of ad-hoc annual plans, as a temporary measure until the planning process could be resumed.
Question : What was a major criticism of the suspension of Five-year Plans in India?
Option 1: It led to over-dependence on foreign aid.
Option 2: It hindered long-term economic planning.
Option 3: It resulted in excessive privatization of industries.
Option 4: It caused a decline in agricultural productivity.
Question : 'It is not always true that just because a plan has worked before it will work again,' Identify the related limitation of planning?
Option 1: Planning leads to rigidity
Option 2: Planning reduces creativity
Option 3: Planning may not work in a dynamic environment
Option 4: Planning does not guarantee success
Question : Adarsh wants to start a business of opening a fast food chain. Arti his friend, told him to perform planning as a function of management, as it precedes all function of management, i.e. organising, staffing, directing and controlling. Identify the feature of planning referred to here.
Option 1: Planning is a primary function
Option 2: Planning is pervasive
Option 3: Planning is continuous
Option 4: Planning is futuristic
Question : Case Study 22:
DEF Ltd. is a well-established company planning to expand its global operations through acquisitions.
Question :
To finance its acquisition plans, DEF Ltd. is evaluating short-term financing options. Which money market instrument might it use?
Option 1: Commercial paper
Option 2: Call money
Option 3: Treasury bill
Option 4: Corporate bond
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