Model Paper 2 Business Studies - Model Paper 2

Preliminary Contracts are:

Under Village and Small Industries Sector which of the following accounts for modern small industries.

Cattle breeding farms, poultry farms, and fish hatchery come under which industry?

Which of the following issues faced by small businesses is incorrect regarding the raw materials required by them for production?

Assertion (A): The principle of indemnity is not applicable to life insurance.
Reason (R): Indemnity means the promise of the insurer to put back the insured in the same position as before the mishap.

Who issues bonds? How are they different from debentures?

What are equity shares? Discuss its various features.

What purpose is served by wholesalers providing warehousing facilities?

Reema bought a new house recently and plans to shift in the near future. Therefore, she is selling off her old kitchen appliances at OLX and has also made some profit in the process.
In the context of the above case:
i. Will this transaction be constituted as a business activity? Why or why not?
ii. Mention the underlying characteristic of the business.

Differentiate the following activities into Economic and Non-economic:
i. A property dealer is purchasing a house for himself.
ii. A doctor is giving his son a medical treatment.
iii. A person is selling tea on a railway station.
iv. A property dealer is buying a house for someone on commission.

Clarify the meaning of the terms Entrepreneur, Entrepreneurship and Enterprise.

What is business ethics? Mention the basic elements of business ethics.

What are the different kinds of organizations that come under the public sector?

E-business offers numerous benefits. Justify your answer by giving suitable reasons.

Karan is running a grocery shop in the nearby local market whereas his friend Priyanshu works as a finance manager in a reputed IT company.
In the context of the above case:
i. Identify the different types of economic activities both the friends are engaged in.
ii. Distinguish between the two different types of economic activities as identified in part (i) of the question (any two points).

Gauri took an insurance policy for her home without disclosing that the home is being used to house the catering business. After a few months, a gas cylinder explosion caused major damage to her property. Consequently, she filed a claim against the insurance company for compensation of loss. On investigating the matter, the insurance company discovered the commercial use of the home and refused to pay any claims. Identify and explain the principle of insurance which has been violated in the above case.

Distinguish between Owner's Funds and Borrowed Fund.

Distinguish between private companies and public companies.

What is a Memorandum of Association? Briefly explain its clauses.

What is international business? How is it different from domestic business?