Accountancy 12th Previous Year Question Paper 2017 (CBSE)

Accountancy 

Q.1. Distinguish between ‘Fixed Capital Account’ and ‘Fluctuating Capital Account’ on the basis of credit balance. 

Answer: Fixed Capital Accounts always show a credit balance while fluctuating capital accounts may show credit or debit balance. 

Q.2. A and B were partners in a firm sharing profits and losses in the ratio of 5 : 3. They admitted C as a new partner. The new profit sharing ratio between A, B and C was 3 : 2 : 3. A surrendered ⅕th of his share in favour of C. Calculate B’s sacrifice.

Answer: A’s Old Share = 5/8 

A’s Sacrifice = 1/5 of 5/8 = 1/8 

C’s Share = 3/8 

B’s Sacrifice = C’s share – A’s sacrifice = 3/8 – 1/8 = 2/8 

OR 

Answer: B’s Old Share = 3/8 

B’s new share = 2/8 

B’s Sacrifice = 3/8 – 2/8 = 1/8 

Q.3. P and Q were partners in a firm sharing profits and losses equally. Their fixed capitals were ₹ 2,00,000 and ₹ 3,00,000 respectively. The partnership deed provided for interest on capital @ 12% per annum. For the year ended 31st March, 2016, the profits of the firm were distributed without providing interest on capital. Pass necessary adjustment entry to rectify the error. 

Answer: 

Q.4. X Ltd. invited applications for issuing 500, 12% debentures of ₹ 100 each at a discount of 5%. These debentures were redeemable after three years at par. Applications for 600 debentures were received. Pro-rata allotment was made to all the applicants. 

Pass necessary journal entries for the issue of debentures assuming that the whole amount was payable with the application. 

Answer: 

Q.5. Z Ltd. forfeited 1,000 equity shares of ₹ 10 each for the non-payment of the first call of ₹ 2 per share. The final call of ₹ 3 per share was yet to be made. Calculate the maximum amount of discount at which these shares can be reissued.

Answer: The maximum amount of discount at which these shares can be re-issued is ₹5 per share or ₹ 5000.

 

Q.6. Durga and Naresh were partners in a firm. They wanted to admit five more members to the firm. List any two categories of individuals other than minors who cannot be admitted by them.  

Answer: Any two of the following: 

• Persons of unsound mind / Lunatics 

• Insolvent persons 

• Any other individual who has been disqualified by law 

Q.7. BPL Ltd. converted 500, 9% debentures of ₹ 100 each issued at a discount of 6% into equity shares of ₹ 100 each issued at a premium of ₹ 25 per share. Discount on issue of 9% debentures has not yet been written off. 

Showing your working notes clearly, pass necessary journal entries for conversion of 9% debentures into equity shares. 

Answer: 

Q.8. Kavi, Ravi, Kumar, and Guru were partners in a firm sharing profits in the ratio of 3: 2: 2: 1. On 1.2.2017, Guru retired and the new profit sharing ratio decided between Kavi, Ravi and Kumar were 3 : 1: 1. On Guru’s retirement, the goodwill of the firm was valued at ₹ 3,60,000. 

Showing your working notes clearly, pass necessary journal entry in the books of the firm for the treatment of goodwill on Guru’s retirement. 

Answer: 

Q.9. Disha Ltd. purchased machinery from Nisha Ltd. and paid to Nisha Ltd. as follows : 

(i) By issuing 10,000, equity shares of ₹ 10 each at a premium of 10%. 

(ii) By issuing 200, 9% debentures of ₹ 100 each at a discount of 10%.

(iii) Balance by accepting a bill of exchange of ₹ 50,000 payable after one month. 

Pass necessary journal entries in the books of Disha Ltd. for the purchase of machinery and making payment to Nisha Ltd. 

Answer: 

Q.10. Ganesh Ltd. is registered with an authorized capital of ₹ 10,00,00,000 divided into equity shares of ₹ 10 each. Subscribed and fully paid-up capital of the company was ₹ 6,00,00,000. For providing employment to the local youth and for the development of the tribal areas of Arunachal Pradesh the company decided to set up a hydropower plant there. The company also decided to open skill development centers in Itanagar, Pasighat, and Tawang. To meet its new financial requirements, the company decided to issue 1,00,000 equity shares of ₹ 10 each and 1,00,000, 9% debentures of ₹ 100 each. The debentures were redeemable after five years at par. The issue of shares and debentures was fully subscribed. A shareholder holding 2,000 shares failed to pay the final call of ₹ 2 per share. Show the share capital in the Balance Sheet of the company as per the provisions of Schedule III of the Companies Act, 2013. Also, identify any two values that the company wishes to propagate. 

Answer: 

Values (Any two): 

• Providing employment opportunities to the local youth. 

• Promotion of development in tribal areas. 

• Promotion of skill development in Arunachal Pradesh. 

• Paying attention to regions of social unrest. 

(Or any other suitable value) 

Q.11. Madhu and Neha were partners in the firm sharing profits and losses in the ratio of 3: 5. Their fixed capitals were ₹ 4,00,000 and ₹ 6,00,000 respectively. On 1.1.2016, Tina was admitted as a new partner for 41 to share in the profits. Tina acquired her share of profit from Neha. Tina brought ₹ 4,00,000 as her capital which was to be kept fixed like the capitals of Madhu and Neha. Calculate the goodwill of the firm on Tina’s admission and the new profit sharing ratio of Madhu, Neha, and Tina. Also, pass necessary journal entry for the treatment of goodwill on Tina’s admission considering that Tina did not bring her share of goodwill premium in cash. 

Answer: 

(a) Calculation of Hidden Goodwill: 

Tina’s share = 1⁄4 

Tina’s Capital = ₹  4,00,000 

(a) Total capital of the new firm = 4,00,000 × 4 = 16,00,000 

(b) Existing total capital of Madhu, Neha and Tina 

= ₹  4,00,000 + ₹  6,00 000 + ₹  4,00,000 

= ₹  14,00,000 Goodwill of the firm 

= 16,00,000-14,00,000 = 2,00,000 

Thus, Tina’s share of goodwill = 1⁄4 × 2,00,000 = 50,000 

(b) Calculation of New Profit Sharing ratio : Madhu’s new share 

= 3/8 Neha’s new share = 5/8 – 1/4 

= 3/8 Tina’s share = 1⁄4 

i.e. 2/8 New Ratio = 3:3:2 

(c) 

Q.12. Ashok, Babu, and Chetan were partners in firm sharing profits in the ratio of 4 : 3 : 3. The firm closes its books on 31st March every year. On 31st December 2016, Ashok died. The partnership deed provided that on the death of a partner his executors will be entitled to the following : 

(i) Balance in his capital account. On 1.4.2016, there was a balance of ₹ 90,000 in Ashok’s Capital Account. 

(ii) Interest on capital @ 12% per annum. 

(iii) His share in the profits of the firm in the year of his death will be calculated on the basis of the rate of net profit on sales of the previous year, which was 25%. The sales of the firm till 31st December 2016 were ₹ 4,00,000. 

(iv) His share in the goodwill of the firm. The goodwill of the firm on  Ashok’s death was valued at ₹ 4,50,000. 

 

The partnership deed also provided for the following deductions from the amount payable to the executor of the deceased partner : 

(i) His drawings in the year of his death. Ashok’s drawings till 31.12.2016 were ₹ 15,000. 

 

(ii) Interest on drawings @ 12% per annum which was calculated as 

₹ 1,500. The accountant of the firm prepared Ashok’s Capital Account to be presented to the executor of Ashok but in a hurry he left it incomplete. Ashok’s Capital Account as prepared by the firm’s accountant is given below : 

You are required to complete Ashok’s Capital Account. 

Answer: 

Q.13.  A, B, C, and D were partners in a firm sharing profits in the ratio of 3: 2 : 3: 2. On 1.4.2016, their Balance Sheet was as follows :

From the above date, the partners decided to share the future profits in the ratio of 4 : 3: 2: 1. For this purpose, the goodwill of the firm was valued at ₹ 2,70,000. It was also considered that :

 (i) The claim against Workmen Compensation Reserve has been estimated at ₹30,000 and fixed assets will be depreciated by ₹ 25,000.

(ii) Adjust the capitals of the partners according to the new profit sharing ratio by opening the Current Accounts of the partners.

Prepare Revaluation Account, Partners’ Capital Account, and the Balance Sheet of the reconstituted firm.

Answer: 

Q.14. On 1.4.2015, J.K. Ltd. issued 8,000, 9% debentures of ₹ 1,000 each at a discount of 6%, redeemable at a premium of 5% after three years. The company closes its books on 31st March every year. Interest on 9% debentures is payable on 30th September and 31st March every year. The rate of tax deducted at the source is 10%.

Pass necessary journal entries for the issue of debentures and debenture interest for the year ended 31.3.2016.

Answer: 

Q.15. Pass necessary journal entries on the dissolution of a partnership firm in the following cases :

(i) Dissolution expenses were ₹ 800.

(ii) Dissolution expenses ₹ 800 were paid by Prabhu, a partner.

(iii) Geeta, a partner, was appointed to look after the dissolution work, for which she was allowed a remuneration of ₹ 10,000. Geeta agreed to bear the dissolution expenses. Actual dissolution expenses of ₹ 9,500 were paid by Geeta.

(iv) Janki, a partner, agreed to look after the dissolution work for a commission of ₹ 5,000. Janki agreed to bear the dissolution expenses. Actual dissolution expenses of ₹ 5,500 were paid by Mohan, another partner, on behalf of Janki.

(v) A partner, Kavita, agreed to look after the dissolution process for a commission of ₹ 9,000. She also agreed to bear the dissolution expenses. Kavita took over the furniture of ₹ 9,000 for her commission. Furniture had already been transferred to realisation account.

(vi) A debtor, Ravinder, for ₹ 19,000 agreed to pay the dissolution expenses which were ₹ 18,000 in full settlement of his debt.

Answer: 

Q.16. C and D are partners in a firm sharing profits in the ratio of 4: 1. On 31.3.2016, their Balance Sheet was as follows :

 

On the above date, E was admitted for 1⁄4th share in the profits on the following terms : 

(i) E will bring ₹ 1,00,000 as his capital and ₹ 20,000 for his share of goodwill premium, half of which will be withdrawn by C and D. 

(ii) Debtors ₹ 2,000 will be written off as bad debts and a provision of 4% will be created on debtors for bad and doubtful debts. 

(iii) Stock will be reduced by ₹ 2,000, furniture will be depreciated by ₹ 4,000 and 10% depreciation will be charged on plant and machinery. 

(iv) Investments of ₹ 7,000 not shown in the Balance Sheet will be taken into account. 

(v) There was an outstanding repairs bill of ₹ 2,300 which will be recorded in the books. 

Pass necessary journal entries for the above transactions in the books of the firm on E’s admission.

OR

Q.16. Sameer, Yasmin, and Saloni were partners in the firm sharing profits and losses in the ratio of 4 : 3 : 3. On 31.3.2016, their Balance Sheet was as follows : 

On the above date, Sameer retired and it was agreed that : 

(i) Debtors of ₹ 4,000 will be written off as bad debts and a provision of 5% on debtors for bad and doubtful debts will be maintained. 

(ii) An unrecorded creditor of ₹ 20,000 will be recorded.

(iii) Patents will be completely written off and 5% depreciation will be charged on stock, machinery and building.

(iv) Yasmin and Saloni will share future profits in the ratio of 3: 2. 

(v) Goodwill of the firm on Sameer’s retirement was valued at ₹ 5,40,000. 

Pass necessary journal entries for the above transactions in the books of the firm on Sameer’s retirement.

Answer: 

OR

Q.17. VXN Ltd. invited applications for issuing 50,000 equity shares of ₹ 10 each at a premium of ₹ 8 per share. The amount was payable as follows :

On Application: ₹ 4 per share (including ₹ 2 premium)

On Allotment: ₹ 6 per share (including ₹ 3 premium)

On First Call: ₹ 5 per share (including ₹ 1 premium)

On Second and Final Call: Balance Amount

The issue was fully subscribed. Gopal, a shareholder holding 200 shares, did not pay the allotment money and Madhav, a holder of 400 shares, paid his entire share money along with the allotment money. Gopal’s shares were immediately forfeited after allotment. Afterward, the first call was made. Krishna, a holder of 100 shares, failed to pay the first call money and Girdhar, a holder of 300 shares, paid the second call money also along with the first call. Krishna’s shares were forfeited immediately after the first call. The second and final call was made afterward and was duly received. All the forfeited shares were reissued at ₹ 9 per share fully paid up.

Pass necessary journal entries for the above transactions in the books of the company.

OR

Q.17. JJK Ltd. invited applications for issuing 50,000 equity shares of ₹ 10 each at par. The amount was payable as follows :

On Application: ₹ 2 per share

On Allotment: ₹ 4 per share

On First and Final Call: Balance Amount

The issue was oversubscribed three times. Applications for 30% shares were rejected and money refunded. The allotment was made to the remaining applicants as follows :

Category No. of Shares Applied No. of Shares Allotted

I 80,000 40,000

II 25,000 10,000

Excess money paid by the applicants who were allotted shares was adjusted towards the sums due on allotment.

Deepak, a shareholder belonging to Category I, who had applied for 1,000 shares, failed to pay the allotment money. Raju, a shareholder holding 100 shares, also failed to pay the allotment money. Raju belonged to Category II. Shares of both Deepak and Raju were forfeited immediately after allotment. Afterward, the first and final call was made and was duly received. The forfeited shares of Deepak and Raju were reissued at ₹ 11 per share fully paid up.

Pass necessary journal entries for the above transactions in the books of the company.

Answer: 

OR

Answer: 

PART B

(Analysis of Financial Statements)

Q.18. Normally, what should be the maturity period for a short-term investment from the date of its acquisition to be qualified as cash equivalents?

Answer: Maximum maturity period is 90 days/ 3 months for a short-term investment from the date of acquisition to be qualified as cash equivalents.

 

Q.19.  State the primary objective of preparing a cash flow statement. 

Answer: To find out the inflows and outflows of cash and cash equivalents from Operating, Investing, and Financing activities. 

Q.20. What is meant by ‘Analysis of Financial Statements’? State any two objectives of such an analysis.

Answer: Analysis of Financial Statements is the process of critical evaluation of the financial information contained in the financial statements in order to understand and make decisions regarding the operations of the firm. 

(Or any other suitable meaning) 

Objectives of ‘Financial Statements Analysis’: (Any two) 

(i) Assessing the earning capacity or profitability of the firm as a whole as well as its different departments so as to judge the financial health of the firm. 

(ii) Assessing managerial efficiency by using financial ratios to identify favorable and unfavorable variations in managerial performance. 

(iii) Assessing the short-term and the long-term solvency of the enterprise to assess the ability of the company to repay principal amount and interest. 

(iv) Assessing the performance of the business in comparison to that of others through inter-firm comparison. 

(v) Assessing developments in the future by forecasting and preparing budgets. 

(vi) To Ascertain the relative importance of different components of the financial position of the firm. 

 

Q.21. The proprietary ratio of M. Ltd. is 0·80: 1. State with reasons whether the following transactions will increase, decrease, or not change the proprietary ratio :

(i) Obtained a loan from bank ₹ 2,00,000 payable after five years.

(ii) Purchased machinery for cash ₹ 75,000.

(iii) Redeemed 5% redeemable preference shares ₹ 1,00,000.

(iv) Issued equity shares to the vendors of machinery purchased for ₹ 4,00,000. 

Answer: 

Transaction Effect on Quick Ratio Reasons
(i) Decrease No change in Shareholders’ funds but total assets will increase by ₹  2,00,000
(ii) No Change No change in total assets and Shareholders’ funds
(iii) Decrease  Both Shareholders’ funds and total assets are decreased by same amount
(iv) Increase Shareholders’ funds and total assets both are increased

 

Q.22. Financial statements are prepared following the consistent accounting concepts, principles, procedures, and also the legal environment in which the business organizations operate. These statements are the sources of information on the basis of which conclusions are drawn about the profitability and financial position of a company so that their users can easily understand and use them in their economic decisions in a meaningful way. From the above statement identify any two values that a company should observe while preparing its financial statements. Also, state under which major headings and sub-headings the following items will be presented in the Balance Sheet of a company as per Schedule III of the Companies Act, 2013.

 

(i) Capital Reserve

(ii) Calls-in-Advance

(iii) Loose Tools

(iv) Bank Overdraft

Answer: 

Values (Any two): 

• Transparency 

• Consistency 

• Following rules and regulations / Ethical code of conduct 

• Honesty and loyalty towards owners 

• Providing authentic information to users 

(Or any other suitable value) 

Q.23. From the following Balance Sheet of SRS Ltd. and the additional information as of 31.3.2016, prepare a Cash Flow Statement :

Notes to Accounts

Additional Information :

(i) ₹ 50,000, 12% debentures were issued on 31.3.2016.

(ii) During the year a piece of machinery costing ₹ 40,000, on which accumulated depreciation was ₹ 20,000, was sold at a loss of ₹ 5,000.

Answer: 

Notes: 

Calculation of Net Profit before tax: 

Net profit as per statement of Profit & Loss           75,000 

Add: Proposed Dividend                                      1,00,000 

Net Profit before tax & extraordinary items         1,75,000 

PART B 

(Computerized Accounting) 

Q.18. What is meant by a ‘Database Report’ ? 

Answer: A database report is the formatted result of database queries and contains useful data for decision-making and analysis. 

Q.19. What is meant by a ‘Query’ ? 

Answer: Queries provide the capability of combined data from multiple tables and placing specific conditions for the retrieval of data. It is another tabular view of the data showing information from multiple tables, resulting in the presentation of the information required, raised in the query. 

Q.20. Explain ‘Flexibility’ and ‘Cost of the installation’ as considerations before opting for specific accounting software. 

Answer: Flexibility: (It may include the following points) 

• Related to data entry, availability, and design of various reports. 

• Between users (Accountants) 

• Between systems. 

Cost of installation and maintenance: (It may include the following points in explanation) 

• Ability to afford hardware and software 

• Cost-benefit analysis and study of available options 

• Training of staff, cost of updating 

Q.21. Explain any four sub-groups of the Account Group ‘Profit and Loss’

Answer: Any four of the following: 

• Sales Account 

• Purchase Account 

• Direct Income 

• Indirect Income 

• Direct Expenses 

• Indirect Expenses (With appropriate explanation) 

Q.22. Explain the steps involved in the installation of computerized accounting software. 

Answer: Steps in the installation of CPS: 

1. Insert CD in the system 

2. Select C: E:, or D: drive from my computer 

OR 

Start > run > type the filename E:\install.exe 

3. The default directories of application, data, and configuration will open in a window. Change the setting if you wish by providing desired file name and drive name. 

4. Click on install. The installation process will start and a message of successful installation will appear after its completion. The CD can be removed as the application is successfully installed. 

Q.23. What is meant by ‘Conditional formatting’? Explain its benefits. 

Answer: Conditional formatting means a format change, such as background cell shading or font color i.e. applied to a cell when a specified condition for the data in the cell is true. Conditional formatting is often applied to worksheets to find: 

1. Data that is above or below a certain value. 

2. Duplicate data values. 

3. Cells containing specific text. 

4. Data that is above or below average 

5. Data that falls in the top ten or bottom ten values 

Benefits of using conditional formatting: 

1. Helps in answering questions that are important for making decisions. 

2. Guides with help of using visuals. 

3. Helps in understanding the distribution and variation of critical data. 

DEFORESTATION – वनोन्मूलन

DEFORESTATION (वनोन्मूलन)

BY: GAZAL BHATNAGAR,VIDHYARTHI DARPAN

DEFINITION AND MEANING:

Deforestation means the process of cutting down and burning the trees in forest and woodland and converting the land to other use. In other words, it is the destruction of forest, removal of vegetation from an area and clearing of trees for various commercial purposes and for fulfilling the personal needs. Deforestation is the quick woodland devastation through the incessant cutting of plants without replanting.

 

CAUSES OF DEFORESTATION:

1. Globalization

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2. Urbanization

3. Over Population

4. Climate

5. Over Grazing

6. Shifting Cultivation

7. Fuel Wood

8. Forest Fires

9. Timber

10. Industry Establishment

11. Encroachment of Forest

12. Forest Diseases

13. Landslides

14. Ravine Formation

Globalization:

Due to Globalization many industries and factories are built which emit carbon di oxide that affects the trees and forests. India and China are the major countries where trees and forests are used to produce products and supplies in various parts of the world.

Urbanization:

As the world progresses, trees are cleared to oblige growing urban regions for the utilization of construction materials, furniture, paper products, material utilized for highways and streets and timberlands. They are cut down to create land for grazing cattle and for growing crops. Trees are also cut down in developing countries to be used as firewood or turned into charcoal, which are used for cooking and heating purposes.

Over Population:

An increase in population increases the products consumption for which the trees are being destroyed. The fundamental needs are asylum and food supplied with the aid of forests where an ideal measure of utilization and development is required.

Over population in countries like China and India are a result where deforestation rate is higher than comparative countries. The considerable demand for housing in the urban sector increases the demand for wood in the construction of the houses. With more demand, greater is the harm done to the forests. As the land area is limited, the only option for the real estate dealers is to buy the forest land for cheap, clear them and make housing sites for the population.

Climate:

Atmosphere influences people as well as trees, streets, and little plants. The major factor is “ACID RAIN”. Waxy outer coating that covers the leaves is weakened by acid rain.When this happens, it allows the acid to seep into the tree that protects the leaves. Instead of water that changes from a liquid to a gas inside the leaves, gas takes the place of the water. This stops the plant from absorbing carbon dioxide for photosynthesis, and the plant then dies.

Another factor of climate is global warming. As the temperature increases than the average temperature, it affects the growth of the plants and soil thus leading to deforestation.

Overgrazing:

Overgrazing not only destroys forests regenerated growth but also makes soil more compact and impervious. Soil becomes less fertile due to destruction of organic matter and the seeds of certain species do not germinate in excessively grazed soils which results in reduction of species. This leads to desertification. Overgrazing also accelerates the soil erosion which results in the removal of minerals and nutrients from the topsoil and adversely affects the soil structure that ultimately lowers the productivity. The uncontrolled and indiscriminate grazing in the forests leads to degradation of forest soil and affect natural regeneration of forests. Due to excess grazing of the cattle in the grazing lands, the topsoil is washed away which makes it useless for any purpose, including grazing. This prompts to clear the forest areas for growing fodder which led to deforestation.

Shifting Cultivation:

In North Eastern India, due to heavy water erosion shifting cultivation is locally called “JHUM”. Numerous ranchers slaughter the woods for farming and business purposes and another timberland territory is devastated when soil fertility is depleted because of continued cropping. This degrades about one million hectare land every year thus leading to deforestation.

Fuel Wood:

Maximum forest habitat destruction is performed for wood-fuel. In India alone, the annual demand for firewood was 235 million cubic meters (according to Forest survey of India, 1987) where 135 million tons of firewood was consumed in rural areas while 23 million tons was consumed in urban areas. 

So, fuel wood is a big deforestation cause.

Forest Fires:

Some fires are incidental while the majority of them are deliberate. According to Forest Survey of India (1996), 53.1% forest vegetation was affected by fire which destroyed about 0.5 million hectares of forests annually. Thus, frequent fires are the major cause of deforestation.

Timber:

According to Forest Survey of India 1987, the annual demand of timber was 12 million cubic meters. Thus, the increased demand for timber led to a rapid depletion of forest. Timber and plywood industries are mainly responsible for the destruction of forest trees and deforestation.

Industry Establishment:

For the establishment of factories and industries, precious plants, wild animals, and rare birds are destroyed, and the quality of environment is adversely affected. The forest-based industries such as Resin and Turpentine industry are responsible for the destruction of trees in the hills as raw materials are supplied to these industries thus causing deforestation.

Encroachment of Forest:

It means encroachment by tribal on forest land for agriculture and other purposes. According to Forest Survey of India, about 7 million hectares of forest land has been encroached for agriculture which produced environmental hazards and deforestation.

Forest Diseases:

Many diseases that are caused by parasitic fungi, rusts, viruses and nematodes causes’ death and decay of forest plants. Young seedlings are destroyed due to attack of nematodes. Many diseases such as heart rot, blister rust, oak will, phloem necrosis and Dutch elm disease, etc. damage the forest trees in large numbers.

Landslides:

The landslides occur mainly in the areas where developmental activities are in progress. The construction of roads and railways particularly in hilly terrains, setting up of big irrigation projects have caused enough destruction to forest and accelerated the natural process of denudation. Deforestation due to landslide in the hills is the major concern.

Ravines Formation:

The forested areas and farming grounds at the edges of large stream gorges (Yamuna and Chambal) face a severe soil disintegration risk. Once the ravines are formed, they continue to destroy the vegetational cover.

 

EFFECTS OF DEFORESTATION:

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1.  Deforestation results in many effects like loss of animals home, death of animals, environmental changes, seasonal changes, increase in temperature, rise in environmental heat, global warming, increase in greenhouse gases, melting of ice caps and glaciers, increase in sea level, weakening of ozone layer, hole in the ozone layer, death of sea animals, increasing risks of natural disaster like Storms, cyclones, typhoons, floods, droughts and many other adverse shifts that are sufficient to last life on earth.

2. It is affecting the human lives to a great extent by forcing the negative changes to the environment and atmosphere.

3. Deforestation affects human wellbeing and the new ecosystem by means of atmosphere unevenness, rising an Earth-wide temperature boost, soil disintegration, floods, elimination of biodiversity, diminishing levels of fresh oxygen and rising carbon dioxide, expanding air contamination and expanding levels of toxic gases.

All the harmful impacts of deforestation are causing numerous medical issues, and above all else lung and respiratory issues.

4. Deforestation is not only disturbing the human lives by causing several imbalance ecologically and environmentally but also alarming continuously and indicating the need to stop cutting plants for the safety of human lives. A few people do deforestation to accomplish their insatiability of acquiring money from wood. People are cutting plants for their agricultural activities, logging (to make papers, match-sticks, furniture etc.), urbanization (road construction, housing etc.), desertification of land, mining (oil and coal mining), and fires (to get heat) etc.

5. It disrupts the carbon cycle. The forest trees take carbon dioxide as well as the atmosphere. It affects the human lives and causes an imbalance in ecology and environment. The human health is affected by the pollution which is occurred by deforestation. The land pollution, air pollution and global warming are the main reasons for the various effects on human, wildlife, and nature.

6. Population growth and agricultural development has put unprecedented pressure on India’s forests in the past half century. With the simultaneous rise in both the number of cattle and the amount of land under cultivation, livestock owners were forced to move to forest areas to graze their herd. As indicated by the State of the Forest Study 1995, 78 percent of all woods have undergone frequencies of deforestation and 74 percent of forests need recovery.

SOIL EROSION:

Prompt impacts of deforestation incorporate the washing ceaselessly of soil in the rainstorm season. This is because trees are no longer connecting and holding the soil and so mud slides are possible. The earth is leached of minerals by the large amounts of water. The absence of vegetation likewise implies not many creatures will be found in the field. Most of nutrients are stored in the vegetation and the trees, so if these factors receive bad cycle, our eco-system will be destroyed. Once the trees and plants are cut down, essential nutrients are separated easily and are washed out by rainfall. Thus, we would lose the nutrients for our body needs for daily life. In the event that the ground gets dries and splits under the sun’s warmth without the shelter of the trees, we cannot develop any plants in light of the fact that the soil components are lost. According to the statistics, nearly 80% of tropical forest soil is now infertile, and they will cause worse eco-system which will affect the animals who live there and their habitats. It may change their genetic as well.

SOCIAL EFFECTS OF DEFORESTATION:

1. Deforestation has so many social effects on our society. Its impact not only affects humans but also plants, animals, and the surrounding environment. It causes and forces the surrounding to adapt in order to survive such difficult situations.

2. Indigenous people who consider the forests as their primary habitats are rendered homeless when forests are depleted. This can be seen in mostly undeveloped areas where many people use the forest as their primary habitat. The people living in these areas are forced to move while their surroundings are being altered. The cutting down of forest trees forces the people who live around such areas to move and seek shelter elsewhere.

3. People and animals who live in the rainforest areas depends on their natural environment. Individuals who live close to the timberland in these regions typically rely on their indigenous habitat for fundamental things like food, shelter, water and so forth. Cutting down the trees in those areas usually tend to affect all living things and surroundings that forces them to migrate and look for another conducive atmosphere.

4. Social conflicts and struggles over land and other resources results in the loss of lands and people who live there have to migrate to other places in search of land and resources.

FACTS RELATED TO DEFORESTATION IN INDIA: 

1. Deforestation could lead to changes in surface conditions, which would increase the intensity and decrease the duration of rainfall, thereby increasing run-off. This causes soil erosion which leads to the riverbeds being silted. This is how floods occur. 

2. India is losing 1.5 million hectares (mha) of forests per year, thereby bringing down the total forest area from 74 mha to 40 mha.

3. Deforestation causes loss of top soil to the tune of 12000 million tons.

4. Due to deforestation, India loses Rs 10,000 crores every year in the form of damage by floods.

 

ISSUES IN DEFORESTATION:

1. On the rural side, the issue is that the people are depended on the forests for wood fuel and that is why their needs are fulfilled as well as the forests are not depleted because of their actions.

2. On the urban side, we must remember that the trend of consumerism has found currency with the urbanites accompanied with total disregard for the environment. So, can the consumerist attitude and the conversationalist attitude co-exist?

3. Corporates are facing increasing pressure from various organizations to take care of the environment, yet there is no social concern or initiative coming from them directly. Can the government be unbiased in its actions?

4. Almost all the forests are owned by the government and it is their responsibility to see that the forests are safeguarded. But due to lack of political will and pressure from other sectors, the government is not able to decide and act on its own. Can the government be unbiased in its actions?

5. The standard of fixing (33% compulsory forest cover) for all the states of the nation is not a viable, as there are various differences among the states, and many of them are solely dependent on the forest resources for their revenue. Can a region-specific target be drawn up, so that the overall forest cover concedes to the total target of 33%?

6. It is noteworthy to mention that the rate of deforestation exceeds the rate of afforestation. As the land area is fixed, and the cleared forests are used for other purposes, can the scheme of afforestation be successful in the near future?

7. There is a close link between agriculture and forestry. With improvements in the agriculture sector, and with the increase in population, there is a continuous need for upgrading the resources. Can the forest resources be experimented with the modern technologies?

OVERVIEW OF WORLDWIDE DEFORESTATION:

Everyday more than thousands of trees are cut down all over the world to use the timber as a major source of fuel, building material and paper products. Urbanization has forced man to acquire huge forest areas. As population grows, the need for agricultural land has also increased over the years. Deforestation has such a large number of detrimental environmental effects. One of the most severe consequences of this is the natural surroundings loss of numerous creature species.

Thus, deforestation can alter the earth’s biodiversity making a lot of rare species even more extinct. Deforestation also plays a major role in global warming and it is also responsible to the contribution of up to 20% of the total greenhouse gases emitted. Trees play a major role in absorbing most of the greenhouse gases like carbon dioxide. As lots of trees are cut down, the concentration of the greenhouse gases in the atmosphere increases thus increasing the temperature of the earth. Another immediate impact of deforestation is expanded soil disintegration. This can also lead to unnatural floods and droughts. Clearing forests can disrupt the normal water flow thus causing abnormal floods and droughts. Plants consume water through roots, discharges into the air that creates mists and downpour.

STATISTIC:

As population grows so does the rise and demand of more forests to be cut down and this leads to deforestation. This is a breakdown of land area per sq. km 2002/2008.

SOLUTION TO DEFORESTATION:

1. Reforestation: Because of public education, new technology and innovation has occurred in most parts of the world that implements reforestation and it very well may be found in nations across Asia.

2. Legislation: Due to new laws and regulations it can be seen that new trees have been planted and old trees are not allowed to be cut down. If this continues there might be a chance to stop deforestation and reverse the whole process completely.

3. Wildlife Sanctuaries: Sanctuaries are very important, not only to save wildlife, but to save trees as well. Sanctuaries go a long way in protecting all wildlife.

4. Cities: All cities should be managed properly. The new projects need to be controlled and planned accordingly and new trees should be planted in the process.

5. Commercial Forest Plantation: There should be a special forest plantations for all the wood that is required by the industries. In this manner the wood can be cut in a controlled and regulated environment.

6. Water Management: Improper water management affects deforestation in a big way. If the wildlife does not have water, then the entire ecosystem will be damaged. The construction of new dams should be planned properly, and area receives abundance of water.

The government must be blamed for the destruction of the forests due to:

1. Their flexibility in allocating the forest land to corporates under political pressure.

2. The distribution of lands to tribal people, on which agriculture cannot be done due to soil variety. This causes the allotted land to be wasted as the cleared land for agriculture can no longer be used for the purpose intended nor can they be used as forest cover as earlier.

OTHER REASONS OF DEFORESTATION:

1. One of the major reasons for the destruction of the forests are the building of dam’s reservoirs. These projects, albeit, intended for the benefit of the people, extends on the reverse side into trouble for the people. Displacement of the masses on one side, the projects cause large areas of virgin forests to be destroyed ruthlessly.

2. The other reason could be attributed to the lack of vigilance of the people who use the forest as camps. Their carelessness may cause forest fires which devours large areas of lush green forests.

UNIVERSAL SOLUTION TO DEFORESTATION:

Forests are an important natural resource for any country and deforestation retards a country’s development. Essential assets can only be accessed by “Afforestation” to fulfill the needs of the growing populace. Afforestation refers to the scheduled of planting trees for food and fodder development. Nurseries play a significant part in growing the cover of forests. As significant for what it is worth for a youngster to attain a nursery through her/his youthful age, so it is for plants to develop under appropriate consideration and security. This prepares them to withstand adverse situations during planting.

There is some hope. Projects with solar powered ovens reduce the need to cut the trees for fuel. Crops best suited for poorer soils is being introduced.

CONCLUSION:

Woodlands are very important for appropriate irrigation, medication, air newness, air contamination reduction, wood obtaining for some reasons and so on. It upsets all the procedures when we cut plants and impacts human lives. Instead of cutting plants to fulfill the need of paper, we should make the habit of recycling the old things as possible and avoid cutting of new plants. As existence without water is beyond the realm of imagination, similarly existence without plants and trees is likewise unrealistic as it is the wellspring of sunlight, natural air, creature environment, shadows, wood and so on.

Business Studies 12th Previous Year Question Paper 2017 (CBSE)

Business Studies

Q.1. Give the meaning of ‘supervision’ as an element of directing.

Ans. Supervision means overseeing the employees at work to ensure optimum utilization of resources and achievements of work targets.

OR

Ans. Supervision means instructing, observing monitoring and guiding the efforts of the subordinates for the achievement of work targets in the desired manner.

 

Q.2. Differentiate between ‘formal’ and ‘informal’ organization on the basis of ‘flow of communication’.

Ans. In a formal organisation, communication takes place through the scalar chain while in an informal organisation flow of communication is not through a planned route. It can take place in any direction.

 

Q.3. Why is ‘Aptitude Test’ conducted in the process of selection?

Ans. Aptitude test is conducted to measure an individual’s potential for learning new skills.

 

Q.4. Bhagwati Enterprises is a company engaged in the marketing of air-conditioners of a famous brand. The company has a functional structure with the four main functions- Purchase, Sales, Finance and Staffing. As the demand for the product grew, the company decided to recruit more employees. Identify the concept which will help the Human resource Manager to find out the number and type of personnel available so that he could decide and recruit the required number of persons for each department.

 

Q.5. Isha Machines was a renowned name for quality sewing machines since 1960. Mr Suresh, the owner of Isha Machines was worried as the production had declined during the last three months. He directed the production Manager to find out the reason. The production Manager ordered the different supervisors to prepare a performance report of the workers working under them. Identify the step taken by the production Manager that is related to one of the functions of management.

Ans. Measurement of actual performance.

 

Q.6. What is meant by ‘Capital Structure’?

Ans. The capital structure means the proportion of debt and equity used for financing the operations of a business.

OR

Ans. It refers to the mix between owner’s funds and borrowed funds.

 

Q.7. Sika Ltd., a reputed industrial machines manufacturer, needs Rupees twenty crores as additional capital to expand the business. Mr.Amit Joshi, the chief Executive officer (CEO) of the company wants to raise funds through equity. The finance Manager, Mr. Narender Singh, suggested that the shares may be sold to investing public through intermediaries, as the same will be less expensive. Name the method through which the company decided to raise additional capital.

Ans. Offer for Sale.

 

Q.8.  Mansi took her niece, Ridhima, for shopping to ‘Mega Stores’ to buy her a bag for her birthday. She was delighted when on payment of the bag she got a pencil box along with the bag free of cost. Identify the technique of sales promotion used by the company.

Ans. Product Combination

 

Q.9. Explain briefly ‘Unity of Direction’ and ‘Order’ as principles of general management.

Ans.

Unity of Direction

  • Unity of direction states that all the units of an organisation should be moving towards the same objectives through coordinated and focussed efforts.
  • Each group of activities having the same objective must have one head and one plan.

Order

  • It states that there should be a place for everything and everyone in an organization and that thing or person should be found in its allotted place.
  • People and materials must be in suitable places at appropriate time for maximum efficiency.

 

Q.10. State any three features of planning.  

Ans. Features of planning: (Any three)

(i) Focuses on achieving objective

It focuses on achieving organisational objectives as specific goals are set out in the plans along with the activities to be undertaken to achieve the goals.

(ii) Primary function of management 

It is the primary function of management as it lays down the basis for all other functions of management.

(iii) Pervasive

It is pervasive as it is required in all organisations, at all levels and in all departments.

(iv) Continuous

It is continuous because a plan is framed and implemented for a specific periods of time and is followed by another plan and so on.

(v) Futuristic

It is futuristic as it involves looking ahead and preparing for the future based on forecasting which involves anticipating future events and drawing plans accordingly.

(vi) Involves decision making

Planning involves decision making as a manager has to make a choice from among the various alternative courses of action.

(vii) Mental exercise

It is a mental exercise as it is intellectual activity of thinking rather than doing requiring application of mind involving foresight, intelligent imagination and sound judgement.

 

(If an examinee has not given the heading, no marks are to be deducted)

(If an examinee has given only the headings heading should be awarded)

 

Q.11.  Explain briefly any three semantic barriers to communication.

Ans. Semantic barriers to communication: (Any three)

(a) Badly expressed message.

(b) Symbols with different meanings.

(c) Faulty translations.

(d) Unclarified assumptions.

(e) Technical jargon.

(f) Body language and gesture decoding.

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

 

Q.12. Ramanath Ltd.is dealing in import of organic food items in bulk. The company sells the items in smaller quantities in attractive packages. Performance of the company has been up to the expectations in the past. Keeping up with the latest packaging technology, the company decided to upgrade its machinery. For this, the Finance Manager of the company, Mr. Vikrant Dhull, estimated the amount of funds required and the 6 timings. This will help the company in linking the investment and the financing decisions on a continuous basis.

Therefore, Mr.Vikrant Dhull began with the preparation of a sales forecast for the next four years. He also collected the relevant data about the profit estimates in the coming years. By doing this, he wanted to be sure about the availability of funds from the internal sources. For the remaining funds he is trying to find out alternative sources. Identify the financial concept discussed in the above paragraph. Also state any two points of importance of the financial concept, so identified.

Ans. Financial Planning

Importance of Financial planning (any two):

(a) It helps the company to prepare for the future by forecasting what may happen in the future under different business situations.

(b) It helps in avoiding business shocks and surprises. 

(c) It helps in co-ordinating various business functions by providing clear policies and procedures.

(d) It helps in reducing waste, duplication of efforts, gaps in planning and confusion.

(e) It links the present with the future.

(f) It provides a link between investment and financing decisions.

(g) It serves as a control technique as it makes evaluation of actual performance easier.

 

Q.13.  Hemant, Guddu and Toshita were friends from college days and presently they were doing different kinds of business. They regularly meet and discuss their business ideas, and exchange notes on customer satisfaction, marketing efforts, product designing, selling techniques, social concerns, etc.

 

In one of such meetings, Hemant drew the attention of Guddu and Toshita towards the exploitation of consumers. He told that most of the seller were exploiting the consumers in various ways and were not paying attention towards the social , ethical and ecological aspects of marketing ,whereas he was not doing so. Guddu told that they were under pressure to satisfy the consumers but stated that the 7 consumers would not buy or not buy enough unless they were adequately convinced and motivated for the same.

Toshita stressed that a company cannot achieve its objectives without satisfying the needs of the customers. It was the duty of the businessmen to keep consumer satisfaction in mind, because business is run by the resources made available by the society. She further stated that she herself was taking into consideration the needs of the customers. 

Identify the various types of thinking that guided Hemant , Guddu and Toshita in the marketing efforts of their business. Also, state one more feature each of the various types of thinking identified that is not given in the above paragraph. 

Ans. Various types of thinking that guided the marketing efforts were:

Hemant 

Societal Marketing concept

Feature of Societal marketing concept: (Any one)

(i) It takes care of long term well being of the consumers as well as the society.

(ii) It uses integrated marketing as a means to achieve the objective.

(iii) Its objective is to earn profits through customer satisfaction and social welfare.

(iv) The marketing efforts start from the identification of needs of the target market and the society.

Guddu 

Selling concept

Feature of Selling concept: (Any one)

(i) It uses aggressive selling and promotional techniques like advertising, personal selling and sales promotion to achieve the objective.

(ii) It involves pushing the sale of existing products.

(iii) Its objective is to earn profits through increased volume of sales.

(iv) The marketing efforts start after the product is produced in the factory.

Toshita

Marketing concept

Feature of Marketing concept: (Any one)

(i) It involves development of products for satisfying needs of the target market better than the competitors. 

(ii) Its focus is on satisfaction of customers needs.

(iii) It uses integrated marketing as a means to achieve the objective.

(iv) The marketing efforts start from the identification of needs of the target market.

 

Q.14 Rishitosh Mukerjee has recently joined AMV Ltd, a company manufacturing referigerators. He found that his department was under-staffed and other departments were not cooperating with his department for smooth functioning of the organization. Therefore, he ensured that his department has the required number of employees and its cooperation with other departments is improved.

(a) Identify the level at which Rishitosh Mukerjee was working.

(b) Also, state three more functions required to be performed by Rishitosh Mukerjee at this level.

Ans. Middle level 

Functions required to be performed by Rishitosh Mukerjee: (Any three)

1. To interpret the policies framed by the top management.

2. To ensure that their department has the necessary personnel.

3. To assign necessary duties and responsibilities to the employees of their respective departments for implementation of the plan.

4. To motivate employees of their respective departments to achieve the desired objectives.

5. To co-operate with other departments for smooth functioning of the organisation.

(Or any other correct function)

Q.15.  Sanket, after completing his entrepreneurship course from U.S.A . returned to India and started a coffee shop ‘Fioma Coffee’ in a famous mall in Mumbai. The specialty of the coffee shop was the special aroma of coffee and a wide variety of flavours to choose from. Somehow, the business was neither profitable nor popular. Sanket was keen to find out the reason. He appointed Riya , an MBA from a reputed management institute as a manager to find out the causes of the business not doing well.

Riya, took a feedback from the clients and found out that though they loved the special unique aroma of coffee but were not happy with the long waiting time being taken to process the order. She analysed and found out that there were many unnecessary obstructions which could be eliminated. She fixed a standard time for processing the order. She also realized that there were many flavours whose demand was not enough. So, she also decided to discontinue the sale of such flavours .As a result, within a short period Riya was able to attract the Customers. Identify and explain any two techniques of scientific management used by Riya to solve the problem. 

Ans. Techniques of Scientific management used by Riya to solve the problem were: (Any two)

(i) Motion Study

  •  Meaning: It is a technique to study the movements that are necessary for doing a well defined job.
  •  It seeks to eliminate unnecessary and wasteful movements so that it takes less time to complete a job efficiently.

(i) Time Study

  • Meaning: It is a technique to determine the standard time taken by a worker of reasonable skill and efficiency to perform a well-defined job.
  • It helps in deciding the number of workers to be employed, frame suitable incentive schemes and determine labour costs.

(ii) Simplification of Work

  • Meaning: It is a technique to eliminate superfluous varieties, sizes and dimensions of products.
  • It leads to reduced inventories, fuller utilization of equipment and increased turnover to reduce costs.

(If an examinee has written ‘Standardisation and Simplification of Work’ instead of ‘Simplification of Work’, full credit be given)

 

Q.16.  Give the meaning of ‘Strategy’ and ‘Rule’ as types of plans.

Ans. Strategy

A strategy is a comprehensive plan for accomplishing an organisation’s objectives taking business environment into consideration. It provides broad contours of an organsiation’s business and refers to future decisions defining the organisation’s direction and scope in the long run.

Rule

  • A rule is a statement that specifies what is to be done or not to be done. It is a guide to behaviour.
  • A rule does not allow for any flexibility or discretion and prescribes a penalty for violation.

 

Q.17.  Explain briefly ‘Casual Callers’ and ‘Labour Contractors’ as external sources of recruitment.

Ans. Casual callers

  •  It is an external source of recruitment in which a list of job seekers is prepared and screened to fill the vacancies as they arise, from the database of unsolicited applications kept in the office.
  •  It reduces the cost of recruitment. 

Labour Contractor

  •  It is an external source of recruitment in which a Labour Contractor maintains close contacts with labourers and provides the required number of unskilled workers at short notice.
  • Labour contractors who recruit the workers are employees of the organisation who recruit the workers.

 

Q.18.  These days, the development of a country is also judged by its system of transferring finance from the sector where it is in surplus to the sector where it is needed the most. To give strength to the economy, SEBI is undertaking measures to develop the capital market. In addition to this , there is another market in which unsecured and short-term debt instruments are actively traded every day. The semarkets together help the savers and investors in directing the available funds into their most productive investment opportunity.

(a) Name the function being performed by the market in the above case.

(b) Name the market segment other than the capital market segment in which unsecured and short-term debt instruments are traded.

Also, give any three points of difference between the two.

Ans. (a) Mobilisation of savings and channeling them into the most productive uses/ Allocative function.

(b) Money market 

Difference between Capital Market and Money Market: (Any three)

Basis Money Market Capital Market
(i) Participants The participants are RBI, financial institutions, banks, corporates, The participants are financial institutions,banks, corporates, foreign investors and retail investors.
(ii) Instruments Instruments traded are treasury bill, Instrumentstraded are shares, commercial paper,certificates of deposit, callmoney and commercial bill, debentures andbonds.
(iii) Safety Money market securities are comparatively safer. Capital market securities are riskier than money market instruments.
(iv) Expected return Money market securities yield comparatively lessreturn. Generally yield a higher return than money marketinstruments.
(v) Investment outlay Money market securities have a large investmentoutlay Capital market securities have small investmentoutlay
(vi)Duration Money market deals in short term securities whose period of maturityis upto one year. Capital market deals in medium term and longterm securities with period of maturity of morethan one year.
(vii) Liquidity Money market securities are comparatively more liquid. Capital market securities are comparatively less liquid.

 

Q.19. Avdhesh is the Managing Director of Delta Ltd.

The company had established a good name for itself and had been doing well. It was known for timely completion of orders. The production Manager, Ms. Priyanka was efficiently handling the processing of orders and had a team of ten motivated employees working under her. Everything was going on well.

Unfortunately, Priyanka met with an accident. Avdhesh knew that in the absence of Priyanka, the company may not be able to meet the deadlines. He also knew that not meeting the deadlines may lead to customer dissatisfaction with the risk of loss of business and goodwill. So, he had a meeting with his employees in which accurate and speedy processing of orders was planned. Everybody agreed to work as 13 a team because the behaviour of Avdhesh was positive towards the employees of the organisation. Everyone put in extra time and efforts and the targets were met on time. Not only this, Avdhesh visited Priyanka and advised her to take adequate rest.

(a) Identify the leadership style of Avdhesh and draw a diagram depicting the style.

(b) Also, identify any two values highlighted by the behaviour of Avdhesh.

Ans. (a) Leadership Style- Democratic/ Participative/ group centered.

In the above diagram, A is the leader and B, C, D and E are subordinates.

(b) Values highlighted by the behaviour of Avdhesh are:

(i) Teamwork/ Team spirit

(ii) Good behaviour in human interaction

(or any other correct value)

Q.20.  Nandrachal Networks and Technologies Ltd. is a leader in technology innovation in U.S.A. creating products and solutions for a connected world. It has a large Research and development team which invented the first smart watch W-I, which besides showing the time would also monitor few health parameters like heart beat, blood pressure, etc. While in search of markets abroad, the company found that in India, the reform process was underway with the aim of accelerating the pace of economic growth. The company decided to take 14 advantage of the fact that licensing requirements had been abolished. The company was also aware that there had been increased level of interaction and interdependence among the various nations of the world and India could be made a base for its international trade. It set up its office in Gujarat with a view to capture the Indian market. In a short span of time, the company emerged as a market leader. Success of the company attracted many other players to enter the market. Competition resulted in reduction in prices, thereby benefitting the customers.

(a) In the above paragraph, two major concepts related to government policy have been discussed. Identify and explain those concepts.

(b) Also, explain briefly any three impacts of those concepts on Indian business and industry.

Ans. (a) Two major concepts related to government policy are:

(i) Liberalisation

Liberalisation means removal of unnecessary controls and restrictions on business.

(ii) Globalisation

Globalisation means integrating the various economies of the world leading towards the emergence of a cohesive global economy.

(b) Impact of these concepts on Indian business and industry: (Any three)

(i) Increasing competition

(ii) More demanding customers

(iii) Rapidly changing technological environment

(iv) Necessity for change

(v) Need for developing human resources.

(vi) Market orientation

(vii) Loss of budgetary support to the public sector.

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

 

Q.21.  State any five points that highlight the importance of controlling.

Ans. Importance of controlling (any five):

(a) Accomplishing organisational goals

It helps in accomplishing organisational goals by bringing to light, deviations if any and indicating corrective action.

(b) Making efficient use of resources

It helps in making efficient use of resources by ensuring that each activity is performed in accordance with pre determined standards.

(c) Ensuring order and discipline

It ensures order and discipline among employees by keeping a close check on their activities.

(d) Improving employee motivation

It improves employee motivation as the employees’ know well in advance the standards of performance on the basis of which they will be appraised.

(e) Judging accuracy of standards

It helps in judging accuracy of standards in the light of changes taking place in the organisation and in the environment.

(f) Facilitating coordination in action

It facilitates coordination in action as each employee and department in governed by pre-determined standards which are well coordinated with one another.

(If an examinee has not given the heading, no marks are to be deducted)

(If an examinee has given only the headings, heading should be awarded)

 

Q.22. ‘RO Youth Club’ organised a visit of its members to an Old Age Home to inculcate the habit of social work among them. The visit revealed that the living conditions of the inmates of the Old Age Home were not hygienic. So, the RO Youth Club members decided to clean the premises. During their cleanliness drive, they realised that the Old Age Home also required pest control. But some of the 16 inmates of the Old Age Home were reluctant for it because they believed that the pest control may create health problems for them. RO Youth Club, therefore, decided to provide ethical, safe and odourless pest control. They showed to the inmates of the Old Age Home a pamphlet of the proposed pest control product which promised easy, inexpensive and long-lasting pest control. The inmates happily agreed and the pest control was carried out. The effect of the pest control started wearing off after a fortnight. RO Youth Club contacted the pest control company which kept on postponing their visit. After waiting for a month, RO Youth Club filed a case in the consumer court.

The consumer court was satisfied about the genuineness of the complaint and issued necessary directions to the pest control company.

(a) State any six directions that might have been issued by the court.

(b) Identify any two values that are being communicated by RO Youth Club to the society.

Ans. (a) Directions that might have been issued by the court: (Any six)

(i) To remove the deficiency in service.

(ii) To refund the price paid for the service provided.

(iii) To pay a reasonable amount of compensation for any loss suffered by the inmates of old age home.

(iv) To pay punitive damages.

(v) To discontinue the unfair/ restrictive trade practice and not to repeat the same in future.

(vi) To pay any amount (not less than 5% of the value of the service provided) to be credited to the Consumer Welfare Fund or any other organisation/person, to be utilised in the prescribed manner.

(vii) To issue corrective advertisement to neutralize the effect of misleading pamphlet.

(xii) To pay adequate costs to RO Youth Club

(b) Values that are being communicated by RO Youth

Club to the society are: (Any two)

(i) Sensitivity towards the environment.

(ii) Respect for the elderly.

(iii) Cleanliness and hygiene.

(iv) Concern for health of people.

 

Q.23. Anoop Gaur started ‘Cat’s Eye’, a company for providing cyber security solutions to businesses. Its objective to prevent, detect, respond to cyber attacks and protect critical data. He was a hardworking software engineer and an expert in cyber security. His reputation grew by leaps and bounds as he was not only a person of integrity but also did his work with utmost honesty and sincerity. The business started growing day by day. He was delighted when he was offered a big project by the Ministry of Science and Technology. While working on the project he found that the volume of work made it impractical for him to handle all the work by himself. Therefore he decided to expand the team. The company maintained a close liaison with an engineering college in the State. During a campus placement, Aarav and Pranshi were appointed to work for the new project.

He found the new employees capable, enthusiastic and trustworthy. Anoop Gaur was thus, able to focus on the objectives and with the help of Aarav and Pranshi, the project was completed on time. Not only this, Anoop Gaur was also able to extend his area of operations. On the other hand, Aarav and Pranshi also got opportunities to develop and exercise initiative.

(a) Identify and explain briefly the concept used by Anoop Gaur in the above case which helped him in focussing on the objectives.

(b) Also, explain any four points of importance of the concept identified in part (a).

Ans. Delegation.

Delegation is the transfer of authority from superior to subordinate, entrustment of responsibility and creation of accountability for performance which helps a manager to extend his area of operations.

(or any other relevant explanation)

Importance of delegation: (Any four)

(i) Effective management.

(ii) Employee development.

(iii) Motivation of employees.

(iv) Growth facilitation.

(v) Better co-ordination.

(vi) Creation of management hierarchy.

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

 

Q.24. Explain briefly any four factors that affect the working capital requirements of a company.

Ans. Factors affecting requirements of working capital (any four):

1. Nature of Business

2. Scale of Operations

3. Business Cycle

4. Seasonal Factors

5. Production Cycle

6. Credit Allowed

7. Credit Availed

8. Operating Efficiency

9. Availability of Raw Material

10. Growth Prospects

11. Level of Competition

12. Inflation

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

 

Q.25. Medi Instruments Ltd. is a company dealing in the distribution of medical instruments. The company recently imported 15000 units of sugar testing machines to test the sugar levels without taking blood samples. For deciding the marketing strategy, the Chief Executive Officer of the company called a meeting of the marketing heads of different zones.

In the meeting, Sanjay, the North Zone Marketing Head, suggested that since the machines were sophisticated they need to visit hospitals personally to explain its working to the hospital staff wo wouldbe using the machines. He also suggested that additional trained people may be recruited for the same. Hitesh, another Zonal Head, added that since 19 lot of money had been spent on the import of the machines, the company was short of funds to pay the additional staff, as suggested by Sanjay. Revansh, a newly appointed Zonal Head of South Zone, suggested that since the size of the order was not large, a detailed study of the factors determining the choice of channels of distribution was required before making the right choice.

(a) Identify the factors influencing the choice of channels of distribution which were discussed in the meeting.

(b) Also, explain briefly the other considerations to be taken care of in each factor identified in part (a).

Ans. (a) Factors affecting choice of channels of distribution which were discussed in the meeting:

(i) Product related factors

(ii) Company characteristics

(iii) Market related factors

(b) Other considerations to be taken care of in each of the factors identified above are:

(i) Product related factors: (Any one)

  • Nature of the product.
  • Perishability of Product.
  • Unit value of Product.

(ii) Company characteristics:

  • Degree of control over channel members

(iii) Market related factors: (Any one)

  • Geographical concentration of potential buyers.
  • Size of the market.

 

SET-II

Q.9. Explain briefly ‘Initiative’ and ‘Esprit de Corps’, as principles of general management.

Ans. 

Initiative

  • It states that the workers should be encouraged to develop and carry out their plans for improvement in the organisation.
  • It does not mean going against the established practices of the company for the sake of being different.

Esprit de Corps

  • It states that management should promote a team spirit of unity and harmony among employees to realise organisational objectives.
  • The manager should replace ‘I’ with ‘We’ to foster team spirit.
  • This will give rise to a spirit of mutual trust and belongingness among team members. It will also minimise the need for using penalties.

 

Q.10. State any three points of importance of planning.

Ans. Importance of planning (any three):

(i) Provides directions

Planning provides directions by deciding in advance what action should be taken.

(ii) Reduces the risks of uncertainty

Planning reduces the risks of uncertainty by anticipating changes and developing managerial responses to them.

(iii) Reduces overlapping and wasteful activities

Planning reduces overlapping and wasteful activities by coordinating the activities of different divisions.

(iv) Promotes innovative ideas

Planning promotes innovative ideas requiring application of mind and foresight.

(v) Facilitates decision making

Planning facilitates decision making by making a choice from among the alternative courses of action.

(vi) Establishes standards for controlling

Planning establishes standards against which actual performance is measured.

(If an examinee has not written the headings, no mark should be deducted.)

(If an examinee has given only the headings, 1⁄2 mark for each heading should be awarded.)

 

Q.11. Explain briefly any three organisational barriers to communication.

Ans. Organisational barriers: (Any three)

(i) Organisational policy.

(ii) Rules and regulations.

(iii) Status.

(iv) Complexity in organisational structure.

(v) Organisational facilities.

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

Q.16.  Give the meaning of ‘policy’ and ‘Budget’ as types of plans.

Ans. Policy

Policy is a general guideline that guides thinking or channelises energies towards a particular direction. It defines the broad parameters within which a manager may function. It brings uniformity in decision making and action for interpretation of strategy.

Budget

A budget is a statement of expected results for a given future period expressed in numerical terms from where deviations can be taken care of. It is a fundamental planning instrument as making a budget involves forecasting.

 

Q.22. Describe briefly the steps in the process of controlling.

Ans. Steps in the process of controlling:

(i) Setting performance standards

(ii) Measuring actual performance

(iii) Comparing actual performance with standards

(iv) Analysing deviations

• Critical Point Control

• Management by Exception

(v) Taking corrective action

(If an examinee has not written the steps in the correct sequence, 1⁄2 mark is to be deducted)

(If an examinee has not given the headings as above but has explained/described correctly, no marks may be deducted)

 

Q.23. Explain briefly any four factors that affect the fixed capital requirements of a company.

Ans. Factors affecting fixed capital requirements of a company: (Any four)

1. Nature of business.

2. Scale of operations.

3. Choice of technique.

4. Growth prospects.

5. Technology upgradation.

6. Diversification.

7. Financing alternatives.

8. Level of collaboration.

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

 

SET-III

Q.11. Explain briefly ‘Remuneration of Employees’ and ‘Scalar Chain’ as principles of general management.

Ans. 

Remuneration of employees

  • It states that the remuneration of employees should be just and equitable.
  • Employees should be paid fair wages, which should give them at least a reasonable standard of living. At the same time it should be within the paying capacity of the company.

Scalar Chain:

  • It refers to chain of authority and communication that runs from top to bottom and should be followed by the managers and the subordinates.
  • For example- There is one head A who has two lines of authority under him, B-C-D and L-M-N. If C has to communicate with M who is at the same level of
  • authority, then he has to transverse the route D-C-B-A-L-M-N due to the principle of scalar chain.

However, if there is an emergency, then C can directly contact M through gang plank.

  •  

 

Q.12. State any three limitations of planning.

Ans. Limitations of planning: (Any three)

(i) Leads to rigidity

Planning leads to rigidity because once a well defined plan is drawn, the managers may not be in a position to change it with the changed circumstances.

(ii) May not work in a dynamic environment

Planning may not work in a dynamic environment as the environment in which a business operates keeps on changing and planning may not foresee everything.

(iii) Reduces creativity

Planning reduces creativity as middle management and other decision makers are neither allowed to deviate from plans nor are they permitted to act on their own.

(iv) Involves huge costs

Huge costs are involved in formulating the plans andsometimes costs incurred may not justify the benefit derived from the plan.

 

(v) Time consuming process

Planning is time consuming as checking accuracy of facts may involve lot of time and sometimes not much time is left for its implementation.

(vi) Does not guarantee success

Planning does not guarantee success as managers have a tendency to rely on previously tried and tested successful plans which may create a false sense of security and lead to failure.

(If an examinee has not given the heading, no marks are to be deducted)

(If an examinee has given only the heading, 1⁄2 mark for each heading should be awarded)

 

Q.13. Explain briefly any three personal barriers to communication.

Ans. Personal barriers to effective communication are:(Any three)

(i) Fear of challenge to authority.

(ii) Lack of confidence of superior on his subordinates.

(iii) Unwillingness to communicate.

(iv) Lack of proper incentives.

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

 

Q.14. Give the meaning of ‘Objectives’ and ‘Procedure’ as types of plans.

Ans. Objectives

Objectives are the end points which are numerically expressed, that the management seeks to achieve within a given time period. These are set by the top management and focus on broad general issues. They serve as a guide for overall business planning.

Procedure

It consists of sequence of routine steps performed in a chronological order to carry out activities within a broad policy framework. It details the exact manner in which any work is to be performed.

 

 

Q.22. Explain briefly the relationship between controlling and planning.

Ans. Ans. Relationship between planning and controlling: (With explanation)

(i) Controlling takes place on the basis of standards developed by planning because if the standards are not set in advance, managers have nothing to control.

(ii) Planning without controlling is meaningless because once a plan becomes operational, controlling ensures that events conform to the plans.

(iii) Planning is prescriptive whereas controlling is evaluative because planning prescribes an appropriate course of action while controlling evaluates whether decisions have been translated into desired actions.

(iv) Planning and controlling both are forward looking because while plans are prepared for the future, controlling seeks to improve the future on the basis of

the past experience.

(v) Planning and controlling are both looking back because, while planning is guided by past experiences, controlling compares the actual performance with the standards.

(In case the candidate has not given the relationship in the form of points but has explained all the points in his answer, full credit be given)

 

Q.23. Explain briefly any four factors that affect the choice of capital structure of a company.

Ans. Following are the factors affecting the choice of capital structure of a company: (any four)

(i) Cash flow position

(ii) Interest coverage ratio

(iii) Debt service coverage Ratio

(iv) Return on Investment

(v) Cost of debt

(vi) Tax rate

(vii) Cost of equity

(viii) Floatation costs

(ix) Fixed operating costs

(x) Risk consideration

(xi) Flexibility

(xii) Control

(xiii) Regulatory framework

(xiv) Stock market conditions

(xv) Capital structure of other companies

(If an examinee has not given the headings as above but has explained correctly, no marks may be deducted)

 

 

Sociology 12th Previous Year Question Paper 2019 (CBSE)

Sociology

Q.1. What is social about social inequality? 

Answer: Social inequality is social as it is :

  1. Not about individuals but groups.
  2. Not economic thought a link is usually found between social and economic inequality.
  3. Systematic and structured, which means there is a definite pattern to social inequality.

 

Q.2. In what ways can status symbols be identified? 

Answer: The status symbol is perceived as a visible, external denotation of one’s social position in terms of economic or social status. Many luxury goods are often considered status symbols.

For example brand of a cell phone, model of a car, brand of a watch, etc. The term status symbol was coined by Max Weber.

 

Q.3. How does India benefit from a demographic dividend? 

OR

Q.3. State the importance of demographic data.

Answer: According to the United Nations Population Fund (UNFPA), the Demographic Dividend refers to “the economic growth potential that can result from shifts in a population’s age structure, mainly when the share of the working-age population (15 to 64) is larger than the non-working-age share of the population (14 and younger, and 65 and older).” There is a great influence of demographic dividend on economic growth because the demographic dividend is the economic benefit that can arise when a population has a relatively large proportion of working age people, and effectively invests in their empowerment, education and employment. This simply means that because most of the citizens are working, economic growth goes up.

OR

Answer: Importance of demographic data is :

  • It helps in analysing and keeping a check on the health status and ratio of a particular place.
  • Demographic data is important for planning and implementation of state policies, especially those for economic development and general public welfare.

 

Q.4. With the help of an example, highlight the concept of participatory democracy. 

Answer: Participatory democracy is direct democracy. It means that all citizens are actively involved in all sorts of important decisions related to the country.

Example : Participating in a democracy by voting allows the citizens of the nation, to make changes to the country’s administration and put forward their collective thoughts. A free press is another part of a larger freedom because it gives citizens the right to be informed.

 

Q.5. Economist and others have often made a distinction between the organised or formal and the unorganised or informal sector. Justify. 

Answer: 

 

Q.6. ‘Social movements also develop distinct modes of protests.’ What are these ? 

Answer: Social movement activists hold meetings to mobilise people around the issues that concern them.

They also include campaigns like lobbying with the government, media and other important makers of public opinion.

Candle march and torchlight processions, use of black cloth, street theatres, songs, poetry etc. are other distinct methods of protests.

 

Q.7. ‘Federal system has worked fairly well, though there remain many contentious issues.’ Mention any two issues. 

OR

Q.7. How can commitment to the protection of minorities also be a challenge to the State. 

Answer: Following are the issues that India still faces :

  • Increasing inter regional, economic and infrastructural inequalities.
  • The states are not developed in some uniform manner, some are well developed while some to receive attention. This creates discord among the citizens and a feeling of alienation.
  • The market economy tends to increase the gap between developed and backward classes. The rich tend to get richer while the poor tend to get poorer.

OR

Answer: States will always be held accountable for their compliance with human rights, but they also need to create conditions for releasing those rights :

  • To maintain that kind of environment in state which makes them comfortable to live in society is a challenge.
  • Most states fear that recognizing such differences will result in social fragmentation.
  • States which respect minority rights and appeal for secession face challenges in terms of communal tensions which arise often. Altercations along with the insecurity in the majority community begins to develop.

 

Q.8. What do you understand by ascriptive identities ? 

OR

Q.8. Identify the religious diversity found in India.

Answer: It is a community identity based on the birth and belonging rather than on some form of acquired qualification or accomplishment. It is an identity with one’s present and has nothing to bear with the future. These are determined by the accidents of birth and do not involve any choice on . the part of the individual concerned.

OR

Answer: India is characterised by a diversity of religious beliefs and practices. India is a secular state with no state religion. Hindus constitute an overwhelming majority in India; they number about 828 millions and account for 80.5% of the total population according to the 2001 Census. The Hindu population is four times larger than the combined population of all other minority religions, and about six times larger than the largest minority group, the Muslims.

The Muslims are numbered 138 million and were 13.4% of the population in 2001. Christians constitute around 2.3% of the population (24 million) and are scattered all over. The Sikhs constitute 1.9% of the population (19 million). There are also several other small religious groups—Buddhists (8 million, 0.8%), Jains (4 million, 0.4%) and ‘Other Religions and Persuasions’ (under 7 million, 0.7%). Religious diversity and religious tolerance are both established in the country by law and custom. The constitution of India has declared the right to freedom of religion as a fundamental right.

 

Q.9. In response to the harsh working conditions workers have expressed anger through trails unions. Differentiate between strike and lockout in the light of the above statement. 

Answer: Strike is a weapon in the armoury of the working class to fight collectively and to create pressure on the employer. It is used by the labour class to safeguard their interests, both economic and cultural.

Lockout is an Act by the employer by which his industrial establishment is temporarily closed to suppress the demands of his employees and make them resume duties at terms and conditions dictated by him.

 

Q.10. ‘Adivasi experiences of marginalization and their sense of injustice were mobilized to create shared Jharkandi identity.’ Mention the issues against which leaders of Jharkhand agitated.

Answer: The issues against which the leaders of Jharkhand agitated were :

  • Acquisition of land for large irrigation projects and firing ranges.
  • Survey and settlement operations, which were held up, camps closed down etc.
  • Collection of loans, rent, dues which were resisted.
  • Nationalisation of forest produce which they boycotted.

 

Q.11. What ideas of society did the Dharma Sabha project ? 

OR

Q.11. Modernisation and Secularisation are part of a set of modern ideas. How are the two processes linked ?

Answer: Dharma Sabha was formed in 1829 in Calcutta by Raja Radhakant Deb. The organisation was established mainly to counter the ongoing social reform movements led by protagonists such as Raja Ram Mohan Roy and Henry Derozio. They petitioned against british rule which banned the practice of sati in the country, the focus of this new association was to repel the law which was seen as an intrusion by the British into the religious affairs of the indigenous people by some sections of the Hindu-community. They considered these steps by British government radical and against their traditions and rituals.

OR

Answer: If we look into the process of modernisation and secularisation together, undoubtedly they are closely linked as both are part of a set of modern ideas. Modernisation refers in social sciences to the process of evolution from the traditional to modern society. Two processes modernisation and secularisation are linked to each other, they are both part of a set of modern ideas. Modernisation referred to improvement in technology and production processes. Secularization means wider acceptance of all religions. It has been an assumption of all theorists of modernisation that modern societies have become increasingly secular.

Modernization has been proportionally linked to secularization. Secularisation marks a process in which especially in industrialized societies, the religious beliefs, practices and institutions have lost their former social importance, the traditional beliefs are subjected to rational questioning, the monopoly of religious symbols is broken with the pluralization of the life spheres and people have established more control on their environment with the rise of individualism and modernisation.

 

Q.12. Give two examples of caste based movements.

Answer: One example of Caste based movement was the Dalit movement. This was a struggle for recognition as fellow human beings. It was a struggle for self-confidence and a space for self-determination. It was a struggle for abolishment of stigmatization, that untouchability implied. Adi Dharma Movement in Punjab, the Mahar Movement in Maharashtra, the socio-political mobilisation among the Jatavas of Agra and the Anti Brahmin Movement in south India are some examples.

 

Q.13. How do people find jobs in an industrial society ?

Answer: Formerly people used to search for jobs through newspapers, magazines, ads, or through word of mouth.

Now a days, there are websites and HR recruitments applications where major companies search for employees.

There are employment exchange programs and seminars, where one can register and find jobs as per his qualifications.

 

Q.14. How did industrialization take place in colonial India ? 

OR

Q.14. The impact of English language has been many sided and paradoxical in India. Give reasons.

Answer: Deindustrialisation is the process of social and economic change caused due to the reduction in industrial capacity to industrialisation.

Just as manufacturing boomed in Britain, traditional exports of cotton and silk manufacturers from India declined in the face of Manchester competition. Small scale manufacturers and native industries were all closed because of competition from the west. Many village artisans abandoned their hereditary craft and moved to agriculture.

OR

Answer: Impact of English language on Indian society are :

It has been a major contributor in the growth of nationalism since it gave a common base for lingually diverse people to communicate.

Its knowledge has given Indians an edge over others in the job market in the era of globalisation.

However, sometimes it is linked to social prestige and status which makes its impact derogatory because people who know the language are preferred upon people who don’t. It leads to prejudices and partiality. English continues to be a mark of privilege, not knowing English creates a problem for people in search of jobs.

 

Q.15. The Family Planning Programme suffered a setback during the years of national emergency. Justify the statement.

Answer: Reasons for the setback of the Family Planning Programme during emergency are as follows :

Introduction of a coercive programme of mass sterilisation.

A vast number of mostly poor and powerless people were forcibly sterilised. Sterilisation refers to medical procedures like vasectomy for men and tubectomy for women which prevent conception and childbirth.

There was massive pressure on lower level government officials to bring people for sterilisation to the family planning camps, which were organised specially for this purpose.

However, there was widespread popular opposition to the programme. Ultimately, this programme was abandoned by the new government elected after the emergency.

 

Q.16. Explain commodification as feature of capitalism. 

OR

Q.16. According to Alfred Gell the market has significance beyond its economic function. Explain.

Answer:Commodification as feature of capitalism described as :

  1. Commodification occurs when things not traded in the market became commodities.
  2. According to Marx and other critics of capitalism, the process of commodification has negative social effects.
  3. But in modern society, almost everyone accepts the idea that a person’s labour can be bought or that other services or skills can be provided in exchange for money.
  4. Under commodification, labour or skills become things that can be bought and sold.

OR

Answer: Market refers to a place where things are bought and sold, markets can also be considered a physical place for the gathering of buyers and sellers.

We are used to thinking of the market as an economic institution but sociologists view markets as social institutions that are constructed in culturally specific ways and are socially embedded e.g., weekly tribal haat and traditional business community. Alfred Gells says that the “Dhorai market (adivasi village market in Bastar) has significance beyond its economic function. Its layout symbolizes the hierarchical inter-group social relations. Thus, it is a representative of a social order of the society there it fulfils a lot of social functions, not just economic ones.

Different social groups are located according to their position in the caste and social hierarchy as well as in the market system. The quality of social relations are expressed in the kinds of goods that are bought and sold, and the way in which transactions are carried out.

 

Q.17. Caste is a discriminatory system. Elaborate. 

OR

Q.17. Explain the key principles that help explain social stratification.

Answer: Caste is a discriminatory system and this can be observed through the following factors :

 

Exclusion : The untouchables and reserved caste people go through the worst type of exclusion. In the past, they were not given opportunities like others and were excluded from the smallest things. Even though the system of untouchability has been abolished now, the differences of caste continues to plague our society.

Exploitation : People of downtrodden classes and castes are given very low salaries and low grade jobs in certain parts of the country. They were given jobs which no one wanted to do and were not paid.

Humiliation: Earlier, they were not allowed to wear bright coloured clothes and could not use the same roads, which Brahmins used, and had to walk with their heads bowed down. This has taken a different form now for certain parts of the country.

OR

Answer: Key principles of social stratification :

  1. Social stratification is a characteristic of society, not simply a function of individual differences.
  2. Social stratification remains over generations. A person’s social position is ascribed. It means children assume the social position of their parents. The ascribed part of social inequality is reinforced by the practice of endogamy.
  3. Social stratification is supported by the patterns of belief, or ideology in this sense, no system of social stratification is likely to remain over generations unless it is generally understood as being either fair or necessary.

 

Q.18. Competing interests do not always reflect clear class divide. Explain with suitable examples. 

Answer: Competing interests do not always reflect a clear class divide. The multi-religious and multicultural composition of the population with distinct streams of tribal culture is one aspect of the plurality. Many divides classify the Indian people. The impact that culture, religion, and caste have on the urban-rural divide, rich-poor divide and the literate-illiterate divide is varied. However, there are some basic objectives laid down in the constitution and which are generally agreed in the Indian political world as being obviously just. These would be the empowerment of the poor and marginalised, poverty alleviation, ending of caste and positive steps to treat all groups equally.

For example, the issue of the closure of factories because they emit toxic waste and affect the health of those around this is a matter of life which the constitution protects. Closure of the factory will render people jobless. This does not however reflect class divide.

 

Q.19. Which cities were developed by the British in India and why ? 

Answer: The coastal cities such as Mumbai, Kolkata and Chennai played a pivotal role in the economic system. These colonial cities were the prime link between the economic centre or core in Britain and periphery or margins in colonised India.

From these coastal cities, primary commodities could be easily exported and manufactured goods could be cheaply imported.

That is why these cities were well developed by British. The communication transportation and other facilities were built, new buildings for branch offices constructed, coastlines created and a lot of other facilities were made available as well.

 

Q.20. ‘Process of Sanskritisation encourages inequality and discrimination.’ Explain.

Answer: Sanskritization is a process by which some members of a low caste or tribe try to imitate/follow, customs, ritual beliefs, ideology and lifestyle of a caste.

Process of sanskritisation encourages inequalities and discrimination.

It has been criticized for exaggerating social mobility or the scope of lower castes to move up the social ladder for it leads to no structural change but only positional change of some individuals. Inequality continues to persist though some individuals may be able to improve their position within the unequal structure.

1. The ideology of sanskritisation accepts the ways of the upper caste as superior and that of the lower caste as inferior. Thus, the desire to imitate the upper caste is seen as natural and desirable.

2. Sanskritisation seems to justify a model that rests on inequality and exclusion. It appears to suggest that to believe in pollution and purity of groups’ of people is justifiable or all right. Therefore, to be able to look down on some groups of people just as the upper caste looked down on the lower castes, is a mark of privilege. It shows how such discriminatory ideas become a way of life. Instead of aspiring for an equal society, the exclusion and discrimination seek to give their own meaning to their excluded status. This gives rise to an undemocratic society.

3. Since sanskritisation results in the adoption of upper caste rites and rituals, it leads to practices of secluding girls and women, adopting dowry practices instead of bride-price and practising caste- discrimination against other groups.

4. The effect of such a culture is that it erodes characteristics of dalit culture and society. For example, the very worth of labour for which lower castes are degraded and rendered shameful. Identities based on the basis of work, crafts, artisanal ability are regarded useless.

 

Q.21. Is it easy to describe a State but hard to define ? Why ?

OR

Q.21. The Indian people had a brief experience of authoritarian rule during emergency.’ Justify.

Answer: A nation is a peculiar sort of community that is easy to describe but hard to define. We can describe many specific nations found on the basis of common cultural, historical and political institutions like a shared religion, language, ethnicity, history of regional culture.

But it is hard to come up with any defining features, any characteristics that a nation must possess. For every possible criterion there are exceptions. There are many nations that do not share a single common language, religion, ethnicity and so on. On the other hand, there are many languages, religions or ethnicities. All these diversities and varieties render the sociologists incapable of defining a state.

OR

Answer: The Indian people had a brief experience of authoritarian rule during the “Emergency” because:

  • Parliament was suspended, along with most of the rights given to the citizens by the constitution were revoked.
  • New laws were made directly by the government. Civil liberties were revoked.
  • Large number of politically active people were arrested and jailed without trial.
  • Censorship was imposed on the media and government officials could be dismissed without normal procedures. There was arbitrariness of laws and nothing was being followed according to set rules and regulations.

 

Q.22. ‘The pattern of farmer’s suicides points to the significant crisis that the rural areas are experiencing.’ What do you understand by ‘matrix event’ and how are they responsible for farmer’s suicides ?

OR

Q.22. Migration and lack of job security create poor working and living conditions for migrant labour. Explain with reference to the circulation of labour in India.

 Answer: Matrix Events : A range of factors that coalesce or combine or come together to form an event are called matrix events e.g., farmers distress/ suicide.

Sociologists have tried to analyze this event of suicides by looking at the structural and social changes that have been taking place in society, such suicides have become matrix events.

Farmers in our country for centuries have periodically faced lots of distress due to crop failures, drought and debt. They have been facing terrible conditions which encourages them to take negative steps. Some of the reasons why suicides are becoming a regular phenomenon are because the farmers are :

  • Unable to bear the burden of debt.
  • They can not fulfill their social obligations due to loss in crops.
  • Costs of agricultural equipment, costs of chemicals and seeds for cultivation and farming are already high and increasing every day. This creates difficulties for the farmers to survive.
  • Hiring labour and breeding animals is getting costlier too.
  • Lack of adequate support or market price also contributes.

OR

Answer: Concept of circulation of labour :

  • Commercialisation of agriculture has been responsible for the growth of migrant agricultural labour. Seasonal demand for these labourers increased in Green Revolution regions like Punjab.
  • Labourers migrate also due to increasing inequalities in rural areas. Men migrate out periodically in search of work and better wages, while women and children are often left behind in their villages.
  • Migrant workers come mainly from drought prone and less productive regions and they go to work for part of the year on farms in the Punjab and Haryana or on brick kilns in U.P. or construction sites in cities such as New Delhi or Bangalore.
  • These migrant workers have been termed “footloose labour” by Jan Breman. However, these landless workers do not have many rights and are also denied minimum wages.
  • The large scale circulation of labour has had several significant effects on rural society in both the receiving and supplying regions.
  • Women are also emerging as the main source of agricultural labour, leading to the Termination of agricultural labour form. The work insecurity for women workers is greater because they earn lower wages than men for similar work.

 

Q.23. The Khasi matriliny generates intense role conflict for men. Elaborate. 

OR

Q.23. What are some of the rules that caste system imposes ?

Answer:

  • Khasi materiliny generates intense role conflict for men. They are torn between responsibilities to their natal house on one hand and to their wife and children on the other.
  • There is an inherent disagreement in matrilineal systems. On the one hand, the line of descent and inheritance, where woman inherits property from her mother and passes it on to her daughter. The other structure of authority and control is where a man control his sister’s property and passes on control to his sister’s son. The farmer, which links the mother to the daughter, comes in conflict with the latter, which links the mother’s brother to sister’s son.
  • The tension generated by such role conflict affects Khasi women more intensely. A woman can never be fully assured that her husband does not find his sister’s house a more pleasant place than her own.
  • Thus, men are the power holders in Khasi society, the only difference is that a man’s relatives on his mother’s side matter more than his relatives on his father’s side.

OR

Answer: Rules imposed by the caste system :

  • Caste is determined by birth hence, nobody is allowed to change his caste, leave it or choose not to join it. An individual found violating caste rules shall be punished by social exclusion.
  • One cannot solemnise his marriage with a person not a member of his own group. Endogamy is recognised under caste system.
  • Person of a particular caste should strictly follow all the rules of food and food sharing as practiced in his caste.
  • A person born into a caste can only practice the occupation associated with that caste.
  • Shudras and untouchables shall serve the upper castes i.e., Brahmin, Kshatriya and Vaishya popularly called Dvija. They cannot share food with upper caste individuals.

 

Q.24. The effects of globalisation are far reaching. It affects us all but affects us differently. Explain. 

OR

Q.24. Explain the economic policy of liberalisation.

Answer: Globalisation : It refers to the growing interdependence between different people, regions and countries in the world.

The effect of globalisation is far reaching. It affects us all but affects us differently. While for some it may mean new opportunities, for others it means the loss of livelihood.

For example, Women silk spinners and twisters of Bihar lost their jobs once the Chinese and Korean silk yarn entered the market.

Similar displacements have come with the entry of large fishing vessels into Indian waters. These vessels take away the fish that used to be earlier collected by Indian fishing vessels. The livelihood of women fish sorters, dryers, vendors and net makers thereby gets affected.

In Gujarat, women gum collectors who were picking from the Julifera, lost their employment due to the import of cheaper gum from Sudan.

In almost all cities of India, the rag pickers lost part of their employment due to import of waste paper from developed countries. Some might be benefited with globalisation while others are made to face losses.

OR

Answer: The economic policy of Liberalisation :

  • The state after independence put in place a large number of laws that ensured that the Indian market and Indian indigenous, businesses were protected from competition of the wider world.
  • Liberalisation of the economy meant the steady removal of the rules that regulated Indian trade and finance regulations.
  • Since 1991, the Indian economy witnessed a series of reforms in all major sectors of the economy, agriculture, industry, trade, foreign, investment and technology, public sector, financial institutions etc. As greater integration into the global market would be beneficial to Indian economy.
  • The process of liberalisation also involved taking loans from International and Monetary Fund (IMF).

 

Q.25. Read the given passage and answer the following questions:

The India Languages Newspaper Revolution

The most significant happening in the last few decades has been the India language newspaper revolution. The beginnings of this growth predated liberalisation.

The top two dailies in India rare Danik Jagaran and Danik Bhaskar with a readership of 21 million and 17 million, respective. The fastest growing dailies are the Assamese dailies in urban areas (51.8 percent increase) and the Bengali dailies in rural areas (129 per cent).

The ‘Eenadu’ story also exemplifies the success of the Indian language press. Ramoji Rao the founder of ‘Eenadu’ has successfully organised a chit-fund, before launching the paper in 1974. By associating with appropriate causes in the rural areas like the Anti-arrack movement in the mid-1980s, the Telugu newspaper was able to reach into the countryside.

This prompted it to launch ‘district dailies’ in 1989.

There were tabloid inserts of sensational features carrying news from particulars districts as well as classified advertisements from villages and small towns of the same. By 1998 ‘Eenadu’ was being published from ten towns in Andhra Pradesh and its circulation accounted for 70 per cent of the audited Telugu daily circulation:

(a) What are the different forms of Print media ?

(b) What reasons can be attributed to the emerging growth of Indian ? 

Answer: (a) Different forms of a print media are :

  • Newspapers
  • Magazines
  • Handouts
  • Books
  • Pamphlets etc.

(b) Reasons attributed to growth of Indian language newspapers :

  • Rise in numbers of literate people.
  • Introduction of local and regional news which attracts natives.
  • Adoption of advanced printing technologies.
  • Marketing strategies.

Sociology 12th Previous Year Question Paper 2018 (CBSE)

Sociology

Q.1. What is meant by the age structure of the population ? 

Answer: The age structure of the population refers to the proportion of persons in different age groups in relation to the total population. The age structure varies in response to changes in the level of development and the average life expectancy.

Eg: 0-14, 15-59 and 60 + age groups.

 

Q.2. What are the two important issues which gave rise to tribal movements ? 

Answer:

  • The issues relating to control over vital economic resources like land and especially forests and matters relating to ethnic-cultural identity.
  • The coming of private property in land has also adversely affected tribes.

The most recent such example is the series of dams being built on the Narmada.

  • Dikus-migrant traders and money lenders-grabbed wealth, leading to impoverishment.
  • Acquisition of land for large irrigation projects and firing ranges.
  • Survey and settlement operations, which were held up, camps closed down etc.
  • Collection of issue rent and cooperative duse which were resisted.


Q.3. What is meant by laissez-faire ? 

Answer: The French term ‘Laissez Faire’ means ‘Leave alone’ or ‘Let it be’. This policy or norm is in favour of giving freedom to an individual so that, he is able to fulfil his desires and look after his interests. Adam Smith supported the idea of ‘free market mechanism’ or where there is no regulation by the government.

 

Q.4. State any two factors that encourage regionalism. 

Answer: The two factors which encourage regionalism are diversity of languages and cultures. Either geographical concentration of diverse identity markers in a region or regional deprivation affects regionalism.

 

Q.5. Why should the minorities be given constitutional protection ? 

Answer: The minority groups are considered disadvantageous group which are subjected to prejudice and discrimination, since a long time. The religious and cultural minorities need special constitutional protection due to demographic dominance of the majority which makes them politically vulnerable.

 

Q.6. How did colonial laws favour the owners and managers of tea plantations ? 

Answer: Colonial law favoured the owners and managers of tea plantation. The owners and managers of tea industry were Britishers.

  • They often used unfair means to employ labourers and many a times forced them to work in tea plantation.
  • They used harsh measures against the labourers for the benefit of the tea plantation owners.

 

Q.7. Explain Sanskritization as a process of change.

Answer: Sanskritization refers to a process by which a low Hindu caste or tribal group, changes its custom, ideology, rituals and ways of life in the direction of high and twice-born caste. It is followed by a claim, after a long time, to belong to a higher position in the caste hierarchy.

 

Q.8. What is the role of Nyaya Panchayats in providing justice at grass root levels ? 

Answer: Role of Nyaya Panchayats :

  • Nyaya Panchayats have been constituted in some states. They possess the authority to hear some petty, civil and criminal cases. They can impose fines but cannot award a sentence.
  • These village courts have often been successful in bringing about an agreement among contending parties. They have been particularly effective in punishing men who harass women for dowry and perpetrate violence against them.

 

Q.9. What do you understand by the idea of imagined communities’ that Benedict Anderson wrote of? 

Answer:

  • Benedict Anderson stated that the people who do not even know of each other’s existence feel like members of the family, can be named as ‘imagined community’.
  • It gave people who never meet each other, a sense of togetherness.

 

Q.10. What are national dailies ? Name any two. 

Answer: The Newspapers which circulate across regions are often called National Dailies and circulate across all regions.

Two national dailies are Hindustan Times and the Times of India.

 

Q.11. How has automation brought about a change in the making of the newspaper ? 

Answer: The newspaper production has become fully automatic. From the reporter’s desk to final page proof, automation has led to creation of e-newspaper and use of paper has been completely eliminated. It has become possible due to networks of computers (LAN) and use of news making software like ‘Newsmaker’.

 

Q.12. What do you understand by Universal Adult Franchise ? 

Answer: Universal Adult Franchise means that the right to vote should be given to all adult citizens without the discrimination of caste, class, colour, religion or gender. Example—in India, above 18 years of age, every adult citizen has the right to vote.

 

Q.13. What were the demands of the Bombay textile workers. 

Answer: The Bombay Textile Strike of 1982, was led by the trade union leader, Dr. Datta Samant.

Their demands were :

  • The workers wanted better wages and also wanted the right to form their own union.
  • According to Bombay Industrial Relations Act (BIRA), a union was required to be approved and the only way it could get approval was if it gave up the idea of strikes.

 

Q.14. Differentiate between Reformative and Revolutionary Movement. 

Answer: Reformist social movements strive to change the existing social and political movements through gradual, incremental steps. Example: Rights to Information Campaign.

Revolutionary social movements attempt to radically transform social relations often by capturing state power. Example : Naxalite movement in India.

 

Q.15. According to demographers and sociologists, what are the reasons for the decline in child sex ratio in India ?

OR

Q.15. Identify the reasons for regional variations of displacement levels in India.
Answer: The factors responsible for the decline in sex-ratio include severe neglect of girl-child during infancy leading to higher death rates; sex specific abortions leading to death of girl babies even before being born and female infanticide (or killing of the girl child due to religious and cultural sentiments). The practice of female infanticide was prevalent since ages and modern medical techniques such as sonogram leads to sex-specific abortion.

OR

Answer: Reasons for regional variation of displacement is the breaking of traditional patronage bonds between labourers or tenants and landlords because the seasonal demand for agriculture, labour increased in the prosperous green regions like Punjab, where people migrated in a specific season in areas with demand for labour and better wages. These migrant workers mainly come from droughts prone and less productive regions and they go to work for some months in the Punjab and Haryana, or in brick kilns in U.P., or construction sites of Bengaluru or Delhi.

 

Q.16. “Tribals have paid a disproportionate price for the development of the rest of Indian society.” Highlight the sources of conflict between ‘national development’ and ‘tribal development’.

Answer: Conflict between National development and Tribal development:

  • National development in the Nehruvian era, focused on the building of large dams, factories and mines etc.
  • As the tribal areas were rich in minerals, they paid a heavy price for the development activities, which benefited the rest of the nation.
  • The displacement of tribes has been a result of setting up of dams and factories using the forested areas for various mining activities and other development work.
  • The idea of private property in land, also, adversely affected the tribes. Tribes which mostly had collective community-based ownership were at a disadvantage in the new system. Example : series of dams being built over the Narmada river.
  • Many tribal regions have experienced heavy in-migration of non-tribals. This threatens to disrupt their cultures and communities. Example : Jharkhand and Tripura.

 

Q.17. Do you agree that all sections of people have benefitted from the liberalisation policy in India ? Justify your answer with examples. 

Answer: Liberalisation refers to the relaxation of government rules and regulations on trade and commerce. However, it would be wrong to say that liberalisation policies have benefitted all sections in India. For example, sectors such as software and information technology have been benefitted by liberalisation. However, sectors such as electronics, automobiles and oilseeds lose because of their inability to compete with the foreign producers. Moreover, farmers failed to get subsidies and support prices which were essential for their livelihood.

 

Q.18. Differentiate between a democratic and an authoritarian State.

 OR

Q.18. What is community identity ? How have Indian politics provided national identity ? 

Answer: Difference between Democratic and Authoritarian States :

Answer: Community Identity: Community provides us the language and cultural values through which we comprehend the world. Community identity is based on birth and belonging rather than on some form of acquired qualifications or accomplishment. Birth based identity is called ascriptive because this does not involve any choice on the part of the individuals concerned. These ascriptive identities are very hard to shake off because irrespective of our efforts to disown them, others may continue to identify us by those markers of belonging.

Indian Policies and National Identity :

  • Policies of integration seek to assert a single national identity by attempting to eliminate the national and cultural differences from the public and political arena.
  • Adopting the dominant group’s language as the only official national language and making its use mandatory in all public institutions.
  • Imposing a unified legal and judicial system based on dominant group’s tradition and abolishing alternative system used by other groups.

 

Q.19. Historically, what role did coastal cities play in the economic system of empires ?

Answer:

  • Historically, the big cities were built near the coastal areas from the old age empire due to ease of movement and world wide trade through waterways.</li><li>Due to economic development, coastal cities such as Mumbai, Kolkata and Chennai got importance and favour.
  • Primary commodities could be easily exported and manufactured goods could be imported at low cost.
  • These cities became prime link between economic centres throughout the world, as Goa was linked to Portugal, Chennai and Kolkata with Eastern Asia, Fizi, China etc.

 

Q.20. “The varied social reform movements had common themes yet were different.” Explain.

Answer:

  • The varied social reform movements did have common themes yet there were also significant differences. For some, the concerns were confined to the problems that the upper caste, middle class women and men faced. For others, the injustices suffered by the discriminated castes were the central questions.
  • For some, social evils had emerged because of a decline of the true spirit of Hinduism. For others, caste and gender oppression was intrinsic of the religion.
  • There were movements for Muslim women. One group had argued against the practice of polygamy whereas, other group had fought for the abolishment of Triple Talaq.
  • Debates within communities were common in various movements. For instance, Sati was opposed by the Brahmo Samaj. Orthodox members of the Hindu community in Bengal formed an organisation called “Dharma Sabha” and petitioned the British arguing that reformers had no right to interpret sacred texts.

 

Q.21. What were the social welfare responsibilities of the Panchayats ? 

Answer: According to the Constitution, panchayats should be given powers and authority to function as institutions of self-government. Panchayats had the following social responsibilities :

  • To prepare plans and schemes for economic development : The development activities include the construction of roads, public buildings, wells, schools, small irrigation works etc.
  • To promote schemes that will enhance social justice : Nyaya Panchayats have been constituted in some states. They possess the authority to hear some petty civil, criminal and domestic violence cases. They can impose fines but cannot award a sentence against a ‘guilty’ person.
  • To levy, collect and appropriate taxes, duties, tolls, and fees: The main income of the Panchayats is from tax levied on property, animals, vehicles, tax on land revenue and rentals. The resources are further increased by the grants received through the Zila Panchayat or Zila Parishad.
  • To help in the devolution of governmental responsibilities especially that of finances to local authorities : Many government schemes like, Integrated Rural Development Programme (IRDP) and Integrated Child Development Scheme (ICDS) are monitored by members of panchayat.

 

Q.22. Discuss the advantages and disadvantages of Green Revolution. 

Answer: Advantages of Green Revolution :

Green revolution was a government programme of agricultural modernisation. It was largely funded by international agencies that was based on high yielding variety of seeds with good pesticides, fertilisers and other inputs to farmers.

  • Green revolution programme was started in areas that had assured irrigation facilities, as sufficient water was necessary for the new seeds and method of cultivation. It basically targeted rice and wheat growing areas.
  • Agriculture productivity increased sharply because of new technologies. Thereafter, India became self-sufficient in food grain production.

Disadvantages of Green Revolution :

  • Since the seeds and cultivation technology was very expensive, the small and marginal farmers could not afford to spend on new technology.
  • Since the well-to-do farmers were able to afford the costly HYV seeds, fertilizers and pesticides, they began to take back their lands from tenants and cultivate it directly because new technology cultivation was becoming more profitable. This made rich farmer better off and worsened the condition of the landless and marginal holders.

The ultimate outcome of Green Revolution was a process of “differentiation” between rich and poor farmers. ,

  • In most of the green revolution areas, farmers have shifted from single crop per year to multi-crop regime, which allowed them to spread risk in case any crop fails.

 

Q.23. Are global connections new to India and the world? Discuss. 

Answer: Global Connections are new to the World and India as :

  • Since early years—India has never been isolated from the world, example—-silk routes, which connected India to the great civilisation which existed in China, Persia, Egypt and Rome.
  • Colonial Period (British rule) :
  • Throughout India’s long past, people from different parts came here, sometimes as traders, sometimes as conquerors, sometimes as migrants in search of new lands and settled down here.
  • The remove Indian villages often, people ‘recall’ a time when their ancestors lived elsewhere, from where they came and settled down where they now live.

Colonialism was part of the system that required new sources of capital, raw materials, energy, markets and a global network that sustained it.

For eg: the greatest movement of people was the migration of European people who settled down in the Americans and Australia.

  • Indentured labourers were taken away in ships from India to work in distant parts of Asia, Africa and Americans.
  • Slave trade carted thousands of Africans away to distant shores.

 

Q.24. How are the working conditions in mines detrimental to the workers ? 

Answer: 1. In 1952, an act called the Mines Act was passed. The government said that the owners of the mines have to follow certain acts/rules. Still the overall conditions of mine workers have not improved much.

Those workers who are placed in overground mines have to face hot summer &amp; rain and suffer from injuries due to mine blasting and falling objects. In fact, the rate of mining accidents in India is higher than other countries. The contractors refrain from maintaining proper register to workers for avoiding responsibility for accidents and benefits. Moreover, the company does not care to cover up the open holes of the finished area which lead to several accidents.

2. Workers in underground mines face very dangerous conditions, due to flooding, fire, the collapse of roof and sides.

3. Due to lack of fresh air, emissions of gases and ventilation failure, many workers develop breathing problems and diseases like tuberculosis and silicosis.

4. The total lifespan of mine workers are very short. Every year hundreds of workers die due to accidents in mines.

 

Q.25. Read the passage given below and answer the following questions:

In India labels such as ‘disability’, ‘handicap’, ‘crippled’, ‘blind’ and ‘deaf’ are used synonymously. Often these terms are hurled at people as insults. In a culture that looks up to bodily ‘perfection’, all deviations from the ‘perfect body’ signify abnormality, defect and distortion. Labels such as bechara (poor thing) accentuate the victim status for the disabled person. The roots of such attitudes lie in the cultural conception that views an impaired body as a result of fate. Destiny is seen as the culprit and disabled people are the victims. The common perception views disability a retribution for past Karma (actions) from which there can be no reprieve. The dominant cultural construction in India therefore looks at disability as essentially a characteristic of the individual. The popular images in mythology portray the disabled in an extremely negative fashion.

The very term ‘disabled’ challenges each of these assumptions. Terms such as ‘mentally challenged’, Visually impaired’ and ‘physically impaired’ came to replace the more trite negative terms such as ‘retarded’ ‘crippled’ or flame’. The disabled are rendered disabled not because they are biologically disabled but because society renders them so.

(a) Who form the disabled population in our country ? 

(b) Do you think disabled are rendered disabled not because they are biologically disabled but because society rendered them so ? Explain. 

Answer: (a) The people with any kind of physical or mental disability such as visual, speech, physical impairment or hearing disability form the disabled population of India.

(b) Yes, disabled are unfit not because of their biological inability but because of the treatment they receive from the society. At first, the people with any kind of impairment are called by insulting terms such as ‘handicap’, ‘blind’, ‘crippled’ or ‘deaf’. Secondly, these people are treated with contempt, and are looked down upon. An impairment is considered to be a result of ill fate which springs from the past deeds. In Hindu mythology also, any kind of impairment is ill-portrayed. In spite of the fact that these people are fully capable of becoming self-reliant, society considers them weak and incapable.

Accountancy 12th Previous Year Question Paper 2018 (CBSE)

Accountancy

Q.1 Amit and Beena were partners in a firm sharing profits and losses in the ratio of 3 : 1. Chaman was admitted as a new partner for 1⁄6 th share in the profits. Chaman acquired 2⁄5th of his share from Amit. How much share did Chaman acquire from Beena ? 

Answer: Share of profit acquired by Chaman from Aman=  1⁄6 × 2⁄5 = 2⁄30

Therefore, share of profit acquired by Chaman from Beena =  1⁄6 ⁻ 2⁄30 = 3⁄30 = 1⁄10

                                                                 OR

Answer: Share of profit acquired by Chaman from Beena= 3⁄5 × 1⁄6 = 3⁄30 = 1⁄10

 

Q. 2. Neetu, Meetu and Teetu were partners in a firm. On 1st January, 2018, Meetu retired. On Meetu’s retirement the goodwill of the firm was valued at ₹. 4,20,000. Pass necessary journal entry for the treatment of goodwill on Meetu’s retirement.

Answer: 

 

Q.3. Distinguish between ‘Dissolution of partnership’ and ‘Dissolution of partnership firm’ on the basis of settlement of assets and liabilities. 

Answer: 

Basic Dissolution of partnership Dissolution of partnership firm
Settlement of assetsand liabilities Assets and liabilities are revaluedand new balance sheet is drawn Assets are sold andliabilities are paid off

 

Q.4. Ritesh and Hitesh are childhood friends. Ritesh is a consultant whereas Hitesh is an architect. They contributed equal amounts and purchased a building for ₹. 2 crores. After a year, they sold it for ₹. 3 crores and shared the profits equally. Are they doing the business in partnership ? Give reason in support of your answer. 

Answer: No, they are not doing business in partnership because they are not involved in doing sale and purchase of land/ plot on a regular basis/ Mere co-ownership of a property does not amount to partnership.

 

Q.5. Is ‘Reserve Capital’ a part of ‘Unsubscribed Capital’ or ‘Uncalled Capital’ ? 

Answer: Reserve Capital is a part of Uncalled Capital.

 

Q.6. Give the meaning of ‘Debentures issued as Collateral Security’. 

Answer: When the company issues debentures to the lenders as an additonal/ secondary security, in addition to other assets already pledged/ some primary security. Such issue of debentures is called debentures issued as a collateral security.

 

Q.7. Jayant, Kartik and Leena were partners in a firm sharing profits and losses in the ratio of 5 : 2 : 3. Kartik died and Jayant and Leena decided to continue the business. Their gaining ratio was 2 : 3. 

Calculate the new profit sharing ratio of Jayant and Leena. 

Answer: Jayant’s gain= 2⁄5 ×  2⁄10 = 4⁄50 

Leena’s gain = 3⁄5 ×  2⁄10 = 6⁄50  

Jayant’s new share= 5⁄10 + 4⁄50 = 29⁄50 

Leena’s new share = 3⁄10 + 6⁄50 = 21⁄50 

New profit sharing ratio of Jayant and Leena = 29:21 or 29⁄50  : 21⁄50

 

Q.8. What is meant by a ‘Share’ ? Give any two differences between ‘Preference Shares’ and ‘Equity Shares’. 

Answer:  A Share refers to the unit into which the total share capital of the company is divided. 

OR 

               A share means a share in the share capital of the company and includes stock.

Differences between ‘Preference Shares’ and ‘Equity Shares’:

(i) Preference Shares are shares which carry a prefrential right at the time of payment of

dividend and at the time of repayment of capital.

(ii) Equity shares are shares which do not carry a prefrential right at the time of payment of dividend and at the time of repayment of capital.

OR

Differences between ‘Preference Shares’ and ‘Equity Shares’: (Any two)

# Preference Shares  Equity Shares
(i) Share which enjoys preferential right at the time of payment of dividend/Dividend is paid on preference sharesbefore it is paid on equity shares. Shares which do not enjoy preferentialright at the time of payment ofdividend/Dividend is paid on equity shares after it is paid on preference shares.
(ii) Enjoy preferential right at the time ofrepayment of capital. Do not enjoy preferential right at thetime of repayment of capital.
(iii) Rate of dividend may be fixed. Rate of dividend is proposed every yearby the directors and approved by theshareholders.
(iv) Preference shares may be converted into equity shares if the terms of issueprovide for it. Equity shares are not convertible.
(v) Preference shareholders have votingrights in special circumstances. Equity shareholders have voting rightsin all circumstances.
(vi) Preference shareholders do not have the right to participate in the management of the company. Equity shareholders have the right toparticipate in the management of thecompany.
(vii) Arrears on cumulative preference sharesare paid before dividend is paid onequity shares. If dividend is not declared during theyear, it is not accumulated to be paidthe coming years.

 

Q.9. NK Ltd., a truck manufacturing company, is registered with an authorised capital of ₹. 1,00,00,000 divided into equity shares of ₹. 100 each. The subscribed and paid up capital of the company is ₹. 50,00,000. 

The company decided to open technical schools in the Jhalawar district of Rajasthan to train the specially abled children of the area. It is planning to provide them employment in its various production units and industries in the neighbourhood area. To meet the capital expenditure requirements of the project, the company offered 20,000 shares to the public for subscription. The shares were fully subscribed and paid. Present the share capital in the Balance Sheet of the company as per the provisions of Schedule III of the Companies Act, 2013. 

Also identify any two values that the company wants to communicate. 

Answer: 

Balance Sheet of NK Ltd.

As at ………………..(As per revised schedule III)

Notes to Accounts :

Values (Any two):

(i) Concern for the specially abled.

(ii) Creation of job opportunities.

(iii) Development of backward regions.

          (Or any other suitable value)

 

Q.10. Complete the following journal entries left blank in the books of VK Ltd. : VK Ltd. 

Answer:

VK Ltd.

Journal

 

Q.11. Banwari, Girdhari and Murari are partners in a firm sharing profits and losses in the ratio of 4 : 5 : 6. On 31st March, 2014, Girdhari retired. On that date the capitals of Banwari, Girdhari and Murari before the necessary adjustments stood at ₹. 2,00,000, ₹. 1,00,000 and ₹. 50,000 respectively. On Girdhari’s retirement, goodwill of the firm was valued at ₹. 1,14,000. Revaluation of assets and reassessment of liabilities resulted in a profit of ₹. 6,000. General Reserve stood in the books of the firm at ₹. 30,000. 

The amount payable to Girdhari was transferred to his loan account. Banwari and Murari agreed to pay Girdhari two yearly instalments of ₹. 75,000 each including interest @ 10% p.a. on the outstanding balance during the first two years and the balance including interest in the third year. The firm closes its books on 31st March every year. Prepare Girdhari’s loan account till it is finally paid showing the working notes clearly. 

Answer: 

Working Notes:

Calculation of amount payable to Girdhari:          ₹

Girdhari’s Capital                                            1,00,000

Share of goodwill                                                38,000

Share of Revaluation profit                                  2,000

Share of General reserve                                     10,000

                                                                                  1,50,000

(WORKING NOTES MAY BE SHOWN IN ANY FORM)

 

Q.12. Asha and Aditi are partners in a firm sharing profits and losses in the ratio of 3 : 2. They admit Raghav as a partner for ¼ th share in the profits of the firm. Raghav brings ₹. 6,00,000 as his capital and his share of goodwill in cash. Goodwill of the firm is to be valued at two years’ purchase of average profits of the last four years. 

The profits of the firm during the last four years are given below : 

Year Profit (₹)
2013-14 3,50,000
2014-15 4,75,000
2015-16 6,70,000
2016-17 7,45,000

The following additional information is given : 

(i) To cover management cost an annual charge of ₹. 56,250 should be made for the purpose of valuation of goodwill.

(ii) The closing stock for the year ended 31.3.2017 was overvalued by ₹. 15,000. Pass necessary journal entries on Raghav’s admission showing the working notes clearly. 

Answer: 

Working Notes:

Calculation of goodwill:

Profits

2013-14 ₹3,50,000 – ₹56,250 = ₹2,93,750

2014-15 ₹4,75,000 – ₹56,250 = ₹4,18,750

2015-16 ₹6,70,000 – ₹56,250 = ₹6,13,750

2016-17 ₹7,45,000 – ₹56,250 – ₹15,000 = ₹6,73,750

Goodwill of the firm = (₹2,93,750 + ₹4,18,750 + ₹6,13, 750 + ₹6,73,750)/4 x 2 = ₹10,00,000

Raghav’s share of goodwill = 1⁄4 x ₹10,00,000 = ₹2,50,000

OR

Answer: Calculation of goodwill:

Total Profits of four years = ₹3,50,000 + ₹4,75,000 + ₹6,70,000 + ₹7,30,000 = ₹22,25,000

Average Profits = ₹ 5,56,250 – ₹ 56,250 = ₹ 5,00,000

Goodwill of the firm = ₹ 5,00,000 x 2 = ₹10,00,000

Raghav’s share of goodwill = 1⁄4 x ₹10,00,000 = ₹2,50,000

 

Q.13. Pranav, Karan and Rahim were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1.

 On 31st March, 2017 their Balance Sheet was as follows : 

Balance Sheet of Pranav, Karan and Rahim as on 31.3.2017 

Liabilities Amount ₹ Assets Amount ₹
Creditors 3,00,000 Fixed Assets 4,50,000
General Reserve  1,50,000 Stock 1,50,000
Capitals
Pranav – 2,00,000Karan – 2,00,000
Rahim – 1,00,000



5,00,000
DebtorsBank 1,50,000
Total 9,50,000 Total 9,50,000

Karan died on 12.6.2017. According to the partnership deed, the legal representatives of the deceased partner were entitled to the following : 

(i) Balance in his Capital Account. 

(ii) Interest on Capital @ 12% p.a. 

(iii) Share of goodwill. Goodwill of the firm on Karan’s death was valued at ₹. 60,000. 

(iv) Share in the profits of the firm till the date of his death, calculated on the basis of last year’s profit. The profit of the firm for the year ended 31.3.2017 was ₹. 5,00,000. 

Prepare Karan’s Capital Account to be presented to his representatives. 

Answer: 

Working Notes:

Interest on Capital = 12/100 x 73/365 x ₹2,00,000 = ₹4,800

Share of Profits = 2/5 x 5,00,000 x 73/365 = ₹40,000

Share of goodwill = 2/5 X ₹60,000 = ₹24,000

Share of General Reserve = 2/5 x ₹1,50,000 = ₹60,000

 

Q.14. Chander and Damini were partners in a firm sharing profits and losses equally. On 31st March, 2017 their Balance Sheet was as follows : 

On 1.4.2017, they admitted Elina as a new partner for 31 rd share in the profits on the following conditions : 

(i) Elina will bring ₹. 3,00,000 as her capital and ₹. 50,000 as her share of goodwill premium, half of which will be withdrawn by Chander and Damini. 

(ii) Debtors to the extent of ₹. 5,000 were unrecorded. 

(iii) Furniture will be reduced by 10% and 5% provision for bad and doubtful debts will be created on bills receivables and debtors. 

(iv) Value of land and building will be appreciated by 20%. 

(v) There being a claim against the firm for damages, a liability to the extent of ₹. 8,000 will be created for the same. 

Prepare Revaluation Account and Partners’ Capital Accounts. 

Answer:

 

Q.15. On 1st April, 2014, KK Ltd. invited applications for issuing 5,000 10% debentures of ₹. 1,000 each at a discount of 6%. These debentures were repayable at the end of 3rd year at a premium of 10%. Applications for 6,000 debentures were received and the debentures were allotted on pro-rata basis to all the applicants. Excess money received with applications was refunded. 

The directors decided to transfer the minimum amount to Debenture Redemption Reserve on 31.3.2016. On 1.4.2016, the company invested the necessary amount in 9% bank fixed deposit as per the provisions of the Companies Act, 2013. Tax was deducted at source by bank on interest @ 10% p.a. 

Pass the necessary journal entries for issue and redemption of debentures. Ignore entries relating to writing off loss on issue of ebentures and interest paid on debentures. 

Answer:

Q.16. Srijan, Raman and Manan were partners in a firm sharing profits and losses in the ratio of 2 : 2 : 1. On 31st March, 2017 their Balance Sheet was as follows : 

On the above date they decided to dissolve the firm. 

(i) Srijan was appointed to realise the assets and discharge the liabilities. Srijan was to receive 5% commission on sale of assets (except cash) and was to bear all expenses of realisation. 

(ii) Assets were realised as follows : 

Plant 85,000 

Stock 33,000 

Debtors 47,000 

(iii) Investments were realised at 95% of the book value. 

(iv) The firm had to pay ₹. 7,500 for an outstanding repair bill not provided for earlier. 

(v) A contingent liability in respect of bills receivable, discounted with the bank had also materialised and had to be discharged for ₹. 15,000. 

(vi) Expenses of realisation amounting to ₹. 3,000 were paid by Srijan. Prepare Realisation Account, Partners’ Capital Accounts and Bank Account. 

OR 

Q.16. Moli, Bhola and Raj were partners in a firm sharing profits and losses in the ratio of 3 : 3 : 4. Their partnership deed provided for the following : 

(i) Interest on capital @ 5% p.a. 

(ii) Interest on drawing @ 12% p.a. 

(iii) Interest on partners’ loan @ 6% p.a. 

(iv) Moli was allowed an annual salary of ₹. 4,000; 

Bhola was allowed a commission of 10% of net profit as shown by Profit and Loss Account and Raj was guaranteed a profit of ₹. 1,50,000 after making all the adjustments as provided in the partnership agreement. 

Their fixed capitals were Moli : ₹. 5,00,000; 

Bhola : ₹. 8,00,000 and Raj : ₹. 4,00,000. 

On 1st April, 2016 Bhola extended a loan of ₹. 1,00,000 to the firm. The net profit of the firm for the year ended 31st March, 2017 before interest on Bhola’s loan was ₹. 3,06,000. Prepare Profit and Loss Appropriation Account of Moli, Bhola and Raj for the year ended 31st March, 2017 and their Current Accounts assuming that Bhola withdrew ₹. 5,000 at the end of each month, Moli withdrew ₹. 10,000 at the end of each quarter and Raj withdrew ₹. 40,000 at the end of each half year. 

Answer: 

OR

Answer:

 

Q.17. X Ltd. invited applications for issuing 50,000 equity shares of ₹. 10 each. The amount was payable as follows : 

On Application : ₹. 2 per share 

On Allotment : ₹. 2 per share 

On First Call : ₹. 3 per share 

On Second and Final Call : Balance amount Applications for 70,000 shares were received. Applications for 10,000 shares were rejected and the application money was refunded. Shares were allotted to the remaining applicants on a pro-rata basis and excess money received with applications was transferred towards sums due on allotment and calls, if any. Gopal, who applied for 600 shares, paid his entire share money with application. Ghosh, who had applied for 6,000 shares, failed to pay the allotment money and his shares were immediately forfeited. These forfeited shares were re-issued to Sultan for ₹. 20,000; ₹. 4 per share paid up. The first call money and the second and final call money was called and duly received. Pass necessary journal entries for the above transactions in the books of X Ltd. Open Calls-in-Advance Account and Calls-in-Arrears Account wherever necessary. 

OR 

Q.17. A Ltd. invited applications for issuing 1,00,000 shares of ₹. 10 each at a premium of ₹. 1 per share. The amount was payable as follows : 

On Application : ₹. 3 per share 

On Allotment : ₹. 3 per share (including premium) 

On First Call : ₹. 3 per share 

On Second and Final Call : Balance amount 

Applications for 1,60,000 shares were received. 

Allotment was made on the following basis : 

(i) To applicants for 90,000 shares : 40,000 shares 

(ii) To applicants for 50,000 shares : 40,000 shares 

(iii) To applicants for 20,000 shares : full shares 

Excess money paid on application is to be adjusted against the amount due on allotment and calls. 

Rishabh, a shareholder, who applied for 1,500 shares and belonged to category (ii), did not pay allotment, first and second and final call money. 

Another shareholder, Sudha, who applied for 1,800 shares and belonged to category (i), did not pay the first and second and final call money. 

All the shares of Rishabh and Sudha were forfeited and were subsequently re-issued at ₹. 7 per share fully paid. 

Pass the necessary journal entries in the books of A Ltd. Open Calls-in-Arrears Account and Calls-in-Advance Account wherever required.

Answer

OR

Answer:

 

PART B

(Analysis of Financial Statements) 

Q.18. State the primary objective of preparing a Cash Flow Statement.

Answer:The primary objective of Cash Flow Statement is to provide useful information about cash flows (inflows and outflows) of an enterprise during a particular period underoperating, investing and financing activities.

 

Q.19.‘Interest received and paid’ is considered as which type of activity by a finance company while preparing a Cash Flow Statement ?

Answer: Interest received – Operating activity.

Interest paid – Operating activity.

OR

Answer: Interest received and paid – Operating activity.

 

Q.20. Prepare a common size Balance Sheet of KJ Ltd. from the following information : 

Answer:

In case the examinee has prepared only columns (i) and (ii) in the correct order, one mark may be awarded.

 

Q.21. From the following information obtained from the books of Kundan Ltd., calculate the inventory turnover ratio for the years 2015 − 16 and 2016 – 17 :

                                                     2015 − 16(₹)              2016 − 17(₹)

Inventory on 31st March              7,00,000                17,00,000

Revenue from operations           50,00,000               75,00,000

(Gross profit is 25% on cost of revenue from operations)

In the year 2015 − 16, inventory increased by 2,00,000.

Answer:

Inventory turnover ratio = Cost of Revenue from operations/Average inventory

2015-16 :

Cost of Revenue from operations= ₹50,00,000 -₹10,00,000 = ₹40,00,000

Average inventory = Opening inventory + Closing inventory /2

= (₹5,00,000 + ₹7,00,000)/2 

= ₹6,00,000

Inventory turnover ratio = ₹40,00,000/₹6,00,000 = 6.67 times

2016-17 :

Cost of Revenue from operations= ₹75,00,000 – ₹15,00,000 = ₹60,00,000

Average inventory = Opening inventory + Closing inventory/2

= (₹7,00,000 + ₹17,00,000)/2

= ₹12,00,000

Inventory turnover ratio = ₹60,00,000/₹12,00,000 = 5 times

 

Q.22. JW Ltd. was a company manufacturing geysers. As a part of its long term goal for expansion, the company decided to identify the opportunity in rural areas. Initial plan was rolled out for Bhiwani village in Haryana. Since the village did not have regular supply of electricity, the company decided to manufacture solar geysers. The core team consisting of the Regional Manager, Accountant and the Marketing Manager was taken from the Head Office and the remaining employees were selected from the village and neighbourhood areas. At the time of preparation of financial statements, the accountant of the company fell sick and the company deputed a junior accountant temporarily from the village for two months. The Balance Sheet prepared by the junior accountant showed the following items against the Major Heads and Sub-heads mentioned which were not as per Schedule III of the Companies Act, 2013. 

Item Major Head/Sub-Head
Loose Tools  Trade Receivables
Cheques in Hand Current Investments
Term Loan from Bank Other Long-term Liabilities
Computer Software Tangible Fixed Assets

Identify any two values that the company wants to communicate to the society. Also present the above items under the correct major heads and sub-heads as per Schedule III of the Companies Act, 2013. 

Answer:

Values (Any two):

(i) Development of rural areas.

(ii) Sensitivity towards the environment.

(iii) Generation of employment.

(Or any other suitable value)

Item Head Sub-Head
Loose Tools  Current assets Inventories
Cheques in Hand Current assets Cash and Cash Equivalents
Term Loan from Bank Non Current Liabilities Long Term Borrowings
Computer Software Non Current Assets Fixed – Intangible Assets

 

Q.23. From the following Balance Sheet of JY Ltd. as at 31st March 2017, prepare a Cash Flow Statement : 

Balance Sheet of JY Ltd. as at 31.3.2017 

Notes to Accounts :

Additional Information :

₹ 1,00,000, 10% debentures were issued on 31.3.2017.

Answer: 

Working Notes:

Calculation of Net profit before tax:

                                                         ₹

Net Profit for the year           1,25,000

Add Proposed dividend            75,000

Add Provision for tax            1,25,000

                                                    3,25,000

FULL CREDIT IS TO BE GIVEN IF AN EXAMINEE HAS TAKEN ‘SHORT TERM LOANS AND ADVANCES’ AS INCREASE IN CURRENT ASSETS UNDER OPERATING ACTIVITIES.

In that case,

CASH FROM OPERATIONS = ₹2,52,000

CASH GENERATED FROM OPERATING ACTIVITIES = ₹1,77,500

CASH USED IN INVESTING ACTIVITIES = ₹2,12,500

 

PART B 

(Computerised Accounting) 

Q.18. How does the usage of computer sharpen the competitive edge and enhance the profitability of a business ?

Answer: The quick, accurate and timely access to the information, helps decision making fast and correct, hence it helps the business to earn better.

 

Q.19. Give an example to explain the meaning of ‘stored’ and ‘derived’ attribute.

Answer: The information which is stored e.g. date of birth of a person is an example of stored attribute where as when his/her age is calculated automatically is derived attribute.

 

Q.20. Name the value which represents absence of data. Also state the situations which may require the use of these values.

Answer: The value is called “Null value” The three situations in which these can be used are

1. When a particular attribute does not apply to an entry.

2. Value of an attribute is unknown.

3. Unknown because it does not exit.

 

Q.21. Differentiate between desktop database and server database.

Answer: (Any four)

1. Application : Desktop database can be used by a single user server data base can

be used by many users at the same time.

2. Additional provision for reliability : Desktop database

Doesn’t present this but these provisions are available in server based database.

3. Cost : Desktop database tend to cost less than the server database.

4. Flexibility regarding the performance in front end applications : It is not present in desktop database but server database provide this flexibility.

5. Suitability : Desktop database are suitable for small/home offices and server

database are more suitable for large business organisations.

Q.22. Give four limitations of computerised accounting system.

Answer: Following are the limitations of computerised accounting softwares :

1. Faster obsolescence of technology necessitates investment in shorter period of time.

2. Data may be lost or corrupted due to power interruptions.

3. Data are prone to hacking.

4. Un-programmed and un-specified reports cannot be granted .

 

Q.23. ABC Ltd. operates in two cities  Bengaluru and Mangaluru. House Rent Allowance for Bengaluru is ₹ 5,000 and for Mangaluru is ₹ 4,000. Dearness Allowance is calculated on Basic Pay as follows :

15% of Basic Pay if basic pay is less than ₹ 15,000.

10% of Basic Pay if basic pay is greater than ₹ 15,000.

Standard number of days are taken as 30 days in a month.

Calculate the amount using Excel :

(i) Gross Salary of Mr. Mahesh, who is working in Bengaluru. He has availed leave without pay for 3 days and his Basic Pay is ₹ 25,000.

(ii) Gross Salary of Mr. Ranjan, who is working in Mangaluru. Basic Pay of Mr. Ranjan is ₹ 14,000.

Answer: 

Gross salary of Mr. Mahesh and Ranjan

Basic pay of Mahesh Column A1 = 25000

Basic pay of Ranjan column A2 = 14000

Basic pay earned for Mahesh column B1 = A1* 27/30 = 22500

Basic pay earned for Ranjan column B2 = A2 = 14000

HRA for Mahesh Column C1 = 5000

HRA for Ranjan Column C2 = 4000

DA for Mahesh Column D1 = IF (A1>15000, 10/100*B1, 15/100*B1)

DA for Ranjan Column D2 = IF (A2 > 15000, 10/100*B2, 5/100*B2)

D1 = 2250

D2 = 2100

Gross salary for Mahesh = Column E1 = SUM (B1,C1,D1)

Gross salary for Ranjan = Column E2 = SUM (B2,C2,D2)

Mr. Mahesh’s Salary E1 = 22500 + 5000 + 2250 = ₹29750

Mr. Ranjan’s Salary E2 = 14000 + 4000 + 2100 = ₹20100

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