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Class -12(Chapter -3 Business Enviornment)

Mention the dimension of business environment applicable in following situations:

Situation	Name of environment
1.     The health-and-fitness trend has become popular among large number of urban dwellers. This has created a demand for products like organic food, diet soft drinks, gyms, bottled (mineral) water and food supplements.
2.     The celebration of Diwali, Id, Christmas, and Guru Parv in India provides significant financial opportunities for greetings card companies, sweets or confectionery manufacturers, tailoring outlets and much other related business.
3.     This health-and-fitness trend has  harmed business in other industries like dairy processing, tobacco and liquor.
4.     Even after opening up of our economy in 1991, foreign companies found it extremely difficult to cut through the bureaucratic red tape to get permits for doing business in India. Sometimes, it took months to process even their application for the purpose. As a result these companies were discouraged from investing in our country.
5.     The celebration of Diwali, Id, Christmas, and Guru Parv in India provides significant financial opportunities for greetings card companies, sweets or confectionery manufacturers, tailoring outlets and much other related business.
6.     The advertisement of alcoholic beverages is prohibited.
7.     Money supply in the economy
8.     Advertisements, including packets of cigarettes carry the statutory warning ‘Cigarette smoking is injurious to health’.
9.     The Constitution of the country
10.  Advertisements of baby food must necessarily inform the potential buyer that mother’s milk is the best. All these regulations are required to be followed by advertisers.
11.  Consumer Protection Act
12.  Government provides subsidy in the production of cotton garments.
13.  Composition of family
14.  Customer income is rising. People have developed a taste for better quality products even though they may have to pay more. The aspiration levels have increased.
15.  Airline companies have Internet and World Wide Web pages where customers can look for flight times, destinations and fares and book their tickets online.
16.  The government has also liberalised its economic policies in this regard and permitted even cent percent foreign direct investment in some sectors of retailing.
17.  A  rise in the disposable income of people due to increase in the gross domestic product of a country creates increasing demand for products.
18.  Vicks Vaporub is a popular pain balm. If it is used as a mosquito repellant in some tropical areas due to sheer ignorance, the adverse effects can be very severe.
19.  The slogan of Pepsi Cola “come alive” in some languages is translated as “come out of the grave”. Therefore due to this slogan, the product failed to pick up.
20.  Demand to reserve jobs for minorities and women.
21.  It has become possible to book railway tickets through Internet from home, office etc..
22.  Equal pay to men and women for equal work performed.
23.  High inflation rates generally result in constraints on business enterprises as they increase the various costs of business such as the purchase of raw materials or machinery and payment of wages and salaries
24.  When there is an increase in income of middle class families, there is a continuous demand for various consumer goods and they also influence investment in the corporate sector.
25.  Improvement and innovations which provide new ways of producing goods and services and new methods and techniques of operating a business.
26.  Banking sector reforms have led to easier credit terms and better services.
27.  It is common now to see CD-ROM’s, computerised information  kiosks, and Internet/ World Wide Web multimedia pages highlighting the virtues of products.
28.  In case of construction companies and automobile manufacturers, low longer-term rates are beneficial because they result in increased spending by consumers for buying homes and cars on borrowed money.
29.  The government in Hyderabad is taking keen interest in boosting IT industry as a result the state is most commonly known as Cyberabad instead of Hyderabad
30.  Presence of in women in workforce effected fashion, electronics, cosmetic and food industry

RULES APPLICABLE IN THE ABSENCE OF PARTNERSHIP DEED

 We know  that it is not cumpulsory to have a partnership deed for a partnership firm. Hence if a firm is not having any written agreement or a partnership deed  or if partnership deed is there but it is silent on certain issues the following provisions of the Indian Partnership Act 1932 will be applicable.

1. Profit sharing Ratio : Profits and losses would be shared equally among partners.

2. Interest on capital : No interest on capital would be allowed to partners. If tehre is an agreement to allow interest on capital it is to be allowed only in case of profits.

3. Interest on drawings: No interest on drawings would be charged from partners.

4. Salary:   No salary or commission is to be allowed to partners.

5. Interest on Loan : If apartner has provided any Loan to the firm, he would be paid Interest at the rate 6% p.a. This interest on laon is a charge against profits i.e. it is to be allowed even if there are losses to the firm.

Presentation Mantras for Business Studies Exam

Presentation Mantras for Business Studies Exam

Business Studies is  a scoring subject, but you have to stress on presentation. How you present your answers in answer sheet makes a great difference in marks scored by you in exam. I am not denying the fact that content is important but if you write your answers creatively   , you have more chances of getting more marks.

It is based on fact that Human brain is divided in two halves –the left brain and right brain. Left brain works logically and analytically whereas Right brain works on creativity. Examiners   tend to give more marks to papers which are written correctly and creatively as more of right brain is regulated.

Try these tips for enhancing presentation in Business Studies Exam.

Ø  Try to write answers in points rather than writing long paragraphs

Ø  Even Explanation to points can be divide in to sub points

Ø  Underline important parts and headings of answers or use highlighter or black  pen(do it simultaneously while writing answers, you may not get time later)

Ø  Do write question number clearly and strictly tallying with the question paper.

Ø  Leave one line after every point in answer.

Ø  Diagrams can be drawn to make presentation better.

All the Best

Mamta Narula

DPS Vasant Kunj

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Chapter -Marketing Management

Class XII

Topic :Objections to advertising

Check this ppt and I am sure this topic will be clear

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Do not fear exam

Exam has always been a scary word for most of the students. Actually it is not that scary if we handle it smartly. Here are some of the tips to tame Exam monster .

Tips for Exam preparation:

Make a schedule for your study: Scheduled study is always better than last minute study. You get more time to understand the fundamentals and also can study without any pressure. Scheduled study gives higher output.

Take short breaks: First read for an hour than go for a short break. In this breaking time you can talk to your family members about some interesting things. You can even watch TV for that break and watch only those program that you like most. It will give a new power and freshness in your mind.

Try to study in the morning time: Morning time is the best time to study as environment is calm and mind is fresh in the morning. It means you can grasp easily whatever you read. And don’t try to study for late night.

Make notes: Notes are your best friend during exams. They are handy. Books have tons of information which you may not need one day before exams. At that time, notes are your best friend. Always prepare good notes in your own language.

Revise regularly: There is no point of studying if you don’t remember it. Our memory fades away gradually. Without proper revision we will not be able to retain things in our mind. Revision plays a cardinal role in getting good marks.

Improve handwriting: Though it may sound funny but it really helps to get good marks. Your answer is waste if it is not understood by your teacher. Better handwriting ensures that your teacher is impressed with the answer. For essay type subjective answers, you can expect more marks if your handwriting is good.

Good language: Always use simple words to express yourself. Make sure that you are grammatically sound & write simple, grammatically correct English. Having a good vocabulary is of course an advantage.

Rely on professors/teachers notes: Most of the questions you get in the exam come from professor/teachers notes. Attend class regularly and take notes. These notes are helpful to get good marks.

Last year papers: Last year papers are good way to know the pattern of questions. Also many times questions are repeated from last year paper. Solve all the question of last year paper.

Avoid procrastination: Procrastination is your biggest enemy. Beware of  procrastination. Don’t delay your preparation. Today is the best date to start. Don’t wait

Tips for the Exam day:

1. Make sure that you scan through your notes a day before exam.
2. Never read a new topic on exam day.
3. Be confident and relaxed.
4. Sleep well the night before the exam.
5. Arrive early at the test center with at least two forms of identification.
6. Make sure that you have pen, pencil, eraser and other stationery required.
7. Take a deep breath and concentrate for five minutes before exam starts
8. Eat chocolate or drink glucose before exam as it increases energy level in your body and thus your mind works faster.
9. If you need a quick drink of water or a visit to the restroom, take time before the exam, because once started the exam will not be paused for these needs

Trust your preparation and give your best.

Class 12 Business Studies (answers to NCERT questions)

Class 12 Business Studies

Ch-9 Business finance

Answers to NCERT Questions

Short ans type (Page 265)

Q7 Discuss about working capital affecting both liquidity as well as profitability of a business

Ans

 Working capital is excess of current assets over current liabilities.

More  Investment in current assets helps in increasing the liquidity of business as compare to Fixed assets as these are converted in to cash  or cash equivalents  very quickly

Insufficient  Investment in current assets make it more difficult for organisation to meet its payment obligations(decreases Liquidity)

But current assets provide little or no returns  (they contribute less to profit)as compare to fixed assets

Conclusion: Balance need to be struck between liquidity and profitability as more working capital increases  liquidity  but  decreases profitability

Long Answer Questions

Q2 Capital Structure decision is essentially optimisation of risk-return relationship.Comment

Ans

Capital structure policy involves a trade-off between risk and return.

·         Using more debt raises the riskiness of the firms because payment of  interest and return of principal amount is obligatory for business. Any default in meeting these commitments may force business to go in to liquidation

·         But a higher propor-tion of debt generally leads to a higher expected rate of return for equity shareholders as EPS increases because of Tading on Equity

·          We know that if debt is increased beyond a point , the higher risk associated with greater debt tends to lower the share price .

Therefore, the optimal capital structure is the one that strikes a balance between risk and return to achieve our ultimate goal of maximizing the price of the equity shares(Wealth maximisation)