Class 12 Planning Mock Test (CBSE)

Topics in Planning

• Meaning of planning
• Importance of planning
• Features of planning
• Limitations of planning
• Planning process
• Types of plans
• Objectives, strategy and policy
• Procedure, method and rule
• Programme and budget

Planning practice questions with answers

1. Q1Multiple choice·1 mark
   Which type of plan prescribes in chronological order the exact manner in which any work is to be performed?

   1. (a)Rule
   2. (b)Policy
   3. (c)Procedure
   4. (d)Method
   Show answer and step marks

   1. Correct option: (c) Procedure.+1

   Answer: (c)
2. Q2Multiple choice·1 mark
   Having weighed the costs and returns of three expansion proposals, the manager of Zenith Ltd. now decides that, of the three, opening a new factory is the proposal the firm will adopt, as it promises the highest return at the lowest risk. Which step of the planning process is this?

   1. (a)Implementing the plan
   2. (b)Evaluating alternative courses
   3. (c)Selecting an alternative
   4. (d)Follow-up action
   Show answer and step marks

   1. Correct option: (c) Selecting an alternative.+1

   Answer: (c)
3. Q3Short answer·3 marks
   Explain 'Programme' and 'Budget' as types of plans. Also, briefly explain how the two are interrelated.
   Show answer and step marks

   1. Explanation of Programme: A detailed statement outlining a project's objectives, policies, procedures, rules, tasks, and the human and physical resources required to execute a specific course of action.+1
   2. Explanation of Budget: A statement of expected results expressed in numerical terms (financial or physical quantities) for a specified future period, serving as a control standard.+1
   3. Interrelation: A programme provides the comprehensive operational blueprint of activities to be undertaken, whereas a budget provides the quantified financial and resource backing required to implement that programme successfully.+1

   Answer: Programme: a detailed statement about a project outlining its objectives, policies, procedures, rules, tasks and the human and physical resources needed. Budget: a statement of expected results in numerical terms for a definite future period, also used as a control standard. A programme lays out the activities to be done, and its budget quantifies the funds and resources needed to carry it out.

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