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The management… (Class 12 Business Studies SQP 2026-27, Q20)

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Business StudiesCBSE Class 12 · Sample paper, session 2026-27 · 1 mark · MCQ

CBSE Class 12 Business Studies sample paper 2026-27: question 20

From the official CBSE sample question paper for 2026-27, section A, question 20, for 1 mark. Try it first; the hints and our step-by-step solution are below.

Q20 · 1 mark · MCQCompetency-basedControlling

The management of Pure Foods Pvt.Ltd. noticed that in spite of timely salaries and satisfactory working conditions, employees seemed disengaged and less committed to their work.

The management conducted regular performance reviews and introduced a system where supervisors monitored work progress closely. Thus, the employees knew well in advance the standards of performance on the basis of which they will be appraised. Feedback was provided regularly, and employees who performed well were appreciated publicly during monthly meetings. Underperforming employees were given guidance and training instead of punishment.

After a few months, employee confidence improved, and performance levels increased significantly.

Identify the point of importance of controlling function discussed in the above case.

  1. (A)Judging accuracy of standards
  2. (B)Improving employee motivation
  3. (C)Ensuring order and discipline
  4. (D)Both A and B

Source: official sample paper from cbseacademic.nic.in (PDF). See it in the full Sample paper 2026-27.

Hints

Open one hint at a time and try again before the next.

Hint 1

What happened to employee confidence and performance?

Hint 2

Was any standard being tested for accuracy?

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. Employees knew the standards in advance, received regular feedback and were appreciated for good performance.

  2. Knowing in advance the standards on which they will be appraised, with rewards linked to performance, motivates employees: improving employee motivation. Option (B).

    1 mark

Answer: (B) Improving employee motivation

Where the marks are

  • Known standards and appreciation motivate (1 mark)

Revise the chapter

  • Chapter: Controlling (notes, formulas, where marks are lost and every past question)
Practise this chapterBoard-style questions from Controlling, one at a time, marked against the answer key and marking points.Back to the full paperSample paper 2026-27: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.