BUSINESS STUDIES

                                CASE STUDIES

Q:1 Why are banks called debtors and creditors both?

Ans: Bank

Q:2 A transport company took an accident insurance policy for all its vehicles. A truck of that company carrying oranges met with an accident. Due to that accident there were damage to oranges but oranges were unloaded from that truck and reloaded to another. Due to time wasted in unloading and reloading the oranges got spoiled. Will the company get compensation for loss of oranges from the insurance company? Which principle is related with this case?

Ans: No. Principle of Causa Proxima.

Q:3 A husband took life insurance policy of his wife. After one year the couple got divorced and later on after two years the wife died. Will husband get the claim?

Ans: Yes

Q:4 A factory owner took a fire insurance policy for his factory without informing the company that he has received a notice from electricity department to get the wiring of factory repaired. After six months of taking policy the factory caught fire due to faulty wiring. Claim? Which principle?

Ans: No. Principle of Utmost good faith

Q:5 A gets his house insured against fire for Rs 10,00,000 and Rs 5,00,000 from two insurance companies resp. If a loss of Rs 8,00,000 occurs, how much compensation from different companies can be claimed? Also state the Principle?

Q:6 Which type of e business transaction is highlighted in the following cases:

i)             Complaint Lodged by a customer at the company’s call centre.

ii)            Withdrawal of money from ATM.

iii)           Employees sending their daily report through email.

iv)           Sale of used books through ebay.com

v)            Conducting surveys to determine customer’s preference.

vi)           Purchase of security locks system by Hyundai from Autocops.

vii)          Inventory and cash management of an organisation.

Ans: C2B, B2C, intra B, C2C, B2B, Intra B

Q:7 Identify the form of Public Sector Enterprise in the following cases:

i)             It is under the control of the concerned minister of the department and is a part of the govt.

ii)            It enjoys maximum autonomy in all management services.

iii)           Minimum 51% of the paid up capital is held by govt.

iv)           LIC and AIR India are the examples of this type of enterprise.

v)            This enterprise is most suitable when National security is concerned.

vi)           These enterprises are set up under a special Act of Parliament.

Ans: Departmental Undertaking, Govt company,Govt company, Statutory corporation, Departmental, Statutory Corporation.