Business Management MCQs

11. The number of subordinates that report directly to a single supervisor is ________.

A. span of supervision
B. span of activity
C. span of business
D. span of organizing
✅ The correct answer is option A.
The number of subordinates that report directly to a single supervisor is span of supervision. The span of supervision is also called as the span of control. It refers to the number of subordinates a manager can effectively manage. If the number of subordinates placed under a manager is small, he can control the subordinates effectively.

12. A decision which relates to day to day operation of an organization is known as

A. operative decisions
B. organizational decision
C. major decisions
D. minor decisions
✅ The correct answer is option A.
A decision which relates to day to day operation of an organization is known as operative decisions. Operational decisions or Operating decisions are decisions made to manage day to day business. Any firm which is into any kind of business is faced with 100 decisions they have to take in a day.

13. The leadership theory study leaders behaviour is __________.

A. Flowers theory
B. Trait theory
C. Behavioural theory
D. Managerial grid
✅ The correct answer is option C.
In Behavioral Theory, the focus is on the specific behaviors and actions of leaders rather than their traits or characteristics. The theory suggests that effective leadership is the result of many learned skills. Individuals need three primary skills to lead their followers – technical, human, and conceptual skills.

14. Motivation based on force of fear is called __________.

A. negative motivation
B. positive motivation
C. extrinsic motivation
D. intrinsic motivation
✅ The correct answer is option A.
Motivation based on force of fear is called negative motivation. Negative motivation is exactly the opposite concept. Behavior is motivated by anticipation or fear that an undesirable outcome will result from not performing. Fear is a powerful motivator, especially when that fear relates to your survival or, in the case of employees, their income.

15. The term span of management is also known as _______.

A. span of business
B. span of control
C. span of activity
D. span of planning
✅ The correct answer is option B.
The term span of management is also known as span of control. The concept of “span of control,” also known as management ratio, refers to the number of subordinates controlled directly by a superior.

16. The organization which was devised by FW Taylor was

A. functional organization
B. matrix organization
C. committee organization
D. line and staff organization
✅ The correct answer is option A.
The organization which was devised by FW Taylor was functional organization. A functional organization is a common type of organizational structure in which the organization is divided into smaller groups based on specialized functional areas, such as IT, finance, or marketing.

18. Achievement of objectives of an organization is concerned with

A. organization
B. Division of work
C. management
D. planning
✅ The correct answer is option C.
Achievement of objectives of an organization is concerned with management. Management is a set of principles relating to the functions of planning, organizing, directing and controlling, and the application of these principles in harnessing physical, financial, human and informational resources efficiently and effectively to achieve organizational goals.

19. Span of control means

A. chain of command
B. the number of people working
C. leadership quality
D. the number of people managed
✅ The correct answer is option D.
Span of control means the number of people managed. The concept of “span of control,” also known as management ratio, refers to the number of subordinates controlled directly by a superior.

20. According to Maslow, self-actualization needs is a _________.

A. high level needs
B. medium level needs
C. lower level needs
D. psychological needs
✅ The correct answer is option A.
According to Maslow, self-actualization needs is a high level needs. Self-actualization refers to the need for personal growth and development throughout one’s life. It is the highest level of Maslow’s hierarchy of needs, which was developed by psychologist Abraham Maslow. Once you are self-actualized, you’ve met your full potential as an individual.
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