VIDYA SAGAR

CAREER INSTITUTE LIMITED

CA Foundation – Business Law & Business Correspondence and Reporting

Date : 25.08.2019
Section A
Part A "Business Law"
Answer 1 (a)
Subsequent or Supervening impossibility (Becomes impossible after entering into contract):

(1) When performance of promise become impossible or illegal by occurrence of an unexpected

event or a change of circumstances beyond the contemplation of parties, the contract becomes
void e.g. change in law etc.
(2) Also, according to section 65 of the Indian Contract Act, 1872, when an agreement
is discovered to be void or when a contract becomes void, any person who has
received any advantage under such agreement or contract is bound to restore it,
or to make compensation for it to the person from whom he received it.
(3) In the given question, after Mr. X and Mr. Y have entered into the contract to supply 50
tons of sugar, the event of flood occurred which made it impossible to deliver the sugar within
the stipula ted time. Thus, the promise in question became void.
(4) Further, Mr. X has to pay back the amount of Rs. 50,000 that he received from Mr. Y as an
advance for the supply of sugar within the stipulated time. Hence, the contention of Mr. Y
is correct.

Answer 1 (b)
(i) According to Section 20 of the Indian Partnership Act, 1932, the partners in a firm may,
by contract between the partners, extend or restrict implied authority of any
partners.
(ii) Notwithstanding any such restriction, any act done by a partner on behalf of the firm
which falls within his implied authority binds the firm, unless the person with whom
he is dealing knows of the restriction or does not know or believe that partner to
be a partner.
(iii) The implied authority of a partner may be extended or restricted by contract between
the partners. Under the following conditions, the restrictions imposed on the implied
authority of a partner by agreement shall be effective against a third party:
1. The third party knows above the restrictions, and
2. The third party does not know that he is dealing with a partner in a firm.
(iv) Now referring to the case given in the question, M supplied furniture to A, who ultimately sold them to a third
party and M was also ignorant about the agreement entered into by the partners about the change in
their role. M also is not aware that he is dealing with a partner in a firm. Therefore, M on the basis of
knowledge of implied authority of A, can recover money from the firm.
(v) But in the second situation, if M was having knowledge about the agreement, he
cannot recover money from the firm.

Answer 1 (c)
Section 26 of the Sale of Goods Act, 1930 provides that unless otherwise agreed, the goods
remain at the seller’s risk until the property therein is transferred to the buyer, but when

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the property therein is transferred to the buyer, the goods are at buyer’s risk whether
delivery has been made or not.

Further Section 18 read with Section 23 of the Act provides that in a contract for the
sale of unascertained goods, no property in the goods is transferred to the buyer,
unless and until the goods are ascertained and where there is contract for the sale of
unascertained or future goods by description, and goods of that description and in a
deliverable state are unconditionally appropriated to the contract, either by the seller
with the assent of the buyer or by the buyer with the assent of the seller, the property in
the goods thereupon passes to the buyer. Such assent may be express or implied.
Applying the aforesaid law to the facts of the case in hand, it is clear that Mr. Samuel has
the right to select the good out of the bulk and he has sent his men for same purpose.
Hence the problem can be answered based on the following two assumptions and the
answer will vary accordingly.
(a) Where the bales have been selected with the consent of the buyer’s
representatives:
In this case, the property in the 60 bales has been transferred to the buyer and goods
have been appropriated to the contract. Thus, loss arising due to fire in case of 60
bales would be borne by Mr. Samuel. As regards 40 bales, the loss would be
borne by Mr. Varun, since the goods have not been identified and appropriated.
(b) Where the bales have not been selected with the consent of buyer’s representatives.
In this case the property in the goods has not been transferred at all and hence the loss of
100 bales would be borne by Mr. Varun completely.

Answer 2 (a)
1 The House of Lords in Salomon Vs Salomon & Co. Ltd. laid down that a company is a person
distinct and separate from its members, and therefore, has an independent separate legal
existence from its members who have constituted the company.
2 But under certain circumstances the separate entity of the company may be ignored by the
courts. When that happens, the courts ignore the corporate entity of the company and look
behind the corporate façade and hold the persons in control of the management of its affairs
liable for the acts of the company.
3 Where a company is incorporated and formed by certain persons only for the purpose of
evading taxes, the courts have discretion to disregard the corporate entity and tax the income in
the hands of the appropriate assessee.
(1) The problem asked in the question is based upon the aforesaid facts. The three companies were
formed by the assessee purely and simply as a means of avoiding tax and the companies
were nothing more than the façade of the assessee himself. Therefore the whole idea of Mr.
F was simply to split his income into three parts with a view to evade tax. No other
business was done by the company.
(2) The legal personality of the three private companies may be disregarded because the
companies were formed only to avoid tax liability.

Answer 2 (b)
Definition of Consideration-Section 2(d)
“When at the desire of the promisor, the promise or any other person has done, or does or abstains from
doing of promises to do or abstain from doing something, such an act or abstinence or promise is
called consideration for the promise”
The essential characteristics of a valid consideration are as follows:
(1) Consideration must move at the desire of the promisor
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 (2) It may proceed from the promisee or any other person on his behalf.
(3) It may be executed or executory. It may be past, present or future.
(4) It must be real and have some value in the eyes of law.
(5) It must not be something which the promisor is already legally bound to do.
(6) It must not be unlawful, immoral or opposed to public policy.
(7) Inadequacy of consideration does not invalidate the contract. Thus, it need
not be proportionate to the value of the promise of the other.
(8) It may comprise of some benefit, profit, right or interest accruing to one or
some loss, detriment, obligation or responsibility undertaken by the other.

Answer 2 (c)
The differences between the sale and agreement to sell is as follows:

Basis of difference Sale Agreement to sell

Transfer of property The property in the goods Property in the goods passes to the
passes to the buyer buyer on future date or on
immediately. fulfilment of some condition.
Nature of contract It is an executed contract. It is an executory contract. i.e.
i.e. contract for which contract for which consideration is
consideration has been paid. to be paid at a future date.
Remedies for breach The seller can sue the buyer The aggrieved party can sue
for the price of the goods for damages only and not for the
because of the passing of the price, unless the price was
property therein to the buyer. payable at a stated date.
Liability of parties A subsequent loss or Such loss or destruction is
destruction of the goods is the the liability of the seller.
liability of the buyer.
Burden of risk Risk of loss is that of buyer Risk of loss is that of seller.
since risk follows ownership.
Nature of rights Creates Jus in rem Creates Jus in personam
Right of resale The seller cannot resell The seller may sell the goods
the goods. since ownership is with the seller.

Answer 3 (a)
Dissolution of Firm: The Dissolution of Firm means the discontinuation of the jural
relation existing between all the partners of the Firm. But when only one of the partners
retires or becomes in capacitated from acting as a partner due to death, insolvency or
insanity, the partnership, i.e., the relationship between such a partner and other is dissolved,
but the rest may decide to continue. In such cases, there is in practice, no dissolution of
the firm. The particular partner goes out, but the remaining partners carry on the business
of the Firm. In the case of dissolution of the firm, on the other hand, the whole firm is
dissolved. The partnership terminates as between each and every partner of the firm.
Dissolution of a Firm may take place (Section 39 - 44)
(a) as a result of any agreement between all the partners (i.e., dissolution by
agreement);
(b) by the adjudication of all the partners, or of all the partners but one, as insolvent
(i.e., compulsory dissolution);
(c) by the business of the Firm becoming unlawful (i.e., compulsory dissolution);
(d) subject to agreement between the parties, on the happening of certain
contingencies, such as: (i) effluence of time; (ii) completion of the venture for
which it was entered into; (iii) death of a partner; (iv) insolvency of a partner.
(e) by a partner giving notice of his intention to dissolve the firm, in case of

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 partnership at will and the firm being dissolved as from the date mentioned in the
notice, or if no date is mentioned, as from the date of the communication of the
notice; and
(f) by intervention of court in case of:
(i) a partner becoming the unsound mind;
(ii) permanent incapacity of a partner to perform his duties as such;
(iii) Misconductof a partner affecting the business;
(iv) willful or persistent branches of agreement by a partner;
(v) transfer or sale of the whole interest of a partner;
(vi) improbability of the business being carried on save at a loss;
(vii) the court being satisfied on other equitable grounds that the firm should be
dissolved.

Amswer 3 (b)
1. According to section 2(68) of the Companies Act, 2013, "Private company" means a
company having a minimum paid-up share capital as may be prescribed, and
which by its articles, except in case of One Person Company, limits the number
of its members to two hundred.
2. However, where two or more persons hold one or more shares in a company jointly,
they shall, for the purposes of this clause, be treated as a single member.
3. It is further provided that -
(A) persons who are in the employment of the company; and
(B) persons who, having been formerly in the employment of the company, were
members of the company while in that employment and have continued to be
members after the employment ceased,
shall not be included in the number of members.
4. In the instant case, Flora Fauna Limited may be converted into a private company
only if the total members of the company are limited to 200.
Total Number of members

(i) Directors and their relatives 190

(ii)5 Couples (5*1) 5
(iii)
Others 5
Total 200
5. Therefore, there is no need for reduction in the number of members since existing
number of members are 200 which does not exceed maximum limit of 200.

Answer 3 (c)
Meaning: A LLP is a new form of legal business entity with limited liability.
It is an alternative corporate business vehicle that not only gives the benefits of
limited liability at low compliance cost but allows its partners the flexibility of
organising their internal structure as a traditional partnership.
The LLP is a separate legal entity and, while the LLP itself will be liable for the full
extent of its assets, the liability of the partners will be limited.
Steps to incorporate LLP:
(a) Name reservation
• The first step to incorporate Limited Liability Partnership (LLP) is reservation of name of
LLP.
• Applicant has to file e- Form 1, for ascertaining availability and reservation of the name
of a LLP business.
(b) Incorporate LLP
• After reserving a name, user has to file e- Form 2 for incorporating a new Limited
Liability Partnership (LLP).
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 • e-Form 2 contains the details of LLP proposed to be incorporated, partners’/ designated
partners’ details and consent of the partners/ designated partners to act as partners/
designated partners.
(c) LLP Agreement
• Execution of LLP Agreement is mandatory as per Section 23 of the Act.
• LLP Agreement is required to be filed with the registrar in e- Form 3 within 30 days of
incorporation of LLP.

Answer 4 (a)
i As per section 43 of the Indian Contract Act, 1872, when two or more persons make a
joint promise, the promisee may, in the absence of express agreement to the
contrary, compel any one or more of such joint promisors to perform the whole
of the promise.
ii Each of two or more joint promisors may compel every other joint promisor to
contribute equally with himself to the performance of the promise, unless a
contrary intention appears from the contract.
iii If any one of two or more joint promisors makes default in such contribution, the
remaining joint promisors must bear the loss arising from such default in
equal shares.
iv In the instant case, Krish, Kamya and Ketan jointly promised to pay Rs. 6,00,000 to Dia.
Kamya become insolvent and her private assets are sufficient to pay 1/5 of her share of
debts. Krish is compelled to pay the whole amount. Krish is entitled to receive Rs. 40,000
from Kamya’s estate, and Rs. 2,80,000 from Ketan.

Answer 4 (b)
Position of Mr. D: Mr. D sold some goods to Mr. E for ` 5,00,000 on 15 days credit. Mr. D
delivered the goods. On due date Mr. E refused to pay for it. So, Mr. D is an unpaid seller
as according to section 45(1) of the Sale of Goods Act,1930 the seller of goods is
deemed to be an ‘Unpaid Seller’ when the whole of the price has not been paid or
tendered and the seller had an immediate right of action for the price.
Rights of Mr. D: As the goods have parted away from Mr. D, therefore, Mr. D cannot
exercise the right against the goods, he can only exercise his rights against the buyer i.e.
Mr. E which are as under:
(i) Suit for price (Section 55): In the mentioned contract of sale, the price is payable
after 15 days and Mr. E refuses to pay such price, Mr. D may sue Mr. E for the price.
(ii) Suit for damages for non-acceptance (Section 56): Mr. D may sue Mr. E for
damages for non-acceptance if Mr. E wrongfully neglects or refuses to accept and
pay for the goods. As regards measure of damages, Section 73 of the Indian Contract
Act, 1872 applies.
(iii) Suit for interest (Section 61): If there is no specific agreement between the Mr. D
and Mr. E as to interest on the price of the goods from the date on which payment
becomes due, Mr. D may charge interest on the price when it becomes due from
such day as he may notify to Mr. E.

Answer 4 (c)
(i) Correct: Section 3 of the Companies Act, 2013 deals with the basic requirement with
respect to the constitution of the company. In the case of a public company, any 7 or more
persons can form a company for any lawful purpose by subscribing their names to
memorandum and complying with the requirements of this Act in respect of registration. In
exactly the same way, 2 or more persons can form a private company.

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(ii) Incorrect: The common seal is a seal used by a corporation as the symbol of its
incorporation. The Companies (Amendment) Act, 2015 has made the common seal
optional by omitting the words “and a common seal” from Section 9 so as to
provide an alternative mode of authorization for companies who opt not to have a
common seal. This amendment provides that the documents which need to be
authenticated by a common seal will be required to be so done, only if the company
opts to have a common seal. In case a company does not have a common seal,
the authorization shall be made by two directors or by a director and the
Company Secretary, wherever the company has appointed a Company Secretary.

Answer 5 (a)
Discharge of a Contract:
A Contract may be discharged either by an act of parties or by an operation of law which
may be enumerated as follows:
(1) Discharge by performance which may be actual performance or attempted
performance. Actual performance is said to have taken place, when each of the parties
has done what he had agreed to do under the agreement. When the promisor offers
to perform his obligation, but the promisee refuses to accept the performance, it
amounts to attempted performance or tender.
(2) Discharge by mutual agreement: Section 62 of the Indian Contract Act, 1872 provides
that if the parties to a contract agree to substitute a new contract for it or to refund or
remit or alter it, the original contract need not to be performed. Novation, Rescission,
Alteration and Remission are also the same ground of this nature.
(3) Discharge by impossibility of performance: The impossibility may exist from its
initiation. Alternatively, it may be supervening impossibility which may take place
owing to (a) unforeseen change in law (b) The destruction of subject matter (c) The
non-existence or non- occurrence of particular state of things (d) the declaration of
war (Section 56).
(4) Discharge by lapse of time: A contract should be performed within a specific
period as prescribed in the Law of Limitation Act., 1963. If it is not performed the
party is deprived of remedy at law.
(5) Discharge by operation of law: It may occur by death of the promisor, by insolvency etc.
(6) Discharge by breach of contract: Breach of contract may be actual breach of
contract or anticipatory breach of contract. If one party defaults in performing his
part of the contract on the due date, he is said to have committed breach thereof.
When on the other hand, a person repudiates a contract before the stipulated time
for its performance has arrived, he is deemed to have committed anticipatory
breach. If one of the parties to a contract breaks the promise the party injured thereby,
has not only a right of action for damages but he is also discharged from performing
his part of the contract (Section 64).
(7) A promise may dispense with or remit, wholly or in part, the performance of the
promise made to him, or may extend the time for such performance or may accept
instead of it any satisfaction he thinks fit. In other words, a contract may be
discharged by remission. (Section 63).
(8) When a promisee neglects or refuses to afford the promisor reasonable facilities for
the performance of the promise, the promisor is excused by such neglect or refusal
(Section 67).

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Answer 5 (b)

Section 29 of the Indian Partnership Act, 1932 provides that a share in a partnership is
transferable like any other property, but as the partnership relationship is based on mutual
confidence, the assignee of a partner’s interest by sale, mortgage or otherwise cannot enjoy the
same rights and privileges as the original partner.
The rights of such a transferee are as follows:
(1) During the continuance of partnership, such transferee is not entitled
(a) to interfere with the conduct of the business,
(b) to require accounts, or
(c) to inspect books of the firm.
He is only entitled to receive the share of the profits of the transferring partner and he is
bound to accept the profits as agreed to by the partners, i.e., he cannot challenge the
accounts.
(2) On the dissolution of the firm or on the retirement of the transferring partner, the transferee will
be entitled, against the remaining partners:
(a) to receive the share of the assets of the firm to which the transferring partner was entitled,
and
(b) for the purpose of ascertaining the share,he is entitled to an account as from the date of
the dissolution.
By virtue of Section 31, no person can be introduced as a partner in a firm without the consent of
all the partners. A partner cannot by transferring his own interest, make anybody else a
partner in his place, unless the other partners agree to accept that person as a partner. At the
same time, a partner is not debarred from transferring his interest. A partner’s interest in the
partnership can be regarded as an existing interest and tangible property which can be
assigned.

Answer 6 (a)

(i) According to section 17 of the Indian Contrac t Act, 1872, mere silence as to facts
likely to affect the willingness of a person to enter into a contract is not fraud, unless
the circumstances of the case are such that, regard being had to them, it is the duty
of the person keeping silence to speak, or unless his silence is, in itself,
equivalent to speech. Hence, in the instant case,
(a) This contract is valid since as per section 17 mere silence as to the facts likely to
affect the willingness of a person to enter into a contract is not fraud. Here, it is
not the duty of the seller to disclose defects.
(b) This contract is not valid since as per section 17 it becomes P’s duty to tell Q
about the unsoundness of the horse because a fiduciary relationship exists between
P and his daughter Q. Here, P’s silence is equivalent to speech and hence
amounts to fraud.
(c) This contract is not valid since as per section 17, P’s silence is equivalent to
speech and hence amounts to fraud.

Answer 6 (b)
• Fitness of Cloth: As per the provision of Section 16(1) of the Sale of Goods Act, 1930, an
implied condition in a contract of sale that an article is fit for a particular purpose only
arises when the purpose for which the goods are supplied is known to the seller, the
buyer relied on the seller’s skills or judgement and seller deals in the goods in his usual
course of business.

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 • In this case, the cloth supplied is capable of being applied to a variety of purposes, the
buyer should have told the seller the specific purpose for which he required the goods. But
he did not do so.
• Therefore, the implied condition as to the fitness for the purpose does not apply. Hence,
the buyer Mr Yadav will not succeed in getting any remedy from the seller under the Sale
of Goods Act, 1930.

Answer 6 (c)
As regards the question whether in the case of a registered firm (whose business was
carried on after its dissolution by death of one of the partners), a suit can be filed by the
remaining partners in respect of any subsequent dealings or transactions without notifying
to the Registrar of Firms, the changes in the constitution of the firm, it was decided
that the remaining partners should sue in respect of such subsequent dealings or
transactions even though the firm was not registered again after such dissolution and
no notice of the partner was given to the Registrar.
(i) The test applied in these cases was whether the plaintiff satisfied the only two
requirements of Section 69 (2) of the Act namely,
(ii) the suit must be instituted by or on behalf of the firm which had been
registered.

Answer 6 (d)
1. Yes, a non-profit organization be registered as a company under the
Companies Act, 2013 by following the provisions of section 8 of the Companies Act,
2013. Section 8 of the Companies Act, 2013 deals with the formation of companies
which are formed to
(i) promote the charitable objects of commerce, art, science, sports, education,
research, social welfare, religion, charity, protection of environment etc.
(ii) Such company intends to apply its profit in
promoting its objects and
prohibiting the payment of any dividend to its members.
(iii) The Central Government has the power to issue license for registering a section 8
company.
(i) Section 8 allows the Central Government to register such person or association of
persons as a company with limited liability without the addition of words ‘Limited’
or ‘Private limited’ to its name, by issuing licence on such conditions as it deems fit.
(ii) The registrar shall on application register such person or association of persons as a
company under this section.
(iii) On registration the company shall enjoy same privileges and obligations as of a
limited company.

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 Section B
Part B "Business Correspondence and Reporting"

Answer 7(a)
Reading comprehension
i. People who have a sedentary lifestyle and are too much into writing/literature are
afraid of death.
ii. We can get rid of the fear of death by following a life of action and danger and also
by setting a value in life.
iii. Dr. Johnson, being a man of letters seemed to have a sedentary life style. He feared
death because of his monotonous life.
iv. A life that is full of action and danger would not fear death. One needs to be
active and avoid a sedentary life full of contemplation. One must cherish what one
has and enjoy moments as they come, rather than brood over the past and future.
Dr. Johnson is a good example of a case where death was severely dreaded.

Answer 7(b)
1. Green house Gases and the effects (Heading)
(1) Acc to Global Wrmng hts
a) Wrmng lpsd in 21st cntry
(2) New Prbltc System of prdctng clmt
(a) Dvlpd by Univ of South Hampton
(b) Uses new statscl mthd, diff from tradtnl smltns
(c) Rlbl and eqvlnt to crnt mthds
(d) Finds crnt clmt anlgs
(e) Uses rfrnce mdls
(f) Dedcs future psblts
(3) New Method
(a) Prdcts very high mean air temp, espcly on sea surfaces in 2018-22
(i) Cause
• Low prblty of intense cold events
• High prblty of heat events
(ii) Effect
• Incrd trpcl strm actvty
(b) Much faster than a super comp
(i) Prdctns made in frctn of scnd based on algo
Key Used
• Glbl= global
• Wrmng= warming
• Hts=hiatus
• Lpsd=lapsed
• Cntry=century
• Prblstc=probalistic
• Prdctng=predicting
• Clmt=climate
• Temp=temperature
• Dvlpd=developed
• Univ= university
• Statscl=statistical
• Mthds=methods
• Tradtnl=traditional
• Smltns= simulations
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 • Rlbl=reliable
• Eqvlnt=equivalent
• Crnt=current
• Analgs=analogues
• Rfrnce=reference
• Mdls=models
• Dedcs=deduces
• Psblts=possibilities
• Espcly=especially
• Prdcts=Predicts
• Prblty=probability
• Incrsd=increased
• Trpcl=tropical
• Strm=storm
• Actvty=activity
• Comp=computer
• Prdctns=predictions
• Frctn=fraction
• Scnd=second
• Algo=algorithm

(b) (ii) Summary

As per Global warming , hiatus warming seem to have lapsed in this, but new method
suggests hotter temperatures than expected. New probabilistic system developed by
South Hampton University uses a method different from the traditional one that uses
new statistical method that finds current climate analogues using reference models
deducing future possibilities. The system is as reliable as the current system. It has
predicted extremely high mean air temperature especially on the sea surfaces due to low
probability of extreme cold events and high probability of high heat events causing
increased tropical storm activity. It makes predictions in a fraction of a second and is
much faster compared to a super computer.

Answer 8(a)

Star Network: has multiple channels of network in communication.

This network allows a group communication and is useful especially where teamwork is
involved.

The members communicate and exchange information with each other freely, and without
hindrance or hesitation.

The usefulness of all networks depends on the structure and size of the company, and the
manner of communication between the employees.

Answer 8(b)

(i) The school authorities declared the results.

(ii) The teacher praised the girl that she had been working hard.
(iii) a (Norm)

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Answer 8(c)
GST : At a glance
A new development in the field of tax payment has come up with the advent of GST
(Goods and sales tax). This collective tax, includes all the multiple taxes levied on
products, however the preparation for its implementation is not too sound. The
government has postponed the first filing of GST, giving tax payers enough time to
understand the nuances. The e-commerce portals too have been given some leniency as far
as deduction of taxes from sellers is concerned.

Answer 9(a)
Barriers in communication:
• Physical Barriers
• Cultural Barriers
• Language Barriers
• Technology Barriers
• Emotional Barriers

Barriers in Communication: There are multiple barriers in the communication process. These
barriers result in distortion and misunderstanding of the intended communiqué. The
barriers can be physical, psychological, emotional, cultural, linguistic etcetera.
1. Physical barriers: These are a result of our surroundings. Noise, technical disturbances,
outdated equipment, distant locations, office doors, separate areas for people of different
areas, old technology and lack of appropriate infrastructure can lead to problems in
transmission of message.
2. Organizational structure barriers: Communication problems occur when the systems,
structures and processes in the organization are not clear or have gaps in them. If the chain
of command is unclear, a person may not know whom to contact for a particular issue.
Inappropriate information transmission systems, lack of supervision, and unclear role and
responsibility demarcations lead to confusion and inefficiency.
3. Language barriers: Language can create many obstacles in communication. Literally,
people from different regions and countries may interpret the same words differently.
Difficult words, subject specific terminology, unfamiliar expressions and ambiguous words
having multiple meanings, create hurdles in communicating. It is also a fact that that the
linguistic ability of various people in the work place is different. Some maybe proficient in
the language while others may possess just basic skills. Therefore, it is important to use
clear, simple easily understood language in most of your official communications.
4. Cultural barriers: Understanding cultural aspects of communication refers to having
knowledge of different cultures in order to communicate effectively with cross culture
people.. Understanding various cultures in this era of globalization is an absolute
necessity as the existence of cultural differences between people from various countries,
regions tribes and, religions, where words and symbols may be interpreted differently can
result in communication barriers and miscommunications. Multinational companies offer
special courses and documents to familiarize their staff with the culture of the country
where they are based for work.

In addition, every organization too has its own work culture. In fact, departments within
the same company may also differ in their expectations, norms and ideologies. This can
impact intra and inter organizational communication.
The same principle applies to families and family groups, where people have different
expectations according to their background and traditions leading to friction and
misunderstanding. A very simple example is of the way food is served by a member of a
family. It can be the cause of appreciation or displeasure.

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 5. Emotional barriers: One of the chief barriers to open and free communications is the
emotional barrier. Anger, fear of criticism or ridicule, mistrust of person, suspicion of
intentions, jealousy, anxiety and many more feelings and sentiments we carry within us,
affect our communication ability and quality. A person who is upset and disturbed cannot
pass on or receive information appropriately and objectively. His emotions will colour his
perception and assessment of the communication.
6. Attitude barriers- Personal attitudes of employees can affect communication within the
organization. A proactive, motivated worker will facilitate the communication process,
whereas a dissatisfied, disgruntled, shy, introvert or lazy employee can delay, hesitate
in taking the initiative, or refuse to communicate. Attitude problems can be addressed by
good management and regular interaction with staff members.
7. Perception Barriers- Each one of us perceives the world differently and this causes
problems in communicating. The same content is seen and interpreted differently by two
people and therein lies the root cause of miscommunications and misunderstandings.
8. Physiological barriers- Ill health, poor eyesight, hearing difficulties or any other physiological
problems can be hurdles in effective interaction with others.
9. Technology barriers– In today’s world, communication modes are primarily technology
driven.. This communication technology is being constantly upgraded or new formats
emerge ever so frequently. Anyone who is not tech friendly struggles to communicate
effectively via the medium.
Moreover, an individual is faced with a huge amount of information every day in the form
of emails, texts and social updates. Multitasking is the norm these days. The information
overload and trying to accomplish too many things together can result in gaps in
communication and miscommunications.
10. Gender barriers- Men and women communicate differently. The reason for this lies in the
wiring of a man’s and woman’s brains. Men talk in a linear, logical and compartmentalized
manner whereas the women use both logic and emotion, and are more verbose. This may
be the cause of communication problem in an office where both men and women work side
by side. Men can be held guilty of providing insufficient information, while women may be
blamed for providing too much detail.
Gender bias is another factor in communication barriers. Due to traditional mindsets, many
men find it difficult to take orders from, or provide information to women.

Answer 9(b)
(i) b
(ii) d
(iii) b

Answer 9(c)
Letter
Manager Date:
Dot Net Services.
Hyderabad
23rd Aug, 2018

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 Manager
Name of vendor company
Bengaluru
Dear Sir/Madam

Sub: Complaint against Order No. 34567 (computer peripherals)

With regard to the subject, the order No. 34567 was delivered to us on Aug 20, 2018. We are highly
dissatisfied with the quality of computer peripherals. Many devices are chipped from the edge
and few are damaged too. Moreover, the number of items delivered does not match with our
list of requirements.
Please find attached the list of items for which the order was placed for your perusal. My
colleague will also be sharing with you the pictures of the damaged peripherals. I request you
to replace the items at the earliest. In future, please ensure that a thorough quality check is
done before any dispatch to avoid mutual inconvenience.

Thanks and Regards, Name

Manager, Dot net services.

Answer 10(a)
Understanding cultural aspects of communication refers to having knowledge of
different cultures in order to communicate effectively with cross culture people..
Understanding various cultures in this era of globalization is an absolute necessity as the
existence of cultural differences between people from various countries, regions tribes and,
religions, where words and symbols may be interpreted differently can result in communication
barriers and miscommunications.
Multinational companies offer special courses and documents to familiarize their staff
with the culture of the country where they are based for work.

Anwer 10 (b) (i) (ii) c

Answer 10 (b) (ii) (ii) b
Answer 10 (b) (iii) (iii) d

Answer 10(c)
Article Writing
Hints:
• Causes of health issues: a crisp list
• Office work
• Lifestyle
• Eating habits
• Growing economy
• Money splurge
• Effects: direct effects
• Diseases
• Physical health issues
• Strain on eyes
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 • Young deaths
OR

Report Writing
Hints:
• Have a good heading
• Mention the time, date, venue
• Divide the report into three paragraphs:
• What/When/Where/ Who was invited
• Purpose of the event (learn about the cultural diversity)
• Describe the event in details (name of schools that participated, the dances and
other cultural programmes performed, the food stalls, the game stalls)
• Enthusiasm in the student community
• Conclude with an optimistic view.

Answer 11(a)
Based on Communication channels, there are three kinds of categories:
• Verbal: Verbal communication involves the use of words and language in delivering the
intended message
• Non Verbal: Nonverbal communication is the process of communicating by sending and
receiving wordless messages. These messages can aid verbal communication,
convey thoughts and feelings contrary to the spoken words or express ideas and
emotions on their own.
• Visual: Visual communication through visual aids such as signs, typography, drawing,
graphic design, illustration, colour and other electronic resources usually
reinforces written communication. Visuals like graphs, pie charts and other
diagrammatic presentations convey clearly and concisely a great deal of information. They
are an essential part of official presentations these days.

Answer 11b (i) (a)

Answer11 b (ii) (d)
Answer 11 b (iii) All books will be given to the orphans by Elizabeth.
Answer 11 b (iv) The master yelled at the servant to get lost and not show his face.
Answer 11(c)
Action Taken Report (ATR)
As per the meeting held on 12th Jan, 2018 at the Southern Region branch office of CP finance
Ltd, following actions have been reported:
• The client had complied to clear the pending dues by 10th Jan, 2018.
• The client has asked for more time. Reason mentioned: losses incurred in business.
• On the basis of being an old client, with no such bad record, order passed to provide
more time for payment.
• Expected payment till 31st January, 2018.
Undersigned
Director, Sales & Marketing
Director, Business

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Chronological Resume

Name

Phone Number
E-mail
OBJECTIVE: To be associated with an organisation that will offer to me tremendous
opportunities for growth in career and provide a challenging environment that
will utilise my accounting skills and abilities to the maximum.

SUMMARY:
• Have cleared IPCC, Group 1
• Have an year experience of working in an office
• Possess good management skills
• Can work under pressure situations
• Willingness to learn more is the driving factor.

EXPERIENCE:
2017 to present day Junior Manager
Name the company, address

EDUCATION:
Begin from recent education moving back to college and then lastly school.
2017: CA IPCC, Group 1
2016: B. com (h), Kirori Mal College, DU
2014: class XIIth, DAV Model School, Pritam Pura, New Delhi
2012: class Xth, DAV Model School, Pritam pura, New Delhi

SKILLS: Well versed with MS Office

Working knowledge of Tally
Completed compulsory 250 hrs of Computer Training as per ICAI
curriculum schedule. Updated with all the latest computer applications and
software.

PERSONAL DETAILS:
Date of Birth: 15 July, 1982

Marital Status: Unmarried

Languages Known: English, Hindi, French

Permanent Address: 822, SFS Flats, Pitam Pura New Delhi 110034

DECLARATION: I solemnly declare that all the above information is correct to the best of
my knowledge and belief.
Date: Place:

**************

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