PRINCIPLE OF MANAGEMENT MCQ – NFAT

, BUGIGIGI1. The Practice of Management written by D. POSDORBC.

__________. ANSWER: C
A. Peter F. Drucker.
B. Terry. 8. Father of Administrative management__.
C. Louis Allan. A. Mary Parkett.
D. Henry Fayol. B. Lillian Gilbert.
ANSWER: A C. Henry Fayol.
D. Elton Mayo.
2. Management is an organ, organs can be described ANSWER: C
and defined only through their functions. This
definition 9. Pioneer of Human Relations is ___________.
was given by ____________. A. Mary Parkett.
A. Peter F. Drucker. B. Lillian Gilbert.
B. Terry. C. Henry Fayol.
C. Louis Allan. D. Elton Mayo.
D. Henry Fayol. ANSWER: D
ANSWER: A
10. Henry Fayol laid down_.
3. Management is what a manger does_. A. 12 principles.
A. Peter F. Drucker. B. 13 principles.
B. Terry. C. 14 principles.
C. Louis Allan. D. 15 principles.
D. Henry Fayol. ANSWER: C
ANSWER: C
11. Espirit de corps means__.
4. To manage is to forecast and plan, to organize, to A. union is strength.
compound, to co-ordinate and to control. This B. service is our motto.
definition C. buyer beware.
was given by__. D. product is our strength.
A. Peter F. Drucker. ANSWER: A
B. Henry Fayol.
C. Louis Allan. 12. F.W. Taylor is associated with__.
D. Terry. A. Scientific Management.
ANSWER: B B. Future management.
C. Modern management.
5. Management is the art of getting things done D. Principles of management.
through and with an informally organized_. ANSWER: A
A. Harold Koontz.
B. Terry. 13. Management is__.
C. Louis Allan. A. an art.
D. Henry Fayol. B. a science.
ANSWER: A C. an art and a science.
D. an art not science.
6. Management is the art and science of decision ANSWER: C
making and leadership _____.
A. Harold Koontz. 14. Henry Fayol was a French__.
B. Donald J. Clough. A. Industrialist.
C. Louis Allan. B. Writer.
D. Terry. C. Manager.
ANSWER: B D. Actor.
ANSWER: A
7. Luther Gullik classifies the function of management
as ___________. 15. General and Industrial Management was written
A. POSDCORB. by_.
B. POSTCARD. A. Harold Koontz.
C. POSDCORB. B. Terry.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
C. Louis Allan. 22. The first and foremost function of management is
D. Hendry Fayol. ___________.
ANSWER: D A. planning.
B. organizing.
16. Every subordinate should receive orders from and C. controlling.
be accountable to only one superior is __________. D. coordination.
A. Unity of direction. ANSWER: A
B. Unity of command.
C. Centralization. 23. Planning lays down the overall objective, strategies
D. Scalar chain. and polices for the total enterprise is ___________.
ANSWER: B A. corporate planning.
B. divisions planning.
17. Control system of an organisation has no influence C. unit planning.
over the _____________. D. department planning.
A. internal environment. ANSWER: A
B. external environment.
C. customers. 24. Strategic planning is ___________.
D. government. A. long term planning.
ANSWER: B B. medium term planning.
C. short term planning.
18. The chain of command from the highest authority D. annual planning.
to the lowest level in the organization is _________. ANSWER: A
A. Unity of direction.
B. Unity of command. 25. The assumptions about future derived from
C. Centralization. forecasting and used in planning are known as
D. Scalar chain. _____________.
ANSWER: D A. planning premises.
B. freehold premises.
19. Allotment of work to each worker on the basis of C. business premises.
the capacity of an average worker functioning in the D. corporate premises.
normal working condition is _____________. ANSWER: A
A. social task planning.
B. scientific task planning. 26. Goals, aims, purposes, missions and target is also
C. not a planning. known as ____________.
D. scientific organizing. A. objective.
ANSWER: B B. strategies.
C. policies.
20. Study of the movements of both the workers and D. rules.
the machine to eliminate wasteful movement is ANSWER: A
_____________.
A. fatigue study. 27. Contingent plan to meet environmental pressures
B. time study. is ______________.
C. motion study. A. objective.
D. work-study. B. strategies.
ANSWER: C C. policies.
D. rules.
21. A study relating to the fixing of the working hours ANSWER: B
with rest periods to recoup the energy while
performing 28. A chronological sequence of steps to be
in a job is called ____________. undertaken to enforce a policy and to attain an
A. fatigue study. objective is known
B. time study. as ___________.
C. motion study. A. objective.
D. work-study. B. strategies.
ANSWER: A C. procedures.
D. rules.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
ANSWER: C C. policy.
D. methods.
29. A statement of expected results expressed in ANSWER: B
numerical terms for a definite period of time in the
future is 36. Set of clear instruction in a clear and logical
known as ____________. sequence to perform a particular task__.
A. objective. A. rules.
B. strategies. B. programme.
C. procedures. C. policy.
D. budgets. D. methods.
ANSWER: D ANSWER: B

30. The process of establishing a time sequence for 37. Employees will be promoted on the basis of
the work is known as __________. seniority is an example of __________.
A. objective. A. rules.
B. schedules. B. procedures.
C. procedures. C. policy.
D. budgets. D. methods.
ANSWER: B ANSWER: C

31. A rigid plan, no scope for discretion __________. 38. Steps to be taken for selecting salespersons is an
A. rule. example of ___________.
B. schedules. A. rules.
C. procedures. B. procedures.
D. budgets. C. policy.
ANSWER: A D. methods.
ANSWER: B
32. Specifying the manner of executing policy is
known as ________________. 39. An identified group of people contributing their
A. objective. efforts towards the attainment of goals is called an
B. schedules. _____________.
C. procedures. A. organization.
D. budgets. B. business.
ANSWER: C C. management.
D. department.
33. ____________ is the harmonising or synchronising ANSWER: A
of individual efforts with the purpose of achieving
group goals. 40. A system of co-operative activities of two or more
A. coordination. persons is called __________.
B. control. A. department.
C. decision making. B. co-ordination.
D. delegation. C. organization.
ANSWER: A D. control.
ANSWER: C
34. __________ is an obligation to perform certain
functions and achieve certain results. 41. Supply of human and material resources and helps
A. responsibility. to achieve the objective of business is__.
B. decentralisation. A. planning.
C. centralisation. B. organisaiton.
D. delegation. C. management.
ANSWER: A D. control.
ANSWER: B
35. Plan that establishes a required method of
handling future activities is called _________. 42. Formal authority flows from upwards to
A. rules. downwards in_.
B. procedures. A. formal organization.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
B. informal organization. C. business or organisation.
C. business or organisation. D. strategic organization.
D. strategic organization. ANSWER: B
ANSWER: A
50. Which organisational relationship gives a greater
43. Informal authority flows upwards to downwards or job satisfaction and results in maximum production?
horizontally in _____________. A. formal organization.
A. formal organization. B. informal organization.
B. informal organization. C. business or organisation.
C. business or organisation. D. strategic organization.
D. strategic organization. ANSWER: B
ANSWER: B
51. Which type of organization has no place in the
44. Rules, duties and responsibilities or workers are organization chart?
given in writing in__. A. formal organization.
A. formal organization. B. informal organization.
B. informal organization. C. business or organisation.
C. business or organisation. D. strategic organization.
D. strategic organization. ANSWER: B
ANSWER: A
52. Decision making is the selection based on some
45. Which is created for technological purpose? criteria from two or more possible alternatives is
A. formal organization. defined
B. informal organization. by___________.
C. business or organisation. A. Farland.
D. strategic organization. B. Mac Donald.
ANSWER: A C. Terry.
D. M.C. Nites.
46. Which arises from mans quest for social ANSWER: C
satisfaction?
A. formal organization. 53. The selection of best alternative from many
B. informal organization. alternatives is known as__________.
C. business or organisation. A. selection.
D. strategic organization. B. decision-making.
ANSWER: B C. organizing.
D. budgeting.
47. Which type of organization is permanent and ANSWER: B
stable?
A. formal organization. 54. Deal with routing and repetitive problems is a
B. informal organization. __________.
C. business or organisation. A. programmed decision.
D. strategic organization. B. non-programmed decision.
ANSWER: A C. major decision.
D. minor decision.
48. Which type of organization gives importance to ANSWER: A
terms of authority and functions?
A. formal organization. 55. Placing a purchase order is an example of
B. informal organization. ________.
C. business or organisation. A. programmed decision.
D. strategic organization. B. non-programmed decision.
ANSWER: A C. major decision.
D. decision.
49. Which type of organization gives importance to ANSWER: A
people and their relationships?
A. formal organization. 56. The decision which is taken within the purview of
B. informal organization. the policy of the organization is_______.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
A. programmed decision. A. programmed decision.
B. non-programmed decision. B. non-programmed decision.
C. major decision. C. individual decision.
D. minor decision. D. non-economic decision.
ANSWER: A ANSWER: B

57. The decision taken by lower-level management is a 64. The decision which relates to day-to-day operation
_____________. of an organization is known as ____.
A. programmed decision. A. major decision.
B. non-programmed decision. B. organisational decision.
C. major decision. C. personal decision.
D. minor decision. D. operative decision.
ANSWER: A ANSWER: D

58. The decision deal with novel and non-repetitive 65. The decision which does not incur any expenses is
problems is___________. known as ____.
A. programmed decision. A. economic decision.
B. non-programmed decision. B. crisis decision.
C. individual decision. C. non-economic decision.
D. non-economic decision. D. problem decision.
ANSWER: A ANSWER: C

59. Opening of new branch is an example of 66. The decision which is implemented within the
___________. concerned department is known as ___.
A. programmed decision. A. economic decision.
B. non-programmed decision. B. departmental decision.
C. individual decision. C. non-economic decision.
D. non-economic decision. D. problem decision.
ANSWER: B ANSWER: B

60. The decision taken by high level of management is 67. Decision taken by a committee formed by the top
_______________. management for specific purpose is ____.
A. programmed decision. A. group decision.
B. non-programmed decision. B. organisational decision.
C. individual decision. C. personal decision.
D. non-economic decision. D. operative decision.
ANSWER: B ANSWER: A

61. Non-programmed decision is also called 68. Crisis decision is also known as ____.
_____________. A. group decision.
A. routine decisions. B. major decision.
B. structured decisions. C. minor decision.
C. strategic decisions. D. spot decision.
D. operative decisions. ANSWER: D
ANSWER: C
69. A decision taken to meet unexpected situations is
62. Programmed decision is also known as known as ____.
_____________. A. economic decision.
A. routine decisions. B. crisis decision.
B. structured decisions. C. non-economic decision.
C. strategic decisions. D. problem decision.
D. operative decisions. ANSWER: B
ANSWER: D
70. The authority flows from top to bottom through
63. The decision which has long term impact on the structure of an organization is ____.
business is _____. A. The acceptance of authority theory.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
B. The formal authority theory. 77. When authority is delegated as per the
C. The competence theory. organisation structure it is called ____.
D. The organisation theory. A. formal delegation.
ANSWER: B B. informal delegation.
C. general delegation.
71. Which theory is also called traditional authority D. specific delegation.
theory? ANSWER: A
A. The acceptance of authority theory.
B. The formal authority theory. 78. When an individual or a group agrees to work
C. The competence theory. under the direction of an informal leader is called
D. The organisation theory. _____.
ANSWER: B A. formal delegation.
B. informal delegation.
72. If the subordinates do not accept the command of C. general delegation.
their superior, then the superior cannot be said to D. specific delegation.
have ANSWER: B
any authority over them is given in.
A. The acceptance of authority theory. 79. Delegation made by written orders and instruction
B. The formal authority theory. is known as ____.
C. The competence theory. A. oral delegation.
D. The organisation theory. B. written delegation.
ANSWER: A C. downward delegation.
D. sideward delegation.
73. The type of authority is invested with the persons ANSWER: B
by virtue of the office held by them is ____.
A. The acceptance of authority theory. 80. Departmentation on the basis of activities grouped
B. The formal authority theory. according to the type of customer is _____.
C. The competence theory. A. departmentation by function.
D. The organisation theory. B. departmentation by products.
ANSWER: C C. departmentation by territory.
D. departmentation by customers.
74. The process whereby a manager shares his work ANSWER: D
and authority with his subordinates is________.
A. Decentralisation 81. The process of dividing the large monolithic
B. Responsibility. functional organization into small and flexible
C. Delegation. administrative units is called ____.
D. decision making. A. staffing.
ANSWER: C B. delegation.
C. departmentation.
75. The subordinate is granted authority to perform all D. control.
the functions in his department or division is ____. ANSWER: C
A. general delegation.
B. formal delegation. 82. Departmentation is a part of the ___.
C. specific delegation. A. organisation process.
D. informal delegation. B. control process.
ANSWER: A C. planning process.
D. staffing process.
76. The orders, instructions or direction are delegated ANSWER: A
to a particular person specifically is known as ____.
A. general delegation. 83. Banks, insurance companies and distribution
B. formal delegation. agencies are examples of ____.
C. specific delegation. A. departmentation by function.
D. informal delegation. B. departmentation by products.
ANSWER: C C. departmentation by territory.
D. departmentation by customers.
ANSWER: C
PRINCIPLE OF MANAGEMENT MCQ – NFAT
D. intrinsic motivation
84. Departmentation on the basis of the production ANSWER: A
process is called ____.
A. equipment department. 91. Wages, salaries, bonus, vacation pay, insurance are
B. departmentation by products. examples of ____.
C. departmentation by territory. A. financial motivation.
D. departmentation by customers. B. non-financial motivation.
ANSWER: A C. extrinsic motivation.
D. intrinsic motivation.
85. The term span of management is also known as ANSWER: A
____.
A. span of business. 92. Participation, recognition and power are some of
B. span of control. the examples of ___.
C. span of activity. A. financial motivation.
D. span of planning. B. non-financial motivation.
ANSWER: B C. extrinsic motivation.
D. intrinsic motivation.
86. The number of subordinates that report directly to ANSWER: B
a single supervisor is ___.
A. span of supervision. 93. ____ means that each section has its own workers
B. span of activity. to perform activities within the department.
C. span of business. A. centralisation.
D. span of organizing. B. departmentation.
ANSWER: A C. decentralisation.
D. delegation.
87. Few subordinates report directly to a manager is ANSWER: C
____.
A. wide span of management. 94. According to Maslow, self-actualization needs is a
B. large span of management. ____.
C. small span of management. A. high level needs.
D. narrow span of management. B. medium level needs.
ANSWER: D C. lower level needs.
D. psychological needs.
88. Large number of subordinates report to a manager ANSWER: A
is ____.
A. wide span of management. 95. Expectancy motivation theory is given by ____.
B. large span of management. A. Vroom.
C. small span of management. B. Maslow.
D. narrow span of management. C. Herzberg.
ANSWER: A D. Mc Gregor.
ANSWER: A
89. Making assignments, issuing orders and
instructions, providing guidance and inspiration to 96. Management By Objectives was introduced by
subordinates _____.
for the achievement of organizational objective is A. Taylor.
called ___. B. Elton Mayo.
A. Planning. C. Peter Drucker.
B. Organizing. D. Maslow.
C. Directing. ANSWER: C
D. controlling.
ANSWER: C 97. Leadership behaviour is influenced by certain
qualities of a person is ____.
90. Motivation based on force of fear is called ____. A. Followers theory.
A. negative motivation. B. Trait theory.
B. positive motivation. C. Situational theory.
C. extrinsic motivation. D. Managerial grid.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
ANSWER: B B. intellectual leader.
C. liberal leader.
98. The leadership theory study leaders behaviour is D. institutional leader.
_____. ANSWER: A
A. Flowers theory.
B. Trait theory. 105. A leader motivates his followers to work hard by
C. Behavioural theory. offering them rewards is ____.
D. Managerial grid. A. positive style.
ANSWER: C B. negative style.
C. autocratic style.
99. All decision-making power is centralized in the D. democratic style.
leader is under ____. ANSWER: C
A. autocratic style.
B. liberal leader. 106. A leader forces his followers to work had and
C. democratic leader. penalizes them is ____.
D. institutional leader. A. positive style.
ANSWER: A B. negative style.
C. autocratic style.
100. The leader makes decisions in consultation with D. democratic style.
his followers is ____. ANSWER: B
A. autocratic style.
B. liberal leader. 107. Leader acts more as bosses then leadership style
C. democratic leader. is ____.
D. institutional leader. A. positive style.
ANSWER: C B. negative style.
C. autocratic style.
101. Complete freedom for group or individual D. democratic style.
decision, with a minimum of leader participation is ANSWER: B
under ____.
A. autocratic style. 108. The leader acts as a liaison officer between the
B. democratic style. employees and the outside world is ____.
C. free-rein style. A. positive style.
D. creative style. B. free-rein style.
ANSWER: C C. autocratic style.
D. democratic style.
102. A leader exercises his power over his followers ANSWER: B
because of his position held in the. organizational
hierarchy is ____. 109. The last function of management is____.
A. autocratic leader. A. Planning.
B. intellectual leader. B. Organizing.
C. liberal leader. C. Controlling.
D. institutional leader. D. Staffing.
ANSWER: D ANSWER: C

103. The leader who excels as a leader because of his 110. Fixation of standards, measurement of
superior knowledge is ___-. performance, comparison, and correction of deviation
A. autocratic leader. are the steps in________.
B. intellectual leader. A. planning.
C. liberal leader. B. organizing.
D. institutional leader. C. Staffing.
ANSWER: B D. control process.
ANSWER: D
104. A leader who serves as the head of the family
and treats his followers like his family members is 111. Planning is looking ahead and control
____. is_________.
A. paternalistic leader. A. looking back.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
B. looking front. B. receiver.
C. looking sideward. C. encoding.
D. looking down. D. decoding.
ANSWER: A ANSWER: B

112. Control exercised while the activity is in progress 119. Converting symbols, signs or pictures into
is__________. meaning is known as _______.
A. concurrent control. A. Sender.
B. feedforward control. B. receiver.
C. feedback control. C. encoding.
D. preserving control. D. decoding.
ANSWER: A ANSWER: D

113. Exchange of ideas, opinions, information etc. 120. communication that flow from superior to
between two or more persons is________. subordinates is________.
A. Planning. A. downward communication.
B. organizing. B. upward communication.
C. Communication. C. horizontal communication.
D. Staffing. D. informal communication.
ANSWER: C ANSWER: A

114. Communication is a _______. 121. Informal communication is commonly known as

A. one-way process. ________.
B. two-way process. A. downward communication.
C. three-way process. B. upward communication.
D. four-way process. C. horizontal communication.
ANSWER: B D. Grapevine.
ANSWER: D
115. The person who sends a message is known
as________. 122. Communication of policies, procedures and
A. Sender. programmes is example of_________.
B. Receiver. A. downward communication.
C. Messenger. B. upward communication.
D. Communicator. C. horizontal communication.
ANSWER: A D. informal communication.
ANSWER: A
116. The act of making ones ideas and opinions
known to others is said by_______. 123. Reports, suggestions, appeals, grievances, etc is
A. Meyer. example of_________.
B. Brown. A. downward communication.
C. Newman. B. upward communication.
D. Keith Davis. C. horizontal communication.
ANSWER: A D. informal communication.
ANSWER: B
117. The act of translating the message into words,
pictures, symbols, signs or some other form is known 124. Inter-departmental committee meeting is an
as _________. example of__________.
A. Sender. A. downward communication.
B. Receiver. B. upward communication.
C. Encoding. C. horizontal communication.
D. decoding. D. informal communication.
ANSWER: C ANSWER: C

118. The person who receives the message is called 125. Rumours and gossips are_________.
_________. A. downward communication.
A. sender. B. upward communication.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
C. horizontal communication. C. delegation of authority.
D. informal communication. D. span of control.
ANSWER: D ANSWER: A

126. Exchange of messages through spoken words 133. The oldest type of organization__________.
is_________. A. functional organization.
A. oral communication. B. line organization.
B. written communication. C. matrix organization.
C. gestural communication. D. committee organization.
D. sideward communication. ANSWER: B
ANSWER: A
134. The organization which was devised by FW Taylor
127. Lectures, group discussions, interviews, social was ________.
gathering are example of _____. A. functional organization.
A. oral communication. B. matrix organisation.
B. written communication. C. committee organization.
C. gestural communication. D. line and staff organization.
D. sideward communication. ANSWER: A
ANSWER: A
135. Devices which shows the organizational
128. Letters, circulars, memos, bulletin, manuals, relationships________.
reports are example of________. A. organizational charts.
A. oral communication. B. scalar chain.
B. written communication. C. overall plan.
C. gestural communication. D. Budgets.
D. sideward communication. ANSWER: A
ANSWER: B
136. When the supervisor commands subordinates
129. The problems in communication channels is and has close supervision is called ______.
known as______. A. free-rein.
A. organizational barriers. B. autocratic.
B. mechanical barriers. C. consultative.
C. personal barriers. D. democratic.
D. semantic barriers. ANSWER: B
ANSWER: B
137. Praise, recognition and power are_______.
130. The integration of objectives and activities of an A. intrinsic motivation.
organization is________. B. extrinsic motivation.
A. control. C. positive motivation.
B. co-ordination. D. negative motivation.
C. Planning. ANSWER: A
D. organizing.
ANSWER: B 138. X and Y theory was introduced by_______.
A. Mc gregor.
131. Co-ordination between the activities of various B. Peter drucker.
departments and individuals working within the C. Henry fayol.
organization is known as _________. D. FW taylor.
A. vertical co-ordination. ANSWER: A
B. external co-ordination.
C. internal co-ordination. 139. Time-event network is _________.
D. horizontal co-ordination. A. PERT.
ANSWER: C B. CPM.
C. MIS.
132. Scalar chain means ________. D. statistical reports.
A. hierarchy levels. ANSWER: A
B. chain of command.
PRINCIPLE OF MANAGEMENT MCQ – NFAT
140. Management is ____________. 147. The right of a person to give instructions to his
A. art. subordinates is known as_________.
B. science. A. responsibility.
C. art and science. B. authority.
D. humanities. C. accountability.
ANSWER: C D. line authority.
ANSWER: B
141. Decision making helps in the smooth function of
the___________. 148. Elements of delegation_________.
A. business. A. responsibility, authority, accountability.
B. staffing. B. authority, delegation, accountability.
C. organization. C. responsibility, decentralization, centralization.
D. planning. D. controlling, responsibility, authority.
ANSWER: A ANSWER: A

142. The transmission of thoughts from person to 149. The extent to which power and authority are
another is_____________. retained at the top is called as________.
A. communication. A. centralization.
B. controlling. B. decentralization.
C. consultative. C. responsibility.
D. organizing. D. accountability.
ANSWER: A ANSWER: A

143. The study relating to the movement of a machine 150. _____ deals with appointing people and placing
operator and his machine while performing the job is them at the appropriate jobs.
called__________. A. Human resources.
A. time study. B. Recruitment.
B. work study. C. Staffing.
C. motion study. D. Placement.
D. fatigue study. ANSWER: C
ANSWER: C

144. Selecting a best course of action among the

alternatives is called as_________.
A. decision making.
B. planning.
C. organizing.
D. controlling.
ANSWER: A

145. The decisions which are frequent and repetitive

in nature are called as________.
A. non programmed decisions.
B. programmed decisions.
C. major decisions.
D. operative decisions.
ANSWER: B

146. A decision which is taken to meet unexpected

situation__________.
A. problem decision.
B. certainty decisions.
C. crisis decision.
D. organizational decision.
ANSWER: C