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In Class 12 Business Studies, under the chapter Planning, students learn that a method is a detailed, standardised way of performing a particular task. They explore how methods guide day-to-day action, bring consistency, reduce confusion, and support the achievement of organisational objectives. The topic also helps them distinguish a method from related types of plans such as objectives, policies, procedures, rules, programmes, and budgets, using simple business examples to understand its practical role in planning.
TOPIC PRACTICE
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Up to 25 questions from this page. Select your focus, then start.
25 questions
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Easy · Level 5View options
In clear and simple language
In highly technical and complex language
In vague and ambiguous language
In language with incomplete instructions
Easy · Level 5View options
Objective
Method
Strategy
Rule
Easy · Level 5View options
Work may become inconsistent
Work quality will always improve
The possibility of errors will end
The need for training will end
Easy · Level 5View options
Checking safety cover before starting a machine
Company profit target
Employee promotion list
Office rent
Easy · Level 5View options
Way
Dividend
Ownership
Market price
Easy · Level 5View options
Method
Objective
Budget
Policy
Easy · Level 5View options
Plan for distributing profits among employees
Prescribed way of performing a task
Registered legal name of a company
Source of obtaining capital for a business
Easy · Level 5View options
Setting a sales target for the next year
Designing a new logo for the company
A prescribed technique for assembling parts in a factory
Owner's personal investment in the business
Easy · Level 5View options
Method
Objective
Budget
Policy
Easy · Level 5View options
In completely unknown tasks
In routine and repeatedly performed tasks
Only in resolving legal disputes
Only in buying and selling shares
Easy · Level 5View options
Safe method of switching off a machine
Prescribed style for printing a bill
Sales target for next month
Prescribed manner of handing a packet to a customer
Easy · Level 5View options
Budget
Objective
Strategy
Method
Easy · Level 5View options
Uniformity in work
Uncertainty in work performance
Inconsistency in decisions
Confusion in work
Easy · Level 5View options
Method tells the goal and objective tells the way
Method tells the way of doing work and objective tells the goal to be achieved
Method gives only expense details and objective gives only income details
Method and objective are both unrelated to planning
Easy · Level 5View options
Policy
Budget
Method
Programme
Easy · Level 5View options
They can change laws
They can increase the capital of the business
They can control the market
They can learn to perform the work correctly and quickly
Easy · Level 5View options
Method
Objective
Policy
Strategy
Easy · Level 5View options
Objective
Way
Policy
Budget
Easy · Level 5View options
Policy
Budget
Objective
Method
Easy · Level 5View options
Fixing the owner's salary
Creating a service ticket for a customer complaint
Changing the shop's name
Setting the company's profit target
Easy · Level 5View options
Top management level
Middle management level
Operational level
Investment level
Easy · Level 5View options
Strategy
Objective
Budget
Method
Easy · Level 5View options
Available resources and work requirements
Only the colour of the building
Only the age of the owner
Only the size of the advertisement
Easy · Level 5View options
Budget
Method
Objective
Rule
Easy · Level 5View options
Objective
Policy
Budget
Method
Question 1EasyLevel 5
In what type of language should a method be explained to employees?
Correct answer: A
A method specifies the prescribed sequence for performing a task. It should therefore be communicated in clear, simple and easily understandable language so that employees can follow every step correctly. Highly technical, vague or incomplete instructions may create confusion and lead to errors in work. Exam tip: For a method, remember that clarity of the steps is essential.
What is the fixed size and way of cutting passport photos in a photo studio called?
Correct answer: B
A method states the prescribed way and sequence for performing a task. Cutting passport photographs to a fixed size in a studio is a method because it ensures that each photograph is prepared according to the same standard. A rule may state the required size, but a method also specifies how the cutting is to be done. Exam tip: Choose method when the question asks how a task will be performed.
A method specifies the prescribed sequence for doing a task. If it is not followed, different employees may perform the work differently, causing inconsistency and variation in quality. Option B is incorrect because ignoring a method does not always improve quality. Exam tip: The main purpose of a method is to ensure uniformity in work.
The direct answer is A: checking the safety cover before starting a machine. A method is a planned way of doing a task. A safety method is specially meant to prevent injury, damage, or danger. The reasoning is simple: first the worker checks whether the protective cover is correctly fitted; then the machine is started; therefore moving parts are less likely to harm someone. Option A is correct because it gives a preventive safety step. Option B, a company profit target, describes a desired financial result, not a safety procedure. Option C, an employee promotion list, concerns staffing and career decisions, not accident prevention. Option D, office rent, is an expense or financial obligation, not a method of working safely. Remember: a safety method tells people what safety check or action to perform before or during work.
Which word can indicate the correct answer in a question based on method?
Correct answer: A
The direct answer is Option A: way. A method means an organised way of doing a task. It may also be called a procedure, approach or technique, depending on the context. Therefore, in a question based on the meaning of method, the word ‘way’ is a useful clue and Option A is correct. Option B, dividend, means a distribution of profit to shareholders and belongs to finance, not to the meaning of method. Option C, ownership, means having legal control or possession of a business or property; it does not describe how an activity is performed. Option D, market price, means the price at which a product or security is sold in the market, and it is also unrelated to a method. The reasoning is simple: ask, ‘Does this word tell me how to do something?’ ‘Way’ does; dividend, ownership and market price do not. Do not treat every familiar business term as a method clue. Remember: method = way or procedure for doing work.
What is the fixed way of matching online order items with the list before putting them in a bag at a grocery shop called?
Correct answer: A
A method is a prescribed sequence or way of performing a task. Checking items against the list before packing is a fixed procedure, so Method is correct. A policy provides general guidance for decisions; it does not specify the steps for doing a task. Exam tip: If the question asks how a task will be done, look for Method.
In planning, a method specifies the prescribed way of performing a particular task—that is, how the work will be done. Therefore, option B is correct. A profit-distribution plan and a source of capital are separate planning or financial matters, not a method. Exam tip: if the question asks ‘how to do it’, think of a method.
A method is a prescribed way or technique for performing a task. The specified technique for assembling parts tells workers how the work is to be done, so it is a clear example of a method. Setting a sales target is an objective, not a method. Exam tip: A statement that explains ‘how a task will be done’ usually indicates a method.
What will the fixed way of marking finished goods in a factory be called?
Correct answer: A
A prescribed way or sequence for marking finished goods is a method. A method states how a particular task is to be performed. An objective states the result to be achieved, while a policy provides general guidance for decisions. Exam tip: Words such as “way” or “how” usually point to a method.
A method specifies the prescribed sequence or way of performing a task. It is most useful for routine and repeatedly performed tasks because it brings uniformity, saves time, and reduces errors. Completely unknown tasks may first require fresh planning or decision-making. Exam tip: remember a method as an orderly way of doing a task.
A sales target for the next month is an objective or target because it states the result to be achieved. A method specifies the prescribed way of performing a task, such as switching off a machine or handing a packet to a customer. Therefore, option C is not a method. Exam tip: a target tells what is to be achieved, while a method tells how a task is to be done.
A fixed style of attaching reports in a hospital file is an example of what?
Correct answer: D
A method specifies a fixed and orderly way of performing a task. The prescribed style for attaching reports ensures that all hospital staff organise records in the same manner; therefore, it is a method. A strategy is a broad plan for achieving an objective, not a prescribed process for a routine task. Exam tip: when a question refers to a fixed way of doing work, choose method.
What can increase in an organisation by using a method?
Correct answer: A
A method specifies the prescribed sequence or way of doing a task. When employees follow the same method, uniformity in work performance increases and results become more consistent. Uncertainty, inconsistency and confusion are generally reduced, not increased, by a clear method. Exam tip: remember that a method is a systematic way of doing work and promotes uniformity.
Which statement gives the correct difference between method and objective?
Correct answer: B
A method specifies the definite or systematic way in which a task will be performed—how the work will be done. An objective states the result or goal that is to be achieved. Therefore, option B is correct. Option A reverses these two concepts. Exam tip: link ‘how’ with method and ‘what is to be achieved’ with objective.
What is the fixed technique of labelling samples in a laboratory?
Correct answer: C
A method is a fixed, systematic technique or way of performing a task. Therefore, the prescribed steps for labelling samples in a laboratory are a method, making option C correct. A policy provides general decision guidelines, a budget is a financial plan, and a programme outlines a broader sequence of activities. Exam tip: When a question asks for the fixed way of doing a task, choose method.
What benefit do new employees get by following a method?
Correct answer: D
A method gives clear steps and a sequence for performing a task. By following it, new employees understand how and in what order the work should be done, so they learn to perform it correctly and quickly. Increasing capital or controlling the market is not a direct benefit of a method. Exam tip: Remember a method as a prescribed sequence for doing a task.
What is the fixed way of keeping fragile goods on a separate shelf in a warehouse called?
Correct answer: A
A method is a prescribed way of performing a task. Therefore, the fixed way of placing fragile goods on a separate shelf is a method. A policy gives general guidance, whereas a method states how the work will actually be done. Exam tip: If the question asks ‘how a task will be done’, look for method.
A method specifies the prescribed way or manner of performing a task. Therefore, ‘Way’ is the best identifying word. A policy provides broad guidance for decision-making, whereas a method focuses on how a task is to be performed. Exam tip: Remember method by linking it with the question, ‘How will the work be done?’
A fixed style of matching customer signatures in a bank is an example of what?
Correct answer: D
A fixed style for verifying a customer’s signature is a Method because it specifies the way in which a task is to be performed. A policy gives broad guidance, whereas a method states the specific manner of doing the work. Exam tip: When the question asks for a ‘way of doing a task’, Method is usually the correct choice.
Which example shows an after sales service method?
Correct answer: B
Creating a service ticket when a customer complains is an example of a systematic method for providing after-sales service. It records the complaint, routes it to the concerned team, and helps track its resolution. Setting a profit target is an objective of planning, not a method. Exam tip: A method describes the clear steps or process used to perform a task.
A method specifies the prescribed way of performing a task. It is used most in routine, day-to-day activities to ensure that work is done uniformly; therefore, it is most visible at the operational level. Top and middle management are more concerned with framing policies and plans. Exam tip: If a question refers to the way or sequence of doing a task, connect method with the operational level.
What is the fixed way of checking weight before packing a product in a company?
Correct answer: D
A fixed, orderly way of checking a product’s weight before packing is a method. A method specifies how a task will be performed, for example, calibrating the scale, weighing the product, and comparing it with the prescribed weight. A strategy gives broad direction, whereas a budget is a financial plan. Exam tip: Words such as “fixed way” or “how the work will be done” usually indicate a method.
A method is the prescribed sequence and way of performing a task. It must consider the resources available and the requirements of the work so that it is practical and implementable. The colour of a building, the owner’s age, or the size of an advertisement are generally not bases for deciding a method. Exam tip: Remember a method as the ‘systematic way of doing a task’.
A fixed way of pasting price labels on books in a book shop relates to what?
Correct answer: B
A fixed sequence or way of pasting price labels is a method. A method specifies how a task should be performed and the steps to be followed. A rule states what must or must not be done, whereas this situation describes the way of doing the task. Exam tip: Words such as “fixed way”, “procedure”, “sequence”, or “how to do” usually indicate a method.
If every employee is making receipts in a different way which plan is needed?
Correct answer: D
A method lays down the standard, step-by-step procedure for performing a task. A common method for preparing receipts ensures that every employee follows the same format and process. A policy gives broad guidance for decisions, whereas a method specifies how a task is to be done. Exam tip: When the question asks ‘how to do’ a task, look for method.
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