Types of plans

Correct answer: B. Procedure

The correct answer is procedure because it specifies an ordered sequence for performing a task: first match the cash amount and then prepare the report. A rule only states what must or must not be done, such as ‘cash must be matched before closing the counter’; it does not describe the sequence of steps. Exam tip: If ordered steps for doing a task are given, identify it as a procedure.

Correct answer: C. Rule

The correct answer is rule because a rule makes an action compulsory or prohibits it clearly. Here, personal use of mobile phones during work time is prohibited, so it is a rule. A policy gives general guidance for decisions, whereas a budget is a financial plan and a programme is a sequence of activities. Exam tip: Words such as ‘prohibited’, ‘mandatory’, and ‘must’ usually indicate a rule.

Correct answer: A. Method

A method specifies a particular way of performing a task. The fixed way of folding goods tells how the work is to be done, so Method is correct. A procedure involves an ordered sequence of several steps, whereas this question focuses on the way of doing one task. Exam tip: Words such as “how to do” or “way” usually indicate a method.

Correct answer: B. Budget

A budget is a numerical plan that states the estimated income, expenditure and resources needed for an activity. Therefore, the estimated cost of a new promotion campaign is included in a budget. A policy provides broad guidance for decisions, whereas rules and procedures specify how work should be done. Exam tip: Words such as estimated cost, expenditure or funds usually point to a budget.

Correct answer: C. Strategy

Direct answer: Option C, Strategy. A strategy is a broad plan made to achieve an important objective, especially when the organisation must respond to a market or competitive situation. Step by step: the company has an objective, reaching rural customers; it needs an overall approach; the plan concerns a market and distribution decision rather than one small task; therefore it is a strategy. Option A, Method, tells how to perform one specific task, such as packaging or demonstrating a product. Option B, Rule, makes behaviour compulsory or prohibited, which is not the case here. Option C is correct because rural-market entry needs a broad course of action. Option D, Budget, estimates money, while the statement does not focus on figures. Memory cue: broad market approach means strategy.

Correct answer: B. Long-term customer complaint policy

The direct answer is B, a long-term customer complaint policy. A standing plan is used repeatedly for recurring or routine situations. A policy gives broad guidance for making decisions, so a customer complaint policy can guide employees whenever similar complaints arise. A one-day cultural programme is a single-use plan made for one event. A special fair budget is prepared for one particular fair, so it is also single-use. An opening-day plan concerns one specific occasion and is not normally repeated as the same plan. The word “policy” is the important clue, because policies are standard standing plans. Although the option says long-term, its essential feature is repeated use in similar situations. Remember: policies, rules, methods, and procedures are commonly standing plans; programmes and special budgets are usually single-use.

Correct answer: C. Annual science exhibition programme

A special exhibition programme is made for a specific purpose. In exams link event programme with single-use plan.

Correct answer: B. It gives a strict instruction to follow

A rule is a clear and strict instruction that specifies what must or must not be done. Therefore, option B is correct. Estimated income is associated with a budget, combining programmes is associated with a project or programme, and a target quantity is more closely linked to an objective. Exam tip: Identify a rule through mandatory directions such as ‘must do’ or ‘must not do’.

Correct answer: C. Sequence of work steps

A procedure specifies the fixed, orderly sequence of steps for performing a task. Therefore, the sequence of work steps is correct. A long-term goal relates to the objective of a plan, whereas a procedure explains how the work will actually be carried out. Exam tip: Link questions asking ‘how’ and ‘in what order’ with a procedure.

Correct answer: A. Prescribed technique for doing a task

A method specifies the prescribed technique or way of performing a task. Therefore, option A is correct. A long-term goal relates to an objective, a competitive approach relates to strategy or policy, and a cash estimate relates to a budget. Exam tip: If the question asks how a task will be done, look for method.

Correct answer: B. Procedure

A procedure is a prescribed sequence of steps for carrying out a task. Here, submission of the form, checking it, and confirming it are arranged in a fixed order; therefore, it is a procedure. A rule states what must or must not be done, whereas a procedure states the order in which a task is done. Exam tip: Words such as ‘sequence’, ‘steps’, or ‘step-by-step method’ usually indicate a procedure.

Correct answer: A. Objective

Keeping customer satisfaction high is a desired result that the company wants to achieve; therefore, it is an objective. A method describes the sequence for doing a task, whereas a budget is a numerical statement of income, expenditure, or resources. Exam tip: If a statement describes an outcome to be achieved, identify it as an objective.

Correct answer: B. Programme

A programme may include activities responsibilities and resources. In exams understand activity package as programme.

Correct answer: A. Strategy

A broad direction to face competition is strategy. In exams link competition response with strategy.

Correct answer: C. Rule

Wearing safety shoes is a compulsory instruction, so it is a rule. Rules clearly state what must or must not be done in a particular situation and leave little scope for individual discretion. A policy provides broad guidance, whereas a programme is a detailed set of activities with time and resources. Exam tip: Words such as “must,” “compulsory,” or “prohibited” usually indicate a rule.

Correct answer: A. Method

The correct answer is Method. A method specifies the prescribed and systematic procedure or technique for doing a task. Therefore, the technique used to select samples during quality checking is a method. A policy gives broad guidance for decisions, whereas a budget states expected income and expenditure. Exam tip: Words such as “how to do” or “prescribed technique” usually indicate a method.

Correct answer: B. Programme

A programme combines many event-related activities. In exams treat an event like picnic as programme.

Correct answer: B. To understand opportunities and threats

Strategy considers external opportunities and threats. In exams link opportunity and threat with strategy.

Correct answer: A. Procedure

The correct answer is procedure because the question specifies a fixed sequence of actions: attach tickets, obtain the manager’s approval, and then submit the bill. A policy gives broad guidance for decision-making, not step-by-step instructions. An objective states an intended result, while a budget is a financial statement of expected income and expenditure. Exam tip: A stated sequence of steps usually indicates a procedure.

Correct answer: B. Policy

A policy provides broad guidelines for decision-making. Giving priority to the safety of women employees guides the company’s decisions and actions, so it is a policy. A rule is more specific and compulsory, such as ‘Employees must wear an identity card at work.’ Exam tip: Statements about general direction or organisational priorities usually indicate a policy.

Correct answer: A. Single-use plan

A plan for a one-time exhibition is single-use. In exams treat one-time activity as single-use plan.

Correct answer: B. Standing plan

The correct answer is B, Standing plan. A standing plan is prepared for activities that occur repeatedly and provides a continuing framework for handling similar situations in the future. A purchase process used again and again can follow the same established guidance, so preparing a standing plan avoids creating a completely new plan every time. A single-use plan is designed for a particular, non-recurring situation or project. A special budget is a numerical statement prepared for a specific financial purpose, and a temporary objective states a short-term desired result; neither term describes the repeated nature of the process. The decisive clue is “repeated purchase process,” which directly indicates a standing plan.

Correct answer: C. Objective

It is a clear measurable target so it is an objective. In exams a target with number and time is objective.

Correct answer: B. Budget

A budget is a numerical plan that specifies estimated income, expenditure and spending limits for a department or activity. Therefore, assigning separate spending limits to departments is related to a budget. A rule states what may or may not be done, whereas a procedure gives the steps for doing a task. Exam tip: Words such as money, cost, income, expenditure or spending limit usually indicate a budget.

Correct answer: C. Rule

A rule gives a clear and definite instruction about whether an action must or must not be performed; therefore, Rule is correct. A policy provides general guidance for decision-making, whereas a programme is a sequence of activities. A budget is a numerical statement of expected income and expenditure. Exam tip: a general guide may be a policy, but a compulsory ‘do/don’t do’ instruction indicates a rule.