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Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner)

July 16, 2024July 15, 2024 by Bhagya

Balbharti Maharashtra State Board 12th Commerce Book Keeping & Accountancy Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Textbook Exercise Questions and Answers.

Maharashtra State Board 12th Book Keeping & Accountancy Solutions Chapter 5 Reconstitution of Partnership (Death of Partner)

1. Objective questions:

A. Select the most appropriate answer from the alternative given below and rewrite the sentences.

Question 1.
Benefit Ratio is the ratio in which _______________
(a) The old partner gain on the admission of a new partner
(b) The Goodwill of a new partner on admission is credited to old partners
(c) The continuing partners’ benefits on retirement or death of a partner
(d) All partners are benefitted.
Answer:
(c) The continuing partner’s benefits on retirement or death of a partner

Question 2.
The ratio by which existing partners are benefitted _______________
(a) gain ratio
(b) sacrifice ratio
(c) profit ratio
(d) capital ratio
Answer:
(a) gain ratio

Question 3.
Profit and Loss Suspense Account is shown in the new Balance Sheet on _______________ side.
(a) debit
(b) credit
(c) asset
(d) liabilities
Answer:
(c) asset

Question 4.
Death is a compulsory _______________
(a) Dissolution
(b) Admission
(c) Retirement
(d) Winding up
Answer:
(c) Retirement

Question 5.
The balance on the Capital Account of a partners, on his death is transferred to _______________ Account.
(a) Relatives
(b) Legal Heir’s Loan/Executors Loan
(c) Partners’ Capital
(d) Partners’ Loan
Answer:
(b) Legal Heir’s Loan/Executors Loan.

B. Write a word, term, phrase, which can substitute each of the following statements.

Question 1.
Excess of credit side over the debit side of Profit and Loss Adjustment Account.
Answer:
Profit

Question 2.
A person who represents the deceased partner on the death of the partner.
Answer:
Legal Heir’s or Executor

Question 3.
Accumulated past profit kept in the form of reserve.
Answer:
Reserve fund or General reserve

Question 4.
The partner who died.
Answer:
Deceased partner

Question 5.
The proportion in which the continuing partners benefit due to the death of a partner.
Answer:
Gain/Benefit ratio

C. State whether the following statements are True or False with reasons.

Question 1.
A deceased partner is not entitled to the Goodwill of the firm.
Answer:
This statement is False.
A deceased partner’s contribution was there in the development of business and goodwill is the value of the business in terms of money. Hence, a deceased partner is entitled to receive goodwill from the firm.

Question 2.
A deceased partner is entitled to his share of General Reserve.
Answer:
This statement is True.
General reserve is created out of past undistributed profit. Past profit is earned due to the efforts and hard work of all the partners including the partner who is now dead. Hence a deceased partner has right on it and therefore a deceased partner is entitled to receive his share of General reserve.

Question 3.
If goodwill is written off, a Deceased Partner’s Capital Account is debited.
Answer:
This statement is False.
When the benefits of goodwill are given to the deceased partner, his capital account is credited and when such goodwill is written off, capital accounts of remaining partners are debited.

Question 4.
After the death of a partner, the entire amount due to the deceased partner is paid to the legal representative of the deceased partner.
Answer:
This statement is True.
After the death of a partner, the entire amount due to the deceased partner is paid to the legal representative of the deceased partner as he is the only person who has the legal right to that amount.

Question 5.
For recording the profit or loss up to the death, the Profit and Loss Appropriation Account is operated.
Answer:
This statement is False.
For recording the profit or loss up to the death, the Profit and Loss suspense Account is created and operated. This is because final accounts cannot be prepared on the date of death of a partner. Till that period a separate account called Profit and Loss Suspense A/c is prepared.

D. Fill in the blanks and rewrite the following sentence.

Question 1.
Deceased Partners’ Executors Account is shown on the _______________ side of the Balance Sheet.
Answer:
Liabilities

Question 2.
On the death of a partner, a ratio in which the continuing partners get more share of profits in future is called as _______________ Ratio.
Answer:
Gain

Question 3.
Deceased partners share of profit up to the death is shown on _______________ side of Balance Sheet.
Answer:
Assets

Question 4.
Benefit Ratio = New Ratio – _______________
Answer:
Old Ratio

Question 5.
When Goodwill is raised at its full value and it is written off _______________ Account is to be credited.
Answer:
Goodwill

E. Answer in one sentence only.

Question 1.
What is Gain Ratio?
Answer:
The profit-sharing ratio which is acquired by the surviving or continuing partners on account of the death of any partner is called gain ratio or benefit ratio.

Question 2.
In which ratio general reserve is distributed on the death of a partner?
Answer:
General reserve is distributed on the death of a partner in their old profit sharing ratio.

Question 3.
To whom do you distribute general reserve on the death of a partner?
Answer:
On the death of a partner general reserve is distributed among all partners in their old profit and loss ratio.

Question 4.
How the death of a partner is a compulsory retirement?
Answer:
After the death of a partner, the business is not able to get any kind of services from the deceased partner and so we can say that the death of a partner is like a compulsory retirement.

Question 5.
To which account profit is to be transferred up to the date of his death?
Answer:
Profit of the deceased partner, up to the date of his death, is transferred to his Legal Heir’s/Executor’s Account.

Practical Problems

Question 1.
Rajesh, Rakesh, and Mahesh were equal Partners on 31st March 2019. Their Balance Sheet was as follows 31st March 2019.
Balance Sheet as of 31st March 2019
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q1
Mr. Rajesh died on 30th June 2019 and the following adjustment was agreed as:
1. Furniture was to be adjusted to its market price of ₹ 3,40,000.
2. Land and Building were to be depreciated by 10%.
3. Provide R.D.D. @ 5% on debtors.
4. The profit up to the date of death of Mr. Rajesh is to be calculated on the basis of last year’s profit which was ₹ 1,80,000.
Prepare:
1. Profit and Loss Adjustment A/c
2. Partners’ Capital Account
3. Balance Sheet of the continuing firm.
Solution:
In the books of the Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q1.1

Balance Sheet as of 1st July 2019

Working Note:
The profit of the firm of last year was ₹ 1,80,000.
Proportionate profit up to the date of death for Rajesh is as follows
= 1,80,000 × \(\frac{3}{12} \times \frac{1}{3}\) (Period) (P & L ratio)
= ₹ 15,000 (Profit and Loss Suspense A/c)

Question 2.
Rahul, Rohit, and Ramesh are in a business sharing profits and losses in the ratio of 3 : 2 : 1 respectively. Their Balance Sheet as of 31st March, 2017 was as follows:
Balance Sheet as of 31st March 2017
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q2
On 1st October 2017, Ramesh died and the Partnership deed provided that
1. R.D.D. was maintained at 5% on Debtors.
2. Plant and Machinery and Investment were valued at ₹ 80,000 and ₹ 4,10,000 respectively.
3. Of the creditors an item of ₹ 6,000 was no longer a liability and hence was properly adjusted.
4. Profit for 2017-18 was estimated at ₹ 1,20,000 and Ramesh’s share in it up to the date of his death was given to him.
5. Goodwill of the firm was valued at two times the average profit of the last five years, which were
2012-13 – ₹ 1,80,000
2013-14 – ₹ 2,00,000
2014-15 – ₹ 2,50,000
2015-16 – ₹ 1,50,000
2016-17 – ₹ 1,20,000
Ramesh’s share in it was to be given to him.
6. Salary ₹ 5,000 p.m. was payable to him.
7. Interest on capital at 5% i.e. was payable and on Drawings ₹ 2,000 were charged.
8. Drawings made by Ramesh up to September 2017 were ₹ 5,000 p.m.
Prepare Ramesh’s Capital A/c showing the amount payable to his executors.
Give working of Profit and Goodwill.
Ramesh Capital Balance ₹ 3,41,000
Solution:
In the books of the Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q2.1
Working Notes:
1. Calculation of share of Goodwill:
(a) Average profit = \(\frac{Total Profit}{No. of years}\)
= \(\frac{1,80,000+2,00,000+2,50,000+1,50,000+1,20,000}{5}\)
= \(\frac{9,00,000}{5}\)
= ₹ 1,80,000

(b) Goodwill = Average profit × No. of years
= 1,80.000 × 2
= ₹ 3,60,000

2. Calculation of share of profit due to Ramesh:
Share of profit = Last year profit × Share of profit × Period
= 1,20,000 × \(\frac{1}{6} \times \frac{6}{12}\)
= ₹ 10,000 (Profit and Loss Suspense A/c)

3. Interest on Capital is calculated for six months.
∴ Interest = 2,40,000 × \(\frac{6}{12} \times \frac{5}{100}\) = ₹ 6,000

4.
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q2.2

Question 3.
Ram, Madhav, and Keshav are partners sharing profit and losses in the ratio 5 : 3 : 2 respectively. Their Balance Sheet as of 31st March, 2018 was as follows:
Balance Sheet as of 31st March 2018
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q3
Keshav died on 31st July 2018 and the following adjustments were agreed by as per the partnership deed.
1. Creditors have increased by ₹ 10,000.
2. Goodwill is to be calculated at 2 years purchase of average profits of 5 years.
3. The profits of the preceding 5 years was
2013-14 – ₹ 90,000
2014-15 – ₹ 1,00,000
2015-16 – ₹ 60,000
2016-17 – ₹ 50,000
2017-18 – ₹ 50,000 (Loss)
Keshav’s share in it was to be given to him.
4. Loose Tools and livestock were valued at ₹ 80,000 and ₹ 1,20,000 respectively.
5. R.D.D. was maintained at ₹ 10,000.
6. Commission ₹ 2,000 p.m. was payable to Keshav. Profit for 2018-19 was estimated at ₹ 45,000 and Keshav’s share in it up to the date of his death was given to him.
Prepare Revaluation A/c, Keshav’s Capital A/c showing the amount payable to his executors.
Solution:
In the books of the Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q3.1
Working Notes:
1. Calculation of share of Goodwill:
(a) Average profit = \(\frac{\text { Total profit }}{\text { No. of years }}\)
= \(\frac{90,000+1,00,000+60,000+50,000-50,000}{5}\)
= \(\frac{2,50,000}{5}\)
= ₹ 50,000

(b) Goodwill = Average profit × No. of years
= 50,000 × 2
= ₹ 1,00,000

2. Calculation of share of profit due to Keshav
Share of profit = Last year profit × Share of Keshav × Period
= 45,000 × \(\frac{2}{10} \times \frac{4}{12}\)
= ₹ 3,000 (Profit and Loss Suspense Account)

Question 4.
Virendra, Devendra, and Narendra were partners sharing profit and losses in the ratio of 3 : 2 : 1. Their Balance Sheet as of 31st March 2019 was as follows.
Balance Sheet as of 31st March 2019
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q4
Mr. Virendra died on 31st August 2019 and the partnership deed provided that the event of the death of Mr. Virendra his executors be entitled to be paid out.
1. The capital to his credit at the date of death.
2. His proportion of Reserve at the date of last Balance Sheet.
3. His proportion of Profits to date of death is based on the average profits of the last four years.
4. His share of Goodwill should be calculated at two years purchase of the profits of the last four years for the year ended 31st March were as follows:
2016 – ₹ 40,000
2017 – ₹ 60,000
2018 – ₹ 70,000
2019 – ₹ 30,000
5. Mr. Virendra has drawn ₹ 3,000 p.m. to date of death, There is no increase and decrease in the value of assets and liabilities.
Prepare Mr. Virendra Executors A/c.
Solution:
In the books of the Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q4.1
Working Notes:
1. Calculation of share of profit:
(a) Average Profit = \(\frac{\text { Total profit }}{\text { No. of years }}\)
= \(\frac{40,000+60,000+70,000+30,000}{4}\)
= \(\frac{2,00,000}{4}\)
= ₹ 50,000

(b) Goodwill = Average profit × No. of years
= 50,000 × 2
= ₹ 1,00,000

2. Share of profit due to Virendra
Share of profit = Last year profit × Share of Virendra × Period
= 50,000 × \(\frac{3}{6} \times \frac{5}{12}\)
= ₹ 10,417 (Profit and Loss Suspense A/c)

Question 5.
The Balance Sheet of Sohan, Rohan, and Mohan who were sharing profits and losses in the ratio of 3 : 2 : 1 is as follows:
Balance Sheet as of 31st March 2019
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q5
Mr. Rohan died on 1st October 2019 and the following adjustments were made:
1. Goodwill of the firm is valued at ₹ 30,000.
2. Land and Building and Machinery were found to be undervalued by 20%.
3. Investments are valued at ₹ 60,000.
4. Stock to be undervalued by ₹ 5,000 and a provision of 10% as debtors were required.
5. Patents were valueless.
6. Mr. Rohan was entitled to share in profits up to the date of death and it was decided that he may be allowed to retain his drawings as his share of profit. Rohan’s drawings till the date of death were ₹ 25,000.
Prepare Partners’ Capital Accounts.
Solution:
In the books of the Partnership firm
Maharashtra Board 12th BK Textbook Solutions Chapter 5 Reconstitution of Partnership (Death of Partner) Q5.1
Working Notes:
1.

2. Firm’s goodwill = ₹ 30,000.
DistrIbute among partners in their profit and loss ratio 3 : 2 : 1.

3. Revised value of Land & Building = \(\frac{\text { Book value }}{(100-20)} \times 100\)
= \(\frac{40,000}{80} \times 100\)
= ₹ 50,000.
∴ Increase In the value of Land & Building = Revised value – Book value
= 50,000 – 40,000
= ₹ 10,000.

4. Revised value of Machinery = \(\frac{\text { Book value }}{(100-20)} \times 100\)
= \(\frac{80,000}{80} \times 100\)
= ₹ 1 ,00,000.
∴ Increase in the value of Machinery = 1,00,000 – 80,000 = ₹ 20,000.

5. Patents were valueless means it is a loss for the business.

6. Rohan’s share In profit is ₹ 25,000 and his drawings are ₹ 25,000. Rohan is allowed to retain his drawings as his share of profit. Means write ₹ 25,000 as drawings on the debit side and write ₹ 25,000 as Profit and Loss Suspense A/c on the Credit side of Partners’ Capital A/c.

Maharashtra Board 12th BK Important Questions Chapter 4 Reconstitution of Partnership (Retirement of Partner)

July 16, 2024July 15, 2024 by Bhagya

Balbharti Maharashtra State Board 12th Commerce Book Keeping & Accountancy Important Questions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Important Questions and Answers.

Maharashtra State Board 12th Commerce BK Important Questions Chapter 4 Reconstitution of Partnership (Retirement of Partner)

A. Select the most appropriate alternatives from those given below and rewrite the sentence.

Question 1.
A, B and C are partners sharing profits in the ratio of 5 : 3 : 2. If B retires then new ratio will be _____________
(a) 5 : 2
(b) 5 : 3
(c) 3 : 2
(d) 1 : 1
Answer:
(a) 5 : 2

Question 2.
When goodwill is raised at its full value and it is written off _____________ Account is to be credited.
(a) Cash
(b) Goodwill
(c) All Partners’ Capital
(d) Loan
Answer:
(b) Goodwill

Question 3.
Increase in the value of assets should be _____________ to Profit and Loss Adjsutment Account.
(a) debited
(b) credited
(c) added
(d) none of these
Answer:
(b) credited

Question 4.
If the goodwill is raised to the extent of retiring partner’s share _____________ account is to be debited.
(a) cash
(b) goodwill
(c) partner’s Capital
(d) retiring Partners Capital
Answer:
(b) goodwill

Question 5.
A, B and C are partners, sharing profits and losses in the ratio of \(\frac{1}{2}\), \(\frac{1}{3}\) and \(\frac{1}{6}\) respectively, if B retires, the new ratio will be _____________
(a) 4 : 1
(b) 3 : 1
(c) 3 : 2
(d) 2 : 1
Answer:
(b) 3 : 1

Question 6.
On retirement of a partner the balance on his Current Account is transferred to his _____________ Account.
(a) Drawings
(b) Capital
(c) Wife’s Loan
(d) Son’s
Answer:
(b) Capital

Question 7.
_____________ Ratio is a ratio which continuing partners are benefited on retirement of a partner
(a) New
(b) Sacrifice
(c) Gain
(d) Old
Answer:
(c) Gain

Question 8.
If Goodwill Account is raised only to the extent of retiring partner’s share, _____________ A/c is credited.
(a) Cash
(b) Goodwill
(c) All Partners’ Capital
(d) Retiring Partner’s Capital
Answer:
(d) Retiring Partner’s Capital

Question 9.
In the case of retirement of a partner, _____________ Account is opened for revaluation of the assets and liabilities.
(a) Revaluation
(b) Profit and Loss
(c) Current
(d) Trading
Answer:
(a) Revaluation

Question 10.
In the case of retirement of a partner, balance on Revaluation Account is transferred to _____________ Accounts.
(a) Retiring Partner’s Capital
(b) All Partners’ Capital
(c) New Partner’s Capital
(d) Continuing Partners’ Capital
Answer:
(b) All Partners’ Capital

Question 11.
Debit balance on Profit and Loss Suspense Account is shown in the new Balance Sheet on _____________ side.
(a) Assets
(b) Liabilities
(c) Debit
(d) None of these
Answer:
(a) Assets

B. Write the word, term, phrase, which can substitute each of the following statements.

Question 1.
The account shows the revaluation of assets and liabilities.
Answer:
Revaluation Account or Profit and Loss Adjustment Account

Question 2.
Excess of actual capital over proportionate capital.
Answer:
Surplus Capital

Question 3.
Process in which a partner leaves the firm permanently on account of old age continued sickness or loss of interest in the firm.
Answer:
Retirement of a Partner

Question 4.
The ratio in which the continuing partners share the profit ratio given up by the retiring partner.
OR
The ratio in which goodwill is credited to the retiring partners is adjusted by the continuing partners.
Answer:
Gain Ratio
OR
Benefit Ratio

Question 5.
An account to which the amount due to a partner on his retirement is transferred.
Answer:
Retiring Partner’s Loan A/c

C. State whether the following statements are true or false with reasons.

Question 1.
Amount due to a retiring partner if not paid, appears as his loan in the books of the firm.
Answer:
This statement is True.
If in Cash/Bank account, the firm has sufficient balance then the amount due to a retiring partner is paid by firm immediately. If due to insufficient fund amount due to a retiring partner is not paid and it appears as his loan in the books of the firm.

Question 2.
A revaluation Account is also called Realisation Account.
Answer:
This statement is False.
The changes in the values of assets or liabilities on revaluation are recorded in the Revaluation Account. At the time of dissolution of the firm, when Assets or liabilities are disposed off and whatever amounts are paid or received by the firm are recorded in the Realisation Account. So Revaluation Account and Realisation Account are not the same.

Question 3.
Profit on Revaluation Account is transferred to Continuing Partner’s Capital Account only.
Answer:
This statement is False.
Profit on revaluation of assets and liabilities is to be shared by all the partners, including retiring partners. This is because changes in the value of assets and liabilities take place due to the hard work of all the partners, including retiring partners.

Question 4.
On the retirement of a partner, the partnership deed is not changed.
Answer:
This statement is False.
On the retirement of a partner, profit and loss ratio, capital ratio, etc. may get changed. So the partnership deed is supposed to be changed.

Question 5.
A retiring partner is not entitled to share in the goodwill of the firm.
Answer:
This statement is False.
A retiring partner is entitled to get a share in the goodwill of the firm up to the date of retirement as it is his legal right.

Question 6.
If goodwill is written off, Goodwill A/c is credited in the books of the firm.
Answer:
This statement is True.
When goodwill of the firm is written off then there is no question of any balance in the Goodwill Account therefore Goodwill A/c is credited in the books of the firm.

Question 7.
Balance of Retiring Partner’s Capital Account is transferred to his Legal Heir’s Account.
Answer:
This statement is False.
If the financial position of the firm allows, the balance of the Retiring Partner’s Capital Account is given immediately to the retiring partner, otherwise, it will be transferred to Retiring Partner’s Loan Account.

Question 8.
The Capital A/c of the retiring partner always shows a debit balance.
Answer:
This statement is False.
The Capital A/c of the retiring partner may show debit or credit balance depends upon the amount withdrawn by a retiring partner.

Question 9.
Retirement of a partner leads to the dissolution of the firm unless otherwise agreed upon.
Answer:
This statement is True.
At the time of retirement of a partner, continuing partners don’t want to continue the business activities of the firm, then only it leads to the dissolution of the firm.

D. Fill in the blanks and rewrite the following sentences:

Question 1.
On retirement of a partner, partnership deed is _____________ changed.
Answer:
not

Question 2.
A retiring partner is _____________ to get his share in general reserve/accumulated profit.
Answer:
entitled

Question 3.
A _____________ balance of Revaluation Account means loss on revaluation.
Answer:
debit

Question 4.
Goodwill A/c is _____________ in the books of the firm when goodwill is written off.
Answer:
credited

Question 5.
Revaluation of Assets and Liabilities is recorded in _____________ Account.
Answer:
Revaluation

Question 6.
The amount due to a partner on his retirement is transferred to _____________ Account.
Answer:
Partner’s Capital

Question 7.
An amount payable to the retiring partner is paid off at a time is known as _____________ Method.
Answer:
Lumpsum

Question 8.
Excess of actual capital over proportional capital is known as _____________
Answer:
Surplus

Question 9.
Credit balance of Revaluation Account means _____________ on revaluation.
Answer:
Profit

Question 10.
The credit balance on the Profit and Loss Suspense Account is shown in the Balance Sheet on _____________ side.
Answer:
Liabilities

E. Answer in one sentence.

Question 1.
Who is a retiring partner?
Answer:
A partner who leaves the firm or severs his connection or relationship with other partners on account of old age or continued ill health or loss of interest in the firm or similar other reasons is called a retiring partner.

Question 2.
How would you treat general reserve on the retirement of a partner?
Answer:
General reserve appearing on the liabilities side of the Balance Sheet may be credited to all the partners’ Capital Accounts in their old profit sharing ratio or only the share of retiring partner is credited to his Capital Account, depending on the provisions made in the partnership deed.

Question 3.
When is the gain ratio calculated?
Answer:
The gain ratio is calculated when a firm raises goodwill to the extent of retiring partner’s share and then intends to write off the goodwill so raised.

Question 4.
To which account, increase in the value of assets credited at the time of retirement of a partner?
Answer:
An increase in the values of assets is credited to Profit and Loss-Adjustment A/c or Revaluation A/c at the time of retirement of a partner.

Question 5.
How would you adjust the retiring partner’s share of goodwill without opening Goodwill A/c?
Answer:
Adjustment of retiring partner’s share of goodwill without opening Goodwill Account is done by debiting continuing Partners’ Capital/Current Accounts in their gain ratio and crediting Retiring Partners’ Capital/Current Account with that amount.

Question 6.
To which account is the outstanding amount due to the retiring partner transferred?
Answer:
The outstanding amount due to the retiring partner is transferred to the retiring partner’s Loan Account.

Solved Problems

Question 1.
A, B, and C are partners of a firm sharing profit and loss in the 3 : 3 : 2 ratio. Their firm’s Balance Sheet as of 31st March, 2020 is as under:
Balance Sheet as of 31st March 2020
Maharashtra Board 12th BK Important Questions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q1
On 1st April 2020, C retired from the firm on the following terms:
1. Outstanding amount of retiring partner C be transferred to his loan account.
2. Write off ₹ 2,500 as bad debts.
3. ₹ 500 is now not payable to creditors.
4. Assets are revalued as under:
Furniture ₹ 30,000, Machinery ₹ 40,000, Equipments ₹ 21,000.
Pass necessary journal entries in the books of a firm.
Solution:
Journal Entries in the books of Partnership firm
Maharashtra Board 12th BK Important Questions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q1.1
Working Note:

Question 2.
Mukta, Yukta and Sukta were partners sharing profits and losses in the ratio of 5 : 2 : 3. Their Balance Sheet was as follows:
Balance Sheet as of 31st March 2020
Maharashtra Board 12th BK Important Questions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q2
Yukta retired on that date on the following terms:
1. Machinery is to be depreciated by 10% and Furniture by 20%.
2. Stock is to be appreciated by 10% and Building by 20%.
3. R.D.D. is no longer necessary.
4. Provision is to be made for ₹ 4,000 being compensation to workers.
5. The goodwill of the firm is to be valued at ₹ 20,000 and Yukta’s share in it should be raised.
6. Both the remaining partners decided to write off the goodwill.
7. Amount payable to Yukta is to be kept as her Loan.
Prepare:
1. Profit and Loss Adjustment Account
2. Partners’ Capital Accounts
3. New Balance Sheet.
Solution:
In the books of partnership firm
Maharashtra Board 12th BK Important Questions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q2.1
Balance Sheet as of 1st April 2020

Working Notes:
1. Yukta’s share in firm’s Goodwill = \(\frac {2}{10}\) × 20,000 = ₹ 4,000.
Goodwill to the extent of ₹ 4,000 is credited to Yukta’s A/c and then debited to Mukta’s Capital A/c andSukta’s Capital A/c in their gain ratio which is equal to the new ratio i.e. 5 : 3.
Hence, Goodwill debited to Mukta’s Capital A/c = \(\frac {5}{8}\) × 4,000 = ₹ 2,500 and Sukta’s A/c = \(\frac {3}{8}\) × 4,000 = ₹ 1,500.

2. Provision for compensation to workers ₹ 4,000 is first debited to Profit and Loss-Adjustment A/c (as new liability is created) and then it is shown on the Liabilities side of the new Balance Sheet.

3. The cancelled R.D.D. ₹ 1,000 is credited to Profit and Loss-Adjustment A/c and Debtors to the extent of ₹ 18,000 are shown on the Assets side of the Balance Sheet.

Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner)

July 16, 2024July 15, 2024 by Bhagya

Balbharti Maharashtra State Board 12th Commerce Book Keeping & Accountancy Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Textbook Exercise Questions and Answers.

Maharashtra State Board 12th Book Keeping & Accountancy Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner)

A. Select the most appropriate alternatives from those given below and rewrite the sentence.

Question 1.
The profit or loss from revaluation on retirement of partner is shared by ______________
(a) the remaining partners
(b) all the partners
(c) only retiring partner
(d) bank
Answer:
(b) all the partners

Question 2.
Descrease in the value of assets should be ______________ to Profit and Loss Adjustment Account.
(a) debited
(b) credited
(c) added
(d) equal
Answer:
(a) debited

Question 3.
The balance of the capital account of retired partner is transferred to his ______________ account if it is not paid.
(a) loan
(b) personal
(c) current
(d) son’s
Answer:
(a) loan

Question 4.
Gain ratio = ______________ Ratio less Old Ratio.
(a) New
(b) Equal
(c) Capital
(d) Sacrifice
Answer:
(a) New

Question 5.
New Ratio = Old Ratio + ______________ Ratio.
(a) Gain
(b) Capital
(c) Sacrifice
(d) Current
Answer:
(a) Gain

Question 6.
Apte, Bhate and Chitale are sharing 1/2, 3/10, and 1/5 if Apte retire their new ratio will be ______________
(a) 5 : 2
(b) 3 : 2
(c) 5 : 3
(d) 2 : 5
Answer:
(b) 3 : 2

B. Write the word, term, phrase, which can substitute each of the following statement.

Question 1.
Credit balance of Profit and Loss Adjustment Account.
Answer:
Profit on Revaluation Accounts

Question 2.
The ratio in which the continuing partners are benefited due to retirement of partner.
Answer:
Gain Ratio

Question 3.
Debit balance of Revaluation Account.
Answer:
Loss on Revaluation

Question 4.
The ratio which is obtained by deducting Old Ratio from New Ratio.
Answer:
Gain Ratio

Question 5.
Money value of business reputation earned by the firm over a number of years.
Answer:
Goodwill

Question 6.
Partner’s Account where Loss or Profit on revaluation is transferred.
Answer:
Capital/Current Account

C. State whether the following statement are true or false with reasons.

Question 1.
Gain ratio means New ratio minus Old ratio.
Answer:
This statement is True.
As per definition, profit sharing ratio which is acquired by the continuing partners from the retiring partner is called gain ratio. If gain ratio added to old ratio we will get New ratio. It means New ratio = Old ratio + Gain ratio by interchanging the terms, we will get Gain ratio = New ratio – Old ratio.

Question 2.
Retiring partner’s share in profit up to the date of his retirement will be debited to Profit and Loss Suspense Account.
Answer:
This statement is True.
If a partner retires from the firm during the accounting year, the profit or loss for the period from the date of last balance sheet to the date of retirement is calculated on the basis of last year’s profit or average profit and it is credited to retiring partner’s capital A/c and for time being it debited to new account called Profit and Loss Expense A/c. This is because final accounts cannot be prepared on any date during the accounting year.

Question 3.
On retirement of a partner, sacrifice ratio is considered.
Answer:
This statement is False.
On retirement of a partner, his share is acquired by continuing partners in certain proportion and it is nothing but gain for them. Therefore, on retirement of a partner instead of sacrifice ratio gain ratio is considered.

Question 4.
Retiring partner is called an outgoing partner.
Answer:
This statement is True.
When a person retires from the firm due to health issues, financial issues or personal reasons then it is known as person retires from the business and for the business, he is an outgoing partner.

Question 5.
On retirement of a partner, remaining partner will share the goodwill in their profit sharing ratio.
Answer:
This statement is False.
On retirement of a partner, after giving retiring, partner’s share in goodwill and if goodwill is written off, then remaining partners will adjust the goodwill in their new profit sharing ratio. (If raised to full extent and written off)

Question 6.
Retiring partner is not entitled to share in general reserve and accumulated profit.
Answer:
This statement is False.
General reserve and accumulated profit are created out of past undistributed profit, such profits are the outcome of hard work of all the partners including retiring partner. Hence, retiring partner’s has right to share general reserve and accumulated profit. He is therefore, entitled to get share in general reserve and accumlated profit.

D. Fill in the blanks and rewrite the following sentence:

Question 1.
New Ratio (less) ______________ = Gain ratio.
Answer:
Old ratio

Question 2.
Retiring partner’s share of goodwill is ______________ to remaining Partner’s Capital Account.
Answer:
debited

Question 3.
Revaluation A/c is also known as ______________ Account.
Answer:
Profit and Loss Adjustment

Question 4.
On retirement, the balance at a Current Account of a partner is transferred to his ______________ Account.
Answer:
Capital

Question 5.
A proportion in which the continuing partners get the share of retiring partner is known as ______________ Ratio.
Answer:
Gain

E. Answer in one sentence.

Question 1.
What is meant by Retirement of a Partner?
Answer:
Retirement of a partner refers to a process in which a partner leaves the firm or severes his relations with other partners on account of his old age, continued ill health, loss of interest in the firm, misunderstanding amongst the partners, etc.

Question 2.
What is Benefit Ratio?
Answer:
Profit sharing ratio which is acquired by the continuing partners on account of retirement or death of a partner is called Benefit Ratio or Gain Ratio.

Question 3.
What is New Ratio?
Answer:
The ratio in which profits or losses are shared by the continuing partners after retirement of a partner is called New Profit Sharing Ratio.

Question 4.
How is the amount due to the retiring partner settled?
Answer:
The amount due to a retiring partner is settled as per the terms of partnership agreement or otherwise mutually agreed upon either in lumpsum or in instalments.

Question 5.
How is Gain Ratio calculated?
Answer:
Gain ratio is calculated at the time of retirement of a partner by deducting old ratio from new ratio.

Question 6.
Why is retiring partner’s capital account credited with goodwill?
Answer:
Goodwill is an intangible assets or benefits accrued to the firm and its benefits are transferred to retiring partner’s Capital A/c by giving credit.

Practical Problems

Question 1.
The Balance Sheet of Mr Mama, Kaka and Mr Baba who shared profits and losses as 4 : 3 : 3 respectively.
Balance Sheet as on 31st March, 2018
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q1
Kaka retires on 1st April, 2018 on the following terms.
1. The share of Kaka in Goodwill of the firm is valued at ₹ 2,700.
2. Furniture to be depreciated by 10% and Motor car by 12.5%.
3. Live Stock to be appreciated by 10% and Plant by 20%.
4. A provision of ₹ 2,000 to be made for a claim of compensation.
5. R.D.D. is no longer necessary.
6. The amount payable to Kaka should be transferred to his Loan A/c.
Prepare Profit and Loss Adjustment A/c, Partners’ Capital A/cs and Balance Sheet of the new firm.
Solution:
In the books of Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q1.1
Balance Sheet as on 1st April, 2018

Working Notes:
1. R.D.D. is no longer require means it is a gain for firm.
2. A provision of ₹ 2,000 to be made for a claim of compensation, ₹ 2,000 is recorded on debit side of Profit and Loss Adjustments A/c and then on liability side of Balance Sheet.
3. Total payable amount to Kaka ₹ 20,175 is recorded as Kaka’s Loan A/c.

Question 2.
The Balance Sheet of Ram, Shyam and Ghanshyam sharing profits and losses in 3 : 2 : 1 respectively and their position on 31-3-19 were as follows:
Balance Sheet as on 31st March, 2019
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q2
Ghanshyam retired on 1st April, 2019 on the following terms:
1. Building and Investment to be appreciated by 5% and 10% respectively.
2. Provision for Doubtful Debts to be created at 5% on Debtors.
3. The provision of ₹ 3,000 be made in respect of Outstanding Salary.
4. Goodwill of the firm is valued at ₹ 90,000 and partners decide that goodwill should be written back.
5. The amount payable to the retiring partner be transferred to his Loan A/c.
Prepare: Profit and Loss Adjustment A/c, Partners’ Capital A/c, Balance Sheet of new firm.
Solution:
In the books of Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q2.1

Balance Sheet as on 1st April, 2019

Working Notes:
1. Provision of ₹ 3,000 for outstanding salary is recorded on debit side of Profit and Loss Adjustment A/c and then on the Liability side of Balance Sheet.
2. Goodwill of the firm is valued at ₹ 90,000 and share of retiring partner in it is ₹ 15,000 (\(\frac{1}{6}\)th part) and it is to be written back means it is to be shared by remaining partners in their profit-loss ratio.

Question 3.
The Balance Sheet of the Anu, Renu and Dinu is as follows, and the partners are sharing profits and losses in the proportion of 2 : 2 : 1 respectively.
Balance Sheet as on 31st March, 2019
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q3
Dinu retires from the firms on 1st April, 2019 on the following terms:
1. The assets are to be revalued as : freehold property ₹ 30,000, Machinery ₹ 5,000, Furniture ₹ 12,000, All debtors are good.
2. Goodwill of the firm be valued at thrice the average profit for preceding five years. Profits of the firm for the year.
2014-15 – ₹ 14,500
2015-16 – ₹ 10,500
2016-17 – ₹ 10,000
2017-18 – ₹ 16,000
2018-19 – ₹ 10,000
3. Dinu should be paid ₹ 3,000 by cheque.
4. The Balance of Dinu’s Capital A/c should be kept in the business as loan.
Prepare: Profit and Loss Adjustment A/c, Capital Accounts of Partners, Balance Sheet of the new firm.
Solution:
In the books of Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q3.1
Balance Sheet as on 1st April 2019

Working Notes:
1. Average profit = \(\frac{\text { Total Profit }}{\text { No. of years }}\)
= \(\frac{1000+10,500+10,000+16,000+10,000}{5}\)
= \(\frac{47,500}{5}\)
= ₹ 9,500
Goodwill = Avg. profit × No. of years
= 9,500 × 3 years
= ₹ 28,500
Goodwill value given in balance sheet = ₹ 30,000
New value arrived at = ₹ 28,500
Loss due to revaluation = ₹ 1,500
To be recorded in P & L Adj. A/c – Dr. Side.
In asset side of Balance sheet, write ₹ 28,500 for Goodwill.

2. Balance of Bank A/c = Opening Balance – Cheque given to Dinu
= 5,000 – 3,000
= ₹ 2,000

Question 4.
Rohan, Rohit and Sachin are partners in a firm sharing profits and losses in the proportion 3 : 1 : 1 respectively. Their balance sheet as on 31st March, 2018 is as shown below:
Balance Sheet as on 31st March, 2018
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q4
On 1st April, 2018 Sachin retired and the following adjustments have been agreed upon:
1. Goodwill was revalued on ₹ 50,000.
2. Assets and Liabilities were revalued as follows:
Debtors ₹ 50,000, Live stock ₹ 45,000, Building ₹ 1,25,000, Plant and Machinery ₹ 30,000, Motor truck ₹ 95,000 and Creditors ₹ 30,000.
3. Rohan and Rohit contributed additional capital through Net Banking of ₹ 50,000 and ₹ 25,000 respectively.
4. Balance of Sachin’s Capital Account is transferred to his Loan Account.
Give Journal entries in the books of new firm.
Solution:
Journal entries in the books of Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q4.1
Working Notes:
1. Calculation of Profit on Revaluation of Assets and Liabilities.

Question 5.
Shah, Lodha and Dhole were partners sharing profits and losses in the ratio of 4 : 3 : 3. Their Balance Sheet as on 31st March, 2019 is given below:
Balance Sheet as on 31st March, 2019
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q5
On 1st April, 2019 Mr. Lodha retired from the firm on the following terms:
1. Goodwill is to be valued at an average profits and losses of the last five years which were as follows:
Year – Profit/Loss
2015 – ₹ 35,000
2016 – ₹ 20,000
2017 – ₹ 30,000
2018 – ₹ 20,000
2019 – ₹ 25,000
2. Computers to be depreciated by 10%.
3. Furniture to be revalued at ₹ 27,500.
4. Vehicles appreciated by 20%.
5. R.D.D. was no longer necessary.
6. Shah and Dhole will share the future profits and losses in the ratio of 2 : 1.
7. It was decided that goodwill should not appear in the books of a new firm and amount payable to Lodha is to be transferred to his Loan A/c.
Prepare: Profit and Loss Adjustment A/c, Partners’ Capital Accounts, Balance Sheet of new firm.
Solution:
In the books of Partnership Firm
Maharashtra Board 12th BK Textbook Solutions Chapter 4 Reconstitution of Partnership (Retirement of Partner) Q5.1
Balance Sheet as on 1st April 2019

Working Note:
Average profit = \(\frac{\text { Total Profit }}{\text { No. of Years }}\)
= \(\frac{35,000+20,000+30,000+20,000+25,000}{5}\)
= \(\frac{1,30,000}{5}\)
= ₹ 26,000
∴ Goodwill = ₹ 26,000
Goodwill should not appear in the books of accounts.
Therefore, ₹ 26,000 credited in Partners’ Capital Account in partners’ old profit and loss ratio. ₹ 26,000 will be debited in Partners’ Capital Account in partners’ new profit-loss ratio.

Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization

July 15, 2024July 14, 2024 by Bhagya

Balbharti Maharashtra State Board 11th Biology Textbook Solutions Chapter 5 Cell Structure and Organization Textbook Exercise Questions and Answers.

Maharashtra State Board 11th Biology Solutions Chapter 5 Cell Structure and Organization

1. Choose correct option

Question (A)
Growth of cell wall during cell elongation take place by ………….
(a) Apposition
(b) Intussusception
(c) Both a & b
(d) Super position

Question (B)
Cell Membrane is composed of
(a) Proteins and cellulose
(b) Proteins and Phospholipid
(c) Proteins and carbohydrates
(d) Proteins, Phospholipid and some carbohydrates
Answer:
(d) Proteins, Phospholipid and some carbohydrates

Question (C)
Plasma membrane is Fluid structure due to presence of
(A) Carbohydrates
(B) Lipid
(C) Glycoprotein
(D) Polysaccharide
Answer:
(B) Lipid

Question (D)
Cell Wall is present in
(a) Plant cell
(b) Prokaryotic cell
(c) Algal cell
(d) All of the above
Answer:
(d) All of the above

Question (E)
Plasma membrane is
(a) Selectively permeable
(b) Permeable
(c) Impermeable
(d) Semipermeable
Answer:
(a) Selectively permeable

Question (F)
Mitochondria DNA is
(a) Naked
(b) Circular
(c) Double stranded
(d) All of the above
Answer:
(d) All of the above

Question (G)
Which of the following set of organelles contain DNA?
(a) Mitochondria, Peroxysome
(b) Plasma membrane, ribosome
(c) Mitochondria, chloroplast
(d) Chloroplast, dictyosome
Answer:
(c) Mitochondria, chloroplast

2. Answer the following questions

Question (A)
Plants have no circulatory system? Then how cells manage intercellular transport?
Answer:
1. Plant cells show presence of plasmodesmata which are cytoplasmic bridges between neighbouring cells.
2. This open channel through the cell wall connects the cytoplasm of adjacent plant cells and allows water, small solutes, and some larger molecules to pass between the cells.
In this way, though plants have no circulatory system, plant cells manage intercellular transport.

Question (B)
Is nucleolus covered by membrane?
Answer:
A nucleolus is specialized structure present in the nucleus which is not covered by the membrane.

Question (C)
Fluid mosaic model proposed by Singer and Nicolson replaced Sandwich model proposed by Danielli and Davson? Why?
Answer:

The Davson-Danielli model of the plasma membrane of a cell, was proposed in 1935 by Hugh Davson and James Danielli.
The model describes a phospholipid bilayer that lies between two layers of globular proteins.
This model was also known as a Tipo-protein sandwich’, as the lipid layer was sandwiched between two protein layers.
But through experimental studies membrane proteins were discovered to be insoluble in water (representing hydrophobic surfaces) and varied in size. Such type of proteins would not be able to form an even and continuous layer around the outer surface of a cell membrane.
In case of Fluid-mosaic model, the experimental evidence from research supports every major hypothesis proposed by Singer and Nicolson.

This hypothesis stated that membrane lipids are arranged in a bilayer; the lipid bilayer is fluid; proteins are suspended individually in the bilayer; and the arrangement of both membrane lipids and proteins is asymmetric. Therefore, Fluid mosaic model proposed by Singer and Nicolson replaced Sandwich model proposed by Danielli and Davson.

Question (D)
The RBC surface normally shows glycoprotein molecules. When determining blood group do they
play any role?
Answer:

Glycoproteins are protein molecules modified within the Golgi complex by having a short sugar chain (polysaccharide) attached to them.
The polysaccharide part of glycoproteins located on the surfaces of red blood cells acts as the antigen responsible for determining the blood group of an individual.
Different polysaccharide part of glycoproteins act as different type of antigens that determine the blood groups.
Four types of blood groups A, B, AB, and O are recognized on the basis of presence or absence of these antigens.

Question (E)
How cytoplasm differs from nucleoplasm in chemical composition?
Answer:

A thick liquid enclosed by cell membrane which surrounds the central nucleus in eukaryotes or nucleoid region in prokaryotes is known as cytoplasm.
The cytoplasm shows presence of minerals, sugars, amino acids, t-RNA, nucleotides, vitamins, proteins and enzymes.
The liquid or semiliquid substance within the nucleus is called the nucleoplasm.
Nucleoplasm shows presence of various substances like nucleic acid, protein molecules, minerals and salts.

3. Answer the following questions

Question (A)
Distinguish between smooth and rough endoplasmic reticulum.
Answer:
Smooth endoplasmic reticulum (SER):
1. Depending on cell type, it helps in synthesis of lipids for e.g. Steroid secreting cells of cortical region of adrenal gland, testes and ovaries.
2. Smooth endoplasmic reticulum plays a role in detoxification in the liver and storage of calcium ions (muscle cells).

Rough Endoplasmic Reticulum (RER):

Rough ER is primarily involved in protein synthesis. For e.g. Pancreatic cells synthesize the protein insulin in the ER.
These proteins are secreted by ribosomes attached to rough ER and are called secretory proteins. These proteins get wrapped in membrane that buds off from transitional region of ER. Such membrane bound proteins depart from ER as transport vesicles.
Rough ER is also involved in formation of membrane for the cell.

The ER membrane grows in place by addition of membrane proteins and phospholipids to its own membrane. Portions of this expanded membrane are transferred to other components of endomembrane system.

Question (B)
Why do we call mitochondria as power house of cell? Explain in detail.
(Hint: Refer chapter Cellular Respiration.)
OR
Mitochondria are power house of the cell. Give reasons.
Answer:
a. Mitochondria possess oxysomes on its inner membrane. These oxysomes take active part in synthesis of ATP molecules.
b. During cellular respiration, ATP molecules are produced and get accumulated in the mitochondria. They play an important role in cellular activities.
c. only mitochondria can convert pyruvic acid to carbon dioxide and water during cell respiration. Therefore, mitochondria are called ‘power house of the cell’.

Question (C)
What are the types of plastids?
Answer:
1. Plastids are classified according to the pigments present in it. Three main types of plastids are – leucoplasts, chromoplasts and chloroplasts.
2. Leucoplasts do not contain any photosynthetic pigments they are of various shapes and sizes. These are meant for storage of nutrients:
a. Amyloplasts store starch.
b. Elaioplasts store oils.
c. Aleuroplasts store proteins.

3. Chromoplasts contain pigments like carotene and xanthophyll etc.
a. They impart yellow, orange or red colour to flowers and fruits.
b. These plastids are found in the coloured parts of flowers and fruits.

4. Chloroplasts are plastids containing green pigment chlorophyll along with other enzymes that help in production of sugar by photosynthesis. They are present in plants, algae and few protists like Euglena.

Question 4.
Label the diagrams and write down the details of concept in your words.
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 1

Answer:
A.

B.
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 4

C.
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 5

D.
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 6
Structure of chloroplast:

In plants, chloroplast is found mainly in mesophyll of leaf.
Chloroplast is lens shaped but it can also be oval, spherical, discoid or ribbon like.
A cell may contain single large chloroplast as in Chlamydomonas or there can be 20 to 40 chloroplasts per cell as seen in mesophyll cells.
Chloroplasts contain green pigment called chlorophyll along with other enzymes that help in production of sugar by photosynthesis.
Inner membrane of double membraned chloroplast is comparatively less permeable.
Inside the cavity of inner membrane, there is another set of membranous sacs called thylakoids.
Thylakoids are arranged in the form of stacks called grana (singular: granum).
The grana are connected to each other by means of membranous tubules called stroma lamellae.
Space outside thylakoids is filled with stroma.
The stroma and the space inside thylakoids contain various enzymes essential for photosynthesis.
Stroma of chloroplast contains DNA and ribosomes (70S).

Question 5.
Complete the flow chart.
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 7
Answer:

Question 6.
Identify labels A, B, C in the given diagram. Explain how lysosomes perform intracellular and extracellular digestion.
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 9
Answer:
1. A: Food vacuole
B: Golgi complex
C: Lysosome

2. Intracellular digestion:
The intracellular digestion is brought about by autophagic vesicle or secondary lysosomes which contain foreign materials brought in by processes like phagocytosis. E.g. Food vacuole in amoeba or macrophages in human blood that engulf and destroy harmful microbes that enter the body.

3. Extracellular digestion:
Extracellular digestion is brought about by release of lysosomal enzymes outside the cell. E.g. acrosome, a cap like structure in human sperm is a modified lysosome which contain various enzymes like Hyaluronidase. These enzymes bring about fertilization by dissolving protective layers of ovum.

Question 7.
Identify each cell structures or organelle from its description below.

Manufactures ribosomes
Carries out photosynthesis
Manufactures ATP in animal and plant cells.
Selectively permeable.

Answer:

Nucleolus
Chloroplast
Mitochondria
Plasma membrane

Question 8.
Onion cells have no chloroplast. How can we tell they are plants?
Answer:

The bulb of an onion is a modified form of leaves.
While photosynthesis takes place in the leaves (present above the ground) of an onion containing chloroplast, the little glucose that is produced from this process is converted in to starch (starch granules) and stored in the bulb.
Starch act as reserved food material in plants.
Using an iodine solution, we can test for the presence of starch in onion cells. If starch is present, the iodine changes from brown to blue-black or purple. Hence, we can say that though onion cells have no chloroplast they are considered as plants.

Project/ Practical:

Question 1.
Observe the cells of onion root tip under microscope.
Answer:
The cells of onion root tip will show various stages of cell division when observed under micrscope.
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 10

Question 2.
Observe the cells from buccal epithelium stained with Giemsa under microscope.
Answer:
The following observations are made when cells from buccal epithelium stained with Giemsa:
1. Cheek cells are flat and irregular in shape.
2. These cells lack cell wall. A distinct blue nucleus can be observed on viewing the cells under the microscope after Geimsa staining.

11th Biology Digest Chapter 5 Cell Structure and Organization Intext Questions and Answers

Can You Recall? (Textbook Page No. 44)

(i) Who observed cells under the microscope for the first time?
Answer:
Robert Hooke observed cells under the microscope for the first time.
[Note. Cell walls were first observed by Robert Hooke (1665) as he looked through a microscope at dead cells from the bark of an oak tree. But Anton van Leeuwenhoek was first to visualize living cells using a single-lens microscope of his own construction.]

(ii) Who made the first microscope?
Answer:
The first microscope was made by two Dutch spectacle makers Hans and Zacharias Janssen.
[Note: The Dutch scientist Anton van Leeuwenhoek made microscopes capable of magnifying single-celled organisms in a drop of pond water.]

Find Out (Textbook Page No. 44)

(i) How do a combination of lenses help in higher magnification?
Answer:
a. In a light microscope, visible light is passed through the specimen and then through two glass lenses.
b. The first lens focuses the magnified image of the object on the second lens, which magnifies it again and focuses it on the back of the eye.
c. The glass lenses bend (refract) the light in such a way that the image of the specimen is magnified.
In this way, a combination of lenses helps in higher magnification.

(ii) When do we use plane and concave mirror and diaphragm?
Answer:
a. Concave mirror is used when low-power objective lenses (useful for examining large specimens or many smaller specimens) or high-power objective lenses (useful for observing fine detail) are used, whereas plane mirror is used when oil immersion objective lens is used.
b. The amount of light passing on to the specimen from the condenser (which concentrates and controls the light that passes through the specimen) is regulated by using iris diaphragm.
c. Light is reduced by closing the diaphragm partially for use with dry objectives.
d. Oil immersion objectives require maximum light and this can be achieved by keeping the iris diaphragm fully open.

(iii) What is the difference between magnification and resolution?
Answer:
a. Magnification is the ratio of an object’s image size to its actual size.
b. Resolution is a measure of the clarity of the image; it is the minimum distance two points can be
separated and still be distinguished as separate points.

Can You Recall? (Textbook Page No. 44)

(i) Why bacterial nucleus is said to be primitive?

(ii) Draw neat and labelled diagram of Prokaryotic cell.
Answer:
1. The DNA-containing central region of bacterial nucleus (prokaryotic cells) i.e. nucleoid, has no nuclear membrane separating it from the cytoplasm. Therefore, bacterial nucleus is said to be primitive.
2. Prokaryotic cell:
Maharashtra Board Class 11 Biology Solutions Chapter 5 Cell Structure and Organization 11

Find Out (Textbook Page No. 46)

Why do basal body of bacterial flagella considered as smallest motor in the world?
Answer:
1. The bacterial flagellum is an organelle for motility made up of three parts:
a. The basal body that spans the cell envelope and works as a rotary motor;
b. The helical fdament that acts as a propeller;
c. The hook that acts as a universal joint connecting these two to transmit motor torque to the propeller.
2. The motor i.e. basal body drives the rotation of the long, helical filamentous propeller at hundreds of hertz to produce thrust that allows bacteria to swim in liquid environments.
Therefore, basal body of bacterial flagella considered as smallest motor in the world.

Use your Brainpower (Textbook Page No. 46)

Describe major differences between prokaryotic and eukaryotic cells.
Answer:

Prokaryotic cell	Eukaryotic cell
1. It is a primitive type of cell.	It is an evolved type of cell.
2. Nuclear membrane is absent.	Nuclear membrane is present.
3. Genetic material is in the form of circular coil of DNA without histone proteins.	Genetic material is in the form of a double helix DNA with histone proteins.
4. Membrane-bound cell organelles are absent.	Membrane-bound cell organelles are present.
5. Plasmids are many in number.	Plasmids are absent.
6. Cytoplasm does not show streaming movement.	Cytoplasm shows streaming movement.
7. Ribosomes are smaller and of 70S type.	Ribosomes are larger and of 80S type.
8. Respiratory enzymes are present on the infoldings of the plasma membrane called mesosomes.	Respiratory enzymes are present within mitochondria.
e.g Cyanobacteria (Blue-green algae) and bacteria.	Algae, fungi, plants and animals.

Use Your Brain Power! (Textbook Page No. 52)

Are mitochondria present in all eukaryotic cells?
Answer:
a. Mitochondria are found in nearly all eukaryotic cells, including plants, animals, fungi, and most unicellular eukaryotes.
b. Some of the cells have a single large mitochondrion, but frequently a cell has hundreds of mitochondria.
c. The number of mitochondria correlates with the cell’s level of metabolic activity. For e.g. cells that move or contract have proportionally more mitochondria than metabolically less active cells.
d. However, mature red blood cells in humans lack mitochondria.

Can You Recall? (Textbook Page No. 54)

(i) Consider the following cells and comment about the position, shape and number of nuclei in a eukaryotic cell. Add more examples from your previous knowledge about cell and nucleus. Cuboidal epithelial cell, different types of blood corpuscles, skeletal muscle fibre, adipocyte.
Answer:

Type of cells	Position of nucleus	Shape of Nucleus	Number of nuclei
Cuboidal epithelial cell	Central	Round or spherical	1
Neutrophils	Central	Multilobed/Segmented	1
Basophils	Central	S Shaped / Twisted	1
Eosinophils	Central	Bilobed	1
Monocytes	Central	Kidney Shaped	1
Lymphocytes	Central	Spherical	1
Skeletal Muscle Fibre	Peripheral	Oval	Multinucleate
Adipocytes	Shifted towards periphery	Eccentric	1
Simple squamous epithelium	Central	Flat	1
Ciliated simple columnar epithelium	Near base	Oval	1

(ii) Why nucleus is considered as control unit of a cell?
Answer:
a. Nucleus contains the genetic material of an organism.
b. This genetic material is present in the form of Deoxyribonucleic Acid (DNA) which is responsible for synthesis of various proteins and enzymes.
c. These proteins and enzymes in turn regulate metabolic activities of the cells.
Therefore, nucleus is considered as control unit of a cell.

(iii) Can cells like Xylem or mature human RBCs called living?
Answer:
a. Xylem is a complex tissue consists of tracheids, vessels, xylem parenchyma and xylem fibres. From these components of xylem, tracheids are dead cells and xylem parenchyma is the only living tissue,
b. RBCs do not possess nuclei once they reach maturity as they have to accommodate haemoglobin in them. They do not require a nucleus to function as they do not reproduce but only serve as a vehicle for the transport of oxygen and carbon dioxide in the blood.

(iv) What is a syncytium and coenocyte?
Answer:
Syncytium: It refers to mass of cells formed by fusion of multiple uninuclear cells and followed by dissolution of the cell membrane.
Coenocyte: It is a multinucleate cell resulted from multiple nuclear divisions without undergoing cytokinesis.

Can You Recall? (Textbook Page No. 44)

How do onion peel cells and our body cells differ?
Answer:
1 – (a, b, d, e,f g)

Maharashtra Board Class 12 Chemistry Solutions Chapter 8 Transition and Inner Transition Elements

July 15, 2024July 14, 2024 by Bhagya

Balbharti Maharashtra State Board 12th Chemistry Textbook Solutions Chapter 8 Transition and Inner Transition Elements Textbook Exercise Questions and Answers.

Maharashtra State Board Class 12 Chemistry Solutions Chapter 8 Transition and Inner Transition Elements

1. Choose the most correct option.

Question i.
Which one of the following is diamagnetic
a. Cr^3⊕
b. Fe^3⊕
c. Cu^2⊕
d. Sc^3⊕Answer:
d. Sc^3⊕

Question ii.
Most stable oxidation state of Titanium is
a. +2
b. +3
c. +4
d. +5
Answer:
c. +4

Question iii.
Components of Nichrome alloy are
a. Ni, Cr, Fe
b. Ni, Cr, Fe, C
c. Ni, Cr
d. Cu, Fe
Answer:
(c) Ni, Cr

Question iv.
Most stable oxidation state of Ruthenium is
a. +2
b. +4
c. +8
d. +6
Answer:
(b) +4

Question v.
Stable oxidation states for chromium are
a. +2, +3
b. +3, +4
c. +4, +5
d. +3, +6
Answer:
d. +3, +6

Question vi.
Electronic configuration of Cu and Cu⁺¹
a. 3d¹⁰, 4s⁰; 3d⁹, 4s⁰
b. 3d⁹, 4s¹; 3d⁹4s⁰
c. 3d¹⁰, 4s¹; 3d¹⁰, 4s⁰
d. 3d⁸, 4s¹; 3d¹⁰, 4s⁰Answer:
c. 3d¹⁰, 4s¹; 3d¹⁰, 4s°

Question vii.
Which of the following have d0s0 configuration
a. Sc^3⊕
b. Ti^4⊕
c. V^5⊕
d. all of the above
Answer:
d. All of the above

Question viii.
Magnetic moment of a metal complex is 5.9 B.M. Number of unpaired electrons in the complex is
a. 2
b. 3
c. 4
d. 5
Answer:
d. 5

Question ix.
In which of the following series all the elements are radioactive in nature
a. Lanthanoids
b. Actinoids
c. d-block elements
d. s-block elements
Answer:
b. Actinides

Question x.
Which of the following sets of ions contain only paramagnetic ions
a. Sm^3⊕, Ho^3⊕, Lu^3⊕
b. La^3⊕, Ce^3⊕, Sm^3⊕
c. La^3⊕, Eu^3⊕, Gd^3⊕
d. Ce^3⊕, Eu^3⊕, Yb^3⊕Answer:
d. Ce^3⊕, Eu^3⊕, Yb^3⊕

Question xi.
Which actinoid, other than uranium, occur in a significant amount naturally?
a. Thorium
b. Actinium
c. Protactinium
d. Plutonium
Answer:
a. Thorium

Question xii.
The flux added during extraction of Iron from hematite are its?
a. Silica
b. Calcium carbonate
c. Sodium carbonate
d. Alumina
Answer:
b. Calcium carbonate

2. Answer the following

Question i.
What is the oxidation state of Manganese in
\(\text { (i) } \mathrm{MnO}_{4}^{2-}(\mathrm{ii}) \mathrm{MnO}_{4}^{-} \text {? }\)
Answer:
Oxidation state of Manganese in
\((i) \mathrm{MnO}_{4}^{2-} is +6
(ii) \mathrm{MnO}_{4}^{-}is +7\)

*Question ii.
Give uses of KMnO₄

Question iii.
Why salts of Sc^3⊕, Ti^4⊕, V^5⊕ are colorless?
Answer:
(i) Sc³⁺ salts are colourless :

The electronic configuration of ₂₁Sc [Ar| 3d¹ 4s² and Sc³⁺ [Ar] d°.
Since there are no unpaired electrons in 3d subshell, d → d transition is not possible.
Therefore, Sc³⁺ ions do not absorb the radiations in the visible region. Hence salts of Sc³⁺ are colourless (or white).

(ii) Ti⁴⁺ salts are colourless :

The electronic configuration of ₂₂Ti [Ar] 3d²4s² and Ti⁴⁺ : [Ar] d°
Since there are no unpaired electrons in 3d subshell, d-*d transition is not possible.
Therefore, Ti³⁺ ions do not absorb the radiation in visible region. Hence salts of Ti³⁺ are colourless.

(iii) Vs⁵⁺ salts are eolourless :

The electronic configuration of ₂₃V : [Ar] 3d³4s² and V⁵⁺ : [Ar] 3d°
Since there are no unpaired electrons in 3d-subshell, d – d transition is not possible.
Therefore, V⁵⁺ ions do not absorb the radiations in the visible region. Hence, V⁵⁺ salts are colourless, a

Question iv.
Which steps are involved in the manufacture of potassium dichromate from chromite ore?
Answer:
Steps in the manufacture of potassium dichromate from chromite ore are :

Concentration of chromite ore.
Conversion of chromite ore into sodium chromate (Na₂CrO₄).
Conversion of Na₂CrO₄ into sodium dichromate (Na₂Cr₂O₇).
Conversion of Na₂Cr₂O₇ into K₂Cr₂O₇.

Question v.
Balance the following equation
(i) KMnO₄+ H₂C₂O4 + H₂SO₄ → MnSO₄ + K₂SO₄ + H₂O + O₂
(ii) K₂Cr₂O₇ + KI + H₂SO₄ → K₂SO₄ + Cr₂(SO₄)₃ + 7H₂O + 3I₂Answer:
(i) 2KMnO₄ + 3H₂SO₄ + 5H₂C₂O₄ → K₂SO₄ + 2MnSO₄ + 8H₂O + 10CO₂(ii) Acidified potassium dichromate oxidises potassium iodide (KI) to iodine (I2). Potassium dichromate is reduced to chromic sulphate. Liberated iodine turns the solution brown K₂Cr₂O₇ + 6KI + 7H₂SO₄ → 4K₂SO₄ + Cr₂(SO₄)₃ + 7H₂O + 3I₂[Oxidation state of iodine increases from – 1 to zero]

Question vi.
What are the stable oxidation states of plutonium, cerium, manganese, Europium?
Answer:
Stable oxidation states :
Plutonium + 3 to + 7
Cerium + 3, + 4
Manganese + 2, + 4, + 6, + 7
Europium +2, +3

Question vii.
Write the electronic configuration of chromium and copper.
Answer:
Chromium (₂₄Cr) has electronic configuration,
₂₄Cr (Expected) : Is² 2s² 2p⁶ 3s² 3p⁶ 3d⁴ 4s²
(Observed) : Is² 2s² 2p⁶ 3s² 3p⁶ 3d⁵ 4s¹

Explanation :

The energy difference between 3d- and 45-orbitals is very low.
d-orbitals being degenerate, they acquire more stability when they are half-filled (3d⁵).
Therefore, there arises a transfer of one electron from 45-orbital to 3d-orbital in Cr giving more stable half-filled orbital. Hence, the configuration of Cr is [Ar] 3d⁵ 4s¹ and not [Ar] 3d⁴ 4s².

Copper (₂₉CU) has electronic configuration,
₂₉Cu (Expected) : Is² 2s³ 2p⁶ 3s³ 3p⁶ 3d⁹ 4s²
(Observed) : Is² 2s² 2p⁶ 3s² 3p⁶ 3d¹⁰ 4s¹

Explanation :

The energy difference between 3d- and 45-orbitals is very low.
d-orbitals being degenerate, they acquire more stability when they are completely filled.
Therefore, there arises a transfer of one electron from 45-orbital to 3d-orbital in Cu giving completely filled more stable d-orbital.

Hence, the configuration of Cu is [Ar] 3d¹⁰ 4s¹ and not [Ar] 3d⁹ 4s².

Question viii.
Why nobelium is the only actinoid with +2 oxidation state?
Answer:

Nobelium has the electronic configuration ₁₀₂NO : [Rn] 5f¹⁴6d°7s²
No²⁺ : [Rn] 5f¹⁴6d°
Since the 4f subshell is completely filled and 6d° empty, + 2 oxidation state is the stable oxidation state.
Other actinoids in + 2 oxidation state are not as stable due to incomplete 4f subshell.

Question ix.
Explain with the help of balanced chemical equation, why the solution of Ce(IV) is prepared in acidic medium.
Answer:
Ce⁴⁺ undergoes hydrolysis as, Ce⁴⁺+ 2H₂O → Ce(OH)₄ + 4H⁺.
Due to the presence of H⁺ in the solution, the solution is acidic.

Question x.
What is meant by ‘shielding of electrons’ in an atom?
Answer:
The inner shell electrons in an atom screen or shield the outermost electron from the nuclear attraction. This effect is called the shielding effect.

The magnitude of the shielding effect depends upon the number of inner electrons.

Question xi.
The atomic number of an element is 90. Is this element diamagnetic or paramagnetic?
Answer:
The 90th element thorium has an electronic configuration, [Rn] 6d²7s². Since it has 2 unpaired electrons it is paramagnetic.

3. Answer the following

Question i.
Explain the trends in atomic radii of d-block elements
Answer:

The atomic or ionic radii of 3-d series transition elements are smaller than those of representative elements, with the same oxidation states.
For the same oxidation state, there is an increase in nuclear charge and a gradual decrease in ionic radii of 3d-series elements is observed. Thus ionic radii of ions with oxidation state + 2 decreases with increase in atomic number.
There is slight increase is observed in Zn²⁺ ions. With the higher oxidation states, effective nuclear charge increases. Therefore ionic radii decrease with increase in oxidation state of the same element. For example, Fe²⁺ ion has ionic radius 77 pm whereas Fe³⁺ has 65 pm.

Question ii.
Name different zones in the Blast furnace. Write the reactions taking place in them.
Answer:
(i) Zone of combustion : The hot air oxidises coke to CO which is an exothermic reaction, due to which the temperature of furnace rises.
C + ^1/2O₂ → CO ΔH= – 220kJ
Some part of CO dissociates to give finely divided carbon and O₂.
2CO → 2C + O₂The hot gases with CO rise up in the furnace and heats the charge coming down. CO acts as a fuel as well as a reducing agent.

(ii) Zone of reduction : At about 900 °C, CO reduces Fe₂O₃ to spongy (or porous) iron.
Fe₂O₃ + 3CO → 2Fe + 3CO₂Carbon also reduces partially Fe₂0₃ to Fe.
Fe₂O₃ + 3C → 2Fe + 3CO

(iii) Zone of slag formation : At 1200 K limestone, CaCO₃ in the charge, decomposes and forms a basic flux CaO which further reacts at 1500 K with gangue (SiO₂, Al₂O₃) and forms a slag of CaSiO₃ and Ca₃AlO₃.
CaCO₃ + CaO + CO₂.
CaO + SiO₂→ CaSiO₃12CaO + 2Al₂O₃ → 4Ca₃AlO₃ + 3O₂

The slag is removed from the bottom of the furnace through an outlet.

(iv) Zone of fusion : The impurities in ore like MnO₂ and Ca₃(PO₄)₂ are reduced to Mn and P while SiO₂ is reduced in Si. The spongy iron moving down in the furnace melts in the fusion zone and dissolves the impurities like C, Si, Mn, phosphorus and sulphure. The molten iron collects at the bottom of furnace. The lighter slag floats on the molten iron and prevents its oxidation.

The molten iron is removed and cooled in moulds. It is called pig iron or cast iron. It contains about 4% carbon.

Question iii.
What are the differences between cast iron, wrought iron and steel?
Answer:

Cast iron	Wrought iron	Steel
(1) Hard and brittle (2) Contains 4% carbon. (3) Used for making pipes, manufacturing automotive parts, pots, pans, utensils	(1) Very soft (2) Contains less than 0.2% carbon. (3) Used for making pipes, bars for stay bolts, engine bolts and rivets.	(1) Neither too hard nor too soft. (2) Contains 0.2 to 2% carbon (3) Used in buildings infrastructure, tools, ships, automobiles, weapons etc.

Question iv.
Iron exhibits +2 and +3 oxidation states. Write their electronic configuration. Which will be more stable? Why?
Answer:
The electronic configuration of Fe^{2 +} and Fe³⁺ :
Fe²⁺ : Is² 2s² 2p⁶ 3s² 3p⁶ 3d⁶Fe³⁺ : Is² 2s² 2p⁶ 3s² 3p⁶ 3d⁵

Due to loss of two electrons from the 4.v-orbital and one electron from the 3d-orbital, iron attains 3⁺ oxidation state. Since in Fe³⁺, the 3d-orbital is half-filled, it gets extra stability, hence Fe³⁺ is more stable than Fe²⁺.

Question v.
Give the similarities and differences in elements of 3d, 4d and 5d series.
Answer:
Similarity :

They are placed between .s-block and p-block of the periodic table.
All elements are metals showing metallic characters.
Some are paramagnetic.
Most of them give coloured compounds.
They have catalytic properties.
They form complexes.
They have variable oxidation states.

Differences :

In 4d and 5d series lanthanide and actinoid contraction is observed. In 3d series atomic size changes are less marked.
4d and 5d elements have high coordination numbers compared to 3d elements.
4d and 5d series have similar properties whereas 3d series have different properties.

Question vi.
Explain trends in ionisation enthalpies of d-block elements.
Answer:

The ionisation enthalpies of transition elements are quite high and lie between those of 5-block and p-block elements. This is because the nuclear charge and atomic radii of transition elements lie between those of 5-block and p-block elements.
As atomic number of transition elements increases along the period and along the group, first ionisation enthalpy increases even though the increase is not regular.
If IE_1; IE₂ and IE₃ are the first, second and third ionisation enthalpies of the transition elements, then IE₁ < IE₂ < IE₃.
In the transition elements, the added last differentiating electron enters into (n – 1) d-orbital and shields the valence electrons from the nuclear attraction. This gives rise to the screening effect of (n – 1) d-electrons.
Due to this screening effect of (n – 1) d electrons, the ionisation enthalpy increases slowly and the increase is not very regular.

Question vii.
What is meant by diamagnetic and paramagnetic metal? Give one example of diamagnetic and paramagnetic transition metal and lanthanoid metal.
Answer:

Paramagnetic substances : When a magnetic field is applied, substances which are attracted towards the applied magnetic field are called paramagnetic substances. Example : Ni²⁺, Pr⁴⁺
Diamagnetic substances : When a magnetic field is applied, substances which are repelled by the magnetic fields are called diamagnetic substances. Example : Zn²⁺, La³⁺
Ferromagnetic substances : When a magnetic field is applied, substances which are attracted very strongly are called ferromagnetic substances. These substances can be magnetised. For example, Fe, Co, Ni are ferromagnetic.

Question viii.
Why the ground-state electronic configurations of gadolinium and lawrencium are different than expected?

Question ix.
Write steps involved in the metallurgical process
Answer:
The various steps and principles involved in the extraction of pure metals from their ores are as follows.:

Concentration of ores in which impurities (gangue) are removed.
Conversion of ores into oxides or other reducible compounds of metals.
Reduction of ores to obtain crude metals.
Refining of metals giving pure metals.

Question x.
Cerium and Terbium behaves as good oxidising agents in +4 oxidation state. Explain.
Answer:

The most stable oxidation state of lanthanoids is +3.
Hence, Ce⁴⁺ (cerium) and Tb⁴⁺ (terbium) tend to get + 3 oxidation state which is more stable.
Since they get reduced by accepting electron, they are good oxidising agents in + 4 oxidation state.

Question xi.
Europium and Ytterbium behave as good reducing agents in +2 oxidation state explain.
Answer:

The most stable oxidation state of lanthanoids is + 3.
Hence, Eu²⁺ and Yb²⁺ tend to get + 3 oxidation states by losing one electron.
Since they get oxidised, they are good reducing agents in + 2 oxidation state.

Activity :
Make groups and each group prepare a PowerPoint presentation on the properties and applications of one element. You can use your imagination to create some innovative ways of presenting data.

You can use pictures, images, flow charts, etc. to make the presentation easier to understand. Don’t forget to cite the reference(s) from where data for the presentation is collected (including figures and charts). Have fun!

12th Chemistry Digest Chapter 8 Transition and Inner Transition Elements Intext Questions and Answers

Do you know? (Textbook Page No 165)

Question 1.
In which block of the modern periodic table are the transition and inner transition elements placed?
Answer:
The transition elements are placed in d-block and inner transition elements are placed in f-block of the modern periodic table.

Use your brain power! (Textbook Page No 167)

Question 1.
Fill in the blanks with correct outer electronic configurations.
Answer:
Answers are given in bold.
Maharashtra Board Class 12 Chemistry Solutions Chapter 8 Transition and Inner Transition Elements 6

Try this….. (Textbook Page No 168)

Question 1.
Write the electronic configuration of Cr and Cu.
Answer:
₂₄Cr : [Ar] 3d⁵4s¹ ₃₀Cu : [Ar] 3d¹⁰4s¹

Can you tell? (Textbook Page No 168)

Question 1.
Which of the first transition series element shows the maximum number of oxidation states and why?
Answer:

₂₅Mn shows the maximum number of oxidation states, + 2 to +7.
₂₅Mn : [Ar] 3d⁵4s³
Mn has incompletely filled J-subshell.
Due to small difference in energy between 3d and 4s -orbitals, Mn can lose (or share) electrons from both the orbitals.
Hence Mn shows oxidation states from + 2 to +7.

Question 2.
Which elements in the 4d and 5d-series will show maximum number of oxidation states?
Answer:
In 4d-series maximum number of oxidation states are for Ruthenium Ru ( + 2, +3, + 4„ +6, +7, + 8). In 5d-series, maximum number of oxidation states are for Osmium, Os ( + 2 to + 8).

Try this ….. (Textbook Page No 168)

Question 1.
Write the electronic configuration of Mn⁶⁺, Mn⁴⁺, Fe⁴⁺, Co⁵⁺, Ni²⁺.
Answer:

Ions	Electronic configuration of valence shell
Mn⁶⁺	[Ar] 3d¹
Mn⁴⁺	[Ar] 3d³
Fe⁴⁺	[Ar] 3d⁴
Co⁵⁺	[Ar] 3d⁴
Ni²⁺	[Ar] 3d⁸

Try this ….. (Textbook Page No 171)

Question 1.
Pick up the paramagnetic species from the following : Cu¹⁺, Fe³⁺, Ni²⁺, Zn²⁺, Cd²⁺, Pd²⁺.
Answer:
The following ions are paramagnetic : Fe³⁺, Ni²⁺, Pd²⁺

Try this ….. (Textbook Page No 171)

Question 1.
What will be the magnetic moment of transition metal having 3 unpaired electrons?
(a) equal to 1.73 B.M.?
(b) less than 1.73 BM.
(c) more than 1.73 B.M.?
Answer:
By spin-only formula, \(\mu=\sqrt{n(n+2)}\) where n is number of unpaired electrons.
\(\mu=\sqrt{3(3+2)}=\sqrt{3(5)}=3.87 \mathrm{~B} . \mathrm{M}\)
Thus the value is more than 1.73 B.M.

Use your brain power! (Textbook Page No 171)

Question 1.
A metal ion from the first transition series has two unpaired electrons. Calculate the magnetic moment.
Answer:
\(\)\begin{aligned}
\mu &=\sqrt{n(n+2)} \\
&=\sqrt{2(2+2)} \\
&=\sqrt{8} \\
&=2.84 \text { B.M. }
\end{aligned}\(\)

Problem (Textbook Page No 172)

Question 1.
Calculate the spin-only magnetic moment of divalent cation of a transition metal with atomic number 25.
Answer:
For element with atomic number 25. electronic configuration of its divalent cation will be : [Ar] 3d⁵.
Maharashtra Board Class 12 Chemistry Solutions Chapter 8 Transition and Inner Transition Elements 16

Try this….. (Textbook Page No 172)

Question 1.
Calculate the spin-only magnetic moment of a divalent cation of element Slaving atomic number 27.
Answer:
Electronic configuration of divalent ion of an element with atomic number 27 : [Ar] 3d⁷;
Maharashtra Board Class 12 Chemistry Solutions Chapter 8 Transition and Inner Transition Elements 17

Can you tell? (Textbook Page No 172)

Question 1.
Compounds of s and p-block elements are almost white. What could be the absorbed radiation? (uv or visible)?
Answer:
The white colour of a compound indicates the absorption of uv radiation.

Can you tell? (Textbook Page No 181)

Question 1.
Why f-block elements are called inner transition metals?
Answer:
f-block elements are called inner transition elements since f-orbital lies much inside the f-orbital in relation to the transition metals, These elements have 1 to 14 electrons in their f-orbital.

Question 2.
Are there an similarities between transition and inner transition metals?
Answer:
There are some properties similarity between transition and inner transition metals.

They are placed between s and p-block elements.
They are metals with filling of inner suhshells in their electronic configuration.
They show variable oxidation slates.
They show magnetism.
They form coloured compounds.
They have catalytic property.

Problem (Textbook Page No 184)

Question 1.
Which of the following will have highest fourth ionisation enthalpy, La⁴⁺, Gd⁴⁺, Lu⁴⁺.
Answer:
La : 4f°5d¹6s²Gd : 4f¹5d¹6s²Lu : 4f¹⁴5d¹6s²
Lu will have the highest fourth ionisation enthalpy since Lu³⁺ has the most stable configuration of 4f¹⁴.

Use your brain power! (Textbook Page No 185)

Question 1.
Do you think that lanthanoid complex would show magnetism?
Answer:
Lanthanoid complexes may show magnetism.

Question 2.
Can you calculate the spin only magnetic moment of lanthanoid complexes using the same formula that you used for transition metal complexes?
Answer:
You cannot calculate magnetic moment of lanthanoid complexes using spin only formula as you have to consider orbital momentum also.

Question 3.
Calculate the spin only magnetic moment of La³⁺. Compare the value with that given in the table.
Answer:
La³⁺ ion has no unpaired electron.
Maharashtra Board Class 12 Chemistry Solutions Chapter 8 Transition and Inner Transition Elements 56
La³⁺ ion has zero value of magnetic moment same as given in the table.

Maharashtra Board 12th OCM Important Questions Chapter 8 Marketing

July 15, 2024July 14, 2024 by Bhagya

Balbharti Maharashtra State Board 12th OCM Important Questions Chapter 8 Marketing Important Questions and Answers.

Maharashtra State Board 12th Commerce OCM Important Questions Chapter 8 Marketing

Select the correct options and rewrite the sentence

Question 1.
In …………….. there are few sellers selling homogeneous products or differentiated products in the market.
(a) Monopoly
(b) Duopoly
(c) Oligopoly
Answer:
(c) Oligopoly

Question 2.
The process of classification of products according to similar characteristics and/or quality is known as ………………
(a) Standardisation
(b) Grading
(c) Branding
Answer:
(b) Grading

Question 3.
The market which uses Information Technology for buying and selling of product or service is known as ………………….
(a) Exchange concept of market
(b) Digital concept of market
(c) Place concept of market
Answer:
(b) Digital concept of market

Question 4.
The market for semi-processed or semifinished goods is called ……………………
(a) Primary Market
(b) Secondary Market
(c) Terminal Market
Answer:
(b) Secondary Market

Question 5.
……………….. helps to avoid breakage, damage, and destruction of the product.
(a) Packaging
(b) Grading
(c) Branding
Answer:
(a) Packaging

Question 6.
……………… gives a special identity to the product.
(a) Grading
(b) Packaging
(c) Branding
Answer:
(c) Branding

Match the pairs

Question 1.

Group A	Group B
(A) Regulated Market	1. Market of consumer goods
(B) Capital Market	2. Monopoly
(C) Tool of Marketing	3. Provides employment
(D) Marketing Mix	4. Stock Exchange
(E) Promotion	5. Market not controlled by regulation
	6. Provides quality products
	7. 4 Ps
	8. Packaging and labelling
	9. Process of informing customers about producer
	10. Borrowing and lending long term capital

Answer:

Group A	Group B
(A) Regulated Market	4. Stock Exchange
(B) Capital Market	10. Borrowing and lending long term capital
(C) Tool of Marketing	8. Packaging and labelling
(D) Marketing Mix	7. 4 Ps
(E) Promotion	9. Process of informing customers about producer

Question 2.

Group A	Group B
(A) Customer Support Service	(1) Creates good design of product
(B) Label	(2) To identity Need/ Want of Consumers
(C) Product Development	(3) Provides Information
(D) Marketing Research	(4) After Sales Services
(E) Trademark	(5) Movement of finished goods
	(6) Storage of goods
	(7) Registered Brands
	(8) King of Market
	(9) Distribution Channel
	(10) Decreases Distribution cost

Answer:

Group A	Group B
(A) Customer Support Service	(4) After Sales Services
(B) Label	(3) Provides Information
(C) Product Development	(1) Creates good design of product
(D) Marketing Research	(2) To identity Need/ Want of Consumers
(E) Trademark	(7) Registered Brands

Give one word/phrase/term for the following statements

Question 1.
The market for the commodities which are sold within geographical limits of a region.
Answer:
Local Market

Question 2.
The market for agricultural and forest products.
Answer:
Primary Market

Question 3.
Where there is single seller or producer who controls the market.
Answer:
Monopoly

Question 4.
Market situation where there is single buyer of a commodity or service.
Answer:
Monopsony

Question 5.
Market where lEirge number of buyers and sellers buy and sell their homogeneous products.
Answer:
Perfect Market.

Question 6.
The process of identifying the needs Emd wants of consumers in the market.
Answer:
Marketing Research

Question 7.
The tool of market that helps to publicise the product to the consumer.
Answer:
Promotion

Question 8.
Putting the right product at the right time, at the right place, at the right price.
Answer:
MEirketing Mix

Question 9.
Slip attached to the product which provides all the information regEirding product and its producer.
Answer:
Labelling

Question 10.
Function of determining standards and ensuring uniformity in the product.
Answer:
Standardisation

Question 11.
The market for the commodities which are sold within country.
Answer:
National Market

Question 12.
The market for commodities which are produced in one country and sold in other countries.
Answer:
International Market

Question 13.
A type of market which has very short time existence.
Answer:
Very Short Period s Market

Question 14.
A market in which the activities of buying and selling is undertaken in large quantities at cheaper rate.
Answer:
Wholesale Market

Question 15.
A market where goods are sold to ultimate consumers.
Answer:
Terminal Market.

State whether following the statements are True or False

Question 1.
Monopsony refers to a market situation where there is a single seller of a commodity or service.
Answer:
False

Question 2.
Product development is one time process.
Answer:
False

Question 3.
Marketing follows customer oriented approach.
Answer:
True

Question 4.
Commodity Exchanges, Stock Exchanges, Foreign ExchEmges are examples of unregulated or raw market.
Answer:
False

Question 5.
Effective utilisation of channel of distribution can help in reducing the cost price of product.
Answer:
True.

Find the odd one

Question 1.
Local market, International market, Terminal j market, National market
Answer:
Terminal market

Question 2.
Very short period market, Perfect market, Short period market, Long period market
Answer:
Perfect market

Question 3.
Monopoly, Monopsony, Oligopoly, Imperfect market
Answer:
Imperfect market.

Complete the sentences

Question 1.
…………….. is a part and parcel of modern day’s life.
Answer:
Marketing

Question 2.
…………….. is the king of the market.
Answer:
Customer

Question 3.
Market which uses Information Technology for buying and selling of goods or services is called ………………..
Answer:
Digital market

Question 4.
Market for goods, materials, consumer and industrial goods is called ………………….
Answer:
Commodity market

Question 5.
………………. market refers to the markets regulated by statutory provisions of the country.
Answer:
Regulated

Question 6.
In …………………. there are two sellers, selling either a homogenous product or differentiated products.
Answer:
Duopoly

Question 7.
…………………. involves collecting raw materials from different sources and bringing them at one place for production.
Answer:
Assembling.

Correct the underlined word and rewrite the sentence

Question 1.
Transportation creates time utility.
Answer:
Perfect market refers to a market situation which is characterised by large number of buyers and sellers who buy and sell their homogeneous products.

Question 2.
Imperfect market refers to a market situation which is characterised by large number of buyers and sellers who buy and sell their homogeneous products.
Answer:
Warehousing creates time utility.

Question 3.
Producer is the king of the market.
Answer:
Consumer is the king of the market.

Question 4.
Retail market refers to the market of bulk purchase and sale of goods.
Answer:
Wholesale market refers to the market of bulk purchase- and sale of goods.

Question 5.
Determining the right price is the result of product development.
Answer:
Determining the right price is the result of marketing research.

Arrange in proper order

Question 1.
Terminal market, Primary market, Secondary market.
Answer:
Primary market, Secondary market, Terminal market.

Distinguish between

Question 1.
Marketing and Selling
Answer:

	Taiga Region	Tundra Region
1. Meaning	Marketing refers to a process in which needs are identified or created, products offered and delivered to the consumers.	Selling refers to a process of processing orders from customers and delivering the products to them.
2. Concept	As compared to selling, marketing is a wider concept. It comprises selling and other functions.	As compared to marketing, selling is a narrower concept. It is part and parcel of the marketing concept.
3. Essential	Fulfilling the needs and satisfaction of the consumers is the essence of the marketing concept.	Transfer of title and possession of the products from one person to another is the essence of selling.
4. Orientation	Marketing is consumer-oriented. It stresses more on consumers and the maximization of their satisfaction.	Selling is product-oriented. It stresses more on the product and its efficiency.
5. Views	Marketing views (looks at) the customers as they are the center of all activities of marketing.	Selling views (looks at) the customers as the last link in the activities of selling.
6. Activity	Marketing is an indirect activity.	Selling is a direct activity.

Maharashtra Board 12th OCM Important Questions Chapter 7 Consumer Protection

July 15, 2024July 14, 2024 by Bhagya

Balbharti Maharashtra State Board 12th OCM Important Questions Chapter 7 Consumer Protection Important Questions and Answers.

Maharashtra State Board 12th Commerce OCM Important Questions Chapter 7 Consumer Protection

Select the correct options and rewrite the sentence

Question 1.
Any person who does not agree with the decision of the State Commission can appeal to the ……………….
(a) Supreme Court
(b) High Court
(c) National Commission
Answer:
(c) National Commission

Question 2.
Right to ………………… restricts monopolistic tendencies in the market.
(a) Information
(b) Choose
(c) Safety
Answer:
(b) Choose

Question 3.
………………. is referred to as ‘People’s Court.’
(a) Lok Adalat
(b) Public Interest Litigation
(c) Consumer Welfare Fund
Answer:
(a) Lok Adalat

Question 4.
State Consumer Dispute Redressal Commission is popularly known as ……………….
(a) National Commission
(b) State Commission
(c) District Forum
Answer:
(b) State Commission

Question 5.
……………… is the President of State Commission.
(a) District Court Judge
(b) Supreme Court Judge
(c) High Court Judge
Answer:
(c) High Court Judge

Question 6.
……………… is celebrated as ‘National Consumer Day’.
(a) 15th March
(b) 24th December
(c) 26th January
Answer:
(b) 24th December

Question 7.
National Commission entertains complaints where the values of goods or services paid as consideration exceeds Rs ………………..
(a) 50 lakh
(b) 1 crore
(c) 10 crore
Answer:
(c) 10 crore

Match the pairs

Question 1.

Group A	Group B
(A) District Judge	(1) 2019
(B) Right to Redressal	(2) Duty of seller
(C) Consumer Protection Act	(3) President of District Commission
(D) Creating Consumer Awareness	(4) Supreme Court
(E) Lok Adalat	(5) Seek legal remedy in the court
	(6) Use of media
	(7) Settlement of disputes by mutual compromise
	(8) 2010
	(9) President of National Commission
	(10) Selecting best quality product

Answer:

Group A	Group B
(A) District Judge	(3) President of District Commission
(B) Right to Redressal	(5) Seek legal remedy in the court
(C) Consumer Protection Act	(1) 2019
(D) Creating Consumer Awareness	(6) Use of media
(E) Lok Adalat	(7) Settlement of disputes by mutual compromise

Give one word/phrase/term for the following statement

Question 1.
The right of a consumer which allows him to express his views.
Answer:
Right to be Heard

Question 2.
The right of a consumer which creates an awareness in him about his rights.
Answer:
Right to Consumer Education

Question 3.
Non-profit and non-political independent groups working for a definite cause.
Answer:
Non-Government Organisations (NGOs)

Question 4.
The right which demands that inferior quality goods or defective products are not brought in the market at all.
Answer:
Right to Safety

Question 5.
The court established by Government to settle consumer disputes by mutual compromise.
Answer:
Lok Adalat/People’s Court.

State whether the following statements are True or False

Question 1.
The Consumer Protection Act was passed in the interest of the sellers.
Answer:
False

Question 2.
Order issued by District Forum on a complaint is final.
Answer:
False

Question 3.
24th December is observed as International Consumer Rights Day every year.
Answer:
False.

Find the odd one

Question 1.
Right to Safety, Right to Travel, Right to Information, Right to Choose.
Answer:
Right to Travel

Question 2.
Right to be Heard, Right to Represent, Right to Redress, Right to Adult Education.
Answer:
Right to Adult Education.

Complete the sentences

Question 1.
The primary objective of consumer movement is to protect ………………. rights.
Answer:
consumers

Question 2.
An appeal against the order of State Commission may be made to the National Commission within ………………. days.
Answer:
30

Question 3.
A District Commission shall be established by ………………..
Answer:
State Government.

Select the correct option and complete the following table

(High Court Judge, Four, Consumer Organisations, does not exceeds Rs one crore, 2019, created by the Department of Consumer Affairs, 15th March, Lok Adalat, Public Interest Litigation, 24th December)

Group A	Group B
1 Janahit Yachika	—————-
2. Consumer Welfare Fund	——————-

Answer:

Group A	Group B
1 Janahit Yachika	Public Interest Litigation
2. Consumer Welfare Fund	Created by the department of consumer Affairs.

Justify the following statements

Question 1.
Order issued by the District Commission on a complaint is final.
Answer:
(1) The main objective of the Consumer Protection Act, 1986 is expeditious and inexpensive settlement of consumer disputes. In order to achieve this objective, the Act provides the three tier quasi-judicial consumer disputes redressal machinery at district, state and national level.

(2) A consumer redressal agency established by the state government in each district to give relief or settle the disputes of consumers who complain against manufacturers or traders is called a ‘District Commission’. It consists of a president and two other members to be appointed by the state government.

(3) The District Commission has a jurisdiction over a particular district. As per amendments made to the Consumer Protection Act, 1986, it has the jurisdiction to entertain complaints where the value of goods or services, including compensation, if any, does not exceed Rs one crore.

(4) The justice or order given by the District Commission is binding on both parties. However, if any person is not satisfied with the order of the District Commission he can appeal against such order to the State Commission within 45 days of the order. Thus, an order issued by the District Commission on a complaint is not final.

Question 2.
Lok Adalat can rightly be described as ‘People’s Court’.
Answer:
(1) Lok Adalat, i.e. People’s Court is established by the government to settle the disputes by compromise. It is a mock court held by the State authority, District authority, Supreme Court Legal Service Committee, High Court Legal Service Committee or Taluka Legal Service Committee.

(2) Lok Adalat accepts the cases pending in regular courts to settle them by compromise. For this, both the parties to the case should agree to transfer the case to Lok Adalat from the regular court. Even on the application of one of the parties, the court transfers the case to Lok Adalat, if the court feels that there are chances for a compromise.

(3) In Lok Adalat, if a matter cannot be settled through a compromise, then it is returned to regular court. The order passed or the resolution of disputes by Lok Adalat is given statutory recognition.

(4) Lok Adalat is one of the several ways to resolve the consumers’ problems or grievances. Some organisations such as Railways, MSEDCL, MSRTC, Telephone Exchanges, Insurance Companies in the public sector regularly hold Lok Adalat to resolve consumers’ problems through compromise.

Maharashtra Board 12th OCM Important Questions Chapter 6 Social Responsibilities of Business

July 15, 2024July 14, 2024 by Bhagya

Balbharti Maharashtra State Board 12th OCM Important Questions Chapter 6 Social Responsibilities of Business Important Questions and Answers.

Maharashtra State Board 12th Commerce OCM Important Questions Chapter 6 Social Responsibilities of Business

Select the correct options and rewrite the sentence

Question 1.
The business organization should not create profit.
(a) reasonable
(b) secret
(c) maximum
Answer:
(b) secret

Question 2.
Business organisation should avoid the creation of ……………….
(a) trade unions
(b) consumersâ€™ cell
(c) monopoly
Answer:
(c) monopoly

Question 3.
Business organisation is a part of ……………….
(a) industry
(b) government
(c) society
Answer:
(c) society

Question 4.
To maintain industrial peace is the responsibility of organisation towards ……………….
(a) customers
(b) employees
(c) society
Answer:
(b) employees

Question 5.
Ultimate goal of business must be satisfaction of …………………
(a) shareholders
(b) consumers
(c) owners
Answer:
(b) consumers

Question 6.
Location of industries should be in ……………….. zones.
(a) residential
(b) industrial
(c) commercial
Answer:
(b) industrial

Question 7.
To maintain safety of investment is responsibility of business towards …………………
(a) community
(b) investors
(c) employees
Answer:
(b) investors

Question 8.
In modern business environment, …………….. provides more opportunities and challenges.
(a) privatisation
(b) globalisation
(c) specialisation
Answer:
(b) globalisation

Match the pairs

Question 1.

Group A	Group B
(A) Responsibility to owners	(1) Negotiations with management
(B) Anti-social activity	(2) Pollution control
(C) Business ethics	(3) Good working condition
(D) Responsibility towards community	(4) Branch of philosophy
(E) Trade union	(5) Earning foreign exchange
	(6) Creating goodwill
	(7) To help small scale industry
	(8) Confidentiality
	(9) Provide often sales services
	(10) Smuggling

Answer:

Group A	Group B
(A) Responsibility to owners	(6) Creating goodwill
(B) Anti-social activity	(10) Smuggling
(C) Business ethics	(8) Confidentiality
(D) Responsibility towards community	(2) Pollution control
(E) Trade union	(1) Negotiations with management

Give one word/phrase/term for the following statement

Question 1.
Code of conduct followed by the business to regulate their behaviour.
Answer:
Business Ethics

Question 2.
Latest trend towards quality control.
Answer:
International Standard Organisation (ISO).

Question 3.
Process of integration of national economy with world economy.
Answer:
Globalisation

Question 4.
An association of employees who have come together to improve their wages, conditions of employment by means of collective bargaining.
Answer:
Trade Union

Question 5.
Responsibility of business organisation, towards environment, towards sustainable development including health and well-being of society.
Answer:
Corporate Social Responsibility (CSR)

Question 6.
Indian philosopher who had promoted concept of social responsibility in ancient times.
Answer:
Chanakya

Question 7.
Running efficient business is the responsibility of business towards this group.
Answer:
Owners.

State whether following statement are true or false

Question 1.
Business ethics are applicable to all business organisations.
Answer:
True

Question 2.
Every business organisation should undertake Research and Development.
Answer:
True

Question 3.
Business ethics can be considered as a tool for social development.
Answer:
False.

Question 4.
A business unit is a part of society.
Answer:
True

Question 5.
Business should not disclose their records to investors.
Answer:
False

Question 6.
Providing career opportunities to employees is the responsibility of business.
Answer:
True

Question 7.
Management should avoid worker’s participation while making decisions.
Answer:
False

Question 8.
Business organisation is not liable to control pollution.
Answer:
False

Question 9.
Ethics is a branch of politics.
Answer:
False

Question 10.
Business organisation can use natural resources as they want.
Answer:
False

Question 11.
Business organisation can participate in solving complex social problems.
Answer:
True

Complete the sentences

Question 1.
Business ethics is a branch of ……………..
Answer:
Social science

Question 2.
……………… should be printed on every product.
Answer:
Maximum Retail Price

Question 3.
Business and society are ……………….
Answer:
interdependent

Question 4.
The ……………….. protects the rights of employees.
Answer:
trade union

Question 5.
All companies shall spend, in every financial year, at least ……………… of the average net profits of the company.
Answer:
2%.

Answer in one sentence

Question 1.
In ancient times who preached and promoted ethical principles while doing business ?
Answer:
Philosophers like Chanakya from India and pre-Christian era philosophers in West, preached and promoted ethical principles while doing business.

Question 2.
Which points are to be considered by the business regarding investment by the investors ?
Answer:

Fair returns on investment,
Safety of investment,
Steady appreciation of business are the points to be considered by the business regarding investment made by investors.

Question 3.
Why is it necessary for the business to provide job security to their employees ?
Answer:
Security of job provides mental peace and employees can work with full dedication and concentration which will raise their morale and ; loyalty towards the organisation.

Question 4.
What should be banned by management to protect the interest of employees ?
Answer:
Management and Trade Union should agree to ban strikes and lockouts to protect the interest of both the parties.

Question 5.
What are 4 R’s in waste prevention techniques?
Answer:
Waste prevention techniques are commonly summarized in 4 ‘R’s:

Reduction in waste
Reuse of waste if practicable
Recycle of waste which cannot be reduced or reused.
Recover materials or energy from waste, if it cannot be reduced, reused or recycled.

Question 6.
Which companies has to comply with provisions related to CSR under Section 135 of Indian Companies Act 2013 ?
Answer:
Under Section 135 of India Companies Act 2013, the companies having net worth of 1500 Cr or more or turnover of 1000 Cr or more or net profit of 15 Cr or more during any financial year shall be required to comply with provision related to CSR.

Question 7.
How much amount companies are required to spend in pursuance of their CSR policy ?
Answer:
All companies shall spend, in every financial year, at least 2% of the average net profits of the company made during the three immediately preceding financial years, in pursuance of its CSR Policy.

Question 8.
What are penalties for Non-compliance of CSR activities ?
Answer:
Penalties for non-complying the duty of CSR would attract a fine of not less than Rs 50,000 which may extend to Rs 25,00,000 and every officer of the company in default shall be punishable with imprisonment for a term which may extend to 3 years; or with fine which shall not be less than Rs 50,000 which may extend to Rs 5,00,000 or with both.

Attempt the following

Question 1.
Explain the responsibilities of business organisations towards owners.
Answer:
The responsibilities of business organisations towards the owners are explained as follows:
(1) Reasonable profit : The business organisations must earn adequate (reasonable) profit for further growth and expansion. It brings financial stability.

(2) Exploring business opportunities : Opportunity refers to the scope available to the business enterprise to grow, expand and diversify the business. Businessmen should be watchful to find and explore such opportunities. They should take advantage of and exploit every possible opportunity. It is very essential for success of the business.

(3) Optimum use of capital : The business organisations are expected to use available capital more carefully and efficiently. Business risk should be carefully and properly considered. Management should take extra care for the safety of the capital.

(4) Minimise wastage : Management should provide due attention throughout the business to avoid or minimise the wastage of time, money, manpower and other resources. This in turn facilitates business enterprise to maximise its profitability.

(5) Efficient business : Business organisations are expected to make use of available resources up to their optimum level. Efficient use of resources ultimately increases efficiency, productivity and profitability.

(6) Fair practices on stock exchange : The business organisations should avoid all sorts of unfair practices on stock exchange such as insider trading, providing wrong and secret information about the affairs of the company, etc. Artificial increase or decrease in share prices put the common investors to loss.

(7) Expansion and diversification : The business unit must always develop, expand and diversify its business to strengthen and consolidate its position. It should always undertake research and development activities to face competition more successfully.

(8) Periodic information : It is obligatory for a business organisation to provide complete and accurate information in respect to financial position. It should disclose information through reports, circulars, etc.

(9) Effective use of owners’ funds : The company is expected to use the shareholders’ i.e. owners’ funds in the most profitable manner. It helps the organisation to give short term and long term returns in proper time.

(10) Creating goodwill : In order to get respect and trust in the (share) market, the management is expected to develop and maintain good public image of its company.

Maharashtra Board 12th OCM Important Questions Chapter 5 Emerging Modes of Business

July 15, 2024July 14, 2024 by Bhagya

Balbharti Maharashtra State Board 12th OCM Important Questions Chapter 5 Emerging Modes of Business Important Questions and Answers.

Maharashtra State Board 12th Commerce OCM Important Questions Chapter 5 Emerging Modes of Business

Select the correct options and rewrite the sentence

Question 1.
Wedding Planning is an example of ……………….
(a) corporate organization
(b) outsourcing
(c) buying and selling of goods
Answer:
(b) outsourcing

Question 2.
……………… is the trading aspect of e-business where it connects buyers and sellers on the internet.
(a) Outsourcing
(b) e-commerce
(c) e-mail
Answer:
(b) e-commerce

Question 3.
An electronic facility of transferring funds through the internet is ………………. transfer.
(a) cash
(b) net banking
(c) credit
Answer:
(b) net banking

Question 4.
Credit or Debit Cards are popularly known as ………………. ‘Money’.
(a) Paper
(b) Plastic
(c) Polymer
Answer:
(b) Plastic

Question 5.
In e-business payments have to be made ……………….
(a) in cash
(b) credit
(c) online
Answer:
(c) online

Question 6.
The transactions under ………………. are between one business firm and other business firm.
(a) C2C
(b) B2C
(c) B2B
Answer:
(c) B2B

Match the pairs

Question 1.

Group A	Group B
(A) Outsourcing	(1) Consumer to consumer
(B) B2A	(2) Exist everywhere
(C) KPO	(3) First step
(D) C2A	(4) Business to Consumer
(E) LPO	(5) Electronic business
	(6) BPO
	(7) RTO
	(8) Efficient business
	(9) Exist only in cyberspace
	(10) Last step

Answer:

Group A	Group B
(A) Outsourcing	(8) Efficient business
(B) B2A	(5) Electronic business
(C) KPO	(6) BPO
(D) C2A	(1) Consumer to consumer
(E) LPO	(7) RTO

Give one word/phrase/term for the following statement

Question 1.
Name the term which is used by even common man effectively while collecting the needed s information quickly.
Answer:
Internet

Question 2.
Name the electronic facility of transferring funds through the internet.
Answer:
Net banking transfer

Question 3.
The form of electronic currency that exists only in cyberspace.
Answer:
Digital cash

Question 4.
The outsourcing of peripheral activities of the organisation to an external organisation to minimise cost.
Answer:
Business Process Outsourcing (BPO)

Question 5.
The trading aspect of e-business that connects buyers and sellers on the internet.
Answer:
e-commerce.

State whether following statement are true or false

Question 1.
Credit cards are used for online payment.
Answer:
True

Question 2.
In online transactions ‘Account’ is password protected.
Answer:
True

Question 3.
Online transactions are done without the help of internet.
Answer:
False

Question 4.
BPO enables optimum utilisation of scarce resources.
Answer:
True

Find the odd one

Question 1.
C2B, B2A, A2U, C2A.
Answer:
A2U

Question 2.
Off shore, Seashore, On shore, Near shore
Answer:
Seashore.

Complete the sentences

Question 1.
Use of Internet has considerably reduced the dependence on
Answer:
Paper work

Question 2.
includes more knowledge based and specialised work.
Answer:
KPO

Question 3.
The concept of e-business was coined in 90s by
Answer:
IBM.

Correct the underlined word and rewrite the sentence:

Question 1.
BPO is more complex than KPO.
Answer:
less

Question 2.
Traditional business lacks personal touch.
Answer:
e-business

Question 3.
E-commerce is superset of E-business.
Answer:
subset

Question 4.
E-business is narrower concept than s e-commerce.
Answer:
broader

Question 5.
E-commerce is more appropriate in B2B transaction.
Answer:
B2C.

Distinguish between

Question 1.
BPO and LPO
Answer:

	BPO	LPO
1. Meaning	BPO implies the outsourcing of non-primary peripheral activities of the organisation to an external organisation to decrease cost and increase efficiency of parent organisation.	LPO is a type of KPO that renders legal services ranging from drafting legal documents, performing legal research to offering legal advice for certain money consideration.
2. Degree of complexity	BPO is comparatively less complex.	LPO is relatively more complex.
3. Requirement	BPO requires process expertise.	LPO requires legal (law) expertise.
4. Talent required in employees	BPO requires personnel having good communication having legal (law) knowledge.	LPO requires professionally qualified personnel skills.
5. Focus	BPO focus on low level process.	LPO focus on high level process.
6. Outcome	BPO gives a company the ability to get access to skilled and trained manpower at low rate.	LPO allows organisations to access high level talent and niche expertise that does not exist within the firm.

Question 2.
KPO and LPO
Answer:

	KPO	LPO
1. Meaning	KPO is a form of outsourcing in which knowledge related and information related work are outsourced to third party service providers to help in value addition and to get cost benefits.	LPO is a type of KPO that renders legal services ranging from drafting legal documents, performing legal research to offering legal advice for certain money consideration.
2. Requirement	KPO requires knowledge expertise.	LPO requires legal (law) expertise.
3. Talent required in employees	KPO requires professionally qualified personnel having technical knowledge.	LPO requires professionally qualified personnel having legal (law) knowledge.
4. Nature	KPO is a subset of BPO which involves outsource of core functions of the parent company.	LPO is a type of KPO that is specific to legal services.
5. Sources of services	Business organisations mostly hire services from skilled employees supplied by KPO service providers.	In-house, legal department mostly hire services from law firms situated in foreign country to minimise cost.
6. Problems	Lack of communication due to legal, language and cultural barriers may create complications	LPO gets affected adversely by geographical hurdles between law firm and client organisation.

Maharashtra Board 12th OCM Important Questions Chapter 4 Business Services

July 15, 2024July 14, 2024 by Bhagya

Balbharti Maharashtra State Board 12th OCM Important Questions Chapter 4 Business Services Important Questions and Answers.

Maharashtra State Board 12th Commerce OCM Important Questions Chapter 4 Business Services

Select the correct option and rewrite the sentences

Question 1.
Principle of utmost good faith is applicable to ………………
(a) Life insurance
(b) Marine insurance
(c) All types of insurance
Answer:
All types of insurance

Question 2.
Insurable interest must exist in ……………..
(a) Life insurance contract only
(b) Marine insurance contract only
(c) Every insurance contract
Answer:
Every insurance contract

Question 3.
Indemnity means ………………….
(a) compensation equal to loss
(b) compensation more than loss
(c) compensation less than loss
Answer:
compensation equal to loss.

Question 4.
In India railways are owned and managed by ………………….
(a) Private companies
(b) Government
(c) Individuals
Answer:
Government

Question 5.
The costliest means of transport is ………………
(a) Rail transport
(b) Water transport
(c) Air transport
Answer:
Airtransport

Question 6.
Road transport is suitable for ……………… distance.
(a) Short
(b) Long
(c) Medium
Answer:
Short

Question 7.
Railway transport is convenient mode of transport for travelling ………………. distance.
(a) Short
(b) Long
(c) Medium
Answer:
Long.

Question 8.
Food Corporation of India is Em exEimple of ……………….
(a) Government warehouse
(b) Duty-paid warehouse
(c) Cold storage warehouse
Answer:
Government warehouse

Question 9.
Duty paid warehouses are located near ………………….
(a) Railway stations
(b) villages
(c) port and dock
Answer:
port and dock.

Question 10.
Postal services are administered by …………………
(a) Private companies
(b) Government of India
(c) Panchayat system
Answer:
Government of India

Question 11.
In case of urgency and to avoid delays ……………… is sent.
(a) Registered post
(b) Speed post
(c) Insured post
Answer:
Speed post

Question 12.
Inland letter card is used for transmission of messages ……………… only.
(a) outside India
(b) within India
(c) within state
Answer:
within India

Question 13.
Communication in the nature of financial statements may be posted by a service provider to the customers at least once in ……………….. days under Bill Mail Service.
(a) 90
(b) 60
(c) 30
Answer:
90

Question 14.
A ………….. is the person named in money order to whom the money is to be paid.
(a) drawee
(b) drawer
(c) payee
Answer:
payee

Question 15.
Under iMO one can transfer money from Rs ………………….. to Rs 50,000 from designated iMO post offices.
(a) 5,000
(b) 1,000
(c) 500
Answer:
1,000.

Question 16.
The types of account under which the amount is kept fixed for specific period is called ……………….
(a) Fixed Deposit Account
(b) Current Account
(c) Recurring Deposit Account
Answer:
Fixed Deposit Account

Question 17.
The account In which a monthly deposit of certain amount Is to be made for a fixed period Is known as ……………….
(a) Savings Account
(b) Current Account
(c) Recurring Deposit Account
Answer:
Recurring Deposit Account

Question 18.
The account suitable for business purpose is ………………….
(a) Savings Account
(b) Current Account
(c) Recurring Account
Answer:
Current Account

Question 19.
The account suitable for creating a saving habit is ………………..
(a) Current Account
(b) Recurring Account
(c) Savings Account
Answer:
Savings Account

Question 20.
There Is no limit on the frequency of withdrawals from a …………………
(a) Savings Account
(b) Fixed Deposit Account
(c) Current Account
Answer:
Current Account.

Match the pairs

Question 1.

Group A	Group B
(A) Life Insurance	(1) Written request by insured
(B) Mitigation of loss	(2) Document contains terms and conditions of insurance contract
(C) Premium	(3) Insurable interest
(D) Policy	(4) Maximise loss
(E) Claim	(5) Transfer of loss from one person to another
(F) Subject-matter of insurance	(6) To minimise the loss
	(7) Owned by Private Companies
	(8) Life, property or cargo of insured
	(9) Demand to compensate the loss occurred
	(10) Payment made by policyholder

Answer:

Group A	Group B
(A) Life Insurance	(3) Insurable interest
(B) Mitigation of loss	(6) To minimise the loss
(C) Premium	(10) Payment made by policyholder
(D) Policy	(2) Document contains terms and conditions of insurance contract
(E) Claim	(9) Demand to compensate the loss occurred
(F) Subject-matter of insurance	(8) Life, property or cargo of insured

Question 2.

Group A	Group B
(A) Air Transport	(1) Suitable for carrying bulky and heavy goods
(B) Pipeline Transport	(2) Connects two places on the hills
(C) Railway Transport	(3) Raigad Ropeway
(D) Road transport	(4) Fastest mode of Transport
(E) Water Transport	(5) Feeder to other Transport
	(6) Petroleum and gas
	(7) Monorail transport
	(8) Door to door service
	(9) Owned by private companies
	(10) Fully owned by foreign companies.

Answer:

Group A	Group B
(A) Air Transport	(4) Fastest mode of Transport
(B) PipelineTransport	(6) Petroleum and gas
(C) Railway Transport	(5) Feeder to other Transport
(D) Road transport	(8) Door to door service
(E) Claim	(1) Suitable for carrying bulky and heavy goods

Question 3.

Group A	Group B
(A) Warehousing	(1) Located at railway station
(B) Cold storage	(2) Stocks the goods on which duty is paid
(C) Warehouse keeper	(3) Owned and managed by Government
(D) Duty paid warehouses	(4) Time utility
(E) Government warehouses	(5) Bond
	(6) Possession utility
	(7) Perishable goods
	(8) Stocks the goods on which duty is not yet paid
	(9) Owned and managed by NGOs
	(10) Operated by manufacturers to profit storage needs

Answer:

Group A	Group B
(A) Warehousing	(4) Time utility
(B) Cold storage	(7) Perishable goods
(C) Warehouse keeper	(5) Bond
(D) Duty paid warehouses	(2) Stocks the goods on which duty is paid
(E) Government warehouses	(3) Owned and managed by Government

Question 4.

Group A	Group B
(A) Reserve Bank of India (RBI)	(1) Recurring deposit account
(B) Overdraft facilities	(2) 12 hours service
(C) ATM	(3) Withdrawals after fixed period of time
(D) Fixed deposit account	(4) Central Bank
(E) Business Service	(5) Current account
	(6) 24 hours service
	(7) Commercial bank
	(8) Withdrawal before fixed period of time
	(9) Intangible in nature
	(10) Tangible in nature

Answer:

Group A	Group B
(A) Reserve Bank of India (RBI)	(4) Central Bank
(B) Overdraft facilities	(5) Current account
(C) ATM	(6) 24 hours service
(D) Fixed deposit account	(3) Withdrawals after fixed period of time
(E) Business Service	(9) Intangible in nature

Give one word/phrase/term for the following sentences

Question 1.
The policy under which cargo is insured for a specific period and voyage.
Answer:
Mixed Policy

Question 2.
The principle of insurance under which the insurer and insured must show complete faith towards each other.
Answer:
Principle of utmost good faith

Question 3.
The type of insurance where the principle of indemnity is not applicable.
Answer:
Life insurance

Question 4.
The person who is protected against certain losses.
Answer:
Insured or Policy Holder

Question 5.
The policy for which the premium is lowest, among all insurance policies.
Answer:
Term insurance policy

Question 6.
The consideration for which the insurer agrees to insure the insured.
Answer:
Premium

Question 7.
This policy is applicable till the departure of the vessel from the port.
Answer:
Part Risk Policy

Question 8.
A policy in which subject matter is insured for a specific voyage irrespective of time involved in it.
Answer:
Voyage policy

Question 9.
Type of marine insurance policy purchased from more than one insurer.
Answer:
Composite marine insurance policy

Question 10.
Policy under which several ships belonging to one owner are insured under the same policy.
Answer:
Fleet Policy or Block Policy.

Question 11.
Mode of transport which helps to get goods and passengers at their doors.
Answer:
Road transport

Question 12.
The mode of transport which connects two places on the hills or across a valley or river.
Answer:
Rope way.

Question 13.
A warehouse where the goods can be stored after the payment of import duty.
Answer:
Duty Paid Warehouse

Question 14.
These warehouses are owned and operated by big manufacturers to fulfil their own storage needs.
Answer:
Private Warehouses

Question 15.
The warehouses which provide storage facilities to general public for certain charges.
Answer:
Public Warehouses

Question 16.
The warehouses which store imported goods until the payment of custom duty.
Answer:
Bonded Warehouses

Question 17.
These warehouses are owned, managed and controlled by co-operative societies.
Answer:
Cooperative Warehouses.

Question 18.
A quick and easy way of transferring personal remittances from abroad to beneficiaries in India.
Answer:
International Money Transfer

Question 19.
A method of exchanging mail between people using electronic devices.
Answer:
e-mail

Question 20.
The process of passing any information from one person to another with the help of some medium.
Answer:
Communication

Question 21.
The postal service which provide complete solutions right from mail preparation to mail delivery useful for small business and large companies.
Answer:
Business Post.

Question 22.
A bank which Is known as banker’s bank.
Answer:
Central bank

Question 23.
The type of bank which issues currency notes In India.
Answer:
Reserve Bank of India

Question 24.
They operate at village level.
Answer:
Primary Credit Societies

Question 25.
It is not allowed to Issue loans and credit cards.
Answer:
Payment Bank

Question 26.
It is an apex institution for financing agricultural and rural sector.
Answer:
National Bank for Agricultural and Rural Development (NABARD)

Question 27.
The type of bank engaged in financing import and export trade and in foreign exchange transactions.
Answer:
Exchange bank.

State whether following statements are True or False

Question 1.
The principle of subrogation is applicable to life insurance contract.
Answer:
False

Question 2.
The principle of utmost good faith is only applicable to life insurance contract.
Answer:
False

Question 3.
Insured must have insurable interest in the subject-matter at the time of taking the policy.
Answer:
True

Question 4.
An individual must always try to minimize the loss by fire as far as possible.
Answer:
True

Question 5.
The Principle of indemnity is applicable to fire insurance.
Answer:
True

Question 6.
Railway transport provides door to door services.
Answer:
False

Question 7.
Water transport is the costliest means of transport.
Answer:
False

Question 8.
Transport is useful in raising standard of living.
Answer:
True

Question 9.
Air transport is suitable for short distances.
Answer:
False

Question 10.
Air transport plays vital role during war or emergency situation.
Answer:
True.

Question 11.
International trade for perishable goods has become possible due to cold storage warehouses.
Answer:
True

Question 12.
In bonded warehouses imported goods on which customs duty is already paid are stocked.
Answer:
False

Question 13.
In duty paid warehouses imported goods on which customs duty is not yet paid are stocked.
Answer:
False

Question 14.
Co-operative warehouses are owned, managed and controlled by individuals and private enterprises to earn rent.
Answer:
False

Question 15.
Warehouses can provide transportation facilities to bulk depositors.
Answer:
True.

Question 16.
Parcel cannot be insured.
Answer:
False

Question 17.
Envelope ensures safety of documents and confidentiality of messages.
Answer:
True

Question 18.
If insured parcel lost in transit, the post office is not responsible to pay the insured amount.
Answer:
False

Question 19.
As a premium, courier service is usually less” expensive than usual mail services.
Answer:
False.

Question 20.
Central bank of the nation cannot accept deposits from the public.
Answer:
True

Question 21.
Overdraft facility Is given to savings account holders.
Answer:
False

Question 22.
Current account Is suitable for business community.
Answer:
True

Question 23.
Debit cards are issued by the bank to non account holders also.
Answer:
False

Question 24.
Real-Time Gross Settlement means payment transaction is not subject to any waiting period.
Answer:
True

Question 25.
The minimum amount to be remitted through RTGS Rs 1.00,000
Answer:
False

Question 26.
Banks never charge any commission for issuing a bank draft.
Answer:
False

Question 27.
Bank issue gift cheques and gold coins to account holders only.
Answer:
False

Find the odd one

Question 1.
Voyage policy, Time policy, Average policy, Mixed policy.
Answer:
Average policy

Question 2.
Specific policy, Composite policy, Comprehensive policy, Excess policy.
Answer:
Composite policy.

Question 3.
Big ships, boats, helicopters, launches
Answer:
helicopters

Question 4.
Aircrafts, tankers, jets, helicopters
Answer:
tankers

Question 5.
Animal carts, motor-cycles, tracks, boats
Answer:
boats

Question 6.
Launches, buses, boats, tankers
Answer:
buses

Question 7.
Fruits, machinery, fish, vegetables
Answer:
machinery

Question 8.
Machinery, cotton, coal, vegetables
Answer:
vegetables.

Question 9.
Storage, advertising, price stabilisation, risk-bearing
Answer:
advertising

Question 10.
Financing, grading and packing, salesmanship, processing.
Answer:
salesmanship.

Question 11.
Inland Letter, Envelope, Business Post, Book Post.
Answer:
Business Post

Question 12.
Electronic Money Transfer, Instant Money order, Bill Mail Service, International Money Transfer.
Answer:
Bill Mail Service

Question 13.
e-post, courier service, internet, email.
Answer:
e-post.

Question 14.
Issue of cheques. locker facility. issue of currency flotes, preparing project report.
Answer:
issue of currency notes

Question 15.
Portfolio management. framing monetary policy, Dematerlalisatlon, Forex transactions.
Answer:
framing monetary policy

Complete the sentences

Question 1.
……………… policy is suitable for small ship owner having only one ship.
Answer:
Single vessel

Question 2.
……………… policy is purchased from more than one insurer.
Answer:
Composite

Question 3.
Insurance is a means of protection from …………………
Answer:
financial loss

Question 4.
………………. is the consideration for which the insurer agrees to insured a person.
Answer:
Premium

Question 5.
……………….. policy is like pension payment scheme.
Answer:
Annuity

Question 6.
ULIP stands for ………………..
Answer:
Unit Linked Insurance Plan.

Question 7.
Road transport is suitable for …………….. distance.
Answer:
short

Question 8.
Road transport is suitable to carry …………….. goods over a short distance.
Answer:
Perishable

Question 9.
Transport system contributes to the rapid development of ………………..
Answer:
industry and commerce

Question 10.
Long distance networks of Pipeline transport are used for ………………
Answer:
petroleum and gas

Question 11.
When the goods and passenger move inside the country, it is known as ……………….. water transport.
Answer:
inland.

Question 12.
Warehouses provide space for ………………
Answer:
storage of goods

Question 13.
Bonded warehouses are under the close supervision of ………………
Answer:
customs authority

Question 14.
The ……………… warehouses are owned and managed by big manufacturers and merchants.
Answer:
private

Question 15.
All duty paid warehouses are ………………
Answer:
public warehouses

Question 16.
……………… warehouses are owned, managed and controlled by the Government.
Answer:
Government

Question 17.
……………… warehouses are owned, managed and controlled by co-operative societies.
Answer:
Co-operative.

Question 18.
The process of passing information from one person to another with the help of some ……………….. is called Communication.
Answer:
Medium

Question 19.
The Department of Post and Telegraph is part of ………………..
Answer:
Ministry of Communication and Information and Technology

Question 20.
Printed books, magazines, etc. can be sent through ………………
Answer:
Book Post

Question 21.
………………. is the service through which customers can send their messages to any address in India.
Answer:
e-post

Question 22.
Courier services are usually employed by ………………..
Answer:
a company

Question 23.
The minimum quantity of articles to be posted ……………….. by Bill Mail Service at a time is
Answer:
5000.

Question 24.
Cash credit is granted under a separate …………………
Answer:
Loan account

Question 25.
ICICI Bank is an example of ……………..
Answer:
PrIvate Sector Bank

Question 26.
The account under which a fixed sum is to be deposited regularly every month is known as ………………
Answer:
Recurring deposit account

Question 27.
The RBI was established in the ……………… year
Answer:
1945

Question 28.
In public sector banks, the majority of capital Is held by …………………
Answer:
Government.

Select the correct option and complete the following table

Question 1.
(Warehousing provides storage facilities on rental basis, Big manufacturers and merchants to fulfil their storage needs, Duty paid warehouses, Bonded warehouses)

Group A	Group B
(1) Private warehouses	—————
(2) ————–	Work under the control of customs authorities
(3) ————–	Useful for importer as proper care of goods is taken after paying customs duty
(4) Public warehouses	————–
(5) Time utility and place utility	——————–

Answer:

Group A	Group B
(1) Private warehouses	Big manufacturers and merchants to fulfil their storage needs
(2) Bonded warehouses	Work under the control of customs authorities
(3) Duty paid warehouses	Useful for importer as proper care of goods is taken after paying customs duty
(4) Public warehouses	Provide storage facilities on rental basis
(5) Time utility and place utility	Warehousing.

Question 2.
(Courier service, ensures safety of documents and confidentiality of messages, Book Post, International Money Transfer, Communication in the nature of financial statements, bills, etc.)

Group A	Group B
(1) Envelope	—————-
(2) —————	Printed books, magazines can be sent at distance places through post.
(3) Bill mail service	—————
(4) —————-	Transferring personal remittances from abroad to beneficiaries in India.
(5) —————-	Exchange of items between two or more persons.

Answer:

Group A	Group B
(1) Envelope	ensures safety of documents and confidentiality of messages
(2) Book Post	Printed books, magazines can be sent at distance places through post.
(3) Bill mail service	Communication in the nature of financial statements, bills, etc.
(4) International Money Transfer	Transferring personal remittances from abroad to beneficiaries in India.
(5) Courier service	Exchange of items between two or more persons.

Question 3.
(Ministry of Shipping, Air transport, movement of people and goods from place to another, Duroto Express and Shatabdi Express, Ministry of Railways, looks after development of surface transport in the country)

Group A	Group B
(1) Transportation	—————
(2) Ministry of Road Transport	————–
(3) ————–	Looks after development of rail transport
(4) Some popular trains	————–
(5) ————–	Mountainous areas where other modes of transport cannot reach
(6) —————-	Looks after development of ocean transport

Answer:

Group A	Group B
(1) Transportation	Movement of people and goods from one place to another
(2) Ministry of Road Transport	Looks after development of surface transport in the country
(3) Ministry of Railways	Looks after development of rail transport
(4) Some popular trains	Duranto express and Shatabdi Express
(5) Air transport	Mountainous areas where other modes of transport cannot reach
(6) Ministry of Shipping	Looks after development of ocean transport

Answer in one sentence

Question 1.
What is Indemnity ?
Answer:
Indemnity means a guarantee or assurance to put the insured in same financial position in which he was immediately before the happening of the uncertain event.

Question 2.
What is Insurance ?
Answer:
insurance is contract between the insured and insurer whereby the insurer agrees to compensate the insured against loss.

Question 3.
What is Child Insurance ?
Answer:
A child insurance policy is a saving cum investment plan that is designed to meet child’s future financial requirements which helps him to pursue his dreams.

Question 4.
What is ULIP policy ?
Answer:
Unit Linked Insurance Policy (ULIP) is the policy which combines the benefits of life insurance policy with mutual funds.

Question 5.
Define warehouse.
Answer:
A warehouse is defined as, an establishment for the storage or accumulation of goods.

Question 6.
What is public warehouses ?
Answer:
A public warehouse is a specialised business establishment that provides storage facilities to the general public on certain charges.

Question 7.
What is Retail Post ?
Answer:
The service under which department of S post offers convenience to the common people by making third party’s products and services available in their areas through selected post offices, e.g. collection of electricity bill, collection of taxes, etc. is called Retail post.

Question 8.
What is e-Post ?
Answer:
e-Post is the service through which customers can send their messages to any address in India with a combination of electronic transmission and physical delivery.

Question 9.
What is Transportation ?
Answer:
Transportation refers to the movement of people, animals and goods from one location to another location.

Question 10.
What is Road Transport ?
Answer:
Road transport are the means that connect people and places on the surface of the land.

Question 11.
What is Rail Transport ?
Answer:
Transportation of passengers and goods on rail lines through trains is called as rail transport.

Question 12.
What is Water Transport ?
Answer:
The movement of passengers and goods on waterways by using various means such as boats, steamers, launches, ships, etc. is called water transport.

Question 13.
What are services ?
Answer:
Services are an act of performance that one party offers to another for certain consideration or without consideration essentially intangible and does not result in the ownership of anything, e.g. services of doctors.

Question 14.
What are business services ?
Answer:
Business services are those services which help business to grow and run It successfully.

Question 15.
What is NABARD ?
Answer:
National Bank for Agriculture and Rural Development (NABARD) Is an apex Institution which provides short term as well as long term credit through regional rural banks to agricultural and rural sector of the Indian economy.

Question 16.
What is overdraft ?
Answer:
Overdraft is a temporary arrangement by which a current accountholder Is allowed to withdraw more money than his own balance up to a certain limit sanctioned by the bank.

Correct the underlined word and rewrite the sentences

Question 1.
Under whole life policy, the insured can receive money from the insurance company.
Answer:
cannot receive

Question 2.
The person who is protected against certain losses is called insurer.
Answer:
insured

Question 3.
Whole life policy is taken for a specific period.
Answer:
Endowment

Question 4.
Fire insurance gives protection against the losses caused due to the dangers of the sea.
Answer:
Marine.

Question 5.
Ministry of Railways looks after the development of water transport throughout the country.
Answer:
Railways

Question 6.
In hilly areas where other modes of transport are not accessible, water transport is important and convenient.
Answer:
Air

Question 7.
Ministry of Road transport looks after development of ocean transport throughout the country.
Answer:
Shipping

Question 8.
Palace on wheels and Maharaja are the examples of popular trains.
Answer:
Luxury

Question 9.
Warehouses are constructed in such a way to maximise risks.
Answer:
Minimise

Question 10.
Warehouses create place utility by preserving the goods till they are demanded.
Answer:
time

Question 11.
A private warehouse is a specialised establishment that provides storage facilities to the general public for certain charges.
Answer:
public

Question 12.
Duty paid warehouses work under the control of customs authorities.
Answer:
Bonded

Question 13.
Bonded warehouses are more useful for re-export of the goods.
Answer:
Duty paid.

Question 14.
Inland letter is used to send message outside India only.
Answer:
within

Question 15.
Printed books, magazines, journals, etc. can be sent through Business Post.
Answer:
Book Post

Question 16.
The minimum quantity of articles to be posted at a time is 1000 in Bill Mail Service.
Answer:
5000

Question 17.
A Drawee is the person named in money order as the person to whom the money is to be paid.
Answer:
A Payee

Question 18.
On can transfer money from INR 1000 to INR 5000 from designated imp post offices.
Answer:
50,000

Question 19.
Services are homogeneous.
Answer:
heterogeneous

Question 20.
All services are transferable in nature.
Answer:
non-transferable

Question 21.
Commercial bank issues currency notes in India.
Answer:
Reserve Bank of India

Question 22.
Export and Import Bank provides financial assistance to common people.
Answer:
Exporters and Importers

Distinguish between.

Question 1.
Private Warehouse and Public Warehouses
Answer:

	Private Warehouse	Public Warehouses
1. Ownership and management	These warehouses are owned and managed by big manufacturers, merchants, a firm or a company.	These warehouses are owned and managed by individuals, firms, co-operative organisations, etc.
2. Purpose	These warehouses are meant for their owners. They Eire not given on rental basis to outsiders.	These warehouses are meant for commercial use. Storage and other facilities are provided to small manufacturers and traders on payment of rent.
3. Location	Private warehouses are located at the places near factory or residence or place which is convenient to their owners.	Public warehouses are generally located near the junctions of railways, highways and waterways.
4. Rules and Regulations	These warehouses Eire not required to work under any rules and regulations. They have to observe general laws of the nation.	These warehouses work under a licence from the government in accordance with the rules and regulations prescribed by the government.
5. Suitability	These warehouses are suitable for large scale manufacturers, wholesalers and retailers who can afford to have their own warehouses.	These warehouses are more suitable for small scale manufacturers, traders or distributors who cannot afford to have their own warehouses.

Question 2.
Government Warehouses and Private Warehouses

	Government Warehouses	Private Warehouses
1. Ownership and management	These warehouses Eire owned, managed and controlled by Central and State governments or public authorities.	These warehouses are owned, managed and controlled by big manufacturers, merchants, a firm or a company.
2. Storage facilities	These warehouses offer storage facilities to the governments, small farmers, businessmen, traders at nominal charges.	These warehouses offer storage facilities to the owners for their own purposes. They are not rented to others.
3. Other services	These warehouses provide all the services for marketing such as classification, standardisation, grading, packing, etc.	These warehouses provide only those services which Eire required by their owners.
4. Rate	The rates charged by these warehouses for storing the goods are usually cheap and low.	Since these warehouses do not give their space on hire to outsiders, the question of charging rent does not arise.
5. Location	These warehouses Eire located at the important transport centres across different states and country.	These warehouses Eire located in the premises of the owners which may be near to their factories or market places.

Question 3.
Road Transport and Water Transport
Answer:

	Road Transport	Water Transport
1. Nature	Road transport represents transport facilities on the ground. It consists of motor transport, carts, etc.	Water transport represents transport facilities in the water. It consists of river, canal and ocean transport.
2. Carrying capacity	It has limited carrying capacity.	It has huge or large carrying capacity.
3. Cost of construction and maintenance	It requires relatively less capital investment in terms of construction of vehicles and roads and their maintenance.	Although no cost is involved in construction of waterways, high cost is involved for construction of ships and ports and also for maintenance of ships and ports
4. Transport charges	Transport charges are not fixed but they Eire usually high due to increase in fuel charges.	Transport charges Eire fixed according to the distance and they Eire relatively the lowest.
5. Door to door service	Road transport provides door to door services to the passengers.	Water transport does not provide door-to-door services to the passengers.
6. Suitability	It is suitable for short distances and for carrying light and perishable goods such as fruits, fish, vegetables, food grains and other consumer goods.	It is suitable for long distance and for carrying heavy and bulky goods such as machinery, cotton, COEQ, etc. in large quantity to any part of the world.
7. Means of transport	It uses animals, animal carts, motor-cycles, trucks, tempos, three-wheelers, buses, motor CEO’S, etc.	It uses launches, boats, tankers, liners, big ships etc.

Question 4.
Water Transport and Air Transport
Answer:

	Water Transport	Air Transport
1. Speed	Water transport is the slowest mode of transport.	Air transport is the fastest mode of transport
2. Carrying capacity	Water transport has huge carrying capacity.	Air transport has limited carrying capacity.
3. Means of transport	Water transport uses big ships, boats, liners, tankers, etc. as means of transport.	Air transport uses aircraft, jets, helicopter, etc. as means of transport.
4. Suitability	Water transport is suitable for carrying heavy Eind bulky goods such as machinery, cotton, coal, etc. in large quantities to any part of the world.	Air transport is suitable to carry light, perishable and valuable goods to any part of the world.
5. Transport charges	Transport charges are fixed according to the distance and they are relatively lowest.	Transport charges are fixed according to the distance and they Eire relatively highest.
6. Origin	Water transport dates back to early historical period.	Air transport commenced at the beginning of the 20th century.
7. Means of transport	It uses animals, animal carts, motor-cycles, trucks, tempos, three-wheelers, buses, motor CEO’S, etc.	It uses launches, boats, tankers, liners, big ships etc.

Question 5.
Savings Account and Fixed Deposit Account
Answer:

	Savings Account	Fixed Deposit Account
1. meaning	A savings account is a type of bank account meant for any regular salaried and wage earners and for making savings	A Fixed Deposit Account is a type of bank account under which a certain fixed amount is deposited for a definite period of time.
2. Mode of withdrawals	Withdrawals are allowed by cheques or withdrawal slips.	No withdrawal is permitted before the date of maturity.
3. Facilities	Passbook balance on SMS, cheque books, etc. are issued to the account holders.	Only Fixed Deposit Receipt (FDR) is issued.
4. Restrictions on withdrawals	There are certain restrictions on the number of withdrawals and the amount to be withdrawn at a time.	Withdrawal or payment can be obtained only on the expiry of the fixed period.
5. Rate of interest	Interest at low rate is paid periodically in this account.	Interest at high rate is paid periodically or at the expiry of period along with principal sum depending upon the time period of deposit.
6. Loan	No loan facility is available on the balance of savings account.	A certain amount by way of loan can be granted against the security of the Fixed Deposit Receipt (FDR).

Question 6.
Loan and Overdraft
Answer:

	Loan	Overdraft
1. Meaning	Loan is an arrangement under which the bank advances an amount against securities for a certain fixed period of time.	Overdraft is a temporary arrangement where a current account holder is allowed to overdraw from the account up to a specified limit.
2. Eligibility	Any account holder (i.e. current, savings or fixed deposit) can get a loan facility.	Only current account holders are eligible for an overdraft facility.
3. Purpose	The purpose of loan is to provide a long-term finance for some project or expansion of business.	The purpose of overdraft is to meet short term working capital requirements.
4.Duration	Loan may be sanctioned for a period such as 1 year, 3 years, 5 years or even more.	Overdraft is generally sanctioned for a short duration from 15 to 60 days.
5. Interest	Interest is calculated on the sanctioned loan amount whether it is withdrawn or not and the rate of interest is a little higher than that of overdraft.	Interest is calculated on the amount actually withdrawn and the rate of interest is lower than that of loan.
6. Repayment	Loan is repaid either in instalments or in lump sum on its due date.	Overdraft amount is adjusted against the amount or cheques deposited in the Current Account.

Arrange in proper order

Question 1.
email, Inland letter, Courier
Answer:
Inland letter, Courier, email.

Explain the following terms/concepts

Question 1.
Insurable interest.
Answer:
(1) A person is said to have insurable interest in the object insured if he is in such a relationship with the object of insurance, that he would stand to benefit monetarily by the continuance of the object insured or would suffer a financial loss by the loss or destruction or absence of the object. Therefore, it is necessary that he should be the owner or the lawful user of the object concerned.

(2) In simple term, insurable interest means – some financial interest in the subject-matter. The insured must have insurable (financial) interest in the subject-matter of insurance. No person can enter into a valid insurance contract unless he has insurable interest in the object insured. A person has insurable interest in his own life and his property. A wife has insurable interest in the life of her husband. Similarly, a businessman has insurable interest in the business property.

Question 2.
E-banking service
Answer:
(1) E-banklng stands for electronic banking. It is also called Virtual banking or Online Banking It is a systern under which all the working of the banks Is done through Internet and computers. With the help of this system. an account holder can deposit the money into the bank or withdraw the money. These funds tram one account to another. He can also get information of his account on the computer itself.

(2) The following-banking services are available to account holders:

Automated Thller Machine (ATM)
Credit Cards
Debit Cards
Mobile Banking
National Electronic Fund Transfer (NEFT)
Real Time Gross Settlement (RTGS). E-banking has made life much easier and banking much faster for both customers and banks.

Justify the following statements

Question 1.
The principle of indemnity does not apply to life insurance contract.
Answer:
(1) The principle of indemnity is the controlling principle of insurance according to which the insured shall be compensated for only the actual loss suffered by him.

(2) All insurance contracts except life insurance contracts are the contracts of indemnity. Life insurance contract is, strictly speaking, a contract of assurance and not a contract of indemnity.

(3) In the case of life insurance contract, insurer cannot fully compensate the insured or his legal heir. This is because loss due to death of individual cannot be exactly determined or expressed in terms of money.

(4) Life insurance contract is a contract of assurance by which the insurer agrees to pay a fixed amount on the happening of the contingency.

Question 2.
Transport is useful in raising standard of living.
Answer:
(1) An efficient transportation system helps to develop agriculture by making available better seeds, fertilisers and agricultural equipment.

(2) Transport system also contributes to the rapid development of industry and commerce. The development in agriculture, industry and commerce leads to expansion in employment opportunities. Transport, as an industry by itself, also provides jobs to millions of people all over the country.

(3) By generating employment, transport leads to increase the purchasing power with people. As a result consumption pattern improves and consumption of variety of goods and services increases.

(4) Transport makes products from different regions available in local markets. The people also get variety of new and novel goods and services from any corner of the world at their places. This raises their standard of living.

Question 3.
Railway transport does not provide door to door service.
Answer:
(1) Transportation of passengers and goods from one place to another on the land surface on railway tracks through trains is called Railway Transport. It is the most dependable, cheaper and faster mode of transport to carry goods and passengers over long distances. It occupies an important place in land transport system.

(2) Railway transport requires specially ; prepared rail tracks with signalling systems. Therefore, throughout the country only certain places are fixed between which such tracks Eire laid. So, it runs between two railway stations.

(3) Special platforms are constructed to facilitate the loading and unloading of goods and for the movement of passengers.

(4) Goods and passengers are transported from one station to another by railway and there onward journey in the interior locations is facilitated by road transport. Thus, railways cannot provide door-to-door service in the interior as road transport does.

Question 4.
Current account is suitable for businessman.
Answer:
(1) A current account is a type of bank account in which there are no restrictions on the number of deposits and withdrawals. Therefore, it is suitable for businessmen (traders, hospitals, educational institutions, companies, etc.) as they have numerous day-to-day transactions of depositing amounts or cheques into a bank and issuing cheques for making payments to various parties.

(2) A current account is meant for facilitating, banking transactions of a businessman, such as collection of cheques, remittances to parties, bank overdraft facility, etc. A salaried person has no such transactions and does not require such facilities.

(3) A salaried person is interested in the rate of interest on his savings in the bank account. Banks generally do not pay any interest on the current account balances because they cannot use the current deposits for advancing loans to businessmen. Therefore, a salaried person finds savings account suitable for his limited banking transactions.

(4) The minimum balance to be kept for running the current account is much higher as compared to that for the savings account. A salaried person has a limited income and therefore, cannot afford to keep relatively large sum blocked in his account without earning any interest thereon. Therefore, a current account is suitable for businessman.

Attempt the following

Question 1.
What is fire insurance? Explain the different types of fire insurance policies.
Answer:
[A] Meaning : Fire insurance contract is contract of indemnity against loss or damage to goods or property arising from fire. Any property which is likely to damage due to fire may be insured against fire. Fire insurance also cover the loss caused due to fire, lightning and explosion.

[B] Types : The different types of fire insurance policies are shown in the following:

Valued Policy
Average Policy
Specific Policy
Floating Policy
Excess Policy
Reinstatement Policy
Comprehensive Policy
Consequential Loss Policy
Sprinkler Leakage Policy

1. Valued Policy : It is a policy under which the value of the property (i.e. subject mater) is ascertained and agreed upon by the insurer and the insured at the time of issue of the policy. The insurer undertakes to pay the agreed value irrespective of amount of loss caused due to fire. This type of policy is taken for those goods whose value is too difficult to calculate at the time of loss by fire, e.g. artwork, paintings, etc.

2. Average Policy : This policy contains an average clause. Under this policy the insurer is liable to pay only that proportion of the actual loss as the insured sum will bear to the full value of the property at the time of the loss, e.g. the machinery of Rs 5,00,000 is insured under fire insurance for Rs 2,00,000, The loss occurred due to fire arrived at Rs 2,50,000. This is because insurance is 40% of actual value of machinery. Hence the claim for loss is also 40% of 2,50,000 i.e. Rs 1,00,000.
Formula to calculate claim:
\(\frac {Value of Policy}{Value of Property}\) × Actual loss
\(\frac {200000}{500000}\) × 250000 = Rs 100000

3. Specific Policy: This type of policy mentions a specific maximum amount payable as compensation in case the insured property is destroyed by fire, irrespective of the market value of the property insured, e.g. a property of the value of Rs 5,00,000 is insured for Rs 3,00,000. The loss occurred due to fire is Rs 1,50,000. Here insurance company will pay Rs 1,50,000 in full as compensation.

4. Floating Policy : This type of policy covers, under one sum and for a single premium, one or several kinds of goods lying in different localities. As the quantity of goods lying at different places fluctuate from time to time, it is convenient to the businessmen to take a policy for one sum and one premium for goods lying at different places.

5. Excess Policy : This type of policy is taken when the market value of stock constantly fluctuates. In such case one policy is taken for a minimum amount below which value of stock never falls and another policy for excess amount by which price fluctuates, e.g. If the value of stock ranges between Rs 5,00,000 and Rs 5,40,000, then one policy will be taken for Rs 5,00,000 and another policy will be taken for Rs 40,000 i.e. for excess amount.

6. Reinstatement Policy : Under this policy, insurer undertakes to replace the property or goods lost by fire or to pay the amount that would be needed to reinstate or replace the damaged or destroyed property. While replacing the property for paying compensation depreciation amount of the property destroyed is not taken into consideration. The rate of premium is usually very high.

7. Comprehensive Policy : This fire insurance policy covers all kinds of risks such as fire explosion, lightning, earthquake, floods, riot, strikes, burglary, etc. under single policy.

8. Consequential Loss Policy : Initially a fire insurance policy was meant for indemnification of loss due to damage of tangible property. The intangible property was not covered by fire insurance. The consequential loss policy now taken for the loss of tangible as well as intangible properties. This policy covers the risk of loss of net profits, payment of standing charges, expenditure in respect of the increased cost of working, etc.

9. Sprinkler Leakage Policy: This policy covers the damage of property caused by an automatic sprinkler system that has leakage or discharged water accidently and not due to fire and smoke. This policy does not cover the discharge or leakage of water due to heat caused by fire, repair, earthquake, war, explosion, etc.

Question 2.
Explain the advantages of air transport.
Answer:
The advantages of air transport are explained as follows:
(1) Fastest means of transport : Among all the means of transport available at present, air transport is the fastest and quickest means of transport.

(2) Vital services : Air transport plays key role during war and emergency situations because it is useful to provide valuable services quickly in affected areas by floods, earthquakes, etc.

(3) Free routes : In case of air transport, it is not necessary to incur any expenditure on the construction of aerial routes. It uses natural and shortest aerial routes.

(4) Less pollution : In comparison to other means of transport like road transport, air transport is less polluting.

(5) Useful in certain areas : Air transport is very useful in carrying passengers, goods and medicines to the areas specially hilly and mountainous areas which are not accessible by any other means.

(6) Market for perishable and costly goods : For speedy transport of perishable good medicines, human organs, diamonds, ornaments, etc. air transport is most suitable and the fastest.

Answer the following.

Question 1.
Explain types of warehouses.
Answer:
The different types of warehouses are:
(1) Private warehouses : The warehouses owned and operated by the big manufacturers and wholesalers for storing their own goods are called private warehouses. Big companies which need large storage capacity on a regular basis, can afford to construct and maintain their own warehouses. Many public sector organisations also have their own private warehouses, e.g. the Food Corporation of India (FCI) has constructed warehouses in different parts of the country for its own use. Usually these warehouses are constructed near to ones business factory or industry for convenience. They have network of warehouses in different parts of the country.

(2) Public warehouses : Warehouses which are established to provide storage facilities to the general public, small manufacturers and traders on rental basis are called public warehouses. These warehouses are owned and managed by an individual or co-operative societies. These warehouses are located near railway junctions, highways, waterways, airport, seaport, etc. They are well guarded and specially designed to protect goods from several types of risks. These warehouses have to obtain licence from the government. They provide warehousing facilities at low cost. Many marketing facilities such as standardisation, grading, labelling, packing, branding, etc. are provided in these warehouses.

(3) Bonded warehouses : Warehouses which are licensed by the government to accept and store imported goods till the customs duties are not paid on such goods are called bonded warehouses. These warehouses are managed and controlled by customs authorities. These warehouses are located near the ports. The importers cannot take possession of goods from such warehouses unless and until the duty on the goods is paid.

The warehouse-keeper is required to give undertaking or ‘Bond’ that without the consent of the customs authorities goods will not be removed from the warehouse. Hence, such warehouses are called ‘Bonded Warehouses’. If an importer is unwilling or unable to pay customs duty immediately, he can withdraw them in instalments and pay customs duty proportionately.

(4) Duty-paid warehouses : The duty-paid warehouses provide the facility of storing the imported goods but not yet sold or transported to importers’ place or godown. These warehouses are owned and managed by the dock authorities only and hence they are also known as public warehouses. These warehouses are located near port and dock areas. They are more useful to importers who re-export the imported goods. The concerned authorities take all the due and reasonable care to ensure their safety. Processing of imported goods such as sorting, re-packing is done in these warehouses.

(5) Government warehouses : Warehouses which are owned, managed and controlled by the Central and State Governments or public authorities are called Government warehouses. These warehouses offer storage facilities to small traders, farmers, businessmen, etc. who are in need of the same on payment of reasonable rent. Central Warehousing Corporation of India (CWC), State Warehousing Corporation (SWC) and Food

(6) Co-operative warehouses : These are warehouses owned, run, managed and controlled by co-operative societies to provide warehousing facilities to the members who are farmers in rural areas. These warehouses are similar to private warehouses but they run on the principle of co-operation. They are used for storing agricultural commodities, consumer goods, raw materials, etc. Farmers, small producers and traders are benefited by such warehouses as they charge at economical rates.

(7) Cold storage warehouses : Cold storage warehouses are largely used to store and preserve perishable goods such as flowers, fish, eggs, meat, vegetables, fruits, medicines, dairy products, etc. These products are kept in cold storage warehouses at very low temperature so that their quality and freshness would remain intact. These warehouses ensure continuous supply of seasonal and perishable products throughout the year. International trade for seasonal and perishable goods such as green peas, mangoes, etc., becomes possible only because of cold storage facilities.

Question 2.
What is rail transport. Explain its advantages and disadvantages.
Answer:
[A] Meaning : Railways are the principal means of transport on land. The mode of transport which carries goods, passengers and materials from one place to another on rail lines through trains is called Railway transport. It runs passenger trains, mail express, goods trains, popular trains and luxury trains. The ministry of railways looks after the development of rail transport in India.

[B] Advantages : The advantages of rail transport are explained as follows:

Suitable for long distances : Railway transport is suitable and convenient mode of transport for travelling over long distances.
Carriage of heavy and bulky goods : Railway transport is more suitable for the carriage of bulky and heavy goods like engineering goods, coal, cotton, livestock, oil, etc. over long distances.
Speedy : Railway transport is more speedy in comparison to road transport.
Less affected by adverse weather conditions : Usually railway service is more certain, uniform and regular. It is not much affected by adverse weather conditions such as rains, fogs, floods, etc.
Protection to goods : Railway transport protects goods against rains, sun, wind, snow, etc. and ensures safety and security to goods.

[C] Disadvantages : The disadvantages of railway transport are explained as follows:

Expensive for short distances : Railway transport is more expensive for carrying goods and passengers over short distances.
Non-availability of services in remote part : The services of railway transport are not reachable or available in the remote part of the country.
Heavy loss in case of accident : In case of accident, it involves heavy losses of life, goods and materials.
Inflexibility : Fixed time schedule of trains, permanent track, definite station and halts, etc. bring certain degree of inflexibility in railway transport.
Incomplete service : The railway service is available between the nearest stations only. Railways can not provide door-to-door services. Therefore, railway stations are required to be connected by roads.

Question 3.
What is water transport? Explain the advantages and disadvantages of water transport.
Answer:
[A] Meaning : This is the oldest and cheapest means of transport. The mode of transport which carries goods and passengers on the surface of the water from one port to another by using boats, steamers, launches, ships, etc. is called water transport. When the passengers and goods move within the country, it is known as inland water transport and when the goods and passengers are carried through sea and oceans, it is known as ocean or sea transport. The ministry of shipping takes cares of ocean transport in India.

[B] Advantages : The advantages of water transport are explained as follows:

Economical mode of transport : Water transport is suitable and economical mode of transport for carrying heavy and bulky goods over longer distances.
Safe mode of transport : It is safe and secured mode of transport in regard to occurrence of accidents.
Promotes international trade : Water transport facilitates and promotes international trade and thus helps to widen the market.
Free routes : Water transport use waterways which are natural and free of cost route and involve no construction and maintenance costs.
More flexibility : Water transport is more flexible in comparison to rail transport.

[C] Disadvantages : The disadvantages of water transport are explained as follows:

Absence of door-to-door services : Water transport cannot provide door-to-door service. It carries goods and passengers from one port to another.
Affected by adverse weather conditions : It is much affected by adverse weather conditions like heavy rains, cyclone, storms, etc.
Low speed : In comparison to other modes of transport, speed of water transport is very slow. Therefore, perishable goods cannot be transported by this mode of transport.
Heavy capital expenditure : Heavy investment (capital expenditure) cost is involved in the construction and maintenance of ships, ports, docks, wharves, etc.
Hazardous : Water transport is hazardous. There are dangers of storms, cyclone and other perils of sea.

Question 4.
Define Bank. Explain different type of banks.
Answer:
[A] Definition : Bank is a dealer in money and credit. It is a financial institution whose basic activities are to accept deposits and advance, lend money and provide other related services, According to The Indian Banking Regulation Act, 1949, “any company which transacts the business of banking in India.” The term banking is further defined as, “accepting for the purpose of lending or investment of deposits from the public, repayable on demand or otherwise and withdrawable by cheque, draft and order or otherwise.”

[B] Types of Banks:
The different types of banks are shown In the following:

Central Bank
Commercial Bank
Co-operatIve Bank
Industrial Development Bank
Exchange Bank
RegIonal Rural Bank
SavIngs Bank
Investment Bank
Speclalised Bank

The different types of banks are explained below:
1. Central Bank : The central bank in a country is the financial institution at the top (apex) of all the banking institutions operating in the country. In India, The Reserve Bank of India was established in 1945 under a special statute called the Reserve Bank of India Act, 1944. It performs the functions like framing monetary policy, issuing currency notes, acting as a banker to the Government and acting as the banker’s bank to commercial and other banks in India.

2. Commercial Bank : The Commercial bank plays key role in the economic, industrial and social development of a country. It performs broadly two functions such as (i) Primary functions which include accepting deposits and lending money in different forms and (ii) Secondary function which include agency functions and utility functions. The different types of commercial banks in India are as follows:
(i) Public Sector Banks : The banks in which majority of the share capital or stake (interest) is held by the Government of India are called Public Sector Bank, e.g. State Bank of India, Bank of India, etc.

(ii) Private Sector Banks : The banks in which majority of the share capital or stake is held by private individuals are called Private Sector Banks, e.g. Axis Bank, HDFC Bank, etc.

(iii) Foreign Banks : The banks which are registered and have their headquarters in foreign country but operate in different countries including India through their branches established there, are called Foreign banks e.g. Standard Chartered Bank, American Express Bank, HSBC, etc.

3. Co-operative Banks : Co-operative banks are formed, registered and organised under the Indian Co-operative Societies Act and regulated under Banking Regulation Act. These banks are more popular in rural and semi-urban areas. These banks are primarily meant for catering to the financial needs of economically backward people, farmers and small scale units. They operate at three different levels:
(a) Primary Credit Societies : The primary credit societies work at village level. These credit societies collect the savings and surplus money in the form of deposits from members and common people. They are also financed by the State Co¬operative Banks and District Co-operative Banks for the purpose of lending to needy people for productive purpose.

(b) District Central Co-operative Banks : The District Central Co-operative Banks operating at district level and financed by the State Co-operative Bank for the purpose of providing finance to primary credit societies.

(c) State Co-operative Banks : The State Co-operative Banks Eire working at state level. These banks provide funds to District Central Cooperative Banks and Primary Credit Societies to enable them to provide finance to rural and semi urban areas. Apart from this, they also supervise the working of district banks and credit co¬operative societies.

4. Industrial Development Banks : The banks which provide medium and long term equipment, latest technology, expansion and modernisation of business, etc. are called Industrial Development Banks. Industrial Finance ; Corporation of India (IFCI), State Financial Corporations (SFCs), Maharashtra State Finance Corporation (MSFC), etc. are the examples of Industrial Development Banks. These banks perform the following functions:

Provide medium and long term finance to business organisations for expansion and modernisation.
Underwriting i.e. giving guarantee to buy shares issued by public limited companies.
Purchase debentures and bonds.

5. Exchange Banks : An exchange bank specialises in financing import and export trade and in foreign exchange transactions. The American Express Bank, Bank of Tokyo, Barclays Bank, etc. are the examples of Exchange Banks functioning in India. The Exchange Banks perform the following functions:

Finance foreign trade transactions,
Issue letter of credit on behalf of importer,
Discount foreign bills of exchange,
Remit dividend, interests and profits.

6. Regional Rural Banks : These banks were constituted (established) in 1975 and are sponsored by large public sector banks. 50%, 35% and 15% of the capital of these banks are provided by the Central Government, sponsored banks and State Government respectively. These banks collect (mobilise) funds in the form of deposits from rural and semi-urban areas. They provide loans and advances to small and marginal farmers, agricultural workers, rural artisans for productive purpose.

7. Savings Bank : A savings bank is one which has the main object of inculcating the habit of saving among the community. It collects scattered savings of the community especially from rural areas and invests the same in good securities. In India, Postal Savings Bank is an example of such a bank. Commercial Banks and Co-operative Banks act as savings banks as they have separate savings accounts departments.

8. Investment Bank : Investment banks offer financial and advisory assistance to their customers which usually include business firms and government organisations. These banks provide advice on investment decisions and facilitate mergers and acquisitions by undertaking research. These Banks do not directly deal with the common people.

9. Specialised Banks: The banks which make available to the requirements of the business and provide possible support to set up business activities in specific area are called Specialised Banks. The different types of specialised banks are:
(a) Export Import Bank of India (EXIM Bank) : These banks provide the needed financial assistance and support to the exporters and importers in setting up business for exporting and importing products respectively. They work to expand and promote country’s international trade.

(b) Small Industries Development Bank of India (SIDBI) : SIDBI was established on 2nd April, 1990 under the Act of Parliament of India. Its main function is to act as the main institution for financing, promoting and developing the Micro, Small and Medium Enterprises (MSMEs) as well as co-ordinator of the institutions engaged in similar activities.

(c) National Bank for Agricultural and Rural Development (NABARD) : NABARD has been established to work as an apex institution to finance agricultural and rural sector. It provides long term and short term loans through regional rural banks. It provides loans to financial institutions and not individuals. It is also concerned with the function of policy planning and operations relating to agricultural credit and credit for other activities in rural areas.