Students of class 11 Business Studies should refer to MCQ Questions Class 11 Business Studies Social Responsibilities of Business and Business Ethics with answers provided here which is an important chapter in Class 11 Business Studies NCERT textbook. These MCQ for Class 11 Business Studies with Answers have been prepared based on the latest CBSE and NCERT syllabus and examination guidelines for Class 11 Business Studies. The following MCQs can help you to practice and get better marks in the upcoming class 11 Business Studies examination

Chapter 6 Social Responsibilities of Business and Business Ethics MCQ with Answers Class 11 Business Studies

MCQ Questions Class 11 Business Studies Social Responsibilities of Business and Business Ethics provided below have been prepared by expert teachers of grade 11. These objective questions with solutions are expected to come in the upcoming Standard 11 examinations. Learn the below provided MCQ questions to get better marks in examinations.

Question. Corporate social responsibility is a term coined in India by     
(a) Partnership Act, 1932
(b) Companies Act, 2013
(c) SEBI
(d) Environment (Protection) Act, 1986

Question. The management of Mars Ltd. manipulated its financial statements to show lesser earnings so that low rate of divident can be given. Identify the group whose interest is being ignored?     
(a) Customers
(b) Shareholders
(c) Government
(d) None of these

Question. “It is an approach in which resources are used in balanced form to meet human needs without causing much harm to the natural environment, with this approach present needs of human beings can be met along with sustaining resources for future generation.’’ Which approach is discussed in above paragraph?     
(a) Environment protection
(b) Sustainable development
(c) Corporate social responsibility
(d) Business ethics

Question. Responsibility of a business to prevent pollution can be categorised in which of the following category?   
(a) Political Responsibility
(b) Discretionary Responsibility
(c) Ethical Responsibility
(d) Economic Responsibility

Question. Which of the following is not an argument in favour of social responsibility?       
(a) Lack of broad public support
(b) Converting problems into opportunities
(c) Better environment for doing business
(d) Maintenance of society

Question. If a business is socially responsible towards its employees, it is able to check movement of labour. What do you mean by labour movement?     
(a) Movement of labour from one department to another.
(b) Movement of labour from one employer to another.
(c) Movement of labour from one country to another.
(d) Movement of labour from villages to cities.

Question. Social responsibility of a business refers to ……… efforts on the part of a business to contribute to the welfare of society.     
(a) compulsory
(b) voluntary
(c) legal
(d) ethical

Question. Company is required to mandatorily, abide the provisions of which of the following law?     
(a) Partnership Act, 1932
(b) Companies Act, 2013
(c) Environment Act, 1986
(d) None of the above

Question. Economic responsibility includes the behaviour of the firm that is expected by society, but not codified in law.   
(a) True
(b) False
(c) Can’t say
(d) Partially true

Question. ……… is the reponsibility of enterprises for their impacts on society.     
(a) Corporate Social Responsibility
(b) Company Social Responsibility
(c) Corporate Service Responsibility
(d) None of the above

Question. If business is to operate in a society which is full of diverse and complicated problems, it may have     
(a) little chances of success
(b) great chances of success
(c) little chance of failure
(d) no relation with success or failure

Question. Professional management education in universities and specialised management institutions have create a separate class of professional managers who are more interested in   
(a) profit maximisation
(b) satisfyingmultiple interests of society
(c) unethical business practices
(d) None of the above

Question. Employees will stay with business only if they are satisfied with their working conditions.     
(a) True
(b) False
(c) Can’t say
(d) Partilly true

Question. Which of the following is an act enacted for the environmental protection?   
(a) TheWildlife Protection Act, 1972
(b) Companies Act, 2013
(c) FEMA, 1999
(d) National Green Tribunal Act, 2010

Question. A separate department for matters related to environment, department of environment was created by central government in year     
(a) 1985
(b) 2005
(c) 1980
(d) 1990

Question. ‘To adopt fair trade policies and practices’. It is a example of responsibility of business towards ………….     
(a) owners
(b) workers
(c) government
(d) consumers

Question. “It prefer to give fair …… quality”. In the above lines, identify towards which interest group company is fulfilling its social responsibility?   
(a) Owners
(b) Employees
(c) Consumers
(d) Investors

Question. Supply of right quality and quantity of goods to consumers at reasonable prices constitutes the responsibility of an enterprise towards government.   
(a) True
(b) False
(c) Can’t say
(d) Partially true

Question. Business people have the skills to solve           
(a) all social problems
(b) some social problems
(c) no social problems
(d) all economic problems

Question. Air pollution is caused by the dumping of chemical waste into big rivers, streams, lakes etc.   
(a) True
(b) False
(c) Can’t say
(d) Partially true

Question. Mercury Ltd. decided to donate 2% of its sales to Child Rights and You (CRY) for improving the condition of children in India. This initiative by the company was highly appreciated by the public and their sales increased by 10%. Identify the interest group towards which Mercury Ltd. is discharging its social responsibility?     
(a) Owners
(b)Workers
(c) Community or society
(d) Consumers

Question. When business firms use eco-friendly method of production, then they are performing social responsibility towards …… group.     
(a) customer
(b) shareholder
(c) employees
(d) community/ society

Question. “Managers work effectively …… return to their shareholder”. In the above lines, identify towards which interest group company is fulfilling its social responsibility?     
(a) Shareholders/owners
(b) Community/society
(c) Employees
(d) Government

Question. It is the social responsibility of every business to take steps to check pollution and to protect the environment. Any business which takes steps in this direction gets which of the following benefits?     
(a) Reduction of capital investment
(b) Increased customer satisfaction
(c) Reduction in workforce
(d) Savings in costs

Question. ………… is the injection of harmful substances into the environment that changes the physical, chemical and biological characteristics of air, land and water.     
(a) Pollution
(b) Toxins
(c) Liquid and solid waste
(d) None of the above

Question. What proportion is required for companies like Alpha-Beta, to spend on activities related to social cause? 
(a) 5%of the average net profit for past 3 years
(b) 2%of the average net profit for past 3 years
(c) 3%of the average net profit for past 5 years
(d) 2%of the average net profit for past 5 years

Question. Where was the United Nations Conference on Environmental and Development (UNCED) organised?   
(a) USA
(b) Rio De Janeiro
(c) UK
(d) India

Question. Respecting the religious sentiments and dignity of people which advertising for a product is an example of…responsibility.       
(a) economic
(b) discritionary
(c) ethical
(d) legal

Question. In addition to earning profits, a businessmen has to fulfill certain social obligations. Which of the following is not a social obligation?       
(a) Keep customers satisfied
(b) Maintain law and order
(c) Keep employees happy
(d) Burden on consumers

Question. Business is an economic institution, which exists with the basic aim of ……… maximisation.         
(a) welfare
(b) profit
(c) Both (a) and (b)
(d) None of these

Question. Helping people affected by natural calamities like floods or earthquakes is a discretionary responsibility of the business.     
(a) True
(b) False
(c) Can’t say
(d) Partially true

Question. Aquasure Ltd. manufactures RO water purifiers. In order to increase sales of their product, they encouraged their salesman to make false claims to customers about quality of their RO. This increased the sale of their water purifiers. Identify the group whose interest is being ignored by Squasure Ltd.         
(a) Shareholders
(b) Consumers
(c) Government
(d) Society

Question. Star Ltd. uses rocks, trees, electric poles, walls of historical monuments to advertise its products. This advertising policy has made their product known to the public. Identify the group whose responsibility is ignored by Star Ltd.       
(a) Government
(b) Consumer
(c) Society
(d) Investor

Question. Noise pollution has resulted in ozone depletion which is leading to climate change and dangerous warning for the earth.     
(a) True
(b) False
(c) Can’t say
(d) Partially true

Question. Which of the following can explain the need for pollution control?       
(a) Cost savings
(b) Reduced risk of liability
(c) Reduction of health hazards
(d) All of the above

Question. Environmental protection can best be done by efforts of     
(a) business people
(b) government
(c) scientists
(d) All the people

Question. Business should adopt eco-friendly production and marketing processes to ensure environmental protection.       
(a) True
(b) False
(c) Can’t say
(d) Partially true

Question. Need for social responsibility arises due to the …………… .     
(a) firm’s interest
(b) interest of society
(c) Both firm’s and society’s interest
(d) None of the above

Question. “According to Weights and Measures Act, every eatable product should explicitly bear a green dot for vegetarian contents and brown dot for non-vegetarian ingredients”. However, this practice is not followed by Swad Pvt Ltd a company engaged in the manufacturing of frozen snaks. Identify the kind of social responsibility being ignored by the company.   
(a) Ethical Responsibility
(b) Economic Responsibility
(c) Legal Responsibility
(d) Discretionary Responsibility

Question. To participate in government programmes relating to management of hazardous substances, cleaning of rivers etc is a legal obligation for every business.       
(a) True
(b) False
(c) Can’t say
(d) Partially true

Question. A company is manufacturing fairness cream using synthetic products and bleach, but company is advertising its cream as herbal cream. Also, company did not mention the ingredients on the pack. What value(s) is are being violated by the company?     
(a) Unethical behaviour by cheating customers
(b) Violating rules of information by not given contents on packings
(c) Unfair practices of wrong information in advertising
(d) All of the above

Question. Legal provisions make it compulsory for certain classes of …… to be socially responsible.     
(a) partnership firms
(b) cooperative societies
(c) companies
(d) sole proprietorship firms

Question. …… pollution can be responsible for many diseases like loss of hearing, mental disorder, increase in cholestrol level etc.       
(a) Air
(b)Water
(c) Noise
(d) Lan

Question. Which of the following are laws enacted for environmental protection?       
(a) The Environment Act, 1986
(b) The Forests Conservation Act, 1980 Amended in 1988
(c) The HazardousWastes Act, 1989
(d) All of the above

Question. Trendz Ltd is a leading manufacturer of garments. The company distributes its defective products free of cost (after getting them repaired from Nari Niketen at lower cost) to the orphanage. Identify and state the kind of social responsibility, which the company is trying to achive.       
(a) Legal
(b) Social
(c) Discritionary
(d) Ethical

Question. The national society of professional engineers had a code, which requires professionals to           
(a) dissociate themselves from organisations that are of a questionable character
(b) further the cause of public good
(c) advice clarity, the consequences of a technical opinion is overruled by a non technical person
(d) All of the above

Question. Which responsibility of the business is not the responsibility of the business to the government?     
(a) Following the pollution laws as set by the government.
(b) Establishment of the industrial undertaking as per the government norms.
(c) Providing after sales service.
(d) Payment of taxes, fees, surcharge etc with the honesty

Question. An enterprise must behave as a good citizen is an example of its responsibility towards     
(a) owners
(b) workers
(c) consumers
(d) community

Question. “Company is committed …… creed and gender etc”. Identify towards which interest group, company is fulfilling its social responsibility?     
(a) Government
(b) Consumer
(c) Community
(d) Employees

Question. United Nations has identified many problems that cause damage to the natural environment. What problem(s) is /are referred here?     
(a) Ozone depletion
(b) Deforestation
(c) Danger to biological diversity
(d) All of the above

Question. “It not only abide by all the laws …… and for taxes on time”. In this paragraph, towards which interest group company is fulfilling responsibility?   
(a) Government
(b) Consumer
(c) Society
(d) Employee

Question. United Nations has identified ozone depletion as one of the major problems that causes damage to natural environment. It is caused by       
(a) emissions of carbon mono-oxide by industries and vehicles
(b) increase of O₂ in environment
(c) dumping of chemical wastes into water bodies
(d) dumping of toxic wastes on land

Question. “The company is running a charitable hospital …… that area.” In the above lines, identify towards which interest group company is fulfilling its social responsibility?     
(a) Shareholders
(b) Community
(c) Employees
(d) Consumer

Question. A business, enterprise has a responsibility of producing fair returns to ……… on their capital investment.   
(a) labour
(b) consumers
(c) government
(d) investor

Question. Is Dinesh fulfilling his social responsibility?   
(a) Yes
(b) No
(c) Can’t say
(d) None of these

Question. Is it mandatory for Alpha-Beta company to spend money for the upliftment of the society?     
(a) Yes
(b) No
(c) Both (a) and (b)
(d) None of these

Question. Craft enterprises pays wages to its employees at a rate, which is much lower than the minimum wages prescribed by the government. The working conditions in the factory are inappropriate as there is lack of proper ventilation and there is a strict, rule against formation of trade union. Against, which ‘Group’, Craft Enterprises has ignored the social responsibility?     
(a) Consumers
(b) Workers
(c) Society
(d) Shareholders

Question. Which of the following can explain the need for pollution control?       
(a) To control waste
(b) Clearer visibility
(c) Availability of natural products in pure form
(d) All of the above

Question. Ethical responsibility of a business includes     
(a) behaviour of firm that is expected by the society.
(b) produce goods and services that society wants.
(c) voluntary obligations that a society assumes.
(d) paying various statutory dues.

Question. Use of synthetic fertilisers and pesticides in agriculture leads to       
(a) water pollution
(b) noise pollution
(c) land pollution
(d) air pollution

We hope the above multiple choice questions for Class 11 Business Studies for Chapter 6 Social Responsibilities of Business and Business Ethics provided above with answers based on the latest syllabus and examination guidelines issued by CBSE, NCERT and KVS are really useful for you. Social Responsibilities of Business and Business Ethics is an important chapter in Class 11 as it provides very strong understanding about this topic. Students should go through the answers provided for the MCQs after they have themselves solved the questions. All MCQs have been provided with four options for the students to solve. These questions are really useful for benefit of class 11 students. Please go through these and let us know if you have any feedback in the comments section.