Chapter 7: Cooperative Organisation — Online MCQ Test
COMMERCE · CLASS 11th · Tamil Nadu State Board
Practice Chapter 7: Cooperative Organisation with a free chapter-wise online MCQ test.
This chapter covers: This chapter covers voluntary cooperative associations and democratic management principles. Students explore cooperative characteristics advantages disadvantages and classificatio....
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Chapter 7: Cooperative Organisation — Important Questions & Answers
What is the primary motto of a Cooperative Organisation?
- A. Profit Maximization
- B. Each for all and all for each
- C. Market Competition
- D. Capital Accumulation
Answer: B. Each for all and all for each
The fundamental principle of cooperatives is mutual help and collective welfare, represented by the motto 'Each for all and all for each'.
The fundamental principle of cooperatives is mutual help and collective welfare, represented by the motto 'Each for all and all for each'.
Which Act governs the registration of Cooperative Societies in India?
- A. Companies Act, 2013
- B. Indian Partnership Act, 1932
- C. Cooperative Societies Act, 1912
- D. Consumer Protection Act, 2019
Answer: C. Cooperative Societies Act, 1912
The Cooperative Societies Act of 1912 provides the legal framework for the registration and operation of cooperative societies in India.
The Cooperative Societies Act of 1912 provides the legal framework for the registration and operation of cooperative societies in India.
In a cooperative society, how are voting rights determined?
- A. Based on capital contribution
- B. Based on seniority
- C. One member, one vote
- D. Proportional to shares held
Answer: C. One member, one vote
Democratic management in cooperatives ensures that every member has an equal say, regardless of their financial investment.
Democratic management in cooperatives ensures that every member has an equal say, regardless of their financial investment.
If a cooperative society wants to buy expensive farm machinery collectively for its members, which type of cooperative should they form?
- A. Marketing Cooperative
- B. Housing Cooperative
- C. Farming Cooperative
- D. Credit Cooperative
Answer: C. Farming Cooperative
Farming cooperatives help small farmers pool their land and resources to enjoy economies of scale in purchasing equipment and selling produce.
Farming cooperatives help small farmers pool their land and resources to enjoy economies of scale in purchasing equipment and selling produce.
Why is 'Lack of Secrecy' considered a major disadvantage for cooperatives?
- A. They are required to publish audit reports and discuss affairs in open meetings
- B. Employees leak trade secrets to competitors
- C. The law mandates that all production processes be broadcasted
- D. Members are legally obligated to disclose their private income
Answer: A. They are required to publish audit reports and discuss affairs in open meetings
Cooperatives function on transparency, requiring them to share business operations with members, which can disadvantage them in a competitive market.
Cooperatives function on transparency, requiring them to share business operations with members, which can disadvantage them in a competitive market.