Principles of.management kasneb past paper
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ACCOUNTING TECHNICIANS DIPLOMA (ATD)
LEVEL II
PRINCIPLES OF MANAGEMENT
MONDAY: 20 April 2026. Afternoon Paper. Time Allowed: 2 hours.
This paper consists of fifty (50) Multiple Choice Questions. Answer ALL questions by indicating the letter
(A, B, C or D) that represents the correct answer. Each question is allocated two (2) marks.
1. Which one of the following skills is primarily demonstrated by a manager who possesses the ability to visualise
how different departments in an organisation interact to achieve a long-term mission?
A. Technical skill
B. Human skill
C. Conceptual skill
D. Diagnostic skill (2 marks)
2. According to Mintzberg’s managerial roles, a manager who establishes a web of external contacts to gather insights
and support partnerships is performing the role of __________________.
A. liaison
B. figurehead
C. monitor
D. leader (2 marks)
3. Which one of the following statements BEST describes the relationship between management and administration?
A. Administration is a subset of management focused solely on task execution
B. Management is concerned with policy formulation, while administration focuses on goal achievement
C. Administration formulates policies while management implements them
D. Management and administration are identical terms used interchangeably in all organisational contexts
(2 marks)
4. A manager who practices “active listening” and shows genuine concern for team members’ workplace well-being
is demonstrating ________________________.
A. proactive initiative
B. technical expertise
C. legitimate authority
D. emotional intelligence (2 marks)
5. In a large manufacturing organisation, middle-level managers are typically responsible for which one of the
following actions?
A. Setting the overall vision and long-term strategic goals
B. Converting corporate strategies into departmental action plans
C. Conducting routine troubleshooting of malfunctioning machines on the factory floor
D. Drafting daily work schedules for individual frontline employees (2 marks)
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6. Frederick Taylor’s concept of “systematic soldiering” refers to a situation where _________________.
A. workers intentionally reduce effort to hide their true productivity levels
B. the natural instinct of men is to take it easy
C. there is a breakdown of coordination between different departments
D. manual labour is replaced with machine-based systems (2 marks)
7. Which one of the following administrative principles by Henri Fayol encourages managers to promote harmony and
team spirit among employees?
A. Unity of command
B. Esprit de corps
C. Centralisation
D. Scalar chain (2 marks)
8. Which one of the following statements represents a major criticism of Max Weber’s Bureaucratic Theory?
A. It ignores the importance of a formal hierarchy
B. It focuses too much on the informal social needs of workers
C. It relies too heavily on the “rule of thumb” method
D. It leads to “red tape” and rigidity, slowing down decision-making (2 marks)
9. The Hawthorne Studies, led by Elton Mayo, concluded that productivity increases were primarily driven by which
one of the following factors?
A. Improved physical lighting in the workplace
B. Financial incentives and performance-based pay
C. Social interaction and managerial attention to workers
D. The efficient division of labour into specialised tasks (2 marks)
10. Under Douglas McGregor’s Theory Y, managers assume that employees _________________.
A. are primarily motivated by financial rewards and require close supervision
B. perform best when given clear instructions and minimal autonomy
C. avoid responsibility unless guided by strict organisational controls
D. exercise self-direction and self-control if they are committed to objectives (2 marks)
11. Which one of the following management theories views an organisation as a set of interrelated parts that MUST
function together as a holistic entity to achieve goals?
A. Contingency theory
B. Systems theory
C. Scientific management
D. Administrative theory (2 marks)
12. The “Contingency” approach to management is based on the idea that _________________.
A. managerial actions depend on the specific circumstances or situation
B. there is "one best way" to manage all organisations
C. scientific principles are universally applicable without modification
D. hierarchy and structure are the only factors affecting performance (2 marks)
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13. Which one of the following statements BEST explains the concept of Management by Objectives (MBO) as
advocated by Peter Drucker?
A. Managers set goals independently and communicate them to employees for implementation
B. Organisational objectives are achieved through strict supervision and detailed rules
C. Managers and employees jointly set specific objectives and periodically review performance
D. Employees determine their own objectives without consultation with management (2 marks)
14. Which one of the following tools is used in management to analyse an organisation’s internal strengths and
weaknesses as well as external opportunities and threats?
A. Gantt Chart
B. Decision Tree
C. Kanban
D. SWOT Matrix (2 marks)
15. In Peter Drucker’s Management by Objectives (MBO), a crucial condition for success is that _________________.
A. top management determines all objectives without subordinate input
B. annual performance reviews are conducted without interim feedback
C. static management reports are used instead of active coaching
D. objectives are mutually agreed upon between managers and team members (2 marks)
16. A retail chain regularly monitors social media trends and competitor pricing to adjust its product offerings. This
process is known as ___________________.
A. strategic implementation
B. environmental scanning
C. internal auditing
D. job analysis (2 marks)
17. When using the PESTEL framework to evaluate a new market, the introduction of stricter government regulations
on waste emissions would be categorised under ________________.
A. economic factors
B. social factors
C. environmental factors
D. technological factors (2 marks)
18. In a SWOT analysis, a company's high employee turnover rate is considered as a/an ________________________.
A. weakness
B. opportunity
C. strength
D. threat (2 marks)
19. Which one of the following is considered part of an organisation's “task environment” rather than its “general
environment”?
A. National inflation rates
B. Government regulatory policies
C. Global demographic patterns
D. Key suppliers and competitors (2 marks)
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