1. Indicate the correct code for the scope of managerial economics from the following

a. Demand Analysis

b. Production and Cost Analysis

c. Pricing and Investment Decisions

d. Factor pricing Decisions

e. Economic Environmental Analysis

Codes d e e e

2. Price elasticity of demand for a product is measured by <img src='./qimages/12559-2.jpg'>

3. Which one of the following will be the appropriate pricing strategy for a new product expecting an expanding market Monopoly pricing Skimming pricing Penetrating pricing Differential pricing

4. Match the items of the List I with those of the List II and suggest the correct code from the following
List I List II

i. Loss Leader a. Locational price differentials

ii. Unchanged Pricing b. Products with high initial demands

iii. Basing Point Pricing c. Product line pricing

iv. Skimming Pricing d. Oligopoly pricing

Codes i ii iii iv a b c d c d a b d b a c c a b d

5. In case the firm makes varying investments on the different investment projects, the appropriate project evaluation technique would be, which one of the following Average annual rate of return technique Pay back period technique Net present value technique Profitability index technique

6. According to Henry Fayol, which one of the following combinations of qualities are required in a manager Physical, mental, experience, educational and conceptual Technical, human, conceptual, mental and moral Physical, mental, moral, educational, technical and experience Mental, moral, conceptual, educational, technical and experience

7. Neo-classical organisation theory emphasises on which one of the following Flat structure of organisation Tall structure of organisation Coordination by hierarchy Unity of command

8. According to Graicuna's formula of span of management, if a superior has three subordinates, what number of cross-relationships would be three six nine eighteen

9. In Reddin's 'Tridimensional which one of the following is a less effective style of leadership Developer Missionary Executive Bureaucrat

10. Assertion Attribution theory is based on relationship between personal perception and interpersonal behaviour.

Reasoning Since most are not directly observable, people must depend upon cognitions, particularly perception.

Codes is right but is wrong. is wrong but is right. Both and are right but does not explain Both and are right and explains

11. Arrange the following steps of training and development process in the right sequence

a. Need analysis

b. Validation

c. Evaluation

d. Implement the programme

e. Instructional design b d c d

12. Which one of the following is related to 'Standard of Personnel' Job Specification Job Description Job Design Job Evaluation

13. If an employee desires to pay more than the minimum required contribution under the Employees' Provident Fund and Miscellaneous Provisions Act, 1952, then employer shall also pay an amount equal to the total contribution of employee. employer shall pay only half of the additional contribution of employee. employer is under no obligation to pay the additional contribution. the act is silent regarding this matter.

14. Under the Employees' State Insurance Act, 1948, sickness benefit can be paid for which one of the following maximum periods 45 days in two consecutive benefit periods. 66 days in two consecutive benefit periods. 91 days in two consecutive benefit periods. 180 days in two consecutive benefit periods.

15. Which one of the following laws is enacted by the Central Government and enforced by the State Governments The Employees State Insurance Act, 1948 The Employees' Provident Fund and Miscellaneous Provisions Act, 1952 Factories Act, 1948 The Mines Act, 1952

16. The cost of external equity can be most appropriately computed as per the Earnings price ratio Dividend price ratio Dividend price plus growth ratio Capital assets pricing model

17. For the following items in List I and List II, indicate the correct code after matching them

List I List II

i. Net income approach for capital structure a. Modigliani, M. and Miller M.H.

ii. Net operating income approach for capital structure b. Robert Bruner

iii. Irrelevance of capital structure for the value of the firm. c. Ezra Soloman

iv. FRICT analysis for capital structure d. David Durand

Codes i ii iii iv a b c d d c a b d c b a b a d c

18. Which one of the following is not a feature of 'Preference Shares' Prior claim on income assets of the company over equity shareholders. Redeemability after certain period. Possessing voting rights on important issues of the company. May possess the right to participate in surplus profits of the company.

19. The basic consideration for dividend pay-out for a company excludes which one of the following Investment opportunities for the company Expectations of the shareholders of the company Legal and financial restrictions for the company Stability of the dividend considerations

20. For the following two statements of Assertion and Reasoning indicate the correct code

Assertion Shareholders Wealth Maximisation and not the profit maximisation is an appropriate and operationally feasible financial management goal.

Reasoning There exists a principal-agent relationship between the shareholders and the management of the company.

Codes and both are correct. is correct but is incorrect. is incorrect but is correct. and both are incorrect.

21. Which one of the following components is not the part of broad marketing environment Technological environment Task environment Demographic environment Natural environment

22. The Coco Cola Company markets a wide range of different beverage products including bottled water, soft-drinks, juices and sports drinks. Each product appeals to a different segment. This is an example of which type of market offering Differentiated marketing Target marketing Undifferentiated marketing Intensified marketing

23. Temporarily reducing prices to increase short-run sales is an example of which one of the following Segmented pricing Promotional pricing Dynamic pricing Geographical pricing

24. Match the items of List I with the items of List II and indicate the code of correct matching
List I List II

a. Brand elements i. The marketer's vision of what the brand must be and do for consumers.

b. Brand line ii. All products, original as well as line and category extensions, sold under a particular brand name.

c. Brand personality iii. Those trademarkable devices that serve to identify and differentiate the brand.

d. Brand promise iv. The specific mix of human traits that may be attributed to a particular brand.

Codes a b c d

(1) iii ii iv i

(2) i ii iii iv

(3) iii i iv ii

(4) iv iii ii i

25. Statement I In developing advertising programme marketing managers must always start by identifying the target market and buyer motives.

Statement II A company may run multiple ad campaigns at the same time, each emphasizing different aspects of its brand and service. Only Statement I is correct. Only Statement II is correct. Both Statements I and II are correct. Both Statements I and II are incorrect.

26. Match the items of List I with the items of List II and select the code of correct matching with regard to forecasting models for operations

List I (Model Type List II (Description)

a. Delphi technique i. Causal quantitative model

b. Economic modeling ii. Quantitative model (Naive)

c. Exponential Smoothing iii. Qualitative model

Codes a b c

(1)i ii iii

(2)iii i ii

(3)iii ii i

(4)ii iii i

27. In which one of the following situations, a product-oriented layout is appropriate A medical clinic An automated carwash A work centre for welding, heat treating and painting A home plumbing repair business.

28. A graphic tool to trace the interaction of several workers with one machine is termed as Gang process chart Flow process chart Activity chart Operation chart

29. Which one of the following is a technique of statistical quality control used for product control R-chart Sampling plan np-chart control-chart

30. The decision-criterion in which a decision-maker selects an alternative that maximizes H (criterion of realism) × (maximum in column)] × (minimum in column)] is called Laplace criterion Hurwicz criterion Wald's criterion Bayesian criterion

31. Which one of the following expressions relates to an event which represents the occurrence of either A or B or both A U B A n B n

(4) n U n

32. A Bernoulli process has all but which one of the following properties Each trial has two possible outcomes. The probability of a success on any trial remains fixed over time. The probability of success on any trial is equal to the probability of failure. Trials are statistically independent.

33. Statement I The product of coefficient of correlation, standard deviation of variable and Standard deviation of variable gives the measure of covariance between X and Y variables.

Statement II The product of coefficient of correlation between X and Y variables and the ratio between standard deviation of X variable to standard deviation of Y variable measures the slope of the regression line of X on Y variable.

Codes Both the Statements are correct. Both the Statements are incorrect. Statement I is correct while Statement II is incorrect. Statement I is incorrect while Statement II is correct.

34. Statement I Both the probable error and standard error of the coefficient of correlation are different.

Statement II When a sampling distribution of mean is prepared by taking small sized samples from a normally distributed population, the distribution takes the shape of normal distribution. Codes Both the Statements are correct. Both the Statements are incorrect. Statement I is correct while Statement II is incorrect. Statement I is incorrect while Statement II is correct.

35. Which one of the following is not the major characteristics of internet Open Expensive Global Untrusted

36. Assertion Private foreign capital lends to flow to the high profit areas rather than to the priority sectors.

Reasoning One of the important limitations to utilize the foreign capital is the absorptive capacity of the recipient country. Codes and both are correct and is the correct explanation of and both are correct but is not the correct explanation of is correct whereas is incorrect. is correct whereas is incorrect.

37. Consider the following statements and identify the correct code of true statements When an organization's survival is threatened and it is not competing effectively, retrenchment strategies are often needed. Turnaround strategy is used when an organization is performing well but has not yet reached a critical stage. Divestment strategy involves selling the business or setting it up as a separate corporation. Liquidation strategy involves closure of business which is no longer profitable.

Codes Only and are correct. Only and are correct. Only and are correct. Only and are correct.

38. Statement I Most businesses start off as "Question Marks", in that they enter a high­growth market in which there is already a market leader.

Statement II A "Star" is the market leader in a high-growth market, but it does not necessarily provide much cash. Statement I is correct but Statement II is incorrect. Statement II is correct but Statement I is incorrect. Both the Statements are incorrect. Both the Statements are correct.

39. Match the items of List I with List II and identify the code of correct matching
List I List II

a. Consistent actions one time i. A perspective

b. It reflects the decision of the firm to offer particular products or services in particular markets. ii. A ploy

c. A manoeuvre intended to outwit competitor iii. A position

d. A view of what the organization is to become iv. A pattern

Codes a b c d

(1) iv iii i ii

(2) iv i ii iii

(3) iv iii ii i

(4) iii iv ii i

40. Apple computers uses a differentiation competitive strategy that emphasizes innovative product with creative design. This is an example of Functional strategy Business strategy Operating strategy Product strategy

41. Match the items of List I with the items of List II and select the code of correcting matching

List I List II

a. Richard Cantillon i. Entrepreneur must accept the challenge and should be willing hard to achieve something

b. Joseph A. Schumpeter ii. Entrepreneurs are all those persons who are engaged in economic activity.

c. J.K. Golbraith iii. Entrepreneur is a person who introduces innovation and change.

Codes a b c

(1) iii i ii

(2) i iii ii

(3) ii iii i

(4) ii i iii

42. Total Quality Management, job redesigning, new techniques of doing things and management by consensus are the examples of which one of the following Opportunistic entrepreneurship Administrative entrepreneurship Incubative entrepreneurship Mass entrepreneurship

43. Under technology and quality upgradation support to help manufacturing MSMEs buy energy efficient technologies for production, what percentage of the actual expenditure is provided as financial support by the Government of India 75% 60% 50% 25%

44. Which one of the following is not a personal characteristic of an entrepreneur Innovative Hardworking Practical Submissive

45. Which one of the following is the most insignificant reason for sickness in SSI sector Power shortage Lack of demand Management problems Equipment problems

46. Statement I Ethical principles tend to be broader than legal principles.

Statement II Laws and ethics are closely related. Codes Statement I is correct but Statement II is incorrect. Statement II is correct but Statement I is incorrect. Both the Statements are correct. Both the Statements are incorrect.

47. Assertion The state shall endeavour to protect and improve the environment and to safeguard the forest and wildlife of the country.

Reasoning The Directive principles of state policy of the Indian Constitution Command the State to ensure protection and improvement of environment and to safeguard forest and wildlife.

Codes is correct but is not correct. is correct but is not correct. Both and are correct and is the right explanation of Both and are correct but is not the right explanation of

48. Match the items of List I with List II and identify the code of correct matching

List I (CSR Models) List II (Emphasis)

a. Ethical Model i. Corporate responsibilities limited to private owners.

b. Statist Model ii. Voluntary commitment by companies to public welfare

c. Liberal Model iii. State ownership and legal requirements determine corporate responsibilities.

d. Stakeholder Model iv. Companies respond to the need of customers, communities, etc

Codes a b c d

(1) ii iii i iv

(2) ii i iii iv

(3) ii i iv iii

(4) i iii ii iv

49. Which one among the following is not correct about J. J. Irani Committee's recommendations on Company Law (2005) 2/5th of the board of a listed company should comprise of independent directors. Introduce the concept of One Person Company (OPC). Allow corporations to self-regulate their affairs. Disclose proper and accurate compilation of financial information of a corporation.

50. A business should act ethically for which of the following reasons To prevent harm to the general public To meet stake-holder expectations To protect their own employees To maximize profit of the business

Codes and only and only and only and only