B.Com. I (Semester II) (CBCS) Examination, 2018
BUSINESS ECONOMICS
Day and Date Thursday, 6-12-2018 Max. Marks 70
Time 10.30 a.m. to 1.00 p.m.
Instructions All questions are compulsory.
Figures to the right indicate full marks.
Draw diagram wherever necessary.
1. Choose the correct alternatives given below 14
The concept of firstly introduced by Marshall.
Rent Quasi rent Wage Profit
Schumpeter introduced the theory of profit.
Innovation Old Modern All the above
In market average revenue curve is parallel to axis.
Perfect competition Monopoly
Monopolistic competition All the above
Product discrimination is the feature of market.
Perfect competition Monopoly
Monopolistic competition All the above
means creation of utility.
Cost Demand
Production None of these
Marginal cost
Change in totalcost
Change in output Change in profit
Change in average cost None of these
Cross elasticity of demand is in monopoly market.
Greater than one Less than one
Zero Equal to one
In monopolistic competition demand curve is
Downward from left to the right Parallel to axis
Upward from left to the right Parallel to axis
situation occur in break even point.
Total revenue total cost Total revenue total cost
Total revenue total cost None of these
10) According to Marshall determined rent.
Price Cost Profit Wages
11) No profit no loss analysis is useful in
short period medium period
long period very long period
12) The law to returns to scale assumes situation.
Short run Long run Medium run None of these
13) The functional relationship between input and output is called as
Demand function Production function
Cost function None of these
14) means the labour paid remuneration for their work.
Rent Profit Wages None of these
2. Write short answer of the following
State the internal economies scale. 7
Features of monopolistic competition. 7
3. Write short notes
Quasi rent. 7
Wage differentiation. 7
4. Answer any one of the following 14
Explain the features of monopoly market.
Explain the dynamic theory of profit.
5. Answer any one of the following 14
Explain the loanable funds theory of interest.
Explain the law of returns to scale.