Set No. 1
Code No:
RR-211701
II B.Tech I–Semester Regular Examinations, November-2004
MANAGERIAL ECONOMICS AND FINANCIAL ACCOUNTANCY
(Common to Electronics and Telematics, Electronics and Computer
Engineering and Instrumentation and Control Engineering)
Time: 3 hours Max.
Marks: 80
Answer any Five questions
All questions carry equal marks
---
1. Explain briefly the following methods of forecasting demand.
a) Barometric method
b) Expert opinion method
c) Time series analysis
2. Explain and illustrate the following:
a) The Law of Constant Returns
b) The Law of increasing Returns
3. If the sales is 10,000 units, selling price is Rs.20 per unit, variable cost is Rs.10 per unit and fixed cost is Rs.80,000. Find out BEP in units and in sales revenue. What is the profit earned? What should be the sales for earning a profit of Rs.60,000?
4. Explain the role of time factor in the determinations of price. Also explain price output determination in case of perfect competition.
5. Explain the features of sole trader form of organisation. Discuss the advantages and limitations of sole trader form of organization.
6.a) A project involves initial outlay of Rs. 1,29,600. Its working life is expected to be 3 years. The cash inflows are likely to be as follows:
1st year: Rs.64,000, 2nd year: Rs.56000; 3rd year: Rs. 24,000. Compute the internal rate of return.
b) Evaluate payback method.
7. What do you understand by Double Entry Book Keeping? What are its advantages?
8. Explain how ratios are used in the interpretation of financial statements and in financial analysis.
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Set No. 2
Code No:
RR-211701
II B.Tech I–Semester Regular Examinations, November-2004
MANAGERIAL ECONOMICS AND FINANCIAL ACCOUNTANCY
(Common to Electronics and Telematics, Electronics and Computer
Engineering and Instrumentation and Control Engineering)
Time: 3 hours Max.
Marks: 80
Answer any Five questions
All questions carry equal marks
---
1. Discuss the utility of demand forecasting. What are the criteria of a good forecasting method?
2. Explain the following with reference to production function,
a) Marginal rate of Technical substitution.
b) Variable proportions of factors
3. Sale of a product amounts to 200 units per month at Rs.10 per unit. Fixed Overheads is Rs.400 per month and variable cost is Rs.6 per unit. There is a proposal to reduce prices by 10%. Calculate present and future P V Ratio. How many units must be sold to earn a target profit of present level.
4. Compare and contrast between perfect competition and monopoly.
5. Discuss the factors affecting the choice of forms of business organisation.
6. What are the components of working capital? Explain each of them.
7. Explain the basic accounting concepts and convention. Give examples.
8. What are the ratios which assess the company’s borrowing capacity? How do you calculate them? Illustrate
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Set No. 3
Code No:
RR-211701
II B.Tech I–Semester Regular Examinations, November-2004
MANAGERIAL ECONOMICS AND FINANCIAL ACCOUNTANCY
(Common to Electronics and Telematics, Electronics and Computer
Engineering and Instrumentation and Control Engineering)
Time: 3 hours Max.
Marks: 80
Answer any Five questions
All questions carry equal marks
---
1.a) Explain the various factors that influence the demand for a computer.
b) What is cross elasticity of Demand? Explain.
2.a) What are isocosts and isoquants? Do they intersect each other?
b) Explain Cobb-Douglas production function.
3. You are given the following information about two companies in 2000.
|
Particulars |
Company A |
Company B |
|
Sales Fixed Expenses Variable Expenses |
Rs.50,00,000 Rs.12,00,000 Rs.35,00,000 |
Rs. 50,00,000 Rs. 17,00,000 Rs. 30,00,000 |
A friend seeks your advice as to which company’s shares he should purchase. Assuming the Capital invested is equal for the two companies, state the advice that you will give.
4. Compare between monopoly and perfect competition.
5. Evaluate the Government Company form of public enterprise.
6. What is accounting rate of return and Pay back period? Compare and contrast the two.
7. What is three columnar cash book? What is contra entry? Illustrate.
8. State the different types of liquidity ratios and turnover ratios and explain their significance.
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Set No. 4
Code No:
RR-211701
II B.Tech I–Semester Regular Examinations, November-2004
MANAGERIAL ECONOMICS AND FINANCIAL ACCOUNTANCY
(Common to Electronics and Telematics, Electronics and Computer
Engineering and Instrumentation and Control Engineering)
Time: 3 hours Max.
Marks: 80
Answer any Five questions
All questions carry equal marks
---
1. Describe the various methods of measurement of price elasticity of demand.
2.a) Distinguish between returns to factors and returns to scale.
b) Explain laws of Returns.
3. Sales of Rs.1,10,000 producing a profit of Rs.4000 in period-I. Sales of Rs.1,50,000 producing a profit of Rs.12000 in period-II. Determine BEP and fixed Expenses.
4. What is Perfect Competition? How is Market Price determined under conditions of Perfect Competition?
5. Define and Evaluate Statutory corporation.
6. What are the merits and limitations of Pay Back period? How does Discounting approach overcome the limitations of Pay back method?
7. Generalise the following transactions and post them to ledger.
i. Ram invests Rs.10,000 in cash.
ii. He bought goods worth Rs. 2,000 from Shyam.
iii. He bought a machine for Rs. 5,000 from Lakshman on account
iv. He paid to Lakshman Rs. 2,000
v. He sold goods for cash Rs.3,000
vi. He sold goods to A on account Rs. 4,000
vii. He paid to Shyam Rs.1,000
viii. He received amount from A Rs.2,000
8. As a financial analyst, what precautions would you take while interpreting ratios meaningfully?
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