JNTU II B.Tech I Semester Supplimentary Examinations, November 2008

JNTU II B.Tech I Semester Supplimen ntary Examinations, November 2008


( Common to Civil Engineering and Metallurgy & Material Technology)




1. What is meant by Demand? Every one desires to own a Maruti car. Does this mean

that the demand for Maruti car is large? If it is otherwise, how do you narrate?


2. What are the needs for demand forecasting. Explain the various steps involved in demand forecasting.


3. (a) Draw a diagram of profit graph.

(b) You are required to calculate

i. Margin of Safety

ii. Sales

iii. Variable Cost from the Following figures: Fixed Costs Rs.12000, Profit,

Rs.1000, Break-Even Sales=Rs.60000


4. ‘A competitor under conditions of perfect competition is only price taker and quantity adjustor’ – In the light of the above statement, discuss clearly the important features of perfect competition and how price output decisions can be taken.


5. Explain the features of sole trader form of organization. Discuss the merits and demerits of sole trader form of organization.


6. Explain the right procedure for a capital budgeting decision.


7. The following trial balance belongs to Amzad Khan with the help of which prepare


trading and profit and loss A/c and balance sheet.


                                                                 Dr.             Cr.

Drawing and capital                              18,000        1,00,000

Furniture                                                32,500

Equipment                                             15,000

Loan payable                                                            15,000

Interest on loan                                        900

Sales                                                                         1,00,000

Purchases                                             75,000

Opening stock(1.1.05)                           25,000

Trade expenses                                     15,000

Wages                                                      2,000

Insurance                                                 1,000

Commission received                                                4,500

Sundry debtors                                     28,100

Cash at bank                    20,000

Sundry creditors                                     10,000

Interest received                                      3,000

     Total                          2,32,500           2,32,500




(a) Closing stock as on 31st December 2005, was valued at Rs.60,000

(b) Wages were outstanding by Rs.500

(c) Provide depreciation @ 10% on furniture.


8. Discuss the importance of Ratio Analysis for inter firm and intra-firm comparison,

including circumstances responsible for its limitations, if any.


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