JNTU previous Papers-BE-IV-Sem-Managerial Economics And Financial Analysis-Nov-2008
JNTU II B.Tech I Semester Supplimentary Examinations, November 2008
MANAGERIAL ECONOMICS AND FINANCIAL ANALYSIS
( Common to Civil Engineering and Metallurgy & Material Technology)
1. Managerial Economics is the application of Economic Theory to business management. Discuss.
2. What are the needs for demand forecasting. Explain the various steps involved in demand forecasting.
3. (a) What are Isoquants? Explain the chief characteristics of Isoquants?
(b) What do you understand by Least Cost Combination of inputs and how can it be achieved.
4. (a) What are the causes for the emergence of Monopoly?
(b) Elaborate how price output decisions can be taken by a monopolist.
5. Write short note on the following.
(a) Limited Liability
(b) Public and Private Companies
(c) Memorandum of Association
(d) Govt. Company.
6. Following is the information in respect of the three projects A,B and C.
Item A B C
Initial Investment ( in Rs) 60,000/- 2150/- 4,25,000/-
Annual Cash Flow (in Rs) 12,000/- 1500/- 2,51,000/-
Life Period (in years) 15 3 20
If the cost of capital for all the three projects is 10%, rank them using NPV method
and simple pay back method.
7. The trail balance of Anil is given below, prepare the Trading Account, Profit &
Loss Account for the year ending 31st December 2005 and Balance sheet as on that date
. Debit Rs. Credit Rs.
Drawings and capital 72,000 6,00,000
Opening stock 2,05,000
Purchases and sales 6,80,000 14,05,000
Carriage inwards 15,000
Debtors and creditors 2,35,000 1,43,000
Bills payable 42,000
Commission received 10,000
Trade expenses 69,000
Freight inwards 5,000
(a) Closing stock was valued at Rs.3,50,000
(b) Provide a reserve for bad and doubtful debts @ 2% on debtors.
8. (a) What are the parties that make use of financial statements for their decision
(b) How do they apply the same? Elaborate.