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EABD Question Bank

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P.C.E.T.

’S
S.B. PATIL INSTITUTE OF MANAGEMENT

Question Bank
M.B.A. SEMESTER – I

103 Economic Analysis For Business Decisions

[Max. Time: 2.30 Hour] [Max. Marks: 50]

These are only sample questions and should be considered for the reference purpose.
REMEMBERING
Q.1 Answer any 5 out of 8 questions (5* 2 Marks) –(10 M)
1. The word economics has been originated from Greek words __________ .(Oikos ,Nemein )
2. More the consumer consumes , there is increase in his total ________but at a _________ rate .
( utility , diminishing )
3. The base of supply is _____________ price. (reservation )
4. In case of perfectly inelastic supply there is _____ change in quality of supply with respect to
__________change in price
(no, any )
5. ____________is the that money which any firm get after sale of its product .(revenue)
8. A ____________ is a market situation where only one seller/producer exist .
(monopoly )
9. A___________ is a term that describes economic activity variation occurring in an almost time
series.(business cycle )
8. Managerial decision making acts as link between traditional ____________ and and the decision
making science .( economies )
10. Explain the meaning and definition of of Managerial
Economics
11.Define Rational for firm .
12. Discuss meaning of Budget line
13. Explain Objectives of Demand analysis
14.Explain Cost function
15.What do you understand by the term "Market Equilibrium ".
16. What are roles of profit ?
17.What is revenue analysis ?
18.What is average propensity to consume ?
19. What is multiplier ?

UNDERSTANDING
Q.2 Answer any 2 out of 3 questions (2 * 5 Marks) –(10 M)
1. Highlights determinants of consumption function
2.What is total , average and marginal revenue .
3. What is an Investment function
4. What are advantages and disadvantages of perfect competition.
5.Explain pricing .
6.Explain determinants of Supply.
7. Why does supply curves slopes upward?
8.Write short note on Opportunity cost ?
9.Discuss explicit and implicit costs ?
10. Why does demand curve slopes downwards ?
11. Explain income elasticity of demand.
12.what are assumption of indifference curve.

APPLYING
Q.3 Answer any 1 out of 2 questions (1 * 10 Marks)
1. Explain the opportunity cost Principle .
2. Elucidate the limitations of cardinal utility theory
3. Highlight the practical usefulness of consumer surplus
4.Expalin Market experiment Method and regression technique of demand foresting .
5. Explain change in market equilibrium .
6. Discuss Factors determining the elasticity of supply .
7. Explain different types of market structure
8. Explain the bilateral economy
9. Write few advantages of multiplier for the economy of nation .

ANALYSING ANALYSE
Q.4 Answer any 1 out of 2 questions (1 * 10 Marks)
1.Highlight the economist theory of firm .
2.Discuss some major differences between micro , macro & managerial economics .
3.Highlight the practical usefulness of consumer surplus
4. Explain the meaning of utility and also discuss the measurement of utility .
5. What is Extension and contraction of supply ?
6. Discuss Explicit and Implicit costs .
7. What are advantages and disadvantages of perfect competition
8. Explain the relationship between revenue and price elasticity of demand
9.Explain Business cycles and business decisions .

ANALYSING EXAMINE
Q.5 Answer any 1 out of 2 questions (1 * 10 Marks)
1. Is profit the only objective of a firm ? explain .
2. Discuss the incremental and marginal principle in economics ?
3.What are the assumptions , significance and criticism of revealed preference theory .
4. Highlight the statistical method of demand forecasting .
5. Highlight the production function also mention its practical uses .
6. Explain economies and diseconomies of scale .
7.Discuss marginal cost pricing , breakeven point and cyclical pricing .
8. What role does profit plays in market system.
9. What are the types of Investments ? highlight the investment demand curve .
10. What are the importance and limitations of accelerators.
11. Explain profit maximization model of firm.
12. Explain how firms and individual participate and iinteract in the product market and in the
factor market .
13. What is survey method , sales force opinion methods and Delphi method .
14. Explain law of diminishing marginal utility and law of equi marginal utility .
15. What is cost output relationship in long run ? explain .
16.Elaborate meaning and various types of cost in detail.
17. Explain the equlireium of monopoly firm under different cost
situation .
18. Explain marginal Efficiency of capital , net present value method and internal rate of return .
19. Explain business Cycles also suggest measures to control business cycle .

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