Hemwati Nandan Bahuguna Garhwal University 2005 B.Com BUSINESS ECONOMICS - Question Paper

1. True/False: (a) According to Prof.Jevons, "Consumption is the beginning and end of Economics." (b) Perfect competition is a myth (c) According to Mayers,"The Demand for goods is a schedule of the amount that buyers would be willing to purchase at all possible price at any 1 instant of time."
2. "Economics is the study of factors affecting employment and standards of living" This statement is provided by: (a) Prof. Benham (b) K.G.Seth (c) Sidgwick (d) Prof. Pigou
3. According to the Residual claimant theory of wages: (a) Wages=Total Production - (Rent+Interest+Profit) (b) Wages=Total Production - (Rent+Interest+Risk) (c) Wages=Total Production + (Profit)- (Rent+Interest) (d) None of these.
4. Inductive method is also known as: (a) Realistic Method (b) Hypothetical Method (c) Analytical Method (d) Abstract Method
5. Fill in the blanks: (a) In perfect competition avg. revenue line of a firm is always ________. (b) The real wage _______if there is a fall in the price level. (c) Price elasticity of demand = Proportionate change in demand/Proportionate change in________. (d) Land is a __________of nature.
6. Distinguish ranging from Business Economics and Traditional Economics.
7. A manufacture produces 100000 units of a product at a cost of Rs five per unit. later on the produce 150000 units at a cost of Rs 4.80 per units. obtain out marrginal cost per unit and fixed cost.
8. Ashok spends Rs 2,000 on the consumption of a commodity when its price was Rs.15 per Kg.Price fall to Rs.12 per kg and he spends Rs.2,500 on its consumption. compute price elasticity of demand.
9. discuss the modern theory of profit.
10. Distinguish ranging from money wages and real wages.
11. What do you understand by Macro Economics? provide its importance.
12. discuss consumers surplus. Point out its importance in Economics.
13. "The operation of the legal regulations of Diminishing Returns is due to the scarcity of factors of production." explain.
14. "Perfect Competition is pure imagination." explain this statement.
15. From the subsequent data, obtain out total fixed cost, total variable cost, avg. fixed cost, avg. variable cost, avg. total cost and marginal cost: Units of output-(0,50,100,150,200,250) Total Cost in Rs.-(1000,2300,2900,3700,5200,6500)
16. Critically examine the Malthusian theory of Population. Is it applicable to our country? discuss.

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