Kuvempu University 2009 M.B.A First Semester (Distance) , - exam paper

First Semester M.B.A (Distance) Degree Examination,
June / July 2009
(New Scheme)
M.B.A. DP : 106 : Managerial Economics
Time : three Hours Max. Marks : 80

part - A

ans the subsequent sub-questions. every sub-question carries two marks. [2x5=10]

1. a. Distinguish ranging from micro and macro economics.

b. describe Variable cost.

c. Distinguish ranging from "Economic Cost" and "Accounting Cost".

d. What is mark up pricing?

e. Suppose the price elasicity of demand for text books is 1.5 and the price of the text
books increase by 10% by how much does the volume demand fall?

part - B

ans any 5 of the subsequent. every ques. carries 7 marks. [5x7=35]

2. explain Baumol's theory of sales revenue maximization.

3. State the legal regulations of demand and discuss the exceptions to the legal regulations od demand.

4. Distinguish ranging from sunk cost, shut down cost and abandonment cost.

5. What is oligopoly? discuss the characteristics of oligopoly.

6. discuss the important steps involved in the simplex method of linear programming issue.

7. A garment shop conducted a study of demand for men's ties. It is obtained that the avg. daily
demand (D) for a particular kind of ties, in terms of price (P) is provided by the formula D=300-2P

i) How many ties per day can the shop expect to sell at the price of Rs. 130 per tie.

ii) If the shop wants to sell 50 ties per day, what price should it charge?

part - C

ans the subsequent ques. Q.No. eight and nine carry 10 marks every and Q. No. 10 carries
15 marks. [10+10+15=35]

8. a) discuss the meaning and nature of managerial economics.

OR

b) What is demand forecasting? discuss the pattern projection method of demand forecasting.

9. a) describe 'Isoquant' and 'Iso-cost' curve. discuss their managerial application.

OR

b) discuss the price and output determination under oligopoly market.

10. A manufacturers sells his product at Rs. five every variable cost is Rs. two per unit and the fixed cost
amount to Rs. 60,000. provided this data compute.

i) The break even point.

ii) What would be the profit, if the firm sells 30,000 units.

iii) what would be the BEP if the firm spends Rs. 3,000 in advertisement?

iv) How much should the manufacturers sell to make a profit of Rs. 30,000 after spending
Rs. 30,000 on advertisement.

* * * * * * * *

Earning:   Approval pending.