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Posted By: sac Member Level: Diamond Posted Date: 29 Apr 2008
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2007 Alagappa University M.B.A MANAGERIAL ECONOMICS Question paper
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DISTANCE EDUCATION
M.B.A. DEGREE EXAMINATION, DECEMBER 2007.
First Semester
Banking and Finance
MANAGERIAL ECONOMICS
(2005 onwards)
Time : Three hours Maximum : 100 marks
PART A — (5 ? 8 = 40 marks)
Answer any FIVE questions.
1. Define managerial economics and discuss its scope.
2. Explain the various functions of managerial economist.
3. State the exceptions to the Law of Demand.
4. Distinguish between Business cycles and seasonal Movements.
5. What are the features of perfect competition?
6. State the assumptions underlying Break-even Analysis.
7. Construct an example to show the difference between ‘‘economic profit’’ and ‘‘accounting profit’’.
8. State the salient features of LAC curve and discuss its usefulness in managerial decision-making.
PART B — (4 ? 15 = 60 marks)
Answer any THREE questions from Q. No. 9 to Q. No. 14.
Q. No. 15 is compulsory.
9. Briefly explain the five principles which are basic to the entire gamut of managerial economics.
10. Comment on the various types of discounts and the effects of each on sales.
11. ‘‘Profit is the reward for risk-bearing function of the entrepreneur’’- Examine critically.
12. Write a brief note on balance of payments problems of a developing economy.
13. How can management use the information relating to the break even point? What are principle limitations of the break even calculation?
14. Explain the factors determining the price Elasticity of Demand.
15. Give a classification of costs. Bring out the importance of this classification in business decision-making.
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