Set No.

Code No: NR-210401 II B.Tech. I-Semester Supplementary Examinations, November-2003.

1

MANAGERIAL ECONOMICS AND PRINCIPLES OF ACCOUNTANCY (Common to Electronics Communication Engineering, Electronics and Telematics, Computer Science and Engineering, Computer Science and Information Technology, Biomedical Engineering and Electronics and Computer Engineering) Time: 3 hours Max. Marks: 80 Answer any FIVE questions All questions carry equal marks --1. 2. 3. 4. 5. 6. 7. 8. Describe the utility of economic methods and decision-making. What is meant by elasticity of demand? Explain giving a suitable illustration, how elasticity of demand determines the price policy of a firm. Discuss in detail the different methods of production functions. What is opportunity cost? Give some examples of opportunity cost. How are these costs relevant for managerial decisions? What do you understand by working capital cycle and what is its importance? Define Monopoly. How is price under Monopoly determined? Explain the need for public enterprise in India. Do you think public enterprises as a whole have fulfilled that need? What are financial statements? Why are they needed? How are they prepared?

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Set No.
Code No: NR-210401 II B.Tech. I-Semester Supplementary Examinations, November-2003.

2

MANAGERIAL ECONOMICS AND PRINCIPLES OF ACCOUNTANCY (Common to Electronics Communication Engineering, Electronics and Telematics, Computer Science and Engineering, Computer Science and Information Technology, Biomedical Engineering and Electronics and Computer Engineering) Time: 3 hours Max. Marks: 80 Answer any FIVE questions All questions carry equal marks --1. 2. 3. 4.a) b) 5. 6. 7. 8. Managerial economics is the study of the allocation of resources available to a firm or other unit of Management among the activities of that unit. Explain. Define price – elasticity of demand. What are the various degrees of price elasticity? Illustrate graphically. Explain and illustrate the Law of Variable proportions. What is meant by Break-Even Analysis? Explain the uses and limitations of BEP. Appraise the usefulness of Break-Even Analysis for a multiproduct organization. Describe the institutions providing long term finances. What is Price discrimination? What are the essential conditions for Price discrimination? Evaluate the Government Company form of public enterprise. Elaborate the importance of Finance function for evaluating the economic status of a business unit. @@@@@

Set No.
Code No: NR-210401 II B.Tech. I-Semester Supplementary Examinations, November-2003.

3

MANAGERIAL ECONOMICS AND PRINCIPLES OF ACCOUNTANCY (Common to Electronics Communication Engineering, Electronics and Telematics, Computer Science and Engineering, Computer Science and Information Technology, Biomedical Engineering and Electronics and Computer Engineering) Time: 3 hours Max. Marks: 80 Answer any FIVE questions All questions carry equal marks --1 2. Discuss in detail the role of economics in Engineering Industry and its influence on technical decisions. Define income – elasticity of demand and distinguish its various types. How does income – elasticity differ from price elasticity of demand?

3.a) Distinguish between laws of returns and returns to scale. b) Explain the returns to scale. 4. 5. 6. 7. 8. Describe the Break-Even Point with the help of diagram and its uses in business decision making. What are major sources of short term finance? Compare and contrast between perfect competition and monopoly. Discuss the factors affecting the choice of forms of business organisation. Explain the concept of 'Liquidity' and narrate its importance through suitable examples with some assumed data. @@@@@

Set No.
Code No: NR-210401 II B.Tech. I-Semester Supplementary Examinations, November-2003.

4

MANAGERIAL ECONOMICS AND PRINCIPLES OF ACCOUNTANCY (Common to Electronics Communication Engineering, Electronics and Telematics, Computer Science and Engineering, Computer Science and Information Technology, Biomedical Engineering and Electronics and Computer Engineering) Time: 3 hours Max. Marks: 80 Answer any FIVE questions All questions carry equal marks --1. 2. 3. 4. 5. 6 7. “Ecnomics is an inseparable aspect of engineering”. Explain this statement. Define elasticity of demand. Explain different types of price elasticity of demand. What do you understand by production function? achieve least cost combination of factors? How does a producer

How do you determine BEP in terms of physical units and sales value? Explain the concepts of margin of safety and the angle of incidence. Explain the factors affecting the requirement of working capital. Distinguish between perfect and imperfect markets. "Small is Beautiful". Do you think this is the reason for the survival of the sole trader form of business organisation? Support your answer with suitable examples. What do you understand by 'Solvency' position of a manufacturing Organization? How is it evaluated? Illustrate with assumed data.

8.

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