Alpha University College of

College Distance Studies

Degree Programme
Mathematics for Management Examination (Course No MGMT 101)
Time allowed 1:30 hrs.
March 2021
Directions
Write your Name, Registration No., Department, Exam Center and put "✓" mark for the
program (Degree) you are attending in the space provided on the answer sheet.
Part I. True or False Questions
Write “True” if the statement is true or write “False” if the statement is false and write
your answer in the space provided on the answer sheet. (2 point(s) each)
1. The derivative measures the instantaneous rate of change of a function.
2. In linear programming problem, the solution to the system of inequalities determines the
feasible region.
3. Parameters are restrictions which define or limit the attainability (achievability) feasibility of a
proposed course of action.
4. At breakeven point a company may incur neither a profit nor a loss.
5. In simple Interest computation Interest is computed on accrued values of interest on the
subsequent period and the principal.
6. Two square matrices are inverses of each other if their product is an identity matrix.
7. Two square matrices are inverses of each other if the product is null matrix.
8. Any two vectors are always conformable for multiplication if both are square matrix.
9. All identity Matrices are square Matrices, but not all square Matrices are Identity Matrices.
10. A single sum of future value is a fund in which equal periodic payments are made in order to
accumulate a specific amount at some point in the future.

Part II. Multiple Choices Questions

Choose the best answer for the questions from the alternatives given and write the letter
of your choice in the space provided on the answer sheet. (2 point(s) each)
1. The amount of unused or unutilized amount in LPM optimization model refers to:
A. Surplus amount B. Slack resource
C. Ideal resource D. All except A
2. The number of times at which interest is computed in a year in a compound interest is
called_______________.
A. Compounding period B. Conversion Period C. Interest Period D. Interest Rate
3. All the following are the limitations of an Inverse method of obtaining solution, except;
A. Works only for square matrix C. All matrices don’t have an inverse.
B. Not specify the type of solution D. It’s appropriate for linear equation.
4. Given two Matrices, in order to multiply them which dimensions of both matrices are
appropriate?
A. 3x4 with 3x4 B. 3x5 with 5x2 C. 3x1 with 3x1 D. 2x2 with 3x3
5. A fund in which equal periodic payments are made in order to accumulate a specified amount at
some point in the future refers to as:
A. Single sum B. Sinking fund C. One time deposit D. Future value
ACDS: Mathematics for Management Examination 1
March 2021
 Alpha University College of
College Distance Studies
6. Which of the following is/are incorrect about Ordinary annuity?
A. Payment is made at the end of each period.
B. No time gap between the last payment and the last date.
C. No interest bears at the last rent.
D. First payment is made at the beginning of each period.
7. It is the unknown factor/s to be solved for and what the decision maker wants to know.
A. Decision variable/s B. Constraint/s C. Parameters D. Objective
8. Among the following all are interest free except,
A. Principal B. Periodic Rent C. Present Value D. FutureValue/Amount
9. A series of equal periodic payments in which each payment is made at the end of a period is
refers to as:
A. Nominal Rate B. Annuity Due C. Interest Rate D. Ordinary Annuities
10. If birr 1,000 is borrowed for 9 months at an interest rate of 6%, how much will be paid at the
end of the nine months?
A. 25 birr B. 1,000 birr C. 1,045 birr D. 45 birr
11. It’s the type of interest in which the interest for the subsequent period is based on the principal
and the interest accrued during the previous period.
A. Simple Interest B. Compound Interest C. surplus D. Annuity
12. It is an array of real numbers in a rectangular way arranged in m rows and n columns.
A. Linear Equation B. Matrix C. Slop of a line D. Y- intercept
13. A matrix which consists of either one row or one dimension is ________.
A. Square Matrix B. Identity Matrix C. Vector Matrix D. Scalar Matrix
14. How long will it take if it earns an interest of 1,000 birr for 20,000 birr principal invested in 5%
simple interest?
A. 3 years B. 2 years C. 1 year D. 2.6 years
15. If Ato Bekele monthly deposits birr 500 for 10 years at annual interest rate of 5% compounded
monthly. To attain his fixed demand, how many times he should deposit over the 10 years
period?
A. 120 times B. 12 times C. 10 times D. 600 times
16. The amount paid in excess of what we borrowed at an earlier period is called:
A. Present value B. Future value C. Annuity D. Interest
17. In formulating the LPM model, from the following which one to be the first step?
A . Construct the model C. Assign decision variables
B. Define the problem D. Solve the model
18. Identity Matrix is different from that of scalar matrix in one of the following.
A By the number of zeros C. By their diagonal elements
B. By their non-diagonal elements D. All elements are the same
19. Which of the following is different from the other?
A. Face value B. Maturity value C. Future value D. Present value
20. Among the following which one is correct?

A. Vector addition is not commutative C. Vector Subtraction is commutative

B. Vector multiplication is commutative D. Vector multiplication is not commutative

ACDS: Mathematics for Management Examination 2

March 2021
 Alpha University College of
College Distance Studies
Part III. Matching Questions
Match the items listed under column "A" with appropriate answer listed under column "B"
and write the letter of your choice in the space provided on the answer sheet. (1 point(s) each)
Column “A” Column “B”

1. Future Value A. Demand

2. Ordinary Annuity B. Surplus
3. Total gain to producer C. Principal plus Interest
4. The benefit to consumers D. Payment is made at end of each period
5. Willingness and ability to pay for a product E. Producers’ surplus
F. Consumers’ surplus
Part IV. Short Answer Questions
Give short answer to each of the following questions and write your answers in the space
provided on the answer sheet. (1 point(s) each)

1. If F(x) = X4 – 10X2 + 20, then the first derivative of F(X) = _________________

2. XYZ Company has the following accounting data. Unit Selling price = Br 80 , Fixed costs = Br
52,000, Variable costs = Br 55/unit and Assuming linearity ,then at 2,300 units determine:
a. TC = ________________
b. TR = ________________
c. Profit = _____________

1 0
3. If A= [1 3] and B= [ ] then, A + B = ___________
1 4 0 1
4. A company sells two types of Hand Bag. The table below shows the maximum available
materials and profit per unit of each type of Hand Bag.
Leather Synthetic Profit per unit
Type I 3 4 10
Type II 4 2 12
Max. available material 30 45

Then LP model for the problem is ____________________________

5. If a person borrowed 200,000 birr at an interest rate of 6% compounded annually for 2 years,
she/ he should par ___________ birr at the end each of year two.

ACDS: Mathematics for Management Examination 3

March 2021
 Alpha University College of
College Distance Studies
Answer Sheet
Degree Programme
Mathematics for Management Examination (Course No MGMT 101)
March 2021

Name:_________ ______________
Registration No.: ______________
Program:Degree ,Diploma 
10+1 , 10+2 , 10+3 , Level-3 , Level-4 
Please Fill in the Necessary Information Here 
Department: __________________
Exam Center: ________________
Date __ __/___ __/__ __ __ __
Part I True or False Questions’ Answers (2 point(s) each)
1. _________ 3. ______ 5. ______ 7. ______ 9. ______
2. _________ 4. ______ 6. ______ 8. ______ 10. ______

Part II Multiple Choice Questions’ Answers (2 point(s) each)

1. _____ 5. _____ 9. _____ 13. _____ 17. _____
2. _____ 6. _____ 10. _____ 14. _____ 18. _____
3. _____ 7. _____ 11. _____ 15. _____ 19. _____
4. _____ 8. _____ 12. _____ 16. _____ 20. _____
Part III. Matching Questions’ Answers (1 point(s) each)
1. _____ 2. _____ 3. _____ 4. _____ 5. _____

Part IV. Workout Questions’ Answers (1 point(s) each)

1.

3.

4.

5.

ACDS: Mathematics for Management Examination 4

March 2021