ECOVISIONNAIRE

SUBJECT: ECONOMICS
CLASS: XI
TOPIC: SAMPLE PAPER 1 (TERM 2)
Q1. Classify the following as variable cost or fixed cost.
a. Cost of coal used in a thermal power plant.
b. Rent of the shop taken on the rent.
c. Electricity charges paid
d. Interest paid on borrowings
OR
Ms. Rashmi borrows money from a bank and starts a business in a building owned by her family.
She manages the business herself but hires 10 employees to manage the routine work. Identify her
explicit and implicit costs.

Q2. Calculate AR and TR from the following data

Output MR
sold
1 10
2 8
3 7
4 6
Q3. How will the reduction in the GST on Garments affect the market
supply curve of Garments?
Q4. Calculate the price index of 2019 with 2009 as a base year using simple average of price
relative method.

Commoditie 2009 2019

s
A 10 50
B 40 160
C 55 110
D 60 30
E 80 240
Q5. Comment on the degree
of correlation in the following coefficients.
a) 0.97 b) -0.28 c) -1 d) 0.78

Q6. State true or false giving reasons.

a. When MP is greater than AP, AP falls.
b. In the second stage of the law of variable proportion, both TP and MP fall.
c. A rational firm must operate in the second stage of production.
 OR
Using diagram, explain the relationship between Total Product and Marginal Product.
Q7. When price falls by ₹ 2 per cent, supply falls from 100 units to 80 units. Price elasticity of
supply is 2. Calculate the price before change.
Q8. In Perfect Competition, there is a free entry or exit, Write the implication of the given
feature of perfect competition.
Q9. Calculate the price index using Laspeyre’s and Paasche’s methods.

2010 2015
Commodities P Q P Q
A 4 80 16 100
B 8 70 12 120
C 2 100 16 160
D 3 50 27 400

Q10. Using diagram explain the nature of Total fixed cost curve.
Q11. The price of sugar in the market reaches ₹ 120/kg. Government feels concerned about
rising prices. It fixes the price of sugar at ₹ 75 per kg. What did the government practice? What
will be the implications of such actions by the government?

OR
‘There is a simultaneous increase in demand and supply of a commodity. Explain the
effect of this increase on equilibrium price and equilibrium quantity of the commodity.
Q12. a) Calculate Standard Deviation.
Wages: 100 200 300 400 500
b) Based on the data comment on the reliability and consistency of the data.
Series A Series B
Standard 2 4
Deviation
Mean 50 20

Q13. Using Karl Pearson’s method, calculate coefficient of correlation.

X Y
2 4
3 7
4 8
5 9
6 10
7 14
8 18