BUXI JAGABANDHU ENGLISH MEDIUM SCHOOL, BHUBANESWAR

2nd TERMINAL EXAMINATION 2021-22

Class – XI (Science)
Subject – ECONOMICS (030)
Time : 2 hrs. F.M. : 40

-: GENERAL INSTRUCTIONS :-
 This is a Subjective Question Paper containing 13 questions.
 This paper contains 5 questions of 2 marks each, 5 questions of 3 marks each and 3 questions
of 5 marks each.
 2 marks questions are Short Answer Type Questions and are to be answered in 30-50 words.
 3 marks questions are Short Answer Type Questions and are to be answered in 50-80 words.
 5 marks questions are Short Answer Type Questions and are to be answered in 80-120 words.

01. Differentiate positive correlation and negative correlation with suitable examples. [ 2 ]
OR
Distinguish between linear and non-linear correlation with diagram.
02. The supply for a good is 50 units at the price of Rs 10. When price rises by Rs 5,
supply also rises by 50 units. Calculate price elasticity of supply. [2]
OR
Quantity supplied of a commodity increases by 25%, when its price rises from Rs 4
per unit to Rs 5 per unit. Calculate price elasticity of supply.
03. Can marginal product be zero or negative? Explain with valid point. [2]
04. Calculate TP and AP from the following: [2]
Variable factor 1 2 3 4 5 6 7
MP (in units) 24 20 16 12 8 0 -- 8
OR
Calculate AP and MP from the following:
Variable factor 0 1 2 3 4 5
TP (in units) 0 8 20 28 28 25
05. Give two examples of implicit cost. [2]

06. Describe any three limitations of Index Number. [3]

OR
Briefly explain degrees of correlation.
07. What are the effects of “Price-Ceiling” on the market of a good? Explain, by using
diagram. [3]
OR
Explain the effect of “Price-Floor” on the market of a good. Use diagram.
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Read the following case carefully and answer the ques. No. 8 and 9 on the basis of the same.
Fixed costs are expenditures that do not change regardless of the level of production, at least
not in the short-term. Whether you produce a lot or a little, the fixed costs are the same. One
example is the rent of a factory or a retail space. Once you sign the lease, the rent is the
same regardless of how much you produce, at least until the lease runs out.
Variable cost, on the other hand, are incurred in the act of producing - the more you
produce, the greater is the variable cost. Labour is treated as a variable cost, since producing
a greater quantity of a good or service typically requires more workers or more work hours.
Variable costs would also include cost of raw materials used.
08. Differentiate between Fixed Costs and Variable Costs. [3]

09. Draw a hypothetical schedule and diagram for Fixed Cost. [3]

10. Briefly discuss the effect on equilibrium price and quantity, when decrease in supply is
more than the decrease in demand. Use diagram. [3]

11. Calculate Standard Deviation of the following data from the actual mean method. [ 5 ]
25, 50, 45, 30, 70, 42, 36, 48, 34, 60
12. Compute Karl Pearson’s coefficient of correlation from the following data by actual
mean method [5]
X: 10, 12, 11, 13, 12, 14, 9, 12, 14, 13
Y: 7, 9, 12, 9, 13, 8, 10, 12, 7, 13
OR
From the following data compute index number for 2015 taking 2010 as base year by
applying weighted average of price relative method.
Commodity Quantity Price
2010 2010 2015
A 5Qtl. 100 125
B 5Qtl. 200 250
C 1Qtl. 80 100
D 3Qtl. 120 180
E 5Kg. 8 10
F 80Kg. 2 3

13. What are the main features of perfectly competitive market? Explain briefly. [5]
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