Sinhgad College of Engineering, Pune

Department of Civil Engineering

Prelim Paper
TE (Civil) AY 2023-24 (Semester - I)
Course Code: (301004) Engg. Economics And Financial Management(2019 PAT)
Time: 2½ Hours Max. Marks: 70

Instructions to the candidates

1) Neat diagrams must be drawn wherever necessary:
2) Assume suitable data if necessary:

Q. No. Question Marks CO PO BL KC PI

Q1) a) What is Financial Management? Explain why Construction 6 CO3 BL2 C

financial management is different.
Describe in detail role of financial manager in construction 6
financial management
b) CO3 BL3 FDP

c) 5 CO3 BL2
Write down definition of contract and Explain
1]Percentage Rate Contract
2]Item Rate Contract

Q2) a) 8 CO3 BL3 C

The following were expenses on contract which commenced on
1st January 2020
1]Material Purchased :Rs 200000
2]Material at the end :Rs 2250
3]Direct wages:Rs20000
4]Plant issued : Rs 8000
5]direct expenses : Rs 9000
The contract price was 240000.It was duly received when the
contract was completed on 30th march 2020.Cliange Indirect
expenses at 15% of wages and provide Rs 1500 for depreciation
on plant. Prepare the contract account.

Explain how recording of site account is performed on project 4

sites
b) CO3 BL3 FDP

Who is responsible for construction financial management?

c) 5 CO3
Explain role of each.

What is budget ? What are essential elements of budgets?

Q3) a) 4 CO4 BL2 C
What is depreciation? Enlist methods of calculation of 5
depreciation and explain any one.
b) CO4 BL3 FDP

8 CO4 BL3
Calculate IRR on investment in following cash flow
 Year 0 1 2 3 4 5
Cash - +200 +300 +200 +40000 +400
inflow 10000 00 00 000 00
0
Write detail note on financial budget.
Q4) a) 6 CO4 BL2 C
A concrete mixer was purchased at Rs 900000.Assume scrap 5
value Rs 650000 after 10 years.Calculate Depriciation after 5
years
b) 1]By straight Line Method CO4 BL3 FDP
2]By Constant Percentage Method

c) What are discounted cash flow techniques of Capital 6 CO4 BL2

Budgeting?Explain any one .

Write down significance of working Capital in construction 6

industry. Enlist any 6 factors considered for determination of
working capital

Q5)a) CO5 BL3 FDP

 b) 6 BL3
Considering 10 % contingencies ,Calculate working capital from
following data
Particulars Amount in Particulars Amount in
Rs Rs
Bank 255000 Account 280000
Balance Payable
Term loan 295000 Stock of 120000
from bank finished
goods
Payble 55000 Accounts 300000
unclaimed receivables
dividend
Commission 62000 Staff PF 80000
receivables
C) 6 CO4
What are financing resources of working capital? Expalin any
one in detail.
Write a note on
1]Types of working capital
2]Components of working capital
Q6)a) 6 CO5 BL3 FDP

b) The yearly requirement of cement bags by construction firm 6 CO5 BL2

is 1000 bags.The cost of one bag of cement is 400 Rs.and
ordering cost per order is Rs 150.Assume annual carrying cost
for inventory of 20% on average inventory
management.Calculate EOQ and No.of orders in one year.If
the lead time is 5 days calculate order point.

c) Explain in detail Operating Cycle with figure. 6 CO5 BL2

What is GST ? Explain with example components of GST.

Q7) a) 6 CO6 BL2 C
Explain any 6 functions of Reserve Bank of India
6
b) CO6 BL3 FDP

C) 6 CO6 BL3
Calculate Tax to be paid on property in Delhi,from following
data
Covered Area 500 Sq.Ft.
Unit area value for 1 month -Rs 5/Sq.Ft.
Age factor 1.0
Use factor 1.2
Structure factor 1
 Occupancy Factor 1.0
Tax Rate=11%
Q8) a) What is Direct tax? Explain any 4 tax imposed in India. 6 CO6 BL2 C
Explain Unit area system for calculation of property tax

b) 6 CO6 BL3 FDP

c) What are objectives of tax planning? Explain in brief 6 CO6 BL2

corporate tax planning

Summary of CO and BL marks distribution

CO CO1 CO2 CO3 CO4 CO5 CO6

% Marks Allotted

Blooms Taxonomy Levels BL1 BL2 BL3 BL4 BL5 BL6

% Marks Allotted
Abbreviations:
• CO - Course outcomes
• PO - Programme Outcomes
• BL - Blooms Taxonomy Levels (BL1-Remember, BL2-Understand, BL3-Apply, BL4-Analyse, BL5-Evalute BL6-
Create)
• KC - Knowledge categories - Factual, Conceptual, Procedural, Metacognitive, Fundamental Design Principles,
Criteria & Specifications, Practical Constraints, Design instrumentalities.
• PI - Performance Indicator.