CMA JUNE, 2021 EXAMINATION

FOUNDATION LEVEL
SUBJECT: 004. BUSINESS ECONOMICS AND INTERNATIONAL BUSINESS

Q. No.5
(a) ln what situation inflation is occurred? How would you control inflation?
(b) Define (i) GDP and (ii) National lncome.
(c) Calculate GDP, GNP and National lncome from the following-
Particulars Taka
Gross private investment 10,000
Government purchase of Goods and Services 4,000
Personal consumption of Goods and Services 20,000
Depreciation charqes 500
Exports 6,500
lmports 8,500
Value of shares purchased during the year 500
Value of computer purchased 500
Purchase of land durinq the year 200
Purchase of old car durinq the year 500

[Marks: (6+4+tO1 = 291

GROUP. B: INTERNATIONAL BUSINESS
Q. No.6
(a) Explain with example how international business creates economic benefits for a country like
Bangladesh?
(b) ln order to ensure shipment of goods to the foreign buyer the exporter needs finance in two ways
- (i) Pre-shipment finance and (ii) Poslshipment finance. Describe the procedure of Pre-
shipment finance narrating the necessary documents.
[Marks: (8+121 = 291
Q. No.7
(a) Explain why lnternational Tax Conflict arises and how to resolve it.
(b) lt is expected that by 2023 Bangladesh will be able to reach yearly target in earning of USD 50
billion from RMG sector. Labor force in this regard will need to be increased to 6 million from
the current 4.4 million. ln addition, there are also challenges to be addressed regarding factory
automation and cost related to Utility, Raw materials, lnfrastructures and Compliance. Being an
economist how do you describe the possible ways and means in addressing the challenges to
achieve the target from RMG sector of Bangladesh.
[Marks: (10+101 = 291
Q. No.8
(a) What do you mean by Network Strategy? Discuss different Global Network Strategies with
examples.
(b) Do you support Regional Trade Arrangements (RTAs)? lf yes why?
(c) Why the importance of technology transfer in international business is growing day by day?
[Marks: (8+O+51 = 291
Q. No.9
Write Short notes on any 5 (five) from the following:
(a) ComparativeAdvantages;
(b) Multinational Corporations (MNCs);
(c) Free Trade Areas(FTAs);
(d) Franchising;
(e) Generalized System of Preferences (GSP);
(f) Public Private Partnership(PPP);
(g) Back to Back LC.
[Marks: (4 x 5) = 291
= THE END =

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