Eco.

304
Economics (SET-A)

Grade: XII
Time: 3 Hrs. Full Marks: 75
Group A
Very Short Answer Questions
Attempt All Questions (11 x 1 = 11)
1. Point out the any four features of socialistic economy.
2. If the total revenue received from sale of 3 and 4 piece of books are Rs. 2000 and
Rs.4000 respectively, then find the marginal revenue.
3. What is public finance?
4. Write any two differences between balance of trade and balance of payment.
5. What are the basic components of HDI?
6. What are the objectives of WTO?
7. Mention any four importance of remittance in Nepal.
8. What is the goal of sustainable development that is not directly relevant to Nepal?
9. Point out the limitations of statistics.
10. Mention the main sources of secondary data.
11. Calculate the median from following data
200, 250, 208, 160, 220, 210

Group B
Short Answer Questions
Attempt All Questions (8 x 5 = 40)
12. “The root cause of all economic problems is scarcity.” Discuss.
Or,
What is free market? Explain its features.
13. Explain the classical theory of interest.
14. Answer the following question based on the given table.

Units of output Price (In Rs.) Total Revenue Average Marginal

Revenue Revenue

0 12
1 10
2 9
3 8
4 7
5 6
6 5
7 4

i. Complete the given table.

ii. Draw Total Revenue, Average Revenue and Marginal Revenue and also explain their
relationship.
15. Define the relationship between average cost and marginal cost.
16. Describe the functions of commercial banks.
17. Discuss the major problems of Nepalese foreign trade with solution measures.
18. Explain the process of plan formulation in Nepal.
19. Calculate standard deviation from the following data and interpret the results.

Marks 0-60 10-60 20-60 30-60 40-60 50-60

No. of 180 176 170 150 110 65

Students
 Or,
Construct the Laspeyre’s, Paasche’s and Fisher’s price index numbers for year 2022 by using
2019 as the base year and also interpret the result.

Commodities Base Year (2019) Current Year (2022)

Price (In Rs.) Quantity (In units) Price (In Rs.) Quantity (In units)

A 10 5 20 2
B 15 4 25 8
C 40 2 60 6
D 25 3 40 4

Group C
Long Answer Questions
Attempt All Questions (3x8=24)
20. What is perfect competition? how the equilibrium price and output are determined in
the firm in short run by a firm using MR-MC approach under perfect competition.
21. What do you understand by direct tax? What are its advantages and disadvantages?
22. Explain the growth, composition and direction of foreign trade in Nepal.
Or,
Is foreign employment beneficial for Nepal? If yes how or if no how?

The End.
 Eco. 304
Economics (SET-B)

Grade: XII
Time: 3 Hrs. Full Marks: 75
Group A
Very Short Answer Questions
Attempt All Questions (11 x 1 = 11)
1. Point out the any four features of capitalistic economy.
2. If the total cost of producing 6 units and 7 units of a commodity are Rs. 500 and Rs.700
respectively, then the final marginal cost.
3. Point out any four importance of government expenditure.
4. What do you understand by exchange rate?
5. Mention any four indicators of human development.
6. Mention any four advantages of WTO for Nepal?
7. Define remittances.
8. How many sustainable development goals (SDGs) and targets of SDGs are there?
9. Define statistics in singular sense.
10. List out any four uses of statistics in Economics.
11. Calculate the range from following data
80,90,96,64,130,106, 116

Group B
Short Answer Questions
Attempt All Questions (8 x 5 = 40)
12. “What is opportunity cost? Explain it with an example.
Or,
Define the mixed economy? Explain its features.
13. Explain the Ricardian Theory of Rent with the help of diagram.
14. Answer the following question based on the given table.

Units of TFC (In Rs.) TVC TC AC MC

output

0 200 0
1 200 20
2 200 48
3 200 94
4 200 144
5 200 200
6 200 280
7 200 430
8 200 648

i. Complete the given table.

ii. Draw the average and marginal cost curves and explain their relationship.
15. Explain the nature of average revenue (AR) and marginal revenue (MR) curves under perfect
competition.
16. Describe the functions of central bank.
17. What are the advantages and disadvantages of foreign employment of Nepal?
18. Describe the objectives and strategies of current plan of Nepal.
19. Calculate standard deviation from the following data and interpret the results.

Marks More than More than More than More than More than More than
10 20 30 40 50 60

No. of 50 46 40 20 10 3
Students

Or,
Construct the Laspeyre’s, Paasche’s and Fisher’s price index numbers for year 2022 by using
2015 as the base year and also interpret the result.

Commodities Base Year (2015) Current Year (2022)

Price (In Rs.) Quantity (In units) Price (In Rs.) Quantity (In units)

A 4 40 10 30
B 8 8 16 10
C 2 20 4 24
D 10 10 20 12

Group C
Long Answer Questions
Attempt All Questions (3x8=24)
20. What is monopoly Market? how the equilibrium price and output are determined in the
firm in short run by a firm using MR-MC approach under monopoly market?
21. What do you understand by indirect tax? What are its advantages and disadvantages?
22. Evaluate the causes foreign trade deficit of Nepal.
Or,
What are the challenges and opportunities of foreign employment in Nepal? Explain.

The End.
 Eco. 304
Economics (SET-C)

Grade: XII
Time: 3 Hrs. Full Marks: 75
Group A
Very Short Answer Questions
Attempt All Questions (11 x 1 = 11)
1. What do you understand by opportunity cost?
2. The average revenue function of a commodity is given by AR = 40 -8Q, find total revenue
and marginal revenue at Q = 2.
3. Identify any two differences between regular and development expenditure of
government with reference to Nepal.
4. What is protectionism?
5. Mention any two differences between absolute and relative poverty.
6. What are the objectives of SAFTA?
7. When was developing planning started in Nepal?
8. What are the UN sustainable goals?
9. What is the meaning of statistics in plural sense?
10. Why census method of collecting data is more expensive than sampling method?
11. Calculate the first and third quartile from the following data.
Wages (In Rs.): 4,8,14,18,24,28,34,38,44,48,54

Group B
Short Answer Questions
Attempt All Questions (8 x 5 = 40)
12. What is production possibility curve? Explain it with diagrams and criticisms.
Or,
Does division of labor increases efficiency? Explain.
13. Explain Subsistence Theory of Wages with its criticisms.
14. A firm’s, total cost and demand functions are TC = 50 + 6Q2 and P= 100-4Q respectively.
Calculate profit maximizing output, price, and total output.
15. Explain the nature of TR, AR and MR under different market structures.
16. Distinguish between money market and capital market.
17. “The unemployment, underemployment and disguised unemployment are the major
problems of Nepalese economy.” Discuss.
18. Discuss the five principles (5Ps) of sustainable sustainable development.
19. Calculate standard deviation and coefficient of variance from the following data and
interpret the results.

Marks 1-5 6-10 11-15 16-20 21-25 26-30 31-35 36-40 41-45

No. of 7 10 16 32 24 18 10 5 1
Students

Or,
Find the value of ‘X’ from the data given below if the ratio between Laspeyre’s and Paasche’s
index number is 15:14.

Commodities P0 Q0 P1 Q1

A 8 20 10 12
B 8 16 X 8
C 8 12 8 4

Group C
Long Answer Questions
Attempt All Questions (3x8=24)
20. Explain the nature of total fixed cost (TFC), total variable cost (TVC) and Total cost (TC)
with the help of diagram.
21. What is commercial bank? What are its functions?
22. Examine the decent work and economic development.
Or,
Discuss the present situation of foreign employment and remittances in Nepal.

The End.
 Eco. 304
Economics (SET-D)

Grade: XII
Time: 3 Hrs. Full Marks: 75
Group A
Very Short Answer Questions
Attempt All Questions (11 x 1 = 11)
1. What do you understand by allocation of resources?
2. If the total revenue function TR = 12Q -3Q2, find Average revenue and marginal revenue.
3. Define government borrowing.
4. What are the components of balance of payment?
5. What is human resource?
6. What are the principles of WTO?
7. Mention any four disadvantages of remittance in Nepal.
8. What is the sequence number of sustainable development goal ending poverty?
9. Why primary data is more reliable than secondary data?
10. What are the problems involving in the construction of price index number?
11. Calculate the mean from following data
20, 25, 28, 16, 30, 16
Group B
Short Answer Questions
Attempt All Questions (8 x 5 = 40)
12. Explain the scarcity and choice with example.
Or,
What is division of labor? Explain its advantages.
13. Explain the wage Fund Theory of Wages with criticisms.
14. The short-run total cost is 20+3Q -0.002Q2 + 0.01Q3. If Q =10, find,
a. Total Fixed cost.
b. Average fixed cost.
c. Average variable cost.
d. Average cost.
e. Marginal cost
15. Explain how does a firm attain equilibrium according to MR-MC approach?
16. What is monetary policy? Explain its types.
17. What is present situation of foreign trade in Nepal? Explain.
18. What is development planning? How is plan formulated in Nepal?
19. Calculate standard deviation and its coefficient from the following data and interpret the
results.

Wages 0-19 20-39 40-59 60-79 80-99

No. of 30 55 75 28 12
workers

Or,
An enquiry into family of middle-class family gave the following information:

Expenditure Food Rent Clothing Fuel Others

Expenditure 35% 10% 25% 15% 15%

Percentage

Prices (Rs) 200 40 140 40 40

In (2018)

Prices (Rs) 180 40 120 30 110

In (2022)

Compute the price index number using weighted AM of price relative method.
Group C
Long Answer Questions
Attempt All Questions (3x8=24)
20. Define perfect competition market. How are the price and the output determined under
it?
21. Critically explain the Comparative Advantages Theory of International Trade.
22. Describe the status of zero hunger goal of SDGs in the context of Nepal.
Or,
“Foreign employment is not always beneficial for the developing countries like Nepal”.
Justify it.

The End.
 Eco. 304
Economics (SET-E)

Grade: XII
Time: 3 Hrs. Full Marks: 75
Group A
Very Short Answer Questions
Attempt All Questions (11 x 1 = 11)
1. Why is PPC concave towards origin?
2. Let total cost function, TC = 100 + 50Q + 0.3Q2, show that marginal cost is independent
with total fixed cost.
3. What is budget?
4. Write any four advantages in favor of free trade.
5. Mention any four measures to reduce inequality.
6. What are the major commodities exported from Nepal?
7. What are the social costs of foreign employment?
8. What do you understand by zero hunger?
9. Why primary data is more reliable than secondary data?
10. Write the steps used for the construction of price index number.
11. Find the value of ‘X’ if the mean of the given data is 16
Income (In Rs.): 8, 12, 16, X, 24

Group B
Short Answer Questions
Attempt All Questions (8 x 5 = 40)
12. “The scarcity of resources is common to all countries, rich or poor.” explain this statement.
Or,
Compare the advantages and disadvantages of division of labor.
13. What is profit? Explain the Uncertainty Bearing Theory of Profit.
14. Answer the following question based on the given table.

Units of output Price (In Rs.) Total Revenue Average Marginal

Revenue Revenue

0 22
1 20
2 18
3 16
4 14
5 12
6 10
7 8

i. Complete the given table.

ii. Draw Total Revenue, Average Revenue and Marginal Revenue and also explain their
relationship.
iii. What type of market does this represent and why?
15. Define short run average cost curve. Why is it ‘U’-shaped?
16. What is government borrowing? What are the sources of government borrowing?
17. Evaluate the efforts made for the reduction of poverty in Nepal.
18. Define the planning. What are the objectives of the current plan?
19. Calculate standard deviation and coefficient of variance from the following data and
interpret the results.

Marks Up to Up to Up to Up to Up to Up to Up to Up to
10 20 30 40 50 60 70 80

No. of 12 30 65 107 157 202 222 230

Students

Or,
Construct the weighted average of price relatives index number for year 2022 from following
data and also interpret the result.

Commodities Quantity (In Price (In Rs.) Price (In Rs.)

units) (2019) (2022)
A 40 400 640
B 28 800 840
C 30 200 240
D 36 80 120
E 20 40 56

Group C
Long Answer Questions
Attempt All Questions (3x8=24)
20. How the equilibrium price and output are determined in the firm in short run by a firm
using MR-MC approach under perfect competition. Why firms in long run attain only normal
profit?
21. What are the features of good tax system? Define progressive, proportional and
regressive taxes.
22. Explain the 17 sustainable goals (SDGs) of UN.
Or,
“Foreign employment is not always beneficial for developing country like Nepal.” Justify.

The End.