Mefa Most Important Questions

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Most Important Questions for Final Exam, MEFA (Unit Wise) UNIT-I Define Managerial Economics. Explain its Nature And Scope. What is Managerial Economics? Explain its focus areas. Point out the importance of Managerial Economics in decision making. Explain the role of a Managerial Economist in a Business Firm. Define ‘Demand’ and explain the factors that influence the demand of a product. State the ‘Law of Demand’. What are the various factors that determine the demand for a Mobile Phone? Explain the various factors that influence the demand for computer. UNIT-II What is meant by ‘Elasticity of Demand’? How do you measure it? (very Imp) A)What is cross Elasticity of Demand? Explain B) Explain the concept of Cross Elasticity of Demand. Illustrate your answer with Examples. Why does the Law of Diminishing Returns operate? Explain with the help of assumed data and also represent in a diagram. What are the needs for Demand Forecasting? Explain the various steps involved in demand forecasting. UNIT-III Define production Function. Discuss in detail the different types of production functions. Explain the following with reference to production function 1) Marginal Rate of Technical Substitution (MRTS) 2) Variable Proportions of Factors. Define ‘Cost’. How are costs classified? Explain any five important cost concepts useful for managerial decisions. Discuss the role and importance of cost analysis in managerial decisions. a) State and explain Break-Even analysis and explain its importance. b) What are its limitations? Use suitable diagrams. UNIT-IV a) Define Market and explain how markets are classified? b) What are the important features in Market structure? a) What is perfect competition? What are its features? How is market price determined under conditions of Perfect Market Competition? a) Explain the features of Monopoly.b) How can a Monopolist attain equilibrium position under conditions of monopoly? Compare and contrast between Perfect competition and Monopoly. What are the causes for the emergence of Monopoly? UNIT-V a) What are the different types of Business organizations? b) What are the features of Sole trading form of Organization? a) What are the characteristics of a Business Unit? b) What are the characteristic features of a sole trader form of organization? a) What are the salient features Partnership firm b) What are the advantages and limitations of partnership firm? a) What do you mean by Joint Stock Company? What are the salient features? b) Describe the advantages and disadvantages of Joint Stock Companies? Distinguish between the Joint Stock Company and Partnership. What are the objectives behind starting public sector enterprises in the country? To what extent have they fulfilled these objectives? UNIT-VI What are the components of Working capital? Explain each of them. a) What is the important of capital? b) What factors determine the working capital requirements of company? a) What is the importance of Capital budgeting? b) How do the discounting models differ from non-discounting models? Explain the right procedure for Capital Budgeting decision What are the merits and limitations of Pay Back Period? How does Discounting approach overcome the limitations of Pay back method? What do you understand by time value of money? How is it helpful in Capital Budgeting? UNIT-VII Give a brief account on the important records of Accounting under Double Entry System and discuss briefly the scope of each? Objective of bookkeeping Explain the purpose of preparing the following accounts/statements and also elaborate the various items that appear in each of them. a) Trading Account b) Profit & Loss Account c) Balance Sheet Explain the following concepts and illustrate their treatment with imaginary data. a) Depreciation b) Prepaid expenses c) Reserve for bad and Doubtful debts d) Income received in advance Explain the following adjustments and illustrate suitably with assumed data. a) Closing stock b) Outstanding expenses c) Prepaid Income d) Bad debts (a) Define the concepts ‘Accounting’, Financial Accounting and Accounting System’. (b) Explain the main objectives of Accounting and its important functions. What is three columnar cash book? What is Contra Entry? Illustrate What do you understand by Double Entry Book Keeping? What are its advantages? What is Trial Balance? Why it is prepared? UNIT-VIII Discuss the importance of Ratio Analysis for inter firm and intra-firm comparison, including circumstances responsible for its limitations,

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How are ratios classified for the purpose of financial analysis? With assumed data, illustrate any two types of ratios under each category Write a brief note on the importance of ratio analysis to different category of users. What are the limitations of Ratio Analysis? Does ratio analysis really measure the financial performance of a company? ALL THE BEST