MS 9 Managerial Economics Sample Paper

MBA - Master of Business Administration

Note: There are Section A and B. Section A consists of five Questions carrying 20 marks each. Attempt any three questions from this Section. Section B is compulsory and carries 40 marks.

SECTION-A

1. Discuss the fundamentals of Managerial Economics. Explain the scope of Managerial Economies as tools of management decision making.

2. (a) Explain the law of demand.

(b) What are the differences between a firm's demand curve and market demand curve? Give illustrations.

3. Explain the economic method of estimating cost function. Why is this method more popular than the other methods of cost estimation?

4. (a) Distinguish between perfect competition and oligopolistic competition. Give examples.

(b) Explain the concept of product differentiation with special reference to monopolistic competition. 5. Write short notes on any three of the following:

(a) Delphi technique

(b) Opportunity cost

(c) Cross-price elasticity

(d) Distinguish between accounting costs and economic costs

(e) Pricing of joint products

SECTION B

6. Define forecasting technique. Discuss the various types of forecasting techniques.

7. The production department of a firm reported the following information for the month of May, 2005.

Calculate

(i) Average cost
(ii) Average variable cost
(iii) What would be the total profit of the firm is it sells the entire output at a price of Rs.60 per unit?