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04 Managerial Economics RES
04 Managerial Economics RES
04 Managerial Economics RES
Question Answers rs
Which economics refers to the application of principles of economics in decision making in the business? Managerial economics 3
Which economics has to study the performance of Individual units in the economy at present and in future? Micro economics 1
According to whom, The law means “more a person has anything the less he wants to have more of it."? Prof.Marshall 1
Which goods are generally desired by the people and these are durable goods such as radio, TV, telephones? Outdated goods 2
Which is the total of supply of a commodity which the seller is prepared to sell if price is up to his expectation? Stock
2
Under which pricing strategy the price is fixed on the higher side and demand increases? Pricing skimming 4
Which cost is based on only variable cost? Marginal costs 2
Which is the condition where there is only one producer and has no competitor? Monopoly 3
Who developed the model of monopolistic competition? E H Chamberlain 1
Which profit arises due to changes in the general price level in the market? Windfall profit 2
In which method the item which has come last is used first in production? LIFO 3
Which rate is the rate at which RBI borrows money from the commercial banks? Reverse repo rate 1
Under which operation the Central Bank would like to influence the economy by increasing or decreasing the Open market
money supply? 3
Which simply means the whole course of trade or business activities which passes through all the phases of Trade cycle
prosperity and adversity? 2
Who defined inflation as too much currency in relation to physical volume to business being done? Prof. Kemmerer 4
Which analysis is used to give a ranking to every project before it is undertaken for execution? Cost benefit analysis 3
Which prices are often impose to maintain certain goods affordable to the people to prevent price going up Administered prices
during the priod of shortages? 1
Which deals with optimum utilization of scarce resources to achieve the objectives and to maximize profit of the Economics
firm? 2
Which economics focusses in identifying the problems and solving the problems by taking proper decisions? Managerial economics 1
period will be larger than simple payback period. Discounted payback 1
is necessary in order to fund new resources especially in oil and gas exploration. Exploration project 3
is also known as factor share method. Income method 2
= Personal income – Personal direct tax. D.I 2
is the controlled distribution of scarce resources of goods and services. Rationing 3
may be either by a subsidy or by a price control. Support price 4