CMA JUNE, 2019 EXAMINATION

FOUNDATION LEVEL
SUBJECT: 004. BUSINESS ECONOMICS AND INTERNATIONAL BUSINESS
Q. No.3
(a) What do you mean by elasticity of demand, Elastic demand and inelastic demand?
(b) Find out price elasticity, lncome elasticity and cross elasticity of demand from the following
and comment on the result.
Year Sales in Qty. of Price per unit of Price per unit of Per capita
'X'No. 'X'in Taka 'Y' in Taka income in Taka
2010 30,000 25 12 10,000
2015 45,000 20 18 15,000

[Marks: (8+12; = 291

Q. No.4
(a) Define money. Narrate the functions of money. Narrate the main three approaches to the
determination of value of money.
(b) What are the cause of inflation? How you will control inflation. Explain the measures to
inflation, 291
control
Q. No.5
(a)
,' [Marks: (12+87 =

Define national income. What does it measure? Who does national income accounting in
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Bangladesh? Narrate two approaches of counting national income.

(b), Differentiate between GDP and GNP. Calculate GNP, NNP, Nl and DPI from the following:
Particulars Taka in Million
Consumotion exo. 1 000

Value of common stock purchase 400

Gross domestic investment 300
Sales tax (indirect tax 50
Govt. purchase of qoods & services 200
Coroorate income tax 200
Personal income tax 100
Net of Export (export minus import) 100
Depreciation 75
Business transfer 100

[Marks: (10+101= 291

GROUP - B: INTERNATIONAL BUSINESS
Q. No.6
(a) Define international business. Why one should study international business. Show the
reasons thereon.
(b) Five distinct alternatives are available'for the management when the management wants get
involved in foreign manufacturing. Narrate the five distinct alternatives. Which one you like best?
lMarks: (8+12) = 20I
Q. No.7
(a) Explain with example Theory of Comparative Advantage.
(b) Discuss the different ways of getting post-shipment credit by an exporter.
(c) What is meant by export financing? [Marks: (8+10+21= 291
Q. No.8
Write Short notes on any five from the following:
(i) ccr & E;
(ii) Joint Venture & Wholly owned subsidiary;
(iii) Public Private Partnership;
(iv) Pre-shipmentlnspection;
(v) Balance of Payment;
(vi) rQM;
(vii) Six Sigma;
(viii) WTO. [Marksi (4 x 5) = 291
= THE END =
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