The ARYAN International School

Sample Paper (2023-24)

Class – XI Commerce
Subject: Economics
T.A. 3:00 Hrs.. M.M. 80 Date: .03.2024

General Instruction:

1. This paper contain two parts, Part A and Part B .

2. All the questions are compulsory to attempt.
3. Answer of questions should be at one place.
4. Diagram, if required should be drawn properly.

Part- A Micro + Macro Economics- (40 Marks)

1. Which of the following is incorrect? [1]
a) TC  TFC  TVC TVC
d) AVC 
b) AC  AFC  AVC Q

TC
c) AFC 
Q

2. Short period AC is a U-shaped curve due to: [1]

a) Increasing returns c) Decreasing returns
b) Constant returns d) The law of variable proportions
3. Which of the following equations is incorrect? [1]
PQ TR
a) AR  c) AR 
Q Q

P Q d) MR  TR  TR
b) AR  n n n 1

4. Firm‟s AR curve is perfectly elastic under: [1]

a) Perfectly competition c) Monopolistic competition
b) Monopoly d) All of these
5. Which of the following is a characteristic of perfect competition? [1]
a) Single seller c) Perfect mobility of the factors
b) Product differentiation d) Entry barriers
6. Zero degree of product differentiation is found under [1]
a) Monopoly c) Both (a) and (b)
b) Monopolistic competition d) None of these
7. In a situation of excess demand, market price tends to: [1]
a) Fall c) remain constant
b) rise d) None of these
8. An increase in demand, supply remaining constant, would generally cause equilibrium
quantity to: [1]
a) Fall c) Fall infinitely
b) Rise d) Rise infinitely
9. When AR is decreasing: [1]
a) MR should be increasing

b) MR should be decreasing, no matter faster or slower than AR

c) MR should be decreasing faster than AR

d) MR should be decreasing slower than AR
10. Market value of final goods and services produced in the economy during the period of one
year is called: [1]
a) Gross value added at market price
b) Gross domestic product at market price
c) Gross national product at market price
d) Both (a) and (c)
11. Explain the conditions of perfect competition. Why is the demand curve facing a firm
under perfect competition perfectly elastic? [3]
OR
Calculate „sales‟ from the following data:
Items ( in lakh)
(i) Intermediate cost 700
(ii) Consumption of fixed capital 80
(iii) Change in stock (-) 50
(iv) Subsidy 60
(v) Net value added at factor cost 1300
(vi) Exports ` 50
12. What happens to the equilibrium price and equilibrium quantity of a commodity when its
demand decreases? Show with the help of a diagram. [3]
13. From the following cost schedule of a firm, calculate marginal cost and average variable
cost at each level of output. [4]
Output (Units) Total Cost( ) Average Fixed Cost( )
1 50 30
2 66 15
 3 90 10
14. Complete the following table: [4]
Output (Units) Price ( ) Total Revenue ( ) Marginal Revenue ( )
1 - - 5
- 4 8 -
3 - - 1
- 2 8 -
15. Show with help of diagrams the effect on equilibrium price and quantity, when: [4]
(i) Demand is perfectly elastic and supply decreases;
(ii) Supply is perfectly inelastic and demand increases.
16. State whether the following statement are true or false. Give reasons for your answer. [6]
(i) Average variable cost can fall only when marginal cost is falling.
(ii) The difference between total cost and total variable cost rises with increase in output.
(iii) When marginal cost rises, average variable cost also rises.

OR

From the following data, calculate „Net National Product at Market Price‟ by (a) Expenditure
Method, and (b) Income Method:

Items ( in lakh)
(i) Personal consumption Expenditure 700
(ii) Wages and salaries 700
(iii) Employer‟s contribution to social security schemes 100
(iv) Gross business fixed investment 60
(v) Gross residential construction investment 60
(vi) Gross public investment 40
(vii) Inventory investment 20
(viii) Profit 100
(ix) Government purchases of goods and services 200
(x) Rent 50
(xi) Exports 40
(xii) Imports 20
(xiii) Interest 40
(xiv) Mixed income of the self-employed 100
(xv) Net factor income from abroad (-)10
(xvi) Depreciation 0
 (xvii) Indirect taxes 20
(xviii) Subsidies 10
17. Explain how price is determine under perfect competition with help of an imaginary
schedule and graph. [6]
OR
Calculate GDP at MP by a) Production method, b) Income method:

Intermediate Consumption of:

a) Primary Sector 500
b) Secondary Sector 400
c) Tertiary Sector 300
Value of output of:
a) Primary Sector 1000
b) Secondary Sector 900
c) Tertiary Sector 700
Rent 10
Emoluments of employees 400
Mixed income 650
Operating surplus 300
Net factor income from abroad -20
Interest 5
Consumption of fixed capital 40
NIT 10

Part- B, Statistics for Economics (40 Marks)

18. Resource to satisfy human wants have_________ uses.
a) Alternative c) Few
b) No d) None of the above
19. Which economist shifted the emphasis of economic from wealth to welfare?
a) Adam Smith c) Alfred Marshall
b) Samuelson d) Lionel Robbins
20. Who expressed the view that “Economics is neutral between ends”?
a) Robbins c) Pigou
b) Marshall d) Adam Smith
21. Sum of the deviations about mean is:
a) Zero b) Minimum c) Maximum d) One
22. The values of all item are taken into consideration in the calculation of :
a) Median b) Mode c) Mean d) None of these
23. The correlation between ages of husbands and wives is:
a) Positive b) Negative c) Zero d) None of these
24. The lowest strength of association is reflected by which of the following correlation
coefficients?
a) 0.95 b) -0.60 c) -0.35 d) 0.29
25. The following value can be located through graph:
a) Mode c) Both (a) and (b)
b) Median d) None of these
26. Which one of the following average can be computed with the help of ogives?
a) Simple Mean c) Mode
b) Weighted Mean d) Median
27. Consumers price index is also known as:
a) Wholesale Price Index c) Cost of Living Index
b) Retail Price Index Numbers d) Both (b) and (c)
28. Find mean for the following data by using: (i) Direct Method; (ii) Short-cut Method (iii) Step
Deviation Method.
X 100-200 200-300 300-400 400-500 500-600
f 10 18 12 20 40

29. Find the mode from the following data:

Class-interval 0-10 10-20 20-40 40-50 50-70 70-80
Frequency 10 14 40 35 42 10

30. Calculate Product Moment Correlation (or Karl Pearson‟s Coefficient of Correlation) of the
data given by the Direct Method.
31. From the following, compute Q1 and Q3.
X 10 20 30 40 50 60 70
f 2 3 5 10 5 3 2
32. From the following distribution of marks obtained by 50 students in statistics, calculate
average marks.
Marks No. of students
More than 0 50
More than 10 45
More than 20 38
More than 30 26
More than 40 10
More than 50 4
33. Ten competitors in the singing competition are ranked by three judges in the following
order:
Judge 1 1 5 4 8 9 6 10 7 3 2
Judge 2 4 8 7 6 5 9 10 3 2 1
Judge 3 6 7 8 1 5 10 9 2 3 4

34. From the following data, calculate price index numbers for 2022-23 with 2011-12 as base
by (i) Laspeyre‟s Method, (ii) Paasche‟s Method, (iii) Fisher‟s Method.
Commodity Base Year (2011-12) Current Year 2022-23)
Price ( ) Quantity Price ( ) Quantity
p0 q0 P1 q1
A 20 8 40 6
B 50 10 60 5
C 40 5 50 15
D 20 20 20 25