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MB0042- Managerial Economics DRIVE: WINTER 2014 MBA (SEM 1) Q.NO.1. Most of the firms spend considerable amounts of money on advertisement. Explain advertising elasticity of demand and its practical applications in this context. ANS. Explanation of advertising elasticity of demand: Most of the firms, in the present marketing conditions, spend considerable amounts of money on advertisement and other such sales promotional activities with the object of promoting its sales. Advertising elasticity refers to the responsiveness of demand or sales to change in advertising or other promotional expenses. The formula to calculate the advertising elasticity is as follows:

MB0038- Management Process and Organisational Behaviour DRIVE: WINTER 2014 MBA (SEM 2) Q.NO.1. What do you mean by Span of Control? Differentiate between narrow span of control and wide span of control. Describe the factors that influence the span of control.

ANS. Meaning of span of control. The term span of control indicates the number of employees or managers who work under one head. When a very few people report to a head and a chain is made that way upward, then it is called narrow span. Thus in a narrow span, a department may have three or four sections, under each section head, there could be another two or three sub section and under each sub section there could be nine or ten employees. Difference between narrow and wide span of control. Narrow Span Wide Span Advantages Disadvantages Advantages Disadvantages Close Supervision Superior tends to get Forced to delegate Overloaded supervisors too much involved in may become decision the work of the bottlenecks subordinates. Close Control Many levels of Clear policies must be Danger of supervisors management made loss of control Faster Communication High Cost. Subordinates must be Requires high quality Excessive distance carefully selected managers between top and bottom level

MB0040 - STATISTICS FOR MANAGEMENT DRIVE: WINTER 2014 MBA (SEM 1) Q.NO.1. Distinguish between Classification and Tabulation. Explain the structure and components of a Table with an example. ANS. Meaning of Classification and Tabulation: Classification is a process of arranging things or data in groups or classes according to their resemblances and affinities. Tabulation follows classification. It is a logical or systematic listing of related data in rows and columns. The row of a table represents the horizontal arrangement of data and column represents the vertical arrangement of data. The presentation of data in tables should be simple, systematic and unambiguous. Differences between Classification and Tabulation: Classification

Tabulation

It is the basis for tabulation It is the basis for simplification Data is divided into groups and sub-groups on the basis of similarities and dis-similarities

It is the basis for further analysis It is the basis for presentation Data is listed according to a logical sequence of related characteristics

MB0041- FINANCIAL AND MANAGEMENT ACCOUNTING DRIVE: WINTER 2014 MBA (SEM 1) Q.NO.1. Give the classification of Accounts according to accounting equation approach with its meaning and examples. Compare the traditional approach with modern approach of accounting equation approach. Analyze the transaction under traditional approach. a. 20.1.2011 Paid salary Rs. 30,000 b. 20.1.2011 Paid rent by cheque Rs. 8,000 c. 21.1.2011 Goods withdrawn for personal use Rs. 5,000 d. 25.1.2011 Paid an advance to suppliers of goods Rs. 1,00,000 e. 26.1.2011 Received an advance from customers Rs. 3,00,000 f. 31.1.2011 Paid interest on loan Rs. 5,000 g. 31.1.2011 Paid instalment of loan Rs. 25,000 h. 31.1.2011 Interest allowed by bank Rs. 8,000 ANS. Classification of accounts to accounting equation approach with meaning and examples: There are three types of accounts, namely personal accounts, real accounts, and nominal accounts. Personal Account Real Account Nominal Account These are accounts of persons like creditors, debtors, bank account, outstanding or prepaid accounts These are accounts of assets. Asset may be tangible and intangible These are accounts of expenses, losses, incomes, and gains

Personal account : Personal account may be of three types REPRESENTATIVE PERSONAL ACCOUNT

ACCOUNTS OF PERSONS

ARTIFICIAL PERSONAL ACCOUNT

Abhis account Mohans account

ICICI Bank account RD Ltd. account

Outstanding rent account Prepaid rent account

Real account Real accounts may be tangible or intangible. Tangible real accounts relate to things that can be touched, felt, and physically measurable. Building account, furniture account, stock account, cash account, etc. are tangible real accounts. Intangible real accounts are such that they cannot be seen or touched. They can be measured in terms of money such as goodwill, patent rights, etc.

Nominal accounts The examples of nominal accounts are:

Salary, rent, etc (expenses) Loss on sale of assets or investments (losses) Sales, interest earned (incomes) Profit on sale of assets or investments (gains)
Analysis of transaction with accounts involved-nature of account affects and debit/credit. Nature of Account Nominal Real Nominal Personal Personal Nominal Personal Real Real Debit/ Credit Debit Credit Debit Credit Debit Credit Debit Credit Debit

Sl. No. a

Accounts Involved Salary a/c Cash a/c Rent a/c Bank a/c Drawings a/c Purchase a/c Adv to Suppliers a/c Cash a/c Cash a/c

Affects Salary is an expense Cash is going out Rent is an expense Bank is the giver Subramanya is the receiver Decrease is stock Suppliers are the receivers Cash is going out Cash is coming in

Advance from customers a/c f Interest on loans a/c Cash a/c Loan a/c Cash a/c Bank a/c Bank interest a/c

Personal Nominal Real Personal Real Personal Nominal

Customers are givers Interest is expense Cash is going out Lender is the receiver Cash is going out Bank is the receiver Bank interest is an income

Credit Debit Credit Debit Credit Debit Credit

MB0043- International Marketing DRIVE: WINTER 2014 MBA MARKETING (SEM I) Q.NO.1. What do you mean by Human Resource Management? Describe the functions of Human Resource Management. ANS. Definition of Human Resource Management:

Management of human resources is the essence of being a manager who has to get things done through others. And in this activity the manager is supported by the HR professionals who act as the expert providing the right guidance within the framework of the organizations policies and practices. Explaining the functions of Human Resource Management. Planning: It is pre-determined course of action. Planning pertains to formulating strategies of personnel programmes and changes in advance that will contribute to the organizational goals. It involves planning of human resources, requirements, recruitment, selection, training etc. It also involves forecasting of personnel needs, changing values, attitudes and behaviour of employees and their impact on the organization.

MB0044- PRODUCTION AND OPERATION MANAGEMENT DRIVE: WINTER 2014 MBA (SEM 2)

Q.NO.1.

What is value engineering? List the main benefits of value engineering?

ANS.

Value engineering:

Value Engineering (VE) or value analysis is a methodology by which we try to minimise the cost and improve the revenue of a product or an operation. Let us consider a component which needs a round brass rod as raw material of diameter 21.5mm. The component has to perform seven operations: cutting, drilling, chamfering, boring, milling, plating, and polishing.

MB0045- FINANCIAL MANAGEMENT DRIVE : WINTER 2014 MBA (SEM 2) Q.NO.1. Capitalisation of a firm refers to the composition of its long term funds debt and equity. Discuss the theories of capitalization. ANS. Explain each theory of capitalization: Capitalisation of a firm refers to the composition of its long-term funds and its capital structure. It has two components Debt and Equity. Cost theory: Under this theory, the total amount of capitalisation for a new company is the sum of:

Cost of fixed assets Cost of establishing the business Amount of working capital required

MB0046- MARKETINGMANAGEMENT DRIVE : WINTER 2014

MBA (SEM 2) Q.NO.1. Planning is a process of designing the Blueprint for the future. In this context, explain Marketing Planning in detail. ANS. A typical small business marketing plan might include a description of its competitors, the demand for the product or service, and the strengths and weaknesses from a market standpoint of both the business and its competitors. Other elements usually contained in a marketing plan include:

Description of the product or service, including special features Marketing budget, including the advertising and promotional plan Description of the business location, including advantages and disadvantages for marketing Pricing strategy Market segmentation (specializing in specific niche markets or, if mass marketing, how marketing strategy might differ between different segments, such as age groups).

Purpose of a Marketing Plan The purpose of creating a marketing plan is to clearly show what steps will be undertaken to achieve the business' marketing objectives. While some small business owners include their marketing plan as part of their overall business plan, if a business owner follows the recommended SBA format, parts of the marketing plan will be included in the various areas of the business plan.

MB0048- OPERATIONS RESEARCH

DRIVE: SPRING 2014 MBA (SEM 2) Q.NO.1. Discuss the various stages involved in the methodology of Operations Research. Briefly explain the techniques and tools of Operations Research. . ANS. Operations Research Methodology: The first and the most important step in the OR approach of problem solving is to define the problem. One needs to ensure that the problem is identified properly because this problem statement will indicate the following three major aspects:

Description of the goal or the objective of the study Identification of the decision alternative to the system

 Recognition of the limitations, restrictions, and requirements of the system

MB0049- PROJECT MANAGEMENT

DRIVE: SPRING 2014 MBA (SEM 2) Q.NO.1. Write short notes on. ANS. Project break-even point: Break-even is a financial term to describe a business or project where the sales revenue is equal to total expenses.It is easy to calculate it if the expenses incurred are fixed, i.e. expenses do not change as revenue changes. The expenses are divided into fixed and variable expenses. The presence of variable expenses makes it difficult to calculate the break-even point. This is because the variable cost will increase as the number of units sold increases. The answer can be determined by working out the total gross profit of the unit sold to be equal to the total fixed expenses. Need for project planning: The purpose of project planning is to identify various areas of the project work and the influencing factors, and subsequently define the boundaries of the project performance. In addition, scope of the project also needs to be explicitly mentioned in the list project objectives. Further it serves as a guide through its well defined directions to perform the project. Planning is basic to all human activities and requires common sense. It is a trap laid down to capture the future. It helps in bridging the gap between where you are to where you want to be.