Sample Questions free essay sample

Price is below the minimum of average variable cost. b. Fixed costs exceed variable costs. c. Average fixed costs are rising. d. Marginal cost is above average variable cost. 4 In the long run, a profit-maximizing firm will choose to exit a market when a. Fixed costs exceed sunk costs. b. Average fixed cost is rising. c. Revenue from production is less than total costs. d. marginal cost exceeds marginal revenue at the current level of production. 5 When firms have an incentive to exit a competitive market, their exit will a. Drive down market prices. b. Drive down profits of existing firms in the market. . Decrease the quantity of goods supplied in the market. d. All of the above are correct. 6 In a perfectly competitive market, the process of entry or exit ends when a. Firms are operating with excess capacity. b. Firms are making zero economic profit. c. Firms experience decreasing marginal revenue. d. Price is equal to marginal cost. 7 Equilibrium quantities in markets characterized by oligopoly is a. Lower than in monopoly markets and higher than in perfectly competitive markets. b. Lower than in monopoly markets and lower than in perfectly competitive markets. Higher than in monopoly markets and higher than in perfectly competitive markets. d. Higher than in monopoly markets and lower than in perfectly competitive markets. 8 In economics the central problem is: a. b. c. d. e. Allocation. Consumption. Scarcity. Money. Production. c. 9 Indicate below what is NOT a factor of production. a. Land. b. A bank loan. c. Labor. d. Capital. 10 Macroeconomics deals with: a. The behavior of firms. b. Economic aggregates. c. The activities of individual units. d. The behavior of the electronics industry. 11 Microeconomics is not concerned with the behavior of: a. Aggregate demand. . Consumers. c. Industries. d. Firms. 12 The study of inflation is part of: a. Normative economics. b. Macroeconomics. c. Microeconomics. d. Descriptive economics. 13 Aggregate supplies is the total amount: a. Produced by the government. b. Of products produced by a given industry. c. Of labor supplied by all households. d. Of goods and services produced in an economy. 14 The total demand for goods and services in an economy is known as: a. National demand. b. Economy-wide demand. c. Gross national product. d. Aggregate demand. 15 If marginal benefit is greater than marginal cost, a rational choice involves: a. More of the activity. b. Less of the activity. c. No more of the activity. d. More or less, depending on the benefits of other activities. 16 A student chooses to study because the marginal benefit is greater than the ________ cost. a. average b. total c. marginal d. expected 17 Periods of less than full employment correspond to: a. b. c. d. Points outside the production possibility curve. Points inside the production possibility curve. Points on the production possibility curve. Either points inside or outside the production possibility curve. 18 The circular flow of goods and incomes shows the relationship between: a. Income and money. b. Wages and salaries. c. Goods and services. d. Firms and households. 19 In a free market system, the amount of goods and services that any one household gets depends upon its: a. Income. b. Wage and interest income. c. Wealth. d. Income and wealth. 20 In a planned or command economy, all the economic decisions are taken by the: a. Consumers. b. Workers. c. Government. d. Voters. Answers for Multiple Choice Questions 1 (c) 2 (a) 3 (a) 6 (b) 7 (d) 8 (c) 11(a) 12(b) 13(d) 16(c) 17(b) 18(d) 4 (c) 9 (b) 14(d) 19(d) 5 (c) 10 (b) 15(a) 20(c) Chapter-2 PRINCIPLES OF MANAGERIAL ECONOMICS Multiple Choice Questions 1 The word that comes from the Greek word for â€Å"one who manages a household is a. Market. b. Consumer. c. Producer. d. Economy. 2 Economics deals primarily with the concept of a. Scarcity. b. Poverty. c. Change. d. Power. 3 Which of the following is NOT included in the decisions that every society must make? a. what goods will be produced b. who will produce goods c. what determines consumer preferences d. who will consume the goods 4 In a market economy, characterized by Capitalism, there is full interference by the State in the economic activities of consumers and producers. a)True (b) False 5 In a market system of economy, there is no harmony between individual interests and interests of the community. (a)True (b) False 6 Efficiency is the relation between returns and cost. (a)True (b) False 7 The subject matter of macro –economic includes the theory of income and employment at an individual level. (a)True (b) False 8 Rational decision results in†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦for the employees. a. Division of work. b. Centralization. c. Discipline. d. Motivation 9 A Theory Y approach is more suitable where a job offers: a. a high degree of intrinsic satisfaction. b. The ability to exercise initiative. c. An element of problem solving. d. All of the above. 10 Breech identifies four main elements of management. They are planning, control, coordination and: a. The division of work. b. Centralization. c. Discipline. d. Motivation. 11 Many well-known business economists participate in public debates. (a)True (b) False 12 Marginal Utility is the utility derived from the additional unit of a commodity consumed. (a)True (b) False 13 Compared to the static model, the fishing effort in a dynamic model is likely to be a. Larger. b. Smaller. c. Similar. . Larger or smaller. 14 Land, labor, and money are the three categories of economic resources. (a)True (b) False 15 Which of the following is not an interest rate derivative used for interest rate management? Interest rate guarantee a. Floor b. Swap c. Cap d. All of the above are interest rate derivatives 16 An agreement which guarantees an investor a minimum return on a principal amount is called a: a. Cap b. Executive stock option c. Stock option d. Floor 17 Which of the factors listed below is not a reason for decision making in organizations being a complex process? a. Modern information systems enable people to evaluate a range of possible outcomes b. Factors in the current context of the organization affect the decision c. Several stakeholders will have an interest in the decision d. People have to make decisions in a historical context 18 The overall process of decision making in, for example, staff selection includes which of these stages? a. Deciding which candidate to appoint b. Identifying the need for a new member of staff c. Agreeing the job specification d. All of the above 19 A manager who is helping a customer return some shoes they purchased last week is dealing with what type of decision? . Uncertainty b. Non-programmed decision c. Bounded rationality d. Programmed decision 20 Decision making situations can be categorized along a scale which ranges from: a. Uncertainty to certainty to risk b. Certainty to uncertainty to risk c. Certainty to risk to uncertainty d. Certainty to risk to uncertainty to ambiguity Answers for Multiple Choic e Questions 1 (d) 2 (a) 3 (c) 6 (a) 7 (b) 8 (d) 11(a) 12(a) 13(a) 16(d) 17(a) 18(d) 4 (b) 9 (d) 14(b) 19(d) 5 (b) 10 (d) 15(d) 20(d) Chapter-3 CONCEPT OF DEMAND Multiple Choice Questions 1 The quantity demanded of Pepsi has decreased. The best explanation for this is that: a. The price of Pepsi increased. b. Pepsi consumers had an increase in income. c. Pepsis advertising is not as effective as in the past. d. The price of Coca Cola has increased. 2 Demand curves are derived while holding constant: a. Income, tastes, and the price of other goods. b. Tastes and the price of other goods. c. Income and tastes. d. Income, tastes, and the price of the good. 3 When the decrease in the price of one good causes the demand for another good to decrease, the goods are: a. Normal b. Inferior c. Substitutes d. Complements 4 Suppose the demand for good Z goes up when the price of good Y goes down. We can say that goods Z and Y are: a. Substitutes. b. Complements. c. Unrelated goods. d. Perfect substitutes. 5 If the demand for coffee decreases as income decreases, coffee is: a. An inferior good. b. A normal good. c. A complementary good. d. A substitute good. 6 Which of the following will NOT cause a shift in the demand curve for compact discs? a. A change in the price of pre-recorded cassette tapes. b. A change in income. c. A change in the price of compact discs. d. A change in wealth. When excess demand occurs in an unregulated market, there is a tendency for: a. Quantity supplied to decrease. b. Quantity demanded to increase. c. Price to rise. d. Price to fall. 8 Market equilibrium exists when _____________ at the prevailing price. a. b. c. d. quantity demanded is less than quantity supplied quantity supplied is greater than quantity demanded quantity demanded equals quantity supplied qu antity demanded is greater than quantity supplied 9 A movement along the demand curve to the left may be caused by: a. A decrease in supply. b. A rise in the price of inputs. c. A fall in the number of substitute goods. d. A rise in income. 10 The quantity demanded of a product rises whenever (a) The product’s price falls. (b) Incomes increase. (c) Population increases. (d) The prices of substitute goods rise. (e) Consumer tastes and preferences change. 11 The equilibrium quantity must fall when (a) There is a decrease in demand. (b) There is a decrease in supply. (c) There is an increase in price. (d) There is an increase in demand and supply. (e) There is a decrease in demand and supply 12 The demand curve will shift to the left for most consumer goods when (a) Incomes decrease. b) The prices of substitutes fall. (c) The prices of complements increase (d) All of the above. 13 Producer goods, also called intermediate goods, in economics, goods manufactured and used in further manufacturing, processing, or resale. (a)True (b) False 14 Consumer goods are alternately called final goods, and the second term makes more sense in understanding the concept. (a)True (b) False 15 GDP stands for a. Gross Domestic Product b. Gross Deistic Product c. Gross dynamic product d. All of these 16 GNP stands for a. Gross national product b. Gross natural product c. Both (a)and (b) d. None of these 17 When the demand for a product is tied to the purchase of some parent product, its demand is called induced or derived. (a)True (b) False 18 An industry is the aggregate of firms (a)True (b) False 19 The law of demand implies that: a. As prices fall, quantity demanded increases. b. As prices rise, quantity demanded increases. c. As prices fall, demand increases. d. As prices rise, demand decreases. 20 When the market operates without interference, price increases will distribute what is available to those who are willing and able to pay the most. This process is known as: a. Price rationing. . Price fixing. c. Quantity adjustment. d. Quantity setting Answers for Self Assessment Questions 1 (a) 2 (d) 3 (c) 6 (c) 7 (c) 8 (c) 11(d) 12(d) 13(a) 16(a) 17(a) 18(a) 4 (b) 9 (a) 14(a) 19(a) 5 (b) 10 (a) 15(a) 20(a) Chapter-4 DETERMINATION OF DEMAND 1 The demand for a product or a service depends on a host of factors. (a)True (b) False 2 Demand curves may also be shifted by cha nges in expectations. (a)True (b) False 3 Quantity demand is a specific quantity that buyers are willing and able to buy at a specific demand price. (a)True (b) False 4 If the price of a complement increases, all else equal, a. Quantity demanded will increase. b. Quantity supplied will increase. c. Demand will increase. d. Demand will decrease. 5 Which of the following would lead to an INCREASE in the demand for golf balls? a. An decrease in the price of golf balls. b. An increase in the price of golf clubs. c. A decrease in the cost of producing golf balls. d. An increase in average household income when golf balls are a normal good. 6 If input prices increase, all else equal, a. Quantity supplied will decrease. b. Supply will increase. c. Supply will decrease. d. Demand will decrease. 7 Which of the following would decrease the supply of wheat? . A decrease in the price of pesticides. b. An increase in the demand for wheat. c. A rise in the price of wheat. d. An increase in the price of corn. 8 When Sonoma Vineyards increases the price of its Chardonnay from $15 per bottle to $20 per bottle, the result is a decrease in†¦ a. The quantity of this wine demanded. b. The quantity of this wine supplied. c. The demand for this wine. d. The supply of this wine. 9 Which of the following will cause a change in quantity supplied? a. Technological change. b. A change in input prices. c. A change in the market price of the good. d. A change in the number of firms in the market. 0 In which of the following cases will the effect on equilibrium output be indeterminate (i. e. , depend on the magnitudes of the shifts in supply and demand)? a. Demand decreases and supply decreases. b. Demand remains constant and supply increases. c. Demand decreases and supply increases. d. Demand increases and supply increases. 11 An increase in the number of firms selling pizza will cause, ceteris paribus, (a) an increase in supply. (b) an increase in demand. (c) a decrease in quantity demanded. (d) a decrease in the quantity supplied. 12 A change in demand is a change in the ENTIRE demand relation. a)True (b) False 13 The demand for a given product will rise if: a. Incomes rise for a normal good or fall for an inferior good b. The price of a complement falls c. The price of a substitute rises d. All of these 14 Two explanations for the law of demand are (a) Price and quantity effects. (b) Substitution and income effects. (c) Opportunity cost and substitution effects. (d) Substitutes and inferior goods. (e) None of the above. 15 An increase in demand, ceteris paribus, will usually cause (a) A decrease in quantity demanded. (b) an increase in quantity supplied. (c) an increase in supply. d) a higher quantity and a lower price. 16. The quantity demanded of a product rises whenever (a) the product’s price falls. (b) incomes increase. (c) population increases. (d) the prices of substitute goods rise 17 The demand curve is downward-sloping because at a higher price for a good (ceteris paribus) (a) people buy fewer substitutes. (b) people buy more complements. (c) people search for substitutes. (d) income rises. (e) substitutes become complements. 18 The supply curve is upward-sloping be cause at higher prices for a good (a) consumers search out more substitutes. (b) consumer income increases. c) demand is lower. (d) None of the above. 19 If the factors held constant along a supply or demand curve change, (a) the equilibrium may change. (b) the demand and supply equilibrium may be disrupted. (c) the supply or demand curve may shift. (d) All of the above. 20 If the price of crackers goes up when the price of cheese goes down, crackers and cheese are (a) inferior goods. (b) substitutes. (c) both substitutes and complements. (d) complements Answers for Self Assessment Questions 1 (a) 2 (a) 3 (a) 6 (c) 7 (d) 8 (a) 11(a) 12(a) 13(d) 16(a) 17(c) 18(d) 4 (d) 9 (c) 14(b) 19(a) 5 (d) 10 (c) 15(b) 20(d) Chapter-5 PRICE ELASTICITY OF DEMAND 1 If the price elasticity of demand for a good is . 75, the demand for the good can be described as: a. normal b. elastic c. inferior d. inelastic. 2. When the price of a product is increased 10 percent, the quantity demanded decreases 15 percent. In this range of prices, demand for this product is: a. elastic b. inelastic c. cross-elastic. d. unitary elastic. 3. If the price elasticity of demand for a product is equal to 0. 5, then a 10 percent decrease in price will: a. increase quantity demanded by 5 percent. b. increase quantity demanded by 0. percent. c. decrease quantity demanded by 5 percent. d. decrease quantity demanded by 0. 5 percent. 4 If an increase in the supply of a product results in a decrease in the price, but no change in the actual quantity of the product exchanged, then: a. the price elasticity of supply is zero. b. the price elasticity of supply is infinite. c. the price elasticity of demand is unitary. d. the price elasticit y of demand is zero. 5. If 100 units of product K are sold at a unit price of $10 and 75 units of product K are sold at a unit price of $15, one can conclude that in this price range: a. emand for product K is elastic. b. demand for product K is inelastic. c. demand for product K has shifted to the right. d. consumers are sensitive to price changes of product K. 6 Total revenue falls as the price of a good increases if price ela sticity of demand is: a. elastic. b. inelastic c. unitary elastic d. perfectly elastic. 7 The demand for Cheerios cereal is more price-elastic than the demand for cereals as a whole. This is best explained by the fact that: a. Cheerios are a luxury. b. cereals are a necessity. c. there are more substitutes for Cheerios than for cereals as a whole. d. onsumption of cereals as a whole is greater than consumption of Cheerios. 8 What is the most likely effect of the development of television, videocassette players, and rental movies on the movie theater industry ? a. b. c. d. decreased costs of producing movies increased demand for movie theater tickets movie theater tickets become an inferior good increased price elasticity of demand for movie theater tickets 9 The price elasticity of demand will increase with the length of the period to which the demand curve pertains because: a. consumers incomes will increase. b. the demand curve will shift outward. . all prices will increase over time. d. consumers will be better able to find substitutes. 10. A state government wants to increase the taxes on cigarettes to increase tax revenue. (a)True (b) False 11 This tax would only be effective in raising new tax revenues if the price elasticity of demand is: a. unity b. elastic c. inelastic d. perfectly elastic. 12. Sony is considering a 10 percent price reduction on its color television sets. If the demand for sets in this price range is inelastic: A) revenues from color sets will remain constant. B) revenues derived from color sets will decrease. C) revenues derived from color sets will increase. D) the number of television sets sold will decrease 13 Elasticity of demand for a commodity with respect to change in its price. (a)True (b) False 14 An elasticity alternative in which infinitesimally small changes in price cause infinitely large changes in quantity. (a)True (b) False 15 Three factors that affect the numerical value of the price elasticity of demand are the a. b. c. d. availability of substitutes time period of analysis proportion of budget All of these 16 The price elasticity of demand is one of four common elasticity’s used in the analysis of the market. a)True (b) False 17 Cross elasticity of demand is: a. negative for complementary goods b. unitary for inferior goods. c. negative for substitute goods d. positive for inferior goods. 18. A positive cross elasticity of demand coefficient indicates that: a. a product is an inferior good. b. a product is a normal good. c. two products are substitute goods. d. t wo products are complementary goods. 19 A market without legal prices is in equilibrium when: a. quantity demanded equals price. b. the demand curve remains constant. c. quantity demanded equals quantity supplied. d. uantity demanded is greater than quantity supplied. 20 A relatively small change, say 1% on an INR 100,000 house, can make a BIG difference in the buyer’s decision to buy. (a)True (b) False Answers for Self Assessment Questions 1 (d) 2 (a) 3 (a) 4 (d) 5 (a) 6 (a) 7 (c) 8 (d) 9 (d) 10 (a) 11(d) 12(c) 13(a) 14(a) 15(d) 16(a) 17(a) 18(c) 19(c) 20(a) Chapter-6 TYPES OF ELASTICITIES OF DEMAND 1 If it is observed that, in a particular market, price has risen and quantity exchanged has increased, it is likely that: a. supply has increased. b. supply has decreased. c. demand has increased. d. emand has decreased. 2 The quantity of a good demanded rises from 1000 to 1500 units when the price falls from $1. 50 to $1. 00 per unit. The price elasticity of demand for this pro duct is approximately: a. 1. 0 b. 16 c. 2. 5 d. 4. 0 3 If the elasticity of demand for a commodity is estimated to be 1. 5, then a decrease in price from $2. 10 to $1. 90 would be expected to increase daily sales by: a. 50% b. 1. 5% c. 5% d. 15% 4 A long-run demand curve, as compared to a short-run demand curve for the same commodity, is generally: a. more elastic b. less elastic c. of the same elasticity d. none of the above. The price elasticity of demand is 5. 0 if a 10 percent increase in the price results in a a. 2%decrease in quantity demanded. b. 5%decrease in quantity demanded. c. 10% decrease in quantity demanded d. 50% decrease in quantity demanded. 6 Demand for a good will likely be more elastic, a. The higher the level of income. b. The larger the proportion of monthly income spent on it. c. The fewer the good substitutes available. d. The higher the price of complementary goods. 7 Demand will be more elastic, a. The higher the income. b. The lower the price. c. The shor ter the passage of time after a permanent price increase. . The more substitutes available for the good. 8 The price elasticity of demand measures the sensitivity of demand to price changes. (a)True (b) False 9 If a good has no close substitutes and is regarded as a necessity by many consumers, then demand for the good will be quite elastic. (a)True (b) False 10 Cross elasticity of demand is the ratio of the percentage change in demand for a good to the percentage change in price for another. (a)True (b) False 11 A 50 percent increase in price that results in a 90 percent decrease in the quantity demanded indicates that demand is elastic in this price range. a)True (b)False 12 Demands for most goods tend to become more elastic with the passage of time. (a)True (b) False 13 If two goods are substitutes, then an increase in the price of one good will leads to an increase in the demand for the other good. (a)True (b) False 14 If two goods are complements, then a decrease in the price o f one good will results in a decrease in the demand of the other good. (a)True (b) False 15 The price elasticity of demand is the same as the slope of the demand curve. (a)True (b) False 16 If demand is price elastic, then: a. a rise in price will raise total revenue. b. a fall in price will raise total revenue. . a fall in price will lower the quantity demanded. d. a rise in price wont have any effect on total revenues. 17 Complementary goods have: a. The same elasticity’s of demand. b. very low price elasticity of demand. c. negative cross price elasticity of demand with respect to each other. d. positive income elasticity of demand. 18 The price elasticity of demand generally tends to be: a. smaller in the long run than in the short run. b. smaller in the short run than in the long run. c. larger in the short run than in the long run. d. unrelated to the length of time. 19 If the price elasticity of supply of doodads is 0. 0 and the price increases by 3 percent, then the q uantity supplied of doodads will rise by a. 0. 60 percent. b. 0. 20 percent c. 1. 8 percent d. 18 percent. 20 If the cross-price elasticity between two commodities is 1. 5, a. The two goods are luxury goods. b. The two goods are complements. c. The two goods are substitutes. d. The two goods are normal goods. Answers for Self Assessment Questions 1 (c) 2 (a) 3 (d) 6 (b) 7 (d) 8 (a) 11(a) 12(a) 13(a) 16(b) 17(c) 18(b) 4 (a) 9 (b) 14(b) 19(c) 5 (d) 10 (a) 15(b) 20(c) Chapter-7 SUPPLY ANALYSIS 1 The cost of factor inputs like land, labor, and capital has a major influence on supply. a)True (b) False 2 Which of the following factors will make the demand for a product more elastic? (Assume the product has a straight-line, downward sloping demand. ) a. The product has no close substitutes. b. A very small proportion of income is spent on the good. c. A long time period has elapsed since the product’s price changed. d. A lower price 3 For a given normal supply curve, the amount of a tax paid by the buyer will be larger a. the more elastic the demand. b. the more inelastic the demand. c. the income elasticity is equal to zero d. when the price is high. With a perfectly elastic demand and a normal supply (upward-slopping) a. consumers will bear the entire tax burden. b. consumers will not bear any tax burden. c. consumers and producer will split the tax burden in half. d. producers will not bear any tax burden. 5 Which of the following leads to the producers paying all of a tax? a. The supply is perfectly elastic. b. The supply is perfectly inelastic. c. The demand is unit elastic. d. The demand is perfectly inelastic. 6 The incidence (split) of sales tax is determined by the a. level of government which imposes the tax. b. federal government in all cases. c. greed of the seller. d. rice elasticity of supply and demand. 7 The market supply curve is the horizontal sum of the individual supply curve. (a)True (b) False 8 Supply determinants are five ceteris paribus factors that are held constant when a supply curve is constructed. (a)True (b) False 9 Supply is the willingness and ability of producers to make a specific quantity of output available to consumers at a particular price over a given period of time. (a)True (b) False 10 Individuals supply factors of production to firms. (a)True (b) False 11 The supply curve for tomatoes is not thus more elastic in the short run than in the momentary period. (a)True (b)False 2 Macroeconomic studies are based on empirical evidence. (a)True (b)False 13 Demand curve slopes upwards from left to right. (a) True (b)False 14 In the market, anyone who agrees to pay the requisite price of a product would be excluded from their consumption. (a) True (b)False 15 Aglets are the metal or plastic tips on shoelaces that make it easier to lace your shoes. The demand for aglets is probably a. perfectly elastic. b. inelastic. c. elastic but not perfectly elastic. d. unit elastic. 16 The cross elasticity of demand mea sures the responsiveness of the quantity demanded of a particular good to changes in the prices of a. Its complements but not its substitutes. b. its substitutes but not its complements. c. its substitutes and its complements d. neither its substitutes nor its complements. 17 If goods are complements, definitely their a. income elasticity’s are negative b. income elasticity’s are positive. c. cross elasticity’s are positive. d. cross elasticity’s are negative. 18 If a rise in the price of good 1 decreases the quantity of good 2 demanded, a. the cross elasticity of demand is negative b. good 1 is an inferior good. c. good 2 is an inferior good d. the cross elasticity of demand is positive. 9 The price elasticity of demand generally tends to be: a. smaller in the long run than in the short run. b. smaller in the short run than in the long run. c. larger in the short run than in the long run. d. unrelated to the length of time. 20 The demand for your services becomes more elastic. (a)True (b)False Answers for Self Assessment Questions 1 (a) 2 (c) 3 (b) 6 (d) 7 (a) 8 (a) 11(b) 12(a) 13(b) 16(c) 17(d) 18(a) 4 (b) 9 (a) 14(b) 19(b) 5 (b) 10 (a) 15(b) 20(a) Chapter-8 PRODUCTION DECISION 1 Which of the following functions is not a core function of an organisation? a. The product/service development function b. The operations function c. The accounting and finance function d. The marketing (including sales) function 2 Most operations produce a mixture of both products and services. Which of the following businesses is closest to producing â€Å"pure† services? a. IT company b. A Restaurant c. Counsellor/therapist d. Steel company 3 Operations can be classified according to their volume and variety of production as well as the degree of variation and visibility. Which of the following operations would be classified as high volume, low variety? a. A family doctor b. A carpenter c. A front office bank d. A fast food restaurant 4 Which of the following activities is not a direct responsibility of operations management? a. Designing the operation’s products, services and processes b. Planning and controlling the operation c. Developing an operations strategy for the operation d. Determining the exact mix of products and services that customers will want 5 Operations can be classified according to the degree of variation in demand and visibility of the operation as well as their volume and variety of production. Which of the following operations would be classified as high variation and high visibility? a. A front office bank b. A family doctor c. A fast food restaurant d. A carpenter 6 The production function incorporates the technically efficient method of †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. a. production. b. process c. function d. All of these 7 A fixed input is one whose quantity cannot be varied during the time under consideration. (a)True (b)False 8 Economists find it convenient to distinguish between the †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. and the long run. a. short run b. large run c. big run d. None of these 9 The law of variable proportions states that as the quantity of one factor is increased, keeping the other factors fixed, the marginal product of that factor will eventually decline. a)True (b)False 10 MRP stands for a. Marginal Revenue Product b. Marginal Revenue process c. Both (a) and (b) d. None of these 11 The book value of old equipment is not a relevant cost in a decision. (a)True (b)False 12. One of the dangers of allocating common fixed costs to a product line is that such allocations can make the line appear less profitable than it really is. (a)True (b)False 13. A differential cost is a variable cost. (a)True (b)False 14. All future costs are relevant in decision making. (a)True (b)False 15. Variable costs are always relevant costs. (a)True (b)False 6 Only the variable costs identified with a product are relevant in a decision concerning whether to eliminate the product. (a)True (b)False 17 Managers should pay little attention to bottleneck operations because they have limited capacity for producing output. (a)True (b)False 18 A cost that does not affect a decision is called an a. opportunity cost b. incremental cost c. avoidable cost d. irrelevant cost 19. Costs that change between alternatives are called a. fixed costs. b. opportunity costs. c. crelevant costs. d. sunk costs. 20. A cost incurred in the past that cannot be changed by any future action is a(n) a. pportunity cost b. sunk cost c. relevant cost d. avoidable cost Answers for Self Assessment Questions 1 (c) 2 ( c) 3 (d) 6 (a) 7 (a) 8 (a) 11(a) 12(a) 13(b) 16(b) 17(b) 18(d) 4 (d) 9 (a) 14(b) 19(c) 5 (b) 10 (a) 15(b) 20(b) Chapter-9 ISOQUANT AND PRODUCTION FUNCTION 1 Economists typically assume that the owners of firms wish to a. produce efficiently. b. maximize sales revenues. c. maximize profits. d. All of these. 2 Efficient production occurs if a firm a. cannot produce its current level of output with fewer inputs. b. given the quantity of inputs, cannot produce more output. c. maximizes profit. d. All of the above. Limited liability is a benefit to a. sole proprietorships. b. partnerships. c. corporations. d. all of the above. 4 Which of the following statements best describes a production function? a. the maximum profit generated from given levels of inputs b. the maximum level of output generated from given levels of inputs c. all levels of output that can be generated from given levels of inputs d. all levels of inputs that could produce a given level of output 5 With respect to produ ction, the short run is best defined as a time period a. lasting about six months. b. lasting about two years. c. in which all inputs are fixed. d. n which at least one input is fixed. 6 In the long run, all factors of production are a. variable. b. fixed. c. materials. d. rented. 7 The short-run production functions for Albert’s Pretzels. The marginal productivity of labor equals the average productivity of labor a. for all levels of labor. b. at none of the levels of labor. c. only for the first worker. d. only for the fifth worker. 8 the short-run production function for Albert’s Pretzels. The law of diminishing marginal productivity a. appears with the second worker. b. has not yet appeared for any of the levels of labor. c. first appears with the fifth worker. d. s refuted by this evidence. 9 If the average productivity of labor equals the marginal productivity of labor, then a. the average productivity of labor is at a maximum. b. the marginal productivity of lab or is at a maximum. c. Both A and B above. d. Neither A nor B above. 10 Average productivity will fall as long as a. marginal productivity is falling. b. it exceeds marginal productivity. c. it is less than marginal productivity. d. the number of workers is increasing. 11 Factors of production are a) inputs and outputs. b) outputs only c) inputs only d) the minimum set of inputs that can produce a certain fixed quantity of output. 2 The set of all pairs (z1, z2) of inputs that yield the output y is the y-is quant. (a)True (b)False 13 L-shaped isoquants imply that production requires that the inputs are perfect substitutes. a. are imperfect substitutes. b. cannot be used together. c. must be used together in a certain proportion. d. None of these 14 Isoquants that are downward-sloping straight lines imply that the inputs a. are perfect substitutes. b. are imperfect substitutes. c. cannot be used together. d. must be used together in a certain proportion. 15 Isoquants that are downwar d-sloping straight lines exhibit a. n increasing marginal rate of technical substitution. b. a decreasing marginal rate of technical substitution. c. a constant marginal rate of technical substitution. d. a marginal rate of technical substitution that cannot be determined. 16 The profit maximization firm will choose the least cost combination of factors to produce at any given level of output. (a)True (b) False 17 The production function is useful in deciding on the additional value of employing a variable input in the production process. (a)True (b) False 18 The additional use of an input factor should be stopped when its marginal revenue productivity just equals its price. a)True (b) False 19 The least cost combination of-factors or producer’s equilibrium is now explained with the help of †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. curves and iso costs. a. iso product b. iso process c. Both(a) and (b) d. None of these 20 MRTS stands for†¦Ã¢â‚¬ ¦.. a. Marginal rate of technical stru cture b. Marginal rate of technical substitution c. Both(a) and (b) d. None of these Answers for Self Assessment Questions 1 (d) 2 (d) 3 (c) 6 (a) 7 (c) 8 (a) 11(c) 12(a) 13(c) 16(a) 17(a) 18(a) 4 (b) 9 (a) 14(a) 19(a) 5 (d) 10 (b) 15(c) 20(b) Chapter-10 THEORY OF COST 1 The cost of capital is critically important in finance. a)True (b)False An implicit cost is a. the cost of giving up an alternative b. the cost of a chosen alternative c. calculated by subtracting the monetary cost. d. none of the above 3 The historical cost of an asset refers to the actual cost incurred at the time the asset was acquired. (a)True (b) False 4 An Explicit cost is a business expense accounted cost that can be easily identified such as wage, rent and materials. (a)True (b) False 5 Private is the cost that has to be paid by an individual who is directly involved in the production or consumption of a particular good. a)True (b) False 6 Social cost or external cost is not the cost burden carried by indivi duals who are not directly involved in the production or consumption of that particular good (a)True (b) False 7 Average cost is the sum total of Average variable it and average fixed cost. (a)True (b) False 8 Cost-output relationship facilitates many managerial relationships such as: a. Formulating the standards of operations. b. Formulating the rational policy on plant size. c. Formulating a policy of profit prediction. d. All of these 9 Cost in the short-run can be classified into†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦and variable cost. a. fixed cost b. sset c. both (a) and (b) d. None of these 10 Total fixed costs remained fixed irrespective of increase or decrease in production of activity. (a)True (b) False 11 Marginal costs is the change in total cost resulting from unit change in†¦Ã¢â‚¬ ¦.. a. output b. input c. both(a) and (b) d. None of these 12 The †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. implies that the cost of production continues to be low till the firm reaches the optimum scale (Marginal cost = Av erage cost). a. V-shape b. Q-shape c. U-shape d. All of these 13 Scale economies and returns to scale generally produce a U-shaped long-run average cost curve, such as the one displayed to the right. a) True (b) False 14 __________ is concerned with the branch of economics relating the behavior of principals and their agents. a. Financial management b. Profit maximization c. Agency theory d. Social responsibility 15 A concept that implies that the firm should consider issues such as protecting the consumer, paying fair wages, maintaining fair hiring practices, supporting education, and considering environmental issues. a. Financial management b. Profit maximization c. Agency theory d. Social responsibility 16 Which of the following is not normally a responsibility of the treasurer of the modern corporation but rather the controller? . Budgets and forecasts b. Asset management c. Investment management d. Financing management 17 The __________ decision involves determining the appropr iate make-up of the righthand side of the balance sheet. a. asset management b. financing c. investment d. capital budgeting 18 A long-run is also expressed as a series of short-runs. (a)True (b)False 19 Which of the following are used in calculating opportunity costs? a. monetary costs b. the cost of time c. preference d. all of the above 20 An explicit cost is a. the cost of giving up an alternative b. the cost of a chosen alternative c. alculated by subtracting the monetary cost of an alternative by the time invested d. none of the above Answers for Self Assessment Questions 1 (a) 2 (a) 3 (a) 6 (b) 7 (a) 8 (d) 11(a) 12(c) 13(a) 16(a) 17(b) 18(a) 4 (a) 9 (a) 14(c) 19(d) 5 (a) 10 (a) 15(d) 20(b) Chapter-11 MARKET STRUCTURE, AND PRICING 1 Which of the following cannot be classed as a market structure? a. Oligopoly. b. Perfect competition. c. Communism. d. Monopolistic competition. 2 Income and population are two variables that can be used in ______ segmentation: a. psychographic b. demographic c. lifestyle d. behavioural 3 Strong exchange rates can: a. help stimate consumer purchasing power. b. help predict change in lifestyle across Europe. c. predict the evolution of sales for particular brands. d. drive imports to become cheaper. 4 BERI stands for: a. Business Economic Risk Index. b. Business Economic Rating International. c. Business Education Rating Indicator. d. Business Environment Risk Index. 5 The size and liquidity requirements are based on the minimum invest ability requirements for the MSCI Global Standard Indices. (a) True (b) False 6 Oligopoly is a market structure in which a small number of firms account for the whole industry’s output. (a) True (b) False The number of firms and product differentiation are extremely crucial in determining the nature of competition in a market. (a) True (b) False 8 type of market structure represented by the constant returns to scale (CRS) technology includes a. Monopolistic competition b. Oligopoly c. Duo poly d. Perfect competition 9 In industries in which there are scale economies, the variety of goods that a country can produce is constrained by a. the fixed cost b. the size of the labor force c. the marginal cost d. the size of the market 10 A monopoly firm engaged in international trade but enjoying a protected home market will a. quate marginal costs with foreign marginal revenues. b. equate marginal costs with marginal revenues in both domestic and foreign markets c. equate average costs in local and foreign markets d. none of the above 11 Minimum efficient scale of production in relation to the overall industry output and market requirement sometimes play a major role in shaping the market structure. (a)True (b) False 12 Price and output decisions of firms that want to maximize profits always depend on costs. (a) True (b) False 13 Which of the following is NOT a financial objective of pricing? a. Corporate growth. b. Return on investment. c. Profit maximization. d. None of these 14 Which of the following is NOT a marketing objective? a. Cash flow. b. Positioning. c. Volume sales. d. None of these 15 Setting a price below that of the competition is called: a. Skimming. b. Penetration pricing. c. Competitive pricing. d. None of these 16 Which of the following is NOT a reason for cutting prices? a. Capacity utilisation. b. Increasing profit margins. c. Market defence. d. None of these 17 Which of the following is NOT a reason for increasing prices? a. Cost pressures. b. Price comparison. c. Curbing demand. d. None of these 18 The costs that depend on output in the short run are: a. both total variable costs and total costs. b. total costs only. c. total fixed cost only. d. total variable costs only 19 A firm will shut down in the short run if: a. fixed costs exceed revenues. b. total costs exceed revenues. c. it is suffering a loss. d. variable costs exceed revenues. 20 In the long run, every cost is variable cost. In this period, all costs ever incurred by the firm must be recovered. (a)True (b) False Answers for Self Assessment Questions 1 (c) 2 (b) 3 (d) 6 (a) 7 (a) 8 (d) 11(a) 12(a) 13(a) 16(b) 17(b) 18(a) (d) 9 (d) 14(a) 19(d) 5 (a) 10 (b) 15(b) 20(a) Chapter-12 PERFECT COMPETITION 1. A perfectly competitive firm will maximize profit at the quantity at which the firms marginal revenue equals a. price b. average revenue c. total cost d. marginal cost 2 Which of the following is not a valid option for a perfectly competitive firm? a. Increasing its output. b. Decreasing its output. c. Increasing its price. d. Increasing its resources. 3 In the long run, a perfectly competitive firm will achieve all but which of the following: a. Economic profit b. Allocative Efficiency c. Productive Efficiency d. Normal profit 4 If the price a firm receives for its product is equal to the marginal cost of producing that product, the firm is: a. Always earning an economic profit b. Always productively efficient. c. Always allocatively efficient. d. Always experiencing an economic loss. 5 A firm that is producing at the lowest possible average cost is always: a. Earning an economic profit. b. Productively efficient. c. Dominating the other firms in the market. d. Not producing enough output. 6 Which of the following is the best example of a perfectly competitive market? a. diamonds b. athletic shoes c. soft drinks d. arming 7 Perfect competition is an industry with a. a few firms producing identical goods. b. many firms producing goods that differ somewhat. c. a few firms producing goods that differ somewhat in quality. d. many firms producing identical goods. 8 In a perfectly competitive industry, there are a. many buyers and many sellers. b. many sellers, but there might be only one or two bu yers. c. many buyers, but there might be only one or two sellers. d. one firm that sets the price for the others to follow. 9 In perfect competition, the product of a single firm a. is sold to different customers at different prices. b. as many perfect complements produced by other firms. c. has many perfect substitutes produced by other firms. d. is sold under many differing brand names. 10 In perfect competition, restrictions on entry into an industry a. do not exist. b. apply to labor but not to capital. c. apply to both capital and labor. d. apply to capital but not to labor. 11 Price for a firm under monopolistic competition is ______. a. equal to marginal revenue b. greater than marginal revenue c. less than marginal revenue d. greater than total revenue 12 In the long run, monopolistically competitive firms tend to experience ______. a. high economic profits b. ero economic profits c. negative economic profits d. substantial economic losses 13 Marginal revenue for a monopolis t is ______ a. equal to price b. greater than price c. less than price d. equal to average revenue 14 Perfect competitions describes a market structure whose assumptions are extremely strong and highly unlikely to exist in most real-time and real-world markets. (a)True (b) False 15 Monopolistic competition is a market structure characterized by a large number of relatively small firms. (a)True (b) False 16 A monopolist can sell more of his output only at a lower price and can reduce the sale at a high price. a)True (b) False 17 A monopoly is a market structure in which there is not only one producer/seller for a product. (a)True (b) False 18 A perfectly competitive firm produces the profit-maximizing quantity of output that equates marginal revenue and marginal cost. (a)True (b) False 19 A perfectly competitive firm faces †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. production alternatives based on a comparison of price, average total cost, and average variable cost. a. four short-run b. three short-run c. five short-run d. All of these 20 A perfectly competitive firm’s marginal cost curve that lies above the †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. of the average variable cost curve is its supply curve. . minimum b. maximum c. both(a) and (b) d. None of these Answers for Self Assessment Questions 1 (d) 2 (c) 3 (a) 6 (d) 7 (d) 8 (a) 11(a) 12(b) 13(a) 16(b) 17(b) 18(a) 4 (c) 9 (c) 14(a) 19(b) 5 (b) 10 (a) 15(a) 20(a) Chapter-13 OLIGOPOLY AND PRICING STRATEGIES 1 A price- and quantity-fixing agreement is known as: a. game theory. b. price leadership. c. collusion. d. price concentration. 2 A group of firms that gets together to make price and output decisions is called: a. a cartel. b. price leadership. c. an oligopoly. d. a concentrated industry 3 Products produced by oligopolistic ? rms are: a. Homogeneous. b. Heterogeneous. . Differentiated. d. Heterogeneous or differentiated. 3 Oligopoly is the only market structure characterized by: a. Interdependence in pricing and output decisions. b. Differentiated products. c. Barriers to entry. d. Pro? t-maximizing behavior. 4 Oligopoly is characterized by all of the following except: a. A few large ? rms. b. Differentiated product. c. Difficult entry into the industry. d. Price competition 5 A major threat to longer term profits exists when barriers to entry into an industry are high. (a)True (b) False 6 Under kinked demand theory the prices of oligopolists are predicted to be rather rigid or sticky. a)True (b) False 7 In contestable markets, large oligopolistic firms end up behaving like: a. a monopoly. b. monopolistically competitive firms. c. a cartel. d. perfectly competitive firms 8 Which of the following types of oligopoly competition would you expect to result in the highest market output, other things equal? a. b. c. d. Stackelberg. Bertrand. Cornet. Collusion 9 The demand curve has a kink at the price which is equal to full cost price. (a) True (b) False 10. An pro? t maximizing, oligopolistic firms produces at an ou tput level where: a. P = ATC. b. MR = MC. c. MR = ATC. d. AVC gt; MR. e. P = MR 11 Cartels are most likely to arise in which of the following market structures? a. Perfect competition. b. Monopolistic Competition. c. Oligopoly. d. Monopoly. 12 A cartel is a formal collusive organization of the oligopoly firms in an industry. (a) True (b) False 13 Needs such as training the group, setting standards and maintaining discipline, and appointing sub-leaders may be called: a. team functions. b. work functions. c. individual functions. d. task functions. 14 The Hall and flitch model of the kinked demand curve is based on an empirical survey of a sample of 38 well managed arms in England. a) True (b) False 15 The model uses the analytical tools of reaction functions of the duopolists derived on the basis of is not profit curves. (a) True (b) False 16 The important models of non-collusive oligopoly are: (a) Cournot model, (b) Kinked Oligopoly demand curve models. (a) True (b) False 17 Which of the following is not an operations strategy? a. response b. low-cost lea dership c. differentiation d. technology 18 Which of the following is not one of the leadership styles identified in House’s pathgoal theory? a. Participative. b. Employee-centered. c. Directive. d. Achievement-oriented. 9 The petroleum industry is an example of a. monopolistic competition. b. pure oligopoly. c. duopoly. d. differentiated oligopoly. 20 The kinked demand curve model assumes that a. firms match price increases, but not price cuts. b. demand is more elastic for price cuts than for price increases. c. changes in marginal cost can never lead to changes in market price. d. None of the above is correct. Answers for Self Assessment Questions 1 (c) 2 (a) 3 (d) 6 (b) 7 (a) 8 (b) 11(b) 12(c) 13(a) 16(a) 17(d) 18(b) 4 (a) 9 (b) 14(a) 19(b) 5 (d) 10 (a) 15(b) 20(d) Chapter-14 PROFIT ANALYSIS 1. A variable cost is a cost that a. varies per unit at every level of activity b. occurs at various times during the year c. varies in total in proportion to changes in the level of activity d. may not be incurred, depending on managements discretion 2. A cost which remains constant per unit at various levels of activity is a a. variable cost b. fixed cost c. mixed cost d. manufacturing cost 3. A fixed cost is a cost which a. varies in total with changes in the level of activity b. remains constant per unit with changes in the level of activity c. varies inversely in total with changes in the level of activity d. emains constant in total with changes in the level of activity 4. Cost behavior analysis is a study of how a firms costs a. relate to competitors costs b. relate to general price level changes c. respond to changes in activity levels within the company d. respond to changes in the gross national product 5. Cost behavior analysis applies to a. retailers b. wholesalers c. manufa cturers d. all entities 6. The relevant range of activity refers to the a. geographical areas where the company plans to operate b. activity level where all costs are curvilinear c. levels of activity over which the company expects to operate d. evel of activity where all costs are constant 7. Which of the following is not a plausible explanation of why variable costs often behave in a curvilinear fashion? a. Labor specialization b. Overtime wages c. Total variable costs are constant within the relevant range d. Availability of quantity discounts 8. Firms operating constantly at 100% capacity a. are common b. are the exception rather than the rule c. have no fixed costs d. have no variable costs 9. Which one of the following is a name for the range over which a company expects to operate? a. Mixed range b. Fixed range c. Variable range d. Relevant range 10 The graph of variable costs that behave in a curvilinear fashion will a. approximate a straight line within the relevant range b. be sharply kinked on both sides of the relevant range c. be downward sloping d. be a stair-step pattern 11. A mixed cost contains a. a variable cost element and a fixed cost element b. both selling and administrative costs c. both retailing and manufacturing costs d. both operating and non-operating costs 12. The variable costing method is also known as the direct costing method indirect costing approach absorption costing method period costing approach 13. The costing approach that charges all manufacturing costs to the product is referred to as a. variable costing b. contribution margin costing c. direct costing d. absorption costing 14. Variable costing is acceptable for a. financial statement purposes b. profit tax purposes c. internal use by management only d. profit tax purposes and for internal use by management 15. CVP analysis does not consider a. level of activity b. fixed cost per unit c. variable cost per unit d. sales mix 16. Which of the following is not an underlying assumption of CVP analysis? a. Changes in activity are the only factors that affect costs b. Cost classifications are reasonably accurate c. Beginning inventory is larger than ending inventory d. Sales mix is constant 17. Which of the following would not be an acceptable way to express contribution margin? a. Sales minus variable costs b. Sales minus unit costs a. b. c. d. c. d. Unit selling price minus unit variable costs Contribution margin per unit divided by unit selling price a. b. c. d. 18. The level of activity at which total revenues equal total costs is the variable point fixed point semi-variable point break-even point 19. The break-even point is where a. otal sales equals total variable costs b. contribution margin equals total fixed costs c. total variable costs equal total fixed costs d. total sales equals total fixed costs 20. Gross profit also includes rent that arises from the entrepreneur’s own land used in his production of output. a. True b. False Answers for Self Assessment Questions 1. (c) 2. (a) 3. (d) 4. (c) 7. (c) 8. (b) 9. (d) 10. (a) 11. (a) 14. (c) 15. (b) 16. (b) 17. (b) 18. (d) 5. (d) 12. (a) 19. (b) 6. (c) 13. (d) 20. (a) Chapter-15 1. There are †¦Ã¢â‚¬ ¦. methods which can be used to appraise any investment project: (a) 1 (b) 2 (c) 3 (d) 4 2. National income is the total of the value of the goods and the services which are produced in an economy. (a) True (b) False 3. Which two of the following are likely to raise the equilibrium value of National Income? (a) Rise in savings. (b) Rise in imports. (c) Rise in government spending. (d) Rise in exports. 4. Which two of the following are excluded when measuring National Income? (a) Value added in the output method. (b) Value of intermediate inputs in the output method. (c) Consumer spending in the expenditure method. (d) Transfer payments in the income method. 5. The return on an investment comes in the form of a stream of earnings in the future. (a) True (b) False 6. Cost-benefit analysis is a process for evaluating the merits of a particular project or course of action in a systematic and rigorous way. (a) True ` (b) False 7. ‘Real’ investment is not (a) the amount that shareholders are willing to provide for shares in a company (b) the cost of development of a new product (c) expenditure on public relations, staff training or research and development (d) expenditure on non-current assets such as plant, machinery, land and buildings 8. Which of the following statements about IRR and NPV is not correct? (a) NPV always gives the correct investment decision. (b) IRR gives an unreliable answer with non-conventional projects. (c) IRR can accommodate changes in the cost of capital. (d) IRR is a useful relative measure if comparing projects of differing sizes. 9. Gross Domestic Product (GDP) is the total market value of all final goods and services currently produced within the domestic territory of a country in a year. (a) True (b) False 10. Which of the following will not be a relevant factor when using the payback method of capital investment appraisal? a) The timing of the first cash inflow (b) The total cash flows generated by the asset (c) The cash flows generated by the asset up to the payback period (d) The cost of the asset 11. Why the payback method is often considered inferior to discounted cash flow in capital investment appraisal? (a) I is more difficult to calculate (b) It does not calculate how long it will take to recoup the money invested (c) It does not take account of the time value of money (d) It only takes into account the future income of a project 12. Gross National Product is the total market value of all final goods and services produced in a year. (a) True (b) False 13. In 2005†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. was the least significant liability of U. S. nonfinancial businesses in terms of total value. (a) bonds and mortgages (b) bank loans (c) inventories (d) trade debt 14. †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. are examples of financial intermediaries. (a) Commercial banks (b) Insurance companies (c) Investment companies (d) All of the above 15. Financial assets †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. a) directly contribute to the countrys productive capacity (b) indirectly contribute to the countrys productive capacity (c) contribute to the countrys productive capacity both directly and indirectly (d) do not contribute to the countrys productive capacity either directly or indirectly 16. The means by which individuals hold their claims on real assets in a welldevelopedeconomy are (a) investment assets. (b) depository assets. (c) derivative assets (d) financia l assets 17. Capital budgeting is the process of evaluating and selecting long-term investments that are consistent with the goal of the firm. a) True (b) False 18. Although derivatives can be used as speculative instruments, businesses most often use them to (a) attract customers. (b) appease stockholders. (c) offset debt. (d) hedge 19. The investment in fixed assets increases the fixed cost of the firm which must be recovered from the benefit of the same project. (a)True (b) False 20. National Income is defined as the sum total of all the goods and services produced in a country, in a particular period of time. (a) True (b) False Answer 1. (c) 2. (a) 3. (c) 4. (b) 5. (a) 6. (a) 7. (a) 8. (c) 9. (a) 10. (b) 11. (c) 12. (a) 13. (b) 14. (d) 15. b) 16. (d) 17. (a) 18. (d) 19. (a) 20. (a) Chapter-16 1. In period of inflation, phantom or paper profits may be reports as a result of using the: (a) FIFO costing assumption (b) Perpetual inventory method (c) LIDO costing assumption (d) Perio dic inventory method 2. Inflation is: (a) an increase in the overall price level. (b) an increase in the overall level of economic activity. (c) a decrease in the overall level of economic activity. (d) a decrease in the overall price level. 3. Aggregate supply is the total amount: (a) produced by the government. (b) of goods and services produced in an economy. c) of labour supplied by all households. (d) of products produced by a given industry. 4. The value of a dollar does not stay constant when there is inflation. (a) True (b) False 5. The inflation rate in India was recorded at 7. 23% in†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ (a) April of 2009 (b) April of 2010 (c) April of 2011 (d) April of 2012 6. The function of money that helps assess the opportunity cost of an activity is moneys use as a (a) medium of exchange. (b) store of value. (c) unit of account. (d) store of debt. 7. An official measure of money in the United States is M1, which consists of the sum of (a) currency plus travelers checks. b) currency plus checkable deposits. (c) currency plus travelers checks plus checkable deposits. (d) currency plus travelers checks plus time deposits. 8. Implies no trade-off between unemployment and inflation. (a) GDP deflator (b) Shoe leather’ costs (c) Long-run Phillips curve (d) ‘Menu’ costs 9. The inflation rate is used to calculate the real interest rate, as well as real increases in wages. (a) True (b) False 10†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ the quantity of money in the United States. (a) The State Department controls (b) The Department of Treasury controls (c) The Federal Reserve System controls (d) Commercial banks control 11. There are broadly †¦.. ways of controlling inflation in an economy. (a) 2 (b) 3 (c) 4 (d) 5 12. The balance of payments of a country is said to be in equilibrium when the demand for foreign exchange in exactly equivalent to the supply of it. (a) True (b) False 13. A general decline in prices is often caused by a reduction in the supply of†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. (a) money or debit (b) money or credit (c) money (d) None of these 14. The opportunity cost of holding money is the (a) inflation rate minus the nominal interest rate. (b) nominal interest rate. (c) real interest rate. (d) unemployment rate. 15. If the Fed is worried about inflation and wants to raise the interest rate, it (a) increases the demand for money. (b) increases the supply of money. (c) decreases the demand for money. (d) decreases the supply of money. 16. The circular flow of goods and incomes shows the relationship between: (a) income and money. (b) goods and services. (c) firms and households. (d) wages and salaries. 17. Fiscal measures to control inflation include taxation, government expenditure and public borrowings. (a) True (b) False 18. Hyperinflation (a) occurs in the United States during each business cycle. b) occurs only in theory, never in reality. (c) has never occurred in the United States. (d) happens in all countries at some time during their business cycle. 19. Hyperinflation refers to a situation where the prices rise at an alarming high rate. (a) True (b) False 20. The inflation rate is used to calculate the real interest rate, as well as real increases in wages. (a)True (b) False Answer 1. (b) 2. (a) 3. (b) 4. (a) 11. (a) 12. (a) 13. (b) 14. (c) 5. (d) 6. (c) 15. (d) 16. (c) 7. (c) 8. (c) 17. (a) 18. (c) 9. (a) 10. (c) 19. (a) 20. (a)

Nontraditional Tradtions Essay Example For Students

Nontraditional Tradtions Essay Nontraditional TradtionsWe live in an age in which it is hard to spend time together as a family. Many families today wonder if having quality time together is a thing of thepast. We are inordinately busy, for one thing, whether household bread-winnersor college students. Also, the definition of family has changed. We aredealing with new definitions and characterizations of the idea of family. Someof us have traditional families. Some families have divorced, single, and/orremarried parents, creating a rather confusing family tree. Some people chooseto live their lives alone, but may still be close enough to some friends toconsider them family. Whatever the circumstances, many of us honestly dont know how tocelebrate together. We may even see the word tradition as somethingstultifying and old, having no meaning for or application to us personally;something usually being forced upon us by someone who smells funny and is onlyseen on holidays. What all of this means is that we can no longer simply followthe examples of old. It is up to us to create new family traditions. Celebrating is not hard. We all know about celebrating and have some ways ofdoing it. The only challenge is to find new ways. Why do we need to celebratetradition? It gives us something to look forward to and makes a formalstatement that there are some things in life to be grateful for. The notion of honoring tradition is unsettling for some people; letalone creating new ones. We understand that we need something to add a sense oforder and stability to our lives. But we are not sure about how to create ourown traditions. We seem to think that traditions must be heavy and complexideas that had been around for hundreds of years and will be around for ahundred more. In my opinion, this is not true. It need not be big or religiousat all. I believe a tradition is something that you do once that feels good, soyou do it again and again. The tale in Frosts Mending Wall can be viewed as an impromptutradition. The two neighbors needing to repair the wall after the winter chill,find time to converse with each other about whats on their minds. For example, every Sunday my dad makes tea and puts out two cups, hisand mine. I am used to this. If I had to reach in the cupboard to get my owncup, something would be wrong.As it is, I get up out of my bed, I go intothe kitchen, I see my cup sitting there, and I know I am ready to start themorning and I feel a little happy. Similarly, I sleep everynight with a greatlyworn pillow that really should be thrown away, but for which I have a fondnessfor. I have a bad case of pillow-head every morning to prove it. When I laymy head on it at night ready for sleep, I am comforted. Every day, my mom makesdinner while I do my homework listening to the familiar bangs and clangsassociated with making a meal.On Sunday, our family goes out to a Chineserestaurant for dinner. These small things are some of our traditions. They areall qualities that identify my family and make us special. If we did not havethese particular traditions, we would have others. That is because traditionsinsist upon thems elves. Look around your own life and you will realize thatthey are everywhere. We clearly need them to provide a sense of order in ourlives. I know a chef who works long hours and is never home for dinner excepton Monday. Then, he leaves the restaurant earlier than usual, and hurries hometo spend time with his family. His family knows that they can depend on this,and they celebrate with a special dinner at home every Monday night. .u2bb762af05b9bd5c4fb9477a8e4f78bd , .u2bb762af05b9bd5c4fb9477a8e4f78bd .postImageUrl , .u2bb762af05b9bd5c4fb9477a8e4f78bd .centered-text-area { min-height: 80px; position: relative; } .u2bb762af05b9bd5c4fb9477a8e4f78bd , .u2bb762af05b9bd5c4fb9477a8e4f78bd:hover , .u2bb762af05b9bd5c4fb9477a8e4f78bd:visited , .u2bb762af05b9bd5c4fb9477a8e4f78bd:active { border:0!important; } .u2bb762af05b9bd5c4fb9477a8e4f78bd .clearfix:after { content: ""; display: table; clear: both; } .u2bb762af05b9bd5c4fb9477a8e4f78bd { display: block; transition: background-color 250ms; webkit-transition: background-color 250ms; width: 100%; opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #95A5A6; } .u2bb762af05b9bd5c4fb9477a8e4f78bd:active , .u2bb762af05b9bd5c4fb9477a8e4f78bd:hover { opacity: 1; transition: opacity 250ms; webkit-transition: opacity 250ms; background-color: #2C3E50; } .u2bb762af05b9bd5c4fb9477a8e4f78bd .centered-text-area { width: 100%; position: relative ; } .u2bb762af05b9bd5c4fb9477a8e4f78bd .ctaText { border-bottom: 0 solid #fff; color: #2980B9; font-size: 16px; font-weight: bold; margin: 0; padding: 0; text-decoration: underline; } .u2bb762af05b9bd5c4fb9477a8e4f78bd .postTitle { color: #FFFFFF; font-size: 16px; font-weight: 600; margin: 0; padding: 0; width: 100%; } .u2bb762af05b9bd5c4fb9477a8e4f78bd .ctaButton { background-color: #7F8C8D!important; color: #2980B9; border: none; border-radius: 3px; box-shadow: none; font-size: 14px; font-weight: bold; line-height: 26px; moz-border-radius: 3px; text-align: center; text-decoration: none; text-shadow: none; width: 80px; min-height: 80px; background: url(https://artscolumbia.org/wp-content/plugins/intelly-related-posts/assets/images/simple-arrow.png)no-repeat; position: absolute; right: 0; top: 0; } .u2bb762af05b9bd5c4fb9477a8e4f78bd:hover .ctaButton { background-color: #34495E!important; } .u2bb762af05b9bd5c4fb9477a8e4f78bd .centered-text { display: table; height: 80px; padding-left : 18px; top: 0; } .u2bb762af05b9bd5c4fb9477a8e4f78bd .u2bb762af05b9bd5c4fb9477a8e4f78bd-content { display: table-cell; margin: 0; padding: 0; padding-right: 108px; position: relative; vertical-align: middle; width: 100%; } .u2bb762af05b9bd5c4fb9477a8e4f78bd:after { content: ""; display: block; clear: both; } READ: Odysseus Essay SummaryMy friends Brian and Andy have a house that has both a living room and afamily room. I have never seen them in their living room. Once I admired itsbeautiful decoration and said, But you never use it, do you? Oh, yes! theysaid. Every Sunday, we read the paper in here.My neighbor decorates the windows on her house for the season. Valentines, snowflakes, pumpkins, and fireworks are drawn by her children andtaped into place. I get reminded of upcoming holidays that way. My friend Vinh gives his son Jackie horsy rides. Everynight at seven-thirty, Jackie saddles up on the mighty steed and is buckled off landing on thesoft carpeting. It is hard to tell who gets more out of this. All of these moments are traditions, inventions of people who mean toput more meaning into their lives and those they love. Tradition is in all ourlives in one way or another. Without participation in such activities therewould be no family bond or pride. Being involved in these activities bringspeople closer and makes us understand who we are. Everything we do and everyday of our lives we take part in a tradition in one form or another.

How to Use Samples of Extended Essay to Get Extra Credit in School

How to Use Samples of Extended Essay to Get Extra Credit in SchoolThere are times when your classmates give you samples of extended essay as a homework assignment. It may be that they forgot to send the sample with the assignment and they did not receive any paper supplies, such as essay pads. Here are some tips on how to effectively use those samples of essays examples to improve your grades in school.When you have finished using the samples of essays examples, and you wish to finish with it, you need to put them in a place where they can be easily accessed. A computer or notebook will work well, as it is easy to find and to search for them. If you want, you can bring them back to your home in a small file or folder. However, if you were to put them in a big file or folder, then it would be difficult to retrieve it later on.You will need to decide where you will store the samples of essays and papers so that it will be easier for you to retrieve the sample later on. Having it all at one place will save time when you have to find it later on. Another way of storing it is in a binder, which is an open box where you can put two or three pages. You just have to flip through it while it is open and have a place for writing. A binder will help you do that.When you have finished writing your own copies of the samples of essays, you can then share them with your classmates. Once again, use the computer or notebook that was given to you to locate the samples of essays. Then, you can use the samples to help yourself improve on your own essay. It is very effective to read the samples, and write essays based on what is being shown on the samples.Also, do not forget to write a brief note about why the person giving the samples had chosen these topics and themes. That will be very helpful. Also, you can write a little about what you are trying to do in the essay. Doing this will allow you to form your own ideas.When the students have received their papers, make sure that th ey will know what they should do next. Explain to them how they can use the samples to further their writing skills. If they want to add something to their sample, then let them do that. The best thing that you can do to help them improve is to be there for them whenever they are struggling.With the samples, you will find that you will be able to improve a lot. This is because you will be able to utilize what you have learned in class, as well as what you already knew in school. This will help you see things more clearly and will help you improve your grades in school.Now, you may want to get extra credit for doing these sample assignments. You will be able to get extra credit for using these samples of essays and using them to help improve your writing skills. Be sure to get a tutor from the campus counseling center to help you complete the work and help you get the needed points.

Beowolf essays

Beowolf essays Beowolf is the oldest piece of British literature, and has survived for over thirteen hundred years. Scops passed this epic for two hundred years until it was finally written down by a Christian monk in 700 A. D.. The hero Beowulf continually demonstrates bravery throughout this cartoonistic tale which eventually leads to foolhardiness, a characteristic of the human condition that is still valid This epic is a traditional good vs. evil story. Beowolf battles three monsters throughout the story. The first two he does for the good of the people. His army thanks God when things go their way and throughout the story there are references to both Christian and Pagan beliefs, which gives it universal appeal. During his battle with Grendal, his mail shirt has supernatural powers, like the power of God. Grendals ferocious claws cannot touch Beowulf due to his powerful mail shirt. When he battles Grendals mother, he is given the sword of God. This sword is so powerful that it is able to cut off Grendals head. Then Beowulf single-handedly carries his head back to the people, a head that reportedly would need four normally strong men. Beowolf has a third heroic attempt at killing another bothersome monster. However, during his fifty years as king he has grown somewhat egocentric. Instead of trying to kill the monster for the good of his people, he does is because he knows he can and to prove himself, yet again. He even goes as far as telling his army not to help him, that this is a job for one man only; him. During this fight, he is not aided by God and it leads to his demise. The monster dragon dies but not before ripping Beowulfs throat. This story has survived hundreds of years for many reasons. It has a cartoonistic quality to it due to the detailed scenes of blood and guts which gives it a humorous quality. It was ...

In 1955 Pakistan International Airline Formed Tourism Essay Essays

In 1955 Pakistan International Airline Formed Tourism Essay Essays In 1955 Pakistan International Airline Formed Tourism Essay Essay In 1955 Pakistan International Airline Formed Tourism Essay Essay In 1955 Pakistan International Airline formed. It is the 16th largest air hose in Asia, runing scheduled services to 73 finishs throughout Asia, the Middle East, Europe and North America, every bit good as an extended domestic web associating 24 finishs. PIA is three stars International Airline. In our study we did SWOT analysis and PEST analysis on PIA, place major strength we find as taking market place, trade name acknowledgment, superior operating construction, web presence, hub airdrome at Karachi, and effectual usage of engineering. Formulation on GOVT regulation, High dependences on rider grosss, high debt, and trust on oil monetary values are major failing, chances are like holding MAX path and fleet, growing demand for low cost air hose, client trueness, switching client demands and industry recovery, and major menaces are high involvement rates, accidents, strong competition by Air blue, involvement and foreign currency exchange rates, and diminution in industry. In PEST analysis we discover major Government s active function in increasing competition in the air hose industry, rising prices rate, turning of societal environment of Pakistan progressive with the new government. Invention in engineering, and its impact on dist ribution and cost synergisms from industry consolidation. We recommend PIA for better service to deconcentrate its direction system, develop SBUs, follow crystalline publicity constabularies, employee authorization to increase the employee motive and moral. Try to diminish its operating expense cost, follow effectual selling policy, two manner communicating and TQM. Upgrade its fleet ; buy new Airplane with duplicate engines these will cut down the operating cost of PIA. Improve control over menus. Hire the services of IT specializers ; better service criterions concentrating on quality. Pakistan International Airlines Introduction: When Pakistan was founded in 1947 it comprised two districts on either side of the sweep of India. It was in this unusual circumstance that Pakistan International was formed in 1955. Despite wars and economic problem, the bearer survived to turn and thrive. Pakistan International Airlines is the flag bearer air hose of Pakistan, based in Karachi. It is the 16th largest air hose in Asia, runing scheduled services to 73 finishs throughout Asia, the Middle East, Europe and North America, every bit good as an extended domestic web associating 24 finishs. Its chief bases are Jinnah International Airport, Karachi, the Allama Iqbal International Airport, Lahore and the Islamabad International Airport, Islamabad/Rawalpindi. The air hose besides has secondary bases, including Peshawar International Airport, Faisalabad International Airport, Quetta International Airport and Multan International Airport, from which it connects the metropolitan metropoliss with the chief bases, the Middle East and the Far East. The air hose is owned by the Government of Pakistan ( 87 % ) and other stockholders ( 13 % ) . It has 19,263 employees ( at March 2007 ) . AIRLINE INDUSTRY IN PAKISTAN: There are 36 operational airdromes. Karachi is Pakistan s chief airdrome but important degrees of both domestic and international lading are besides handled at Islamabad and Lahore. Pakistan International Airlines ( PIA ) , the public sector air hose, though confronting the competition from a few private air hoses, carries about 70 per centum of domestic riders and about equal domestic cargo traffic. The transit sector histories for about 10.5 per centum of the state s GDP and 27.4 per centum of Gross Fixed Capital Formation ( GFCF ) in FY06. It provides over 6 per centum of employment in the state and receives 12 to 16 per centum of the one-year Federal Public Sector Development Program ( PSDP ) . Government bureaus dominate the sector. Hierarchy of PIA: This organisation is divided into following sections: Human Resource and Administration, Marketing, Corporate Planning, Information Services, Finance, Flight Services, Flight Operation, Engineering, Procurement and Logistics, Customer Services, Training and Development, Quality Assurance. The organ gm of the organisation follows, with the Chairman at the top and managers of sections describing to him. The construction is centralized with the top-level direction doing the determinations. Corporate VISION OF PIA: To be a universe category air hose transcending client outlooks through dedicated employees Committed to excellence. Corporate Mission As a Symbol of National Pride, We Aspire to be a Choice Airline, Operating Productively on Modern Commercial constructs and Capable of Competing with the Best in the International every bit good as Domestic markets. Valuess: 6.1 ) . Customer Expectations: PIA is the most sure name in the industry. The ground of its good will is harmonizing the outlook of their clients that PIA has fulfilled ever. By supplying competitory duty, extended attention, and convenience to their valued and possible clients. 6.2 ) . Service: PIA purposes at supplying valuable and alone services to its clients. They are more individualized and gracious to their clients. The services are valuable and rare ; this is the ground why clients trust PIA. 28 Nov 2004, Pakistan International Airlines Pia passed the IATA Operational Safety Audit ( IOSA ) benchmark for planetary safety direction The IATA Operational Safety Audit ( IOSA ) is the benchmark for planetary safety direction in air hoses KARACHI, 22 October 2007 Abacus Pakistan officially launched Abacus Travel Secure with AIG, supplying local travel agents and travellers easy and convenient entree to AIG s travel insurance policies. Available for the first clip in Pakistan, Abacus Travel Secure brings existent clip and immediate activation of travel insurance policies to the Pakistan travel industry with a more streamlined and clip salvaging application procedure for travel agents 6.3 ) Invention: PIA presently has a figure of 43 fleets and purposes at increasing this Numberss to 53 by the following few years.PIA is adoptive to alterations and believe in invention that s create new thoughts and interpreting these thoughts into action. 6.4 ) Dependability: PIA is the most experience air hose with its service with more than 53 old ages. This has built in PIA has become the most dependable air hose. PIA is known for its trueness and consistence. 6.5 ) Safety: The most ambitious duty of any organisation is to supply complete satisfaction to its employees and clients together. This satisfaction rewards favourable and easy on the job conditions. The in-flight services are clients friendly and the organisational the organisational environment is besides employees oriented. 6.6 ) Coherence: PIA has 12 sections working in their ain way and besides provides a figure of services including speedex messenger service, providing etc. The most impressive portion is these all section and services are integrated in a cohesive manner. Servicess PIA offers two types of services. Business Class Economy Class Business Class It s the lone Business Class service that feels like First Class. A comfy place makes all the difference on a long flight. PIA s Business Class Seats elevate the construct of luxury to a new degree, to the full backing your determination to take PIA Business Class Sit back and relax in our sole Business Class Lounges at the Karachi, Lahore, and Islamabad airdromes. Our hospitable staff will guarantee that you re good looked after during your stay with us at the airdrome Business Class riders geting at Airport will have a warm welcome from PIA. Our representatives will walk you right through all the arrival formalities so that you do nt hold to stand in line or concern about clearance. Economy Class: PIA s economic system category is besides comfy for rider as Business category. Economy Class offer seats with a 32-inch pitch, adjustable footstools and winglet head restraints for improved cervix comfort. The personal Television provides ongoing amusement including sound and video on-demand picks. Passengers enjoy the same lovingness service from our flight attenders, along with skilfully prepared repasts and a broad scope of in-flight amusement options to take from. Free newspapers are besides provided to all Economy category riders. The PIA in-flight magazine, Hamsafar, is provided to all riders on all international flights. Humsafar was introduced on PIA flights in 1980 and it is published bi-monthly.PIA is supplying its service in 25 citations of Pakistan domestically which are as follows: Giigit Chitral Skardu Saidu Sarif Capital of pakistan Peshawar Sialkot D.I, Khan Lahore Lyallpur Multan Zhob D.G.Khan Quetta Bahawalpur Rahim Yar Khan Dalbandin Sukkar Panjgor Sukkar Jacoababad Turbat Moemjodaro Gwadar Pasni Karachis Gross Composition: Harmonizing to the latest study of PIA, 87 % of gross generates from riders, 8 % of gross generates from lading and staying 5 % consists of others. Fleet Pakistan International Airlines fleet includes the followers aircraft ( as of May 2008 ) Major Rivals: PIA is keeping the first place in market. It has 48 % market portion. Its major rivals are Airblue and Shaheen International Airline. Airblue has a market portion of 35 % while Shaheen International Airline has 17 % market portion. Peoples feel esteemed to go with PIA as comparison to Airblue and others. Latest merchandises by PIA nad qulaity accomplishments: Boeing-777 operating to middle E Flight Barcelona Associating Abu Dhabi and rahim yar khan Flights from D.I.Khan to Peshawar and Islamabad Early bargain cheaper fly Bradford- Islamabad Nov halt! Pak A ; Glasgow Flight from Multan and D.G khan to Dubai Lowest concern category menu paksitan Dubai Connecting Multan and Quetta, Islamabad with Chitral and Nawabshah with Hyderabad. Promoting web fining and SMS engagement, Ticketing bringing at Door measure 9.1 ) IATA Operational Safety Audit ( IOSA ) benchmark: 28 Nov 2004, Pakistan International Airlines Pia passed the IATA Operational Safety Audit ( IOSA ) benchmark for planetary safety direction The IATA Operational Safety Audit ( IOSA ) is the benchmark for planetary safety direction in airlines.A 9.2 ) E-Ticketing: KARACHI, 22 October 2007 Abacus Pakistan officially launched Abacus Travel Secure with AIG, supplying local travel agents and travellers easy and convenient entree to AIG s travel insurance policies. Available for the first clip in Pakistan, Abacus Travel Secure brings existent clip and immediate activation of travel insurance policies to the Pakistan travel industry with a more streamlined and clip salvaging application procedure for travel agents. 9.3 ) 3Star Graded air hose: SKYTRAX introduced the World Airline Star RatingAÂ ® programme in 2000 the Quality Analysis system that ranks air hose merchandise and service criterions, based on professional rating by air hose audit specializers. To accomplish SKYTRAX Approved Airlinea„?A position, air hoses are subjected to a really elaborate Quality rating across all countries of their front-line Product and Service criterions by Skytrax covering all countries that riders will typically experience during their trip. SKYTRAX Approved Airline rating covers over 750 facets of merchandise and service quality measuring, and is split across both airdrome and onboard environments airdrome services based around an air hose s place base airdrome. QUALITY RANKING USED IN AIRLINE RATING SUMMARY BELOW A =A Excellent A =A Good A = Fair A =A Poor A = Very hapless A : :A PIA PAKISTAN INTERNATIONALA : : a 3 Star Airline A A PIA Pakistan Intl Passenger Remarks Home Base Airport Ranking =A Karachi Airport SUMMARY RANKINGA Combined Quality of ProductA / Staff service in airdrome and onboard environments Business Class Premium Economy ClassA Economy ClassA Airport ServicesA Check-In service Business Class Check-In service Economy Class Transportation Services Business Class Transportation Services Economy Class Arrival Servicess Business Class Lounge merchandise installations Business Class Lounge staff service Onboard FeaturesA Inflight amusement may change harmonizing to aircraft type Cabin Safety Procedures Inflight Entertainment Comfortss, Blankets, Pillows, Towels etc Airline Magazine, Newspapers A ; other mags Cabin Seat ComfortA A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A A Seat Guide Seating may change harmonizing to aircraft type Business ClassA long draw Business ClassA short draw Premium Economy ClassA long draw Economy ClassA long draw Economy ClassA short draw Onboard CateringA Business ClassA long draw Business ClassA short draw Premium Economy ClassA long draw Economy ClassA long draw Economy ClassA short draw Cabin Staff ServiceA Business Class service efficiency Business Class staff attitude A ; friendliness Premium Economy Class service efficiency Premium Economy Class staff attitude A ; friendliness Economy Class service efficiency Economy Class staff attitude A ; friendliness Reacting to Passenger petitions Cabin presence through flights Helping Parents with kids Staff Language Skills SWOT ANALYSIS 10.1 ) Strength: . Leading MARKET Position: PIA is one of Pakistan s taking air bearers, with more than 800 day-to-day flights. Around 150,000 riders a month fly on PIA, doing it one of the major operators in the domestic market in footings of rider kilometres. PIA s international market portion was 43.5 % , In the Domestic market, its market portion was 69.4 % . On a system-wide footing, PIA s market portion was 51.2 % at the terminal of twelvemonth 2007.Its strong market place is driven by systematically low menus every bit good as dependable service, frequent and convenient flights, usage of new engineerings like e-ticketing and self check-in terminuss, comfy cabins and superior client service. BRAND Recognition: PIA has high trade name callback. It is recognized by travellers all over the state. PIA is a national air hose, runing rider and lading services covering 82 domestic and foreign. PIA has earned the figure one ranking in client satisfaction. This strong market place gives the company a scale advantage and helps it beef up its trade name image. SUPERIOR OPERATING Structure: PIA has maintained its place as the low cost bearer. It has been first category Pakistani air hose to utilize the latest engineering. Factors lending consists of different series of Boeing and Airbus and an efficient, high-utilization and point- to-point path construction. Flying one type of aircraft significantly simplifies programming, care, flight operations, and preparation activities. PIA has continually achieved high plus use and employee efficiency. Superior operating construction serves as the primary competitory advantage of PIA. NETWORK PRESENCE: PIA enjoys a strong web in cardinal domestic and international finishs. The company s web includes three the major airdromes in Pakistan, every bit good as major international airdrome such as Dubai International Airport. Having a strong web agencies that PIA can bring forth traffic provender for both its domestic and international Flights. HUB AIRPORT AT KARACHI: PIA operates from its hub in Jinnah International Airport, Karachi. Jinnah International is one of the universe s busiest airdromes in footings of figure of riders carried. It is besides one of the largest international gateways to Asia. It is besides the taking international air rider ( and lading ) gateway to Pakistan. The company s strong presences in airdromes with heaviest traffic degrees in Pakistan give it a competitory advantage. EFFECTIVE USE OF TECHNOLOGY: PIA has successfully incorporated latest engineering in all its systems, giving it an border over rivals. PIA takes recognition for presenting most new engineerings to the Pakistani market. It was the 2nd bearer in Pakistan to integrate the c-ticketing system and the 2nd in South Asia to present self look into in systems at the Jinnah International Airport, Karachi. 10.2 ) Failing: Formulation OF GOVT. Rules: The Basic defect of this organisation is its consolidation that is centralised system. The cardinal policies, schemes and set of Torahs are designed by the upper direction. The centralised system is one of the biggest obstructions of long term success of PIA. PIA centralizes construction lead to barrel between different degree of direction, decreased motive, difficult entree to information. High DEPENDENCE ON PASSENGER REVENUES: Passenger grosss accounted for 87 per centum of the PIA s entire gross in 2007. Cargo services allow air hoses to bring forth extra grosss from bing rider flights. In add-on, lading grosss are normally counter cyclical to passenger grosss and have lower demand snap than rider concern, which allows air hoses to go through on fuel monetary value hikings to clients. Debt: PIA has a important sum of 42 billion debts. Current and hereafter debts could hold of import effects for stakeholders of the company. For illustration, debt could impair PIA ability to do investings and obtain extra funding for working capital, capital outgos, acquisitions or general corporate or other intents. Debts could besides set PIA at a competitory disadvantage to rivals that have lesser debt and could besides increase the company s exposure to involvement rate additions. Reliance ON OIL PRICES: PIA s sustainability, growing and grosss straight depend on oil monetary values. A steep rise in oil monetary values can earnestly damage the long term viability of any air hose. Recently many air hoses around the universe went insolvents due to lifting oil monetary values. Airlines need to fudge against this hazard by taking proper steps. Opportunities: . HAVING THE MAXIMUM ROUTE AND FLEET: PIA is holding the maximal path and fleet domestic and international finishs web in Pakistan as compared to its Competitors. Route and swift enlargement will positively impact the company s operations by increasing grosss. Turning DEMAND FOR LOW COST AIRLINES: The turning demand for air travel is driven by lower menus and consumer assurance. A study by International Aviation Authority showed that ticket monetary value is the figure one standard for riders when choosing a flight, good in front of the handiness of a non-stop service. CUSTOMER LOYALTY: PIA s frequent circular and trueness plans can assist it retain clients. PIA s Awards+plus ( frequent circular plan ) was established to develop rider trueness by offering awards and services to frequent travellers. Such schemes encourage repetition travel on PIA, as riders seek to accrue the benefits given to regular travellers. This enables the air hose to retain clients and cut down costs, as it does non hold to pass money aiming new clients to replace those lost to other air hoses. Shift CUSTOMER NEEDS: The demands of air riders are progressively altering, as they are going more and more monetary value medium. If PIA succeeds in doing its monetary values more competitory, so the company will be able to derive important market portion. INDUSTRY Recovery: Market analysts believe that the planetary air hose industry will see an upturn in lucks over the following few old ages. This represents an chance for PIA, as it could bring forth increased grosss and bid market portion if it capitalizes on additions in demand. . Menace High Interest Ratess: The past few old ages have seen State Bank of Pakistan impose high every bit good as low involvement rates to look into rising prices and the over warming of Pakistani economic system. Inflation in Pakistan may see another rise in the short-run. Accidents: There had been five accidents with PIA listed as below: Pakistan International Airlines Flight PK 705 was a Boeing 720 040 B that crashed while falling to set down on Runway 34 at Cairo International Airport on May 20, 1965 ensuing in 119 human deaths. Pakistan International Airlines Flight PK740 was a Boeing 707-340C that crashed after takeoff from Jeddah International Airport on November 26, 1979. All 156 aboard were killed. Pakistan International Airlines Flight 268 was an Airbus A300B4-203, enrollment AP-BCP, which crashed on attack to Kathmandu s Tribhuvan International Airport on September 28, 1992. All 167 on board were killed. PIA Flight 554 is the flight figure of a Pakistan International Airlines ( PIA ) Fokker F27 that was hijacked on May 25, 1998. The flight started its journey at Gwadar in Balochistan after arising in Turbat, and was winging to Pakistan s southern port metropolis of Karachi. The aircraft was transporting 24 riders and 5 crew members. Pakistan International Airlines Flight 688 ( PK688, PIA688 ) was scheduled to run from Multan to Lahore and Islamabad at 12:05 autopsy on July 10, 2006. It crashed into a field after spliting into fires a few proceedingss after takeoff from Multan International Airport. All 41 riders and four crewmembers on board were killed. PIA has to continuously guarantee extreme safety and security of its riders. Accidents can adversely impact client assurance in PIA and consequence in declined grosss escalating competition. Strong COMPETITION BY AIRBLUE: PIA is now viing against bearers such as Airblue and Shaheen Airline. PIA remains Airblue s strongest rival because of the immense market it has gained over clip, strong trade name image and client trueness. PIA has started new low-fares subordinate PIA Express to halt the Airblue market portion turning to fast. Furthermore, major bequest air hoses have been concentrating on restructuring costs, which has improved their fight. With costs restructured, the bequest air hoses are going more formidable rivals in footings of increasing capacity, fiting monetary values and leveraging their frequent flyer plans. Increasing competition could adversely impact the company s borders. Interest AND FOREIGN CURRENCY EXCHANGE Ratess: Fluctuating foreign currency exchange rates can hold a important impact on PIA s net incomes. For illustration, as PIA is supplying its services to the UK. Negative or positive effects arise from exchange rate motions as alteration in disbursals. Strengthening of foreign currencies against the British Pound will positively impact PIA and frailty versa. DECLINE IN AIRLINE INDUSTRY: A figure of factors have caused the current diminution in the air hose industry. For illustration, the menace of farther terrorist onslaughts since September 11 and a autumn in the figure of concern travellers have both caused rider Numberss to fall. These and other factors may go on to impact demand for air travel in the hereafter, which will impact grosss of PIA. The menace of terrorist act may deter people from going by air and could particularly cut down the figure of riders going on international flights. Plague Analysis The macro-environment includes all factors act uponing a company that are non within its control. These include political, societal, economic and technological factors. These are known as PEST factors. A technique of analysis of the macro environment is PEST analysis. Environmental analysis should be uninterrupted waterless precede all facets of planning. Since the air hose industry is really much influenced by alterations taking topographic point in the environment and has undergone rapid and dramatic alterations during the last decennary, this analysis is particularly of import for PIA. Political Factor: Political factors ever have a great influence on the manner concerns operate in the air hose industry and the disbursement power of clients. In recent old ages it has been observed that authorities played an active function in increasing competition in the air hose industry. A figure of new air hoses such as AirBlue and JS Air have been awarded licences to come in the domestic market. Pakistan has achieved some political stableness in recent old ages. If the direction of PIA believes that the present authorities will execute good ( systematically ) , so there will be more investing in the signifier of purchase of new aeroplanes and latest engineering. The over all industry will turn ensuing in more epicurean and comfy flights. With the military coup detat authorities policies have become more broad. Economic Factor: Presently, Airlines industry has three major participants: Pakistan International Airlines, an Airblue, Aero Asia and Shaheen Airlines. Their mark market includes domestic travellers every bit good as Pakistanis populating abroad peculiarly in the UK and USA. These states have strong economic systems coupled with high buying power. Customers purchase behaviour depends really much on monetary values of the viing air hoses every bit good as services offered. As rising prices rate is unstable in Pakistan, passing power of consumers has effected in the long term. In fact growing in Pakistani economic system has resulted in an addition in passing power and has positively impacted the air hose industry. Economically, the new millenary has been extremely volatile ; the September 11 onslaughts revolutionized the whole universe. Consequently, there was a planetary depression in the North America, South America, Australia and Europe. However, in Asia particularly Pakistan the consequence in the short term was otherwise. The economic system began to din because of greater remittals from abroad and whole amount in-migration by exiles. As a consequence, demand for air travel in South Asia rose. Economic conditions of Pakistan are nevertheless bettering. PIA has cost a advantage over its rivals because of its freshly acquired, improved, long distance aircrafts from Boeing which give longer scope and better fuel economic system than any other jet presently produced. This cost advantage is a barrier to entry for new houses. However, this cost advantage will non be important on domestic paths. SOCIAL FACTORS: The societal waterless cultural influences on concern vary from state to state. The societal construction of Pakistan is closely tied. The tendency is now altering as the general populace is educated and is prosecuting professional ends. Customers are more cognizant of market conditions and available options and want to acquire best value for their money. They spend considerable clip and money on amusement hence increasing the demand of in-flight amusement systems. Besides, word of oral cavity has a important impact in the usage of air hose services. Hajj attracts a immense figure of clients. The societal environment of Pakistan is turning broad with the new government. The enterprise to automatize check-in and ticket engagement procedure might non be really popular with the general populace ( even educated population ) is still engineering averse. E-ticketing might besides confront important challenges as consumers are by and large loath to supply their recognition cards information over the phone and the cyberspace. The consumers, nevertheless, have a warm reaction to the chance of less dearly-won but choice service flights. six ) TECHNOLOGICAL Factor: Technology is critical for competitory advantage and is a major driver of the air hoses industry. Major technological alterations are taking topographic point in the air hoses industry with inventions in the reserves and booking systems. In-flight amusement systems and car cheque in counters are two illustrations of such inventions. Internet plays a cardinal function in e-ticketing as consumer can easy reserve tickets or look into the position of the flight. A cardinal issue will be the extent, to which technological promotions ( such as Internet ) impact distribution and cost synergisms from industry consolidation, can countervail upward force per unit areas on costs. PIA has ever led the way of technological inventions by presenting new engineerings in front of its rivals such as its car check-in counters which has helped it derive market portion. It was the first air hose in Pakistan to put in Sabre system followed by the market leader. RECOMMENDATIONS FOR PAKISTAN INTERNATIONAL AIRLINES Decentralization: PIA should deconcentrate its construction that would take to the easy direction, increased motive, easy entree to information and declaration of the struggles ( as they would be resolved by the immediate trough clip span would so cut down ) . Since employees issues sing their behaviour would decrease, so it would finally take to more satisfied employees that would ensue in enhanced productiveness of the organisation. Strategic Business Unit: PIA should do its different sections into Strategic Business Unit. Every SBU should hold a defined concern scheme and a director with gross revenues and net income duty. As PIA is a big organisation, so it must be convert into SBUs.Different factors should be determined for the success of SBUs which as follows. The grade of liberty given to each SBU director. The grade to which an SBU portions functional plans and installations with other SBU s The mode in which the corporation evaluates and rewards the public presentation of its SBU directors Transparent policy acceptance: PIA should follow transparent policy that employees should be promoted on merit footing. And Chairman of PIA should be appointed from with in the organisation. Union should back up it, it will actuate the employees and PIA will turn in net income. PIA should non invest new employees till the clip they are needed on the footing of my personal observation at Rawalpindi station I have seen that a undertaking which can be performed by individual PIA had 3 employees for that.PIA should give fillip to the hardworking and competent employees. Employee Authorization: PIA should do attempts towards authorising the employees that is traveling to take to more employee engagement in the determination devising procedure and besides consequence in more employee satisfaction and enhanced motive. Apart from this, employees would experience more independent to discourse the issues explicitly without vacillation. This would besides heighten squad work procedure at PIA as quality squad and cross-functional squads. The employees will work with more committedness and dedication and every employee would work to his/her fullest due to increased motive. However, with empowerment comes answerability, so it is suggested that while they empower their employees, there should besides be a controlled cheque on them to result the right use of power delegated to every employees within their limited bounds. Overhead Costss: PIA should besides cut down its operating expense costs that are it should mange its resources: labour more efficaciously, so that with less input, more out put can be achieved and the saved resources can be utilized in other countries such as presenting more preparation classs for the employees so that the quality of the work force could be increased. Hiring the services of expertness can better the efficiency of their services, so by salvaging the operating expense costs, they can use that money for the expertness services. So by analysing the assorted sections of the organisation and doing the right corrections, it can well better the criterions of Organizational behaviour. Selling policy: PIA should follow good selling policies so that it will convey higher net income and maximal use of its available resources, Business sector should be attracted to run at full potency. Bipartisan Communication: The suggestions of the employees can turn out to be really effectual in bettering the operations, as they are the 1s who manage them. Therefore, a top-down attack should be replaced with bipartisan communications. In this manner, the employees would experience motivated and valued, as they would be included in decision-making Entire Quality Management: Entire quality direction should be catered to within the work groups and execution of assorted skill sweetening plans for quality and productiveness betterments such as Six Sigma should be provided to its executive employees. Other recommendations are as follow: PIA should upgrade its fleet as it s doing the air hose higher operating cost and PIA is incurring loss.PIA should buy new Airplane with duplicate engines these will cut down the operating cost of PIA Airline should concentrate on the client s satisfaction, refund procedure should be promptly so that client remains loyal to trade name. There should be control on the addition of menus, as mediocre are in bulk in Pakistan, and it is extremely hard for to even believe about the air going. Management should believe over it and at least they can get down a new packaged flight twice a hebdomad holding 50 % menus. Unnecessary installations provided to the Government Department should non be discouraged but with drawn as it causes fiscal losingss. Management should concentrate on computerized system up step and execution. Management should engage the services of specialised IT forces for their system development and up step on clip. There should be clear and even distribution of work and merely qualified individual should be appointed on occupations. There should be improved service criterions and that should concentrate on quality. PIA should offer its services of reserve and place verification with by SMS and flight verification message should besides be sent via SMS to the rider. PIA should give more inducements to its frequent circular as it will bring forth more trade name trueness by giving better inducements to the clients. Comparison of PIA with Different Airlines After carry oning the research in the Preston University, EMBA pupils have rated the different air hoses in the undermentioned mode. Properties Pia Air Blue Shaheen Air Finishs 6 5 4 Punctuality 5 6 4 Quality Food 5 6 5 Customer service 6 5 5 Economic 5 5 5 Technological Promotions 5 5 5 Servicess 5 5 4 Corporate image 6 3 4 Entire Points 43 40 36

Analysis of the Death Penalty and Presidential, Parliamentary Systems Essay

Analysis of the Death Penalty and Presidential, Parliamentary Systems - Essay Example Justices can often state in their decisions what they believe is right or wrong, but this can sometimes be in contradiction to their overall decision. Thus, overall, a Supreme Court decision would offer a verdict and explain that it is valid because it complies with the Constitution and other laws. An editorial would be more rhetorical in nature, as it would not cite the legality of the death penalty as well as its preceding use as evidence supporting its current use, as this would be arguing why the death penalty is Constitutional or not. Instead, the editorial would persuade the reader why the death penalty is or is not necessary, efficient, or of use, regardless of its legal status, and thus the writer would have a goal of being subjective and persuasive rather than objective and decisive. 2. Official agreements between countries tend to closely resemble the structure of a contract. They provide for the conditions of the contract, the duration of the contract, and who is involved. They would also list exceptions and contingencies for violation of the contracts. It would, of course, be written and express, rather than being verbal or implied, so that the relationship and agreement between countries are clearly defined and stated.

Opposition to Medical Marijuana Essay Example | Topics and Well Written Essays - 2500 words

Opposition to Medical Marijuana - Essay Example Over the past two decades, however, a growing controversy has arisen regarding the classification of marijuana as having no legitimate medical purpose. There is growing support among the public and the medical community to rewrite the laws currently prohibiting use of marijuana so that its medical benefits can be of use for those with no other outlet. Marijuana has been used for medical purposes in the U.S. since at least the 19th century. Legal at the time, the drug was instantly popular as a treatment for pain ranging form headaches to menstrual cramps. Of course, simply using a drug to treat pain is not the same as evidence that it does treat the pain. Proponents of legalizing marijuana use for medical reasons raise evidence that marijuana has been proven effective in treating everything from glaucoma to cancer. It has even been hailed as being capable of prolonging the life of Aids patients. Closer scrutiny of the available scientific research, however, reveals that marijuana simply falls far short of what is commonly considered a medical treatment. Dr. Lester Grinspoon, an associate professor of psychiatry at Harvard, is one of those leading the call for reclassifying marijuana so that it can be used as a medicine. ... on would be unthinkable." Grinspoon is apparently willing to ignore that at one time or another throughout history a large majority of doctors were firm believers in treatments that run directly counter to the overwhelming majority opinion today. Indeed, the very idea that just because a minority of doctors would make a suggestion then that makes strengthens your case is fallacious. After all, if 44% said they would recommend marijuana treatment, doesn't that by definition mean that 56% of doctors would advise against it Grinspoon certainly does not rest his case based solely upon physician surveys, but the fact that puts such stock in the findings does not help his credibility. The credibility of the pro-medicinal marijuana movement cannot help but be considered a large issue. Opponents typically take the argument that the movement to allow legal medicinal use is just the first step in a plan to decriminalize marijuana entirely. This perspective has not been helped by certain facets of the pro-legalization movement. A former director of Director of National Organization for the Reform of Marijuana Laws (NORML), Keith Stroup, addressed the true motivation of the push to legalize marijuana for medicinal use as far back as 1979 when he gave a speech at Emory University audience that "medicinal marijuana would be used as a red herring to give marijuana a good name" (Souder, and Zimmer). Richard Cowan, a writer for the pro-marijuana High Times Magazine, would be even more explicit, explaining in no uncertain terms how the pro-legalization movement has used "medical model as spearheading a strategy for the legalization of marijuana by 1997" (Souder, and Zimmer). The movement suffered a major setback in 1997 failed to get a ballot initiative passed in