MG 2452 ENGINEERING ECONOMICS AND FINANCIAL ACCOUNTING (Regulation 2008) Time : Three hours Maximum : 100 Marks Answer

ALL questions PART A (10 2 = 20 Marks) 1. Define Managerial Economics. 2. Define the concept of Firm. 3. State law of supply with diagram. 4. Define Elasticity of Demand. 5. What do you mean by Money cost and Real cost? 6. Give two examples for implicit cost and explicit cost. 7. State Capital Budgeting and Investment with example. 8. Explain Internal Rate of Return. 9. When do firm adopt Marginal Cost pricing? 10. Mention any two advantages of cost plus pricing. PART B (5 16 = 80 Marks) 11. (a) (i) Explain the relationship of Managerial Economics with other disciplines. (4) (ii) Discuss in detail the Nature of Managerial Economics. (12) Or (b) (i) "Managerial Economics is Economics applied in Decision Making" Discuss. (8) (ii) Explain the goals of the firm. (8) 12. (a) (i) Define law of demand and explain types of demand with diagram.(10) (ii) Why does the demand curve slopes downward? (6) Or (b) (i) What are the reasons for the exceptions of the Demand Curve? Explain. (8) (ii) Describe the Elasticity of Supply. (8) 13. (a) (i) Write a short note on Isoquant and its types. (10) (ii) Elucidate the returns to scale. (6) Or (b) (i) Describe cost of production in the long run average cost curve. (8) (ii) What are the factors affecting production function? Discuss. (8) 14. (a) (i) Write a note on cost-oriented pricing. (10) (ii) Explain common pricing practices in Retail Trade. (6) Or (b) (i) Describe price Discriminations. (7) (ii) Explain the limitations of the Marginal cost pricing. (9) 15. (a) (i) Write briefly on the limitations of financial statements. (8) (ii) Give the meaning of Ratio analysis and its significance. (8)

Or (b) (i) What are the steps involved in Net Present Value Method(NPV)? (8) (ii) Explain Pay Back method in detail. (8)

B.E / B.Tech. Degree Examination, November / December 2005 VII SEMSTER Electrical and Electronics Engineering MG 431-Engineering Economics and Financial Accounting Time: 3hrs Max .Marks: 100 Answer all questions PART A (10 x 2 = 20 Marks) 1. List the factors influencing managerial decision. i) Economic factors ii) Technological factors iii) Environmental factors and iv) Human factors 2. Define managerial economics 3. What is demand forecast? 4. State four determinants of demand 5. Define production function. 6. How do you estimate cost? 7. List out the various pricing methods. 8. What are determinants of price? 9. What is key concept of cash flow? 10. Name any two methods of evolving investment decision.

PART B (5 x 16 = 80 Marks) 11. (i) Briefly explain the basic tools in managerial economics

11. (ii) Discuss the various theoretical concepts in managerial decisions. 12. (a) Explain the various methods of demand forecasting with merits and demerits 12. (b) (i) Explain the meaning of elasticity. 12. (b) (ii) What are the methods to measure the elasticity of demand? Explain them. 13. (a) (i) Explain the cost-output relationship. 13. (a) (ii) Differentiate the concepts in accounting cost and economic cost. 13. (b) (i) What is meant by statistical production function? 13. (b) (ii) Discuss the different managerial uses of production function. 14. (a) Briefly discuss pricing under different market conditions. 14. (b) Explain the different methods of pricing. 15. (a) Discuss some of the modern methods of investment evaluation with their merits and demerits. 15. (b) Explain the purpose of preparing balance sheet and list out important details furnished in a balance sheet of company.