Lucknow University B.Com. (Hons.) 1st Semester Question Papers 2026

This page contains complete, previous-year-style model question papers for all 6 core B.Com. (Hons.) Semester I papers under the Lucknow University NEP syllabus: Financial Accounting, Financial Mathematics, Foreign Trade of India, Principles of Economics, Essentials of Management, and Indian Economy & Public Finance. Each subject has 5 full model sets (Set A to Set E), with 10 questions per set of 14 marks each (answer any five, maximum marks 70), prepared by LUUPDATE for focused exam practice. These are B.Com. Hons Semester I old-paper-style question banks meant to help you understand the exact pattern, unit-wise weightage and difficulty level you should expect in your actual university examination for the BCom Hons NEP 1st Semester question paper.

Financial Accounting (Paper: BCH 101)

Financial Accounting (Paper: BCH 101, Maximum Marks 70) covers Accounting Meaning, Definitions, Functions, Objectives, Nature, Scope, Limitations and Branches, Accounting as an Information System, Accounting Principles, Concepts, Conventions and Accounting Standards, and the Basic Accounting Process (Journal, Ledger, Trial Balance, Double Entry System); Business Income Measurement, Capital and Revenue, Final Accounts of Non-Corporate Entities and Non-Profit Organisations, and Accounting for Depreciation; Hire Purchase System, Installment Payment System, Branch Accounting and Lease Accounting; and Voyage Accounts, Accounting for Insurance Claims and Royalty Accounts. Time: 3 Hours, Maximum Marks: 70. Answer any five of the ten questions given below; all questions carry equal marks (14 each). The five sets below (Set A to Set E) give you full practice coverage across every unit of the syllabus.

Set A

Q1. Explain the meaning and definition of accounting. Discuss its functions, objectives, nature and scope, and point out the major limitations from which accounting suffers. [14]

Q2. Discuss the various branches of accounting, namely Financial Accounting, Cost Accounting and Management Accounting, bringing out the distinguishing features of each. Explain accounting as an information system and identify its principal internal and external users. [14]

Q3. Explain the concept of business income and discuss the problems involved in its measurement. Distinguish between Capital Expenditure and Revenue Expenditure, and between Capital Receipts and Revenue Receipts, with suitable examples. [14]

Q4. Classify the following items into Capital Expenditure and Revenue Expenditure, giving reasons for your classification, and state the effect of a wrong classification on the Final Accounts of a business : (1) Wages paid for installation of a new machine. (2) Cost of repairs to an existing machine. (3) Legal expenses incurred in raising a loan. (4) White-washing of factory building. (5) Amount spent on replacement of a worn-out part of machinery. (6) Freight paid on purchase of a new delivery van. (7) Annual insurance premium on a building. (8) Cost of extension of factory shed. (9) Depreciation on furniture. (10) Amount spent on a court case to defend the title to fixed assets. [14]

Q5. From the following Trial Balance of a trader as on 31st March, prepare Trading and Profit and Loss Account for the year ended 31st March and a Balance Sheet as on that date, after giving effect to the adjustments given below : Opening Stock Rs. 40,000; Purchases Rs. 4,00,000; Wages Rs. 18,000; Carriage Inwards Rs. 6,000; Salaries Rs. 30,000; Rent and Taxes Rs. 14,000; Sundry Debtors Rs. 90,000; Furniture and Fixtures Rs. 70,000; Cash at Bank Rs. 42,000; Cash in Hand Rs. 8,000; Drawings Rs. 25,000; Bad Debts Rs. 3,000; Sales Returns Rs. 7,000; Capital Rs. 3,00,000; Sales Rs. 4,20,000; Purchase Returns Rs. 5,000; Provision for Doubtful Debts Rs. 4,000; Discount Received Rs. 3,000; Sundry Creditors Rs. 21,000. Adjustments : (a) Closing Stock Rs. 55,000. (b) Outstanding Salaries Rs. 4,000. (c) Prepaid Rent and Taxes Rs. 2,000. (d) Provide depreciation on Furniture and Fixtures at 10 percent per annum. (e) Maintain Provision for Doubtful Debts at 5 percent on Sundry Debtors. [14]

Q6. Explain the meaning and essential features of the Hire Purchase System. Distinguish it from an ordinary Sale on Credit and from the Installment Payment System. [14]

Q7. A trader purchased a machine under a hire purchase agreement, paying Rs. 40,000 as down payment, followed by three annual installments of Rs. 50,000, Rs. 45,000 and Rs. 40,000 payable at the end of each year. Interest is charged at 10 percent per annum on the outstanding balance. Calculate the cash price of the machine and the amount of interest included in each installment, using the Interest Ratio (Outstanding Balance) Method. [14]

Q8. A machine was purchased under a hire purchase agreement for a total hire purchase price of Rs. 3,60,000, payable as a down payment of Rs. 45,000 followed by three equal annual installments, the cash price of the machine being Rs. 2,85,000. Calculate the amount of each annual installment and the interest included in each installment, apportioning the total interest amongst the three years in the ratio of 3 : 2 : 1. [14]

Q9. Explain the meaning and distinctive features of Voyage Accounts. Distinguish a Voyage Account from a Branch Account and a Departmental Account, and explain the treatment of an incomplete voyage at the end of the accounting year. [14]

Q10. A ship owner undertook a voyage during the year. Freight earned on the voyage amounted to Rs. 8,50,000. The voyage expenses incurred were : Fuel Rs. 2,20,000; Port Charges Rs. 60,000; Wages of Crew Rs. 1,50,000; Insurance Rs. 40,000; Provisions and Stores Rs. 35,000; and Repairs Rs. 25,000. At the close of the year, the voyage was still incomplete and further expenses of Rs. 30,000 were outstanding in respect of it. Prepare the Voyage Account, carrying down the net result of the voyage to the following year. [14]

Set B

Q1. Explain the meaning of Generally Accepted Accounting Principles (GAAP). Discuss the following accounting concepts with suitable examples: (a) Business Entity Concept, (b) Going Concern Concept, (c) Money Measurement Concept, (d) Dual Aspect Concept, and (e) Accrual Concept. [14]

Q2. Explain the following accounting conventions with suitable examples: (a) Convention of Consistency, (b) Convention of Conservatism (Prudence), (c) Convention of Full Disclosure, and (d) Convention of Materiality. [14]

Q3. From the following Trial Balance of a sole trader as on 31st March, prepare the Trading and Profit and Loss Account for the year ended 31st March and a Balance Sheet as on that date, incorporating the adjustments given below : Opening Stock Rs. 55,000; Purchases Rs. 5,10,000; Wages Rs. 24,000; Carriage Outwards Rs. 9,000; Salaries Rs. 42,000; Insurance Rs. 8,000; Sundry Debtors Rs. 1,10,000; Plant and Machinery Rs. 1,50,000; Cash at Bank Rs. 38,000; Cash in Hand Rs. 6,000; Drawings Rs. 30,000; Advertisement Rs. 10,000; Capital Rs. 4,00,000; Sales Rs. 5,20,000; Provision for Doubtful Debts Rs. 5,000; Bills Payable Rs. 20,000; Discount Received Rs. 4,000; Sundry Creditors Rs. 43,000. Adjustments : (a) Closing Stock valued at Rs. 70,000. (b) Insurance prepaid Rs. 2,000. (c) Depreciate Plant and Machinery by 10 percent per annum. (d) Write off further Bad Debts of Rs. 3,000 and maintain Provision for Doubtful Debts at 5 percent on Sundry Debtors. (e) Advertisement of Rs. 4,000 is to be carried forward as a deferred revenue expense. [14]

Q4. From the following Trial Balance of a sole trader as on 31st March, prepare Final Accounts for the year ended 31st March after giving effect to the adjustments stated below : Opening Stock Rs. 62,000; Purchases Rs. 6,20,000; Carriage Inwards Rs. 11,000; Salaries and Wages Rs. 55,000; Rent Rs. 20,000; General Expenses Rs. 9,000; Sundry Debtors Rs. 1,30,000; Land and Building Rs. 2,50,000; Cash at Bank Rs. 45,000; Cash in Hand Rs. 7,000; Drawings Rs. 28,000; Sales Returns Rs. 10,000; Bad Debts Rs. 4,000; Capital Rs. 5,00,000; Sales Rs. 6,00,000; Purchase Returns Rs. 8,000; Provision for Doubtful Debts Rs. 6,000; Sundry Creditors Rs. 95,000; Bank Loan Rs. 42,000. Adjustments : (a) Closing Stock Rs. 90,000. (b) Rent outstanding Rs. 3,000. (c) Depreciate Land and Building by 5 percent per annum. (d) Maintain Provision for Doubtful Debts at 4 percent on Sundry Debtors. (e) Interest accrued on Bank Loan Rs. 2,500, not yet paid. [14]

Q5. Explain the meaning and distinctive features of a Non-Profit Organisation. Distinguish between a Receipts and Payments Account and an Income and Expenditure Account, bringing out the principal differences between the two. [14]

Q6. A trader purchased machinery under a hire purchase agreement whose cash price is Rs. 1,90,000. He paid Rs. 40,000 as down payment and the balance in three equal annual installments, the total hire purchase price being Rs. 2,20,000. Interest is to be apportioned amongst the three years in the ratio of 3 : 2 : 1. Depreciation is to be charged at 10 percent per annum on the Written Down Value of the cash price. Prepare the Machinery Account, the Vendor's Account and the Interest Account in the books of the purchaser for all three years, assuming the Asset Accrual (full cash price) method is followed. [14]

Q7. A dealer sold a machine under a hire purchase agreement for a cash price of Rs. 2,40,000. The purchaser paid Rs. 40,000 as down payment and agreed to pay the balance in three equal annual installments of Rs. 80,000 each, together with interest. Depreciation is charged by the purchaser at 20 percent per annum on the Written Down Value. The purchaser paid the down payment and the first installment, but failed to pay the second installment, whereupon the dealer repossessed the machine, valuing it at Rs. 1,50,000. Show the necessary Ledger Accounts in the books of both the vendor and the purchaser, computing the loss on repossession. [14]

Q8. Under an Installment Payment System, a trader agreed to sell a machine (ownership passing immediately to the buyer) for a cash price of Rs. 96,000, to be paid by a down payment of Rs. 16,000 and four equal annual installments totaling Rs. 1,28,000 in all. Interest is to be apportioned amongst the four years in the ratio of 4 : 3 : 2 : 1. Prepare the Machinery Account, the Vendor's Account and the Interest Account in the books of the buyer for all four years. [14]

Q9. Explain the meaning of Insurance Claims for Loss of Stock. Discuss the meaning and need for the Average Clause in a fire insurance policy, illustrating with a formula how the claim is reduced when the policy amount is less than the value of stock on the date of fire. [14]

Q10. A fire occurred in the godown of a trader on 30th June, destroying a part of the stock. From the following particulars, ascertain the value of stock on the date of fire by preparing a Memorandum Trading Account, and then compute the amount of the insurance claim after applying the Average Clause : Stock on 1st April (Opening Stock) Rs. 80,000; Purchases from 1st April to 30th June Rs. 4,60,000; Sales from 1st April to 30th June Rs. 6,00,000; Rate of Gross Profit 25 percent on Sales; Value of stock salvaged from the fire Rs. 15,000; Amount of the fire insurance policy Rs. 60,000. [14]

Set C

Q1. Explain the meaning, need and objectives of Accounting Standards. Discuss briefly the process of formulation of Accounting Standards in India by the Institute of Chartered Accountants of India, and examine the significance of convergence of Indian Accounting Standards (Ind AS) with International Financial Reporting Standards (IFRS). [14]

Q2. Distinguish between the Double Entry System and the Single Entry System of book-keeping. Explain the meaning of the Cash System and the Mercantile (Accrual) System of accounting, bringing out the circumstances in which each is used. [14]

Q3. From the following Receipts and Payments Account of a Recreation Club for the year ended 31st March, prepare an Income and Expenditure Account for the year and a Balance Sheet as on that date : Opening Cash Balance Rs. 12,000; Subscriptions received Rs. 1,85,000; Donations received Rs. 20,000; Entrance Fees received Rs. 8,000; Interest on Investments received Rs. 6,000; Salaries paid Rs. 60,000; Rent paid Rs. 24,000; Printing and Stationery paid Rs. 9,000; Sports Equipment purchased Rs. 40,000; General Expenses paid Rs. 15,000; Investments purchased Rs. 50,000. Additional Information : (a) Subscriptions outstanding for the current year Rs. 8,000. (b) Rent outstanding Rs. 2,000. (c) Depreciate Sports Equipment by 10 percent. Donations are to be treated as a revenue receipt. [14]

Q4. From the following Receipts and Payments Account of a Literary Society for the year ended 31st March, prepare an Income and Expenditure Account for the year ended 31st March and a Balance Sheet as on that date : Opening Cash Balance Rs. 9,000; Subscriptions received Rs. 1,42,000 (including Rs. 6,000 received in advance for the next year); Life Membership Fees received Rs. 15,000; Sale of Old Newspapers Rs. 2,000; Salaries paid Rs. 48,000; Electricity Charges paid Rs. 7,000; Books purchased Rs. 30,000; Furniture purchased Rs. 25,000; Miscellaneous Expenses paid Rs. 6,000. Additional Information : Subscriptions outstanding for the current year Rs. 5,000. Life Membership Fees are to be capitalised. [14]

Q5. Explain the meaning, causes and need for providing depreciation on fixed assets. Discuss the various factors that should be considered while determining the amount of depreciation to be charged in a given accounting year. [14]

Q6. Distinguish between the Hire Purchase System and the Installment Payment System, bringing out clearly the differences relating to passing of ownership, right of repossession and the accounting treatment of default, in each system. [14]

Q7. Explain the meaning of a branch and discuss the various types of branches. Describe the methods generally followed for recording branch transactions in the books of the Head Office in the case of a dependent branch. [14]

Q8. A Head Office invoices goods to its Branch at cost. From the following particulars relating to the Branch for the year ended 31st March, prepare the Branch Account in the books of the Head Office under the Debtors Method : Opening Stock at Branch Rs. 20,000; Opening Balance of Branch Debtors Rs. 15,000; Goods sent to Branch during the year Rs. 1,80,000; Cash Sales Rs. 90,000; Credit Sales Rs. 1,20,000; Cash received from Branch Debtors Rs. 1,00,000; Discount allowed to Debtors Rs. 2,000; Bad Debts written off Rs. 3,000; Goods returned by Debtors to the Branch Rs. 4,000; Expenses (Rent, Salaries, etc.) paid by the Head Office on behalf of the Branch Rs. 25,000; Closing Stock at Branch Rs. 30,000; Closing Balance of Branch Debtors Rs. 26,000. [14]

Q9. A fire broke out in the warehouse of a trader on 30th June, destroying a major part of the stock. From the particulars given below, ascertain the value of stock on the date of fire by preparing a Memorandum Trading Account, and compute the amount of the insurance claim : Stock on 1st April Rs. 50,000; Purchases from 1st April to 30th June Rs. 2,00,000; Sales from 1st April to 30th June Rs. 2,40,000; Rate of Gross Profit 20 percent on Sales; Value of stock salvaged Rs. 20,000; Amount of the fire insurance policy Rs. 1,00,000. [14]

Q10. Explain the meaning and purpose of a Loss of Profit (Consequential Loss) Insurance Policy, and discuss the meaning of the following terms used in connection with such a policy : (a) Standard Turnover, (b) Short Sales, (c) Rate of Gross Profit, (d) Increased Cost of Working, and (e) the Average Clause as applied to a Loss of Profit Policy. [14]

Set D

Q1. From the following transactions of Mr. Rajesh for the month of April, pass Journal entries and post them to the Ledger : (1) Started business with cash Rs. 1,50,000. (2) Deposited Rs. 90,000 into bank. (3) Purchased furniture for cash Rs. 20,000. (4) Purchased goods for cash Rs. 60,000. (5) Purchased goods from Mohan on credit Rs. 40,000. (6) Sold goods for cash Rs. 35,000. (7) Sold goods to Suresh on credit Rs. 50,000. (8) Paid rent Rs. 6,000. (9) Received commission Rs. 4,000. (10) Withdrew cash for personal use Rs. 5,000. (11) Paid to Mohan Rs. 25,000 in full settlement. (12) Received from Suresh Rs. 30,000 on account. [14]

Q2. The following balances have been extracted from the books of a trader as on 31st March : Drawings Rs. 15,000; Purchases Rs. 2,60,000; Sundry Debtors Rs. 90,000; Opening Stock Rs. 40,000; Furniture Rs. 60,000; Cash at Bank Rs. 35,000; Cash in Hand Rs. 10,000; Wages Rs. 22,000; Salaries Rs. 18,000; Sales Returns Rs. 8,000; Carriage Inwards Rs. 5,000; Capital Rs. 2,50,000; Sales Rs. 2,90,000; Purchase Returns Rs. 6,000; and Sundry Creditors (amount not stated). Prepare a Trial Balance as on 31st March, showing the amount of Sundry Creditors as the balancing figure. [14]

Q3. A machine is purchased on 1st April for Rs. 5,00,000. Its estimated useful life is 9 years and its estimated scrap value at the end of its useful life is Rs. 50,000. Prepare the Machine Account for the first three years, charging depreciation under the Straight Line Method, assuming accounts are closed on 31st March every year. [14]

Q4. A machine is purchased on 1st April for Rs. 4,00,000. Depreciation is to be charged at 20 percent per annum under the Written Down Value (Diminishing Balance) Method. Prepare the Machine Account for the first three years, assuming accounts are closed on 31st March every year. [14]

Q5. A machine was purchased on 1st April for Rs. 6,00,000. It is estimated to have a useful life of 10 years with a scrap value of Rs. 60,000 at the end of its life, and depreciation has been charged for the first three years on the Straight Line Method. At the beginning of the fourth year, the firm decides to change the method of depreciation to the Written Down Value Method at 15 percent per annum, with retrospective effect from the date of purchase, the adjustment being made in the fourth year. Show the necessary computation of the adjustment required in the fourth year on account of the change of method. [14]

Q6. A Head Office invoices goods to its Branch at cost plus 25 percent. From the following information relating to the year ended 31st March, prepare the Branch Stock Account, the Branch Adjustment Account and the Branch Debtors Account (or the Branch Profit and Loss Account, as applicable), all at invoice price, in the books of the Head Office under the Stock and Debtors Method : Opening Stock at Branch (at invoice price) Rs. 40,000; Goods invoiced to Branch during the year (at invoice price) Rs. 2,40,000; Goods returned by Branch to Head Office (at invoice price) Rs. 10,000; Normal Loss of goods at Branch (at invoice price) Rs. 5,000; Closing Stock at Branch (at invoice price) Rs. 15,000; Total Sales at the Branch (Cash Rs. 1,00,000 and Credit Rs. 1,50,000) Rs. 2,50,000; Expenses paid by Head Office on behalf of the Branch Rs. 20,000. [14]

Q7. The following is the Trial Balance of an Independent Branch as on 31st March : Opening Stock Rs. 25,000; Purchases Rs. 1,50,000; Wages Rs. 10,000; Salaries Rs. 15,000; Rent Rs. 8,000; Sundry Debtors Rs. 40,000; Cash Rs. 12,000; Furniture Rs. 30,000; Sales Rs. 2,20,000; Sundry Creditors Rs. 15,000; Head Office Current Account Rs. 55,000 (Credit). Closing Stock as on 31st March was valued at Rs. 35,000. Prepare the Branch Trading and Profit and Loss Account and the Branch Balance Sheet as on 31st March, treating the Branch as an independent unit. [14]

Q8. Explain the meaning of a lease and discuss the distinction between an Operating Lease and a Finance Lease, with reference to the criteria commonly used for classifying a lease as a finance lease. [14]

Q9. A fire occurred in the factory of a trader, on account of which the business remained partially disrupted and its turnover for the year was adversely affected. From the following particulars, compute the amount of the claim under a Loss of Profit Policy, applying the Average Clause : Turnover for the twelve months before the date of the fire (Standard Turnover, adjusted for trend) Rs. 20,00,000; Short Sales during the indemnity period on account of the fire Rs. 3,00,000; Net Profit for the year preceding the fire Rs. 2,40,000; Insured Standing Charges for the same year Rs. 1,60,000; Additional expenditure (Increased Cost of Working) actually and necessarily incurred to avoid a reduction in turnover during the indemnity period Rs. 40,000; Amount of the Loss of Profit Policy Rs. 3,50,000; Annual Turnover (adjusted) for average clause purposes Rs. 21,00,000. [14]

Q10. Explain the meaning of a Royalty and distinguish it from Rent. Explain the meaning of Minimum Rent, Shortworkings and Recoupment of Shortworkings in connection with a royalty agreement, and describe the accounting treatment of Shortworkings in the books of the lessee and their disclosure in the Final Accounts. [14]

Set E

Q1. From the following transactions of Miss Anita for the month of May, pass Journal entries, post them to the Ledger and prepare a Trial Balance as on 31st May : (1) Started business with cash Rs. 2,00,000 and goods worth Rs. 30,000. (2) Bought machinery for cash Rs. 50,000. (3) Purchased goods from Ramesh on credit Rs. 60,000. (4) Sold goods to Suresh on credit Rs. 45,000. (5) Paid wages Rs. 8,000. (6) Received Rs. 40,000 from Suresh in full settlement. (7) Paid Rs. 55,000 to Ramesh in full settlement. (8) Sold goods for cash Rs. 25,000. (9) Paid electricity charges Rs. 3,000. (10) Withdrew Rs. 6,000 cash for personal use. (11) Purchased stationery for cash Rs. 2,000. (12) Paid insurance premium Rs. 4,000. [14]

Q2. Explain the meaning and classification of errors disclosed and not disclosed by a Trial Balance. Discuss the use of a Suspense Account in the rectification of one-sided errors, illustrating your answer with a brief example. [14]

Q3. On 1st April Year 1, a firm purchased a machine for Rs. 3,00,000. On 1st October Year 2, it purchased an additional machine for Rs. 1,00,000. On 30th September Year 3, the machine purchased on 1st April Year 1 was sold for Rs. 2,50,000. Depreciation is charged at 10 percent per annum on the Straight Line Method, and accounts are closed on 31st March every year. Prepare the Machinery Account for the three years ended 31st March Year 2, Year 3 and Year 4, and ascertain the profit or loss on sale of the machine. [14]

Q4. Distinguish between the Straight Line Method and the Written Down Value Method of providing depreciation. Explain the two methods of recording depreciation in the books of account, namely (a) by charging depreciation to the Asset Account, and (b) by creating a Provision for Depreciation Account, bringing out the accounting entries under each method. [14]

Q5. On 1st April Year 1, a firm purchased machinery for Rs. 8,00,000. On 1st July Year 2, it purchased additional machinery for Rs. 2,00,000. On 1st January Year 3, machinery having a book value of Rs. 4,00,000 as on 1st April Year 1 was sold for Rs. 1,50,000. Depreciation is provided at 10 percent per annum on the Written Down Value Method, and accounts are closed on 31st March every year. Prepare the Machinery Account for the three years ended 31st March Year 2, Year 3 and Year 4. [14]

Q6. A company is considering whether to purchase a machine for Rs. 10,00,000 by raising a loan carrying interest at 12 percent per annum, or to acquire it on lease at an annual lease rental of Rs. 2,60,000 payable in advance (that is, at the beginning of each year) for 5 years. Using a discount rate of 12 percent, compute the present value of the total cash outflow under the leasing option (ignore taxation) and explain the basis on which the lessee should evaluate the buy-versus-lease decision. (Present Value factors at 12 percent: Year 1 = 0.893, Year 2 = 0.797, Year 3 = 0.712, Year 4 = 0.636, Year 5 = 0.567.) [14]

Q7. A leasing company proposes to lease out an asset costing Rs. 9,00,000 for a period of 4 years, with lease rentals receivable at the end of each year. If the company desires a rate of return of 14 percent per annum on its investment, calculate the amount of the equal annual lease rental it should charge, using the Present Value Annuity Factor at 14 percent for 4 years (Present Value factors at 14 percent: Year 1 = 0.877, Year 2 = 0.769, Year 3 = 0.675, Year 4 = 0.592). [14]

Q8. Discuss the advantages and disadvantages of leasing as a source of acquiring the use of an asset, from the point of view of both the lessee and the lessor. [14]

Q9. A colliery company took a mine on lease from a landlord on a royalty of Rs. 6 per tonne of coal raised, subject to a Minimum Rent of Rs. 60,000 per annum. Shortworkings, if any, are recoverable out of the royalties of the two years immediately following the year in which they arise. The output of the mine for the first five years was as follows : Year 1 : 4,000 tonnes; Year 2 : 6,000 tonnes; Year 3 : 9,000 tonnes; Year 4 : 12,000 tonnes; Year 5 : 11,000 tonnes. Prepare the Royalty Account, the Shortworkings Account and the Landlord's Account in the books of the colliery company for all five years, indicating clearly the amount of Shortworkings, if any, that lapses on account of the recoupment period having expired. [14]

Q10. A lessee took a mine on lease on a royalty of Rs. 8 per tonne of mineral raised, subject to a Minimum Rent of Rs. 1,00,000 per annum. Shortworkings are recoverable only out of the royalties of the two years next following the year in which they arise. Due to a strike lasting 3 months, the output in the third year was adversely affected, and it was agreed that in the event of a strike, the Minimum Rent for that year would be reduced proportionately with reference to the period of the strike. The output for four years was as follows : Year 1 : 8,000 tonnes; Year 2 : 15,000 tonnes; Year 3 (affected by strike) : 6,000 tonnes; Year 4 : 14,000 tonnes. Prepare the Royalty Account, the Shortworkings Account and the Landlord's Account in the books of the lessee for all four years. [14]

Financial Mathematics (Paper: BCH 102)

Financial Mathematics (Paper: BCH 102, Maximum Marks 70) covers fundamental concepts of Financial Mathematics, Simple and Compound Interest, Effective Rate, Nominal Rate and Force of Interest, and calculation of Accumulated Value under different kinds of interest rates; Present Value calculation, Discount Rate, Nominal and Effective Rate of Discount, and Equation of Payments; Valuation of Annuities, Present Value of Annuity (including annuity payable p times a period, deferred annuity and varying annuity) and Accumulated Value of Annuity; and Analysis of Annuity - Capital and Interest components of installments, Outstanding Liabilities, Sinking Fund, Reserve Value, Free Policy and Surrender Value of a Policy. Time: 3 Hours, Maximum Marks: 70. Answer any five of the ten questions given below; all questions carry equal marks (14 each). The five sets below (Set A to Set E) give you full practice coverage across every unit of the syllabus.

Set A

Q1. A sum of Rs. 15,000 is invested at simple interest for 4 years at the rate of 8% per annum. Calculate the accumulated (maturity) value of the investment. [14]

Q2. A sum of Rs. 20,000 is invested at compound interest for 5 years at an effective annual rate of interest of 10%. Calculate the accumulated value at the end of the period. [14]

Q3. Calculate the present value of Rs. 50,000 due in 6 years, given an effective annual rate of interest of 8%. [14]

Q4. The effective annual rate of interest is 10%. Calculate the corresponding effective annual rate of discount. [14]

Q5. The effective annual rate of discount is 6%. Calculate the corresponding effective annual rate of interest. [14]

Q6. Calculate the present value of an ordinary annuity of Rs. 5,000 per annum, payable at the end of each year for 8 years, at an effective annual rate of interest of 9%. [14]

Q7. Calculate the present value of an annuity-due of Rs. 5,000 per annum, payable at the beginning of each year for 8 years, at an effective annual rate of interest of 9%. [14]

Q8. Calculate the accumulated value of an ordinary annuity of Rs. 4,000 deposited at the end of each year for 10 years, at an effective annual rate of interest of 8%. [14]

Q9. A loan of Rs. 1,00,000 is to be repaid by 5 equal annual instalments at an effective annual rate of interest of 10%. Calculate the amount of the annual instalment and the interest and capital components contained in the 1st instalment. [14]

Q10. For the loan described in Q. 9 above (Rs. 1,00,000, repaid by 5 equal annual instalments at an effective annual rate of interest of 10%), calculate the outstanding loan balance immediately after the 3rd instalment has been paid. [14]

Set B

Q1. A sum of Rs. 25,000 is invested for 3 years at a nominal annual rate of interest of 8% convertible quarterly. Calculate the accumulated value at the end of 3 years. [14]

Q2. Calculate the effective annual rate of interest that is equivalent to a nominal annual rate of interest of 12% convertible monthly. [14]

Q3. The nominal annual rate of discount, convertible quarterly, is 8%. Calculate the equivalent effective annual rate of discount. [14]

Q4. The effective annual rate of discount is 5%. Calculate the equivalent nominal annual rate of discount convertible monthly. [14]

Q5. Calculate the present value of Rs. 1,00,000 due in 10 years, given a nominal annual rate of interest of 8% convertible half-yearly. [14]

Q6. Calculate the accumulated value of an annuity-due of Rs. 4,000 deposited at the beginning of each year for 10 years, at an effective annual rate of interest of 8%. [14]

Q7. An annuity of Rs. 12,000 per annum is payable in 12 equal monthly instalments for 5 years. Calculate its present value at an effective annual rate of interest of 9%. [14]

Q8. Deposits of Rs. 500 are made at the end of every month for 6 years. Calculate the accumulated value at the end of 6 years, given an effective annual rate of interest of 8%. [14]

Q9. A loan of Rs. 60,000 is repaid by 6 equal annual instalments at an effective annual rate of interest of 9%. Calculate the amount of the annual instalment and the interest and capital components contained in the 4th instalment. [14]

Q10. A company wishes to accumulate a sinking fund of Rs. 5,00,000 at the end of 8 years, to redeem a debenture, by making equal annual deposits into a fund earning an effective annual rate of interest of 8%. Calculate the amount of the annual sinking fund deposit. [14]

Set C

Q1. Find the nominal annual rate of interest, convertible half-yearly, that is equivalent to an effective annual rate of interest of 10.25%. [14]

Q2. A sum of Rs. 10,000 is invested for 5 years under continuous compounding at a constant force of interest of 10% per annum. Calculate the accumulated value at the end of 5 years. [14]

Q3. Assuming a constant force of interest of 7% per annum, calculate the present value of Rs. 30,000 due in 4 years. [14]

Q4. A sum invested today accumulates to Rs. 40,000 at the end of 5 years at an effective annual rate of interest of 9%. Calculate the sum invested today. [14]

Q5. A person owes Rs. 10,000 due in 2 years and Rs. 15,000 due in 5 years. Using an equation of value at an effective annual rate of interest of 8%, calculate the single payment that would discharge both debts today. [14]

Q6. An annuity of Rs. 6,000 per annum is payable for 10 years, with the first payment made at the end of the 4th year (i.e., deferred for 3 years). Calculate its present value at an effective annual rate of interest of 8%. [14]

Q7. An annuity pays Rs. 1,000 at the end of the first year, increasing by Rs. 1,000 at the end of each subsequent year, for 5 years (i.e., payments of Rs. 1,000, Rs. 2,000, Rs. 3,000, Rs. 4,000 and Rs. 5,000). Calculate the present value of this varying annuity at an effective annual rate of interest of 10%. [14]

Q8. An annuity pays Rs. 5,000 at the end of the first year, decreasing by Rs. 500 at the end of each subsequent year, for 6 years. Calculate the present value of this varying annuity at an effective annual rate of interest of 8%. [14]

Q9. A sinking fund of Rs. 2,00,000 is to be accumulated at the end of 5 years by equal deposits made at the end of every quarter, at a nominal annual rate of interest of 8% convertible quarterly. Calculate the quarterly sinking fund deposit. [14]

Q10. An endowment policy with a sum assured of Rs. 1,00,000, maturing at the end of 10 years, is funded by a level annual premium payable for 10 years, calculated at a valuation rate of interest of 6% per annum. Calculate the level annual premium and the prospective reserve value of the policy at the end of the 6th year. [14]

Set D

Q1. If money is invested at an effective annual rate of interest of 6%, calculate the equivalent constant force of interest per annum, correct to four decimal places. [14]

Q2. A sum of Rs. 50,000 is invested for 2 years at a nominal annual rate of interest of 9% convertible monthly. Calculate the accumulated value at the end of 2 years. [14]

Q3. Debts of Rs. 8,000 due in 1 year and Rs. 12,000 due in 3 years are to be replaced by a single equivalent payment made at the end of 2 years. Using an equation of payments at an effective annual rate of interest of 10%, calculate the amount of this single payment. [14]

Q4. A bill of Rs. 20,000 due in 90 days is discounted immediately at a nominal annual simple discount rate of 12% (assume a 360-day year). Calculate the amount of discount and the proceeds received. [14]

Q5. A debt of Rs. 26,450 is due in 3 years. Using simple interest at the rate of 8% per annum, calculate the present (discounted) value of the debt and the true discount. [14]

Q6. An annuity pays Rs. 1,000 at the end of the first year, increasing by Rs. 1,000 at the end of each subsequent year, for 6 years. Calculate the accumulated value of this varying annuity at the end of 6 years, at an effective annual rate of interest of 9%. [14]

Q7. An annuity-due of Rs. 3,000 per annum is payable for 8 years, with the first payment deferred and made at the start of the 3rd year (i.e., deferred for 2 years). Calculate its present value at an effective annual rate of interest of 7%. [14]

Q8. Calculate the annual instalment of an annuity having a present value of Rs. 1,00,000, payable for 10 years, at an effective annual rate of interest of 8%. [14]

Q9. An endowment policy has a sum assured of Rs. 1,50,000, maturing at the end of 12 years, funded by a level annual premium payable for 12 years, calculated at a valuation rate of interest of 7% per annum. Calculate the level annual premium, the prospective reserve value of the policy at the end of the 8th year, and the surrender value payable at that time if the surrender value is fixed at 85% of the reserve value. [14]

Q10. An endowment policy has a sum assured of Rs. 2,00,000, with premiums payable annually over a term of 15 years. If the policyholder discontinues payment of premiums after having paid premiums for 9 years, calculate the value of the free (paid-up) policy on a proportionate (premiums paid to total premiums) basis. [14]

Set E

Q1. Calculate the effective annual rate of interest that is equivalent to a nominal annual rate of interest of 12% convertible daily (assume 365 days in a year). [14]

Q2. A sum of Rs. 12,000 is invested for 3 years at an effective annual rate of interest of 9%. Calculate the simple interest and the compound interest earned over the period, and find the difference between the two. [14]

Q3. The nominal annual rate of discount, convertible half-yearly, is 9%. Calculate the equivalent effective annual rate of discount and the equivalent effective annual rate of interest. [14]

Q4. Calculate the present value of Rs. 75,000 due in 8 years, given a nominal annual rate of interest of 6% convertible monthly. [14]

Q5. A debt of Rs. 50,000 is due in 5 years. Using an effective annual rate of discount of 7%, calculate the present value of the debt. [14]

Q6. A fund is to accumulate to Rs. 2,00,000 at the end of 6 years by equal deposits made at the end of every quarter, at a nominal annual rate of interest of 8% convertible quarterly. Calculate the quarterly deposit. [14]

Q7. A loan is repaid by equal quarterly instalments of Rs. 2,500 for 5 years, at a nominal annual rate of interest of 8% convertible quarterly. Calculate the present value (loan amount) of this annuity. [14]

Q8. Deposits of Rs. 1,500 are made at the end of every quarter for 4 years, at a nominal annual rate of interest of 8% convertible quarterly. Calculate the accumulated value at the end of 4 years. [14]

Q9. Calculate the value (price) of a bond having a face value of Rs. 1,000, carrying an annual coupon rate of 8% and redeemable at par at the end of 6 years, if the required yield rate is 10% per annum effective. [14]

Q10. Calculate the value (price) of a bond having a face value of Rs. 5,000, carrying an annual coupon rate of 9% and redeemable at Rs. 5,500 at the end of 5 years, if the required yield rate is 8% per annum effective. [14]

Foreign Trade of India (Paper: BCH 103)

Foreign Trade of India (Paper: BCH 103, Maximum Marks 70) covers Trade Meaning and Types, Internal vs. International Trade, Theories of International Trade, India's Internal Trade, Coastal Trade and Trade of Uttar Pradesh, Terms of Trade and Trade Terminology; Foreign Trade of India Before Independence and During the Planning Period, Recent Trends, and Major Items of Exports and Imports; Free Trade and Protective Trade Policies, India's Major Trading Partners, Financing of Foreign Trade (EXIM Bank, ECGC), STC, MMTC, SEZ, EPZ and Export Promotion; and Strategy for Trade Policy in India, Recent World Trade Scenario, Bilateral and Multilateral Trade Agreements, GATT, UNCTAD, WTO and India's Balance of Trade. Time: 3 Hours, Maximum Marks: 70. Answer any five of the ten questions given below; all questions carry equal marks (14 each). The five sets below (Set A to Set E) give you full practice coverage across every unit of the syllabus.

Set A

Q1. Explain the meaning and various types of trade, and distinguish clearly between internal (domestic) trade and international trade with reference to the basis of distinction, restrictions and mode of settlement. [14]

Q2. Discuss the classical theory of comparative advantage as an explanation of the basis of international trade, and examine its assumptions and limitations. [14]

Q3. Trace the growth and pattern of India's foreign trade during the pre-independence (colonial) period, and examine the manner in which colonial trade policy affected the structure of the Indian economy. [14]

Q4. Discuss the salient features of India's foreign trade during the planning period, and examine the major policy changes that took place from the First Five Year Plan up to the period of liberalisation. [14]

Q5. Distinguish between a free trade policy and a protective trade policy, and discuss the arguments advanced in favour of and against each of these policies. [14]

Q6. Examine the various instruments of protection, such as tariffs, quotas and non-tariff barriers, and discuss their effects on the volume and pattern of a country's foreign trade. [14]

Q7. Discuss India's major trading partners and examine the nature and importance of India's trade relations with the United States, the European Union, China and other significant partner countries. [14]

Q8. Discuss the general developments that have taken place in India's trade policy strategy during the planning period, from import substitution to export promotion. [14]

Q9. Examine the recent scenario of world trade, and discuss the major trends and challenges confronting international trade in the present global environment. [14]

Q10. Discuss the recent changes in India's trade policy, and examine their impact on the country's export performance and integration with the world economy. [14]

Set B

Q1. Explain the Heckscher-Ohlin theory (factor endowment theory) of international trade and discuss how differences in factor endowments between countries determine the pattern of trade. [14]

Q2. Critically examine the various theories of international trade, distinguishing between the classical, neo-classical and modern approaches to explaining why nations trade with one another. [14]

Q3. Examine the recent trends in India's foreign trade with reference to the growth in the volume and value of exports and imports, and discuss the factors responsible for these trends. [14]

Q4. Discuss the changing composition of India's export trade over the years, and examine the shift from the dominance of traditional primary products to manufactured goods and services. [14]

Q5. Explain the meaning and significance of financing of foreign trade, and discuss the various methods by which exporters and importers finance their international trade transactions. [14]

Q6. Discuss the role played by the Export-Import Bank of India (EXIM Bank) in financing and promoting India's foreign trade. [14]

Q7. Examine the role and functions of the Export Credit Guarantee Corporation of India (ECGC) in providing credit insurance and risk cover to Indian exporters. [14]

Q8. Distinguish between bilateral and multilateral trade agreements, and discuss the significance of such trade agreements for a developing country like India. [14]

Q9. Explain the origin and objectives of the General Agreement on Tariffs and Trade (GATT), and discuss its role in the evolution of the multilateral trading system. [14]

Q10. Discuss the role and functions of the United Nations Conference on Trade and Development (UNCTAD) in promoting the trade interests of developing countries. [14]

Set C

Q1. Discuss the meaning, characteristics and importance of India's internal trade, and examine the main problems from which it suffers. [14]

Q2. Examine the structure and organisation of wholesale and retail trade in India, and discuss the changes that have taken place in internal trade with the growth of organised retailing. [14]

Q3. Examine the direction of India's export trade, and discuss the changing importance of different trading regions and countries as destinations for Indian exports. [14]

Q4. Discuss the future prospects of India's major export items in the context of changing global demand conditions and India's comparative advantage. [14]

Q5. Discuss the role of other important national-level institutions engaged in financing and promoting foreign trade in India, apart from the EXIM Bank and ECGC. [14]

Q6. Explain the role played by the State Trading Corporation (STC) and the Metals and Minerals Trading Corporation (MMTC) in the conduct and promotion of India's foreign trade. [14]

Q7. Discuss the concept and objectives of Special Economic Zones (SEZs) and Export Processing Zones (EPZs), and examine their contribution to the promotion of India's exports. [14]

Q8. Examine the origin, objectives and functions of the World Trade Organization (WTO), and discuss its role in regulating and liberalising world trade. [14]

Q9. Critically examine the impact of India's membership of the World Trade Organization (WTO) on the country's foreign trade policy and performance. [14]

Q10. Explain the meaning and components of India's balance of trade and balance of payments, and distinguish clearly between the two concepts. [14]

Set D

Q1. Explain the meaning and significance of coastal trade for a country such as India, and discuss the special features and problems associated with the coastal shipping trade along the Indian coastline. [14]

Q2. Discuss the pattern, composition and importance of the trade of Uttar Pradesh, both in relation to internal trade within India and its contribution to the country's foreign trade. [14]

Q3. Discuss the changing composition of India's import trade, and examine the relative importance of items such as petroleum, capital goods, electronics and gold in India's import basket. [14]

Q4. Examine the direction of India's import trade, and discuss the changing importance of different countries and regions as sources of India's imports. [14]

Q5. Examine the various export promotion measures adopted by the Government of India, and discuss their effectiveness in boosting the country's export performance. [14]

Q6. Examine the trends in India's trade relations with its major trading partners over the last decade, and discuss the factors that have shaped the direction of India's trade. [14]

Q7. Discuss the role of export houses and trading houses in the financing and promotion of India's foreign trade. [14]

Q8. Discuss the causes of disequilibrium in India's balance of payments, and examine the measures adopted by the Government of India to correct such disequilibrium. [14]

Q9. Trace the general developments in India's trade policy strategy since independence, and discuss the major shifts in policy direction that have taken place over successive plan periods. [14]

Q10. Examine the impact of regional trade agreements and trading blocs on the pattern of world trade, and discuss their implications for India's trade policy. [14]

Set E

Q1. Explain the meaning and significance of the term 'terms of trade' in international economics, and discuss the various concepts of terms of trade, such as net barter terms of trade and income terms of trade. [14]

Q2. Explain the important terminology and abbreviations commonly used in international trade, such as FOB, CIF, LC, EXIM, WTO and BOP, and discuss their significance for a student of foreign trade. [14]

Q3. Discuss the future prospects and challenges relating to India's major import items, particularly in the context of the country's energy security and dependence on imported technology. [14]

Q4. Compare the composition and direction of India's exports with its imports, and examine the extent to which the pattern of India's foreign trade has changed since the introduction of economic reforms in 1991. [14]

Q5. Explain the various pre-shipment and post-shipment credit facilities available to Indian exporters, and discuss how these facilities are financed. [14]

Q6. Distinguish between Special Economic Zones (SEZs) and Export Processing Zones (EPZs), bringing out the differences in their objectives, facilities and functioning. [14]

Q7. Critically examine the effectiveness of India's export promotion policy in improving the competitiveness of Indian goods in world markets. [14]

Q8. Discuss the salient features of India's Foreign Trade Policy in recent years, and examine the measures taken to make Indian exports more competitive. [14]

Q9. Explain the functions of the WTO's Dispute Settlement Understanding, and discuss the significance of a rules-based multilateral trading system for developing countries such as India. [14]

Q10. Examine the trends in India's balance of trade and balance of payments over the last decade, and discuss the policy measures needed to achieve a sustainable external balance. [14]

Principles of Economics (Paper: BCH 104)

Principles of Economics (Paper: BCH 104, Maximum Marks 70) covers Definitions of Economics (Smith, Marshall, Robbins, Samuelson), Inductive vs Deductive and Micro vs Macro methods, Equilibrium, Cardinal vs Ordinal approach, Total, Marginal and Average Utility, and the Laws of Diminishing Marginal Utility and Equi-Marginal Utility; Indifference Curve Analysis, Budget Line, Consumer's Equilibrium, Price, Income and Substitution effects, Consumer's Surplus, Demand and Supply, and Elasticity of Demand; and Production, Factors of Production, Law of Variable Proportions, Returns to Scale, Cost concepts and Cost Curves, Revenue concepts, and Market Structures (Perfect Competition, Monopoly and Imperfect Competition). Time: 3 Hours, Maximum Marks: 70. Answer any five of the ten questions given below; all questions carry equal marks (14 each). The five sets below (Set A to Set E) give you full practice coverage across every unit of the syllabus.

Set A

Q1. Discuss the definitions of Economics given by Adam Smith, Marshall, Robbins and Samuelson, and bring out the essential differences between the wealth-centric, welfare-centric, scarcity-based and growth-oriented approaches to the subject. [14]

Q2. Distinguish between the Inductive and Deductive methods of economic analysis, bringing out their respective merits and limitations, and examine which method is more suitable for the study of Economics. [14]

Q3. Explain the properties of Indifference Curves and discuss how Consumer's Equilibrium is determined with the help of Indifference Curve and Budget Line analysis. [14]

Q4. Explain the concept of the Budget Line and discuss the effect of changes in income and price on the budget line, using suitable diagrams. [14]

Q5. Explain the Substitution Effect and the Income Effect of a change in price, and discuss how these two effects combine to give the Price Effect, distinguishing between Normal, Inferior and Giffen goods. [14]

Q6. Explain the meaning of production and discuss the various factors of production, bringing out the distinguishing characteristics of land, labour, capital and entrepreneurship. [14]

Q7. Distinguish between the short run and the long run in production theory, and explain the meaning of the Law of Variable Proportions with the help of a suitable diagram. [14]

Q8. State and explain the Law of Variable Proportions, and discuss the three stages of production identified under the law, indicating the stage at which a rational producer would choose to operate. [14]

Q9. Explain Ricardo's Theory of Rent, and discuss the assumptions on which the theory is based along with the criticisms levelled against it. [14]

Q10. Explain the Marginal Productivity Theory of Wages, and discuss its assumptions and the criticisms levelled against it. [14]

Set B

Q1. Distinguish between Micro Economics and Macro Economics, bringing out their scope, uses and limitations, and examine the interdependence between the two branches of economic analysis. [14]

Q2. Explain the concept of economic equilibrium and distinguish between Stable, Unstable and Neutral equilibrium with the help of suitable diagrams. [14]

Q3. Derive the Price Consumption Curve (PCC) and the Income Consumption Curve (ICC) from Indifference Curve analysis, and explain their significance in the theory of demand. [14]

Q4. Explain the concept of Consumer's Surplus, and discuss Marshall's measurement of Consumer's Surplus along with the criticisms levelled against it. [14]

Q5. Distinguish between the Individual demand curve and the Market demand curve, and explain the process of deriving the market demand curve from individual demand curves. [14]

Q6. Explain the concept of Returns to Scale, and discuss the reasons for increasing, constant and diminishing returns to scale in the long run. [14]

Q7. Distinguish between Explicit cost and Implicit cost, and between Actual cost and Opportunity cost, giving suitable examples of each pair. [14]

Q8. Distinguish between Accounting cost and Economic cost, and between Social cost and Private cost, bringing out their relevance in managerial decision-making. [14]

Q9. Explain the Modern Theory of Wages (the demand and supply approach), and discuss how it improves upon the Marginal Productivity Theory in determining the wage rate. [14]

Q10. Explain the concept of the Backward Bending Supply Curve of Labour, and discuss the circumstances under which a rise in the wage rate may lead to a fall in the supply of labour. [14]

Set C

Q1. Distinguish between the Cardinal and Ordinal approaches to the theory of consumer behaviour, bringing out the assumptions and limitations of each approach. [14]

Q2. Explain the concepts of Total Utility, Marginal Utility and Average Utility, and discuss the relationship between them with the help of a utility schedule and diagram. [14]

Q3. State and explain the Law of Demand, and discuss the assumptions underlying the law along with its principal exceptions. [14]

Q4. Distinguish between a movement along the demand curve and a shift in the demand curve, and discuss the various factors responsible for a shift in the demand curve. [14]

Q5. Explain the concept of Price Elasticity of Demand and discuss the various methods of measuring it. [14]

Q6. Explain the behaviour of the short-run cost curves - Total Fixed Cost, Total Variable Cost, Average Fixed Cost, Average Variable Cost, Average Cost and Marginal Cost - and discuss the relationship between Average Cost and Marginal Cost. [14]

Q7. Explain the derivation of the long-run Average Cost curve as the 'envelope' of short-run Average Cost curves, and discuss the reasons for its U-shape. [14]

Q8. Explain the concepts of Total Revenue, Average Revenue and Marginal Revenue, and discuss the relationship between them under conditions of Perfect Competition and Imperfect Competition. [14]

Q9. Explain the Classical Theory of Interest, and discuss the criticisms levelled against it by Keynes and later economists. [14]

Q10. Explain the Loanable Funds Theory of Interest, and discuss how it differs from the Classical Theory in explaining the determination of the rate of interest. [14]

Set D

Q1. State and explain the Law of Diminishing Marginal Utility, and discuss its assumptions, exceptions and practical importance in economic analysis. [14]

Q2. State and explain the Law of Equi-Marginal Utility, and show how a rational consumer allocates a given income among different commodities so as to maximise total satisfaction. [14]

Q3. Explain the concept of Income Elasticity of Demand and Cross Elasticity of Demand, and discuss how commodities may be classified on the basis of these two elasticities. [14]

Q4. Discuss the various factors that determine the Price Elasticity of Demand for a commodity. [14]

Q5. When the price of a commodity falls from Rs. 20 to Rs. 16 per unit, the quantity demanded rises from 100 units to 150 units per week. Calculate the Price Elasticity of Demand by the percentage method, and state, giving reasons, whether the demand for the commodity is elastic or inelastic. [14]

Q6. Explain the meaning and features of Perfect Competition, and discuss how a firm under perfect competition attains equilibrium in the short run. [14]

Q7. Discuss the equilibrium of a firm under Perfect Competition in the long run, and explain why a firm can earn only normal profits in long-run equilibrium. [14]

Q8. Explain the meaning and features of Monopoly, and discuss how a monopolist determines the price and output that maximise profit in the short run. [14]

Q9. Explain Keynes's Liquidity Preference Theory of Interest, and discuss the motives for holding money that determine the liquidity preference schedule. [14]

Q10. Explain Schumpeter's Innovation Theory of Profit, and discuss the role of the innovating entrepreneur in the generation of profit. [14]

Set E

Q1. A consumer consumes successive units of a commodity X and derives Total Utility (measured in utils) as follows: 1st unit = 20, 2nd unit = 36, 3rd unit = 48, 4th unit = 56, 5th unit = 60, 6th unit = 60, 7th unit = 56. From the data given, derive the Marginal Utility schedule for each unit consumed, state at which unit the consumer attains the point of satiety, and examine whether the data given is consistent with the Law of Diminishing Marginal Utility. [14]

Q2. Critically examine the Marshallian cardinal utility approach to demand as a foundation for the Law of Demand, and discuss the main criticisms levelled against it by later economists. [14]

Q3. Explain the derivation of an individual consumer's demand curve from Indifference Curve analysis with the help of the Price Consumption Curve. [14]

Q4. Distinguish between the Total Utility approach and the Indifference Curve approach to consumer's equilibrium, bringing out the superiority of the latter over the former. [14]

Q5. A consumer's monthly income rises from Rs. 10,000 to Rs. 12,000, and as a result his demand for a commodity rises from 40 units to 50 units per month, prices remaining unchanged. Calculate the Income Elasticity of Demand for the commodity and state, giving reasons, whether it is a normal good, an inferior good or a luxury. [14]

Q6. Discuss the equilibrium of a monopoly firm in the long run, and examine why a monopolist can continue to earn supernormal profits even in the long run. [14]

Q7. Explain the meaning and features of Monopolistic Competition as a form of imperfect competition, and discuss the equilibrium of a firm under monopolistic competition in the short run and in the long run. [14]

Q8. Distinguish between Perfect Competition and Monopoly with respect to the nature of the demand curve faced by the firm, price determination and equilibrium output, in both the short run and the long run. [14]

Q9. Explain the Risk-Bearing Theory and the Uncertainty-Bearing Theory of Profit, distinguishing between insurable risks and non-insurable uncertainty as sources of profit. [14]

Q10. Distinguish between Rent, Wages, Interest and Profit as the four categories of factor income under the theory of distribution, bringing out the criteria used to classify a payment under each head. [14]

Essentials of Management (Paper: BCH 105)

Essentials of Management (Paper: BCH 105, Maximum Marks 70) covers the Definition, Nature, Scope and Significance of Management, Evolution of Management Thought, contributions of F.W. Taylor, Henri Fayol and Chester Barnard, the Hawthorne Experiment, Functions of a Manager, and Social Responsibility, Values and Ethics in Management; and the Definition, Nature, Scope and Significance of Planning, Objectives, Steps of Planning, Decision Making and related organising, staffing, directing and controlling functions of management. Time: 3 Hours, Maximum Marks: 70. Answer any five of the ten questions given below; all questions carry equal marks (14 each). The five sets below (Set A to Set E) give you full practice coverage across every unit of the syllabus.

Set A

Q1. Explain the meaning, nature, scope and significance of Management as a discipline, and discuss why the study of management is considered important for the efficient functioning of modern organisations. [14]

Q2. Trace the evolution of management thought, distinguishing between the classical, neo-classical (behavioural) and modern approaches, and comment on the relevance of each approach to present-day management practice. [14]

Q3. Explain the meaning, nature, scope and significance of Planning as a managerial function, and discuss why planning is regarded as the primary function of management. [14]

Q4. Discuss the various types of objectives that an organisation may set, and explain the characteristics of well-formulated objectives with reference to the concept of Management by Objectives (MBO). [14]

Q5. Describe, in logical sequence, the various steps involved in the process of planning, and discuss the limitations that managers commonly face while formulating plans. [14]

Q6. Explain the meaning, nature, scope and significance of Organising as a managerial function, and discuss the relationship between organising and the achievement of organisational objectives. [14]

Q7. Discuss the various approaches to departmentation adopted by organisations, such as departmentation by function, product, territory, customer and process, bringing out the merits and demerits of each. [14]

Q8. Distinguish between line authority and staff authority, and discuss the nature of line and staff relationships along with the sources of conflict that commonly arise between line and staff personnel. [14]

Q9. Discuss the various issues involved in managing the human factor in organisations, and examine why an understanding of human behaviour is essential for effective direction. [14]

Q10. Explain the meaning, nature, scope and significance of Motivation, and discuss why motivation is regarded as a critical function of management. [14]

Set B

Q1. Critically evaluate the contribution of F. W. Taylor to the development of Management Science, with particular reference to the principles of Scientific Management and the criticism levelled against them. [14]

Q2. Discuss the fourteen principles of management propounded by Henri Fayol and examine their applicability to the management of a contemporary business organisation. [14]

Q3. Explain why decision-making is regarded as the key step in the process of planning, and discuss the various types of decisions that a manager is required to take in the course of managing an organisation. [14]

Q4. Describe the rational process of decision-making, outlining each stage from the identification of the problem to the selection and implementation of the best alternative. [14]

Q5. Discuss the various techniques of decision-making available to a manager, distinguishing between the traditional (qualitative) techniques and the modern (quantitative) techniques. [14]

Q6. Explain the meaning and process of delegation of authority, and discuss the principles that a manager should observe to make delegation effective. [14]

Q7. Distinguish between delegation and decentralisation of authority, and discuss the factors that determine the degree of decentralisation appropriate for an organisation. [14]

Q8. Discuss the meaning, types and utility of committees in organisations, and examine the advantages and disadvantages associated with the committee system of management. [14]

Q9. Discuss Maslow's Hierarchy of Needs theory of motivation and examine its practical relevance and limitations in the context of managing employees in a modern organisation. [14]

Q10. Discuss Herzberg's Two-Factor Theory of motivation, distinguishing between hygiene factors and motivators, and examine its implications for managerial practice. [14]

Set C

Q1. Examine the contribution of Chester Barnard to management thought, with special reference to his concept of the organisation as a cooperative system and his theory of authority. [14]

Q2. Describe the Hawthorne Experiments conducted by Elton Mayo and his associates, and discuss the major findings of these experiments and their impact on the development of the human relations approach to management. [14]

Q3. Explain the meaning and significance of Long-Range Planning, and discuss the difficulties that organisations typically encounter while formulating and implementing long-range plans. [14]

Q4. Distinguish between a strategy and a policy, and discuss the role that strategies and policies play in guiding the decision-making process within an organisation. [14]

Q5. Discuss the various types of plans formulated by an organisation, such as objectives, strategies, policies, procedures, rules, programmes and budgets, bringing out the distinguishing features of each. [14]

Q6. Discuss the important determinants of effective organising, and explain how the principles of organisation contribute to building a sound organisational structure. [14]

Q7. Explain the meaning, nature and significance of Staffing as a managerial function, and discuss why staffing is regarded as an important element of the organising process. [14]

Q8. Describe the steps involved in the process of employee selection, and discuss the various techniques and tools used by organisations to select the right candidate for a given position. [14]

Q9. Discuss the various techniques of motivation available to a manager, such as financial and non-financial incentives, job enrichment and participative management, along with their relative effectiveness. [14]

Q10. Explain the meaning and significance of Communication in an organisation, and discuss the essential elements involved in the communication process. [14]

Set D

Q1. Distinguish between the classical, behavioural, quantitative and systems approaches to management, bringing out the essential features and limitations of each. [14]

Q2. Explain the functions of a manager and discuss how planning, organising, staffing, directing and controlling are interrelated in the process of management. [14]

Q3. The regional sales manager of a consumer-goods company notices that sales in her territory have been steadily declining over the past two quarters despite an increase in advertising spend. Discuss, with reference to the process and techniques of decision-making, how she should proceed to diagnose the problem and arrive at a sound decision. [14]

Q4. Explain the concept of bounded rationality in decision-making, and discuss the behavioural constraints that limit a manager's ability to make fully rational decisions. [14]

Q5. Discuss the barriers to effective planning in an organisation, and suggest measures that management may adopt to make the planning process more effective. [14]

Q6. Discuss the meaning and importance of performance appraisal, and examine the various methods used by organisations for the appraisal of managers. [14]

Q7. Explain the concept of management development, and discuss the various on-the-job and off-the-job methods used by organisations for the development of managerial personnel. [14]

Q8. Explain the meaning, need and principles of Coordination, and discuss why coordination is regarded as the essence of management. [14]

Q9. Discuss the various barriers to effective communication in an organisation, distinguishing between semantic, psychological, organisational and personal barriers. [14]

Q10. Discuss the measures that management may adopt to build an effective system of communication within an organisation. [14]

Set E

Q1. Discuss the concept of social responsibility of managers, and examine the arguments for and against the view that business enterprises owe obligations to society beyond profit maximisation. [14]

Q2. Explain the role of values and ethics in management, and discuss the major ethical issues that a manager is likely to encounter while discharging managerial responsibilities in a modern organisation. [14]

Q3. Explain the meaning and importance of premising in planning, and discuss how internal and external premises influence the formulation of organisational plans. [14]

Q4. Distinguish between programmed and non-programmed decisions, and discuss the techniques that a manager may use for making each type of decision. [14]

Q5. Discuss the relationship between planning and decision-making, and examine how sound decision-making contributes to the effectiveness of the overall planning process in an organisation. [14]

Q6. Discuss the concept of managerial effectiveness, and examine the factors that determine the effectiveness of a manager in achieving organisational goals. [14]

Q7. Distinguish between a tall organisation structure and a flat organisation structure, and discuss the factors that influence the span of management in an organisation. [14]

Q8. A newly appointed branch manager finds that decisions on even routine matters are being referred upward to the regional office, causing delays in customer service. Discuss, with reference to the concepts of delegation and decentralisation, how the manager should redesign the authority structure of the branch to improve responsiveness. [14]

Q9. Explain the meaning and styles of Leadership, and discuss the autocratic, democratic and laissez-faire styles of leadership along with their relative suitability in different organisational situations. [14]

Q10. A team leader in a software company finds that team members are disengaged and communication has broken down after a series of missed project deadlines. Discuss, with reference to theories of motivation, leadership styles and the elements of effective communication, the steps she should take to restore team performance and morale. [14]

Indian Economy & Public Finance (Paper: BCH 106)

Indian Economy & Public Finance (Paper: BCH 106, Maximum Marks 70) covers the structure and characteristics of the Indian Economy, Public Finance concepts, Public Revenue and Public Expenditure, Public Debt, Fiscal Policy, and the role of Government Budgeting, taxation and financial administration in economic development. Time: 3 Hours, Maximum Marks: 70. Answer any five of the ten questions given below; all questions carry equal marks (14 each). The five sets below (Set A to Set E) give you full practice coverage across every unit of the syllabus.

Set A

Q1. Explain the basic features of the Indian economy as a developing economy, and discuss the major structural characteristics that distinguish it from a developed economy. [14]

Q2. Discuss the broad demographic features of India as a developing economy, and examine how the size, growth rate and composition of population affect economic development. [14]

Q3. Examine the problem of over-population in India, and discuss its causes and its consequences for economic growth and standard of living. [14]

Q4. Discuss the rationale behind the economic reforms introduced in India since 1991, and examine the circumstances that necessitated their introduction. [14]

Q5. Examine the progress of privatization in India since the introduction of economic reforms, and discuss its impact on the Indian economy. [14]

Q6. Examine the progress of globalization in India since 1991, and discuss its impact on the growth and structure of the Indian economy. [14]

Q7. Explain the definition and scope of Public Finance, and distinguish between public finance and private finance. [14]

Q8. Explain the Principle of Maximum Social Advantage, and discuss the conditions necessary for its attainment. [14]

Q9. Discuss the meaning and classification of public debt, distinguishing between internal and external debt, and between productive and unproductive debt. [14]

Q10. Examine the economic effects of public debt, and discuss the concept of the burden of public debt. [14]

Set B

Q1. Critically examine the population policy of India, and discuss the measures adopted by the government to control population growth. [14]

Q2. Discuss the meaning and importance of infrastructure development for economic growth, and examine the present status and problems of infrastructure development in India. [14]

Q3. Explain the concept and measurement of poverty, and discuss the trends in poverty in India since independence. [14]

Q4. Discuss the nature and importance of agriculture in the Indian economy, and examine its contribution to national income, employment and industrial development. [14]

Q5. Examine the trends in agricultural production and productivity in India since independence. [14]

Q6. Discuss the factors determining agricultural productivity in India, and examine the measures that can be adopted to raise it. [14]

Q7. Discuss the various sources of public revenue available to the government, distinguishing between tax revenue and non-tax revenue. [14]

Q8. Explain the meaning and classification of taxes, distinguishing between direct and indirect taxes, and discuss their relative merits and demerits. [14]

Q9. Discuss the various methods of repayment and management of public debt adopted by the government. [14]

Q10. Explain the objectives of fiscal policy, and discuss the principal instruments used by the government to achieve them. [14]

Set C

Q1. Examine the major causes of poverty in India, and discuss the remedial measures adopted by the government to alleviate poverty. [14]

Q2. Discuss the meaning and types of unemployment found in India, and examine the causes responsible for widespread unemployment in the country. [14]

Q3. Examine the recent trends in unemployment in India, and discuss the remedial measures suggested to solve the problem of unemployment. [14]

Q4. Critically examine the land reform measures adopted in India, and discuss the extent to which they have succeeded in achieving their objectives. [14]

Q5. Discuss the salient features of the new agricultural strategy and the Green Revolution in India, and examine its impact on agricultural production and productivity. [14]

Q6. Compare the Industrial Policy of 1948 with the Industrial Policy of 1956, and discuss the changes brought about in the role of the public and private sectors. [14]

Q7. Discuss the principal canons or principles of taxation as laid down by classical and modern economists. [14]

Q8. Explain the Benefit Approach to taxation, and discuss its merits and limitations as a basis for distributing the tax burden. [14]

Q9. Discuss the financial relations between the Central Government and the State Governments in India, and examine the problems associated with Indian federal finance. [14]

Q10. Examine the role of the Finance Commission in Indian federal finance, and discuss the broad recommendations of recent Finance Commissions regarding the distribution of resources. [14]

Set D

Q1. Discuss the causes and effects of inflation in the Indian economy, and examine the remedial measures adopted by the government and the Reserve Bank of India to control it. [14]

Q2. Examine the recent trends in inflation in India, and discuss the relationship between inflation and economic growth in a developing economy. [14]

Q3. Discuss the objectives and strategy of economic planning adopted in India since the commencement of the planning era. [14]

Q4. Compare the Industrial Policy of 1977 with the Industrial Policy of 1991, and discuss the shift in emphasis from small-scale and public-sector industry towards liberalization. [14]

Q5. Discuss the objectives and evolution of industrial licensing policy in India, and examine the effects of licensing and its subsequent liberalization on industrial growth. [14]

Q6. Examine the growth of small-scale industries in India since independence, and discuss the major problems faced by them. [14]

Q7. Explain the Ability-to-Pay Approach to taxation, and discuss the various indices used to measure a person's taxable capacity. [14]

Q8. Explain the meaning of incidence and effect of taxation, and discuss the factors that determine the shifting and incidence of a tax. [14]

Q9. Explain the concept of deficit financing, and discuss its objectives and effects on an economy. [14]

Q10. Examine the trends and policy of deficit financing in India since independence. [14]

Set E

Q1. Examine the broad achievements of economic planning in India since independence. [14]

Q2. Critically examine the failures and shortcomings of economic planning in India. [14]

Q3. Discuss the objectives, resource allocation and targets of the current Five-Year Plan of India, and examine the extent to which these targets have been achieved. [14]

Q4. Discuss the meaning, objectives and progress of the disinvestment policy of the government of India. [14]

Q5. Examine the causes of industrial sickness in India, and discuss its consequences and the remedial measures adopted to revive sick industrial units. [14]

Q6. Discuss the meaning and need for social security in India, and examine the major social security measures adopted by the government for workers and the weaker sections of society. [14]

Q7. Discuss the principles of public expenditure, and explain Wagner's Law and the Wiseman-Peacock Hypothesis relating to the growth of public expenditure. [14]

Q8. Examine the effect of public expenditure on production and distribution in an economy. [14]

Q9. Explain the meaning, structure and process of preparation of the Union Budget of India. [14]

Q10. Discuss the recent trends in the Union Budget of India, with special reference to fiscal deficit and the policy of fiscal consolidation. [14]