University of Lucknow M.Com. (NEP) 1st Semester Question Papers 2026

This page contains complete, previous-year-style model question papers for all 5 core M.Com. (NEP) Semester I papers of the Department of Commerce, University of Lucknow: MCCC-01 Accounting Theory and Practice, MCCC-02 Financial Management, MCCC-03 Direct Tax Law and Accounts, MCCC-04 Marketing Management, and MCCC-05 Indian and Global Business Environment. Each paper 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 M.Com. 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 M.Com. (NEP) Semester I question paper.

MCCC-01: Accounting Theory and Practice

Accounting Theory and Practice (MCCC-01, Semester I core paper) covers the meaning, nature and scope of accounting along with its fundamental concepts, conventions, postulates and principles, the emerging patterns of accounting and the applicability of IFRS in India; the concept, role and classification of accounting theory and its deductive, inductive, ethical, sociological, economic and behavioural methodologies; the concepts of income, capital and revenue, including income measurement, capital maintenance concepts, revenue recognition criteria under Ind-AS-18 and the basics of computerised accounting; the valuation of depreciation and inventory, covering the need, methods, policies and change of method of depreciation along with inventory valuation methods under Ind-AS-2; and accounting for inflation and foreign currency, including inflation accounting methods, monetary and non-monetary items, functional currency and foreign currency translation under Ind-AS-21.

Set A

Q1. Discuss the meaning, nature and scope of accounting, and examine the various definitions of accounting given by different accounting bodies, bringing out how the objectives of accounting have evolved from mere record-keeping to a comprehensive information system. [14]

Q2. Distinguish between accounting and book-keeping, bringing out clearly the differences in their scope, nature and objectives, and explain the relationship between the two. [14]

Q3. Explain the meaning and concept of accounting theory, and discuss why the development of a sound theoretical framework is considered essential for the growth of accounting as a discipline. [14]

Q4. Discuss the role and significance of accounting theory in guiding accounting practice, standard-setting and the resolution of accounting controversies. [14]

Q5. Explain the accounting concept of income and discuss its essential characteristics, distinguishing it from the economist's concept of income. [14]

Q6. Examine the relevance and importance of income measurement to various stakeholders such as shareholders, management, creditors, employees and the government. [14]

Q7. Explain the meaning of depreciation and discuss the need, objectives and importance of providing depreciation on fixed assets in the books of account, along with the limitations from which the concept of depreciation suffers. [14]

Q8. A machine is purchased for Rs. 5,00,000 and is expected to have a useful life of 9 years, at the end of which it is estimated to fetch a scrap value of Rs. 50,000. Calculate the amount of annual depreciation and the rate of depreciation per annum under the Straight Line Method (SLM), and prepare a brief note explaining the basis of your calculation. [14]

Q9. Explain the need and objectives of inflation accounting, and discuss the limitations of historical cost accounting during a period of rising prices that make inflation accounting necessary. [14]

Q10. Distinguish between monetary items and non-monetary items with suitable examples, and explain why this distinction is important for the purpose of inflation accounting and foreign currency translation. [14]

Set B

Q1. Explain the meaning and significance of the fundamental accounting concepts, such as the business entity concept, going concern concept, money measurement concept, cost concept, accrual concept, dual aspect concept and matching concept, that form the basis of the accounting process. [14]

Q2. Discuss the meaning of accounting conventions and explain the important conventions of conservatism, materiality, full disclosure and consistency, bringing out how each of them influences the preparation and presentation of financial statements. [14]

Q3. Explain the classification of accounting theory into descriptive (positive) and prescriptive (normative) theory, bringing out the essential differences between the two approaches with suitable examples. [14]

Q4. Discuss the deductive methodology of constructing accounting theory, explaining how general accounting objectives and postulates are used to derive specific accounting principles and rules. [14]

Q5. Discuss the different concepts and approaches to income measurement, such as the transaction approach and the capital maintenance approach, bringing out the assumptions underlying each. [14]

Q6. Explain the meaning of operating income and distinguish it from non-operating income and extraordinary items, discussing the significance of this distinction for the users of financial statements. [14]

Q7. Discuss the various depreciation policies that a business enterprise may follow, and examine the factors that a business should keep in mind while formulating its policy regarding the provision of depreciation. [14]

Q8. Discuss the various factors that affect the computation of depreciation, such as the cost of the asset, its estimated useful life and residual value, and examine the considerations that should guide a business in selecting an appropriate method of charging depreciation. [14]

Q9. Discuss the various methods of inflation accounting, namely the Current Purchasing Power (CPP) method and the Current Cost Accounting (CCA) method, bringing out the basis on which each method restates the historical financial statements. [14]

Q10. A fixed asset was purchased by a firm for Rs. 2,00,000 when the general price index stood at 100. If the general price index has since risen to 160, calculate the value at which this asset should be shown in the financial statements after restatement under the Current Purchasing Power (CPP) method of inflation accounting. [14]

Set C

Q1. Explain the meaning of accounting postulates and accounting principles, and discuss the distinction between an accounting concept, an accounting convention, an accounting postulate and an accounting principle. [14]

Q2. Discuss the emerging patterns and recent trends in accounting, such as human resource accounting, social responsibility accounting, environmental accounting and inflation accounting, and examine the need for accounting to keep pace with the changing business environment. [14]

Q3. Discuss the inductive methodology of constructing accounting theory, explaining how generalisations are drawn from the observation of actual accounting practices, and compare it with the deductive approach. [14]

Q4. Explain the ethical approach to accounting theory, based on the concepts of fairness, justice, equity and truth, and discuss its influence on the development of accounting principles. [14]

Q5. Explain the concept of capital in accounting and discuss the different approaches to the maintenance of capital, namely the financial capital maintenance concept and the physical (operating) capital maintenance concept. [14]

Q6. The opening net assets of a firm are Rs. 1,00,000 and its closing net assets, before considering dividend paid, are Rs. 1,50,000. During the year, the firm paid a dividend of Rs. 10,000 to its shareholders. The general price index stood at 100 at the beginning of the year and had risen to 110 by the end of the year. Compute the income of the firm for the year under (i) the financial capital maintenance concept and (ii) the physical capital maintenance (general purchasing power) concept, and explain the reasons for the difference in the two figures so obtained. [14]

Q7. A machine costing Rs. 4,00,000 is depreciated under the Written Down Value (WDV) Method at the rate of 20 percent per annum. Calculate the amount of depreciation to be charged and the written down value of the machine at the end of each of the first three years. [14]

Q8. Discuss the need and objectives of inventory valuation, and explain the various methods of inventory valuation, such as First-In-First-Out (FIFO), Last-In-First-Out (LIFO) and Weighted Average, bringing out the basis on which each method values the closing stock. [14]

Q9. A firm holds net monetary assets of Rs. 50,000 throughout the accounting year. If the general price index rises from 100 at the beginning of the year to 120 at the end of the year, calculate the loss in purchasing power suffered by the firm on account of holding these net monetary assets during the period of inflation, and explain the reasoning behind your calculation. [14]

Q10. Explain the meaning of functional currency and discuss the various factors that an enterprise should consider in identifying its functional currency for the purpose of preparing its financial statements. [14]

Set D

Q1. Explain the meaning and objectives of International Financial Reporting Standards (IFRS), and discuss the essential features that distinguish IFRS from traditional national accounting standards. [14]

Q2. Discuss the applicability of IFRS in India and trace the roadmap of convergence of Indian Accounting Standards (Ind-AS) with IFRS, examining the progress made and the sectors covered so far. [14]

Q3. Discuss the sociological approach to accounting theory, which evaluates accounting techniques in terms of their social welfare and social consequences, with suitable illustrations. [14]

Q4. Discuss the economic approach to accounting theory, which evaluates accounting techniques in terms of their impact on the economic behaviour of the country and its national economic welfare. [14]

Q5. Explain the meaning of revenue in accounting and discuss the different revenue-producing activities of a business enterprise, bringing out the distinction between revenue and other forms of income. [14]

Q6. Discuss the criteria for revenue recognition as laid down in Ind-AS-18, explaining the conditions that must be satisfied before revenue from the sale of goods and the rendering of services can be recognised in the books of account. [14]

Q7. A machine was purchased for Rs. 3,00,000 with an estimated useful life of 5 years and no residual value. The company originally charged depreciation under the Straight Line Method at Rs. 60,000 per annum for two years. At the beginning of the third year, the company decides to change the method of depreciation to the Written Down Value Method at 20 percent per annum, with retrospective effect from the date of purchase of the asset. Recompute the depreciation for the first two years under the Written Down Value Method, determine the amount of excess depreciation already charged under the Straight Line Method, and explain how this adjustment should be dealt with in the books in the year of change. [14]

Q8. A trader's opening stock consists of 100 units at Rs. 20 per unit. During the year, he makes two purchases: 200 units at Rs. 22 per unit, followed by 150 units at Rs. 25 per unit. If the trader sells 350 units during the year, calculate the value of the closing stock under the First-In-First-Out (FIFO) method of inventory valuation. [14]

Q9. Explain the process of foreign currency translation, discussing the steps involved in translating the financial statements of a foreign operation into the presentation currency of the reporting enterprise. [14]

Q10. Discuss the various methods of foreign currency translation, such as the current rate method and the temporal method, bringing out the circumstances in which each method is considered appropriate. [14]

Set E

Q1. Examine the need and importance of a common set of global accounting standards for cross-border comparability of financial statements, and discuss the benefits that convergence with IFRS is expected to bring to Indian companies, investors and the capital market. [14]

Q2. Discuss the practical challenges faced by India in achieving full convergence with IFRS, such as differences in the legal and regulatory framework, taxation issues and the level of preparedness of industry, and examine the steps taken by the Institute of Chartered Accountants of India (ICAI) to address them. [14]

Q3. Explain the behavioural approach to accounting theory, which studies the impact of accounting reports and disclosures on the decisions and behaviour of individuals and organisations, and discuss its significance in modern accounting research. [14]

Q4. Compare the positive theory of accounting with the normative theory of accounting, and critically examine the contribution of the deductive, inductive, ethical, sociological, economic and behavioural approaches to the overall development of accounting theory. [14]

Q5. Explain the meaning, features and advantages of computerised accounting over manual accounting, and discuss the basic components of a computerised accounting system. [14]

Q6. A construction company undertakes a contract with a total contract price of Rs. 20,00,000. By the end of the accounting year, the company has incurred costs of Rs. 6,00,000 on the contract, out of the total estimated cost of completion of Rs. 15,00,000. Applying the percentage of completion method of revenue recognition under Ind-AS-18, calculate the percentage of work completed, the revenue to be recognised for the year, and the profit to be recognised for the year on this contract. [14]

Q7. A trader's opening stock consists of 50 units at Rs. 40 per unit. During the year, he purchases a further 150 units at Rs. 44 per unit. If the trader sells 120 units during the year, calculate the weighted average cost per unit and the value of the closing stock under the Weighted Average method of inventory valuation. [14]

Q8. Discuss the provisions of Ind-AS-2 relating to the valuation of inventories, explaining the meaning of net realisable value and the rule that inventories must be valued at the lower of cost and net realisable value, and illustrate the write-down required when the cost of inventory is Rs. 80,000 but its net realisable value is only Rs. 72,000. [14]

Q9. Discuss the main provisions of Ind-AS-21 relating to the effects of changes in foreign exchange rates, explaining how monetary items denominated in a foreign currency are to be reported at each balance sheet date. [14]

Q10. A firm imports goods on credit from a foreign supplier for US Dollar 10,000 when the exchange rate is Rs. 82 per US Dollar. At the close of the accounting year, the amount remains unpaid and the exchange rate has changed to Rs. 85 per US Dollar. Calculate the exchange difference arising on this foreign currency monetary item as per Ind-AS-21, and explain how it should be recognised in the financial statements for the year. [14]

MCCC-02: Financial Management

Financial Management (MCCC-02, Semester I core paper) covers the nature, scope and objectives of financial management, the time value of money, the concept of risk and return, and financial planning and forecasting; investment decisions through capital budgeting techniques such as the Payback Period, Accounting Rate of Return (ARR), Net Present Value (NPV), Internal Rate of Return (IRR) and Profitability Index, along with risk and uncertainty in capital budgeting; the cost of capital and dividend decisions, including the Weighted Average Cost of Capital (WACC) and the Walter, Gordon and Modigliani-Miller dividend models; financing decisions covering operating, financial and combined leverage, EBIT-EPS analysis and the Net Income, Net Operating Income, Traditional and Modigliani-Miller theories of capital structure; and working capital management, including working capital estimation and the management of cash, inventory and receivables.

Set A

Q1. Explain the meaning, nature and scope of Financial Management, and discuss its principal objectives with reference to the profit maximisation and wealth maximisation approaches to financial decision-making. [14]

Q2. A person deposits Rs. 10,000 at the end of each year in a recurring investment scheme that offers a return of 10 percent per annum compounded annually. Calculate the future value of this annuity at the end of 5 years. Also explain the concept of compounding on which your calculation is based. [14]

Q3. A project requires an initial investment of Rs. 5,00,000 and is expected to generate cash inflows of Rs. 1,50,000, Rs. 1,60,000, Rs. 1,40,000, Rs. 1,30,000 and Rs. 1,20,000 at the end of years 1 to 5 respectively. If the firm's required rate of return (cost of capital) is 12 percent per annum, calculate the Net Present Value (NPV) of the project and advise whether the project should be accepted. [14]

Q4. A project requiring an initial investment of Rs. 4,00,000 is expected to generate a uniform annual cash inflow of Rs. 1,20,000 for 5 years. Calculate the Internal Rate of Return (IRR) of the project, and state the decision rule that should be applied to accept or reject the project if the firm's cost of capital is 12 percent per annum. [14]

Q5. The capital structure of a company, at market values, consists of equity share capital of Rs. 40,00,000, debt of Rs. 20,00,000 and preference share capital of Rs. 10,00,000. The cost of equity is estimated at 15 percent, the after-tax cost of debt at 7 percent and the cost of preference capital at 11 percent. Calculate the Weighted Average Cost of Capital (WACC) of the company using market value weights. [14]

Q6. The Earnings Per Share (EPS) of a company is Rs. 10 and it distributes a Dividend Per Share (DPS) of Rs. 4. The company earns a rate of return (r) of 15 percent on its investments while the cost of equity capital (Ke) of the firm is 12 percent. Using Walter's dividend model, calculate the market price per share of the company, and explain, on the basis of Walter's model, whether the firm's current dividend payout policy is optimal for a growth firm of this kind. [14]

Q7. A firm has annual sales of Rs. 10,00,000, variable costs of Rs. 6,00,000 and fixed operating costs of Rs. 1,50,000. Calculate the firm's contribution, EBIT (Earning Before Interest and Tax) and the Degree of Operating Leverage (DOL), and explain the significance of operating leverage for a firm's business risk. [14]

Q8. A firm has an EBIT (Earning Before Interest and Tax) of Rs. 2,50,000 and pays annual interest of Rs. 50,000 on its borrowings. Calculate the firm's EBT (Earning Before Tax) and the Degree of Financial Leverage (DFL), and explain the significance of financial leverage for a firm's financial risk. [14]

Q9. A company manufactures and sells 60,000 units per annum. The raw material cost is Rs. 20 per unit, direct labour cost is Rs. 10 per unit and overhead cost is Rs. 15 per unit. Raw material is held in stock for 2 months of consumption before being issued to production, and the finished goods are held in stock for 1 month of production (at total cost) before sale. Debtors are allowed a credit period of 2 months on sales (at total cost), while creditors for raw material allow a credit period of 1 month of raw material purchases. On the basis of these figures, estimate the amount of raw material stock, finished goods stock, debtors and creditors, and hence estimate the net working capital requirement of the company (ignore work-in-progress and cash balance for this estimate). [14]

Q10. A company estimates that it will need Rs. 24,00,000 in cash during the coming year to meet its transactions requirements. The fixed cost of each transaction involved in converting marketable securities into cash is Rs. 150, and the opportunity cost of holding cash (interest foregone) is 12 percent per annum. Using the Baumol cash management model, calculate the optimal amount of cash that the company should raise by selling marketable securities on each occasion. [14]

Set B

Q1. Explain the concept of risk and return in financial decision-making, and discuss the various types of risk, such as business risk, financial risk, systematic risk and unsystematic risk, that an investor or a firm may encounter. [14]

Q2. Discuss the meaning, objectives and importance of financial planning, and explain the steps involved in the process of financial forecasting for a business enterprise. [14]

Q3. A machine costing Rs. 2,00,000 is expected to generate a uniform annual cash inflow of Rs. 50,000 over its useful life of 6 years. Calculate the payback period of the machine, and discuss the main advantages and limitations of the payback period method as a technique of capital budgeting. [14]

Q4. A project involves an initial investment of Rs. 3,00,000 with no salvage value, and is expected to generate an average annual profit after tax of Rs. 45,000 over its life. Calculate the Accounting Rate of Return (ARR) of the project on the initial investment, and discuss the merits and demerits of this method as compared to discounted cash flow techniques. [14]

Q5. A company has an Earnings Per Share (EPS) of Rs. 20 and retains 60 percent of its earnings for reinvestment, distributing the balance as dividend. The company earns a rate of return (r) of 14 percent on its retained earnings, while its cost of equity capital (Ke) is 12 percent. Using Gordon's dividend capitalisation model, calculate the growth rate in dividends and the market price per share of the company. [14]

Q6. Explain the Modigliani-Miller (MM) hypothesis on dividend policy and discuss the assumptions underlying this theory of dividend irrelevance, along with the major criticisms levelled against it. [14]

Q7. A firm has annual sales of Rs. 8,00,000, variable costs of Rs. 5,00,000, fixed operating costs of Rs. 1,00,000 and annual interest charges of Rs. 40,000. Calculate the Degree of Operating Leverage (DOL), the Degree of Financial Leverage (DFL) and the Degree of Combined Leverage (DCL) of the firm, and verify that the combined leverage equals the product of the operating and financial leverages. [14]

Q8. A company with an expected EBIT (Earning Before Interest and Tax) of Rs. 6,00,000 is considering two alternative financing plans. Under Plan A, the company would be entirely equity-financed with 1,00,000 equity shares of Rs. 10 each. Under Plan B, the company would issue 50,000 equity shares of Rs. 10 each along with Rs. 5,00,000 of 10 percent debentures. Assuming a corporate tax rate of 30 percent, calculate the Earnings Per Share (EPS) under each financing plan, and state which plan would be more favourable to the shareholders at this level of EBIT. [14]

Q9. A firm uses 20,000 units of a particular raw material every year. The cost of placing one order is Rs. 100, and the annual carrying cost of holding one unit of the material in inventory is Rs. 5. Using the Economic Order Quantity (EOQ) model, calculate the economic order quantity for this raw material, and briefly explain the assumptions underlying the EOQ model. [14]

Q10. A company presently has annual credit sales of Rs. 50,00,000 with an average collection period of 1 month and bad debts of 1 percent of credit sales. The company is considering a more liberal credit policy under which credit sales are expected to rise to Rs. 60,00,000, the average collection period to increase to 2 months, and bad debts to rise to 2 percent of credit sales. The ratio of total cost to sales is 80 percent in both cases, and the company's required rate of return on investment in receivables is 15 percent per annum. Evaluate, with the help of suitable calculations, whether the company should adopt the proposed liberal credit policy. [14]

Set C

Q1. A firm expects to receive a single sum of Rs. 50,000 after 6 years from an investment. If the appropriate discount rate is 12 percent per annum, calculate the present value of this future receipt. Explain the concept of the time value of money underlying your calculation. [14]

Q2. Distinguish between the profit maximisation objective and the wealth maximisation objective of financial management, and examine why wealth maximisation is generally considered a superior goal for a modern business firm. [14]

Q3. A project requiring an initial outlay of Rs. 2,50,000 is expected to generate cash inflows of Rs. 80,000, Rs. 90,000, Rs. 1,00,000, Rs. 70,000 and Rs. 60,000 at the end of years 1 to 5 respectively. If the discount rate applicable is 10 percent per annum, calculate the Profitability Index (PI) of the project, and state the decision rule for accepting or rejecting a project based on this technique. [14]

Q4. Explain the meaning, nature and significance of capital budgeting decisions, and discuss the various traditional and discounted cash flow techniques used for the appraisal of capital investment proposals. [14]

Q5. Discuss the various determinants and factors, such as legal, financial and managerial considerations, that influence the dividend policy of a company. [14]

Q6. The capital structure of a company, at book values, consists of equity share capital of Rs. 30,00,000, debentures of Rs. 15,00,000 and preference share capital of Rs. 5,00,000. The cost of equity is 16 percent, the after-tax cost of debentures is 8 percent and the cost of preference capital is 10.5 percent. Calculate the Weighted Average Cost of Capital (WACC) of the company using book value weights, and briefly discuss the limitations of using book values, as against market values, as weights in this calculation. [14]

Q7. Explain the Net Income (NI) approach to capital structure, and discuss the assumptions on the basis of which this approach concludes that the value of a firm can be increased and its overall cost of capital reduced by increasing the proportion of debt in the capital structure. [14]

Q8. Explain the Net Operating Income (NOI) approach to capital structure, and discuss why, under this approach, the overall cost of capital and the value of the firm are held to remain unaffected by changes in the degree of financial leverage. [14]

Q9. Explain the concept of the operating cycle (working capital cycle) of a manufacturing firm, and discuss the various stages involved in it along with the factors that determine the length of the operating cycle. [14]

Q10. Discuss the various motives for holding cash, namely the transaction motive, the precautionary motive and the speculative motive, and explain the objectives of efficient cash management in a business firm. [14]

Set D

Q1. The economy of a country may be in a state of recession, normal growth or boom during the coming year, with a probability of 0.3, 0.4 and 0.3 respectively. The expected rate of return on a security under these three states is estimated at (-5) percent, 12 percent and 25 percent respectively. Calculate the expected rate of return and the standard deviation of return on this security, and explain what the standard deviation measures in this context. [14]

Q2. Discuss the scope of financial management and explain the major functions performed by a modern finance manager in relation to investment, financing and dividend decisions of a firm. [14]

Q3. Discuss the meaning of risk and uncertainty in the context of capital budgeting decisions, and explain the risk-adjusted discount rate method and the certainty equivalent method as techniques for incorporating risk into project evaluation. [14]

Q4. Two mutually exclusive projects, A and B, each requiring an initial investment of Rs. 3,00,000, are being considered by a firm whose cost of capital is 10 percent per annum. Project A is expected to generate cash inflows of Rs. 2,50,000, Rs. 1,00,000, Rs. 50,000 and Rs. 20,000 at the end of years 1 to 4 respectively, while Project B is expected to generate cash inflows of Rs. 20,000, Rs. 80,000, Rs. 1,50,000 and Rs. 3,00,000 over the same period. Calculate the Net Present Value and the Internal Rate of Return of each project, and discuss the conflict in ranking between the NPV and IRR methods that arises in this situation, along with the reasons for such a conflict. [14]

Q5. Explain the concept and significance of the cost of capital, and distinguish between the specific costs of different sources of finance, namely equity capital, preference capital, debt and retained earnings. [14]

Q6. Discuss the various factors that a company's board of directors takes into account while formulating its dividend policy, such as liquidity position, stability of earnings, growth prospects, contractual restrictions and shareholders' preferences. [14]

Q7. Explain the Traditional approach to capital structure, and discuss how, according to this approach, a firm can achieve an optimal capital structure by a judicious mix of debt and equity that minimises its overall cost of capital and maximises its value. [14]

Q8. Explain the Modigliani-Miller (MM) approach to capital structure, both without taxes and with corporate taxes, and discuss the key assumptions underlying this theory along with the main criticisms levelled against it. [14]

Q9. Discuss the various techniques of inventory management, such as ABC analysis, the Economic Order Quantity (EOQ) model, and the determination of re-order level, minimum level and maximum level of stock, that are used to ensure efficient control over inventory. [14]

Q10. Discuss the various factors, such as the nature of business, scale of operations, production cycle, credit policy and seasonality, that determine the working capital requirements of a firm. [14]

Set E

Q1. The current annual sales of a company are Rs. 20,00,000, and its current assets requiring financing amount to 40 percent of sales while its spontaneous current liabilities amount to 10 percent of sales. The company's net profit margin is 6 percent and it follows a dividend payout ratio of 40 percent. If the company expects its sales to increase to Rs. 25,00,000 next year, use the percentage of sales method to estimate the additional funds needed (AFN), showing the increase in assets, the increase in spontaneous liabilities and the addition to retained earnings separately. [14]

Q2. A bank offers a nominal (stated) rate of interest of 12 percent per annum on a fixed deposit, compounded quarterly. Calculate the effective annual rate of interest earned on this deposit, and explain why the effective rate differs from the nominal rate when compounding is done more than once a year. [14]

Q3. A project requires an initial investment of Rs. 6,00,000 and is expected to generate a uniform annual cash inflow of Rs. 2,00,000 for 5 years. If the firm's cost of capital is 10 percent per annum, calculate the discounted payback period of the project, and explain how this method differs from and improves upon the simple (undiscounted) payback period method. [14]

Q4. Discuss the various techniques available to a firm for handling risk and uncertainty in capital budgeting decisions, such as sensitivity analysis, scenario analysis, decision-tree analysis and simulation, along with their relative merits. [14]

Q5. A company's capital structure, at market values, consists of equity capital of Rs. 50,00,000 and debt of Rs. 30,00,000, with no preference capital. The cost of equity is estimated at 18 percent while the after-tax cost of debt is 7.5 percent. Calculate the Weighted Average Cost of Capital (WACC) of the company, and explain how a change in the proportion of debt in the capital structure would be expected to affect the WACC. [14]

Q6. Compare and contrast Walter's model, Gordon's model and the Modigliani-Miller (MM) approach to dividend policy, bringing out their respective assumptions and the differing conclusions each reaches regarding the relevance of dividend decisions to the value of a firm. [14]

Q7. Discuss the various factors, such as business risk, growth and stability of sales, control considerations, flexibility, and the cost of different sources of finance, that a firm should take into account while deciding upon its capital structure. [14]

Q8. A company is evaluating two financing plans. Under Plan A, it would have 80,000 equity shares outstanding with no debt. Under Plan B, it would have 40,000 equity shares along with Rs. 4,00,000 of 10 percent debentures. Calculate the EBIT-EPS indifference point between the two financing plans, that is, the level of EBIT at which the Earnings Per Share under both plans would be equal, and explain the significance of this indifference point in choosing between the two financing plans. [14]

Q9. A company's cash budget for the months of January, February and March shows the following estimated cash receipts of Rs. 1,80,000, Rs. 2,00,000 and Rs. 1,90,000, and estimated cash payments of Rs. 1,50,000, Rs. 2,10,000 and Rs. 1,70,000 respectively. If the opening cash balance on 1 January is Rs. 50,000, prepare a month-wise cash budget showing the closing cash balance at the end of each of the three months. [14]

Q10. Discuss the meaning and objectives of receivables management, and explain the various factors, such as credit terms, credit standards and collection policy, that determine the level of a firm's investment in trade receivables. [14]

MCCC-03: Direct Tax Law and Accounts

Direct Tax Law and Accounts (MCCC-03, Semester I core paper) covers the basic concepts of income tax, scope of total income, Permanent Account Number (PAN), exempted income, deductions from Gross Total Income, deemed income, clubbing of income, set-off and carry forward of losses, and the distinction between tax planning, tax management, tax avoidance and tax evasion; the five heads of income, namely Salaries, House Property, Business and Profession, Capital Gains and Other Sources; computation of the total income and tax liability of an individual and of a Hindu Undivided Family (HUF); computation of the total income and tax liability of a company and a firm; and assessment of tax, covering income tax authorities, the return of income and assessment procedure, appeals and revisions, advance payment of tax, tax deduction at source (TDS), e-filing of income tax returns, tax collected at source (TCS) and avoidance of double taxation, based on the tax rates and provisions applicable for assessment year 2026-27.

Set A

Q1. Define the term "Income" under section 2(24) of the Income Tax Act, 1961, and discuss its important characteristics with suitable examples. [14]

Q2. Distinguish between Tax Planning, Tax Management, Tax Avoidance and Tax Evasion, bringing out clearly the legal and ethical differences between them with the help of suitable examples. [14]

Q3. Mr. Bishwanath is employed in a private company and receives, during the previous year 2025-26, Basic Salary of Rs. 45,000 per month and Dearness Allowance (forming part of salary for retirement benefits) of Rs. 5,000 per month. He also receives House Rent Allowance of Rs. 18,000 per month and resides in Mumbai, paying actual rent of Rs. 20,000 per month. Assuming he opts for the new tax regime and has no other income, compute his exempt House Rent Allowance under section 10(13A) and his Income from Salary, after allowing the standard deduction of Rs. 75,000 under section 16(ia), for the assessment year 2026-27. [14]

Q4. Explain the meaning of "Perquisite" under section 17(2) of the Income Tax Act, 1961, and discuss the broad categories of perquisites that are taxable in the hands of all employees, taxable only in the hands of specified employees, and exempt from tax. [14]

Q5. Explain the meaning of a Hindu Undivided Family (HUF) as an assessable unit under the Income Tax Act, 1961, and discuss briefly the concept of "Karta" and "coparcenary property", and the broad manner in which the total income of an HUF is computed. [14]

Q6. Mr. Tanmay, a resident individual opting for the new tax regime under section 115BAC, furnishes the following particulars of his income for the previous year 2025-26 : Income from Salary (computed), Rs. 10,00,000 ; Income from House Property, Rs. 3,00,000 ; Income from Other Sources, Rs. 2,00,000. Compute his Gross Total Income, Total Income and tax liability (including health and education cess) for the assessment year 2026-27, assuming no deduction under Chapter VI-A is admissible to him. [14]

Q7. Discuss the conditions to be satisfied by a domestic company for availing the concessional rate of tax under section 115BAA of the Income Tax Act, 1961, and state the rate of tax, surcharge and cess applicable to a company opting for this section, as compared with the rate applicable to a new manufacturing company under section 115BAB. [14]

Q8. XYZ Ltd., a domestic company whose turnover in the relevant previous year does not exceed Rs. 400 crore and which has not opted for the concessional tax regime under section 115BAA, has a Total Income of Rs. 90,00,000 for the assessment year 2026-27. Compute its tax liability, including surcharge, if any, and health and education cess. [14]

Q9. Discuss the hierarchy of Income Tax Authorities under the Income Tax Act, 1961, from the Central Board of Direct Taxes down to the Income Tax Officer, and explain briefly the powers and functions of an Assessing Officer. [14]

Q10. Discuss the different types of returns of income recognised under section 139 of the Income Tax Act, 1961 (original, belated, revised and defective returns), the due dates for filing a return of income for different categories of assessees for the assessment year 2026-27, and the consequences of a belated or defective return. [14]

Set B

Q1. Mr. Naveen transfers Rs. 5,00,000 to his wife without adequate consideration. His wife invests the amount in a fixed deposit carrying interest at 8 percent per annum. Examine, with reference to section 64(1)(iv) of the Income Tax Act, 1961, whether the interest income arising from this fixed deposit is liable to be clubbed in the hands of Mr. Naveen, and compute the amount, if any, so includible in his total income for the previous year 2025-26. [14]

Q2. Explain the meaning and importance of the Permanent Account Number (PAN) under section 139A of the Income Tax Act, 1961, and discuss the categories of transactions in which quoting of PAN is mandatory. [14]

Q3. Mr. Iftikhar is provided by his employer, a company, with rent-free unfurnished accommodation owned by the employer, situated in a city having a population between fifteen lakh and forty lakh as per the 2011 census. His Basic Salary is Rs. 28,000 per month and Dearness Allowance (forming part of salary for retirement benefits) is Rs. 2,000 per month. Compute the taxable value of the perquisite of rent-free accommodation and his Income from Salary, after allowing the standard deduction of Rs. 75,000 under section 16(ia), for the assessment year 2026-27. [14]

Q4. Mr. Balwant owns a house property which he has let out throughout the previous year 2025-26. Particulars relating to the property are as follows : Municipal Value, Rs. 3,00,000 ; Fair Rent, Rs. 3,20,000 ; Standard Rent under the Rent Control Act, Rs. 3,10,000 ; Actual Rent received during the year, Rs. 3,60,000 ; Municipal taxes paid by the owner during the year, Rs. 25,000 ; Interest on loan taken for the property, Rs. 1,50,000. Compute his Income from House Property for the assessment year 2026-27. [14]

Q5. The Ramnaresh HUF furnishes the following particulars of its income for the previous year 2025-26 : Income from Business, Rs. 10,00,000 ; Income from a let-out house property (computed), Rs. 4,00,000. Compute the Total Income of the HUF and its tax liability (including health and education cess) for the assessment year 2026-27, applying the tax rates applicable to an individual under the new tax regime. [14]

Q6. Mrs. Chitralekha, a resident individual opting for the new tax regime, has a Total Income of Rs. 12,20,000 for the assessment year 2026-27. Explain the concept of marginal relief in relation to the rebate available under section 87A of the Income Tax Act, 1961, and compute, with full working, the amount of tax finally payable by her (including health and education cess). [14]

Q7. ABC Ltd., a domestic company opting for the concessional tax regime under section 115BAA of the Income Tax Act, 1961, has a Total Income of Rs. 2,00,00,000 for the assessment year 2026-27. Compute its tax liability, including the flat surcharge applicable under section 115BAA and health and education cess. [14]

Q8. Sharma & Associates, a partnership firm, has a Total Income of Rs. 45,00,000 for the assessment year 2026-27. Compute its tax liability, including surcharge, if any, and health and education cess, applying the flat rate of tax applicable to a firm under the Income Tax Act, 1961. [14]

Q9. Explain briefly the different types of assessment recognised under the Income Tax Act, 1961, namely self-assessment (section 140A), summary assessment (section 143(1)), scrutiny assessment (section 143(3)), best judgment assessment (section 144) and income escaping assessment (section 147). [14]

Q10. Discuss the hierarchy of appellate authorities under the Income Tax Act, 1961, from the Commissioner of Income Tax (Appeals) to the Supreme Court, and distinguish between the power of revision vested in the Principal Commissioner or Commissioner under sections 263 and 264. [14]

Set C

Q1. Discuss any six categories of income that are wholly exempt from tax under section 10 of the Income Tax Act, 1961, giving a brief account of the conditions attached to each. [14]

Q2. Mr. Ahilesh's minor son has a fixed deposit, gifted to him by his grandfather, on which he earns interest income of Rs. 25,000 during the previous year 2025-26. Examine, with reference to section 64(1A) of the Income Tax Act, 1961, the manner in which this income is to be clubbed in the hands of a parent, and compute the amount so includible after allowing the exemption available under section 10(32). [14]

Q3. Explain the manner of determination of the Annual Value of a house property under section 23 of the Income Tax Act, 1961, bringing out clearly the meaning of Municipal Value, Fair Rent, Standard Rent and Actual Rent Received or Receivable. [14]

Q4. The written down value of the block of Plant and Machinery (depreciation rate 15 percent) of Mr. Kartikeya as on 1st April, 2025 was Rs. 10,00,000. During the previous year 2025-26, he purchased new machinery of the same block for Rs. 3,00,000, which was put to use for more than 180 days during the year, and sold an old machine from the same block for Rs. 1,50,000. Compute the depreciation allowable under the Income Tax Rules for the assessment year 2026-27 under the Written Down Value method, and determine the written down value of the block as on 31st March, 2026. [14]

Q5. State whether the basic exemption limit and the age-based slab benefits available to senior and super senior citizens under the old tax regime continue to be available under the new tax regime (section 115BAC) for the assessment year 2026-27, and explain the reasons for any difference. [14]

Q6. Discuss the deductions and exemptions that continue to be available to an individual or Hindu Undivided Family opting for the new tax regime under section 115BAC for the assessment year 2026-27, notwithstanding the general withdrawal of most deductions under Chapter VI-A. [14]

Q7. Gupta & Sons LLP has a Total Income of Rs. 1,20,00,000 for the assessment year 2026-27. Compute its tax liability, including surcharge and health and education cess, applying the rate of tax and surcharge applicable to a firm or Limited Liability Partnership under the Income Tax Act, 1961. [14]

Q8. Explain the meaning of "Domestic Company" and "Foreign Company" under sections 2(22A) and 2(23A) of the Income Tax Act, 1961, respectively, and discuss the difference in the rates of tax applicable to each for the assessment year 2026-27. [14]

Q9. Mr. Girijesh estimates his total tax liability for the previous year 2025-26 at Rs. 4,00,000 and is liable to pay advance tax under section 208 of the Income Tax Act, 1961. Compute, in accordance with section 211, the amount of advance tax payable by him on each of the four statutorily prescribed due dates during the financial year. [14]

Q10. Sunrise Industries Pvt. Ltd. makes a single payment of Rs. 8,00,000 to Sharma Contractors, a partnership firm, under a works contract during the previous year 2025-26. Examine, with reference to section 194C of the Income Tax Act, 1961, whether tax is required to be deducted at source on this payment, and compute the amount of tax to be deducted. [14]

Set D

Q1. Explain the concept of "Deemed Income" under the Income Tax Act, 1961, and discuss briefly the provisions relating to cash credits (section 68), unexplained investments (section 69) and unexplained expenditure (section 69C). [14]

Q2. Mr. Deepankar has a loss of Rs. 3,00,000 from a non-speculative business and income from salary (computed) of Rs. 5,00,000 for the previous year 2025-26. Examine, with reference to section 71(2A) of the Income Tax Act, 1961, whether the business loss can be set off against his salary income, and compute his Gross Total Income for the assessment year 2026-27, stating the amount of loss, if any, to be carried forward and the head of income against which it can be set off in future years. [14]

Q3. Mr. Ranganathan, a retired employee of a private company, received the following income during the previous year 2025-26 : Uncommuted family pension, Rs. 96,000 ; Interest on Fixed Deposits with a bank, Rs. 55,000 ; Dividend from shares of Indian companies, Rs. 30,000. Compute his taxable income under the head "Income from Other Sources" for the assessment year 2026-27, showing the deduction admissible in respect of family pension under section 57(iia). [14]

Q4. Explain the presumptive taxation scheme available to eligible businesses under section 44AD of the Income Tax Act, 1961, including the conditions of eligibility and the rates of presumptive income. Mr. Wasim, a resident individual carrying on an eligible retail business, has a total turnover of Rs. 60,00,000 for the previous year 2025-26, of which Rs. 20,00,000 was received in cash and the remaining Rs. 40,00,000 was received through banking channels and other prescribed digital modes. Compute his presumptive income chargeable to tax under section 44AD. [14]

Q5. Mr. Yashwant, a resident individual opting for the new tax regime, has Income from Salary (computed) of Rs. 9,00,000, Long-Term Capital Gain under section 112A (after the exemption of Rs. 1,25,000) of Rs. 3,00,000, and Short-Term Capital Gain under section 111A of Rs. 1,00,000, for the previous year 2025-26. Compute his tax liability (including health and education cess) for the assessment year 2026-27, clearly showing the tax on the normal slab income separately from the tax on the special-rate capital gains. [14]

Q6. Explain briefly how the coparcenary property of a Hindu Undivided Family is treated for income tax purposes, and discuss the circumstances in which the income of an HUF may be clubbed in the hands of an individual member under the Income Tax Act, 1961. [14]

Q7. Orion Inc., a foreign company, has a Total Income of Rs. 50,00,000 attributable to its operations in India for the assessment year 2026-27. Compute its tax liability, including surcharge, if any, and health and education cess, applying the rate of tax applicable to a foreign company. [14]

Q8. Explain the concept of Minimum Alternate Tax (MAT) under section 115JB of the Income Tax Act, 1961, discussing its applicability, the rate at which it is levied on book profit, and the categories of companies that are exempted from its applicability. [14]

Q9. Metro Motors, an authorised dealer, sells a motor car for Rs. 15,00,000 to a buyer during the previous year 2025-26. Examine, with reference to section 206C(1F) of the Income Tax Act, 1961, whether tax is required to be collected at source on this sale, and compute the amount of tax to be collected. [14]

Q10. Discuss the procedure and important features of E-filing of Income Tax Returns under the Income Tax Act, 1961, including the modes of verification of a return (digital signature and Electronic Verification Code), and examine the benefits of e-filing over manual filing of returns. [14]

Set E

Q1. Discuss briefly the general scheme of deductions available to an assessee from Gross Total Income under Chapter VI-A of the Income Tax Act, 1961, and state the basic conditions and restrictions that govern the availability of such deductions. [14]

Q2. Mr. Om Prakash, a resident individual opting for the new tax regime, has agricultural income of Rs. 3,00,000 and non-agricultural total income of Rs. 13,00,000 for the previous year 2025-26. Examine whether the provisions relating to partial integration of agricultural income with non-agricultural income are attracted in his case, and compute his tax liability (including health and education cess) for the assessment year 2026-27, showing every step of the partial integration method clearly. [14]

Q3. Mr. Raghuveer purchased listed equity shares of a company (on which Securities Transaction Tax was paid at the time of sale) on 1st June, 2025 for Rs. 3,00,000. He sold the shares on 1st December, 2025 for Rs. 3,90,000, incurring brokerage of Rs. 3,000 on the sale. Compute the amount of Short-Term Capital Gain chargeable to tax under section 111A for the assessment year 2026-27. [14]

Q4. Mr. Bholanath purchased a plot of land some years ago for Rs. 7,00,000 (Cost Inflation Index for the year of acquisition being 100). He sold the plot during the previous year 2025-26 for Rs. 38,00,000, incurring expenses on transfer of Rs. 50,000. Given that the Cost Inflation Index for the previous year 2025-26 is 300, compute the amount of Long-Term Capital Gain chargeable to tax for the assessment year 2026-27 after allowing indexation of the cost of acquisition. [14]

Q5. Mr. Prashant's Total Income, computed after claiming all deductions admissible to him, works out to Rs. 8,00,000 under the old tax regime and Rs. 9,00,000 under the new tax regime (fewer deductions being available under the latter). Compute his tax liability (including health and education cess) for the assessment year 2026-27 under both the old and the new tax regimes, and advise him, with reasons, as to which regime is more beneficial. [14]

Q6. Explain the option available to an individual and a Hindu Undivided Family under section 115BAC of the Income Tax Act, 1961, to choose between the old tax regime and the new (default) tax regime for the assessment year 2026-27, and discuss the conditions governing the exercise and withdrawal of this option. [14]

Q7. Explain the concept of Alternate Minimum Tax (AMT) under section 115JC of the Income Tax Act, 1961, as applicable to a firm or Limited Liability Partnership, discussing the circumstances in which it becomes applicable and the rate at which it is levied on adjusted total income. [14]

Q8. PQR Ltd., a domestic company whose turnover in the relevant previous year does not exceed Rs. 400 crore, has a Total Income of Rs. 3,00,00,000 for the assessment year 2026-27. Compute its tax liability, including surcharge and health and education cess, both (a) without opting for section 115BAA, and (b) after opting for the concessional tax regime under section 115BAA, and advise the company, with reasons, as to which option is more beneficial. [14]

Q9. Explain the meaning and objectives of a Double Taxation Avoidance Agreement (DTAA), and discuss the methods of granting relief from double taxation under sections 90, 90A and 91 of the Income Tax Act, 1961. [14]

Q10. Mr. Waseem, a resident individual, earns foreign income of Rs. 5,00,000 during the previous year 2025-26, in a country with which India has no Double Taxation Avoidance Agreement, on which he has paid foreign tax of Rs. 75,000. The Indian tax attributable to this doubly taxed income, computed at the average rate of Indian tax, works out to Rs. 1,00,000. Compute the amount of relief, if any, available to him under section 91 of the Income Tax Act, 1961, and state the basis on which such relief is computed. [14]

MCCC-04: Marketing Management

Marketing Management (MCCC-04, Semester I core paper) covers the nature, concepts, functions and role of marketing management, the marketing management process, the marketing mix, market analysis, the marketing environment, the consumer buying decision process, and market segmentation, targeting and positioning; the concept and classification of products, major product decisions, product line and product mix, branding, packaging and labelling, the product life cycle, and new product development and the consumer adoption process; the concept and meaning of price and pricing, the significance of pricing decisions, factors affecting price determination, and pricing methods, policies and strategies; channels of distribution, types and functions of intermediaries, distribution logistics, the promotion mix, the communication process, promotion tools and the optimal promotion mix; and modern retailing trends in India, rural marketing, direct marketing, sustainable marketing, influencer marketing, online marketing, emerging trends and issues, and ISO certification.

Set A

Q1. Explain the nature, concepts and functions of marketing management, and discuss the role that marketing management plays in the overall growth and profitability of a modern business enterprise. [14]

Q2. Describe the marketing management process from a strategic perspective, and explain how marketing planning, implementation and control are integrated with the overall corporate strategy of a firm. [14]

Q3. Explain the concept of a product in marketing and discuss the various classifications of products based on durability, tangibility and use, bringing out the marketing implications of each. [14]

Q4. Discuss the major product decisions that a marketing manager must take, covering aspects such as product attributes, branding, packaging, labelling and product support services. [14]

Q5. Explain the concept and meaning of price and pricing, and discuss the significance of pricing decisions in the overall marketing strategy of a firm. [14]

Q6. Discuss the various internal and external factors that affect price determination for a product or service. [14]

Q7. Explain the concept and importance of channels of distribution, and discuss the various functions performed by distribution channels in the marketing of goods and services. [14]

Q8. Discuss the different types of marketing intermediaries, such as wholesalers, retailers, agents and brokers, and explain the specific functions performed by each in the distribution process. [14]

Q9. Discuss the modern trends in retailing in India, such as organised retailing, e-tailing and omni-channel retailing, and examine their impact on traditional retail formats. [14]

Q10. Explain the concept and significance of rural marketing in India, and discuss the special characteristics of the rural market that a marketer must consider while designing a rural marketing strategy. [14]

Set B

Q1. Explain the concept of marketing mix and discuss the significance of each of its elements - product, price, place and promotion - in the formulation of an effective marketing strategy. [14]

Q2. Discuss the meaning and importance of market analysis, and explain how a firm develops an understanding of market size, structure and demand before designing its marketing strategy. [14]

Q3. Explain the concepts of product line and product mix, and discuss the various strategies a firm may adopt for product line and product mix expansion or contraction. [14]

Q4. Explain the concept and importance of branding, and discuss the various branding decisions and strategies that a firm needs to consider while building a strong brand. [14]

Q5. Explain the concept of cost-based pricing and discuss the various cost-oriented pricing methods used by firms, along with their merits and limitations. [14]

Q6. A company manufactures a product at a variable cost of Rs. 200 per unit, and its fixed costs amount to Rs. 5,00,000 per year. If the company expects to sell 10,000 units during the year and desires a mark-up of 25 percent on the total cost, calculate the selling price per unit using the cost-plus pricing method, and discuss the limitations of this pricing approach. [14]

Q7. Explain the various factors that a firm should consider while designing its channel of distribution, and discuss the different channel design alternatives available to a marketer. [14]

Q8. Explain the concept of distribution logistics and discuss the major logistics decisions relating to order processing, warehousing, inventory management and transportation that a firm must take. [14]

Q9. Explain the concept of direct marketing and discuss its various forms, along with the advantages and limitations of direct marketing as a promotional tool. [14]

Q10. Discuss the concept of sustainable marketing and examine why firms are increasingly adopting sustainable and environmentally responsible marketing practices. [14]

Set C

Q1. Explain the concept of marketing environment and distinguish between the micro-environment and macro-environment of a firm, bringing out the major factors that constitute each. [14]

Q2. A consumer durables company finds that changing government regulations, rising raw material costs and shifting consumer lifestyles are affecting its sales. Analyse how the different components of the marketing environment, both internal and external, may be influencing the company's marketing decisions, and suggest how the firm should respond. [14]

Q3. Discuss the functions and importance of packaging in modern marketing, and explain how packaging and labelling decisions influence consumer perception and purchase behaviour. [14]

Q4. Explain the concept of the Product Life Cycle and discuss the strategic marketing implications for a firm at each stage of the cycle, namely introduction, growth, maturity and decline. [14]

Q5. Explain the concept of demand-based and competition-based pricing methods, and discuss the circumstances under which a firm may prefer these methods over cost-based pricing. [14]

Q6. Discuss the concept of price skimming and price penetration as new-product pricing strategies, and explain the circumstances under which each strategy is appropriate. [14]

Q7. Discuss the concept of promotion mix and explain the various elements of the promotion mix, namely advertising, personal selling, sales promotion, public relations and direct marketing. [14]

Q8. Explain the communication process involved in marketing promotion, and discuss the various elements of this process, such as sender, encoding, message, medium, decoding, receiver, feedback and noise. [14]

Q9. Explain the concept and growing importance of influencer marketing, and discuss how firms use influencers to build brand awareness and influence consumer purchase decisions. [14]

Q10. Discuss the concept and scope of online marketing, and explain the various online marketing tools, such as search engine marketing, social media marketing and email marketing, used by modern firms. [14]

Set D

Q1. Explain the various stages of the consumer buying decision process, from need recognition to post-purchase behaviour, and discuss the major psychological, social and cultural influences that affect this process. [14]

Q2. Explain the concept of market segmentation and discuss the important bases on which a consumer market may be segmented by a marketer. [14]

Q3. A soft drink brand that has enjoyed strong sales for over a decade is now witnessing declining volumes and increasing competition from newer entrants. Identify the stage of the Product Life Cycle the brand is likely in, and recommend suitable marketing strategies the company should adopt to revive or sustain the product. [14]

Q4. Explain the meaning and importance of new product development, and discuss the various stages involved in the new product development process. [14]

Q5. Explain the various psychological pricing strategies used by marketers, such as odd pricing, prestige pricing and reference pricing, and discuss their effectiveness in influencing consumer perception. [14]

Q6. Discuss the various discount and allowance pricing policies adopted by firms, such as cash discount, trade discount, quantity discount and seasonal discount, along with their purposes. [14]

Q7. Discuss the various promotion tools available to a marketer and evaluate their relative effectiveness in achieving different promotional objectives such as building awareness, generating interest and driving sales. [14]

Q8. Explain the factors that a firm should consider while determining its optimal promotion mix, and discuss how the nature of the product, market and stage of the product life cycle influence this decision. [14]

Q9. A regional handicrafts business wants to expand its customer base beyond its home city by using digital and influencer-driven promotion while keeping its promotional budget limited. Suggest a suitable online and influencer marketing strategy for this business, explaining how each recommended tool would help achieve its expansion objective. [14]

Q10. Explain the meaning and significance of ISO certification for a business enterprise, and discuss how ISO certification can serve as an effective marketing tool to build customer confidence and competitive advantage. [14]

Set E

Q1. Discuss the concept of targeting and explain the various strategies a firm may adopt for selecting its target market segments, along with the factors that influence such a choice. [14]

Q2. Explain the concept of positioning and discuss the various positioning strategies that a firm can use to create a distinct and favourable image of its product in the minds of target consumers. [14]

Q3. Explain the concept of the consumer adoption process and discuss the various stages through which a consumer passes while adopting a new product. [14]

Q4. Discuss the various categories of adopters in the diffusion of innovation, such as innovators, early adopters, early majority, late majority and laggards, and explain their significance for a firm launching a new product. [14]

Q5. Explain the concept of differential (price discrimination) pricing strategy and discuss the conditions under which a firm can successfully practise this strategy in the market. [14]

Q6. Discuss the various pricing strategies used in the product-mix, such as product line pricing, optional-product pricing, captive-product pricing and product-bundle pricing, with suitable examples. [14]

Q7. A newly launched fast-moving consumer goods brand has a limited marketing budget and wants to build awareness quickly among a large number of price-sensitive customers spread across both urban and rural markets. Recommend a suitable combination of channel of distribution and promotion mix for this brand, giving reasons for your recommendation. [14]

Q8. Discuss the role and importance of intermediaries and logistics decisions in ensuring an efficient and cost-effective distribution system, and explain how poor distribution logistics can adversely affect a firm's marketing performance. [14]

Q9. Discuss the emerging trends and issues in marketing development in the present-day business environment, with special reference to changing consumer behaviour and technological advancement. [14]

Q10. Examine the impact of digitalisation on modern retailing, rural marketing and promotional strategies in India, and discuss the key challenges that marketers face in adapting to these emerging developments. [14]

MCCC-05: Indian and Global Business Environment

Indian and Global Business Environment (MCCC-05, Semester I core paper) covers the concept, nature, scope and significance of business environment, its internal and external, micro and macro environmental factors, the changing dimensions of the business environment, and Multinational Corporations (MNCs); the concept of an economic system and its impact on business operations, including Capitalism, Socialism and the Mixed Economic System, and the interaction of economic and non-economic factors in business; government and business, covering the need and forms of government intervention, private and public enterprises, monetary policy and fiscal policy, and international trade; economic policy and governance, including Industrial Policy, the New Economic Policy, FEMA, SEBI, FDI, FII, FPI and disinvestment; and the social responsibility of business alongside major financial institutions such as the RBI, NABARD, SIDBI, IDBI, the World Bank, the IMF and the WTO.

Set A

Q1. Explain the concept, nature and scope of business environment, and discuss its significance for the successful functioning and growth of a business enterprise. [14]

Q2. Distinguish between the internal and external environment of business, and explain the various components that constitute each of these two categories. [14]

Q3. Explain the concept and meaning of an economic system, and discuss its impact on the business operations and decision-making of enterprises functioning within it. [14]

Q4. Discuss the meaning, features, merits and demerits of Capitalism as an economic system, with suitable examples of countries following this system. [14]

Q5. Explain the concept of government and business, and discuss the various reasons that necessitate government intervention in the business activities of a country. [14]

Q6. Discuss the need for government intervention in business, with special reference to market failure, protection of public interest and promotion of balanced regional development. [14]

Q7. Discuss the salient features and objectives of the Industrial Policy of the Government of India, and examine its role in shaping the pattern of industrial development in the country. [14]

Q8. Discuss the salient features of the New Economic Policy of 1991, and examine its impact on the Indian economy in terms of liberalisation, privatisation and globalisation. [14]

Q9. Explain the concept of social responsibility of business, and discuss the responsibilities of a business enterprise towards its various stakeholders, such as shareholders, employees, consumers and society at large. [14]

Q10. Explain the objectives and functions of the Reserve Bank of India (RBI) as the central bank of the country, and discuss its role in regulating the monetary and banking system. [14]

Set B

Q1. Explain the meaning of micro environment and macro environment of business, and discuss the various factors that fall under each with suitable examples. [14]

Q2. Discuss the various internal environmental factors, such as value system, mission and objectives, management structure, human resources and company image, that influence the working of a business enterprise. [14]

Q3. Discuss the meaning, features, merits and demerits of Socialism as an economic system, with suitable examples of countries following this system. [14]

Q4. Discuss the meaning, features, merits and demerits of a Mixed Economic System, and examine why most developing countries, including India, have adopted this system. [14]

Q5. Discuss the various forms of government intervention in business, such as regulation, control, promotion, participation and planning, with suitable examples. [14]

Q6. Distinguish between private sector enterprises and public sector enterprises, and discuss their respective roles in the economic development of a country such as India. [14]

Q7. Explain the meaning and objectives of the Foreign Exchange Management Act (FEMA), and discuss how it differs from the earlier Foreign Exchange Regulation Act (FERA) in its approach to foreign exchange transactions. [14]

Q8. Explain the role and functions of the Securities and Exchange Board of India (SEBI) in regulating and developing the securities market in the country. [14]

Q9. Discuss the objectives and functions of the National Bank for Agriculture and Rural Development (NABARD), and examine its role in promoting agricultural and rural development in India. [14]

Q10. Discuss the objectives and functions of the Small Industries Development Bank of India (SIDBI), and examine its role in promoting the growth of micro, small and medium enterprises. [14]

Set C

Q1. Discuss the important external environmental factors, such as economic, political, legal, social, cultural, technological and international factors, that shape the business decisions of an enterprise. [14]

Q2. Discuss the changing dimensions of the business environment in India since the introduction of economic liberalisation, privatisation and globalisation, with suitable examples. [14]

Q3. Compare Capitalism, Socialism and Mixed Economy in terms of ownership of resources, role of the price mechanism, and the extent of government intervention in economic activity. [14]

Q4. Examine the role of the public sector and the private sector in a mixed economic system such as India, and discuss the changing balance between the two since economic reforms. [14]

Q5. Discuss the various forms in which public enterprises are organised in India, such as departmental undertakings, statutory corporations and government companies, bringing out their distinguishing features. [14]

Q6. Explain the meaning and objectives of monetary policy, and discuss the various instruments used by the central bank to regulate money supply and credit in the economy. [14]

Q7. Explain the meaning and significance of Foreign Direct Investment (FDI), and discuss its role in the economic development of a developing country such as India. [14]

Q8. Distinguish between Foreign Direct Investment (FDI), Foreign Institutional Investment (FII) and Foreign Portfolio Investment (FPI), bringing out the essential differences among these three forms of foreign capital inflow. [14]

Q9. Discuss the objectives and functions of the Industrial Development Bank of India (IDBI), and examine its role in providing financial assistance for industrial development in the country. [14]

Q10. Explain the objectives and functions of the World Bank, and discuss the role played by it in financing economic development projects in member countries. [14]

Set D

Q1. Explain the meaning and salient characteristics of a Multinational Corporation (MNC), and discuss the various forms in which it may organise its business operations in a host country. [14]

Q2. Examine the role played by Multinational Corporations in the economic development of a host developing country such as India, along with the problems associated with their operations. [14]

Q3. Explain the meaning of economic and non-economic factors affecting business, and discuss how their interaction shapes the overall business climate of a country. [14]

Q4. Discuss the impact of social and cultural factors, such as customs, values and attitudes, on the economic and business decisions of an enterprise. [14]

Q5. Explain the meaning and objectives of fiscal policy, and discuss the various instruments of fiscal policy, such as taxation, public expenditure and public borrowing, used by the government. [14]

Q6. Distinguish between monetary policy and fiscal policy, and examine how the two policies are coordinated to achieve macroeconomic stability and growth in an economy. [14]

Q7. Explain the meaning, objectives and process of disinvestment of public sector undertakings, and discuss the arguments for and against the disinvestment policy pursued by the Government of India. [14]

Q8. Examine the important legislative and policy measures introduced by the Government of India to attract foreign investment and integrate the Indian economy with the global economy. [14]

Q9. Explain the objectives and functions of the International Monetary Fund (IMF), and discuss the assistance provided by it to member countries facing balance of payments difficulties. [14]

Q10. Explain the objectives and functions of the World Trade Organisation (WTO), and discuss its role in regulating and promoting international trade among member nations. [14]

Set E

Q1. Discuss the interaction between the various dimensions of business environment, and examine how a change in one dimension, such as technology, may bring about changes in other dimensions such as social and economic environment. [14]

Q2. Explain why a business enterprise needs to continuously scan and analyse its environment, and discuss the techniques commonly used for environmental scanning and analysis. [14]

Q3. Discuss the impact of political and legal factors on the choice of economic system adopted by a country and on the resultant business environment. [14]

Q4. Examine the transition of the Indian economic system from a centrally planned economy to a more market-oriented mixed economy, and discuss its consequences for business enterprises. [14]

Q5. Explain the meaning, importance and theoretical basis of international trade, and discuss the benefits that a country derives from participating in it. [14]

Q6. Discuss the various barriers to international trade, such as tariff and non-tariff barriers, and examine their impact on the flow of goods and services between countries. [14]

Q7. Discuss the role of the Industrial Policy and the New Economic Policy in transforming India from a closed, protected economy into a liberalised, globally integrated economy. [14]

Q8. Examine the impact of FDI, FII and FPI inflows on the Indian capital market and the overall economy, and discuss the regulatory framework governing such investments. [14]

Q9. Compare the roles played by the World Bank, the International Monetary Fund and the World Trade Organisation in promoting global economic cooperation and development. [14]

Q10. Examine the collective role of major financial institutions, such as RBI, NABARD, SIDBI and IDBI, along with the concept of social responsibility of business, in fostering inclusive and sustainable economic development in India. [14]