SOLVED UGC - NET PAPER - II MANAGEMENT - JUNE 2012

1. Cardinal measure of utility is required in

(A) Utility Theory (B) Indifference Curve Analysis (C) Revealed Preference (D) Inferior Goods

2. A Right-ward shift in Demand Curve indicates

(A) A decrease in supply (B) An increase in quantity supplied
(C) An increase in supply over the previous year (D) Law of Variable Proportions

3. Which of the following is the condition for equilibrium for Monopolist ?

(A) MR = MC (B) MC = AR (C) MR = MC = Price (D) AC = AR

4. Giffen goods are those goods

(A) for which demand increases as price decreases (B) which are in short supply

(C) which have high elasticity of demand (D) which gives rise to a Cob-Web situation.

5. Match List-I with List-II and select the correct answer using the codes given below the lists.

List – I (Demand Estimation Method)                                 List – II (Steps involved)

(a) Customer Interview Method                                             1. Consumers Interview

(b) Market Experiment Method                                             2. Time series or Cross Section Data

(c) Regression Method                                                          3. Market Stimulation

(d) Demand Forecasts                                                           4. Market Experiments’ Survey

Codes :

(a)        (b)        (c)        (d)

(A)       1          3          4          2

(B)       1          3          2          4

(C)       2          4          3          1

(D)       4          2          1          3

6. Who divided all activities of the organisations into six groups ; Technical, Commercial, Financial, Security, Accounting and Managerial ?

(A) Peter Drucker       (B) D. E. Mc Forland (C) Henry Fayol          (D) George R. Terry

7. What are the elements that a Mission Statement of an Organisation should include ?

(A) Self guidelines for Business Operations

(B) Identifies the reasons for existence of a company and its responsibilities to the stakeholders.

(C) Identifies the firms’ customers and their needs and matches them to the products and services.

(D) All of the above (A), (B) and (C).

8. Changes in population characteristics such as age, gender, race, marital status, income and education are examples of change:

(A) Demographic        (B) Cultural     (C) Geographic           (D) Diversity

9. Which of the following is not included as Micro-Environmental Variables ?

(A) Prevailing economic and political conditions.      (B) Emerging new technologies

(C) Financial conditions and culture                           (D) None of the above

10. During his days at Midvale Steel Company F.W. Taylor saw that employees soldiering – deliberately working at a pace slower than their capabilities. He identified that, worker indulge in soldiering primarily for the following reasons :

(A) Fear of losing jobs if they increase their output. (B) Faulty wage systems.

(C) Out-dated methods of working                                        (D) All of the above

11. Among the best known trait approaches to personality measurement – column A gives Traits and column B states the name of authority defining them. Match the correct combination

Traits Author

(A)       20 + needs       Murray

(B)       16 traits           Eysenck

(C)       3 traits             Cattell

(D)       5 traits             Costa & Merree

12. “Third Party intervention” as “Conflict Resolution” is

(A) often required                                                                               (B) seldom required

(C) required as a mandate, when conflict remains unresolved           (D) not at all considered as an option

13. The policy of introducing “New   Blood” is

(A) Steriotypic                                    (B) Bureacratic as well as redtapic

(C) Innovative and challenging, making the corporate dynamic (D) Innovative, challenging, but often resisted

14. An “Assessment Centre” is

(A) A place     (B) A technique          (C) Both (A) and (B)              (D) None of the above

15. “Organizational learning” and “Learning organization” are

(A) Same         (B) Different   (C) Reverse to each other       (D) Complementary to each other

16. The value of the firm is maximized when the

(A) Market price of equity share is maximum            (B) Market price of equity share is     minimum

(C) Market value of debt is maximum                        (D) None of the above

17. Which of the following is the main assumption of Waltar Valuation Model ?

(A) All financing is done through Retained earnings and external sources of funds.

(B) With additional investment the firms business risk will change.

(C) There is a change in the key variables such as EPS and DPS

(D) None of the above

18. Which of the following is an important money market instrument ?

(A) Debentures           (B) Commercial Paper (C) Public Deposits     (D) None of the above

19. The method of payment in Mergers and Acquisitions may include

(i) Cash            (ii) Loan stock             (iii) Ordinary shares    (iv) Convertible loan stock

(A) (i) & (iii) only        (B) (i) & (ii) only         (C) (i), (ii), (iii) and (iv)           (D) (ii) & (iv) only

20. Working capital refers to the capital         mobilised for meeting

(A) Long-term financial needs of the company          (B) To meet day-to-day financial obligations of the company           

(C) To meet the future financial requirements of the company (D) None of the above

21. Which of the following statement is true ?

(A) The essence of marketing is a transaction of an exchange.

(B) Marketing–orientation is philosophy, which has to pervade the organisation structure

(C) Marketing is also a managerial function involving analysis, planning and control marketing activities in an organisation

(D) All of the above

22. A marketing plan is composed of three basic components, namely

1. Objectives 2. Policies 3. Program 4. Procedure 5. Hints 6. Decision 7. Command 8. Periodic 9. Diversity

(A) 1, 2 and 3 only

(B) 6, 7 and 8 only

(C) 5, 7 and 9 only

(D) 2, 3 and 9 only

23. Which of the following is not the stage of new product development ?

(A) Idea Generation (B) Business Analysis (C) Test Marketing (D) Market Segmentation

24. Marketing research does not normally

(A) Gather environmental information

(B) Provide a continuous source of information

(C) Relate to all aspects of marketing operations

(D) Describe the current situation

25. Which of the following is not included in 7 P’s of services marketing ?

(A) Physical evidence (B) People (C) Process (D) Marketing plan

26. Which of the following is not the type of Plant Layout ?

(A) Product Layout (B) Process Layout (C) Fixed Position Layout (D) Residential Layout

27. Which of the following factor is considered in the selection of a plant location ?

(A) Source of Raw-materials (B) Availability of water (C) Marketing facilities (D) All the above

28. Work measurement refers to

(A) the length of time it takes to complete a work task assigned to a specific job (B) improving work methods

(C) arrangement of machines according to sequence of operations

(D) planning the work and working the plans

29. The Graphical method can be used to solve

(A) A linear programming problem with all integer data base. (B) A linear programming problem with two decision variables.

(C) Any linear programming problem. (D) A transportation problem with two origins and two destinations.

30. If two dice are thrown, the probability that the sum of their points is greater than 10 is

(A) 1/9 (B) 1/12 (C) 1/3 (D) 1/18

31. A Binomial distribution is characterized as b (16,0.5) i.e. sample size is 16 and the probability of success is 0.5. The mean and variance of this distribution will be respectively

(A) 8, 4 (B) 8, 8 (C) 4, 8 (D) 4, 4

32. Two variables are said to be perfectly negatively correlated if

(A) Covariance between them is positive

(B) Coefficient of correlation between them is –1

(C) Covariance between them is negative

(D) None of the above

33. Which type of sampling is appropriate when the population consists of well defined groups such that the elements within each group are homogeneous and between each group they are heterogeneous ?

(A) Cluster Sampling (B) Simple Random Sampling (C) Stratified Sampling (D) Judgement Sampling

34. Which of the following is not a type of internet connection ?

(A) ISDN (B) Dial-up (C) Leased-Line (D) ISP

35. Match the following :

List – I                                                            List – II

(I) Poisson distribution has the property that             1. Its mean is greater than Variance

(II) Normal distribution is a                                        2. Symmetric distribution

(III) Chi-square distribution is                                    3. Positively skewed distribution

(IV) Binomial distribution has the property that        4. Its mean and variance are equal.

Codes :           (I)        (II)       (III)     (IV)

(A)       4          2          1          3

(B)       4          2          3          1

(C)       1          2          3          4

(D)       2          4          3          1

36. WTO come into being in the year

(A) 1975 (B) 1985 (C) 1995 (D) 2001

37. Which of the following is not Porter’s generic strategy ?

(A) Focus (B) Cost Leadership (C) Differentiation (D) Market segmentation

38. Globalization involves

(A) Free flow of technology from one country to another

(B) Free flow of investment from one country to the other

(C) Free flow of people from one country to the other

(D) All the above

39. Which is a short-term strategy for a firm ?

(A) Corporate strategy (B) Business strategy (C) Company mission (D) Functional strategy

40. Which is not a global entry strategy ?

(A) Exporting (B) Joint venture (C) Merger and Acquisition (D) Blue ocean strategy

41. Which one is not the characteristic feature of Entrepreneurship ?

(A) Vision (B) Risk Bearing (C) Initiative and Drive (D) Disloyalty

42. Which of the following organizations is meant for promoting small scale industries at district level ?

(A) SIDBI (B) DIC (C) SFCs (D) NABARD

43. The reason for sickness of small scale industry is

(A) Lack of capital (B) Lack of market (C) Severe competition (D) All the above

44. The measure taken by Government to promote small scale industry.

(A) Provision of land (B) Provision of marketing facilities

(C) Arrangement of credit and raw materials (D) All the above

45. Small and medium enterprises are

(A) Labour intensive   (B) Capital intensive   (C) Market leader        (D) Industry price determiner

46. Business propositions are to be selected by making an analysis that, how much the local resources will be depleted in the commencement and the course of Business. This is known as

(A) Sensitivity Analysis                                  (B) Common Property Resource use

(C) Environmental Impact Assessment          (D) None of the above

47. Whistle-Blowers are

(A) to be removed from the jobs                                            (B) to be promoted

(C) to be rewarded for the organisational enrichment            (D) to be protected since they intend to bring out truth

48. Funding through Micro finance to Small and Micro Enterprises is not successful due to

(A) High rate of interest (B) Out sourcing of method of providing Micro Finance

(C) (A) & (B) (D) None of the above

49. “Work-Diversity” by nature, does not go against Ethics. But an executive assistant while getting transferred from “stores” to “despatch” section created turmoil in the office. He is

(A) Most ethical in his deal (B) Fully against work ethics

(C) He is workaholic (D) A Rigid employer, hard nut to crack

50. Ethical Management is

(A) A Compromise (B) A Compulsion (C) A Judgement (D) (A) and (B)

JUNE 2012 ANSWER KEY

1	A		11	A		21	D		31	A		41	D
2	X		12	C		22	A		32	B		42	B
3	A		13	C		23	D		33	C		43	D
4	X		14	C		24	B		34	D		44	D
5	B		15	D		25	D		35	B		45	A
6	C		16	A		26	D		36	C		46	C
7	D		17	D		27	D		37	D		47	D
8	A		18	B		28	A		38	D		48	C
9	D		19	C		29	B		39	D		49	B
10	D		20	B		30	B		40	D		50	C

SOLVED UGC-NET-MANAGEMENT PAPER II- DECEMBER 2004

1. When  Average  cost (AC) is  at its minimum, then :

(A) Marginal cost is equal  to  Average cost   (B) Marginal  cost is  less  than Average cost

(C) Marginal  cost is  more  than Average cost           (D) None  of  the above

2. Output under  price  discrimination  will  :

(A) Generally  be larger  than  under  simple  Monopoly

(B) Be  indeterminate  because, we  can not  know  what prices  can  be  charged

(C) Usually  be  the same as  under  perfect  competition

(D) Be  produced  at higher  average cost than  under  simple  monopoly

3. The  term opportunity  cost refers to :

(A) cost related to an  optimum level  of production (B) variable  cost

(C) short  - run cost                 (D) cost  of one product in terms of production of others forgone

4. When marginal  propensity  to consumption  (MPC) is one, then multiplier value (K) is  :

(A) zero           (B) one            (C) infinity                  (D) none of  the above

5. Monopolist  can  decide  :

(A) price          (B) quantity                 (C) both           (D) either  price or quantity

6. Sometimes your behavior results  in  a  congruent  response  from  other  person. Such behavior is referred  to  as :

(A) perceptual defense            (B) perceptual  bias     (C) misperception                    (D) response  evocation

7. The  change related phenomenon resisted  by the organizations in order to  maintain an equilibrium,  is  known as  :

(A) Conformity  to norms                   (B) Insecurity and  regression (C) Homoeostasis                    (D) Self-distrust

8. The view  that  the  conflict  should  be  accepted and  encouraged, corresponds  to  which of the  following  views  :

(A) Traditional  view (B) Interactionist  view           (C) Behavioural  view             (D) Both  (A)  and  (C)  above

9. A creativity technique based  on  the fitting together of diverse elements  principle for the  generation of alternative  solutions is  referred to as :

(A) Synectics                          (B) Brain  -  Storming (C) Nominal grouping             (D) Creative  Thinking

10. The  concept  of task oriented  and  people oriented leadership  was  developed by  :

(A) John  Berry           (B) Maxwell                (C) Blake  and  Mouton                      (D) Hertzberg

11. A broad statement  of  the purpose,  duties and responsibilities  of  a  job  or position, may be  referred to as :

(A) Job  Analysis        (B) Task  Analysis       (C) Job  Description                (D) Job  Specification

12. The term BARS stands for  :

(A) Behavioural  Abnormality  Rating  Scales                       (B) Behavioural  Abnormality  Response  Scales

(C) Behaviourally  Anchored  Response  Scales                    (D) Behaviourally  Anchored  Rating  Scales

13. The  art  of judging, character  of  a  person  from appearance  specially  the face,  based  on the  assumption that  face  is an  index of  mind,  is known  as  :

(A) Graphology           (B) Physiognomy        (C) Phrenology            (D) None of the  above

14. The  wage  which  has  to  be  paid  by  an  employer  to  his  workers,  irrespective  of  his ability, is known  as :

(A) Living wage          (B) Fair wage (C) Minimum wage                 (D) None of the above

15. Which  of  the  following  machineries  have  been  provided  by  The  Industrial  Disputes Act  for settlement  of disputes  between the  employee  and  the employer ?

(A) Conciliation          (B) Arbitration            (C) Adjudication         (D) All of the  above

16. Leaders who rely forever on the same internal advisers run the risk of being betrayed due to:

(A) Lack of trust                                             (B) Improper distance from authority

(C) Closer leader-adviser relationship (D) Lack of impartiality of the opinion

17. A Ltd. has beta (b) of 1.25. The  risk  free  rate  of  return  is  0.08  and  Rm50.15. Share price  is Rs. 30. The expected return is :

(A) 1 0%                     (B) 8%                         (C) 15%                       (D) 16.75%

18. In  financial evaluation of a acquisition,  the  value  of merger  focusses  on  :

(A) corporate  value                (B) stakeholder  value (C) shareholder  value             (D) none of the above

19. Interest is paid  on  a  deep  discount bond  :

(A) Monthly                (B) Half  yearly           (C) Annually               (D) At the  end of life of bond

20. Liberal  credit policy  may enhance  the  sales but  will lead to :

(A) faster  collection   (B) higher  turnover                (C) increase in  bad debts       (D) none of  the above

21. The  term marketing may  be  described as  the performance  of business activities  that :

(A) gives profit to the  organisation                (B) directs flow  of goods  from producer to consumer

(C) directs selling                                            (D) aims  at  satisfying the consumers

22. In   Marketing  Myopia  the tendency of firms is  to  take  a  :

(A) broad  view  of the  market                      (B) narrow view  of  the  market

(C) narrow  view  of  MIS                              (D) broad  view of MIS

23. Marketers can  do  on-line  marketing  by  creating  an  electronic  presence  on :

(A) the  internet,  placing  ads  on-line           (B) participating  in  forums,  newsgroups,  web  communities

(C) using  webcasting  and e-mail                   (D) all  of  the above

24. Green marketing  principles  relates to :

(A) Agriculture  marketing                             (B) Preservation  of  environment

(C) Social  marketing  environment    (D) Organic  product  marketing

25. Which one of the following is not  coming under principles  of personal selling  :

(A) Prospecting                       (B) Presentation  and  demonstration

(C) Promoting                         (D) Follow-up  and  maintenance

26. In  L.P.P. a basic solution is called  Degenerate  if  :

(A) None  of  the  variables  vanish    (B) All  basic variables  have infinite  values

(C) L.P.P. has a finite no.  of solution            (D) One or more  of  the  basic variables  vanish

27. In  Queuing theory  M/M/1/:/FIFO  stands for  :

(A) Multiple  channel,  Multiple  criteria,  single  line,  infinite  population,  first  in  first out

(B) Multiple  arrivals, Multiple channels, single distribution infinite  population  , first in first out

(C) Multiple single channel, Poisson arrivals, exponential service, infinite queue length, first in first  out

(D) Poisson arrivals, exponential service, single channel, infinite queue length, first in first out

28. In  North  -West corner rule for  solving  a  transportation problem  :

(A) the first assignment  is made  in  the cell occupying the lower left -  hand corner  of the  transportation  table

(B) the  last  assignment  is  made  in  the  cell  occupying  the  upper  left  hand  corner  of the  transportation  table

(C) the last  assignment  is  made  in  the cell  occupying  the  lower right hand  corner  of the  transportation  table

(D) the first  assignment is  made in the cell occupying the upper  left  -  hand corner  of the  transportation  table

29. The  main advantage of  the Delphi  technique over  other judgemental  forecasting technique is  :

(A) The opinion  of  others  are not  allowed to influence  individual  experts

(B) It requires  that  a  consensus  be  reached

(C) It is based  on  the majority  decision

(D) For this less information is required

30. The Pessimistic Time Estimate is :

(A) Maximum  possible  time  it  could  take  to accomplish  the  job

(B) Minimum possible time it could  take to accomplish  the job

(C) The total  time estimate  of  the  critical  path

(D) None  of  the above

31. If  a  random  variable  X  follows  Poisson  distribution  such  that  p( x =1)=p( x =2)  then the  mean of the  distribution is  :

(A) 1                (B) 2                (C) 3                (D) 4

32. If  r12 =0.86,  r13 =0.65,  r23 =0.72  then  r123 is  :

(A) 0.743         (B) 0.529         (C) 0.65           (D) 0.86

33. A and B are two events. The probability that at most one of A, B occurs is :

(A) 1-P(A ∩ B)                                   (B) P(A’) + P(B') + P(A' ∩B')           

(C) P(A’) + P(B') + P(A U B)             (D) P(A ∩B') + P(A' ∩B) - P(A' ∩B') '

34. (x1)^2 and (x2)^2 are independently distributed with n1 and n2 d. f. then [(x1)^2 / n1]/ [(x2)^2 / n2] is distributed as

(A) F - distribution  (B) t  -  distribution        (C) normally distribution        (D) X^2 - distribution

35. For an estimator to be  most  efficient it must be  :

(A) a  sufficient  estimator

(B) its sampling variance is less  then  any other  consistent  estimator

(C) its  sampling  variance  is  greater  then any other consistent  estimator

(D) both  (A)  and  (B)

36. A company  is said  to  be multinational,  if  :

(A) Production  and  marketing  are  done  in many  countries

(B) Domestically produced items  are sold globally

(C) Raw  materials  are  procured  from  many  countries

(D) Workers are hired globally

37. Ansoff s growth vector refers to  :

(A) Generic  strategies                        (B) Product -  market  strategies

(C) Both  of  the above                       (D) None of the  above

38. Five forces model was developed by :

(A) Alderfer    (B) Maslow     (C) Porter        (D) Elton  Mayo

39. Global  Depository Receipt is an  instrument  for :

(A) Foreign  Direct  Investment         (B) Foreign  Institutional  Investment

(C) Public Bonds                                (D) None of the  above

40. TRIP  covers  the  aspects related to  :

(A) Patents      (B) Trade  in  services (C) Globalization  of  business            (D) Labour  practices

41. Small  scale Industry  is defined in terms of :

(A) Volume  of production                 (B) Number of employees

(C) Amount  of  investment  in  plant  and  machinery          (D) Sales  turnover

42. If each one of the partners of a firm pulls out of a business and decides to separate, it is called  :

(A) Dissolution  of  partnership          (B) Dissolution of the  firm

(C) Lockout  of  the firm                    (D) Bankruptcy of  the  firm

43. Overdraft  is a short  - term finance measure to :

(A) Pay  taxes                                                 (B) Repay  loan

(C) Purchase  plant  and  equipment   (D) meet working  capital  requirement

44. Rural  infrastructure development  fund  is  provided by :

(A) NABARD            (B) SIDBI

(C) ICICI                    (D) Nationalized  Banks

45. Which of the following is a measure taken for revival  of  sick SSI  :

(A) Margin  money  scheme    (B) Reservation of items

(C) Export  promotion                        (D) Tax  holiday

46. Ecology Paradigm   of  management  refers  to :

(A) environmental  management                     (B) Strategic  choice  framework

(C) Stockholders   management                      (D) none of  the above

47. Strategising  within  value  framework  is an  approach  of  :

(A) Governance                                  (B) Management

(C) Administration                              (D) None of the  above

48. Economic value added  is the  measure of :

(A) Shareholders  wealth                    (B) Strategy  evaluation

(C) Stake  holders                               (D) None of the  above

49. Egalitarian  behaviour refers  to  :

(A) natural  behaviour                         (B) moral  behaviour

(C) ethical  behaviour  wealth             (D) social  behaviour

50. Organisation value  refers  to  :

(A) individual belief                           (B) Group belief

(C) Corporate  believes and  ethos      (D) None of the  above

ANSWER KEY DECEMBER 2004

1	A		11	C		21	D		31			41	C
2	B		12	D		22	B		32			42	B
3	D		13	B		23	D		33			43	D
4	C		14	B		24	B		34			44	A
5	C		15	D		25	C		35			45	D
6	C		16	A		26	D		36	A		46	A
7	C		17	A		27	D		37	B		47	A
8	B		18	C		28	B		38	C		48	A
9	A		19	D		29	B		39	C		49	D
10	C		20	C		30	A		40	A		50	C