# 1 Write Short notes on: 1. PERT model 2. CPM model

A PERT chart is a project management tool used to schedule, organize, and coordinate tasks within a project. PERT stands for Program Evaluation Review Technique, a methodology developed by the U.S. Navy in the 1950s to manage the Polaris submarine missile program. A similar Read more “1 Write Short notes on: 1. PERT model 2. CPM model”

# Question5. Define following criteria’s used for decision making under Uncertainty a. Optimism (maximax or minimin) criterion

Maximax (Optimist)

The maximax looks

1. Pessimism (maximin or minimax) criterion

Maximin (Pessimist)

The maximin person looks at the worst that could happen under each action and then choose the

# b. Solve the following transportation problem using North-west corner method & Matrix minimum method.

Question4. The processing time of four jobs and five machines (in hours, when passing is not allowed) is given in following table

1. Find an optimal sequence for the above sequencing problem.
2. Calculate minimum elapsed time & idle time for machines A, B, C, D & E.

# Question3.a. Explain the concept of Trans-shipment.

Answer3(a). Transhipment is the act of off-loading a container from one ship and loading it onto another ship. In any service operated by any line there are practical restrictions in terms of coverage of ports.. There is no shipping line that can cover all ports around the world on a single Read more “Question3.a. Explain the concept of Trans-shipment.”

# Question2. a. Discuss any four applications of linear programming.

1. An organisation produces X1 and X2 units of products R and S, respectively. In this case, the objective function and constraints are expressed as follows:

Maximise                        Z = 60X1 + 120X2

Subject to,                     3X1 + 6X2   ≤   240         Raw material constraint

2X1 + 4X2   ≤   800        Labour hours constraint

X1, X2         ≥   0            Non-negativity condition

Use graphical method to determine how many units of products R and S the organisation should produce to maximise its profits.

We have to

# Question1. Describe the process and principles of modelling in detail.

Answer1. Process models are processes of the same nature that are classified together into a model. Thus, a process model is a description of a process at the type level. Since the process model is at the type level, a process is an instantiation of it. The same process model is used repeatedly for the development of many applications and thus, has many instantiations. One possible use of a Read more “Question1. Describe the process and principles of modelling in detail.”

# Q6. Why privacy is important for individuals in the organizations? Briefly explain. How workplace electronic monitoring is done in the organizations? a) Explain the reasons why privacy is important in the organizations. 6 b) Explain the ways in which electronic monitoring is done in the organizations. 4

Ans: a)   Explain   the   reasons   why    privacy   is   important   in   the organizations: Information systems are used widely across organisations, and they enable data and information to be Read more “Q6. Why privacy is important for individuals in the organizations? Briefly explain. How workplace electronic monitoring is done in the organizations? a) Explain the reasons why privacy is important in the organizations. 6 b) Explain the ways in which electronic monitoring is done in the organizations. 4”

# Q5. Briefly explain the different aspects of the need for database systems.

Ans: Aspects of the need for database systems: Different aspects of the need for database systems are discussed in the following sections.

1 Data independence: Databases allow data pertaining to an activity or a domain to be maintained independently. This independence means that the data is stored in separate files in a structured manner, and the creation and updating of the data is done independent of its uses. For instance Read more “Q5. Briefly explain the different aspects of the need for database systems.”

# Q4. Briefly explain the Customer Relationship Management (CRM) system. What are the various facilities created by CRM?

Ans: Customer Relationship Management Systems: The idea of CRM systems is to integrate all functions related to sales and marketing on a common platform. These functions include those that require support to sales and marketing staff and also those that directly enable customers to interact with the client organisation. Although CRM systems evolved independently, they are

# Q3. How to use information system to support competitive strategy? With an example explain each strategy.

Ans: How to use information system to support competitive strategy: Table summarises some of the specific strategies.

 Competitive Strategy Use of Information Systems Example

# Q2. Explain the Strategic Decision making with MIS. Elaborate on the types of communication that can be effected with digital networks in organizations.

Ans: Strategic decisions: Another set of decisions made by top managers of an organisation are termed as strategic decisions. These are long term in scope and have a long time horizon of years. By nature, these decisions impact the very manner in which the organisation does its work. Strategic decisions are

# Q1. Distinguish between information technology (IT) and information systems (IS) and explain the Advent of Artificial Intelligence and Free Software Movement

Ans: Distinguish between information technology (IT) and information systems (IS) :Let us distinguish between information technology (IT) and information systems (IS). IT is understood as the artefacts such as computing devices, software and network devices that constitute the material aspects of IS. However, information systems are constituted by the artefacts of technology as well as the people and organisations that use them. This distinction between IT and IS is

# 6 Write short notes on: a) Break –even pricing b) Mark-up pricing

Answer: a) This is the method of cost-oriented pricing and is also called target profit pricing. It uses the concept of break-even chart, which exhibits the total cost and total revenue expected at different levels of sales volume. The firm achieves break-even when the total

# 5 What do you meant by place or Channel of distribution? What are the important functions of marketing channels? • marketing channel • important functions of marketing channels

Answer: A marketing channel is a system of relationships existing among businesses that participate in the process of buying and selling products and services. Channel intermediaries are those organisations, which connect the manufacturer with the customers and help in the distribution of the product. The intermediaries are involved in taking physical ownership of the Read more “5 What do you meant by place or Channel of distribution? What are the important functions of marketing channels? • marketing channel • important functions of marketing channels”

# 4 Why Branding is important? What value does the organization & customers get out of the branding process?

• value

(a) A brand promises and delivers a high level of assurance to consumers.

(b) A brand serves as an assurance to the customer about the product performance. A brand helps customers to identify the product on the shelf and helps in making an informed choice.

(c) A brand as a symbol of status and social significance gives you psychological satisfaction.

(d) The brand

# 3 Explain the factors that affect the consumer buying behavior. consumer buying behavior

Influence of cultural factors

There is a subtle influence of cultural factors on consumer’s decision process. Immediate subculture also influences consumer’s decision process with which consumer identifies himself/herself

# 2 Briefly discuss importance of environmental scanning with the help of example. Importance of environmental scanning with the help of example

Answer: Environmental scanning is designed to aid the long-term planners and strategists in the organisations. Many people criticise the environmental scanning technique because of the diffused and general nature of its results. Companies use various methods for environmental Read more “2 Briefly discuss importance of environmental scanning with the help of example. Importance of environmental scanning with the help of example”

# 1 Explain the 7P’s of marketing mix with the help of suitable examples. 7P’s of marketing mix with example

Answer: Service sector is one of the key contributing factors for the growth of our economy and civilisation. Though marketing literature is dominated by manufacturing and product-centric business practices, service marketing constitutes a strategic area, which has propelled growth and Read more “1 Explain the 7P’s of marketing mix with the help of suitable examples. 7P’s of marketing mix with example”

# 6 Explain the concepts of working capital. Explain the determinants of working capital. Explanation of concepts of working capital Explanation of determinants of working capital

Gross working capital: Gross working capital refers to the amounts invested in various components of current

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# 5 Explain the capital Budgeting process and its appraisals Solve the below given problem: Given below are the details on the cash flows of two projects A and B. Compute payback period for A and B.

5 Explain the capital Budgeting process and its appraisals

Solve the below given problem:

Given below are the details on the cash flows of two projects A and B. Compute payback period for A and B.

Cash flows of A and B

 Year Project A cash flows (Rs.) Project B cash flows (Rs.) 0 (4,00,000) (5,00,000) 1 2,00,000 1,00,000 2 1,75,000 2,00,000 3 25,000 3,00,000 4 2,00,000 4,00,000 5 1,50,000 2,00,000

Explanation of capital budgeting process and its appraisals.

Solution for the problem

After the screening of proposals for potential involvement is over, the company should take up the following aspects of capital budgeting process:

• A

# 4 Explain the factors affecting Capital Structure. Solve the below given problem: Given below are two firms, A and B, which are identical in all aspects except the degree of leverage, employed by them. What is the average cost of capital of both firms? Details of Firms A and B

4 Explain the factors affecting Capital Structure. Solve the below given problem:

Given below are two firms, A and B, which are identical in all aspects except the degree of leverage, employed by them. What is the average cost of capital of both firms?

Details of Firms A and B

 Firm A Firm B Net operating income EBIT Rs. 1, 00, 000 Rs. 1, 00, 000 Interest on debentures I Nil Rs.25,000 Equity earnings E Rs.1,00,000 Rs.75,000 Cost of equity Ke 15% 15% Cost of debentures Kd 10% 10% Market value of equity S = E/Ke Rs. 6, 66, 667 Rs.5,00,000 Market value of debt B Nil Rs.2,50,000 Total value of firm V Rs. 6, 66, 667 Rs,7,50,000

Explanation of factors affecting capital structure

Solution for the problem

Interpretation

Leverage: The use of sources of funds that have a fixed cost attached to them, such as preference shares, loans

# 3 Write short notes on: a) Irredeemable bonds b) Zero coupon bonds c) Valuation of Shares

Answer: Irredeemable bonds or perpetual bonds

Bonds which will never mature are known as irredeemable or perpetual bonds. Indian Companies Act restricts the issue of such bonds and therefore, these are very rarely issued by corporates these days. In case of

# 2 Explain about the doubling period and future value. Solve the below given problem: Under the ABC Bank’s Cash Multiplier Scheme, deposits can be made for periods ranging from 3 months to 5 years and for every quarter, interest is added to the principal. The applicable rate of interest is 9% for deposits less than 23 months and 10% for periods more than 24 months. What will be the amount of Rs. 1000 after 2 years? Explanation of doubling period Solving the problem Explanation of future value

Doubling period is the period which makes the investment as “Doubled”, that is the amount invested fetches 100% return.

# 1 Explain the differences between wealth maximization and profit maximization. Explain relation between finance and accounting Differences between wealth maximization and profit maximization Explanation of relation between finance and accounting

Answer: Wealth maximisation vs. profit maximisation

• Wealth maximisation is based on cash flow. It is not based on the accounting profit as in the case of profit maximisation.
• Through the process of discounting, wealth maximisation takes care of the quality of cash flow. Converting uncertain distant cash flow into comparable values at base period facilitates better comparison of projects. The risks that are associated with cash flow are adequately reflected when present

# Q6. Why redesign of layouts may be necessary? List the differences between product and process layout. ( Reasons why resdesigning of existing layout is required, Listing of any five differences)

Ans: Redesigning of a layout: There are several reasons as to why a redesigning of an existing layout may be required. These are as follows:

# Q5. Explain the risk management and its various components. ( Definition of risk management and what it entails, Four components of risk management)

Ans: Risk Management: Risks are those events or conditions that may occur and whose occurrence has a harmful or negative impact on a project. Risk management aims to identify the risks and then

# Q4. Discuss the importance of Plant Location. Point out various factors Influencing Plant Location.

Ans: Importance of Plant Location: A plant location cannot be changed frequently since a large capital needs to be invested to build the plant and machinery in the selected area. Therefore, before selecting a plant location, a long range forecasting is to be made to foresee the

# Q3. Describe following dimensions of quality with appropriate examples. a. Quality of design b. Conformance to design c. Utilisation conditions d. After sales service

Ans: Dimensions of quality: Quality is inherent in the product or service that is rendered to the customer. Since we are attempting to measure the same, we will look into those aspects of quality, called

# Q2. What do you mean by Operation Strategy? Explain various elements or components of Operations Strategy

Ans: Operations Strategy:

Operations strategy is defined as the set of decisions that are warranted in the operational processes in order to support the competitive strategies of the business. The objectives stated above will give the firm a competitive advanatage in the products or services that are served to the customers.